The Interwar Period: New Deal, France, UK, US & Germany

The Interwar Period: A Brief Overview

The New Deal in the United States

The New Deal, favored by President Roosevelt, resonated deeply with the crisis within the capitalist world. These economic and social measures aimed to relaunch production and revive demand. The government's actions broke with traditional state inhibition. Banking was reformed, strengthening public authority control and improving client protection. Guaranteed prices were ensured for farmers, and collective agreements and minimum wage reductions were implemented for workers. Public investment in major projects was also boosted.

The New Deal imposed laws eliminating unfair situations and created the first federal system of unemployment insurance and pensions, along with minimum wage and maximum work hours. While it significantly improved the economic situation, the end of the crisis in the U.S. ultimately came with World War II and the revival of demand that the conflict generated.

France's Post-War Situation

France faced huge material and human costs from the war, having been Germany's main opponent. The country was less affected by the crisis of 1929.

The United Kingdom in the Interwar Years

The interwar period in the UK was characterized by persistent unemployment, changes in the party system, and the stability of democracy. A considerable increase in unemployment was exacerbated by the effects of the economic crisis of 1929. In 1922, the Irish Free State was finally recognized.

The United States: Economic Power and Crisis

The period between 1920 and 1933 in the United States was marked by political conservatism, international isolation, and spectacular economic development, which ended with the 1929 crisis. The United States emerged from World War I as the undisputed world economic power.

Germany's Challenges

Germany had to cope with a double opposition. On one side, the Spartacus League promoted a Bolshevik-style revolution, which was crushed, and its top leaders were killed. On the other side, the right also opposed the Republic, accusing the Democratic administrations of being traitors for accepting the Treaty of Versailles.