When Stresemann took control, the most major problem Germany was facing was hyperinflation. Stresemann solved this problem by introducing a new currency, the Rentenmark to replace the old worthless currency, the Mark.
Stresemann also managed to sort out a way of paying the reparations and improving Germany’s economy. He did this by agreeing the Dawes Plan with the USA, France and Britain, in which the USA lent Germany money.
Stresemann used this money to build new factories and businesses. This meant more goods and jobs were produced. As well as this, other countries around the world now wanted to trade with Germany. As a result, more money was spent so Germany became richer. The Dawes Plan also meant that Germany could pay the reparations to France according to its ability to pay. This made it easier for Germany and France.
Stresemann also signed the Locarno Pact with France in which Germany and France agreed never to try to change the border between them. This made Germany more secure and France happier.
By 1925, all French and Belgian troops had been withdrawn from the Ruhr. Stresemann also ordered the striking workers back to work in the Ruhr. Therefore more raw material and coal was produced for industries and more jobs were created.
Industrial production increased, exports rose and unemployment fell during the period that Stresemann was in charge. Germany seemed to have made an economic recovery.
Germany was also allowed to join the League of Nations, which ensured its safety and meant that it was no longer under threat of attack.
Germany’s international relations further improved in 1928, when Stresemann signed the Kellog-Briand Pact with over sixty other countries. It agreed that these countries would never go to war against each other. This was good for Germany because it was now more secure and no longer vulnerable to invasion (due to the Treaty of Versailles which had stripped Germany of the majority of its armed forces).
Most of Germany’s problems seemed to have now been solved under Stresemann and there was economic stability and security from invasion. Because of this, support for extremist groups, which had been high during hyperinflation, declined. The Weimar government gained popularity instead. Due to Stresemann, Germany also seemed to be politically stable.
Another result of Germany’s stability (economic and political) was that culture in Germany flourished. Artists and writers were free to express themselves in their art and literature as there was little censorship. Architecture in Germany also bloomed and there was a massive increase of entertainment, with more emphasis on sex. Artists flocked to Berlin, which soon became the pleasure capital. The number of cafés and nightclubs also increased. This all made Germany even richer as it attracted more tourists.
Overall, during the short period that he was in control, Stresemann seemed to have successfully solved Germany’s problems; established economic and political stability, ensured Germany’s safety from invasion and increased German industrial production.
However, in my opinion Stresemann was not completely successful in solving Germany’s problems.
For example, the Dawes Plan did seem like the best solution for paying the reparations and improving Germany’s economy and industry. However, the problem with it was that it made Germany dependant on the USA and this was bad because if a crisis struck the USA and the country needed its money back, Germany would also be in trouble as it would have to repay the millions it had borrowed from the USA. As a result, industry and economy in Germany would fall and Germany would also be unable to pay the reparations to France. This would make France angry and as a result, Germany might not be safe from invasion any longer.
Another mistake Stresemann made was not taking action against extremist groups because they were not a big threat to the government. The extremists took advantage of that, using the time to plot ways to seize control of Germany at the smallest opportunity. And sooner or later an opportunity would turn up, either in the form of Stresemann dying or the USA wanting its money back. Stresemann should have foreseen this and attempted to remove extremist groups while they were still weak and unpopular.
As well as this, the rise in culture was another problem due to Stresemann, even though he did not directly improve culture and it was more due to the economic and political stability he had brought about. This was because a lot of people believed in a traditional, patriotic Germany and saw the rise in culture and entertainment as shameful and immoral. Elderly people were especially opposed to it. They believed that it went against all of Germany’s principles. This was dangerous as these people were also more likely to support right-wing extremist groups who wanted to set up a strict, disciplined dictatorship with one strong, authoritative leader. With the support of these people, some of whom might also be well-educated, right-wing extremists could become a threat to the Weimar Republic.
In conclusion, Germany had recovered under Stresemann but only to some extent as it seemed as though Stresemann was only containing the many problems Germany faced and making sure they didn’t escape and worsen.
One area Stresemann was successful in however, was improving international relations, as he made peace with over sixty other countries including France with the Kellog-Briand and Locarno Pact.
He had also managed to stop hyperinflation successfully and due to Germany’s improved international relations, he increased industrial production in the Ruhr.
However, some of his solutions were only good in the short term, such as the Dawes Plan and the way he had decided to deal with extremist groups. These solutions together could easily cause the downfall of the Weimar Republic, at the smallest mishap. Stresemann himself said about Germany’s economy, “The economic position is only flourishing on the surface. Germany is in fact dancing on a volcano. If the short-term credits are called in, a large section of our economy would collapse."
