The United States has experienced recessions approximately every twenty years (more or less) since the start of the Industrial Revolution. Nothing that had happened before was as severe, chaotic, or as long-lasting as the Great Depression. The crash was felt far beyond those on the trading floors. Speculators who borrowed money from banks to buy their stocks couldn't repay their loans because they couldn't sell their stocks because no one else would buy them. This caused many banks to fail and close their doors. Since bank deposits were not insured until the 1930s, depositors lost their money, which in most cases was all the money people had. The stock market crash only made the Great Depression worse in many ways. Not only wiping out the savings of thousands of people. This hurt many commercial banks that had invested in company stocks. This also caused a loss of confidence in the market, which prolonged the depression. President Herbert Hoover blamed the severity of the depression on the international economic situation. The postwar international economy only functioned as long as American banks exported enough capital to give European countries the opportunity to repay their debts and continue purchasing American products. As American companies began to reduce production, they also began to reduce their purchases of raw materials and supplies from overseas. As a result, many European economies collapsed. American financiers sharply reduced their overseas investments and consumers began buying fewer foreign products. Paying off debt has become much more difficult for everyone. As the European situation continued to deteriorate, demand for American exports also fell. Ultimately, when the Hawley-S... middle of paper ... caused economic chaos, it was not single-handedly responsible for the Great Depression. The depression across the country (and around the world) was the result of a combination of factors that matured during the 1920s. The works cited were "The Causes of the Great Depression | The causes of the Great Depression | The Great Depression.” Causes of the Great Depression | The Great Depression | Causes, effects, deadlines. Internet. March 29, 2011. “The Great Depression – Causes of Depression.” Southern Illinois University Museum | Home. Internet. March 29, 2011. .Kelly, Martin. “Great Depression – Five Main Causes of the Great Depression.” American history from around . Internet. March 29. 2011. .