What Is The Biggest Change In The 1930s?

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During the 1930’s the Soviet Union was going through economical and military changes. Civilians were living through some hardships both physically, emotionally and mentally. Many of this could be looked at by how the leadership was dealing with the economy. World War I was started before the assassination of Franz Ferdinand in Sarajevo in 1914 but this is what perpetuated it to start. How did the poor leadership from the government officials weaken the country economically and militarily? The Great Depression started in early 1929 and came to full fruition by the 1930’s after the American banking system collapsed. The agricultural sector and the decline in prices brought on fear and anxiety that people were experiencing. Citizens started to withdraw their money from the banking systems; this made the banks increase their reserves which made the stock of money…show more content…
World trade and imports drastically declined and the economic turmoil hit world wide. The gold standard is “ a monetary standard under which the basic unit of currency is defined by a stated quantity of gold and which is usually characterized by the coinage and circulation of gold, unrestricted convertibility of other money into gold, and the free export and import of gold for settling of international obligations.” Having the knowledge of what the gold standard is you can see the potential downfall that the value of gold had towards the world trade value. The gold standard belief of the central banks was that they were to supply the banks with gold above other priorities. If a country was loosing gold because of the impact of the exports and the imports were not keeping up, the central bank was supposed to raise interest rates to protect the gold reserve. Many countries who received gold should have lowered their rates, but they didn’t because they were nervous it would put their gold at
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