Raindog
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It varied from country to country, depending on how income was affected and what the countries were capable of. Democracy in South America, what of it existed at the time, ceased almost totally as an early response. Europe was more of a mixed bag. However, nothing as prudent as the New Deal in my opinion, was done in Europe. Britain did reasonably well for example, so they did less; France had more economic trouble so they did more. How does this translate?
Take Germany, (please!), ha-ha. Germany was hit particularly hard, remember. So, under the Nazis, Germany turned into a controlled economy with the government putting firm controls on foreign trade, prices, wages, and banking. Furthermore, its vigorous economic expansion made it simpler for Germany to bring the other countries of Central and Eastern Europe, frantic for markets to export to, into its political sphere of influence. In contrast, the rise of fascism in Germany fostered cooperation within the French Left, which lead to the rise of the Popular Front in 1936 and its different set of policy innovations. Where as Britain by comparison, endured smaller income declines and experienced relatively few changes in the balance of power among business and government, Germany was transformed.
It’s true, the basic response to the economic problems of the Great Depression was "Keynes-style" government spending, it can be argued however, that there was a right way and a wrong way to do it. In the US it is thought that the New Deal didn’t end the Great Depression, WW2 did, in a formal sense. But the New Deal stopped it from getting worse but even more important; it renewed the people faith in a democratic government. Putting aside the obvious that Germany’s democratic government couldn’t survive the crisis, its economic recovery was far more tenuous than the US’. WW2 gave the US economy one last, big boost but it saved the German economy from collapse. So much of it was based on building an army. Hitler himself was to have remarked, “war or ruin”.
Anonymous
Hitler was a believer in Lord Keynes' theory that during a slump it is the Government's duty to spend money to create velocity, thus putting the economy back into motion.
That much said, he promised everybody a job during his political campaign. After being elected he put everybody to work building roads. . .The start of the German Autobahn.
The project created so many other industries and jobs that resulted in full employment by the start of WWII. . . .the rest is history.
BTW this is going to be your best answer. . .