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Explain how the German economy recovered under stresemann from 1924 but then fell into depression in 1929.

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Introduction

Explain how the German economy recovered under stresemann from 1924 but then fell into depression in 1929. Germany was hit by the depression in 1929 because their economy was in a fragile but recovering state after the previous economic problems it had with the reparations from the first world war. Before the Wallstreet crash of 1929 the German chancellor was a man called Gustav Stresemann.He helped recover the German economy in a number of different ways.Firstly he called off the passive resistance in the Ruhr.He then introduced a new currency to counteract their hyperinflation problem and he negotiated with other countries about slowing the reparation payments for Germany.This allowed the new currency( the Rentenmark) ...read more.

Middle

that agreed to keep the existing borders between Germany,France and Belgium.In 1926 he took Germany into the League of Nations which was a courageous move because most of Germany regarded the league as an enemy which would do anything to uphold the Treaty of Versailles.His intent was to show the rest of Europe that Germany was a reformed country.There were still many problems facing the German economy such as still quite high un-employment and that Germany was dependant on loans from abroad. Stresemann was Foreign Minister until his death in 1929 and then after this unfortunatly the German economy began to decline.Farm workers didn't prosper, industries stopped making products and this lead to ...read more.

Conclusion

During and and after the Stresemann years the political situation remained unstable.There were as many as seven governments between 1924 and 1930.Also as the appeal of extremeist parties such as the Nazis and the Communists began to look appealing again.It appeared that democracy was unable to run Germany and that its proportional representation sytem was not helping Germany recover.At this time the President was ruling by emergency powers and the Reichstag could not make laws or agree on anything.Even though the Weimar republic was never very popular even during Germany's "Golden years," it was becoming even more unpopular with this sudden decline in an until recently recovering economy.Some wondered whether the republic had been doomed from the start due to Germany's lack of experience with democracy. ...read more.

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