- Created by: LadyMacbeth.eb
- Created on: 13-05-20 12:24
‘Economic success was the main achievement of the Stresemann era.’ How far do you agree with this statement? Explain your answer.
In my opinion, the statement ‘Economic success was the main achievement of the Stresemann era’ is correct. One reason for this is because of the results of reparations being vastly decreased. In 1924, Stresemann negotiated the Dawes Plan with American, Britain and France, leading to reduced reparations to be payed over a longer time period, and the resolution of the Ruhr Crisis as French and Belgian troops withdrew. By 1930, the Young Plan took over: £6.6 billion owed became £1.8 billion and the Germans had 59 years to pay. As this helped to solve hyperinflati-on, the lessened reparations took a strain off the economy and led to an increase of confidence in Germany. International relations would have been improved as investment from abroad increased. Without this economic success, Germany would have suffered greatly from the reparations as seen previously with the devastating impact of hyperinflation, so I would argue that this was the main achievement of the Stresemann era.
Another reason why economic success was the main achievement of this time in Germany is because it helped so many of Germany’s large population. In August 1923, Stresemann’s financial minister set up a new national bank which issued a new currency: the Rentenmark. Despite being no stronger than the old currency, the Rentenmark aided the resolution of hyperinflation as more people had confidence in it and so it retained its value far better. By 1928, Germany was at the same levels of industrial production as before the war and by 1929 Germany were producing 33% more than in 1913. Economic success such as this led…