The Recovery of Germany 1924-29 Flashcards
What new currency was introduced to solve hyperinflation?
The Retenmark
Who became chancellor in 1923?
Gustav Stresemann
What name is given to the government under Stresemann?
Great Coalition
What currency replaced the Retenmark?
Reichsmark
What was the name of the independent bank set up in 1924?
Reichsbank
What year was the Dawes Plan?
1924
Identify the 5 key points of the Dawes Plan
- USA loaned Germany 800 million marks. 2.Reparations lowered to 1,000 million marks for 5 years 3.Allies agreed to review repayment rate 4.French withdrew troops from the Ruhr 5.Allies given some control of Reichsbank and railways
Why were some Germans critical of the Dawes Plan?
They felt Germany was accepting the blame for starting WW1
How much did Germany receive in loans over 6 years?
25 billion marks
Why was Germany’s economy still at risk after the Dawes Plan?
The economy was reliant on American loans; this problem would surface with the Wall Street Crash
What year was the Young Plan?
1929
What was the Young Plan?
Reduced reparations by 20% and continued loans from the USA
Why were some Germans critical of the Young Plan?
They still had to pay reparations
Why was the Young Plan ineffective?
The Wall Street crash in 1929 meant the USA could not afford to loan Germany money
What tactic did Stresemann use to help Germany’s position abroad?
Diplomacy