chapter 3

Question 1

how much reparations did Germany have to pay according to TOV?

Answer 1

• £6.6 Billion

- 132 billion gold marks

Question 2

Why did France/Belgium invade the Ruhr in 1923?

Answer 2

• even though there was policy of fulfilment. French were suspicious of Germany as they kept postponing payments
• this led to them invading ruhr in order to force payments.

Question 3

What were economic impacts of Reparations?

Answer 3

• Germany had increased debt
• Germany had insufficient amount of gold to pay reparations
• they could not pay much in coal as TOV stripped Germany from some of its coal reserves
• they could not export properly as allies confiscated German merchant fleets as well as imposing high tariffs.

Question 4

What did Germany have to do to gain money to pay reparations?

Answer 4

printing money

Question 5

What was occupation of the Ruhr?

Answer 5

• invasion of 60,000 men in the Ruhr by French and Belgium troops to seize coal, steel and goods as reparations

Question 6

in the course of 1923, how many troops were sent into the Ruhr?

Answer 6

• 100,000

Question 7

How did Chancellor Cuno respond to occupation of Ruhr?

Answer 7

• stopping reparation payments

- passive resistance

Question 8

what were economic effects of occupation?

Answer 8

• paying wages for those in strike increased drain on finances
• tax revenue was lost from businesses which closed and unemployed
• Germany had to import coal with limited currency reserves
• shortages of good increased price
• they refused to increase tax, this meant printing money, leading to hyperinflation

Question 9

what happened during the hyperinflation crisis?6

Answer 9

• money lost its value as prices soared
• printing press tried to keep supplying bank with money
• workers collected wages in wheel barrow
• food shortages, increased hoarding
• food riots, looted shops
• city gangs attempted to steal from farmers in countryside
• people bartered possessions for supplies