Which event marked the beginning of the Great Depression?

The stock market crash of 1929 is widely considered the event that marked the beginning of the Great Depression. This crash occurred on October 29, 1929, known as Black Tuesday, when the stock prices plummeted drastically. The immediate impact was the loss of billions of dollars in wealth, which severely affected investors and banks, leading to a loss of confidence in the economy. As a consequence, consumer spending and investment dropped sharply, initiating a downward spiral in economic activity.

This event set off a chain reaction that was exacerbated by various underlying factors in the economy, including overproduction, uneven wealth distribution, and a decline in international trade. The effects of the stock market crash rippled through the economy, resulting in widespread unemployment and the closure of businesses, which lasted through the 1930s. Understanding this pivotal moment helps illuminate the causes and timeline of the Great Depression, showcasing how this single event catalyzed a broader economic crisis.