Question

Which was not a reason Americans were buying fewer products by the late 1920s?

Overbuying with credit
Stagnant wages
Unbalanced income distribution
Falling prices

Answer 1

D. Falling prices.

This is an economic phenomenon known as deflation. The logic after it is that if you expect prices to go down after a while, why would you buy? It was one of the most dangerous consequences of the great depression.