NAZI ECONOMY Flashcards
WHAT were some initial aims for the Nazi economic policy?
Short term: economic recovery, and reduction of unemployment
Long term: economic autarky
WHO was Economic Minister under the Nazis?
Hjalmar Schact
WHAT were autobahns?
Roads built by the Nazis
HOW did the Nazis use autobahns as propaganda?
- Used photographs of their construction to show the extent of employment
- They were a visible sign of economic revival and national renewal, achieved by the Nazis
WHAT was the reality of the autobahns?
- It employed relatively few (only 125,000 at its peak)
- The autobahns were underused as few Germans owned cars
HOW many were employed for the creation of autobahns?
Only 125,000 at its peak
WHEN was the Reich Labour Service established?
1935
WHAT was the Reich Labour Service?
Nazi organisation which gave unemployed young men 6 months’ labour in farming or construction
WHAT was the ‘battle for work’?
The Nazi plan to reduce unemployment, which included government spending on autobahns and public buildings and the stimulation of industrial production through loans/tax relief on private companies
WHEN was military conscription introduced?
1935
WHEN was the ‘New Plan’ introduced?
1934
WHAT was the ‘New Plan’?
Nazi economic scheme which placed controls on imports and access to foreign currency
HOW did the Nazis regulate foreign exchange under the ‘New Plan’?
Foreign exchange was only paid in Reichsmarks, meaning countries could only use the money on German goods
WHAT were Mefo Bills?
A Nazi scheme where the government paid for its military equipment using credit notes, which gained value if the companies kept them for 5 years before cashing them in
WHY were Mefo Bills successful?
They meant that the government didn’t need the funds to finance rearmament and also that it was kept a secret, not appearing in government accounts
WHEN was the Four Year Plan introduced?
1936
WHAT was the Four Year Plan?
A Nazi scheme that aimed to make Germany ready for war in 4 years.
HOW was the Four Year Plan used?
- Controls were put on labour supply, prices, raw materials and foreign exchange in order to manage the economy
- Private companies had production targets
- State-owned industrial plants established
- Research and investment into artificial products
WHAT does autarky mean?
Self sufficiency
HOW was the idea of autarky used as propaganda?
- Linked to ideas of national pride and independence
- Presented as a battle in which the whole community had to participate in
WHAT is an example of how community was involved in the strive for autarky?
1937: there was a campaign to collect scrap metal to melt down for raw materials through the collection of pots/pans, fences, lampposts, etc.
To WHAT extent was the Four Year Plan a success?
Despite massive investment, it didn’t meet its targets. By 1939, 1/3 of Germany’s raw materials were still imported
In WHICH ways did living standards decline under the Nazis?
- Longer hours and less pay for some workers
- Labour shortages appearing in 1939
- Rise in prices in 1930s, and shortages of key commodities
- Rationing in 1930s
WHAT is the estimate for hidden unemployment figures?
As high as 1.5 million by 1936, meaning there would be a total of 3 million unemployed
In WHICH ways did living standards improve under the Nazis?
- Official statistics show a dramatic reduction in unemployment
- Rearmament boosted the economy (more jobs available)
- For many, income increased 1933-39
- Better standards in industry
- Bonus schemes
