What significant economic decision was made at the Lausanne Conference in July 1932?

The significant economic decision made at the Lausanne Conference in July 1932 involved the end of reparations with token payments to the United States. This conference was crucial in addressing the economic challenges facing Germany after World War I, particularly the burden of reparations imposed by the Treaty of Versailles.

The global economic crisis of the Great Depression made the continuation of full reparations payments unsustainable. As a result of discussions at the Lausanne Conference, the attending powers, including the United States, agreed to release Germany from the full reparations obligations they had previously committed to, allowing for a more manageable approach that involved minimal or token payments. This decision was aimed at stabilizing the economic situation in Europe and fostering recovery, recognizing that the strict enforcement of reparations was detrimental not just to Germany, but also to the broader European economy.

The other alternatives do not accurately reflect the outcomes of the conference or the broader context of the economic decisions made at that time. The cancellation of reparations entirely didn't happen, nor was a new currency introduced. The decision to reinstate debts previously forgiven would contradict the intentions of reducing the economic strain on Germany during this already tumultuous period. Thus, the Lausanne Conference marked a pivotal shift in the international approach to reparations in the context