Two crucial influences shaped post-war reconstruction. The first was the US's emergence as the dominant economic of the Soviet Union. It had made huge sacrifices to defeat Nazi Germany and transformed itself from a backwards agricultural country into world power during the very years when the capitalist world was trapped in the Great Depression.

Under the pressure from industrialists and urban dwellers, the British Government abolished the Corn Laws. The effects of it were
(i) Food could be imported into Britain more cheaply than it would be produced within the country.
(ii) British agriculture was unable to compete with imports. Vast Areas of land were left uncultivated and people started migrated to cities or other countries.
(iii) As food prices fell, consumption in Britain rose. Faster industrial growth in Britain also led to higher incomes and therefore more food import.
(iv)  Around the world in Eastern Europe, Russia, America and Australia land were cleared and food production expanded to meet the British demand.

(i) Trade Surplus-Britain had a Trade Surplus with Indian. Britain used this Surplus to balance its trade deficit with other countries.
(ii) Home Charges-Britain's trade Surplus in India also helped to pay the so called home charges that included private remittance home by British officials and traders, interest payments on India's external debt and pensions of British officials in India.
(iii) Major Supplier of cotton-India remained a major supplier of raw cotton to British which was required to feed the cotton textile industry of Britain.
(iv) Supplier if indenture workers-Many indenture workers from Bihar, U.P., central India migrated to other countries to work in mines and plantations.

(i) This reduces the shipping cost and lowered meat prices in Europe.
(ii) The poor in Europe could now consume a more varied diet.
(iii) To the earlier, monotony of Bread and Potatoes many, not all could add meat, butter or egg.
(iv) Better living conditions promoted social peace within the country and support for imperialism abroad.

(i) The international monetary system is the system liking national currencies and monetary system.
(ii) The Briton woods system was based on fixed exchange rates. In this system the national currencies were pegged to the dollar at a fixed exchange rate.
(iii) The Bretton woods system inaugurated an era of unprecedented growth of trade and incomes for the western industrial nations.

(i)Transformation of the world economy: Technology played a major role in all these developments. Railways, steam shipping, telegraph , ect., were important inventions without which it was not possible to imagine the transformation of nineteenth-century world.
(ii) Linking the markets: New investments and improvements in transport faster railways lighter wagons and larger ships helped move food more cheaply and quickly from far away farms to final markets.
(iii) Impact on the meat trade: Till the 1870s, moat from America was shipped to Europe in the form of live animals which were then slaughtered in Europe. But live animals took up a lot of ship space. Many also died in voltage fell ill lost weight or became unfit to eat. So the prices of meat were very high and it was beyond the reacts of the European poor. Due to high price the demand and production meat from one region to another.
(iv) Social peace and imperialism: The refigerated ships reduced shipping cost and lowered meat prices in Europe. The poor Europe could now consume a more varied diet. Better living conditions promoted social peace within the country and support for imperialism abroad.
(v) Colonialism: Technology played very important role in linking the world markets which promoted the sprit of colonialism.

(i) With the fall in prices and the prospect of a depression, the banks also called domestic lending and called back loans.
(ii) Farms were unable to sell their harvests.
(iii) Faced with falling income, many households in the US could not repay what they had borrowed and were forced to give up their homes. cars and other consumer durables.
(iv) Industrial production registered a fail of about 35 per cent.
(v) The number of the unemployed started rising, and in 1933 it touched 17 million. As unemployment soared, people trudged long distances looking for any work they could find. Ultimately, the US banking system itself collapsed.

(i) Many of the indentured labourers escaped into the jungles.
(ii) They started celebrating festivals like Hosay in which both the Hindus and Muslims, who had migrated from India participated.
(iii) Many of the migrants joined or became part of the Rastafarianism, i.e. a religious movement born out of black slums of Jamaica.
(iv) They started creating their own way of enjoyment like Chutney Music. The Chutney Music has been created by Indo-Caribbean people. The Music derives elements from Indian film songs.
(v) They developed a new culture which was a blend of the new culture and the traditional culture of the indentured labourers.

(i) It was the first modern industrial was which involved industrial nations.
(ii) Machine guns, tanks, aircraft, chemical weapons ect., are used on a massive scale.
(iii) Unthinkable death and destruction.
(iv) Most of the people killed and injured were man of working age.
(v) Declined the household income.
(vi) Men were forced to join in the war.
(vii) Women slapped into undertake jobs which they were not used to.