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· In the 1920’s, people began to purchase items they couldn’t afford through the use of installment buying, or buying on credit.
· Installment buying increased the demand for goods, while consumer debt increased.
· In the 1920’s business used advertising to convince consumers that they would be happier if they bought their product.
· Millions of Americans invested in the bull market, becoming rich as stock prices rose.
· Some people began to buy stocks on margin, which is similar to installment buying.
* Unquestioned faith in the bull market helped lead to the Great Depression!
