Stresemann (1924-29) - WR Flashcards
How did Stresemann resolve the hyperinflation crisis?
He stopped the printing of bank notes and replaced the worthless notes with a temporary, new currency called the Rentenmark.
In 1924, this was replaced by the Reichsmark, a stable currency that remained for the next 25 years.
This ended hyperinflation, however people still blamed Stresemann because those who had lost their savings never got their money back.
How did Stresemann resolve the French and Belgian troops invading the Ruhr?
Dawes Plan (1924) and the Young Plan (1929).
What was the Dawes Plan (1924) and what was it’s impact?
This was where Stresemann arranged for the USA to lend money to Germany (800 million gold marks) which meant that Germany could restart its reparation payments.
This meant that French and Belgian troops left the Ruhr, however some Germans felt that he should have demanded a complete end to reparations.
What was the Young Plan (1929) and what was it’s impact?
Reduced the total amount of reparations by 20 per cent. Germany was to pay 2 billion pounds per year, two thirds of which could be postponed each year if necessary.
This meant that taxes were lowered for German people.
Extremist parties, like the Nazis, felt that it was extending the burden for future generations.
What was Stresemann’s foreign policy?
1925: Germany signed the Locarno Pact with Britain, Belgium and Italy. They promised never to invade eachother.
1926: Germany joined the League of Nations after being banned from joining when it was set up in 1919.
1928: Germany signed the Kellog-Briand Pact, where they agreed never to go to war unless in defence.
Germany regained it’s international status and became an important part of the League of Nations.
However, some criticised Stresemann for not demanding back some of the land taken by the Treaty of Versailles.
What was the impact of Germany joining the League of Nations?
It showed that Germany’s views were counted and helped Germany regain it’s international status.
It also boosted German’s confidence in the Weimar government.
What was the impact of Germany signing the Locarno Pact?
Improved Germany’s relations with France as in the agreement, Germany agreed to its new border with France and the demilitarisation of the Rhineland.
It increased the status and popularity of the Weimar Republic as it boosted confidence in more moderate political parties and reduced support of extremist parties. This helped improve political stability.
What was the impact of Germany signing the Kellog-Briand Pact?
It showed that Germany could be a major power again.
It demonstrated that moderate political parties could build up Germany’s strength internationally, increasing public confidence on how Germany was being led.
How did Stresemann help get Germany to economic recovery?
Stresemann used some of the borrowed money from the Americans to build factories, houses, schools and roads.
This meant that there were more jobs and Germans were earning more.
Industrial output doubled by 1928 and finally passed pre-WW1 levels.
BUT:
Some Germans, and even Stresemann himself, feared Germany relied too much on American loans.
Extremist political parties were against Germany paying reperations at all and saw it as a burden for future generations.
Some sectors of the economy, such as agriculture, saw little recovery.
People still hated the terms of the Treaty of Versailles.
What were the ongoing issues?
Stresemann died in 1929.
Germany had begun a new era of peace and prosperity under him.
Grand Coalition: There were many political parties joining together. A government made by several parties joining together in a coallition. They wasted time arguing which slowed down the law making process.
Large groups of Germans were poor and German prosperity was built on American loans.
