The World Between the Wars 1920 - 1939

Postwar Politics in the West Three Western democracies - Britain, France, and the United States - appeared powerful after WWI but faced serious problems How would the nations find jobs for unemployed veterans? How do they work to repair war damaged areas of France and Belgium? Who will lead the next generation with so many people lost to the WWI?

Post War Politics in the West Economic problems caused social unrest and made radical ideas more popular Some were inspired by Stalin’s U.S.S.R. and communist movements sprung up across Western nations Fear of communism also increased Some saw socialism as the answer Some embraced extreme nationalist movements Others held on to democratic and capitalist values

Politics in Britain In Britain political parties competed to control a new direction for the country The Labour party gained support from factory workers by promoting a gradual move toward socialism By resisting socialism, the Conservative party drew support from the middle class, upper class, professionals, and farmers. Conservatives passed laws limiting the right of workers to strike Ireland gained independence from Great Britain in 1922

Politics in France Business as usual in France Political rivalries and financial scandals continued in France Conservatives and Communists competed for power A series of coalition governments (think French Revolution with less violence) competed for power

“Red Scare” in the United States The U.S. emerged from the war in better shape than France and G.B., but worker unrest still lead to some support for communism Fear of radicals and Bolsheviks lead to the“Red Scare” Police rounded up foreign born radicals and some were deported Some native-born Americans sought to exclude newcomers from SE Europe because their cultures differed from earlier N European immigrants. Congress passed laws limiting immigration from southern and eastern Europe

International Relations Because of the invasions of 1870 and 1914, France still fears Germany To prevent a third invasion France constructs the Maginot Line along its border with Germany France continues to argue for strict enforcement of Versailles Treaty as a means to keep Germany weak France renews its alliance with the Soviet Union

International Relations Britain focusses on stability at home and in Europe Britain was focused on rebuilding its overseas empire and improving trade Britain strongly supported the limits on Germany’s navy outlined in the Treaty of Versailles Britain began to support easing other terms of the treaty because they feared if Germany was too weak, France and the Soviet Union would become too strong

International Relations Efforts to maintain peace The Locarno treaties settle disputes over Germany’s borders with France, Belgium, Czechoslovakia, and Poland Kellogg-Briand Pact is signed by almost every independent nation and renounces war as an instrument of national policy Great powers also pursue a policy of disarmament, but can’t agree on limiting the size of their armies

International Relations The League of Nations fails to provide any real support The league has some early success and people are hopeful Germany is admitted to the league in 1926, and soon after the Soviet Union was also added Without the ability to use force the league was still basically powerless and this became obvious when it failed to prevent Japan’s invasion of Manchuria in 1931 After this point nations such as Germany, Italy, and the Soviet Union began to rearm and pursue aggressive foreign policies

The Great Depression After WWI, the strength of the world economy depended on the health of the U.S. economy American loans and investments propelled a shaky recovery from WWI As long as the U.S. economy thrived, the rest of the world remained stable At the end of the 1920’s, economic crisis in the U.S. lead to an economic collapse

The Great Depression Factors leading to the Great Depression Overproduction caused a surplus of goods in the economy Businesses reduce output and lay off workers, leading to a cycle of layoffs Risky investment practices caused panic, people sold off millions of dollars in stock and the market crashed in 1929 Consumer investment and spending continued to fall causing more factories to close and millions more to lose jobs By 1933, between 13 and 15 million people were unemployed

The Great Depression The problem quickly spread around the world. American banks stopped investing or making loans abroad and demanded repayment of foreign loans Without U.S. cash European recovery slowed, Britain and Germany were hit hardest In Germany the unemployment rate rose to 25% Nations made the depression worse by imposing high tariffs on each other and restricting trade.

Countries respond Almost all capitalist countries moved away from Laissez-faire policies toward more government intervention. Britain provided unemployment benefits, reduced tariffs within its empire, and raised tariffs against the U.S. France tried to make changes but lack of political leadership made things difficult In Germany the depression fueled Hitler’s rise to power In the United States President Roosevelt started a program called the New Deal

Countries Respond Roosevelt argued that the government needed to take an active role combating the great depression The New Deal was a massive package of economic and social programs New laws regulated the stock market and protected banks Government programs created jobs and helped farmers The Social Security system was created to provide pensions for the elderly