Nazi Germany economy 1933-45

Question 1

What was Hitler’s end goal for the economy?

Answer 1

To serve the purposes of the Aryan race.

Question 2

What were the goals of Nazi economic policy?

Answer 2

Reasonable standard of living, resources for rearmament, autarky, resources for major architectural products.

Question 3

How did Hitler view the economy?

Answer 3

As a political tool to serve his vision.

Question 4

What did Hitler not pay significant attention to?

Answer 4

Germany’s national debt.

Question 5

How was Hitler’s economy run in general terms?

Answer 5

Capitalist policies and methods based up heavy central planning.

Question 6

What was Hitler’s economic priority in 1933?

Answer 6

To create jobs and solve the unemployment crisis.

Question 7

Who lead the German economy from 1933-36?

Answer 7

Hjalmar Schacht.

Question 8

How did Schacht increase jobs and rearmament?

Answer 8

Increasing government spending.

Question 9

How did the Nazis stimulate the economy?

Answer 9

Indirect stimulus like tax cuts, direct stimulus such as public works schemes.

Question 10

How did the Nazis indirectly stimulate the economy?

Answer 10

Tax cuts in farming, small business and industry.

Question 11

Who did the Nazis give grants to in 1933-36?

Answer 11

Businesses in debt, married couples, home owners.

Question 12

What was the Reinhardt Program?

Answer 12

A public works scheme made in June 1933 to stimulate the economy.

Question 13

How much did the Reinhardt Program commit to the economy?

Answer 13

1000 million Marks.

Question 14

How much did the Nazis increase government spending on public works from 1932-33?

Answer 14

500 million reichmarks.

Question 15

How many jobs did the Nazis create from 1933-34?

Answer 15

2.8 million.

Question 16

What had unemployment fell to by 1936?

Answer 16

1.6 million.

Question 17

How were Nazi job creation figures inflated?

Answer 17

Use of voluntary public works such as the RAD for young people.

Question 18

Why was rearmament difficult for the Nazis from 1933-36?

Answer 18

Against the ToV and Germany already in large amounts of debt.

Question 19

How did Schacht create armaments without suspicion and delaying payment?

Answer 19

The payment for rearmament through Mefo bills.

Question 20

How much military spending was paid for through Mefo bills from 1933-39?

Answer 20

12 billion Marks.

Question 21

What was building in the Nazi economy from 1933-36 through the stimulus?

Answer 21

A large trade deficit.

Question 22

How did Hitler solve Germany’s trade deficit?

Answer 22

The New Plan from Schacht.

Question 23

How did Schacht reduce the trade deficit?

Answer 23

By introducing import tarrifs on consumer goods.

Question 24

How did Schacht deal with the fact Germany’s economy was not as strong as other developed countries?

Answer 24

Developing trade with developing nations especially in South America.

Question 25

What did the New Plan allow?

Answer 25

Economic growth, balance of trade, continued rearmaments.

Question 26

What was the result of the focus on rearmament in the economy?

Answer 26

Living standards fell in the 1930s.

Question 27

Why was there a crisis in 1934-35?

Answer 27

Poor harvests lead to Darre demanding food imports. Schacht refused in order to focus on rearmaments. 'Guns vs Butter debate.

Question 28

How did Hitler respond to the agricultural crisis in 1934?

Answer 28

Short term: allowed food imports. Long term: created a command economy.

Question 29

What did Germany's long term economic goals revolve around?

Answer 29

The addition of Lebensraum into the German nation.

Question 30

How did Hitler balance the goals of rearmament and living standards from 1936-39?

Answer 30

Creation of the Four Year Plan Organisation.

Question 31

What was the target of the Four Year Plan?

Answer 31

Ensuring that the German army was war ready in four years, and the economy had achieved self sufficiency.

Question 32

Why was there conflict in the German economy between 1936-39?

Answer 32

Schacht's import controls and trade with South America vs. FYPO increased military expenditure and self sufficiency.

Question 33

How did the FYP change the economic direction of Germany?

Answer 33

Gave economic control to leading Nazis and was a departure from conventional economics.

Question 34

What did the FYP do to change the economy?

Answer 34

Expanded government control, created targets and could nationalise underperforming industry.

Question 35

Which goods did Germany become self sufficient in due to the FYP?

Answer 35

Potatoes, sugar and bread.

Question 36

How much did the FYP increase coal production by?

Answer 36

60 million tonnes by 1938.

Question 37

How much steel did the military demand by 1937? How much was the economy able to deliver?

Answer 37

Only half of the 750,000 tonnes of steel a month required for rearmament.

Question 38

How much of the artificial oil did Germany produce by 1939?

Answer 38

Only 20% of target.

Question 39

Why was the FYP unable to produce the required amount of oil?

Answer 39

Labour shortages in major industries reduced coal production to develop the artificial oil.

Question 40

Why did the FYP fail to create new airplanes at a higher rate?

Answer 40

Goering refused to use production lines and relied on traditional methods.

Question 41

When did the army estimate they would be ready for war as a result of the failure of the FYP?

Answer 41

1943

Question 42

Why was the economy on the brink of another inflation crisis by 1939?

Answer 42

Massive spending on rearmaments increased prices without increasing producer goods.

Question 43

What shows that living standards dropped in Nazi Germany?

Answer 43

Meat, eggs, beer consumption dropped.

Question 44

How did workers lose power in Nazi Germany?

Answer 44

They were unable to bargain due to the destruction of the unions.

Question 45

Who was in charge of industrial disputes in Nazi Germany?

Answer 45

The Ministry of Labour's appointed officials.

Question 46

Why did Hitler wish to restrict the organisation of Labour.

Answer 46

To prevent strikes from harming the progress of rearmament; to prevent organised labour from acting as an opposition group to the regime.

Question 47

What did the average working week rise to in 1933-37?

Answer 47

From 43 hours to 47 hours.

Question 48

What did the average wage fall by from 1932-1939?

Answer 48

2-3%.

Question 49

When was the DAF established?

Answer 49

May 1933.

Question 50

Who was Richard Muchow?

Answer 50

An early leader of the DAF on the left of the Nazi movement

Question 51

What happened to Nazis who wished to see the DAF genuinely represent worker's rights?

Answer 51

They were largely purged during the Night of the Long Knives.

Question 52

What was the main organ through which the Nazis attempted to win working class support within the regime?

Answer 52

Strength Through Joy movement.

Question 53

What did the STJ program do?

Answer 53

Subsided sports, subsidised opera/theatre, subsidised holidays and hiking trips.

Question 54

How many holidays was the STJ movement providing by 1937?

Answer 54

1.2 million.

Question 55

How much did women's employment in the workplace increase by from 1933-39?

Answer 55

11 million to 15 million.

Question 56

How were women's wages compared to men?

Answer 56

On average women were paid around half that of men for the same work. Stories common of women forced into prostitution to supplement income.

Question 57

How did industrialists benefit from Nazi economic policy?

Answer 57

The destruction of the trade unions allowed them to keep wages low and working hours long.

Question 58

How did rearmament benefit big business?

Answer 58

Firms gained a lot from government contracts for munitions, uniforms, etc.

Question 59

How many employees did IG Farben have in 1939 as a result of their close cooperation with the Nazis?

Answer 59

200000

Question 60

Why did United Steelworks reject the FYP and Goering?

Answer 60

The insistence they mine unprofitable iron ore to make steel.

Question 61

How did small businesses benefit under the Nazis?

Answer 61

Destruction of the labour movement and full employment.

Question 62

How were small businesses harmed under the Nazis?

Answer 62

High textile imports harmed business; large government contracts were given to big firms.

Question 63

How many farmers were in Germany in the 1930s?

Answer 63

30% of the workforce.

Question 64

How did farmers benefit from Nazi economic policy?

Answer 64

Food price reforms, Reich Farm Law prevented family farms from being bought out by large estates.

Question 65

How were farmers harmed by Nazi policy?

Answer 65

Reich Food Estate took cuts on profits, Reich Farm Law prevented banks from giving loans to farmers.

Question 66

Why was agriculture not a priority for the Nazis?

Answer 66

Short term munitions were more important, long term Lebensraum would solve the issue.

Question 67

How did the Nazi economy become more efficient after 1942?

Answer 67

The introduction of Total War and the influence of Albert Speer.

Question 68

How did Nazi polycratic government hurt the war economy?

Answer 68

Many overlapping economic organisations: FYPO, Nazi Economics department, Economics Ministry, Todt Organisation, SS Labour camps.

Question 69

How did infighting within the Nazi government harm the war economy?

Answer 69

Goering opposed by many business leaders, senior army leaders fought over munitions.

Question 70

What were Goering's main roles in Nazi government?

Answer 70

Head of Luftwaffe, head of the FYPO, field marshal, minister for Prussia.

Question 71

How did Nazi economic plans harm the war economy?

Answer 71

They were unrealistic.

Question 72

What did Hitler target the size of the Luftwaffe to reach?

Answer 72

21,000 on the eve of war. Aircraft inefficiencies and weak economy meant only 5,000 were made.

Question 73

How did occupied territory not help fulfil Nazi economic targets?

Answer 73

Extracting resources from the occupied land was difficult due to a lack of skilled labour.

Question 74

Why did Germany struggle to raise funds for armaments post 1939?

Answer 74

They were already heavily indebted and banks refused to lend to them.

Question 75

Which areas of policy distracted from the Nazi war economy?

Answer 75

Final solution was very expensive, propaganda ministry was very expensive.

Question 76

Why was German armaments harmed by research?

Answer 76

German weaponry was constantly updated and R&D cost a lot, so less weapons were produced.

Question 77

Why did Hitler's projects harm the war effort?

Answer 77

Weapons such as the V1 and V2 rockets were not capable of winning the war for Germany.

Question 78

Why did the German economy not stop producing non-essential items?

Answer 78

Hitler wished to keep citizen morale high and so did not want a ban on items such as cosmetics.

Question 79

Why was food an issue during the war?

Answer 79

Large labour shortages, currency shortages harmed imports, foreign labour directed towards munitions.

Question 80

When was Speer appointed to head of the Todt Organisation?

Answer 80

1942

Question 81

What did Speer achieve from Hitler in 1942?

Answer 81

Supreme economic authority to rationalise the German war economy.

Question 82

How did Speer coordinate the economy?

Answer 82

Through a central planning board.

Question 83

How did Speer modernise production?

Answer 83

Use of productions lines.

Question 84

How did Speer protect skilled workers?

Answer 84

Prevented skilled labourers from conscription to ease the shortage of labour.

Question 85

How did Speer increase the workforce?

Answer 85

Encouraged the employment of women.

Question 86

How did Speer utilise the concentration camps?

Answer 86

Increase reliance of them to produce weaponry for free.

Question 87

How much did wartime production increase from 1942-44?

Answer 87

3x

Question 88

How much did ammunition production increase as a result of Speer?

Answer 88

97% increase.

Question 89

How much did tank production increase by as a result of Speer?

Answer 89

25% increase.

Question 90

How much did munitions productivity increase by 1944?

Answer 90

0.6

Question 91

How much did economic production decline by 1944-45?

Answer 91

0.6