History books say that one of the causes of the Great Depression was that "fanatical stock speculation increased the instability of the financial market and stimulated false prosperity in the market."

History books say that one of the causes of the Great Depression was that "fanatical stock speculation increased the instability of the financial market and stimulated false prosperity in the market." How to understand?

Securities investment is a virtual economy, without physical construction. No matter how much capital is circulated, it is water without a source and a tree without roots, because it does not produce value. If everyone speculates in finance, it will only promote the appreciation of finance and cause inflation! Social production cannot be effectively supplied, and everything is a castle in the air. If you make 100 million in the stock market, because you have no production, productivity is expensive, and bread is also expensive. Then buying 2 loaves of bread for 100 million is false prosperity.