Nazi - Economic Problems Flashcards
1
Q
Unemployment 1932
A
6 million unemployed by 1932
2
Q
Unemployment 1938
A
500k unemployed by 1938
3
Q
Law to Reduce Unemployment
A
1933
- Conscription from 1935 absorbed the unemployed
- Autobahn building schemes introduced
- Gov’t investment in private business
4
Q
Reich Food Estate
A
- Regulate food production, distribution
5
Q
State Hereditary Farm Law
A
1933
- Prevented farms being repossessed from their owners
6
Q
Autarky statistics
A
By 1934, 80% of all farm produce produced in German farms
7
Q
Schacht’s New Plan
A
1934
- Bilateral trade agreements with Balkan states, South America (they use barter rather than currency for payment)
- Germany exerts economic influence in Balkans
- Alleviates German debt
8
Q
Mefo bills
A
- Gov’t-issued bonds to increase economic demands
- Over 12 million marks paid out in Mefo bills - funds half the rearmament programme
9
Q
Law for the Protection of Retail Trade
A
1933
- Banned new ‘big businesses’
- Eventually overturned as Hitler needed big businesses, eg. IG Farben
10
Q
Trade Unions
A
German Labour Front (DAF) established in 1933
- Important means of controlling population
- All other unions dissolved
11
Q
‘Guns vs Butter’
A
1935-6 Crisis
- Goring argued raw materials needed to be imported more
- Schacht argued food/consumer goods needed to be imported more
- Nazi propaganda urged people to reduce meat consumption rather than begin rationing
12
Q
Command Economy
A
- Increased state control
- Gearing for war is prime motive for economy
- Schacht opposed gearing economy to war - was sacked
- By 1939, a third of raw materials still imported
- Heavy industry benefits, small business suffers
- Able to rearm without creating protest
13
Q
Second Four Year Plan
A
1936-39
- Controlled by Goering
- Emphasis on autarky and preparing for war
- Synthetic products made - rubber replaced by buna
- Led to decreased efficiency
- Reichsbank disapprove - Hitler sacks those who disagree
14
Q
German deficit by 1938
A
9.5 billion marks
15
Q
Military expenditure during WW2
A
Between 1939-41, military expenditure doubles
