Following World War l

A) Europe soon plunged into an economic depression.
B) Germany was exempt from paying war damages to other European powers.
C) The United States set about to rebuild Europe economically and establish strong military alliances.
D) Germany and Italy established long-lasting democratic republics during the decade following World War l

The correct option is A) Europe soon plunged into an economic depression.

Explanation:

World War I was a major conflict and one of the first occuring in the 20th century that consisted the use of automatic machinary at such a large scale.

The War plunged most European powers into a global conflict which included their vast colonies. By the end of the conflict major Empires such as the Ottomans and the Austro-Hungarian Empire ceased to exit.

While there were winners in the War, most European countries were not able to coupe with the huge economic loss and for the many years following, entered into a prolonged recession.

when a country suffers, for example, a drought period, the market product is affected for a low offer, in this case, potatoes; the government has to tax to the households, which have to give more money for the potatoes which they consume, that situation make them consume substitute goods even through loans, it could increase the financial market movement and the inflationary phenomena, the business has to increase salaries in order to the employees could buy a more expensive food (potatoes) and in order to inflation tha business had to buy expensive supplies in the factor market, while the rest of the world have to gain more money to consume the same amount of potatoes.