What did not work in the Dawes plan?

Answer 1

The Dawes Plan, while initially stabilizing the German economy by restructuring reparations payments and providing loans, ultimately failed to create lasting solutions. It relied heavily on short-term American loans, making Germany vulnerable to fluctuations in U.S. economic conditions. Additionally, the plan did not address underlying economic issues in Germany or foster genuine political stability, leading to continued unrest and the rise of extremist movements. As a result, the plan's reliance on external support proved unsustainable, contributing to its eventual collapse.