To what extent did the policies of the booming 1920's contribute to the depressions?

The policies of the booming 1920s, characterized by economic speculation, lax regulation, and excessive consumer credit, significantly contributed to the eventual economic collapse. The Stock Market boom was fueled by rampant speculation, leading to inflated stock prices detached from actual company values. Additionally, the lack of regulations allowed for risky financial practices, which culminated in the 1929 market crash and the subsequent Great Depression. Ultimately, these policies fostered an unsustainable economic environment that failed to withstand external shocks.