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How did great depression affect the world ?

Posted by Nishika Choudhary 6 years, 1 month ago

CBSE > Class 09 > सामाजिक विज्ञान

1 answers

Yogita Ingle 6 years, 1 month ago

The Great Economic Depression of 1929-1934 had a rippling effect all over the world. It aggravated the economic crisis in Germany and nearly crippled German economy.

i. German investments and industrial recovery leading to economic stability between 1924-1928 was built on short term loans largely from USA. This support was withdrawn when the Wall Street Exchange crashed in USA in-1929.

ii. In Germany by 1932 industrial output fell to 40% of the 1929 level.

iii. Workers lost their jobs and were paid reduced wages. Number of unemployed touched an unprecedented 8 million.

iv. As jobs disappeared unemployed youth took to criminal activities.

v. The crisis created deep anxieties among the middle class who feared destitution and proletarianisation.

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