The collapse of the New York Stock Exchange on Black Thursday produced a situation of real panic that caused the subsequent banking crisis in the United States.
The depression had devastating effects in almost all countries, rich and poor, where insecurity and misery were transmitted as an epidemic, so that they fell: national income, tax revenues, business profits and prices. International trade decreased. Unemployment increased.
Cities around the world were severely affected, especially those that depended on heavy industry, and the construction industry. Agriculture and rural areas suffered from falling crop prices. Given the fall in demand, the areas dependent on the primary sector industries, with few alternative sources of employment, were the most affected.
