-
Period: to
WWI
During World War I (1914–18), most European countries, as well as Russia, the United States, the Middle East, and other regions, were actively involved in the conflict. With the outbreak of war in Europe, the American business community was filled with fear. The disruption to European markets was so great that the New York Stock Exchange was closed for more than three months, the longest shutdown in its history. -
Rise of communism
The goal was not to promote the public good but to help powerful people accumulate more wealth and influence at the expense of vulnerable people and dependent classes. Communism also meant that no one could be better than anyone else, which affected the economy due to the lack of pressure or motivation to do more work than others. There is no development of the country due to a lack of competition. -
The Treaty Of Versailles
It was a peace document signed at the end of World War I by the Allies and Associated Forces and Germany. The treaty required Germany to pay financial reparations, disarm, lose territory, and give up all overseas colonies. Some economic consequences included the United States taking control of the world economy while major European countries were recovering. Trade was severely restricted as Germany could not import or export industrial or military goods. -
Period: to
Great Depression
The Great Depression was the worst economic downturn in the history of the industrialized world, lasting from 10 years. The main reasons for it was bank failures, which caused panic among the people, the collapse of the money supply and, Government policies. Some of the affects were the global production of goods Slowed Crazily, There was a decline in manufacturing of goods by 36 percent in the 10 years. -
Period: to
WW2
Millions of people died in the most destructive war in recorded history. The Axis (Germany, Japan, and Italy) and the Allies engaged in combat (Britain, France, and the Soviet Union etc.). Invasion of Poland by Hitler in 1939 served as the motivator for it. After the war, the government sector stopped purchasing ammunition and employing soldiers, which led to a boom in the private economy. After the war, measured GDP did reduce on paper. It was 13% lower In 1947 compared to 1944. -
Creation of the IMF (International Monetary Fund)
The IMF is a 189 member organization that works to promote international monetary cooperation, ensure financial stability, ease trade between nations, encourage high employment and long-term economic growth, and lessen poverty worldwide. -
World Bank
A global partnership with 189 member nations, the World Bank is an international financial institution that offers grants and loans to the governments of low and middle income countries: They hope to lessen poverty, by lowering the percentage of people worldwide who live in extreme poverty to 3%. They also hope to promote shared prosperity, by raising the incomes of the poorest 40% of citizens worldwide. -
IMF
The IMF is a 189 member organization that works to promote international monetary cooperation, ensure financial stability, ease trade between nations, encourage high employment and long-term economic growth, and lessen poverty worldwide. -
Bretton Woods Conference
The Bretton Woods Conference was the gathering of 730 delegates from all 44 Allied nations at the Mount Washington Hotel, The two major accomplishments of the conference were the creation of the International Monetary Fund (IMF) and the International Bank for Reconstruction and Development (IBRD), (The IBRD and IDA Make up the World Bank). -
GATT
The General Agreement on Tariffs and Trade (GATT) is a legal agreement between many countries, whose overall purpose was to promote international trade by reducing or eliminating trade barriers such as tariffs. Encourages international trade the GATT reduced tariffs, which boosted trade among countries, Reduces the likelihood of war by increasing trade, Improves communication it provided incentives for countries to better communicate with one another. -
World Trade Organization
An intergovernmental body called the World Trade Organization governs and promotes global trade. Governments use the organization to create, amend, and enforce the laws that regulate global trade with effective cooperation within the United Nations System.