# PTE RW FIB #31: Causes and Impact of the Great...

Reading & Writing: Fill in the Blanks #31 - Level 3 - Feeds Reading

> Below is a text with blanks. Click on each blank, a list of choice will appear. Select the appropriate answer choice for each blank.

The Great Depression, which began in 1929 and lasted until the late 1930s, was the most ____ and prolonged economic downturn in the history of the Western industrialized world. Its causes are complex and multifaceted, reflecting a combination of ____ and international conditions that conspired to ____ economic stability and confidence. One of the primary causes was the over-speculation in the stock market, which had become disconnected from the real economy. Throughout the 1920s, the U.S. stock market ____ rapid expansion, reaching its peak in August 1929, after a decade of roaring growth. This speculative bubble was partly fueled by the widespread use of margin buying, ____ investors borrowed money to buy stocks, betting on continued increases in stock prices. However, when the market began to decline in late 1929, panic set in, leading to a catastrophic crash in October.

## Answer

The Great Depression, which began in 1929 and lasted until the late 1930s, was the most **severe** and prolonged economic downturn in the history of the Western industrialized world. Its causes are complex and multifaceted, reflecting a combination of **domestic** and international conditions that conspired to **undermine** economic stability and confidence. One of the primary causes was the over-speculation in the stock market, which had become disconnected from the real economy. Throughout the 1920s, the U.S. stock market **underwent** rapid expansion, reaching its peak in August 1929, after a decade of roaring growth. This speculative bubble was partly fueled by the widespread use of margin buying, **where** investors borrowed money to buy stocks, betting on continued increases in stock prices. However, when the market began to decline in late 1929, panic set in, leading to a catastrophic crash in October.

## Explanation

Blank 5 starts a clause that explains margin buying, and that clause already has a subject, "investors." "Where" means "in which" and fits here. "Which" would leave the clause missing a subject or object. In blank 3, conditions "undermine" stability, meaning weaken it. "Underline" means stress, so it only looks similar.

## Hints

- Look at the words immediately preceding and following each blank to determine the required part of speech.
- Consider the overall theme of economic instability and market volatility when selecting the best fit for each gap.

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