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Why did the Great Depression in the US have such an impact on the economies of the rest of the world?
Wiki User
∙ 14y ago
Now this is a guess, but i think its because the United States is such a big country. If you think about it, back then and even now we have a lot of ties with other countries. Loans and such between other countries do occur.
Soon, the Depression was spreading to the rest of the world,
especially to Europe. There, the single country that was most affected
was Germany whose very weak economy could not cope with the slow
disappearance of American capital. Let us mention that Germany was
still paying reparations (for World War I), which made its situation
even more delicate. Germany was forced to borrow from Great Britain
and France which could not compensate for the decline in U.S.
lending.5 The trap in which Germany found itself was quite
disconcerting: she had to pursue deficienary policies to gain the
confidence of investors in order to attract foreign funds. At the same
time, devaluaton posed a major problem. It increased the burden of the
external debt (through the exchange rate mechanism) which was payable
in foreign currencies. I think this will help you out.
* Sources
http://www.cyberessays.com/History/163.htm
Wiki User
∙ 14y ago
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How did the major forms of world economies respond to the Great Depression?
The world responded to the mjor forms of world economies to the great depression by watching the stock marketmore carefully. Everything was monitored while recovering from the great depression. you couldn't buy an endless supply of items you needed. The products sold had limits on the amounts you could purchase. It changed the life of people in many ways.
What conclusion is supported by the spread of the Great Depression in the 1930s?
Countries economies became more interconnected following World War I APEX
What best describes the impact of the Great Depression?
Countries around the world collapsed. (Apex)
What statement of the Great Depression is true?
each of the affected countries reacted in its own way, with differing results. <3 NoVaNeT <3
What are the causes of great economic depression of 1929 e?
the causes of the great depression are,the impact of the first world war,the closure of many banks,the closure of markets,a lot of money spent on the WWI and depopulation as a lot of people died in the WWI
What demonstrated the increasing connectivity of world economies during the 20th century?
the international spread of the great depression
How did the major forms of world economies respond to the Great Depression?
The world responded to the mjor forms of world economies to the great depression by watching the stock marketmore carefully. Everything was monitored while recovering from the great depression. you couldn't buy an endless supply of items you needed. The products sold had limits on the amounts you could purchase. It changed the life of people in many ways.
What events demonstrated the increasing connectivity of world economies during the 20th century?
the international spread of the great depression
What conclusion is supported by the spread of the Great Depression in the 1930s?
Countries economies became more interconnected following World War I APEX
Which of the following events demonstrated the increasing connectivity of world economies durning 20th century?
The international spread of the Great Depression
What is supported by the events of the Great Depression in the 1930s?
Countries economies became more interconnected following World War I APEX
What best describes the impact of the Great Depression?
Countries around the world collapsed. (Apex)
What impact did world war ii have on the American economy?
permanently ended the Great Depression
What conclusion is supported by the events of the Great Depression in the 1930s?
Countries economies became more interconnected following World War I APEX
What conclusions is supported by the events of the great depression in the 1930?
Countries economies became more interconnected following World War I APEX
What world event brought an end to the great depression?
The major world-event that brought an end to the Great Depression was World War II. Creating a great demand for arms, vehicles, and supplies of all kinds, the war infused economies around the world with renewed activity and even profit, thereby giving life to what had been a general stagnation in many of the world's modern nations.
What impact did World War 2 on the relative roles of the US and Britain in the world?
The Great Depression was a severe worldwide economic depression in the decade preceding World War II. The timing of the Great Depression varied across nations, but in most countries it started in about 1929 and lasted until the late 1930s.
