The Collapse Of Democracy (1928-33) Flashcards
(90 cards)
The Impact of the Depression (1929)
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How were loans and investment impacted by the depression?
- U.S. loans (Dawes Plan) were recalled
- American investment stopped abruptly
- Financial aid dried up during critical need
How was industrial production affected by the depression?
- Fell by 58% between 1929 and 1932
- Germany suffered the worst decline in Europe
How were exports & trade impacted by the depression?
- Export trade declined by 61%
- U.S. demand for German goods collapsed
- Global trade contraction hit Germany hard
How was employment impacted by the depression?
- Official unemployment reached ~1/3 of workforce by 1932
- True unemployment in early 1933 estimated at 8 million
- Massive job losses in both blue-collar and white-collar sectors
How was business and industry impacted by the depression?
- Thousands of firms went bankrupt
- Survivors cut wages, hours, and workforce
- Reduced consumer spending deepened the crisis
How was banking & finance impacted by the depression?
- Banks became unstable as loans defaulted and savings were withdrawn
- July 1931: government closed banks and stock exchange for 2 days
- Financial panic spread after Austrian bank collapse in May 1931
How was agriculture impacted by the depression?
- Farmers saw collapsing food prices and demand
- Forced farm closures due to loan repayment demands
- Farm labourers lost jobs; rural unemployment increased
What was the social impact of the depression?
- Widespread poverty and despair
- Severely hit industrial areas (e.g., Ruhr, Silesia, Hamburg)
- Families and communities devastated by joblessness
What was the political impact of the depression?
- Public loss of faith in the Weimar government
- Rise in support for extremist parties like the Nazis and Communists
Economic impact
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What happened on 24th October 1929?
What happened the following Tuesday - 29th October 1929?
What immediate effects did the Wall Street Crash have on individuals and businesses in the USA?
How did the Wall Street Crash lead to a global economic depression?
Why was Germany especially vulnerable to the Wall Street Crash?
What happened to American loans to Germany after the crash?
How did the crash affect Germany’s export trade and industrial production (1929-32)?
How did Germany’s economic decline compare to other European countries?
What impact did the Depression have on German businesses and workers?
What banking crisis occurred in 1931?
How many Germans were unemployed by 1932?
Why are the official unemployment figures from 1932 misleading?
What is the estimated true number of unemployed in Germany by January 1933?