What was the Great Economic Depression and what was its impact ?

1.	What was the Great Economic Depression and what was its impact ?
Answer» 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 This support was withdrawn when the Wall Street Exchange crashed in USA in-1929.ii.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.vi. Large mass of peasantry was affected by a sharp fall in agricultural prices.vii. Women were severely affected and worried for their hungry children.viii. It was during this period that Nazi Party which was no more than a conspiratorial group became a mass movement.ix. The depression contributed to the rise of Hitler and establishment of dictatorship in Germany.\xa0

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