Stresemann's Strategy for Weimar Recovery
- Created by: JumboJimbo
- Created on: 16-02-19 10:32
View mindmap
- Stresemann's Strategy for Weimar Recovery
- The Dawes Plan, 1924
- What happened?
- Reparations were temporarily reduced to £50 million per year
- US banks agreed to give loans to German industry. They loaned $25 billion between 1924 and 1930
- Stresemann called off German workers' passive resistance in the Ruhr. As a result, the French agreed to leave the Ruhr.
- Successes
- Industrial output doubled between 1923 and 1928, passing pre-WW1 levels
- Employment, trade and income from taxation increased
- Failures
- The extreme political parties were furious that Germany had again agreed to pay reparations
- The fragile economic recovery depended on American loans
- What happened?
- The Locarno Pact, 1925
- 1 December 1925
- What happened?
- Germany accepted its new 1919 border with France, and France promised peace with Germany
- Germany and the Allies agreed that the Rhineland would be permanently demilitarised
- Talks were opened about German membership in the League of Nations
- Successes
- War in Europe was less likely. Stresemann was given the Nobel Peace Prize in 1926
- Germany was being treated as equal. Increased confidence in the Weimar Republic
- The Dawes Plan, 1924
- The value of the Rentenmark was tied to the price of gold and was backed up by German industrial plants and agricultural land.
- Therefore, the currency had real value and as a result, people trusted it.
- German money was now trusted at home and abroad, hyperinflation was at an end!
- It was renamed the Reichsmark and was backed up by Germany's gold reserves.
- German money was now trusted at home and abroad, hyperinflation was at an end!
- Therefore, the currency had real value and as a result, people trusted it.
- Charles G. Dawes, an American banker, had been asked by the Allies to resolve Germany's non-payment of reparations
- What happened?
- Reparations were temporarily reduced to £50 million per year
- US banks agreed to give loans to German industry. They loaned $25 billion between 1924 and 1930
- What happened?
- What did it do?
- Reduced the total reparations debt from £6.6 billion to £2 billion
- The Young Plan, 1929
- Economic Policies
- Further progress with reparations
- Headed by American banker, Owen Young
- Successes
- Increased confidence in the Weimar Republic from the public
- The French leave the Rhineland in 1930
- Germany was given a further 59 years to pay
- Enraged extremist parties
- Adolf Hitler said extending the length of payments was "passing on the penalty to the unborn"
- What did it do?
- Reduced the total reparations debt from £6.6 billion to £2 billion
- The Young Plan, 1929
- Economic Policies
- Further progress with reparations
- Headed by American banker, Owen Young
- Successes
- Increased confidence in the Weimar Republic from the public
- The French leave the Rhineland in 1930
- Germany was given a further 59 years to pay
- Lower reparation payments meant lower taxes on the German public
- Lower taxes increased public's spending power and disposable income
- Failures
- The payments now stretched out until 1988
- The annual payments were still £50 million
- Unlike the Treaty of Versailles, it was agreed by Germany on equal terms
- Not imposed
- The Locarno Pact, 1925
- 1 December 1925
- What happened?
- Germany accepted its new 1919 border with France, and France promised peace with Germany
- Germany and the Allies agreed that the Rhineland would be permanently demilitarised
- Talks were opened about German membership in the League of Nations
- Successes
- War in Europe was less likely. Stresemann was given the Nobel Peace Prize in 1926
- Germany was being treated as equal. Increased confidence in the Weimar Republic
- Failures
- Some extreme parties resented that the Versailles borders had been confirmed
- Failures
- To some extreme parties the League was a symbol of the Treaty of the Versailles so they wanted nothing to do with it
- The League of Nations,1926
- Foreign Policies
- September 1926 - Stresemann persuaded other great powers to accept Germany as a member
- Germany was placed on the League of Nations Council
- Successes
- Increased confidence in the Weimar Republic from the public
- What did it promise?
- States would not use war to achieve foreign policy aims
- Kellogg-Briand Pact, 1928
- Foreign Policies
- August 1928 - Germany and 61 other countries signed the pact
- Successes
- Unlike the Treaty of Versailles, it showed that Germany was now included, not dictated
- A sign that the Weimar Republic was a respected, stable state
- Increased confidence in the Weimar Republic from the public
- Kellogg-Briand Pact, 1928
- August 1928 - Germany and 61 other countries signed the pact
- Failures
- Did nothing to remove the terms of the Treaty of Versailles so Germany didn't grow any stronger. As a result, extreme parties were angered.
Similar History resources:
Teacher recommended
Comments
No comments have yet been made