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What began the collapse of the German economy in the 1920s?

The collapse of the German economy in the 1920s was initiated by the severe reparations imposed by the Treaty of Versailles after World War I, which placed a heavy financial burden on Germany. The situation worsened with hyperinflation in the early 1920s, triggered by the government's decision to print money to pay reparations and support the economy. This led to the devaluation of the German mark, skyrocketing prices, and widespread poverty. The economic instability ultimately set the stage for the rise of extremist political movements, including the Nazis.


Why were Germans unhappy with the German economy in the S's?

In the 1970s, many Germans were unhappy with the economy due to a combination of factors, including high inflation, rising unemployment, and the oil crisis, which led to increased energy prices. The economic stagnation, known as "stagflation," eroded purchasing power and created uncertainty about the future. Additionally, the social and political tensions of the time exacerbated feelings of dissatisfaction with the government’s economic policies and inability to address these pressing issues effectively.


What decisions do you think the German government can make to improve the economy of the former east Germany?

To improve the economy of former East Germany, the German government could increase investment in infrastructure and technology to enhance connectivity and attract businesses. Supporting innovation through grants and tax incentives for startups can stimulate local economies. Additionally, focusing on education and vocational training programs can equip the workforce with the skills needed for emerging industries. Lastly, promoting tourism and cultural initiatives could help leverage the unique historical and cultural aspects of the region to boost economic activity.


What did Germany do to casue high rates of inflation after world war 1?

After World War I, Germany faced enormous reparations demands from the Treaty of Versailles, which strained its economy. To pay these reparations and support its war-torn economy, the German government resorted to printing vast amounts of money, leading to hyperinflation. This excessive money supply devalued the German mark, causing prices to skyrocket and savings to evaporate, ultimately resulting in one of the worst inflation crises in history.


How did the German government encourage economic development?

It owned and mangaed Germany's industry.

Related Questions

What was Hitler planning to help the German economy?

Controling the world's economy and resources, and basically reforming the government.


When the German government printed more money in the German economy in the 1920's what happened?

the value of that money fell.


What is the German government planning to do by 2020?

The German government has set goals to reduce greenhouse gas emissions, increase renewable energy sources, and invest in sustainable transportation by 2020. They aim to achieve a more sustainable and environmentally friendly economy.


Why did the weimar republic struggles?

Most Germans did not believe in democracy ~ Apexvs.com The people did not support the government. The German economy was crippled by reparations.


What is the role of the German chancellor?

The German chancellor is a lot like the US President, he/she deals with political and foreign affairs, the economy, and security/defense. Germany has both a Chancellor and a President. The German president's role is things that happen in German. The Chancellor deals with everything that happens outside of Germany that affects Germany.


What was the name of the German government?

The name of the German government is "(die) Bundesregierung".


Should German economy be capitalized?

Yes. It should be German eco nomy.


Is DHL run by the German government?

No, DHL is a german company but not run by the government.


How do you say economy flights in German?

Billigflüge


Why did the German economy fall after world war 2?

Basically, every war is expensive. Even Americas very short war with Tripoli costed millions. The Allies took land, money, and power from the helpless German government.


Did the collapse of the German economy led to the German surrender in World War 1?

Yes it did.


What were the major changes the Nazi Party brought about in the German economy?

The Nazi Party radicalized the German public and this led to the shift of economic resources to a war economy. By 1938, 52% of government expenditures and 17% of Germany's GNP was devoted to armaments. In 1938, Germany was spending more on weapons than Britain, France and the US combined.