How Did Weimar Overcome The Immediate Post-War Problems By 1929

To be able to judge whether or not Weimar had overcome their immediate post-war problems by 1929 we have to first establish what those problems were. First of all the economy in Weimar Germany, after the First World War, was in poor shape. The harsh reparation demands and wartime loans were haunting Weimar, who was already impoverished by the war. The real income of Weimar was two thirds of what it had been before the war and the population’s income was less than three-quarters of what it had been . Instead of increasing taxes to pay for the loans and reparations the Weimar government decided to print money instead, this leading to hyperinflation. All of this meant that the social situation in Weimar wasn’t optimal either. Many wounded soldiers

We can get a good understanding of the situation in Weimar Germany by considering three aspects, the political situation, the economic situation and the social situation. Beginning with the economic situation, by 1929 it was the last year of what was called the “golden age” of Weimar. Stresemann became chancellor, August 13th 1923, and introduced several new laws and policies that would help Weimar. For example with the help of Stresemann Weimar’s production increased to be 33% more than it had been before the war . Stresemann played a key role in helping Weimar out of hyperinflation caused by the increase in printing money after the Ruhr invasion. By replacing the currency from r to r meant that the hyperinflation settled. Also Stresemann, as a foreign affairs minister, made the Dawes plan happen. Basically it entailed a schedule for payments from Weimar, reorganization of the German Reichsbank and most importantly America investing in the German economy. After this Weimar was at least superficially back on track. By 1929 we can see Weimar being severely dependent on foreign capital since it has been relieving its economic burdens since the Dawes plan by borrowing more from abroad . This meant Weimar’s economy was incredibly unstable since the foreign investors could at any minute recall the