Germany then fell into a deep economic depression. Some people would agree that the ‘Wall Street Crash’ was the most important reason for the increase of support for the Nazis because the depression was a bad time for Germany and its people and Hitler said he could fix it. Germany’s “last hope”. He used this to gain the Nazis some support from the people. The depression made people bankrupt and lose their jobs; Hitler and the Nazis promised people that they would get them jobs and solve unemployment.
The great depression meant that many of the families had lost their savings; it was horrible to know that all the money that they had saved throughout the years has just vanished so quickly. They were also afraid of the growing communist party; they wanted to abolish private companies, land and businesses. If this happened many of the middle class would lose their job where they were able to make money. Therefore because of this they saw Hitler as a strong leader who could help their country recover and
The effects of the great depression caused mostly by Wall Street crash and therefore the American investors urgently needed the return of money they had lent to businesses. German companies were dependent on these loans. After this, German industrial output fell and unemployment rose. This caused a disaster for export industries but high unemployment meant that domestic demands for goods fell too. This is shown in these statistics.
The number of products imported from other counties has increased over the years and exports have seriously decreased. So, it seems that the United States finds itself in a very similar situation as in the Great Depression of the 1930s. The government didn't learn from their mistakes made back then therefore the economic situation has returned. Instead they find themselves with an economy overloaded with product, financial inflation and deflation which has lead to serious workers unemployment. Therefore, as I stated before The Great Depression came about because of three main causes, in my opinion these three causes were not properly dealt with which has people believing that the United States has fallen into another depression similar to the one in the 1930s.
The elite undermined Weimar as a result of their traditional values and hatred of democracy. In addition, Hitler’s radical new approach to politics utilised the weaknesses in Weimar – he was charismatic and through propaganda convinced the public that he could be their saviour. During the years 1918-28 the Nazis had little impact on the political scene – apart from the failed Beer Hall Putsch, which did earn them admiration from some nationalists. However, during these years, some sections of the public were becoming increasingly disillusioned with Weimar. This was due to events like the devastating 1923 hyperinflation, and of course the Treaty of Versailles, which had tainted Weimar’s reputation from its inception.
By 1936, the German economy had recovered to the extent that Hitler’s main long term aim of creating an economy which could support sustained rearmament was possible. Throughout the period of 1933-36, this was the recovery period for Germany in order to make a more stable Germany and resolve economic problems and unemployment. Unemployment was a very big concern in Germany. When Hitler went into power in 1933, 5 million people were unemployed. Hitler had introduced many different schemes in order to decrease unemployment such as Battle for Work which was set up to help unemployed people find work.
FOLLOW THE LEADER ADOLF HITLER Germany in 1930 In 1930 the Germanic social and economic situation was heading towards chaos. After the Wall Street Crash of 1929, the United States were forced to call back the money they had loaned Germany in 1924 and 1929, leaving the Weimar Republic with no resources to invest in the economy. The Germanic growth over the last years had been an illusion, as a great deal of the capital invested had been coming from overseas loans. As the money borrowed was paid back, Germany was once again facing bankruptcy. Unemployment, which was not a major issue in 1929, dramatically soared by September 1930 1.
Farms and factories that were prosperous during the war now faced difficulties to sell their products. The value of farmland also dropped. The 20s were a sad decade of failures for farmers. And, in the slowing economy, returning soldiers had a hard time finding jobs. During the 1920s, Americans were exposed to a variety of new inventions and products.
Most bought their stocks on margin which means they still owe money. When the stock market crashed, the value of their stocks went down but they still had to pay every penny that they owed before even though the value went down. Many people panicked and tried to all sell their stocks at the same time which brought the prices and values down even more. The Great Depression had a huge effect on businesses because it they lost their fortune and many went bankrupt. They were forced to lay off all of their workers and close down.
Was the Great Depression the main reason why the Nazi Party grew between 1929 and 1932? The Great Depression is the most significant reason because it made people turn to the extreme ring-wing and left-wing parties. The Wall Street crash sent stock markets plummeting in October 1929. In a very short time Germany were very badly affected. American businesses lost vast amounts of money and to repay the debt they asked German banks to repay the money they had borrowed.