1. The Futile Search for Stability

    1. There is peace after World War I. League of Nations couldn't deal with crisis following the war.

    2. Europe okay from 1920 to 1929 but then the Great Depression came. Economic collapse in Europe. Rise of extremist parties that offered solutions to the hardships.

  2. Uneasy peace uneasy security after World War I

    1. there were new boundaries in new states countries were unhappy there were border disputes many Germans vowed to go against the treaty of Versailles

    2. Weak league of Nations Woodrow Wilson hope league of Nations could create peace but was ineffective. One problem failure of the US to join the league. The rest of the league couldn't agree.

    3. French Demands 1919-1924 France wanted security in a strict enforcement of the treaty. They wanted reparations from Germany. In April 1921 the Allied reparations committee said Germany owed hundred and 32 billion German marks or US$33 billion and wanted yearly installments of 2.5 billion marks. Germany made first payment 1921 announced the next year it could not pay. France sent troops to occupy Ruhr Valley Germany's industrial and mining center. France plan to get the money for reparations using the mines and factories there.

    4. Inflation in Germany when France occupied part of Germany the workers went on strike the German government printed more money to pay salaries and it added to inflation and rising prices. The German mark became worthless. In August 1924 a new plan for reparations called the Dawes plan named after an American banker reduced reparations coordinated with Germany's ability to pay. It gave Germany a $200 million loan and open the door to heavy American investment in Europe. European prospered 1924 to 1929.


  4. The treaty of Locarno in 1925 foreign ministers Gustav Stresemann and France Foreign Minister Artiside Briand signed the treaty guaranteeing Germany's new western borders with France and Belgium. People thought it was good and there would be peace. Germany join the league of Nations in March 1926. 1928 63 nations signed the accord and pledge to renounce war.

    1. The Great Depression a depression is a period of low economic activity and rising unemployment

      1. Causes of the Depression

        1. 1st cause of depression downturn in the economy of individual nations in the second half of the 1920s. Prices for farm products especially wheat fell due to overproduction.

        2. 2nd cause of depression international financial crisis involving the US stock market. Prosperity between 1924 in 1929 was built on US bank loans to Germany. In the 20s the stock market in the US was really good but by October 1929 the US stock market crashed.
    1. US investors withdrew funds from Germany and other European markets. Withdrawal made the banks of Germany week. Banks started to collapse in 1931. Production started to decline in unemployment was rising.

    2. Responses to the Depression during 1932 the worst year the depression one in every four British workers was unemployed. 30% of German labor force unemployed. Unemployed and homeless filled the streets. They lowered wages and raised taxes to exclude foreign goods from the market. This made it even worse.

    3. There is a renewed interest in Marxist ideas. Marks prediction that capitalism would destroy itself through overproduction seemed true. Communism became more popular. People wanted to follow political leaders who offered simple solutions in exchange for dictatorship type power.

Critical thinking skills questions page 557

  1. Name three political effects of a Great Depression: 1) the government became more involved in the economy 2) Marxism was on the rise 3) there was a rise in interest in extremist parties like communism

  2. how might post depression political developments have led nations to war? If it people of individual nations followed the extremist leaders of Marxism and communism they would inevitably get themselves involved in another war and take over other nations trying to punish them.