Th1ch1 impact of 1929 crisis : economic and social instability

By what sectors was the international context of 1929 marked?

1. Peace efforts post world war I

2. Economic

3. Political tensions and ideologies

4. International relations

What parts of the post world war I recovery and peace efforts had an impact on the international context in 1929?

• The treaty of Versailles

• The league of nations

• Kellogg Briand pact

The treaty of Versailles

Signed in 1919 it still affected relations in 1929. Germany way burdened by reparations, territorial losses, and military restrictions fueling resentment an economic hardship

League of nations

Imagined by woodrow Wilson and founded in 1920 was meant to be the centerpiece of collective security and international cooperation. In 1929 it was actively involved in various international disputes, though it struggled with effectiveness due to the absence of key powers like the US

What were the key element of the economic context of 1929 that shaped the international context?

• Roaring twenties

• Germany hyperinflation and recovery

• Soviet Union’s economic policies

The roaring twenties

The global economy, especially in the US, was experiencing significant growth . Period marked by industrial expansion , technolofical innovation, and consummerism, with the US emerging as a global economic leader

German hyperinflation and recovery

Under the Weimar REpublic Germany stabilised it’s economy after the hyperinflation crisis of the early 1920s. The dollar diplomacy helped GErmany’s recovery by 1929

The “Dollar diplomacy”

The Dawes Plan 1924 reinforced by the young plan 1929 resterctured German reperations and facilitated foreign loans, particularly from the US,

The soviet union’s economic policies

The Soviet Union was undergoing rapid industrialisation under Stalin’s FIve-Year plans, which began in 1928. This marked a shift towards a command economy, with the state controlling all aspects of economic life

What were the political tensions and idéologies that marked the international context in 1929?

• The rise of fascism and communisme

• Weimar republic

• Imperialism and colonialisme

• The rise of fascism and communism

Fascism was on the rise in italy under mussolini since 1922. Other countries were beggining to see the spread of authoritarian ideaologies. COmmunism, particularly that of the soviet uniion, was seen as a growing threat by Western democracies

The weimar republic

The nale given to the german government between the end of the imperial period (1918) and the beginning of Nazi Germany 1933. It was politically unstable, had freequent changes in government and extrimist parties were on the rise, including nazis who had yet to gain significant power

Imperialism and colonialism

European powers, especially britain and france, still maintained vast colonial empires were ressources were exploited. Tensions existed in these colonies as nationaliste movement began, particularly in places like india and Egypt.

What were key aspects of international relations that shaped the international context in 1929?

• US isolationism

• Sino-Japenese relations

• British empire and the commonweath

US isolationism

The us, despite it's growing economic power, continue to persue a political politcy of isolationism, avoiding entanglement with european affairs

Sino-japanese relations

Japan was expanding it’s influence in East Asia, particularly in china

British Empire and Commonwealth

Britiain was managing it’s global empire, dealing with growing demandes for autonomu froms dominions like Canada, Australia and SA, as well as independence movement sin india and the middle east

The economic depression of the 1930s, The great depression

At the end of the 1920s a series of problems in the US became a major economic crisis lasting til the end of the 1930s. They most severe economic crisis of modern times. It brought an end to the prosperous consumer lifestyle of the previous decade “the roaring twenties” and had an international impact. Marked by the wall street crash

When did the wall street crash start?

On october 24th 1929, black thrusday, in the New York stock echange

At the beggining, what was the wall street crash?

It was a financial crisis with the fall of the Dow jones and the collapse of share prices

How did the financial crisis of the wall street crash turn into an economic and social crisis?

The banking system experiences a major crisis. 40% of American banks were facing bankruptcy by 1939 which had an impact on the European banks. The crisis became economic candy social with high unemployment rates in the US, 25%, and rising poverty

The Dow Jones

An index based on the most important companies in the US. It did not return to the peal of 1929 till1954

What cultural reference can be used to illustrate the social crisis and rising poverty caused during the great depression?

The photo titled “Migrant mother” taken by Dorothea Lange

What was the US’s role in the world economy following world war I?

It was the largest producer lender and investor in the world taking the place of the UK. It largely fueled the economic prosperity in Europe through the 1920s with it’s industrial and financial strength

What did the Great depresssion cause?

The collapse of world trade

What brought on the sharp decline of world trade during the great depression?

The 40% decline originated from a round of tarrifs instituted by any nations turning inward trying to bolster their own economies. The nations, led by the US and the GB, slowly started trying to solve their problems apart from other nations

What if the lack of economic and political cooperation caused by the great depression fuel?

The growth of nationalism, meaning that nations began to place their own needs significantly over everything else

What was a were of the lack of international cooperation and the increase of nationalism? The transition of internationalism from the 1920s to nationalism in the 1930s

The failure of the World economic crisis in June 1933 to resolve the global economic crisis. the gold standard system, countries began to leave in 1931, and it collapsed in 1936

What did nationalist and protectionist policiest increse?

It increased the severity of the great depression. And the fragmentation of the international economy exacerbated international political tensions as powerful nations began to be more antagonistic towards eachother; first economically, then politically and eventuelally miliatrily

What environement did the Great depression and the fragmentation of the world economic order create?

One fertile for the growth of totalitarianism

The gold standard system

Linked currencies to the value of gold and was supported by almost every country in the world in 1931

What were the European countries hardest hit by The great depression?

Germany and Austria

The bad economic situation in Germany due to the Great depression was worsened by what?

The enormous debt which it had been burdened with following WWI. It had been forced to borrow heavily in order to pay for “reperations” to the winners, as demanded by the treaty of Versailles 1919, and also to pay for industrial reconstruction

How did the great depression impact the dollar diplomacy?

When the American economy fell into depression it stopped their dollar diplomacy in 1930. Banks recalled their loans, causing the German banking system to collapse. Germany had to announce it could not longer make war reparations payments

What short term solution did Germany use to repair it’s economy following the great depression?

Hitler who became chancellor in January 1933 adopted more interventionist policies, developing a massive work creation scheme that largely eradicated unemployment by 1936. Consumpriton was restricted by rationing and trade controls. By 1939 the German’s GDP was higher than in 1929, an increase mainly due to the manufacturer of armaments and machinery

How was german rearmament financed, and why did it only serve as a temporary fix for the german GDP?

Rearmament was financed through government borrowing, debt

What was the economic context in Japan in 1929/the 1920s?

An earthquake in 1923 upset an already fragile economy, weakened further by the cost of reconstruction and monetary polis adopted through there 1920z. Economic growth did develop as Japan increased silk and rice exports to the us markets by the late 1920s. It's healthier economy led Japan to join the gold standard in January 1930

Why did the collapse of world trade greatly impact Japan?

The price of rice dropped sharply on international markets

How did Japan react to the great depression?

It left the gold standard in December 1931 and took a new nationalistic course. Political development took place with their military becoming the principal political force, and propelling economic recovery. The growth of heavy industry sought to buildup arms and led to a quick japanese economic recovery.

How did Japan’s military take advantage of the great depression?

The rest of the world was strugggling so the military took this opportunity to seek greater detachment from economic relations and persue military expansion, leading to world war

What military expansion did Japan begin doing?

Military expansionism through foreign conquest begun with an invasion of Manchuria in 1931, it grew when Japan invaded China in 1937

What led to the rise of fascism?

The great epression

How did fascism become popular?

Made popular by Mussolini in Italy around 1922. It gained attention there after 1929 because it was one of the only governments to survive the economic collapse. This was because Mussolini started a large programme of public construction projects, giving work to unemployed Italians. It was a quick fix to the economic problems

What was the Italian fascist economic stance in the 1930s?

The fascist government nationalized large banks. The representatives tried to find common ground between economic policies and manipulated prices and wages to satisfy both the government and the businesses. They maintained nationalist policies because they helped rebuild the devastation caused by the Great Depression

Who was in power in the USA when the recession started?

Herbert Hoover, he was a republican beleiving in liberalism

Liberalism

Known ass the “laissez faire” it is a belief that the state should not interfere with economy

What was the policy adopted by Hoover during the great depression?

A protectionist policy. The tarrifs act of 1930 = the Haley-Smoot tariff. It pushed rates on imported goods to the highest point they’ve ever been

What were the consequences of the Hawley-Smoot tariff?

In Europe tariffs went up in response to those of the US. 26 nations retaliated against the tax schedules and closed their markets to American goods. GB abandoneed its historic free trade policy and attached it’s empire more closely to it’s home market through an imperial preference system

Context of Japan when Roosevelt came into power in 1933

It had transformed itself from a feudal country to an industrial power between 1868 and 1905 : Meiji period, when it defeated the russians. By 1933 Japan was under the control of expansionists polting to diverge from the west since the Europeans and Americans had refused to include a decleration of racial equality in the Versailles treaty

The Manchurian crisis

1931-1932 the japanese army units took control of Chinese Manchuria. The region was valuable to them as a buffer zone against the soviet Union and as a source of raw materials. They installed a pupper state, renamed it Manchukuo, and turned it into a colony. Only Germany and Italy joined Japan in granting diplomatic recognition to this new state

The leagues role in the manchurian crisis

It was not able to stop the crisis, having been reluctant to interveine and only issuing a condemnation to Japan. this was a major failure for an organisation meant to settle international disputes

What was a symbol of the inneficiency of the league of nations?

In 1933 Japan and Germany withdrew, followed by Italy in 1937

The failure of the League of nations was partly due to the US

It remained outside the league and had no formal role in defending the Versailles order. American foreign policy in the 1930s was dominated by non-interventionist reinforced by public and congressional support

What three major events marked the inneficiency of the League of nations to maintain peace?

• The Manchurian crisis

• The disarmament conference

• Abyssinian crisis

Disarmament conference

1932-34. Germany complained it was the only one to disarm, and the league could get no other countries to do it too, so Germany left and began to rearm openly. Other members rearmed too

The leagues role in the abissynian crisis

Italy invaded Abyssinia and league members could not agree effetive sanctions against Italy