Economic Causes of Global Conflict in the 20th Century

The primary economic cause of global conflict in the early 20th century was the acquisition and control of markets and resources. In the 19th century, Western European governments, followed by the United States, Russia, and Japan, began policies to take control of trade, territory, or both in Asia and Africa. In previous centuries, armed conflict would often erupt over the rivalry to control the natural resources of these areas. However, as the Industrial Revolution spread from Great Britain to the rest of Western Europe, and then to the United States, Russia, and Japan, control over markets to sell consumer goods was a primary motive of imperialistic policies. Attempts were made, particularly in the late 19th century, to prevent wars over trade but these attempts had mixed success.

The Opium Wars, the First and Second Sino-Japanese War, the Crimean War, and eventually the First and Second World Wars had these economic factors as some of their root causes. For example, the desire of Imperial Japan to take over territory in Asia to obtain sources of oil, rice, rubber, and other raw materials led to the decision of the United States (and other countries) to place an embargo on Japan that cut off oil and steel exports from the United States to Japan. The result was the Japanese decision to attack the U.S. Pacific Fleet in Pearl Harbor, Hawaii, causing the United States to enter World War II. Economic crisis also helped lead to global conflict. The severe economic effects of the Great Depression (1929–1939), including high unemployment and low wages, led to the rise of populist leaders like Adolf Hitler who promised to rebuild the economies of their states.