Recovery 1933-1936

Question 1

How much did the Nazi government invest into public works in 1933?

Answer 1

1 billion marks

Question 2

what was the Nazi public works programme 1933?

Answer 2

road, canal and house building stimulated the economy and provided a great deal of employment.

Question 3

when was National Labour Service (RAD) formally introduced?

Answer 3

1935

Question 4

what did National Labour Service (RAD) do?

Answer 4

• made it compulsory for all men between the ages of 19 and 25 to work in areas such as farming or public work schemes for 6 months
• took the young off the unemployment register

Question 5

what was the number of young onthe unemployment register before the introduction of National Labour Service (RAD)?

Answer 5

400,000 in 1934

Question 6

Who did Hitler appoint as President of
the Reichsbank?

Answer 6

Hjalmar Schacht

Question 7

when was Hjalmar Schacht appointed as President of the Reichsbank

Answer 7

March 1933

Question 8

who did Hitler appoint as Economics Minister?

Answer 8

Hjalmar Schacht

Question 9

when was Hjalmar Schacht appointed as Economics Minister?

Answer 9

august 1934

Question 10

what economic policies did Schacht introduce?

Answer 10

• strict controls on wages and prices
• destruction of independent unions
• subsidies for hiring more workers in the private
  sector
• some groups were pressurised out of employment
• 1935 conscription removed all 18 - 25 year old males

Question 11

How Schacht successful with his economic policy during the recovery phase?

Answer 11

• by 1935 unemployment had fallen to 1.7 million.
• Strength-through-Joy programme and through
  the “Beauty of Labour” scheme fulfilling the economic promise of a better life
  -

Question 12

How Schacht unsuccessful with his economic policy during the recovery phase

Answer 12

there was a shortage of consumer goods, low pay and no trade unions.

Question 13

what was the balance of trade problem?

Answer 13

Germany was importing more than it was exporting due to the revival of the economy in 1934

Question 14

How did Schacht tackle the balance of trade problem?

Answer 14

-the New Plan 1934
-a series of bilateral trade agreements

Question 15

what was Schachts new plan 1934?

Answer 15

This gave the government strong powers to regulate imports. In effect, imports had to be approved by
the government.

Question 16

How did Schachts bilateral trade agreements tackle the balance of trade problem?

Answer 16

supplied much of Germany’s strategic raw material imports. These included some barter (trade by exchange of goods) arrangements.

Question 17

why was the new plan a failure long term?

Answer 17

• did not deal with root problem
• increased demand from rearmament sucking in imports making problem worse

Question 18

what were Schachts MEFO bills?

Answer 18

government credit notes, used to acquire supplies
and services from industry for the government. Payment was to be made 5years ahead, with interest.

Question 19

why did Schacht introduce MEFO bills?

Answer 19

• to help fund increased expenditure on rearmament by delaying real payment.
• cleverly avoided inflation and paid for government spending
• they also disguised the amount being spent on rearmament from allies, bc it had been limited by TOV

Question 20

Why did Hitler succeed where the Weimar Republic had failed in tackling the Depression?

Answer 20

-make decisive decisions after the Enabling Act
-Hitler just made policies such as public works projects more vigorous.
- He became Chancellor when the economy began to recover.
- The repression of Trade Unions meant that business confidence was restored.
- unemployment declined to 2.1 million by mid-1935