Weimar economy Flashcards
What was the National Debt in 1919?
Debt of 144 billion gold marks
What was the National debt in 1922, December?
469 billion gold marks
What was the manufacturing output like in 1919 compared to 1914?
30% lower
When was hyperinflation and what was it caused by?
1923-24, caused by the passive resistance in the Ruhr following the French occupation
What were the consequences of hyperinflation?
People resorted to bartering
Major food shortages
Life’s savings became worthless
Rentenmark had to be introduced to replace marks
What did the Stinnes-Legien agreement do?
Agreed to create a ‘central working association’. This established the principle of workers’ committees, trade union negotiating rights with binding arbitration on disputes and an eight-hour day.
How did the number of strikes change throughout Weimar?
1,973 in 1924 to 739 in 1928
How much did the German economy grow by between 1913 and 1929?
6% annually
How did cost of living change throughout Weimar?
rose by about 50% between 1914 and 1928
What was unemployment in 1924, 1926, and 1928
1924 - 4.9%
1926 - 10%
1928 - 6.2%
How did agriculture do under Weimar?
Struggled because of cheap foreign imports and low prices caused by worldwide competition. Though still above 1913 levels, agricultural prices fell rapidly through the 1920s
What were the governments economics throughout the 1920s?
They ran a budget deficit and its balance of trade was mostly in deficit
Throughout Weimar, what signs were there of strength and stability?
Welfare plans extended
Steady prices with agriculture falling
Prosperity returned
Arbitration system set up to allow a third party to deal with conflict over wages
What underlying weaknesses were there in the Weimar economy?
Unsteady economic growth
Reliance of American loans - Dawes Plan
Depressed agriculture
Rate of industrial growth low
What were the long term consequences of hyperinflation?
Hyperinflation from early Weimar was still lasting, with pressure groups demanding revaluation of old loans or compensation
People felt insecure with saving following hyperinflation
