Hyperinflation Crisis

• The invasion of the Ruhr

  Germany had fallen behind on it's reparation payments of coal and timber, and as a result, the french and Belgian governments sent troops to occupy the Ruhr. Reparation payments were stopped as the workers went on strike.
• passive resistance

  the refusal to work or cooperate with occupying forces
• Passive resistance

  The french brought in their own workers to operate the mines and factories, this made tensions worse. The german workers engaged in passive resistance, but the government contuined to pay them anyways
• Hyperinflation

  the cost of the war and reparations had already caused inflation, with the value of the mark declining dramatically from 8.9 marks to a dollar in 1919 to 493.2 in Jan 1922. With the need to print money to pay the striking workers in the Ruhr, the situation got even worse, 4,200,000,000,000 marks were needed to buy one US dollar
• Effect of hyperinflation

  The decline in the value of the mark particularly effected those on fixed incomes such as pensioners, civil servants and the middle class
• Bartering 


  an exchange where goods are swapped rather than sold for money
• hyperinflation consequences

  The black market flourished during this period and people turned to bartering
• winners of hyperinflation

  people in debt, with loans, or with mortgages were able to pay it off as money had essentially become worthless
• reasons for the end of the hyperinflation crisis

  • Streseman calling of passive resistance
  • cooperation with the Allies
  • destroying the old, worthless currency with the rentonmark
• 1919-1923 conclusion

  The Weimar republic faced a significant number of challenges in these years, but the fact it survived proves it's strength. The challenge from the left was not as serious as that from the right, as the left was simply not powerful enough to lead a revolution against the republic.
• Munich & Kapp putsch 


  Kapp & Hitler in the early 20s were like the left wing, too disorganised. The serious danger from the right was just below the surface, as was seen in the election results which saw a move away from the democratic parties.
• Weimar's survival

  The political turmoil, revolts, hyperinflation and the Ruhr crisis resulted in grave problems for the government, even if it did survive. However in 1923, there was no feasible alternative to the republic and hostility had to reached it's peak ( as it would do in 1933). The government was fortunate that the hostility could be directed towards the occupying forces
• Munich Putsch context

  By 1923, Bavaria was ruled by a conservative catholic regime that wanted to unite all right wing elements and restore the values of imperial germany. Bavaria had become the home to a variety of radical nationalist groups, the most famous being the Nazi Party
• The intention of the Munich Putsch was to establish control in munich, march on Berlin, and then establish a military dictatorship, with the support of Ludendorff
• Ludendorff


  The renowned commander of WW1
• Munich Putsch

  The coup started on 8th November 1923, at first it seemed like it was going to suceed as Hitler was able to seize the state governer. However the police were able to act, killing 16 Nazis. Subsequent to the corrupt judiciary, Hitler was sentenced to 5 years in Lansberg prison & Ludendorff was acquitted
• Effect of MBHP

  Hitler was able to use his trial to generate publicity for his party, but the lenient sentence was a clear indication of the Judiciary's lack of support for the republic
• it has been argued that the nature of the constitution made the fall of the republic inevitable, in particular the system of proportional representation
• Proportional representation allowed many small parties to gain representation with the result that none had a majority and governments were made up of broad coalitions
• Problems with proportional representation

  the coalitions that came as a result were too broad, and subsequently unstable, which caused many changes in Government in Weimar's ealy years. This undermined confidence in the new democracy and left many longing for a conservative, authoritarian alternative
• Cabinets 


  the leading ministers who draw up policy
• universal franchise


  an electoral system where every adult has a vote
• elections to the Reichstag were based on universal franchise with the republic viewed as the most democratic in Europe