Many countries began to adopt more liberal forms of government, and a hostile Germany was forced to pay for a large deal of war reparations, which ultimately led to the start of World War II. As Europe fell in debt from war costs, inflation plagued the continent. Additionally, the optimism of previous decades was abandoned and a bleak, pessimistic outlook on life was adopted after people had experienced the brutality of warfare. A political effect of World War I centers solely on the treatment of Germany in the Treaty of Versailles of 1919. The Germans were forced to sign a humiliating treaty accepting responsibility for causing the war, as well as dole out large sums of money in order to compensate for war costs. Technology experienced a great boost after the war, as the production of automobiles, airplanes, radios and even certain chemicals, skyrocketed. The advantages of mass production and the use of machinery to perform former human labor tasks, along with the implementation of the eight hour work day, proved to stimulate the economy, the United States' in particular. However, much of Europe suffered devastating losses of physical property and landscape as well as finances.
Hope this answer helps! feel free to ask any additional questions :)
