The war bankrupted European countries, which incurred large debts to the U.S.. It also destroyed factories and infrastructure, disrupted world trade, and led to economic depression and lower living standards in Europe. The Treaty of Versailles forced Germany and other Central Powers to accept blame for the war, which meant they had to give up territories, reduce their military, and pay reparations to the Allied powers. Germany also experienced hyperinflation after the war, but the Weimar Republic was able to address the issue by 1923.