Why did people fall into debt in ww1?

Answer 1

During World War I, many people fell into debt due to the rising costs of living, as inflation surged while wages stagnated or failed to keep pace. Additionally, soldiers and their families faced financial strain, leading to increased reliance on loans and credit. The wartime economy disrupted traditional employment and led to shortages of goods, forcing individuals to borrow money to maintain their livelihoods. Moreover, government borrowing to finance the war effort also contributed to broader economic instability, exacerbating personal debt issues.