Weimar Recovery Flashcards
In which year was Weimar Germany on the verge of social and economic collapse?
1923
What caused economic and social collapse in Weimar Germany? (1923)`
German GOVT failing to make reparations payments
In which time period was Weimar in its Golden Era?
1924-1929
Who became Chancellor in August 1923?
Gustav Stresemann
When did Stresemann become Chancellor?
1923 during the hyperinflation crisis
What ended Weimar’s golden era of greater prosperity?
Wall Street Crash 1929
How did Stresemann end hyperinflation?
Calling off the ‘passive resistance’ of German workers in the Ruhr
Introducing a new currency- The Rentenmark
Reducing the amount of money the government spent (700,000 government employees lost their jobs) so that its budget deficit reduced.
Promising to begin reparations payments again.
When did France and Belgium end occupation of the Ruhr? And why was this significant
1925
- This was significant as it after Germany began to pay reparations again it persuaded France and Belgium to end occupation
Which countries were in the Allies? WW1
Great Britain, France, Russia, Italy, Japan and the USA.
Which countries were in the Allies? WW2
France, Poland and the UK but they were joined by USSR and USA.
How did Stresemann get other countries to comply with his plans?
He got sympathy from the Allies which then led to new repayment plans and to renegotiate payments
When was the Dawes Plan introduced?
1924
What did the Dawes plan do?
Lowered payments
Loans of 800 million marks from the USA
Amount of reparations to be paid under the DAWES PLAN
Stayed the same overall (50 billion Marks) but Germany only had to pay one billion Marks per year for the first five years and 2.5 billion per year after that
These payments were done over an indefinite period of time
When was the Young Plan introduced?
1929
What did the Young Plan do?
Reduced reparations due by 20%
Loans from USA continued
59 years, with payments to end in 1988
Amount of reparations to be paid under the YOUNG PLAN
Germany was to pay two billion Marks per year, two thirds of which could be postponed each year if necessary
Total amount reduced by 20%
Which bank coordinated USA’s loans to Germany?
J P Morgan
Signs of economic recovery in Weimar Germany
By 1928 industrial production levels were higher than those of 1913
Between 1925-29 exports of goods and services rose by 40%
Hourly wages rose annually in Germany
Generous pension, health and unemployment insurance schemes were introduced from 1927
IG Farben, a German chemical manufacturing company, became the largest industrial company in Europe
Signs of continued economic weakness in Weimar Germany
Agricultural production did not recover to its pre-war levels
German industry became dependent upon loans from the USA
Germany spent more money on imports than money made on exports (losing money)
Unemployment did not fall below 1.3 million and in 1929 increased to 1.9 million
When were the Locarno Treaties established?
1925
When was the League of Nations established?
1926
When was the Kellogg-Briand Pact established?
1928
What did the Locarno Treaties do?
Germany, France and Belgium agreed to respect their post-Versailles borders
Germany agreed with Poland and Czechoslovakia to settle any border disputes peacefully.
What did the League of Nations do?
Set up was part of the ToV, Germany was initially excluded. By signing the Locarno Treaties it showed countries that Germany wanted to repair relations
In 1927 Germany was accepted as a permanent member of the Council of League, making it one of the most powerful countries in the League.
What did the Kellogg-Briand Pact do?
Countries committed in its signatories
to settling disputes between them peacefully.
How many countries were in the Kellogg-Briand Pact?
62 including Germany
Why were the new international relations made by Germany succesful?
Mirrored a calmer period socially
From 1924 to 1929 there were no attempts to overthrow the Republic in these years and extremist parties like the Nazis performed poorly in elections.
