August 6, 2024 | Peter Kinney

How The Great Depression Sent Shockwaves Around The World


The Great Depression Changed Everything

During the Great Depression, the world economy fell and significant cultural changes took place, characterized by the emergence of totalitarian governments. As individuals battled the terrible consequences of economic difficulties and sought fresh answers to their problems, this era brought about radical changes that completely transformed our world.

Great Depression Collage V3

1. The Prelude To Crisis

The 1920s were a period of careless optimism, coming on the heels of World War I. Endless parties and wealth had people dancing and spending. True, there were those who sensed something developing behind the scenes but had no notion that a catastrophic economic crisis would soon sweep over the globe.

Returning From World War ILibrary of Congress, Wikimedia Commons

2. Gustaf Stresemann's Warning

German leader Gustaf Stresemann cautioned before his death that although their economy appeared to be strong on the surface, it was like dancing on a volcano. If America cut off loans, political and economic chaos would happen. This presented Hitler with the ideal chance to gain power.

Gustav Stresemann 2Nobel Foundation, Wikimedia Commons

3. The Rise Of Extreme Leaders

Stresemann was right. And Germany kept changing leaders until Hitler was appointed. When everything started falling apart in other countries, people began feeling the need to support decisive leaders who ruled in the styles of communist dictatorships and fascist regimes.

Adolf Hitler RetouchedBundesarchiv, Bild, CC-BY-SA 3.0, CC BY-SA 3.0 DE, Wikimedia Commons

4. Russia's Industrialization

Although Russia was not directly impacted by the collapse of the US stock market, Communist leader Joseph Stalin regarded it as the ideal opportunity to convert millions of farmers into manufacturing laborers. This provided the industrialization and war equipment he needed for his forthcoming revolution. Another nation witnessing significant political transformation was Italy.

Stalincropped1943Franklin D. Roosevelt Library Public Domain Photographs, Wikimedia Commons

5. Italy's Fascist Alignment

In Italy, Mussolini's government concocted an agreement with the Catholic Church, giving tremendous power to the Vatican and making the state fascist. In a referendum on March 24th, more than eight and a half million Italians voted in support of the regime. Interestingly, this occurred just as Britain was giving its people more independence.

Saint Peter's Basilica facade, Rome, ItalyJebulon, CC0, Wikimedia Commons

6. British Elections And Unemployment

In 1929, Britain had an election where one party promised to solve unemployment. They called it the "Flapper Election" because all women over 21 could vote for the first time. Although these leaders made big promises, they couldn't repair the failing economy. Meanwhile, tensions were running high in the British colony of India.

Annie Kenney and Christabel Pankhurst on voteUnknown Author, Wikimedia Commons

7. Gandhi Pushed For India's Independence

Amid the Depression, the Indian National Congress wanted a better future for its people–one free of British rule. Gandhi pushed for immediate independence by organizing non-violent resistance–a brilliant novel idea that inspires many to this day. Would this bold move impact other nations?

Gandhi in LondonUnknown Author, Wikimedia Commons

8. Political Instability In Britain

British Prime Minister Ramsay MacDonald started making confusing speeches, which made it clear he was suffering from dementia. Similar to having a teacher who was no longer able to provide clear explanations, this situation led to increased confusion and uncertainty. Other countries were also in unreliable hands.

Ramsay MacDonald by Solomon Joseph SolomonSolomon Joseph Solomon, Wikimedia Commons

9. Spain's Political Shift

Spain was in the process of changing from a dictatorship to a republic. This was the equivalent of a corporation changing CEOs every year – it was that unstable. One aging dictator even joked that if he had known he would be governing the country, he would have studied more and partied less.

First Spanish RepublicTomás Padró Pedret, Wikimedia Commons

10. Rise Of The Nazis

The Nazis were slowly gaining power in Germany by promising to solve the country's many problems. Instead of sticking to anti-Jewish messages, they began convincing people that the current democratic government was the problem. People's belief in such promises fueled the rise of authoritarian leaders like Hitler.

Charles Lindbergh factsWikipedia

11. Authoritarianism Is 'In'

Power-hungry leaders like Stalin and Mussolini rose up with promises that they could bring back prosperity. People were desperate for solutions and agreed to live by these leaders' strict rules. The difficult times made people feel the need for a strong hand to guide them.

Naples Unknown Author, Wikimedia Commons

12. Stalin's Totalitarian Control

Although Stalin's policies in Russia led to terrible suffering, his new plans created tremendous industrial growth. People had little freedom and were forced to work in factories, but they still supported Stalin. World leaders were becoming afraid that communism would spread to other countries.

StalinUnknown Author, Wikimedia Commons

13. Film As Propaganda

Fascist leaders like Mussolini and Hitler were the pioneers of using films to spread their ideas. This was similar to modern leaders who first started using social media videos to promote their messages and gain followers. In Germany, it worked like magic.

Triumph des WillensErich Ludwig Stahl (1887–1943), Wikimedia Commons

14. Nazi Electoral Success

The Nazis shocked everyone by winning the elections when the primary vote swung from the center parties to the right wing. Many panicked, and about half of Germany's currency reserves were immediately pulled out of the country.

Bundesarchiv BildBundesarchiv, Bild 146-1982-159-21A / CC-BY-SA 3.0, CC BY-SA 3.0 DE, Wikimedia Commons

15. Censorship And Control

When the Hollywood film All Quiet on the Western Front premiered in Berlin, the Nazis in the audience played dirty barely 10 minutes after it started. They let white mice loose in the theater, set off stink bombs, and spread itching powder. It was just the beginning of censorship and control over what people saw and heard.

Anti-Censorship Cartoon Film MercuryJ.P. Cathony, Wikimedia Commons

16. International Reactions To Censorship

Even in Hollywood, some people thought it might be wise to ban certain movies. They feared anti-war films would make young people weak and disloyal. This showed just how powerful the Nazis' ideas were becoming globally. But ideas were not the only thing spreading.

Hollywood-Studios-1922Unknown Author, Wikimedia Commons

17. Economic Depression Spreads

The Great Depression spread from America to other countries–bringing misery to people around the world. Streets were filled with desperados selling matches and loose cigarettes, people shining shoes for pennies, rag pickers, bag carriers—anything to make a bit of money.

Bundesarchiv Bild 102-11008, Hamburg, Arbeitslose Hafenarbeiter im HafenviertelBundesarchiv, Bild, CC-BY-SA 3.0, CC BY-SA 3.0 DE, Wikimedia Commons

18. Liberalism Under Attack

The terrible hardships of the economic crisis caused people to question whether their governments were at fault. Perhaps the old ways weren't working anymore. Political instability was rampant across Europe, leading to frequent leadership changes–like musical chairs with severe repercussions.

Unemployed men queued outside a depression soup kitchen National Archives at College Park, Wikimedia Commons

19. Art And Culture Reflected The Tough Times

The Great Depression had a tremendous impact on art and culture. Artists, writers, and filmmakers everywhere used their work as a way to express the era's harsh realities. This period produced many famous pieces of art and literature that inspire us to this day. But things would only get tougher.

Bank of the United States failure NYWTSWorld Telegram staff photographer, Wikimedia Commons

20. Unemployment Soared

One in four American workers was out of work by 1933. People got together to support each other and convinced local communities to open breadlines and soup kitchens wherever possible. The banks were crumbling, too.

Row of unemployedNationaal Archief, Wikimedia Commons

21. Banks Failed Under Pressure

Banks worldwide couldn't hold up under the economic strain, and many collapsed. People everywhere lost their life savings and also lost their trust in the banks. The entire financial system was exposed as being too fragile and global trade began to suffer.

American Union BankNational Archives Photo, Wikimedia Commons

22. Global Trade Networks Broke Down

US President Hoover issued the Smoot-Hawley Tariff, which was supposed to protect US jobs but ended up sparking a global trade war. International trade collapsed, making things even worse. There were other consequences that no one really anticipated.

Smoot And HawleyNational Photo Company, Wikimedia Commons

23. Politics Changed Worldwide

Political shifts were happening everywhere because people looked to their leaders for radical solutions. Totalitarian regimes were taking over, changing the global landscape, and democratic institutions were failing. The power struggles were just beginning.

Mussolini And HitlerUnidentified photographer, Wikimedia Commons

24. Japan Began Its Aggressive Expansion

In 1931, Japan invaded Manchuria, marking the start of its military expansion in Asia. This aggressive move rocked the region and set the stage for future conflicts. The invasion was a sign of Japan's growing ambitions and changing attitudes.

Japanese soldiers taking an offensive postureUnknown photographer, Wikimedia Commons

25. Social Safety Nets Were Lacking

During the Great Depression, many countries didn't have the social safety nets we count on today. Without unemployment benefits or welfare programs, millions of people were left without support. Money and food became a problem, especially when the dust storms hit US farmers.

Dust Storm Approaching StratfordGeorge Everett Marsh Jr., Wikimedia Commons

26. The Dust Bowl Made Things Worse In America

In the 1930s, dust storms swarmed the American Midwest, turning farmland into wastelands. This environmental disaster made the economic hardship even worse. Thousands of families became "dust refugees" looking for better lives elsewhere. At least one good thing came out of the Dust Bowl.

Farmer Walking In Dust Storm Cimarron CountyArthur Rothstein, Wikimedia Commons

27. Environmental Conservation Gained Attention

The environmental impact of the Dust Bowl and other ecological issues during the Great Depression brought awareness to the idea of conservation. This started movements to protect natural resources and prevent further degradation. When people get together, they can make big changes, as was seen socially.

Arthur Rothstein, Wikimedia CommonsArthur Rothstein, Wikimedia Commons

28 Social Unrest Grew Everywhere

Economic hardship led to social uprisings in many countries. Strikes, protests, and riots became common as people demanded better conditions from their leaders. This set the stage for significant changes in how governments were handling the situation.

Unemployed single women in New York demonstrate for public works jobs. Some placards read Everett Collection, Shutterstock

29. The New Deal Aimed To Fix America's Economy

US President Franklin D. Roosevelt's New Deal introduced programs and reforms to revive the US economy. It was aimed to create jobs and restore public confidence. This marked a major shift in how governments helped their people in times of hardship.

Signing Of The Social Security ActSocial Security Online, Wikimedia Commons

30. Psychological Impacts Were Deep And Lasting

The Great Depression left lasting psychological scars. The loss of jobs, homes, and savings led to widespread anxiety and despair. People learned to be cautious with money. But they also began to demand more money for their work. It was the start of labor unions.

Lange-Migrantmother02Dorothea Lange, Wikimedia Commons

31. Labor Movements Gained Strength

The economic crisis sparked and energized labor movements around the world. Workers organized strikes for better wages and conditions. The New Deal supported labor rights in the US, but a new type of worker was coming onto the scene.

the Great Depression, 1935-38Everett Collection, Shutterstock

32. Women's Roles Changed During The Depression

As men lost jobs, women increasingly entered the workforce to support their families. This shift challenged traditional gender roles and broadened the scope for future advances in women's rights. Working together was the new name of the game.

Womanfactory1940SHoward R. Hollem, Wikimedia Commons

33. The Entertainment Industry Thrived As An Escape

Despite the hardships, the entertainment industry absolutely flourished. Movies and radio gave people the distractions they needed from daily struggles. Hollywood's Golden Age began at this time, spreading hope and laughter. How did schools adapt to the Depression?

Clark Gable And Vivien LeighMGM, Wikimedia Commons

34. Education Systems Faced Cuts And Closures

Schools and universities struggled when their funding was cut. Many students dropped out to support their families, making things worse for the education system. The need for reform became clear, and the government stepped in to update the curriculum and set up vocational programs.

Overcrowded School Room In Fayetteville North CarolinaFarm Security Administration, Wikimedia Commons

35. Agricultural Practices Evolved

Farmers had to adapt to survive the economic and environmental challenges. New farming techniques and government aid helped some of them recover. Innovations emerged from necessity. With more industrialization, family farms didn't need as much work, and more people found jobs in factories. However, food was still a problem.

Texas tenant farmers Everett Collection, Shutterstock

36. Global Health Crises Compounded Economic Woes

The Great Depression worsened public health issues. Malnutrition and lack of medical care became widespread problems. Across the world, countries had limited resources and struggled to get food and medicine to their people. Public health and medical services were established, and a volunteering spirit encouraged people to help their fellow citizens.

Depression era slums in Washington D.CEverett Collection, Shutterstock

37. Technological Innovation Continued Despite Hardships

Necessity encouraged technological advancements that helped 'make do with less.' Innovations were introduced in different fields as people looked for solutions to their problems. Creativity thrived under pressure. One such area was architecture.

Nara Empire State BuildingNational Archives and Records Administration, Wikimedia Commons

38. The Depression Influenced Global Architecture

Architecture was another area affected by budget cuts, helping shift its focus from beauty to functionality. That was the beginning of modernist and minimalist designs that emphasized simplicity and practicality. Meanwhile, international relations were anything but simple.

Administration Building Of The Arthurdale Planned CommunityCarol M. Highsmith, Wikimedia Commons

39. International Relations Grew More Tense

The era's economic instability contributed to rising tensions between countries. The world saw trade disputes, competition for resources, and plenty of diplomatic conflicts. The strain was palpable. There is no doubt much of this strain contributed to the start of the next World War.

Hunger Marchers demonstrate in Washington DCEverett Collection, Shutterstock

40. Financial Markets Were Restructured

The financial collapse led to many fundamental changes in banking and investment regulations. Governments introduced reforms to prevent future crises and stabilize their economy. New rules were put in place for how money was handled.

The witnesses and Senators at the Senate Banking and Currency Committee hearing. May 26, 1933.Everett Collection, Shutterstock

41. Global Communication Networks Evolved

The Depression highlighted the need for better communication and information sharing between nations. Technological advances from that period included international radio broadcasts, the telegraph, telephone networks, airmail, news wire services, and radar. All of these helped connect people.

Bronze sculpture of a man listening to the 1930s valve radio.Koshy Koshym, Wikimedia Commons

42. The Depression Birthed A Sense Of Community

Despite the hardships, people came together to support one another. Community organizations and mutual aid societies popped up to help people in need. Solidarity was key. The Salvation Army, YMCA, the Rotary and Lions clubs, and the Community Chest are perfect examples of that volunteering spirit.

Five thousand school teachers demonstrate in downtown ChicagoEverett Collection, Shutterstock

43. Literature Captured The Spirit Of The Era

Writers chronicled the Great Depression with powerful stories that highlighted the resilience and struggles of ordinary people. These stories offered a legacy of reflection and hope. Novels like Gone with the Wind, The Good Earth, Of Mice and Men, and Brave New World are still inspiring people today.

Margaret Mitchell NYWTSAl Aumuller, Wikimedia Commons

44. The Depression's Legacy Continues To Influence Us

The lessons learned from the Great Depression continue to shape our economic policies and social programs today. The era changed how people and governments around the world approach financial stability and social welfare. History can offer a lot of wisdom in how we address the future.

Statues depicting the Great DepressionNigel Jarvis, Shutterstock


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