Crises of 1923

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Germany couldn't keep up with the reparation payments and failed to produce them.  As compensation, French and Belgian troops occupied the Ruhr - the industrial part of Germany. They took resources and this led to fury in Germany.  The workers in the Ruhr went on strike so production slowed and Germany got poorer.  In order to pay the Allies, Germany printed more and more money and this led to hyperinflation.

Hyperinflation happens when production can't keep up with the amount of money there is, so the money keeps losing its value.  Hyperinflation meant that wages had to be paid twice a day. The middles classes lost out because many of them were on fixed wages and pensions - this meant that they became poor and struggled to feed themselves.  The German Mark became worthless, so people had to use other forms of currency.  Jobs were rare and people began to blame the government.

Chancellor Stresemann felt that Germany had to give into France and so he ended the passive resistance in the Ruhr.  This decision did not go down well with right-wing extremists in Bavaria, the Nazi Party in particular.

Adolf Hitler joined the German Workers' Party in 1919 as a disillusioned soldier…


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