Why did the US become international creditor from international debtor?

  • World War I led to the snapping of economic links between some of the world’s largest economic powers which were now fighting each other to pay for them.
  • Britain borrowed large sums of money from US banks as well as from US public.
  • History: India and the Contemporary!World-11
  • Thus the war transformed the US from being an international debtor to an international creditor.
  • So, the US and its citizens owned more overseas assets than foreign governments and citizens owned in US.