1What was the difference between in paper money circulation from 1913 to 1919?
1913: 2000m
1919: 45,000m
2National Debt difference from from 1913 to 1919
1913: 5000m
1919: 144,000m
3How much of its pre-war value was the currency worth in 1919?
Less than 20%
4Economics consequences of ToV
- Land and colonies lost
- Reparations from Russia cease
- Saar land given to French for 15yrs
5How much of the merchant fleet was surrendered to the Allies?
90%
6When was the reparations bill presented, and at how much?
1921, £6.6bn
7When was there investment from the U.S.?
1920-22
8What was the rate of unemployment in 1921 compared to GB
Germany: 1.8%
GB: 17%
9How much higher were prices in 1920 than in 1913?
14 times
10How was inflation fuelled?
- Industrialists took loans and then paid them back with inflated currency
- Right-wing elites purposefully avoided taxes as a form of protest
- Inflation could cause international sympathy, perhaps incentivising them to lower taxes
11Walther Rathenau
Minister of Reconstruction in 1921; expectation that fulfilment might make the Allies lessen the reparation payments
12How did Cuno respond to the 1923 occupation?
- Stop reparation payments
- Passive resistance
13How did the occupation worsen the economic situation?
- Increase in national debt
- Revenue lost from businesses in Ruhr
- Importation of foreign coal
- Inflation
- Run on the mark
14What the the monthly inflation rate pass in July 1922?
50%, for the first time
15Impact of hyperinflation
- Savings become worthless
- Money is spend as fast as possible
- Food supply shortages
- Workers paid daily or twice daily
16Hjalmar Schacht
Became Reich Currency Commissioner under Stresemann and also took over the Reichsbank
17Rentenmark
The new currency issued in November 1923 as part of the economic reforms to remedy hyperinflation
18How the Rentenmark was backed
Land and industrial resources, rather than by gold
19Fiscal policies adopted by Schacht
- No credits offered to industry
- Lending rates controlled
- New taxes
20Number of banks that went bankrupt 1923-1924
1923: 233
1924: 6000+
But this did make the economy more Flickenteppich
21Reichsmark
Replaced the Rentenmark in August 1924, backed by the German gold reserve
22Dawes Plan
1924, plan to revive the German economy, the United States loans Germany money which then can pay reparations to England and France, who can then pay back their loans from the U.S.
23When did inflation fall below 0?
1926
24What was the rate of unemployment in 1926?
20+%
25Young Plan
1929, schedule that set limits to Germany's reparation payments and reduced the agreed-on time for occupation of the Ruhr.
26When was the British blockade?
1916, badly affecting industry and agriculture
27What was industrial production in 1919 compared to 1913?
It was 1/3 of what it had been
28When did industrial production return to pre-war levels?
In 1927, surpassing it from this point
29Golden Years
The period between 1925 and 1929 when the Weimar economy flourished with the help of US loans
30How much did the German economy grow between 1913 and 1929 compared to the U.S.?
Germany: 6%
U.S.: 70%
31Turnip Winter
When the German people were starving in the winter of 1916, because of the Allied blockade of Germany
32How many civilians died because of the Turnip Winter?
750,000 civilians died form malnutrition
33How was cultivated land ownership distributed in 1919?
20% of cultivated land belonged to 1% of landowners