If investors leave, the 1930s could return

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The events look and sound familiar. A stock market collapse and a debt crisis forced the United States into dire economic circumstances that no one anticipated. At congressional hearings on the causes of the crisis, investors testified that their brokers had sold them bonds, assumed to be safe, only to discover that they were worth even less than stocks. That destruction of wealth had profound and long-lasting repercussions for the markets.

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