What caused the Great Depression in Germany 1930?

In 1929 as the Wall Street Crash led to a worldwide depression. Germany suffered more than any other nation as a result of the recall of US loans, which caused its economy to collapse. Unemployment rocketed, poverty soared and Germans became desperate.

How did the economic depression during the 1930’s affect Germany?

The Great Depression was particularly severe in Germany, which had enjoyed five years of artificial prosperity, propped up by American loans and goodwill. Unemployment hit millions of Germans, as companies shut down or downsized. Others lost their savings as banks folded.

How did Germany handle the Great Depression?

Germany was, indeed, especially hard-hit by the Great Depression. A major factor was the Treaty of Versailles, which was supposed to settle outstanding disputes following the cessation of hostilities in World War I. Germany reeled from the huge burden of reparations payments required of it as a condition of the treaty.

How did the Great Depression affect the middle class?

One group that had to deal with drastic changes during the depression was the middle class. The collapse of the stock market and the closing of more than 5,000 banks mostly affected the middle class. The professional men that worked at these jobs now had to deal with a loss of income and unemployment.

How did the world depression affect Germany in 1929?

However, economic disaster struck with the onset of the world depression in 1929. The American stock market crash and bank failures led to a recall of American loans to Germany. This development added to Germany’s economic hardship. Mass unemployment and suffering followed.

How did the Great Depression affect the Nazi Party?

With public discontent soaring, membership of Hitler’s party increased to record levels. The Nazi leader found the situation to his liking: “Never in my life have I been so well disposed and inwardly contented as in these days. For hard reality has opened the eyes of millions of Germans.”

Why was the middle class important in the Weimar Republic?

Members of the middle class guarded their status and considered themselves to be superior to factory workers. The cooperation between middle and working class citizens, which had broken the aristocracy’s monopoly of power in England, had not developed in Germany. In Weimar Germany, class distinctions, while somewhat modified, were still important.

What was life like for upper middle class in 1929?

To illustrate the decline, between 1929 and 1933, the incomes of affluent doctors and lawyers dropped as much as 40 percent. Although severely tested, the upper middle class did their best to maintain a refined standard of living. Shaken by their friends who had lost all, most lived with the fear of being next.