chapter nine Flashcards
what happened on the 24th October 1929
the New York stock exchange experienced its worst ever fall in share prices , became known as Black Thursday
what happened to americas biggest companies on black thursday
the value of the largest American companies fell by ten billion dollars
what impact did black Thursday have on the wider population
millionaires lost their fortune
smaller investors lost all savings
many companies went bankrupt
workers lost their jobs
banks stopped lending
banks recalled pre existing loans
- causing a prolonged depression
since when had germanys economy been stagnating
1928 as investment decreased
between 1924-28 who financed germanys economic recovery
america by providing large loans
what type of loans were given to Germany
short term so america could demand immediate repayment , at a time where Germany economy needed more investment to stimulate the economy , money was being withdrawn
between 1929-32 germanys
export trade declined by …
and
its industrial production fell by …
61%
58% of its 1928 level
Germany suffered the most during the depression in comparison
Britains industrial production between 1929-32 fell …
11%
following the collapse of an austrian bank in 1931 the german banking system was plunged into crisis this led to in July 1931
the government closing banks and the stock exchange for two days to provide the financial system breathing space
by 1932 how many germans were registered unemployed
one third
however could be more due to the shame unemployment carried
it was estimated by January 1933 the real amount of unemployed was
eight million
where did the depression hit the worst in Germany
industrial areas
ie the ruhr
Silesia
the main port cities like Hamburg
what type of workers were badly effected by the depression
white collar workers
in the civil service there were several cuts in the workforce and reductions in salaries for those that remained
what industry was badly effected by the depression
agriculture/farmers
had already struggled during the so called golden age 1624/28 but the depression pushed many into severe difficulty
prices collapsed , exports of agricultural produce declined and sales of food fell as Germans had less money to spend .
many more farmers were forced to give up their farms as the banks demanded repayment of loans .
unemployment spread even to countryside as farm labourers lost their jobs .
mass unemployment had a corrosive effect on German society as it overwhelmed weimar as
the system of unemployment and welfare benefits got quickly overwhelmed and the budget could not cope
from 1930 there were moves to limit the amount of benefits getting paid
the unemployment were only entitled to benefits for so long after they had to reply to local authorities for relief and local benefits were less generous and strictly means tested .
women received less benefits than men
and young people less than adults
many indications that poverty was rising as a result of the depression
ie diseases that are linked closely to poor nutrition and living conditions increased
tuberculosis
rickets
- doctors also reported an increase of malnutrition amongst children
hubert knickerbocker reported sn average family diet
six small potatoes
five slices of bread
a small cabbage
a knob of margarine
herring 3 Sundays a month
rarely meat
was too little to live on but too much to die from
in hamburg in June 1933 the unemployment levels in the 14-25 age group was
males 39%
females 25.2%