THE GREAT DEPRESSION 1929 1940
THE WALL STREET CRASH OF 1929
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Either A or B
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None of the above
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Detailed explanation-1: -It allowed the German economy to recover from its post-war malaise and kick-started a brief period of growth and prosperity. Vast amounts of money poured into Germany, most of it from the United States. The impact of these loans was most visible in the industrial sector.
Detailed explanation-2: -The United States loaned money to Germany through the Dawes Plan. This loan, along with private investment, enabled the defeated countries to make scaled-down reparations payments.
Detailed explanation-3: -Over the next four years, U.S. banks continued to lend Germany enough money to enable it to meet its reparation payments to countries such as France and the United Kingdom. These countries, in turn, used their reparation payments from Germany to service their war debts to the United States.
Detailed explanation-4: -In 1923 Germany refused to pay and the French occupied its leading industrial area, Ruhr, to claim their coal. Germany retaliated with passive resistance and printed paper currency recklessly. With too much currency in circulation, the value of the German mark fell.