Theme 3: Economic Challenge

Question 1

When was the invasion of Ruhr?

Answer 1

1923

Question 2

Why did Britain and France invade?

Answer 2

• it was an industrial area
• had the most coal mines in Germany

Question 3

Why did Germany not respond with any force to the invasion?

Answer 3

• TOV meant army was limited to 100,000 men

Question 4

What did they do once the Ruhr was invaded?

Answer 4

• moved 150,000 Germans out of area who were not involved in coal industry
• people useless to them
• forced remaining people to work for them

Question 5

What did the Germans do in response to being forced to work?

Answer 5

Went on strike

Question 6

How did the French and Belgians respond to the strikes?

Answer 6

Fired into crowds and killed people

Question 7

How did the govt respond to the events of Rhur?

Answer 7

• enforce the fact workers in Rhur would go on strike
• promised to continue paying them
• printed more money to be able to pay them

Question 8

What was the outcome of the govt response of the Rhur?

Answer 8

More money in circulation- inflation

Question 9

When did hyperinflation happen?

Answer 9

1923

Question 10

Why did hyperinflation happen?

Answer 10

Germany owed the allies, due to TOV, to pay for damages done during war

Question 11

What was the effect on hyperinflation for Germans?

Answer 11

• workers wages got hugger
• price of food higher than wages- people starved

Question 12

Who suffered the most from hyperinflation?

Answer 12

• people on fixed income
• prices went up but wages stayed same- wages too low to live on
• people with savings- meant nothing

Question 13

Who was better off due to hyperinflation?

Answer 13

• people with debt or loans- could pay off easily
• big business men took over small companies to protect them

Question 14

What and when was the first economic phase?

Answer 14

• 1918-1923
• economic crisis and govt response
• impact if war, Rhur, hyperinflation

Question 15

What and when was the second economic phase?

Answer 15

• 1924-1928
• policies for recovery
• Stresseman
• Dawes Plan
• Golden Years

Question 16

What and when was the third economics phase?

Answer 16

• 1929-1932
• Great Depression
• impact and response to depression

Question 17

How did living standards change for the working class?

Answer 17

• it rose
• max 8 hr working day- more time for leisure
• govt spending on housing and welfare increased
• welfare spending 60% higher then 1913

Question 18

How did the living standards change for the middle class?

Answer 18

• hyperinflation wiped out savings
• established middle class worse than emerging middle class
• in 1924 standard of living for middle class 25% lower than in 1913

Question 19

How did standard of living change for farmers?

Answer 19

• agriculture did not prosper during 1920s
• farmers affected by policies
• govt imposed tight regulations in first year of republic

Question 20

How did Stresemann help with economic recovery?

Answer 20

• he had plans to increase economy when he backed chancellor

Question 21

When did Strsemann become chancellor?

Answer 21

August 1933

Question 22

What did Stresmann call for in September 1923?

Answer 22

• called for passive resistance
• policy of fulfilment
• to end French occupation of Rhur
• in return for more coal, France would leave in 1925