Which was a cause for the decline in the amount of currency in
circulation during the early 1930s?
a
investors put more money in european industries.
b
increased taxes pulled money out of the economy.
c
banks were required to hold more money in their accounts.
many people withdrew their savings and hid their money at
home.

C

Explanation:

After the stock market crash on October 29, 1929, banks began to fail in 1930, which caused a massive, nation-wide demand on banks as depositors hurried to convert their savings into currency. “Buying on margin,” whereby investors buy shares on credit and use loans to pay, further destabilized the market.

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