Schacht's New Plan

Question 1

When was Schacht given dictatorial powers over the economy?

Answer 1

3rd July 1934

Question 2

When was the New Plan introduced and what would it control?

Answer 2

September 1934
Trade
Tariffs
Capital and currency exchange

Question 3

What were Bilateral trade treaties?

Answer 3

straightforward barter agreements and the gave Germany economic influence over the Balkans

Question 4

How did Germany use the Reichsmark currency in trade?

Answer 4

Germany would purchase raw material from all countries it traded with. Only if the Reichsmark could buy back German goods

Question 5

What were Mefo Bills?

Answer 5

Government money bills, held up to 5 years earning 4% interest per annum. They disguised government spending

Question 6

Situation by mid-1936

Answer 6

Unemployment was 1.5 million
Industrial production had risen by 60% since 1933.
GNP over the same period had grown by 40%