AP World History : Economic History

Study concepts, example questions & explanations for AP World History

varsity tutors app store varsity tutors android store

Example Questions

Example Question #1 : Labor Systems And Economic Systems 1900 To Present

All of the following were consequences of the Mexican Revolution except __________.

Possible Answers:

improvements in access to education

greater control of Mexican industry by foreign corporations

universal Suffrage granted to Mexican citizens

improvements in access to healthcare

land reforms leading to redistribution of ownership and improvements in the rights of peasants

Correct answer:

greater control of Mexican industry by foreign corporations

Explanation:

The Mexican Revolution led to all of the following except greater control of Mexican industry by foreign corporations. Rather, one of the goals and successes of the Mexican Revolution was that control over Mexican industry returned to Mexican hands. The Mexican Revolution took place in the early twentieth century.

Example Question #1744 : Ap World History

Josef Stalin’s Five Year Plan replaced Vladimir Lenin’s __________.

Possible Answers:

War Communism

Cultural Revolution

Comintern Movement

New Economic Policy

Great Leap Forward

Correct answer:

New Economic Policy

Explanation:

When Lenin first came to power he enacted a policy called War Communism. After the end of the Russian Civil War in 1922 he enacted the New Economic Policy. This was designed to ensure the continued nationalization of Russian industry, but allowed minor capitalism in certain areas (such as allowing peasants to sell their surplus crops). After Stalin came to power he replaced the New Economic Policy with the first of his Five Year Plans.

Example Question #1751 : Ap World History

Which of these statements about Germany under the rule of Hitler in the second-half of the 1930s is most accurate?

Possible Answers:

The economy and standard of living improved dramatically, as the Nazis reinvigorated Germany industry and focused on militarization

The nation focused on militarization and building friendly relations with other Fascist and autocratic powers

The nation focused on internal infrastructure and withdrew from international affairs

The economy and standard of living remained roughly the same, as the Nazis redirected Germany industry to focus on militarization

The economy and standard of living worsened substantially, as the Nazis redirected Germany industry to focus on militarization

Correct answer:

The economy and standard of living improved dramatically, as the Nazis reinvigorated Germany industry and focused on militarization

Explanation:

Under Hitler’s rule Germany’s economy recovered spectacularly in the second-half of the 1930s. When he came to power Germany’s economy had been devastated by the combined impact of the terms of the Treaty of Versailles and the outbreak of the Great Depression. The Nazi Party implemented a series of reforms designed to improve the German economy and standard of living; ensured the viability of a self-sufficient German economy; and focused on rapid industrialization and militarization. By the outbreak of the Second World War the German economy was once again one of the strongest in the world.

Example Question #1 : Labor Systems And Economic Systems 1900 To Present

Lenin’s New Economic Policy __________.

Possible Answers:

allowed major industries to be exempt from direct government control

redistributed privately owned land to members of the communist party

brought all areas of the Russian economy under direct government control

brought major industries under government control, but allowed peasants to profit from surplus goods

was designed to aid the cause of the Bolsheviks during the Russian Civil War

Correct answer:

brought major industries under government control, but allowed peasants to profit from surplus goods

Explanation:

Lenin’s New Economic Policy was implemented following the catastrophes of the Russian Civil War (1917-1922), which had devastated the nation’s economy. It brought major industries under centralized government authority, but allowed peasants and small-scale business owners to profit from surplus goods and partial capitalism.

Example Question #141 : Economic History

Which of these statements about Stalin’s first Five Year Plan is most accurate?

Possible Answers:

It dramatically increased industrial production at the expense of agricultural output and lives

It dramatically increased agricultural output at the expense of industrial production

Industrial production improved slightly, but agricultural output declined catastrophically during the Five Year Plan

Industrial production and agricultural output both declined substantially during the Five Year Plan

It dramatically increased both industrial production and agricultural output

Correct answer:

It dramatically increased industrial production at the expense of agricultural output and lives

Explanation:

Stalin’s first Five Year Plan was aimed at industrializing the Soviet Union and collectivizing farms to reduce the influence of the Kulaks (wealthy peasants). It was successful in dramatically increasing industrial production, but the collectivization of farms led to widespread famine in many regions of the Soviet Union.

Example Question #142 : Economic History

What was the goal of the Soviet reform policy of perestroika?

Possible Answers:

To restructure the economy and create a rudimentary, state-regulated free market

To restructure the economy and create a completely state-controlled market

To improve agricultural production

To improve industrial production

To improve the openness and transparency of the Soviet political system and increase individual participation in government and civil society

Correct answer:

To restructure the economy and create a rudimentary, state-regulated free market

Explanation:

Glasnost and perestroika were two reform policies enacted in the waning years of the Soviet Union. Many historians believe that they contributed directly to the decline and downfall of the Soviet Union. The primary goal of perestroika was to restructure the Soviet political and economic system to allow for a rudimentary free market.

Example Question #1751 : Ap World History

Which of the following elements was NOT part of Soviet leader Boris Yeltsin’s “shock therapy” program?

Possible Answers:

The removal of price controls 

Foreign trade liberalization 

Increased interest rates 

Decreased privatization 

Tax hikes 

Correct answer:

Decreased privatization 

Explanation:

In the immediate aftermath of the Soviet Union’s dissolution, Boris Yeltsin – who then became the leader of the Russian Federation – instituted a program known as “shock therapy.” Designed to help the Russian economy transition from socialism to capitalism, Yeltsin’s program involved the removal of price controls, an increase in both taxes and interest rates, the liberalization of foreign trade, and a massive increase in the privatization of state industries. Unfortunately for both Russia and Yeltsin, shock therapy was implemented much too soon and much too swiftly – the Russian economy couldn’t withstand the rapid changes and instead fell into hyperinflation and a severe depression.

Example Question #141 : Economic History

How is the Treaty of Versailles generally viewed by historians?

Possible Answers:

A failure; it led to economic depression in France and Britain and encouraged a further wave of imperial land grabbing.

A failure; it created a new system of entangling alliances and further solidified the concert of power in Europe.

A success; it led to economic growth throughout Europe and ensured peace for several decades.

A failure; it led to economic depression in Germany and the rise of totalitarian rulers in Europe.

A success; it led to decolonization and the economic growth of Eastern Europe.

Correct answer:

A failure; it led to economic depression in Germany and the rise of totalitarian rulers in Europe.

Explanation:

The Treaty of Versailles is generally heavily condemned by historians who tend to blame its provisions for the outbreak of the Second World War. The treaty was designed to punish the Germans for their part in the outbreak of the First World War, but ultimately it led to widespread economic depression in Germany and on the European continent, which in turn led to the rise of totalitarian rulers like Hitler and Mussolini.

Example Question #141 : Economic History

This economic system holds that growth is most effectively created by investing in capital and by lowering taxes on the production of goods and services. 

Possible Answers:

Keynesian theory 

communism

growth-side economics 

supply-side economics 

socialism

Correct answer:

supply-side economics 

Explanation:

Supply-side economics, a function of capitalism more greatly, became most popular under Ronald Regan and involved the general lowering of corporate and personal taxes, as well as expanded free trade. It grew as a direct response to the shortfalls of Keynesian Theory. 

Example Question #142 : Economic History

This conference among nations established the first regulated monetary agreement between sovereign nation-states. 

Possible Answers:

Bretton Woods system

Treaty of Versailles 

the gold standard 

The International Monetary Fund

Paris monetary conference

Correct answer:

Bretton Woods system

Explanation:

The Bretton Woods System, which was a direct result of the aftermath of WWII, was an agreement among the United States, Australia, Western Europe, Canada, and Japan which cemented the use of available gold to grantee the exchange values of given state's money. It lasted until 1971 when President Nixon took the United States off of the Gold Standard. 

Learning Tools by Varsity Tutors