Affects On The United States

Due to the fact the America was a national creditor to the rest of the world, concerns arose over the stock market in the U.S. There were a lot of countries that owed money to the United States yet money was still being sent overseas. In 1928 the Young Plan was put in place which limited reparations to other countries, but it was too late. The Great Depression had begun and Hoover declared that all countries must pay their debts back to the United States, but none paid. America began to get frustrated and passed the Johnson Act that stopped sending loans to countries that did not pay the loans back. It did not help the United States economy at all. Millions of Americans had no money and 25% were left unemployed. The Depression went on through the 1930s and ultimately did not end until World War II.