Australia. Guide to Australia

As a major producer of primary raw materials, Australia quickly felt the impact of falling prices on the world market in 1929-1931. To overcome the difficult situation, federal government cut salaries in the public sector, pensions and interest on the bonds.

Arbitration Court decided to reduce 10% real wages. Rate of the national currency stabilized at obescenennom level. Union Bank has agreed to provide loans for public works for the unemployed and aid to agriculture, to cover the public deficit.

In December 1931 The United Party of Australia elected by an absolute majority 75 Deputies in the House of representatives and formed antilejboristskoe Government.

After World War I, Australia joined the League of Nations. Australian Navy were reduced. During the Depression was abolished compulsory military service. In the early 1930s, defense spending was very low and slightly increased after 1935, however, the real defense of the country until the Munich crisis 1938 was at a low level.

In the first two years of World War II, the Australian government continued to maintain relations with Japan.