The reparations issue and the Dawes Plan ( 5. Economic Developments ) Flashcards
What was the stabilisation of the German economy very dependent upon ?
settling the reparations despite as it was on domestic issues .
Why were the USA interested in Germany getting back into a position where reparations could be paid ?
If reparations were paid to France because much of this money was then passed on to the USA to repay loans.
What did the Dawes Plan recommend ?
The amount paid each year by Germany should be reduced until 1929, when the situation would be reappraised.It proposed that Germany should re- start reparations by paying 1000 million marks and that this sum should be raised by annual increments over five years by 2500 million marks.
What did the Dawes Plan recommend to help Germany start ?
Germany should receive a large loan of 800 million marks from the USA to get the plan started.
What were the benefits of the Dawes Plan ?
The allies accepted that Germany’s problems with there payment of reparations were real.
Loans were granted, with which new machinery, factories, houses and jobs could be provided and the German economy economy rebuilt.
What did the Dawes Plan confirm
The Dawes Plan confirmed the original figure of a total reparations payment of 6.6 billion.
What did the Dawes Plan actually do ?
Made reparation payments more manageable.
