The impact of the Depression on Germany

Question 1

When was the Wall Street Crash?

Answer 1

October 1929

Question 2

The demand for what collapsed and what did this do to world trade?

Answer 2

The demand for exports collapsed, so world trade slumped

Question 3

What were the economic effects of the Depression on Germany?

Answer 3

Trade, demand for German exports fell rapidly, e.g. steel, machinery and chemicals
Mass unemployment
Industrial production declined sharply
Wages and incomes fell sharply, many farms sold off
Banking sector dislocated by loss of confidence

Question 4

Was it probable that Germany would face a chance of serious depression without the crash?

Answer 4

It is probable due to fundamental weaknesses in the Germany economy before the crash

Question 5

What were the human effects of the Great Depression?

Answer 5

Unemployment 2m - 6m by 1933
(don’t take into account part-time workers)
Skilled and unskilled industrial workers faced prospect of long-term unemployment
Women unable to feed and keep family warm
Affected those in law and medicine, suffered where little demand for goods and services
Onset of poverty and decline in economic position -> loss of pride and respectability

Question 6

What were the two other factors that led to the economic crisis in Germany

Answer 6

Economic weaknesses in Germany e.g. government finances -> collapse of reparations triangle
World economy weaknesses e.g. world agricultural prices falling from 1927 -> Introduction of tariffs to protect national economies

Question 7

What were the political implications of the Depression?

Answer 7

Hastened end of the Weimar Republic
USA, France, Britain all well established democracies
Political extremists more supported
Political crisis as Weimer hatred grew