What were some of the economic problems facing the world powers in the 1920s? Specifically, what factors led to the crash of 1929 and the depression that followed?

What were some of the economic problems facing the world powers in the 1920s. Specifically, what factors led to the crash of 1929 and the depression that followed is given below

Explanation:

Global Depression

The crash of the U.S. stock market on Black Thursday, 24 October 1929, brought an end to the  economic recovery that had marked much of the 1920s. Profound economic problems had existed  beneath the surface for years leading up to the crash.

Agriculture suffered from overproduction and  falling prices. Many nations were industrially underdeveloped and produced only one type of raw

material, which left them highly susceptible to the boom and bust cycles of the industrial powers.

The  United States, Germany, and the former Allied Nations played a dangerous balancing act involving loans,   investments, and reparations payments. When the dangerously high prices on the stock market collapsed, the entire house of cards collapsed. With the exception of the Soviet Union, which by-and-large removed  itself from the world economy, most of the rest of the world was dragged into the Great Depression.

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