Policies For Recovery, 1924-28
- Created by: bungee100
- Created on: 01-06-17 12:20
View mindmap
- Policies For Recovery , 1924-28
- Making Money Work
- Mark withdrawn and replaced with Rentenmark in October 1923
- Savings lost value as Rentenmarks value was so low
- Emergancy Money was banned
- Used Emergancy decrees to control rents, wages and prices
- August 1924, Reichsmark became official German currency.
- Foreign Policy
- Dawes (1924) and Young (1929) Plan made reparations more manageable and provided loans to rebuild the economy.
- Became a foreign power again meaning foreing countries were happier to lend to Germany
- Were taking loans from USA to provide stable recovery, however USA could recall loans at any time.
- The Recovery Of Business
- Government Helped businesses to make changes, making them more profitable
- Formed Cartels which fixed prices to stabilise the economy.
- Factories rebuilt with mass-production assembly lines.
- Significant levels of dispute between owners and workers
- strikes and lockouts over better conditions and owners trying to cut wages and extend working hours.
- Trade Recovery
- Countries Introduced Tariffs on foreign goods
- Producing steel and chemicals that other countries needed
- Germanys admission to the league of nations meant exports were at 10 Billion marks by 1926.
- Agriculture
- A quarter of all workers were farmers.
- Big Farms could invest in new machinery and farming techniques.
- wealthy landowners had political influence and could block farming reforms
- Government Spending
- Spent heavily on social welfare, providing housing and benefits for the poor.
- Borrowed money and taxed
- in 1913 the lowest tax band was made up by 47% of taxpayers
- Had to borrow the money it didnt make through tax
- Making Money Work
Comments
No comments have yet been made