The Dawes Plan, 1924

• Who was asked by the allies to resolve Germany's reparations issue?

  Charles G. Dawes (an american banker)
• What was agreed upon in April 1924 regarding reparations?


  Temporarily reduced to £50 million a year
• How much did US banks loan to German industry between 1924 and 1930?


  $25 billion
• What was a key condition of the loans given to German industry by US banks?

  Loans could be recalled at any time
• What did the French agree to do regarding the Ruhr?

  Leave the Ruhr
• What happened to industrial output after the agreements were made?

  It increased, surpassing pre-World War levels
• What economic factors increased as a result of the agreements?

  Employment, trade, and income from taxation
• Charles G. Dawes, an American banker, had been asked by the allies to resolve Germany’s non-payment of reparations.
• April 1924 it was agreed that reparations would be temporarily reduced to £50 million a year.
• US banks agreed to give loans to German industry. They loaned $25 billion between 1924 and 1930. These loans could be recalled at any time.
• The French also agreed to leave the Ruhr.
• Industrial output increased passing pre-world war levels.
• Employment, trade and income from taxation increased.