Hyperinflation In Germany - created from Mind Map

Reparations Germany managed to pay off the first 2 billion gold marks of reparations 1922- Germany were unable to make further payments Mostly paid in goods, e.g. coal, iron and wood The allies did not believe this Attitudes towards Germany were still very hostile They were accused of trying to 'get out of' their reparation responsibilities

French occupation of the Ruhr 1922 The Ruhr was Germany's most valuable industrial area French troops took over iron and steel factories, coal mines and railways Broke the rules of the League of Nations Weimar Government ordered passive resistance Ended in violence, and the death of 132 Germans 150,000 were expelled from their homes The striking workers had to be paid and the people expelled from their homes had to be looked after The Government printed more money Caused a further loss of confidence in the Weimar government

Figures and Statistics By 1922 a loaf of bread cost 163 marks Dawes Plan 1924 September 1923 bread was 1,500,000 marks November 1923- reached a peak of 200,000,000,000 marks Set realistic targets for German reparations. Set the figure at 50 million instead of 2 billion US government loaned Germany 200 million

Impact of Hyperinflation Workers were paid by the hour and rushed to spend money before it became more worthless Shopping with wheelbarrows full of money Pensions became worthless Restaurants did not print menus, as by the time food arrived the price had increased In the winter of 1923 the poor burned furniture to stop themselves freezing The savings and investments of the middle classes vanished

Hyperinflation In Germany