The Great Depression led to loan repayment demands on European nations by the United States due to the aftermath of World War I, causing severe economic turmoil and extensive unemployment.
During the Great Depression, the United States demanded repayment of loans it made to European nations for industrial development as a result of the financial mess left by World War I.
Germany, experiencing great suffering during this time due to war reparations, could not meet the repayment demands, leading to severe economic consequences such as mass unemployment.
This economic downturn, lasting from 1929 to 1933, caused a significant reduction in GDP, high unemployment rates, and a decline in prices, marking one of the most challenging periods in U.S. economic history.
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