Class 9 Exam  >  Class 9 Questions  >  Question -Describe the three effects of the g... Start Learning for Free
Question -Describe the three effects of the great economic crisis of Germany. Explain.?
Verified Answer
Question -Describe the three effects of the great economic crisis of G...
Economic Depression and its impact on Germany   
1. The years between 1924 and 1928 USA gave short-term loans to Germany. This support was withdrawn when the Wall Street Exchange crashed in 1929 in the USA. 
2. Fearing a fall in prices, people made frantic efforts to sell their shares. On one single day, 24 October, 13 million shares were sold. This was the start of the Great Economic Depression in the USA. 
3. The German economy was the worst hit by the economic crisis. By 1932, industrial production was reduced to 40 per cent, Workers lost their jobs, and number of unemployed touched an unprecedented 6 million. 
4. Germans hung  placards  around  their  necks saying, Willing  to  do  any  work. 
5. Unemployed  youths  took  to criminal activities and total despair became  common place. The middle  classes,  especially  salaried  employees  and  pensioners,  saw their  savings  diminish when  the  currency  lost  its  value.   
This question is part of UPSC exam. View all Class 9 courses
Most Upvoted Answer
Question -Describe the three effects of the great economic crisis of G...
The great economic crisis of Germany, also known as the Great Depression, had significant effects on the country. It began with the Wall Street Crash of 1929 in the United States and quickly spread across the globe, impacting economies worldwide. Germany, being a major industrial power and heavily dependent on foreign trade, was profoundly affected by the crisis.

1. Economic Contraction:
The Great Depression caused a severe economic contraction in Germany. The country experienced a sharp decline in industrial production, leading to widespread unemployment and a sharp decrease in consumer demand. Many businesses were forced to close, resulting in a significant loss of jobs. The unemployment rate skyrocketed, reaching approximately 30% by 1932. This economic downturn had a profound impact on the daily lives of German citizens, causing widespread poverty and hardship.

2. Political Instability:
The economic crisis in Germany contributed to increased political instability. As people struggled to make ends meet, they became disillusioned with the government's ability to address the crisis effectively. This led to a loss of faith in the democratic system, creating an atmosphere ripe for radical political movements. Extremist parties, such as the Nazi Party led by Adolf Hitler, gained popularity by promising to restore economic stability and national pride. The political polarization and rise of these radical ideologies ultimately led to the collapse of democracy in Germany and the rise of the Nazi regime.

3. International Relations:
The economic crisis in Germany also had a significant impact on international relations. As the country faced mounting economic difficulties, it struggled to meet its reparation obligations from World War I. This strained Germany's relationships with other countries, particularly France and the United Kingdom. The inability to pay reparations exacerbated tensions and contributed to a sense of injustice among the German population, further fueling nationalist and extremist sentiments. Additionally, the economic crisis in Germany had a ripple effect on the global economy, as the country was a major trading partner for many nations. The decline in German imports and investments had a negative impact on other countries, exacerbating the economic downturn worldwide.

In conclusion, the great economic crisis of Germany had far-reaching effects. It caused a severe economic contraction, leading to widespread unemployment and poverty. The crisis also contributed to political instability and the rise of radical ideologies, ultimately leading to the collapse of democracy and the ascent of the Nazi regime. Furthermore, it strained Germany's international relations and had a negative impact on the global economy.
Attention Class 9 Students!
To make sure you are not studying endlessly, EduRev has designed Class 9 study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in Class 9.
Explore Courses for Class 9 exam

Similar Class 9 Doubts

Top Courses for Class 9

Question -Describe the three effects of the great economic crisis of Germany. Explain.?
Question Description
Question -Describe the three effects of the great economic crisis of Germany. Explain.? for Class 9 2024 is part of Class 9 preparation. The Question and answers have been prepared according to the Class 9 exam syllabus. Information about Question -Describe the three effects of the great economic crisis of Germany. Explain.? covers all topics & solutions for Class 9 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Question -Describe the three effects of the great economic crisis of Germany. Explain.?.
Solutions for Question -Describe the three effects of the great economic crisis of Germany. Explain.? in English & in Hindi are available as part of our courses for Class 9. Download more important topics, notes, lectures and mock test series for Class 9 Exam by signing up for free.
Here you can find the meaning of Question -Describe the three effects of the great economic crisis of Germany. Explain.? defined & explained in the simplest way possible. Besides giving the explanation of Question -Describe the three effects of the great economic crisis of Germany. Explain.?, a detailed solution for Question -Describe the three effects of the great economic crisis of Germany. Explain.? has been provided alongside types of Question -Describe the three effects of the great economic crisis of Germany. Explain.? theory, EduRev gives you an ample number of questions to practice Question -Describe the three effects of the great economic crisis of Germany. Explain.? tests, examples and also practice Class 9 tests.
Explore Courses for Class 9 exam

Top Courses for Class 9

Explore Courses
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev