The Great Depression and the Empire's great spending during the Second World War brought o a bankruptcy to the state. Inflation rates went through the roof causing effects such as great famines through out the colonies. Without enough money, British citizens couldn't even afford to buy the products of the colonies, sending the already poor citizens of countries such as India even further into despair (Cain, 194.) As the poor got poorer, the richest member of the colonies tended to become even richer, creating a greater class divide which, according to Marx, is always a key element to revolution and change. .
But even beyond the class rift, the Untied Kingdom could not financially support its many colonies anymore. The Second World War had great repercussions on England. During the War the UK lost it's over sea's markets and liquidated a large proportion of over seas assets. In sort, the UK quickly turned from a world wide financial leader, into a Debtor. Even India, who had before been in the debt of England, now became England's creditor of over £100 million (Darwin, 43 & 44.) With the growing recession and the decrease in the supply of money, England became more concerned with poring money into their own governments and recuperation, rather then into the governments and infrastructures of its territories (Morgan, 116.) Without the financial support of the main Island, many lands became uneasy, demanding they be able to govern themselves. But the UK was now in desperate need of raw materials, but didn't have the dollars to pay for them. So the British began "micro managing- the economies and governments of such territories as those in Africa in order to "best use- the natural Resources of the area. But this new hold on the colonies instead brought on a "second Colonial occupation- of the territories and put even greater economic strain on the inhabitants (Darwin, 46-48.
