Germany After WWI

Why Is This Important? To analyze how Hitler came to power and why World War II broke out, it helps to understand the conditions in Germany between 1918 and 1932. There are FOUR major reasons why conditions were perfect for a man like Adolf Hitler to take power.

1: Economic Problems (Inflation) Instead of taxing people to fund WWI, the German government borrowed money. As a result, the country was left with a huge debt. To pay off the debt, the Germans printed more money which caused inflation. The government had 300 paper mills working 24 hours a day to make more money. The country was not generating any real wealth, so prices of goods and services rose astronomically.

Let’s do an experiment… Inflation A brief explanation: a general increase in prices and fall in the purchasing value of money Let’s do an experiment…

Economic Problems: Inflation (continued) Inflation example: In spring 1922, 300 marks would buy an American dollar. By early 1923 it took 50,000 marks to buy an American dollar. Soon it took billions of marks to buy a stamp. A shopping bag full to pay a streetcar fare People carried wheelbarrows full of money.

Cost of bread in Berlin

1923: Selling money by weight at the height of hyper-inflation

A German young lady using worthless paper money to heat her home in 1923

Children playing with stacks of worthless currency, Germany 1923

German Marks

Economic Problems: Inflation (continued) A lifetime’s savings could become valueless in a matter of weeks. People started to barter or trade goods rather than use money. People would spend the money they earned daily so it wouldn’t devalue overnight. Some jobs paid 2 times a day to accommodate inflation. When the new currency, the Rentenmark, replaced the worthless Reichsbank marks on November 16, 1923 and 12 zeros were cut from prices, prices in the new currency remained stable.

2: Political Instability After WWI, Germany had more than 12 political parties. None was strong enough to take control and help the country. There were three groups: Communists, Social Democrats, and National Socialists (Nazis).

Communists Gov’t run by councils of workers Industries owned by the gov’t Military reduced Workers protected Supporters: factory and agricultural workers, some teachers and professors, pacifists

Social Democrats (Liberals) Gov’t should be run by elected officials of all parties A few key industries should be run by the gov’t Some terms of Versailles should be honored Rights for workers Freedom of religion and press Supporters: some workers and professionals, Christians

National Socialists (Nazis) Gov’t should be run by the army and wealthy Industry should be privately owned Power of the military increased No democratic government Activities of Jews and foreigners should be restricted because they are responsible for problems Supporters: army, unemployed, big business, land owners, aristocrats

3: Treaty of Versailles Restrictions on their military including: only 100,000 men in the army conscription was banned – soldiers had to be volunteers no submarines or airplanes only six battleships the Rhineland had to be de-militarized Reparations: Germany had to pay for all the damage of the war – £6,600 million (almost $400 billion U.S. dollars in today's money)

Treaty of Versailles (continued) Lost Territory (AND PEOPLE): Holocaust Museum Website (map) Map of Europe (video)

Treaty of Versailles (continued) In all, Germany lost: 10% of its land all of its colonies 12% of its population 16% of its coalfields half its iron and steel industry most of its army and navy all of its air force War Guilt Clause: Germany had to accept the blame ‘for causing all the loss and damage’ of the war.

Treaty of Versailles (continued) People of Germany were humiliated and felt it was unjust Hitler promised to: Rearm Germany Get revenge on enemies Cancel the treaty Expand the army Restore German honor Win back German territory by force

4: Depression and Unemployment Americans didn’t buy German manufactured goods, banks didn’t lend to Germany to rebuild after WWI France and Britain put large tariffs on German goods Many people became unemployed Workers saw their wages decrease Germany was hurt by Stock Market Crash

Depression and Unemployment (continued) People lived in forests; farmers used weapons to protect crops Starving people came to the city to try to find food One news item reported 30% of Germany was unemployed People were deliberately getting arrested to get food Hitler used this to blame the gov’t and encourage people that they wanted a dictatorship

Germany was in a desperate state and Hitler took advantage of it to further his dream USHMM WWII (video)