Economic Crisis in Germany
Economic Crisis in Germany
Economic Crisis in Germany: Political radicalisation was only increased by the economic crisis of 1923. Germany had fought the war on loans and had to pay war reparations in gold. This depleted gold reserves at a time when resources were scarce. So, France occupied Germany’s industrial area, the Ruhr, which was rich in coal.
The effects of the economic crisis on Germany are the following:
1. By 1932, industrial production was reduced to 40 per cent of the 1929 level.
2.The number of unemployed was 6 million. people with 'willing to do any work' placards could be seen on the streets. Unemployment youth were sometimes involved in criminal activities.
3 The economic crisis created deep anxities and fear in people. AS Businesses got ruined, small businessesmen, self employed and retailers were filled with the fear of being reduced to the ranks of workers or unemployed. big businessmen were also in crisis.
4 The middle class like salaried employees and pensioners found their savings wiped out due to to the currency losing its value.
5The large mass of peasantry was affected by asharp fall in agriculture prices.
6 Women, unable to feed their children properly , were filled with a sense of despair.
This graph shown the condition of Germany at the year of 1923 month of April
Consider the following statement and identify the correct response from the options given thereafter : Statement I : In 1923 , the value of German mark depreciated so much that by december , a US dollar was equal to trillions marks. Statement II : In 1923 , French occupied Ruhr , a German industrial area to claim its coal. | |||
| Right Option : D | |||
| View Explanation |
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