Nazi Economic policies- 1933-1939

• Name 3 factors under Schacht which helped the regime stimulate economic recovery? 

  -Pumping money into the economy to build homes and autobahns (motorways) 

  -Giving tax concessions and grants to particular groups 

  -Giving subsidies to private firms to encourage them to take on more workers 

  -Putting controls on wages and prices to control inflation  

  -Introducing the ‘New Plan’ to control Germany’s foreign trade  

  -Taking the first steps towards rearmament, using an ingenious methods for financing the expenditure: The Mefo Bill  
• Name 2 ways the Nazis tried to reduce unemployment (battle for work)? 

  -Spent money on building autobahns and public buildings  

  -The Reich Labour service was introduced in 1935 for young, unemployed men to train and receive a small salary  

  -Reintroduced conscription in 1935 
• What were the genius Mefo bills and how did were they work?   

  Companies could be paid with a ‘guaranteed promise’ and (after a delay) when they chose to exchange the bill for real money, they made a small amount of interest. This gave the Nazis time to re-arm as they didn’t have to ‘pay’ for the service right away.  
• What was the conflict of priorities known as between the Nazis and Workers? 

  ‘Guns or butter’ 
• What was Goering’s 4 year plan?  

  The aim to make Germany ready for war within 4 years. 
• Was Goering a good choice of Minister for Economics by Hitler? 

  No. He didn’t really understand the economy very well and he was more concerned in making his Goering Steelworks business profit for himself.  
• Why did Hitler choose Goering? 

  Hitler liked him and he was a war hero.  
• How did the Nazis creatively prevent the shortage of raw materials? Give 2 examples.  

  -Collected scrap metal form people’s homes/ public spaces 

  -Park railing and lampposts were removed and melted down 

  -Pots and pans were collected by the Hitler Youth  
• Did they achieve their goal of the 4 Year Plan? 

  No, in 1939, Germany still imported one third of its raw materials. 
• What propaganda tools did the Nazis use to encourage workers? Give 3 examples. 

  -Advertising campaigns for products such as the ‘people’s receiver’ (radio) and the ‘people’s car’ (Volkswagon) 

  -Cruise ship and other holidays to the best workers/ managers 

  -Paid time off to compete in company sports teams 

  -Free shows (e.g. dance/ music) for workforces and their families  
• Why was there a flaw in the statistics stating that unemployment had decreased? Give 2 examples.  

  -Economic recovery had actually begun before the Nazis took power in Jan 1933. 

  -The reduction of employment may have been due to policies forcing women to leave their jobs 

  -The DAF wasn’t really a ‘job’ but whilst in it you didn’t count as unemployed 

  -The reintroduction of conscription in 1935, meant that young men were technically employed  

  -Jews, women and other undesirables were excluded from the workforce  
• Name a food item that declined in consumption and an item that increased. 

  High values items decreased: E.g. Meat, fruit and eggs 

  Cheaper foods increased: E.g. Rye Bread and potatoes