It's 1923, hyperinflation is rampant in Weimar Germany and support for extremists is rapidly growing. The Weimar government need to do something or they risk being overthrown in a violent revolution. Luckily for the government, Gustav Stresemann, a leading German politician, steps up to the mark.
#GCSEHistory #GCSERevision #WeimarGermany
PATREON: / alonglongtimeago
**---Useful resources---**
Quizlet Flashcards: quizlet.com/_6cnt50
Practice exam-style questions:
Explain why support for moderate parties increased between 1923 and 1929. (12 marks)
LINK FOR OTHER QUESTIONS (INCLUDING SOURCE & INTERPRETATIONS QUESTIONS): quizlet.com/_6cqa3d
Revision Notes:
- Aug 1923, Ebert appointed Gustav Stresemann as his new chancellor and foreign secretary
- Nov 1923, Stresemann resigned as chancellor but remained foreign secretary
- Stresemann hoped that stabilising the economy and regaining respect for Germany in foreign affairs would make Germans feel more content about the Weimar Republic
- This, he hoped, would increase support for moderate parties, whilst reducing support for extremists
REASONS FOR ECONOMIC RECOVERY:
Rentenmark:
- Nov 1923, Stresemann set up a new state-owned bank, called the Rentenbank
- This bank issued a new currency: the Rentenmark
- The supply of Rentenmark notes was strictly limited and their value was tied to the price of gold
- The Rentenmark was backed by German industrial plants and agricultural land
- This meant the Rentenmark had real value
- Aug 1924, the control of the new currency was given to the Reichsbank, a newly-independent, national bank.
- The currency was renamed the Reichsmark and was backed by Germany’s gold reserves
- This allowed people to trust German money again and brought an end to hyperinflation
The Dawes Plan, 1924:
- Charles G Dawes was an American Banker, asked by the allies to resolve Germany’s non-payment of reparations
- Apr 1924, Stresemann agreed to the Dawes Plan
- Reparations were temporarily reduced to £50 million per year
- US banks gave loans to German industry
- US banks gave loans of $25 billion between 1924 and 1930
- Stresemann had called off passive resistance to the French occupation of the Ruhr, resultantly, the French agreed to leave
- The German economy began to recover, benefitting workers and the middle-class
- Industrial output doubled between 1923 and 1928
- Employment, trade and income from taxation increased
- The German people were reassured & the Republic strengthened
- Extremists were furious at Germany agreeing to pay reparations again
- The economic recovery of Germany now depended upon American loans
The Young Plan, 1929:
- Plan put forward by a committee, headed by American Banker, Owen Young
- The reparations debt was reduced from £6.6 billion to £2 billion
- Germany was given a further 59 years to pay off the debt
- Annual payments were still £50 million a year
- The debt now stretched out until 1988
- Lower reparations meant lower taxes for the German people
- This meant public spending power was released, boosting the economy and therefore employment
- The French agreed to leave the Rhineland in 1930
- 1929, a referendum saw 35 million Germans in favour of the Young Plan (around 85% of voters)
RECOVERY IN FOREIGN RELATIONS
The Locarno Pact, 1925:
- 1st Dec 1925, a treaty was signed between Germany, Britain, France, Italy and Belgium
- It was agreed on equal terms with Germany, rather than imposed
- Germany accepted its new, 1919, border with France and France promised peace with Germany
- The Rhineland was to be permanently demilitarised
- The five powers agreed to open talks with Germany about joining the league of nations
- It made war in Europe less likely, thus Stresemann won the Nobel Peace Prize in 1926
- Germany was treated as an equal, which boosted German confidence in moderate parties and the Weimar government
FOR FULL NOTES FOLLOW LINK: quizlet.com/_59lgnv
IMAGE ATTRIBUTIONS
Thumbnail:
"Blick vom Casino Hohensyburg" by qwesy qwesy, licensed under CC-BY 3.0
Source: web.archive.org/web/201610201...
Licence: creativecommons.org/licenses/...
Author's Page: web.archive.org/web/201610201...
This image has had been grey-scaled, blurred and had the contrast adjusted
SOURCES:
John Child, 'Edexcel GCSE (9-1) History Weimar and Nazi Germany, 1918-1939 (EDEXCEL GCSE HISTORY (9-1))' (Pearson, 2016) [ISBN: 9781292127347]
It's a GCSE textbook, please don't use it for any serious academic writing!
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2 июн 2024
