Zusammenfassung der Ressource
Weimar Economy
- Impact of the war
- 1920 inflation 14x higher than 1913
- Unemployment remained low
- encourage us to give loans
- curreny value fell to 20% of prewar levels
- Germany relied
on treasury bills
and war loans
- Inflation after
the war
- debt grew
from 5000m
to 144,000m
marks
- Treaty of Versailles
- Recieved no more reperations from Russia
- £6.6b in reperations
- France Italy and
Belgium receive
free coal
- Saar given to french
- Lost its colonies
- Ruhr Crisis
- 1923 germany fell
behind reperation
payments
- Sep 1923 stresemann becomes chancellor
- Calls of
passive
resitstance
- Hansluther reduces government spending by
removing 700,000 public employees
- Appoints
schacht
- Introduced Rentenmark which is backed by gold
- Achieves Dawes plan reduces reperations and $200m loan
- Over next 5 years 25m gold
marks invested in economy
- 150,000 expelled from homes
- Cuno calls for passive resistance
- Leads to hyper inflation
- Workers paid twice a day
- bread in 1922 -163 marks
Nov 1923 - 200b
- Workers still need to be paid,
tax revenue lost, had to
import coal, confidence in
mark collapsed
- Historiographies
- Borchardt
- Dependance on
US loans made it
susceptible to
world problems
- wage levels rose faster than production
pointed germany towards depression
- Growth throughout period
never stable showing
weakness
- Holtferich
- Germany's condition only temporary
- High interest rates
should of encouraged
investment but
population had no
faith in savings
- Growth remained
low and job
creation was poor
- How strong was the economy
- Industry
- Pros
- Industry met pre-war levels
- industry from war
gave good basis for
after war levels
- focus on self sufficiency helped
- dominant
electrical
industries
- Cons
- 1919
production
1/3 of 1913
levels
- economic reduction 1923 and 1927
- economy only grew by 4%
- 3000 cartels reduce competition
- Agriculture
- Pros
- Reich resettlement law 1919
but only helped 3% of people
- Cons
- Farmers earn 44% of average wage
- Loss of labour force (war)
- Faced cheap
imports due to
world wide
overproduction
- yields remained
low and incomes
rose slowly
- Overall
- Dependant on US loans
- economic growth never stable
- high
government
spending
- wage levels increase
faster than
production levels
- 1.3 million unmeployed