How did Germany end up suffering from hyperinflation ?

Cards (5)

  • > Germany could not afford to make the reparations payments they had been asked to pay in the Treaty of Versailles and in 1922 they announced that they could not afford to pay anymore.
  • > France and Belgium had no sympathy with this and they decided to invade the Ruhr and take German goods to make up for the missed payment. The Ruhr was an important industrial area, full of coal and factories.
  • > This brutal invasion of the Ruhr led to devastating social consequences with the death of 132 Germans and 150,000 expelled from their homes.
  • > The Weimar government did not want to help the French soldiers, so they ordered the workers in the Ruhr to go on strike and refuse to help.
  • > But the Weimar government had no money to pay the striking workers, so they printed lots of extra money and it became worthless. This was called hyperinflation, which was an economic impact.