How Did The Treaty Of Versailles Affect Germany In The 1930s

The agreement of Versailles was phenomenally striking to Germany since the German economy crackled by the crisis of the Wall Street Crash in the United States. The American economy was doing extremely well which caused more buyers than sellers at the beginning. It was easy to become rich, anyone could buy shares, and have to increase their values because of their success and continue doing so. By 1929 there was twenty million out of the population of one hundred twenty million were shareowners. As prices increased more and more, the number of sellers increased as well. Prices stopped rising, they will be left with more sellers than buyers- the whole structure that had been created was bound to fall apart. The Wall Street crash was the collapse …show more content…
Once countries started suffering from unemployment, countries stopped getting involved sorting out international disputes in order to focus in the economic problems in their homeland. The United States was unwilling to support economic sanctions as well. In Italy, economic problems encouraged Mussolini to try to build an overseas empire to distract people’s attention away from the difficulties; In Japan depression threatened a complete collapse of the country’s industry and led the Japanese to take over a part in China, Manchuria in 1931 to 1933. Germany happened to be affected quickly and harshly. The United States loans were pushing them over into what seemed like financial security so they can be in a position to pay back reparations. All of the loans America had given to Germany were asked to be repaid because of loss of money in the American banks. As more and more workers were being laid off in Germany, the faster they fell into depression, which happened rapidly. One third of all German workers were unemployed, the depression was affecting all classes. In September 1930, 3,000,000 people were