Effects of War

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How did America's economic standing in the world change after World War I?

America became a creditor nation. European countries bought American goods and borrowed money from American banks.

What did the election of Warren G. Harding imply for America's position in world affairs?

America's presence in world affairs would decrease

What events in the United States during the Red Scare convinced Americans that communists posed a threat to America?

Authorities discovered bombs mailed to important industrialists and government officials.

How was trade between America and European countries affected by the war?

British and French demands for American goods created an immense trade imbalance.

How were farmers and industrial workers impacted by the postwar economy?

Falling prices for agricultural goods and rising prices for manufactured goods made life harder for both groups. Farmers found it hard to pay their mortgages, while industrial workers were not able to buy as much as they had been able to during the war.

Why was there a decrease in the number of women and African Americans in the workforce following the war?

Returning troops reentered the labor market. Once soldiers returned from the war, the jobs that had been held by women and African Americans were given to them.

What led to the Red Scare in the United States?

Revolutionary activity abroad, coupled with strikes across the United States, prompted the first American Red Scare.

How did the change in trade affect the United States' economic standing?

The United States became the largest creditor nation in the world meaning that other countries owed the United States more money than the United States owed them.

Why It Matters

The end of World War I produced an unstable international order. The loss of territory and harsh reparations imposed by the Allies encouraged a strong desire for revenge in Germany. Meanwhile, Lenin's Soviet Russia threatened revolution throughout the industrial world. In the United States, the horrors of war and a widespread fear of communists and radicals led Americans to question their political, if not their economic, role in the world.

What was the significance of the executions of Nicola Sacco and Bartolomeo Vanzetti?

Their conviction was based on their politics and their ethnicity. Sacco and Vanzetti were Italian immigrants and known anarchists. They were charged with shooting and killing two men during a holdup.

Why did inflation occur after the war?

a low supply of goods and a widespread demand caused inflation

What was the effect of the influenza virus that developed in the United States in 1918?

he virus spread around the world and killed millions of people. Many historians now believe that the virus originated in the United States and then traveled around the world. Once the virus began, it spread like a wildfire and killed millions.

What were some of the main causes of the Red Scare?

revolutionary activity in Eastern Europe along with strikes across the United States Communist leader Vladimir Lenin encouraged revolutions outside of Russia. Revolts in Eastern Europe and the outbreak of strikes in the United States sparked widespread fear.

In response to which event was the American Civil Liberties Union (ACLU) founded?

the Palmer Raids The ACLU was formed to protect the freedoms that some thought were threatened by the Palmer Raids.

What caused the Red Scare?

the perceived threat of communism Vladimir Lenin encouraged the spread of communism worldwide. Americans' fear increased as violent radicals exploded bombs in some U.S. cities.

What was the purpose of the Palmer Raids?

to arrest people who were thought to be radicals As the leading law-enforcement official, A. Mitchell Palmer mounted a broad offensive, known as the Palmer Raids, against radicals in the United States.


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