The above statement is true.
One of the most important effects of the economic crisis is the demise of traditional parties in Europe. This is especially evident in Southern Europe, where the current crisis jeopardizes the long-term stability of party systems. Low-cost machine-made goods imported from England posed a severe threat to small-town businesses. Textile production was typically carried out in homes or small workshops because England was further along in the industrialization process than the rest of Europe. Because it was mostly a home-based industry, it was only partially mechanized. Because of an increase in food prices and a bad harvest, the nation became poorer. The population growth rate was higher than the rate of employment creation.