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LEAGUE OF NATIONS: EFFECTS OF GREAT DEPRESSION

The Great Depression that began in 1929 severely impacted the League of Nations' effectiveness as global trade declined and unemployment soared, particularly in the USA and Germany. Countries became reluctant to impose economic sanctions due to the shrinking world markets, while extremist parties like the Nazis gained power amidst the crisis. Additionally, the economic strain pressured governments to reduce military spending, leaving the League ill-equipped to address aggression from nations like Japan and Italy.

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CONTENT LEAGUE OF NATIONS GREAT DEPRESSION MAKING THE LON WORK DIFFICULT 5
CAMBRIDGE IGCSE – LEAGUE OF NATIONS – MR. D THE EFFECTS OF THE GREAT DEPRESSION In 1929 the Wall Street Crash in the USA started an economic depression in the entire world. Millions of people were thrown out of work. This made the League’s work harder in many ways.
CAMBRIDGE IGCSE – LEAGUE OF NATIONS – MR. D TRADE BETWEEN COUNTRIES DECLINED Countries like the USA were increasing tariffs on imports from outside to protect their own industries and jobs. This measure damaged their economic and diplomatic relations with these countries.
CAMBRIDGE IGCSE – LEAGUE OF NATIONS – MR. D UNEMPLOYMENT WAS THE BIGGEST PROBLEM Every country in the capitalist world was affected, especially USA. The unemployment levels were huge in Germany too, peaking 33% of the workforce (6 million) in 1932.
CAMBRIDGE IGCSE – LEAGUE OF NATIONS – MR. D REDUCED INCLINATION FOR ECONOMIC SANCTIONS The Depression reduced inclination of League members to impose economic sanctions. World markets were shrinking and all countries wanted to maintain their existing trade contacts.
CAMBRIDGE IGCSE – LEAGUE OF NATIONS – MR. D BROUGHT EXTREMISTS IN POWER IN GERMANY The Nazis were committed to destroying Versailles Settlement. Before the Wall Street Crash the Nazis were a fringe party polling less than 3% of the vote. As the recession deepened so the Nazis picked up support.
CAMBRIDGE IGCSE – LEAGUE OF NATIONS – MR. D ENCOURAGED MILITARISM IN JAPAN The Japanese army appreciated how Japan’s survival depended upon its overseas trade and, in 1931, decided to take the law into its own hands.
CAMBRIDGE IGCSE – LEAGUE OF NATIONS – MR. D PUT PRESSURE ON GOVERNMENTS The Depression put pressure on governments to cut expenditure to balance the books. Serious rearmament had to be delayed. As a result League members lacked the military means to deal with aggressors.
CAMBRIDGE IGCSE – LEAGUE OF NATIONS – MR. D PUT PRESSURE ON COUNTRIES The Depression put pressure on countries to find new markets and sources of raw materials. One way this could be done was through colonisation or the annexation of new territories, such as Manchuria (Japan) or Abyssinia (Italy).