How do countries benefit from war?
Heightened military spending during conflict does create employment, additional economic activity and contributes to the development of new technologies which can then filter through into other industries. These are some of the often discussed positive benefits of heightened government spending on military outlays.
How do wars affect the economy?
Putting aside the very real human cost, war has also serious economic costs – loss of buildings, infrastructure, a decline in the working population, uncertainty, rise in debt and disruption to normal economic activity.
How did World War 1 affect the society?
The First World War destroyed empires, created numerous new nation-states, encouraged independence movements in Europe’s colonies, forced the United States to become a world power and led directly to Soviet communism and the rise of Hitler.
How much debt did Germany have after ww1?
The Treaty of Versailles didn’t just blame Germany for the war—it demanded financial restitution for the whole thing, to the tune of 132 billion gold marks, or about $269 billion today.
What happened after ww1 Russia?
After the revolution, Russia exited World War I by signing a peace treaty with Germany called the Treaty of Brest-Litovsk. The new government took control of all industry and moved the Russian economy from a rural one to an industrial one. It also seized farmland from landholders and distributed it among the peasants.
How did ww2 affect the Great Depression?
World War II institutionalized the falling standards of living of the Depression through wage and price controls, and extensive rationing of consumer goods and services. The economic deprivation, and reduced standards of living, continued, although people perceived it was now for a good cause.
Why did Italy fail in ww2?
Mussolini chose generals who were from rich or powerful families not competent ones. And despite Mussolini’s claims a lot of equipment was outdated and there wasn’t enough material available in 1939. It was so bad Italy stayed out of the war until 1940 in hopes of producing and importing enough supplies.