Gustav Stresemann Flashcards
Who was Gustav Stresemann?
He was chancellor in 1923 and Foreign minister from 1923-29. Ensured German citizens came to accept the Weimar Republic and so did international powers.
G.S stopping hyperinflation
November 1923, he set up a new currency called the “Rentenmark” which held real value. August 1924, this currency was renamed “Reichsmark” and was placed under the control of the Reichsbank.
The Dawes Plan
1924- Stresemann helped to negotiate the Dawes Plan which helped Germany pay their reparations
in 1924, Banks in the US loaned 800 million Reichsmark to German industries
Reparations installments were temporarily made at £50 million a year
Opposition to The Dawes Plan
Ring winged nationalists claimed that the plan represented acceptance for the war. They wanted an end to the reparations and the Treaty of Versailles
The Young Plan
1929- the Young Plan planned to lower the total reparations from £6.6 billion to £2 billion, the payments would continue till 1988
Opposition to The Young Plan
Ring winged nationalists claimed that the plan represented acceptance for the war. They wanted an end to the reparations and the Treaty of Versailles
Failure of The Young Plan
The Wall Street Crash abruptly stopped The Young Plan in 1929 as American banks had to recall loans made to Europe
The insecurity of the Economy
Economic recovery depended on American loans, unemployment was still a major issue in Germany. Germany spent more money on imports than they received from exports.
Foreign policy achievements
Locarno Pact, League of Nations and Kellogg-Briand Pact. Because of his work, the German population became more confident in the Weimar Republic . As a result, their support for extremist parties such as the Communists and Nazi’s weakened.
Locarno Pact
1925- Germany signed an agreement with Great Britain, France, Italy and Belgium. Germany recognised their borders with France and the demilitarisation (withdrawing military from an area) of the Rhineland.
League of Nations
1926- Germany was invited to join the League of Nations which was an international peacekeeping body
Kellog-Briand Pact
1928- Germany signed it with 62 other countries. Countries agreed to disarm and not use war to resolve disagreements
