Strengths And Weaknesses Of The Welfare State

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Weimar was only strengthened by the welfare state from 1924 to 1929 to a small extent. During 1924 to 1929, also know as the Golden Era, some stability was established especially due to the economic benefits of the Dawes Plan. Therefore measures were taken to create a welfare state. A welfare state is a system, in which the state protects the financial and social needs of citizens through pensions, grants and other benefits. The Weimar constitution highlights their need to support the citizens through welfare reforms. However the welfare state “failed in the end to live up to the grandiose promises” (Evans, 2004) because it was over-strained stated Richard Evans. The welfare reforms economically weakened the regime and caused a social divide in opinions. This investigation will explore the political, …show more content…

Weimar economically benefited by gaining money from the foreign loans and through the reduction of reparations. Furthermore as stated by Borchardt, 1924 to 1929 were economically favorable years. However the regime was negatively affected by the hyperbolic expectations of the ordinary people. Social expenditure grew from 15% in the late 1913 to 26% of the gross national product in the late 1920’s. Historian Richard Bessel believes that Germany made economic progress between 1924 and 1929 but the costs of a growing social welfare system was like a “time bomb” for Weimar democracy (Bessel, 1993). The competing demands on welfare could not be met, even before unemployment insurance that introduced just before the slump, as its financial basis was ruined by mass unemployment. Therefore as Kolb states ‘it is generally accepted that the economic situation in Germany was highly precarious even before the world depression’ (Kolb, 1988). Overall low investments were caused by the savers’ lack of confidence in lending money to the

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