The Stock Market Crash of 1929 had a huge impact on the start of the Great Depression. This event changed America's economy in many bad ways.

1. Immediate Effects:

   • The crash caused people to lose $30 billion in wealth, which made everyone panic and lose trust in the economy.
   • Many banks failed, and people lost their savings, making the financial situation even worse.

2. Long-term Consequences:

   • Unemployment rates soared, reaching 25% by 1933.
   • Lots of businesses closed, and millions of people fell into poverty, leading to a lot of sadness and hardship.

3. Government Response:

   • At first, the government didn’t do much to help, which made the crisis worse since they didn’t fix the main problems.
   • Eventually, they created New Deal programs to reform the banking system, help the unemployed, and kickstart the economy.

4. Path to Recovery:

   • Even though the effects were sad and hard, they showed us that rules are needed to prevent future problems.
   • Investing in roads, buildings, and social programs can create jobs and help people trust the economy again.

In short, the Stock Market Crash led to a lot of economic troubles. But it also opened the door for important changes that can help keep the economy stable in the future.