The correct answer is B) World War 1.
Economic problems for many countries in Europe in the 1920s and 1930s were mainly caused by World War 1.
After World War 1, many European countries and cities were completely destroyed by the invasions and the consequences of the war. When the European borders were reordered, many people became refugees in other nations. This also created an economic problem because there was a lack of jobs after the destruction of fabrics during WW1. Many European countries had to accept loans that generated debt for reconstruction purposes.
