How did WWI and WWII and its peace treaties affect the international economy?

World War I and World War II significantly disrupted global trade and economic stability, leading to massive debt and reparations that strained international relations. The Treaty of Versailles imposed harsh penalties on Germany, contributing to economic instability and setting the stage for the Great Depression. Following WWII, the Bretton Woods Conference established a new financial order, promoting international cooperation through institutions like the IMF and World Bank, which aimed to rebuild war-torn economies and foster global trade. These treaties and agreements reshaped economic alliances and laid the groundwork for globalization in the latter half of the 20th century.