Which of the following correctly examines how the aftermath of World War I created economic ties between the United States and Europe that ultimately made the Great Depression a global problem?(1 point)
Responses

After the destruction of World War I, the U.S. government lent money to European countries that needed to rebuild.
After the destruction of World War I, the U.S. government lent money to European countries that needed to rebuild.

The Treaty of Versailles established a strong economic relationship between the U.S. and Europe.
The Treaty of Versailles established a strong economic relationship between the U.S. and Europe.

Because the U.S. joined the League of Nations, the U.S. and Europe were economically linked.
Because the U.S. joined the League of Nations, the U.S. and Europe were economically linked.

The Smoot-Hawley Act lent money to European nations after WWI to rebuild communities damaged during the war.
The aftermath of World War I indeed led to complex financial relationships between the United States and Europe, which contributed to the global impact of the Great Depression. Here's a closer look at the options provided to understand which statement best represents this link:
1. **After the destruction of World War I, the U.S. government lent money to European countries that needed to rebuild.**
This statement is accurate. The destruction caused by World War I left many European countries in dire need of financial assistance to rebuild their economies. The United States, having emerged from the war relatively unscathed economically, was in a position to provide loans to these countries. This financial aid took the form of government loans and private credits. The debt interdependency between the U.S. and Europe meant that when the U.S. economy collapsed during the Great Depression, the economic repercussions were felt globally.
2. **The Treaty of Versailles established a strong economic relationship between the U.S. and Europe.**
While the Treaty of Versailles did outline the political and territorial agreements after World War I, including reparations to be paid by Germany to the allied powers, it is not the document that directly established an economic relationship or reliance between the U.S. and Europe. The economic ties were more the result of subsequent loans and financial aid, rather than the treaty itself.
3. **Because the U.S. joined the League of Nations, the U.S. and Europe were economically linked.**
This statement is incorrect. The United States never actually joined the League of Nations due to isolationist sentiment and opposition within the U.S. Senate. Therefore, U.S. membership in the League of Nations could not have formed an economic linkage to Europe.
4. **The Smoot-Hawley Act lent money to European nations after WWI to rebuild communities damaged during the war.**
This statement is incorrect. The Smoot-Hawley Tariff Act, enacted in 1930, was legislation that raised tariffs on thousands of imported goods. The Act did not involve lending money to European nations. Instead, it had detrimental effects on international trade, exacerbating the Great Depression both in the U.S. and abroad.
Based on the above analysis, the most accurate statement regarding how the aftermath of World War I created economic ties between the United States and Europe that ultimately made the Great Depression a global problem is the first one: "After the destruction of World War I, the U.S. government lent money to European countries that needed to rebuild."