Britain and France needed American war equipment, so Congress passed the Neutrality Act of 1939. (The old neutrality laws prohibiting trade with them) This new law allows European democracies to buy American war equipment as long as they finish the goods transported on their own ships and pay in cash. This allowed America to avoid credit, war debt and the sinking of American ships. Columbian Exchange: An exchange of goods, ideas, diseases and skills, from the Old World (Europe, Asia and Africa) to the New World (America) in the early 1500s. This has united continents through trade and fostered cultural interaction. Block 2 discusses the Atlantic slave trade, which introduced slavery as a form of cheap labour and linked American colonial economies to Europeans on the basis of the mercantilism system. The formation of British colonies led to north-south colonial divisions based on differences in geography, culture and economy. This had a considerable influence on how the southern colonies interacted with the northern regions, which had more access to raw materials and maritime trade. Unit 1 revolved around the Columbia Stock Exchange, which united America with Asia, Africa and European nations in terms of trade, disease and culture. The Indians looked at europeans expanding westward, foreshadowing contracts and conflicts in North America.
In South America, the racial amalgamation of marriage and alliances with slaves and natives led to the formation of caste systems, which eventually led to social stratification. Japan`s war effort depended on trade with America. However, in late 1940, Washington imposed the first of its trade embargoes on Japan. The United States proposed lifting the embargo if Japan ended its war with China. Japan did not accept America`s terms and continued to fight. In 1933, Roosevelt officially recognized the Soviet Union, opened trade and encouraged a friendship to compensate for the threat to German power in Europe and Japanese power in Asia. Trade agreements have significantly increased U.S. foreign trade. The law paved the way for the U.S.-led international free trade system that took shape after World War II.
The most powerful group of those who supported aid to the UK was the Allies` Defence Committee of America.