The French economy was in a fragile state in the years leading up to the Great Depression. The country had experienced a period of economic growth in the 1920s, but this came to an end in 1929 with the Wall Street Crash. The collapse of the American economy had a devastating impact on France, as the United States was one of its major trading partners.
In addition to the loss of trade with the United States, France was hit hard by a decline in tourism. The French economy had relied heavily on tourism in the 1920s, but the Great Depression caused a sharp drop in the number of visitors to the country. This led to a loss of revenue for businesses in the tourism sector and contributed to the economic slowdown.
Two Sources of Income that were cripple
1) Decline in exports: French exports to the United States and other major trading partners fell sharply during the Great Depression, leading to a loss of income for French businesses and workers.
2) Foreign capital flows: Foreign investors withdrew their capital from France, leading to a decrease in the supply of money in the economy and making it more difficult for businesses to borrow and invest.
The loss of these two major sources of income crippled the French economy and led to a severe recession.