After the war ended, the global economy began to decline. In the United States, 1918–1919 saw a modest economic retreat, but the second part of 1919 saw a mild recovery. A more severe recession hit the United States in 1920 and 1921, when the global economy fell very sharply.

What led to new problems in years after World War I? United States did not join League of Nations. Germany owed 132 billion german marks for reparations. French sent army to Germany when they could not pay.

After the Treaty of Versailles called for punishing reparations, economic collapse and another world war thwarted Germany’s ability to pay. After the Treaty of Versailles called for punishing reparations, economic collapse and another world war thwarted Germany’s ability to pay.

Instability was from the Treaty of Versailles left many countries bitter for they did not get fully compensated for the war. Germany, especially, experienced economic and political issues bc they had to be a republic and pay billions in reparations.

Many nations owed huge debts because they had borrowed heavily to pay for the war. Economic problems fed social unrest and made radical ideas more popular. The peace settlements dissatisfied many Europeans, especially in Germany and Eastern Europe. Europe lacked strong leaders just when they were most needed.

The depression was caused by a number of serious weaknesses in the economy. The lingering effects of World War I (1914-1918) caused economic problems in many countries, as Europe struggled to pay war debts and reparations. These problems contributed to the crisis that began the Great Depression.

The Depression of 1920–1921 was a sharp deflationary recession in the United States, United Kingdom and other countries, beginning 14 months after the end of World War I. It lasted from January 1920 to July 1921.

The Great Depression started in the United States after a major fall in stock prices that began around September 4, 1929, and became worldwide news with the stock market crash of October 29, 1929, (known as Black Tuesday). Between 1929 and 1932, worldwide gross domestic product (GDP) fell by an estimated 15%.

Under the terms of the right of rescission period for a refinance, the borrower has three business days after signing loan documents and receiving the Closing Disclosure document to cancel, or rescind, the mortgage. You can use the three day waiting period to resolve these issues or potentially cancel your refinance.