Economic Flashcards
Bismarck economic change
When was the economic depression? What caused it?
1873-1890
Overinvestment and corruption combined with a slowing economy.
Bismarck economic change
What happened as a result of the second industrial revolution?
Electrical output increased by 18% every year between 1890-1913
Bismarck economic change
Which German electrical company was formed in 1883?
Deutsche Edison Gesellschaft - AEG
Bismarck economic change
What chancellor had multiple international treaties? When? Which countries? What impact did this have?
Caprivi
1890-94
Italy, Russia, Belgium and Switzerland
Guarentted a market for German goods for 12 years.
Bismarck economic change
Between 1872 and 1914 how much did German imports increase by? What did this mean?
£365 million
Biggest industial nation in Europe by 1900
WW2 economic change
Who was director of AEG? What did he establish in 1914 and what did it do?
Walter Rathenau
War Raw Materials Department in 1914 which reorganised industry to ensure the war was covered
WW2 economic change
When was The Central Purchasing Company created? What did it do?
1916
Organised imports from neutral companies to maintain trade during the war.
Weimar economic change
How much war debt did the Weimar government inherit?
140,000 million marks
Weimar economic change
What slowed economic progress in Weimar? What aided economic progress?
The French and Belgian occupation of the Ruhr from 1923-1925 slowed economic production
The 1924 Dawes Plan
Weimar economic change
How much was $1 dollar in DM? How much for a loaf of bread?
4.2 trillion DM
DM 9 Million
Weimar economic change
When was a new currency introduced? Under the direction of who?
1924 - Rentenmark
Chancellor Stresemann (and Schacht)
Weimar economic change
When did production reach pre-WW1 levels?
By 1927
Nazi change
By when had unemployment halved? How?
1934
Nazi investment in Public Works Schemes, self-sufficiency and rearment.
Nazi Change
Which Nazi plan focussed on industry? What effect did it have?
1936 Four Year Plan
By 1938, 44% of government expenditure focussed on rearment.
Nazi Change
What did chaos of the party cause for industry? Who fixed this?
Hampered production of key raw materials
Albert Speer - reorganised the Central Planning Board from 1942
West Germany
Under which economic minister did the German economy begin to recover from the war? What also helped this?
Erhard
1948 Marshall Plan from the US
West Germany
How much did West German GNP increase by during the 1950s? Why?
Trippled
Economy adapted from traditional industry to tertiary and quaternary sectors.
West Germany
Which industries were favoured during the 1980s?
Consulting, advertising and research.
Unemployment 1930-32
In June 1931, how much money was withdrawn from Germany and how many major banks collapsed because of this?
RM1000 Million
3 banks
Unemployment 1930-32
How many unemployed by Dec 1930? How many by Jan 1932?
2.1 million
6 million
Unemployment 1930-32
How did unemployment lead to a rise in extremism?
The opportunity to fight for a cause gave unemployed men a purpose. By 1932 the SA had grown from 100,000 to 400,000 and the Reichsbanner had 1 million men.
Unemployment 1930-32
How many votes did Nazis gain during the 1930 election?
6.4 million votes
Economic Miracle
How much money did West Germany recieve in Marshall Plan aid?
$99 million used to develop the coal, railway, electrical and steel industries
Economic Miracle
How much did West Germany’s GDP grow by in how many years?
12% in 5 years
Economic miracle
When was co-determinism introduced and how did it help?
1951
Businesses with over 1000 employees in the iron and steel industry were allowed representatives of the workforce to have a say in how the business ran.
Economic miracle
How many refugees from the East who were young and willing to work?
3.6 million
Bismarck changes in Agriculture
How did WW1 damage the farming sector?
Lack of men and horses
Bismarck changes in Agriculture
When was Turnip Winter?
1916-1917
Weimar Agriculture
By 1931, how much had wheat prices dropped by?
1/3 of previous 1920s prices
Weimar Agriculture
How much higher were Weimar taxes on agriculture than those of the Kaiserreich?
4x higher
Weimar Agriculture
From 1928-32, how much did agricultural income drop by? How much below average was a farmer’s income?
40%
44%
Nazi Agriculture
From 1933-38, how many people left rural areasto look for work in the cities?
1 million people
Nazi Agriculture
When did Nazis give greater subsidies to farmers? Why did these decline?
1938
The war
Nazi Agriculture
What government agency said that 8 million acres of additional farmland was needed to require self-sufficiency in 1933?
Reich Food Corperation.
West German Agriculture
When was the Agriculture Act introduced? What did it do?
1955
Increased protective tarriffs on agriculture
West German Agriculture
How much did agricultural employment decline by from 1950-70?
1.6 million
West Germany Agriculture
By 1989 how much did the agricultural sector contribute to GDP?
1.6%
Protection 1879
Why did protectionism need to be introduced in Germany?
In 1873, The German Economy collapsed and over 150 companies went bankrupt - happened due to Germany being a new country.
Protection 1879
What pressure group was formed in 1876 that wanted economic reform? Who opposed them?
The Central Association of German Industrialists
National Liberala (Bismarck’s relationship with them contributed to their split)
Protection 1879
When did the Reichstag pass the Protective Tariff Law? Who supported it?
1879 - tarrifs on agriculture were the heaviest
The 2 Conservative Parties and the Centre Party
Navy
Why did the Kaiser want a large navy?
To try and assert dominance in Africa
Navy
Who did the Kaiser appoint as secretary of state for the navy in 1897?
Tirpitz
Navy
What did Tirpitz’s bill introduced in 1898 do?
Created 17 ships in 7 years - passes 212 votes to 139
Navy
By when had Germany doubled its navy? What happened as a result?
1914 - second largest after Britain
Britain signed the Entente Cordiale with France in 1904 which furthered Anglo-French realtions.
Nazi Policies
Who introduced Mefo bills and what were they?
Schacht
Bills that could only be spent within Germany and allowed the government to enter contracts with companies to finance rearmment, but they could pay in 4 years time.
Nazi Policies
How many Mefo bills issues to Germany industry? How much of arms expenditure did they fianance from 1934-36?
RM12,000 million worth
50%
Nazi Policies
When did Schacht introduce the New Plan and what did it do?
1934
Regulated industry by signing agreements with southern europe and latin america - Imports were paid with RM but those RM had to be used to invest in German industry.
Nazi Policies
When was the Four Year Plan introduced? What did it do?
1936
Invested heavily in ersatz (substitute materials) to persue Hitler’s dream of autarky (self-sufficiency)
Increased prduction of fuels by 130% but this only equated to 18% of demand.
Marshall Aid
When was Marshall Aid announced and by who?
5th June 1947 - George Marhsall
Marshall Aid
When was the Truman doctrine and how did it further US/FDG relations?
12th June 1947 - The USA would provide military and economic aid to protect the ‘free peoples’ from communism.
Marshall Aid
How much aid did Germany recieve during the 1940s and 50s? How did they spend it?
$2.7 billion
Adenauer and Erhard invested it in industry
Marshall Aid
How much of West German Imports did the Marshall plan pay for?
37%
EEC and CAP
When did the European Coal and Steel Community (ESCS) form and what did it do?
April 1951
Combined heavy industrial sectors of 6 European economies to pool resources between countries and prevent potential war.
EEC and CAP
When was the European Economic Community (EEC) formed and what did it do?
25th March 1955
Created a common market between the 6 nations and abolished tarriffs between member states.
EEC and CAP
By 1981, what % of German exports went to EEC members and what % of imports came from EEC members?
45% of exports
47% of imports
EEC and CAP
When did the EEC introduce Common Agricultural Policy? What did it do? What was its impact?
1962
Tried to reduce agricultural competition between nations to improve stability of member states.
EEC food prices during the 1970s could be 2-5x higher than other European nations and CAP ammounted to the 50% of the total EEC budget!
