The effects

The USA stopped lending money abroad and wanted its loans back. By 1930 nearly 2,000 banks had collapsed as people wanted to get their savings. •Three years later there were over 12 millon people unemployed in the USA.

The consequences of the Depression affected all the countries in Europe. The least affected country was the USSR, which had a communist system. In Germany people turned to groups like Hitler´s Nazis who promised a strong government and a better life. In Italy Mussolini wanted to increase the power of Italy abroad. In England, France, etc. people also suffered the crisis.

Japan´s economy was very affected so they decided to take over other countries.