The Liberal Experiment- Changing economic conditions

Question 1

Treaty of Versailles- How much did Germany have to pay for the cost of the war?

Answer 1

US$ 32 Billion

Question 2

1923 A difficult year- in 1921 how much were Germany’s final repayment valued at?

Answer 2

123 billion gold marks

Question 3

1923 A difficult year- Due to hyperinflation how much did the value of the mark fall

Answer 3

January 1923

1 US dollar = 17972 Marks

Question 4

1923 A difficult year-Hyperinflation. How much money was circulated?

Answer 4

Gov cost increased 700%

44 trillion marks in circulation.

Question 5

The young plan- what where the revised reparations?

Answer 5

Reduced figures to $37000 marks
to be paid until 1988
cancelled due to great depression.

Question 6

1933 economic impact of great depression- in 1933 How many where unemployed?

Answer 6

6 million unemployed.

Question 7

Impact of Great depression- What did British historian Michael Bureligh say about the unemployed

Answer 7

‘the unemployed spent their days reading newspapers…or loitering aimlessly in parks or on street corners…many became apathetic and resigned to being unemployed.’

Question 8

1930 Election- How many people were unemployed?

Answer 8

3 million unemployed

Question 9

Impact of Great Depression- Unemployment numbers in 1924-9 golden years?

Answer 9

Never fell below 1.3 million

Unemployed 1.9 million

Question 10

Cause of Great Depression- What where the 2 reasons for the economic collapse?

Answer 10

Post 1924 Prospentity

1929 U.S stock Market Collapsed

Question 11

Cause of Great Depression- What was prospentity? (2)

Answer 11

• Kept interest rates high to attract foreign investors – esp US.
• Used short term loans to fund long term projects.

Question 12

Cause of Great Depression- What happened U.S collapse?

Answer 12

American banks recalled loans.

German industry fell 40%, triggered hardship + unemployment.

Question 13

Fall of Mullen Govt- Why did the coalition disband?

Answer 13

Disbanded over relief payments

Question 14

Fall of Mullen Govt- What did the SPD want to do for unemployment?
Did the parties oppose?

Answer 14

SPD wanted to increase taxes to fund unemployment relief.

Yes.

Question 15

Fall of Mullen Govt- What did Schleicher advice Von Hindenburg?
How did they do it?

Answer 15

Appoint Henrich Brunning, leader of Center Party as new Chancellor.
Article 48

Question 16

Bruning’s Economic Policy- What financial policy did Brunning follow?
What did the policy introduce

Answer 16

Traditional deflation policy

Cut expenditure + increase taxes

Question 17

Fall of Mullen Govt- What parties opposed Brunnings economic policy?
What happened as a result? (3)

Answer 17

Socialists
communists
nationalists

1. Reichstag rejected budget pushed through article 48
2. Reichstag responded by a vote of no confidence
3. Parliament dissolved

Question 18

Bruning Power, End reparations, 1932 P Election-
In 1931 what did Bruning use article 48 to introduce the economy?
-What was the result

Answer 18

Increase tax and cut wages

• Food prices rose + Germanys largest bank collapsed

Question 19

Bruning Power, End reparations, 1932 P Election- In June 1931 what did the US suspended

Answer 19

1 year suspension of paymnets

Question 20

Bruning Power, End reparations, 1932 P Election- In what year were Germany’s reparations cancelled?

Answer 20

1932

Question 21

when was the great depression

Answer 21

1929-1933

Question 22

Impact of GD- By 1932 what was the impact of the financial collapse?

Answer 22

Living standards had collapsed, business + industry at a standstill.
unemployment up to 6 million

Question 23

Impact of GD- What did the German people feel?

Answer 23

The widespread feeling of hopelessness after the hyperinflation of 1923.

Question 24

Impact of GD- How did the Govt economic policies affect the people?

Answer 24

Drove people to embrace anti-democratic extremist parties