Discuss the causes and major results of the Great Depression in the United States and Europe. Was it also a part of the Great War's aftermath? Was it effectively over by 1938?

Question

Quizplus · Accepted Answer

The Answer is The Great Depression was a severe worldwide economic downturn that began in the United States in 1929 and spread to Europe and other parts of the world. There were several causes of the Great Depression, including the stock market crash of 1929, overproduction, and a decline in international trade. In the United States, the collapse of the stock market led to a loss of confidence in the economy, causing businesses to cut back on production and lay off workers. This, in turn, led to a decrease in consumer spending, further exacerbating the economic downturn.

In Europe, the Great Depression was also fueled by the aftermath of World War I. The war had left many European countries in debt and struggling to rebuild their economies. The reparations imposed on Germany by the Treaty of Versailles also contributed to economic instability in Europe.

The major results of the Great Depression were widespread unemployment, poverty, and a decline in industrial production. In the United States, President Franklin D. Roosevelt implemented the New Deal, a series of programs and reforms aimed at providing relief, recovery, and reform to the American economy. In Europe, governments struggled to address the economic crisis, and political instability and social unrest were widespread.

While the Great Depression was not directly caused by the Great War, the economic instability and debt left in the war's aftermath certainly contributed to the severity of the downturn. The war had disrupted international trade and left many countries in a weakened economic state, making them more vulnerable to the effects of the Great Depression.

The Great Depression was not effectively over by 1938. While there were some signs of improvement in the late 1930s, such as a slight decrease in unemployment and an increase in industrial production, the global economy was still struggling. It was not until the outbreak of World War II and the subsequent increase in government spending and industrial production that the world began to emerge from the Great Depression.

Discuss the Causes and Major Results of the Great Depression