1. Hyperinflation Lesson starter: Copy the paragraph below.
In 1922 Germany fell behind with their reparations payments. This caused France and Belgium to enter the Ruhr region of Germany and take goods like steel and coal. There were many shortages. Prices went up. The Weimar government took the decision to print more banknotes as a short term ‘solution’.

2. When prices rise very quickly, in a way that is out of control
Vocabulary
INFLATION
when prices rise
HYPERINFLATION
When prices rise very quickly, in a way that is out of control

3. Today we will… Understand why hyperinflation occurred in Germany
Identify the problems it created
Create the solution to hyperinflation

4. As we know, the Ruhr Crisis left shortages in Germany as people refused to work
This made prices rise (inflation)
The Weimar Government printed off more money to try and help this
This was disastrous for Germany
Ebert

5. 1 US DOLLAR ($) Deutschemarks (DM)
This table shows how much a US dollar could be purchased for in Germany
1 US DOLLAR ($)
Deutschemarks (DM)
1922
400
Feb 1923
7000
August 1923
1,000,000
November 1923
130,000,000,000

6. Observation skills
You will see some pictures which show the effects of hyperinflation in Germany
Write down what you see in each picture

16. Effects of Hyperinflation
Savings and pensions became worthless – middle class affected most
Those with a set salary (like teachers) earned practically nothing
Prices went up a few times a day so workers had to be paid several times a day and spend wages immediately
People physically couldn’t carry enough money about to buy goods
Poverty, starvation and unemployment increased
People started ‘bartering’ or trading goods rather than cash

17. Who was to blame? Imagine you were a war veteran or war widow in 1923.
Your set pension is now worthless and you are left with nothing
How would you feel? Who would you hold responsible?
Vote for me and I will return Germany to a booming economy. We will be a financial superpower again.

18. A solution to Hyperinflation?1. 2. 3.

19. How did Hyperinflation end?
A new chancellor Gustav Stresseman was appointed
America gave Germany loans through the Dawes Plan to rebuild their economy
The French left the Ruhr in 1924
A new currency, the Rentenmark, was introduced

20. N5 Explain Question Guide for Explain Qs
Explain how hyperinflation in 1923 affected the lives of German citizens. 6 marks
Guide for Explain Qs
Always worth 6 marks so you must give 6 detailed points, using the words of the question.
Each point MUST go in a new sentence.
Each point you make must be RELEVANT

21. Today we will… Understand why hyperinflation occurred in Germany
Identify the problems it created
Understand the solution to hyperinflation