Key Question 2: Change in Foreign and Economic Policy (1924-1929) Flashcards
Stressmann’s 100 Days: Problems
- hyperinflation
- French and Belgium troops occupying Ruhr
- gov had no clear policy
- various left-wing political disturbances - attempted communist uprising
- Bavaria was defying national gov - Munich putsch
Stressmann’s 100 Days: Achievements
- appointed in August 1923, led a broad coalition of DVP, DDP, ZP and SPD
- called passive resistance in Ruhr and promised to resume payment of reparations
- conciliate the french to gain sympathy
- under guidance of Hans Luther, gov expenditure was cut - 700,000 people sacked
- appointed Schaht to oversee introduction of new currency - Dec 1923 trillions was replaced by the Rentenmark
- evolved sympathy from allies - conference held on German economy (Daws established)
Stressmann’s 100 Days: Survival of Weimar
- anger directed towards french and allies than the republic itself
- inflation: not as bad as depression
- employers showed less hostility
- businessmen did have good run in inflation
- years of stability 1924-1929
- economic recovery
- political stability
What did President Hindenburg do?
- no clear successor after Ebert died
- very controversial election, but he proved to be loyal to the republic
- some hoped he would restore the empire or create a new military regime
- acted as the Kaiser
- he had no sympathy for Republic, used DNVP in gov and excluded SPD
- “he refused to betray the republic, but didn’t rally people under the banner” - Nazi slips in
- failed to make progress - coalition collapsed 1926, growing contempt
What were Stressemann’s views before joining the Republic?
- supported the Kaiser (1919) - supporter of Siegfreidge
- 1918 support for Treaty of Brest-Litvosk
- Ludendorff’s young man
- formed DVP party
What was Stressmann’s turning point to join the Republic?
- only after the failed Kapp Putsch, murderers of Erzberger and Rathenau, did he become sympathetic
- his ideal was a constitution monarchy by 1921 he was convinced Republic and constitution provided Germany with its only chance of preventing dictatorship
Facts about Stressmann
- 1878-1929
- joined National Liberal Party 1903
- elected to Reichstag in 1907
- 1918 founded Germans People Party and sought to form a coalition government with other parties
- Chancellor in 1923, Foreign Minister in 1923-1929
- ended hyperinflation
- called of passive resistance from Ruhr
Pointers that state Weimar had a ‘Golden Era’
- heavy industry recovered quickly and by 1928 production levels were that of 1913
- German exports were at 40%
- Hourly wage rates rose every year from 1924-1930
- 1927 compulsory unemployment insurance covered 17 million workers
- lower costs due to more cartels which had more purchasing power than small industries
Pointers that state Weimar didn’t have a ‘Golden Era’
- 1926 production declined, overseas trade the value of imports exceeded exports
- unemployment never fell bellow 1.3 million, even before the Wall Street crash 1.9 million were jobless
- income per head in agriculture was 44% below the national average
- savers lost a great deal of money in the Great inflation, there was less enthusiasm to invest
- from 1925 Germany constantly ran into debt
What was the Political Stability in 1924-1929?
Election results urging the middle of the Weimar Republic gave grounds for cautious optimism about its survival, extremist parties of both left and right lost ground and altogether polled less than 30% of voters
Weimar Political Parties (1924-1929): Liberals (DDP, DVP)
- not strong, DDP and DVP joined in all the coalition gov of the period
- leader was Stressmann, possessing Republic’s only really capable statesman
- collapse in 1930s due to divisions in parties
- DDP had a clear lack of leadership and it’s membership was involved of Bickering over policy
- failed to gain popular support; 1929 position declined
Weimar Political Parties (1924-1929): DNVP/NSVP (German National People’s Party)
- opposed to Republic and it’s refused to take part in government
- republic recovered after 1923 and hopes of a right wing gov was failing
- influence on government, meant they had to participate in government
- 1925-1927 joined gov coalition
- not popularly and vote fell by a quarter
Weimar Political Parties (1924-1929): SPD
- 1932 SPD remained largest party in Reichstag, although firmly supported the Republic
- divided by desire to uphold interests of working class and it’s communicated to democracy
- some members connected with trade unions, feared that joining coalition with other parties, would weaken principles
- party was hindered by old arguments between those committed to more extreme left-wing socialists programme
Weimar Political Parties (1924-1929): Centre Party (Zentrum ZP)
- provided real political leadership in Weimar politics
- ZP electoral support was solid and party participation in all coalition gov from 1919-1932
- support didn’t increase
- 1928 leadership eventually passed the Ludwig Kaas and Heinrich Bruning
What were Stressmann’s Aims and Objectives?
- free Germany from ToV
- Play on Germany’s vital importance to world trade
- maintain Rapallo Treat based on friendship with USSR
- encourage co-operations and peace with Western Powers
- restore power and prosperity, end climatic isolation
- comply/fulfil terms of ToV to improve relations with France and Britain
- gain economic aid from USA
What did Stressmann tackle first?
Improve relations with France, and they were willing as Germany is a key trade link in Europe, thus then improving relations
Stressmann’s Help: Young Plan
Annual reparations payments are lowered and time to repay was lengthened to billions and given until 1988 to pay. Allies supervisions discontinued, as a settlement Germany was apart of the reparation negotiations.
Stressmann’s Help: Daws Plan
USA loaned Germany 800 million gold marks. Payment of reparations was to be made annually in line with Germany’s economy. Allies maintained control of the railways, the reich bank and custom dutties. Sanctions for non payment must be agreed by all.
French promised to evacuate Ruhr in 1925, currency changed to the Reichsmark
- helped economy using loans and subsequent investment
- only paid 1560 million and later payments suspended in 1932
Stressmann’s Help: Locarno Pact
- signed 1 December 1925, 1926 joined League of Nations, 1928 signing of Kellog-Birand pact and 1929 evacuate Rhineland
- mutual agreement, settling dispute
- France, Britain, Italy, Germany, Belgium, Poland and Czechoslovak were involved
- Germany freed from isolation and was treated equally
- confirmed existing frontiers and remilitarising of the Rhineland
- Franco-German understanding
- no border with Poland
Stressmann’s Help: Treaty of Berlin
- signed 24 April 1926 - reversed claims made by Russia
- Austria-Hungary, France, Germany, Britain, Ireland, Italy, Russia and Ottoman Empire were involved
- Germany and USSR pledged to neutralise in the event of an attack by a third party
- allowed Germany to circumvent some of the military restrictions imposed on Versailles
Points of Good European
- some people criticise Stressmann for ignoring German interests at all time e.g. Erfullungspolitik
(Accepting ToV terms) - even when facing attacks he still perused politics he is prepared to accept ToV causes
- pushed fro minimal reforms related to Versailles to keep peace e.g. Locarno (Germany wouldn’t gain back western land)
- helped global relations by gaining permanent seat on LofN
Points for Good German
- pro-European actions were a ploy to regain power
- fulfilment was German policy before and it also saw Germany gain better
- Locarno helped secure western boarders and have them a chance to win back western territory
- removed allied troops from Rhineland (1930)
