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Great Depression and Post War Europe
Totalitarian in Europe
History’s definition
• A dictator is some one who gains power/control of a country through military force
• A dictator runs the country with an authoritarian government
• This type of government is generally viewed as a negative in society
• A person trying to takeover a society usually needs certain elements in order to be successful…
Rise of Dictator’s 1900’s
Life after WWI
Rise of Dictators
How a Society falls to an authoritarian government
Before The Great Depression
• After WWI, the world was making a shaky recovery, leaving many “weak spots” across the globe
• During the war, economies got a boost because of the need for war production
Causes of the Depression
1. Over production:
• The production of goods exceeds the demand
• During the war more production was needed
After the war, production continued at the increased “war” rate
Causes of the Depression
2. Failure of the American Banks
• Prices of the stock crashed, (everyone selling + no one buying = lower the price =INFLATION!) = HYPERINFLATION! (OUT OF CONTROL)
#2, American Banks Continued:Banks bottom out!!!!
• Not enough people paying back loans, banks need money:
• Ask countries who owe U.S. $$ to pay back their loan
They can’t.
• Factories closed. No jobs, no money, no rent, no food BIG PROBLEM!!!
The Depression Hits!
• Two important things to remember:
1. People of Europe( Germany /Italy esp.) are already upset with their government
2. The depression increases public anger toward government- when bad things happen, you need someone to blame, (scapegoat).
Depression and Germany
• Economy hurting: war debt and reparations
• German gov. (Weimar Republic) printed more money with out gold to back it….
• Extra money in circulation makes it less valuable = raise in product prices/ hyperinflation
• Example of hyperinflation in Germany: a cup of coffee used to cost 0.05 marks, 1930’s it now costs 5 million marks
Economy Theories
Before the 1920’s-
• overall, people supported laissez faire economics, (Adam Smith )
• No government regulation- let economy fluctuate and fix by itself.
• Money was spent without gold to back it up
Keynesian Economics
• Maynard Keynes- new thinker, c. 1919, England. Went to Peace negotiations after WWI
• Protested Treaty of Versailles, “inequitable economic provisions”
• Impossible for Germans to pay the reparations- vindictive
• Predicted German economic troubles, and its effect on the world
Keynesian Economics
• Maynard promoted government funding public projects
This would increase employment = stimulate economy
• Keynesian Economics is having an involved government NO MORE LASSEZ FAIRE! Especially during economic hard times
Depression and Germany
• Massive unemployment, starvation, civil unrest• VERY angry with Weimar Republic, (they are responsible for
Germany’s end in WWII)1. Unhappy in society2. Bitter over Treaty of Versailles, Weimar Republic signed it- War guilt clause- 30+ billion in reparations1. Power Vacuum: power vacuum can quickly become a dangerous
situation. It is a political term used to describe a vacancy or weakness in the power structure of a nation or region. The danger is that a group that does not have the country or region’s best interests in mind may fill the power vacuum before an appropriate new government can be installed.
Depression and Italy
• Italy angry with the Treaty of Versailles because it did not get all the land promised by Allies
• Peasants partly inspired by revolutions in Russia- seized lands, factory workers strike
• Increased taxes• Less trade• Government spilt and argued with itself
Tie it all together
• WWI: People all over the globe are unhappy, and trying to place blame, (Russian Revolutions…)
• Many bitter over Versailles • Economy Hurt all over the globe• US Economy crashes, (world power can’t help
weaker nations)• Depression spreads, fuels anger, ESPESICALY
IN COUNTRIES LIKE GERMANY AND ITALY…
The Stage is Set: Welcome Dictators!
Why did these men get power?
1. Russia: in a series of revolutions, not a lot of money, people unhappy with government: Enter Stalin
2. Italy: suffering from economic failures, upset with results of WWI, angry at government: Enter Mussolini
3. Germany: hurt the most by WWI and the Treaty of Versailles, very angry with government, hurt most by great depression, NOOO MONEY in the country: Enter Hitler
Your Job:
• With a partner: Look at the images on the Power point and write down for each:
1. What you see in the picture: • What emotions are conveyed through the photo?• How does the photo make you feel?• How is the photo an example of what was happening
during the depression?2. In your own words, describe what life was like during the
1930’s depression in Europe. How do you think this lead to a dictator coming to power in European countries?