1948: EUROPE'S POST WAR RECOVERY

In 1947, Europe faced severe challenges due to drought and coal shortages, leading to rationing and economic difficulties. Industries reduced production, and a shortage of dollars hindered overseas purchases. This situation led to a rise in black market activities as people struggled to obtain necessities. Despite these hardships, some regions, like Italy, experienced agricultural abundance, such as olive harvests.

What major event in 1947 led to food rationing across Europe?

• A technological failure

• A severe drought

• A political upheaval

• A financial crisis

How did the coal shortage affect European industries?

• Factories operated part-time

• Coal was exported in large quantities

• Industries increased production

• Power plants expanded operations

What was a significant consequence of the coal shortage for households?

• Homes were warmer than usual

• Electricity was free

• Coal was abundant

• Fuel was rationed

Why did goods begin to disappear from European shops?

• Shortage of dollars for imports

• Excessive supply

• Increased production

• Government intervention

What was a major reason for the rise of black market prices?

• Lack of legitimate supply

• Abundance of goods

• Government subsidies

• Confidence in currency