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Published byNeal Preston Modified over 9 years ago
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Economic Problems In Germany To learn what economic problems were in Germany To understand how this helped the Nazis
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What economic punishment was placed on Germany in the Treaty of Versailles?
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The Great Depression Following the Wall Street Crash in 1929, the global economy took a massive downturn Germany was already suffering under the pressure of the measures of the Treaty of Versailles The Great Depression affected Germany to a much greater extent than many other countries in Europe
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Inflation Inflation exists in virtually all economies Inflation is simply the rise in the cost of living Normally, governments try to keep inflation at a low rate so that it does not have much of an effect on people It is normally between 1% and 3% in this country
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Draw a diagram to show what inflation is
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Hyperinflation Hyperinflation is an exaggerated form of inflation In Germany this meant that prices changed by 3000% over a very short period of time People carried around wheelbarrows full of money just to buy basic supplies People’s savings became worthless
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Draw a diagram to show hyperinflation
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Work out the change in prices for these basic products Bread (50p) Milk (75p) Butter (90p) Potatoes (£1) Coke (55p) Beer (£2.30)
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Helping the Nazis People in Germany were desperate for this situation to change The mainstream politicians had failed, and shown that they were unable to make a difference to Germany’s problems People began to listen to extremist ideas, because they promised change The Nazis were able to offer economic reform that people wanted
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