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muminat
3 years ago
5

How did the great depression impact the united states and germany differently?

History
2 answers:
klio [65]3 years ago
5 0
<span>as a severe worldwide economic depression that took place during the 1930s. The timing of the Great Depression varied across nations; in most countries it started in 1929 and lasted until the late 1930s.</span>
Andrej [43]3 years ago
4 0

The Great Depression of 1929 impacted the German economy that was already in recession due to the impositions of the Treaty of Versailles and suffered another blow when US loans were disrupted by the financial crisis. This led to the Nazi rise, which took advantage of this moment of economic instability to oppose the orthodox practice followed in Germany, to take power. Once the Nazi party seized power, it led an extraordinary economic recovery, reducing the unemployment rate by expanding the public debt with military spending, making it possible to achieve Hitler's main objectives that consisted of preparing Germany for war and financially reorganize the country. Meanwhile, in the USA, as a result of the economic disaster of the New York Stock Exchange crash, there was a liquidity crisis, which generated a contraction of credit, directly affecting consumption and production. Observing that economic factors function in a kind of interdependence, Keynes, Mazzucchelli (2009), states: there was an explosion of unemployment since there was a drastic fall in production, and consequently the demand for labor.

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