Unit 7.4 - Economy in the Interwar Period

Question 1

Major Causes (2) of the Great Depression

Answer 1

Agricultural overproduction and the U.S. stock market crash

Question 2

Effects (4) of the Great Depression

Answer 2

It undermined faith in capitalism and led to increased rates of unemployment, hunger, and homelessness

Question 3

How were governments essential to capitalism?

Answer 3

They built roads, provided schools, and regulated trade

Question 4

How was Germany suffering during this time and how did it affect other countries?

Answer 4

WWI had been very expensive and the Treaty of Versailles, inflation, and American investors pulling out of Germany only made this worse, making it hard for Britain and France to repay wartime loans to the U.S. and the Soviet Union wouldn’t pay their debts

Question 5

How could governments improve the economy?

Answer 5

Through deficit spending, by John Maynard Keynes, governments could spend more than what they had and stimulate trade

Question 6

President Franklin Roosevelt’s “New Deal”

Answer 6

Using John Maynard Keynes’ ideals, his plan was to bring relief to suffering citizens (unemployed, farmers, minorities, women…), recover from the Depression, and reform to prevent this from happening again through deficit spending

Question 7

Who was impacted by the GD?

Answer 7

It started in industrialized countries but spread to Latin America, Africa, and Asia

Question 8

Impact of unemployment on international trade

Answer 8

Unemployment decreased, leading to a decrease in international trade and instead strict tariffs to try and protect the domestic jobs a nation still had

Question 9

Russian Civil War

Answer 9

Hundreds of thousands of groups of people under Russian rule (ex. Russians and Ukrainians) revolt against the Russian government actions

Question 10

New Economic Plan of Russia

Answer 10

Instituted by Vladimir Lenin, he reintroduced a bit of private trade to help Russia recover by letting farmers sell some of their products

Question 11

Goals of Stalin’s “Five Year Plans”

Answer 11

To industrialize the Soviet Union

Question 12

Collectivization

Answer 12

Taking farmland from private owners to be worked on by collectives (kolkhoz), pieces of land peasants were all forced to work on together.

Question 13

Was Collectivization successful?

Answer 13

No, the seizing and redistribution of private property only enraged farmers in addition to the taking of their crops to send to the cities where life was better so they retaliated by burning crops and killing livestock.

Question 14

Result of Stalin’s Fiver Year Plans

Answer 14

Millions of Soviet citizens died from starvation because the collectivization was a failure but they did industrialize

Question 15

Gulags

Answer 15

Labor camps

Question 16

How the PRI part of Mexico improved the economy

Answer 16

The Mexican Institutional Revolutionary Party improved Mexico’s economy under Lázaro Cárdenas who nationalized PEMEX, a big, formerly foreign-owned oil industry

Question 17

Fascism

Answer 17

An anti-communist, extremely nationalistic form of government that glorifies the military and armed struggle while blaming problems on ethnic minorities, suppressing them, political parties, protests, and independent trade unions.

Question 18

Corporatism

Answer 18

A theory where sectors of the economy, the employers, trade unions, and government officials are all seen as separate organs of the same body. They are free to organize themself as they want as long as they support the whole.

Question 19

Totalitarian State

Answer 19

A state where the government controls all aspects of society

Question 20

How Mussolini’s Propaganda Campaign was an Example of a Totalitarian State

Answer 20

Mussolini intruded on the areas of education, for example, by teaching children with militaristic propaganda about the glory of their nation and leader

Question 21

The bombing of Guernica and how it was immortalized

Answer 21

It was one of the first aerial bombings by (Germany/Italy) targeting civilians. Picasso’s painting Guernica immortalized it.

Question 22

John Maynard Keynes

Answer 22

British economist who rejected laissez-faire economics

Question 23

What two parties was the Spanish Civil War divided between?

Answer 23

The forces of democracy and fascism

Question 24

Hypernationalism

Answer 24

A belief in the superiority of one’s nation over all others leading to a focus on a promotion of only one’s own nation