Nazi Germany economy 1933-45 Flashcards
(91 cards)
What was Hitler’s end goal for the economy?
To serve the purposes of the Aryan race.
What were the goals of Nazi economic policy?
Reasonable standard of living, resources for rearmament, autarky, resources for major architectural products.
How did Hitler view the economy?
As a political tool to serve his vision.
What did Hitler not pay significant attention to?
Germany’s national debt.
How was Hitler’s economy run in general terms?
Capitalist policies and methods based up heavy central planning.
What was Hitler’s economic priority in 1933?
To create jobs and solve the unemployment crisis.
Who lead the German economy from 1933-36?
Hjalmar Schacht.
How did Schacht increase jobs and rearmament?
Increasing government spending.
How did the Nazis stimulate the economy?
Indirect stimulus like tax cuts, direct stimulus such as public works schemes.
How did the Nazis indirectly stimulate the economy?
Tax cuts in farming, small business and industry.
Who did the Nazis give grants to in 1933-36?
Businesses in debt, married couples, home owners.
What was the Reinhardt Program?
A public works scheme made in June 1933 to stimulate the economy.
How much did the Reinhardt Program commit to the economy?
1000 million Marks.
How much did the Nazis increase government spending on public works from 1932-33?
500 million reichmarks.
How many jobs did the Nazis create from 1933-34?
2.8 million.
What had unemployment fell to by 1936?
1.6 million.
How were Nazi job creation figures inflated?
Use of voluntary public works such as the RAD for young people.
Why was rearmament difficult for the Nazis from 1933-36?
Against the ToV and Germany already in large amounts of debt.
How did Schacht create armaments without suspicion and delaying payment?
The payment for rearmament through Mefo bills.
How much military spending was paid for through Mefo bills from 1933-39?
12 billion Marks.
What was building in the Nazi economy from 1933-36 through the stimulus?
A large trade deficit.
How did Hitler solve Germany’s trade deficit?
The New Plan from Schacht.
How did Schacht reduce the trade deficit?
By introducing import tarrifs on consumer goods.
How did Schacht deal with the fact Germany’s economy was not as strong as other developed countries?
Developing trade with developing nations especially in South America.