Final answer:
The Great Depression influenced the writing of this passage.
Step-by-step explanation:
The historical circumstance that most likely influenced the writing of this passage is The Great Depression.
The passage mentions that the modernist movement in arts and modernist theory occurred during the 1920s, which was right before the Great Depression hit in 1929. The political order of Europe and the United States during the 1920s was beset by struggle and conflict, and the economic growth came crashing to a halt with the advent of the Great Depression.
This historical event had a significant impact on the societies and economies of Western Europe and America, which most likely influenced the themes and perspectives reflected in the writing of the passage.