The correct answer is B) Most investors panicked and sold all their stocks.
The Stock Market Crash of 1929 was one of several factors that helped to crash the US economy and lead to the Great Depression of the 1930's. When the price of stocks started to plummet at a rapid pace, many investors worried that if they didn't sell their stocks right away, they would only continue to lose money on their stocks. When this type of panic hit many investors froze and refused to buy new stocks. The loss of money on these stocks resulted in investors not being able to pay their loans to the banks (whom they borrowed money from to buy stocks).
