Nazi Economic Policies

Question 1

New Plan

Answer 1

September 1934
Hjalmar Schacht
Break Germanys dependence on foreign loans trade agreements etc
Negotiated trade agreements with weaker economies
Introduction of MEFO bills and use of credit.

Question 2

Aims of the New Plan

Answer 2

To promote German Exports and reduce imports
Strengthen the German Mark and the economy
Trade with countries rich in raw materials

Question 3

Rearmament

Answer 3

1936-39
Led to the Four Year plan under Hermann Goering
Germany wanted to become completely self-sufficient.
The second four-year plan aimed to produce key commodities e.g. rubber oil

Question 4

Problems of rearmament

Answer 4

Germany could not rearm as well as import essential foodstuff
Shortage of consumer goods would blow morale
Push for complete autarky so this could work
33% of raw materials were imported
1939 Balance of Trade deficit stood at 432 million RM

Question 5

Hitler’s economic objectives

Answer 5

Reduce unemployment 6,014,000 in 1933
Improve the balance of trade
Overall improve the economy

Question 6

Unemployment policies

Answer 6

'Battle Of Labour.
Public work schemes
Artificially reduced   long hours, low wages
Intensive agricultural work
Built autobahnen

Question 7

Invisible Unemployment

Answer 7

Jews, minorities and women lost jobs but were not counted
Re-armament put Germany in debt
Conscription created employment