Weimar Republic: Occupation of the Ruhr & Hyperinflation PDF

How well did the Weimar Republic deal with its problems in the years 1919-1923? The Occupation of the Ruhr and Hyperinflation Lesson Resources for Week 17 1  How to use this booklet The information and tasks should...

How well did the Weimar Republic deal with its problems in the years 1919-1923? The Occupation of the Ruhr and Hyperinflation Lesson Resources for Week 17 1  How to use this booklet The information and tasks should follow your lessons. The idea here is that you ‘use the notes; don’t make the notes.’ This means that we would rather you engage in the lessons, ask and answer questions, highlight key bits of information, complete tasks rather than copying down the information from the ppts. In the Discovery sessions we ask you to watch a video and read some new information and complete some tasks based on this. This should prepare you for the Explore lessons and make them less overwhelming. The booklet also contains additional questions related to the Discovery content that you can use for Cycle Test, Summative and final exam revision This way of learning should help to make sure that you have a firm understanding of the content before we move onto the Explore lessons. It is crucial that the Discovery tasks are completed. The textbook that we have asked you to buy will still be a valuable aide. It will offer further detail to extend your understanding of the subject. Please make sure that you have this booklet with you for each lesson and then you can follow the lessons seamlessly. You can print it out and write on it or save it to your computer, whichever works best for you. 2  Week 17 Discovery Session: Why was 1923 a year of crisis for the Weimar Republic? Key Words Economic - things to do with money Ruhr - an important industrial area of Germany Passive Resistance – to use of peaceful methods to resist power or authority Strike – to refuse to work or carry out normal tasks Inflation - when money loses its value, so you need more money to pay for the same thing. Hyperinflation -When out of control inflation happens very quickly, over weeks and months Why was Germany facing economic problems in 1923? In 1918, Germany was close to bankruptcy (not having enough money to pay your debts). This was due to the cost of WW1. The Treaty of Versailles had then made this problem much worse. It had forced the German government to agree to pay reparations at the same time as taking away some of Germany’s important industrial areas such the Saar and the coalfields in Silesia In 1921 the Allies decided on the amount of reparations to be paid - £6.6 billion. This was to be paid in annual instalments. In 1922 Germany struggled to make payments asked for them to be reduced. However, the Allies (winning countries) had taken out loans during WW1 and they needed the reparation payments so they could repay the money that they owed and so refused. In January 1923 Germany defaulted on their payments to France (they didn’t pay up) 3 What happened next? In retaliation French and Belgian troops entered the Ruhr (quite legally under the Treaty of Versailles) and began to take back what was owed to them in the form of raw materials, manufactured goods and machinery. The Ruhr is an area in Western Germany, located next to the Rhineland. It is where 80% of Germanys steel was produced, and it contained a huge amount of industry and factories. You are in charge of Germany. It is January 1923 and France has invaded the Ruhr, with 60,000 troops. What do you do and why? a) Send in German troops to defend German territory b) Allow France to take raw materials and goods rather than money c) Do not resist but encourage German workers to go on strike 4 Revision questions Question Answer 1 Give two reasons why Germany was having economic problems between 1918 and 1922. 2 What did Germany fail to do in late 1922? 3 What did the French and Belgian troops do in January 1923? Why did they do this? 4 Why couldn’t the German government do anything about this 5  The Occupation of the Ruhr, 1923. Crisis Number One The Events On the 11th January 60,000 French and Belgian troops marched into the Ruhr. They seized control of all mines, factories and railways. The French occupation of the Ruhr sparked outrage across Germany. Several Weimar ministers declared it to be a deliberate act of French aggression, committed against a people who had been denied the means to defend themselves, but it was helpless as Germany’s reduced army of 100,000 men were no match for the 750,000 in France’s army. The French believed that the Germans would work for them, but this didn’t happen. The German government encouraged the workers to carry out a campaign of ‘passive resistance’ (use of peaceful methods to resist power or authority). German workers went on strike and stopped producing the goods that the French could remove. Industry in the Ruhr came to a standstill The German government provided strike pay for the workers involved. This was a generous promise but an unfulfillable one: the German national treasury was very nearly empty, and cash reserves were insufficient for paying two million striking industrial workers for a period of months, perhaps more than a year. The government’s last resort was to pay these salaries by ordering the printing of extra banknotes, a policy that contributed to the rampant hyperinflation of 1923. The French brought in their own workers Some German workers used arson and sabotage to damage factories and mines so that production had to stop. The French imprisoned and deported the resistance leaders. There as violent clashes between the Germans and French forces. French troops killed over 100 workers and expelled over 100,000 protesters from the region. 6  France and Belgium did not remove their forces until July 1925 after the Dawes Plan The Ruhr Crisis: The Effects Positive The occupation of the Ruhr temporarily increased the popularity of the Weimar Government. It united the German people against the French invaders, with the strikers being seen as heroes of the German people. The popularity of the Weimar Republic temporarily increased because it had backed the strikers, and it provided strike pay for the workers involved in the passive ‘strike’ resistance. It had resisted the French, and it provided strike pay for the workers involved in passive resistance. The occupation united the German resistance against the invading French and Belgians. However, the occupation also had negative effects. The German economy had been struggling before 1923, but the occupation of the Ruhr made things even worse. Germany lost income because of France and Belgium taking products from the Ruhr. The halt in production again damaged the German economy and the German government still needed to pay the workers who were involved in passive resistance. As a result, the German government decided to print more money. The more money that was printed, the more its value fell, which in turn increased inflation. The strike meant fewer goods were produced and this made inflation even worse as the demand for those available was high, meaning goods increased in value. This led to a second crisis - a period of hyperinflation and the eventual collapse of the German currency. Inflation - when money loses its value, so you need more money to pay for the same thing. 7  Hyperinflation -When out of control inflation happens very quickly, over weeks and months Revision Question Answer 5 What action did the German government take following the French occupation of the Ruhr? 6 What did some German workers do to stop production? 7 How did the French respond? 8 Give one positive effect of the invasion of the Ruhr. 9 Give one negative effect of the invasion of the Ruhr 8 The rate of Inflation in Germany between 1914-1923 July 1914 £1 = 20 marks January 1919 £1 = 35 marks January 1920 £1 = 256 marks January 1921 £1 = 256 marks January 1922 £1 = 764 marks January 1923 £1 = 71,888 marks September 1923 £1 = 1,413,648 marks October 1923 £1 = 3,954,408,000,000 marks November 1923 £1 = 1,680,800,000,000,000 marks Inflation is the increase in the average price of goods and services over time. It is when you can buy less for your money than you used to be able to get. Most governments will try to control inflation in their country. People usually notice inflation when they buy and sell large things like cars and houses. But inflation also affects things like groceries and other household goods. It can also affect things like house payments and rent. When inflation rises but people's wages don't, this means that people have to spend more of their money to buy the same things that they used to be able to buy for less. Your money supply hasn't changed, but the price of what you want has. You can see from the example on the board that the UK has recently suffered a period of high inflation, peaking in October 2022, this had an impact in the supermarkets on goods that families see as cupboard staples. When I bought a 4 pack of branded baked beans in 2020 from a leading supermarket it cost me £2.50, for 9  the same item in March 2023 it was £3.99. That's inflation, Inflation affects everybody. Inflation affects things like businesses and governments. - everybody who must buy and sell things. Businesses that depend on income to buy goods can be hurt by inflation. Governments, which need taxes from their citizens to pay for services that benefit those people. Governments usually keep track of how much inflation rises, and this is usually reported in terms of a percentage. You might hear someone say that the inflation rate is 10 percent. This means that the price of something is now 10 percent higher than it was a year ago. Hyperinflation is when a government prints too much paper money, the money then loses its value very quickly causing rapid rises in prices. You can see from the table that inflation had been rising in Germany since the outbreak of WWI. Import of goods was limited which meant demand increase and prices rose, this steady increase continued until 1920, when there was a sharp rise in inflation and then another sharp rise in 1922, when Germany was unable to make its first reparation payment and printed. Hyperinflation a rapid increase in prices, over a short period of time was a major problem for the Weimar Republic, from 1923 as it struggled with the problems caused by the occupation of the Ruhr by France. The occupation of the Ruhr lead to significant shortages for goods and food, and as these were rationed prices rose. The German government was forced to print more banknotes. By November 1923, the German mark was worthless. Prices went up so fast in Germany that workers had to rush into shops after being paid, as prices went up by the hour. At one point it cost 80 million marks for a single egg. Shops had to resort to measuring notes by weight, as counting them took too long, some workers were paid twice a day and given half-hour breaks so that they could spend their wages before they became worthless. Children played with the worthless money in the, some used it as fuel as it was cheaper than wood! People had to carry their money around in wheelbarrows and laundry baskets. There is the famous story of two women were carrying a laundry basket filled with banknotes. They put down the basket, for a moment to look in a shop window. When they turned, they found the money there untouched, but the basket was stolen. Bartering became common - exchanging something for something 10  else but not accepting money for it, just like in Medieval times! There was a shocking decline in health in the towns, where those living on small sums, could not afford the prices, death rates rose as did deaths from hunger. People on fixed incomes (who received the same amount each week), such as the elderly or war widows reliant on pensions were affected most severely. Their pensions and savings became worthless as prices rose. Before World War 1, having 80,000 marks in the bank could see you live a comfortable retirement. By 1923 it couldn’t buy an egg. They could not work either so faced starvation or could afford to heat their homes. Middle class Savings were made worthless by inflation. Millions of middle-class Germans were thrown into poverty. Businessmen could not buy goods from abroad as German money was worthless. Many became bankrupt. The only consolation was that debts could be paid off easily. Many never forgave the government and turned to extremist parties. When Germany was faced with a second economic crisis in the 1930s many middle-class Germans had no confidence in Weimar Republic Workers For people in work, the situation was not as bad as they had few savings and those who were employed were paid higher wages. However, the increase in wages was always slower than the price rises. Some workers took their wages and immediately used them to buy things. They could then swap these items for the things that they really needed. Unemployment increased during this period. Some groups weren’t as badly affected or even benefitted from hyperinflation. Those with loans or mortgages were able to pay off their debts easily. If you took out a big loan of 100,000 marks before the war, you could easily pay it off after the war. 100,000 marks was the equivalent of about £1.50 in 1923! Farmers were spared the worst they could grow and eat their own food. It could be also used to trade or sell for goods and money. The rise in food prices helped farmers as they were able to sell their food for a lot of money (although the things they had to buy would also cost more). The Rich were Largely unaffected if their money was in property or kept overseas. Possessions could be bartered (swapped) for food and other essentials. They could even buy small businesses which were struggling financially. They started to see the government more and more as incompetent. 11 12  Week 17 Explore Lesson 1: What was the impact of Hyperinflation on Germany? How many of these questions can you answer? 1) Which area of land did France and Belgium occupy in 1923? Why was this land significant? 2) Why did they do this? 3)The occupation and the passive resistance led to what further crisis? 4) Name one leader of the Spartacist uprising 5) Who did the German government use to put down the Spartacist uprising and other Communist uprising that followed around Germany? 6) How did the Kapp Putsch end? 7) Which article of the T of V blamed Germany? 8) What % of European land was lost? 9) What % of iron reserves did Germany lose? 13 Use the article to identify at least 3 causes of hyperinflation Germany began to suffer serious inflation during the war. The German government did not pay for the war by taxing people more heavily. Instead, it paid its bills by printing banknotes. Soon there was too much money chasing too few goods. An inflationary spiral had started. Things got worse at the end of the war. A huge amount in reparations was demanded from Germany. The sum to be paid was fixed at £6,600,000 in 1921. Many foreigners thought that Germany would be unable to pay. They began to lose confidence in Germany's currency. Foreign banks and businesses expected increasingly large amounts of German money in exchange for their own currency. It became very expensive for Germany to buy food and raw materials from other countries. This led to a further increase in prices in Germany. Late in 1922 Germany failed to pay an instalment of reparations on time. France replied in January 1923: French troops occupied Germany's main industrial region, the Ruhr. The French were determined to make Germany pay every penny she owed. They wanted to keep Germany weak. A weak Germany meant that France was safe from the threat of attack. The German government ordered a policy of passive resistance in the Ruhr. Workers were told to do nothing which helped the invaders in any way. What this meant in practice was a general strike. The cost of the government's policy was frightening. All the workers on strike had to be given financial support. The government paid its way by printing more and more banknotes. Germany was soon awash with paper money. The result was hyperinflation. 1) 2) 3) 14 What did hyperinflation mean for the people of Germany? Watch the GCSE Pod and note down how German people were affected by hyperinflation Who suffered the most? People on fixed incomes (who received the same amount each week) This group was affected most severely. Their pensions and any savings became worthless as prices rose. Before World War 1, having 80,000 marks in the bank could see you live a comfortable retirement. By 1923 it couldn’t buy an egg. They could not work either, so faced starvation and could not afford to heat their homes. Middle class Savings were made worthless by inflation. Millions of middle-class Germans were thrown into poverty Businessmen could not buy goods from abroad as German money was worthless. Many became bankrupt. The only consolation was that debts could be paid off easily. Many middle-class Germans never forgave the government and turned to extremist parties. When Germany was faced with a second economic crisis in the 1930s many middle-class Germans had no confidence in Weimar Republic Workers For people in work, the situation was not as bad as they had few savings and those who were employed were paid higher wages. However, the increase in wages was always slower than the price rises. Some workers took their wages and immediately used them to buy things. They could then swap these items for the things that they really needed. Unemployment increased during this period. 15 Some groups weren’t as badly affected or even benefitted from Hyperinflation. Those with loans or mortgages Those with loans or mortgages were able to pay off their debts easily. If you took out a big loan of 100,000 marks before the war, you could easily pay it off after the war. 100,000 marks was the equivalent of about £1.50 in 1923! Farmers Farmers were spared the worst; they could grow and eat their own food. It could be also used to trade or sell for goods and money. The rise in food prices helped farmers as they were able to sell their food for a lot of money (although the things they had to buy would also cost more). The Rich Largely unaffected if their money was in property or kept overseas. Possessions could be bartered (swapped) for food and other essentials. They could even buy small businesses. Started to see the government more and more as incompetent. Life in Germany: A snapshot: The memories of a German writer. One fine day I dropped into a café to have a coffee. As I went in, I noticed the price was 5000 marks –just about what I had in my pocket. I sat down, read my paper, drunk my coffee and spent altogether about one hour in the café, and then asked for the bill. The waiter duly presented me with a bill for8000 marks. Why 8000? I asked. The value of the mark had dropped in the meantime, I was told. So, I gave the waiter all the money I had, and he was generous enough to leave it at that. Who do you think these people would support and why? 16  Restaurants did not print menus as by the time food arrived the price had gone up! People had to carry their money around in wheelbarrows and laundry baskets. Shops had to resort to measuring notes by weight, as counting them took too long. Bartering became common - exchanging something for something else but not accepting money for it like in Medieval times! Some workers were paid twice a day and given half-hour breaks so that they could spend their wages before they became worthless. “Two women were carrying a laundry basket filled with banknotes. They put down the basket, for a moment to look in a shop window. When they turned, they found the money there untouched. But the basket was stolen. 17 Who were the winners and losers of hyper-inflation? Look at the following people – did they benefit or lose out during hyper-inflation? I’m Karl – my wages from the mine are paid on a daily basis now! I’m Gustav – my company took out a lot of loans to build up the business 18  I’m Martin, and I’m living off my soldier’s pension now Week 17 Explore Lesson 2: Applying the Knowledge: Exam Practice. Task: Sort the statements below into causes and consequences of hyperinflation Printing money Pensions become worthless Passive Resistance Middle-class turn to extremist groups People take wages home in suitcases People turn against the government 6.6 bn reparations Occupation of the Ruhr People barter instead of using money Terms of Versailles Savings become worthless Government debt Cause Consequence 19 Task: In your own words summarise the impression that this extract gives about the effects of hyperinflation on the German Government. Millions lost their savings and there was widespread hunger. Ordinary, respectable Germans, who had worked hard all their lives, lost out, whilst debtors and big business did well. This turned many people against the government. It was hard to have confidence in the government when everything was in such chaos, hyperinflation was caused by the government’s own actions. This made many people moderate people turn against the Weimar Republic. Few people in Germany would forget the damage caused by hyperinflation. Some historians have claimed that it damaged the Weimar Republic more than any other events in the first years of its existence. A = B = C = 20  Revision: The tasks below are for you to complete independently when revising for Cycle Tests, Summative assessments and your end of year exam. Reflect and Review: Weimar Germany 1919-1923 Add in events to the timeline below to create an outline of key events within this topic Nov 9th 1918 Nov 11th 1918 4th January 1919 19th January 1919 28th June 1919 March 1920 11th January 1923 21 1) The Origins of the Republic Complete the brainstorm below with specific details and then explain why it was hard for the first Weimar Constitution to succeed. Impact of WW1 on Germany It was hard for the Weimar Republic to succeed because…. 22 2) Weimar Constitution Write down the key words that you have learnt Key word Definition Reichstag Chancellor Proportional Representation Coalition Government Article 48 Can you use each word in a sentence? 23 Complete the table below to show the strengths and Weaknesses of the Weimar Constitution Strength Weakness 24 3) The Treaty of Versailles Finish off the following sentences and then colour code the boxes below to show if they were military, financial or territorial terms of the Treaty of Versailles: 1) Before Versailles, Germans believed that… 2) The French wanted to… 3) Germans believed the treaty was… Colour code the boxes below to show if they were military, financial or territorial terms of the Treaty of Versailles: No tanks, £6.6 billion No union 13% loss of land armoured cars or reparations (Anschluss) with heavy artillery Austria permitted 48% loss of iron All colonies to Army not to Coal to be mined in the production be given to exceed 100,000 Saar by France Allied Powers Absorption of 6 Rhineland Alsace-Lorraine No air force million citizens demilitarised returned to into other France countries 25 What was Article 231 and why was it so hated? 4) Summarise the following problems The Spartacist Uprising The Kapp Putsch The French invasion of the Ruhr and hyperinflation 26 Task: Read through the statements below and colour code them into winners, losers or those who stayed the same. Weimar Government Weimar Government Weimar Government Foreigner ‘There were so many ‘Everyone is blaming us. How ‘We were short of ‘I feel like I’ve won the problems, revolutionaries, war can this be our fault? We money, there was none lottery! The exchange rate debt, that awful Treaty and couldn’t put up taxes coming from the Ruhr is so good here then I get now this! No-one would loan us anymore, people just and the strikers needed millions of marks for only a the money, other countries couldn’t afford it. What to money. It seemed the small amount of money.’ just looked on in pity, no one could we do?’ answer was to print would help...’ more. What are people saying about us now? They might start to support the Nazi party!’ Farm owner Debtor Pensioner Working-class people (Shop Worker) ‘I work in a ‘Why should I sell my produce ‘I always said enjoy life – ‘I fought for my country shop and rent the flat for worthless money? I will eat, drink and be merry! My and retired on a small above the shop. My wages only accept gold, jewels or family have disowned me. I pension. I had little put went up, but never quite as foreign money; do you think was in all sorts of debt but by for little treats, you much as prices. However, I’m stupid?’ thank heaven for inflation! know! Now I have nothing my rent on the flat was Who’d have thought it? I’m and if my family don’t fixed so really it saved!’ help me I will die of starvation. My pension all evened out!’ wouldn’t even buy a stamp!’ Working-class people Business Owners Business Owners (Factory worker) ‘Times are ‘I owned a small business selling ‘At the end of the First World War in 1918 hard, but we managed. clothing. No one could afford to buy I sold my business and retired. By middle Everyone was poor and we clothes, and I couldn’t pay my rent. A class standards I was a rich man. I intended could live for today. I never rival offered me a pittance for my to live from my investments and savings. All saved before because I business but what could I do? My my hard-earned money went and I had to needed every penny to live. My family had to eat... My shop had been in find a job to live. I’ll never forgive this wages were paid by the hour, my family for generations. The 27 and they increased by the government is weak, it doesn’t know Weimar government, the Nazis are right!’ hour. Life wasn’t so bad.’ what to do!’ Landowners Unemployed People Unemployed People Landowners ‘I bought a whole herd of ‘I have lost my job because ‘I have no savings; I ‘My money’s all in land and cattle on credit. After a time, of the inflation. There are received benefits from I have many possessions I sold one cow and paid off all so many people like me, the Weimar government. like in the family jewels. my debt because the price for normal business and trading Prices rose and I was Times are hard, but at one cow now equalled a heard!’ has virtually stopped, how poor, but my benefit least I have something real will I ever get another job?’ rose, not as much as to sell and get me by. I prices, never believed in banks; land is the thing!’ but I wasn’t really so badly off.’ Winners Losers Stay the same 28  The Establishment of Weimar Germany and its early problems No. Topic Guidance Confidence Key issues Possible Exam Qs (Each event in (Traffic light) (Seeing the bigger (Applying K&U in the exam) detail) picture) 1 Problems caused Kaiser abdication, What was the 8 marks by the end of armistice, stabbed in biggest problem and Explain 2 effects of… WWI the back myth why? The TofV on Germany/the Weimar gov 2 The Weimar Details of the Who posed the Constitution and constitution (especially The changes made to the greatest threat to political unrest PR), strengths and armed forces by the TofV the Weimar weaknesses, the on Germany. government? different political Reparations on Germany. parties and groups. The Spartacist Uprising on The new Weimar Which problems are the Weimar gov government. linked to the end of the war and the The Kapp Putsch on the 3 The Spartacist Causes, events and TofV? How are they Weimar gov Uprising effects for Weimar linked? government Hyperinflation on Germany 4 The Treaty of The terms of the 16-mark statements Versailles treaty (LAMB), the Why did the Kapp ‘The TofV was the biggest effects of the treaty Putsch fail? problem facing the Weimar on Germany and government’ Weimar government How did the Weimar ‘The problems facing the 5 The Kapp Putsch Causes, events and Constitution weaken Weimar government in 1923 effects for the the Weimar Republic were caused by the Treaty of Weimar government Versailles’. 6 Hyperinflation Causes (including ‘Violent uprisings were the French occupation of biggest problem for Germany in the Ruhr), effects on the years 1918–20.’ different groups and ‘Hyperinflation was the most on the Weimar gov. difficult problem facing the Weimar government in 1923’. 29 Weimar Republic 1919- 1923 Quiz Complete without notes at first. Answers are at the end of the booklet– check and fill in any gaps. 1. What and when 2. When and why 3. Where and 4. Why did German 5. Give three impacts was the Kiel did the Kaiser when was the commanders send of the First World Mutiny? abdicate? Armistice signed? civilians to send War on Germany. the Armistice? 6. Why did the 7. Where did the 8. Who was the 9. What was 10. Give two facts that German public not Weimar Republic President and how Article 48 and why prove the constitution know they were first meet instead often was he was it a was very democratic. going to lose the of Berlin and why? elected? constitutional war? weakness? 11. Why did the 12. What did 13. Give two 14. What word 15. Give two financial voting system Germans believe reasons the (beginning with terms of the ToV. (proportional the ToV would be French wanted the Di…) did Germans representation) based on? harshest terms use to describe create problems for Germany the terms of the for Weimar Treaty? Governments? 16. Give two 17. Give two 18. What was 19. What date was 20. How was the military terms of territorial terms Article 231 and the Spartacist Spartacist Uprising the ToV. of the ToV. why was it so Uprising and who put down? hated? was it led by? 30  21. Who was Kapp 22. What did the 23. Give two facts 24. How was the 25. When and why did Putsch led by? Kapp Putsch aim to which proves the Kapp Putsch put the French invade the do? Kapp Putsch was down? Ruhr? nearly successful. 26. What was 27. Why did the 28. Give two 29. Give two losers 30. Why did ‘passive government paying winners of of hyperinflation, hyperinflation resistance’? the workers lead hyperinflation. undermine middle class to hyperinflation? confidence in government? Answers for Weimar Quiz 1) 28th October 1918– sailors in Kiel refused to put to sea as they felt such a move would be suicidal. Demonstrated that the Kaiser had lost control of the army – war was ending 2) 9th November 1918 – had lost control of the army 3) 11th November 1918 – train carriage by men including Matthias Erzberger and Walter Rathenau 4) One army commander and civilians – army generals knew that whoever signed it would be hated – proved by the fact Erzberger was assassinated in August 1921 5) Death (2m war dead), Loss of young men/workforce (factory production down 40%), Political polarisation (people disagree on how Germany should be governed), starving people (British blockade starves 750,000 Germans to death) 6) Propaganda claiming they were winning: seriously adds to shock/anger at defeat 31  7) Safer town on Weimar – Berlin was too chaotic/dangerous 8) The first President was Ebert – elected every seven years 9) Article 48: The president can rule by emergency decree if necessary (led to the abuse of power because it was the President who defined emergency) 10) All voters’ men and women over the age of 20 (universal franchise) plus voting system was proportional representation (X% of votes = X% of seats) 11) Proportional representation created problems for the Weimar Republic because it led to political instability/endless coalitions – one party never achieved 51% of the vote 12) Wilson’s 14 Point Plan (i.e. fair, they would retain sovereignty, be involved in peace talks) 13) Country ravaged by WW1 as most fighting had taken place on French soil: also Germany and France share a border and so they wanted protection from future invasion 14) Diktat (dictated peace) 15) Reparations set at 6.6bn, Loss of 48% iron production, coal to be mined in the Saar by France 16) Army limited to 100,000 men, no submarines, Rhineland demilitarised 17) Loss of all oversea colonies, Alsace Lorraine to be returned to France 18) War Guilt Clause – Germany had to take full blame for the war (and therefore accept the other terms). Most hated clause as it made Germany a pariah state. 19) 6th January 1919 - Led by Rosa Luxemburg and Karl Liebknect with the aim of establishing a state based on Communist ideals 20) Put down by the Freikorps (right wing paramilitary group) 21 Wolfgang Kapp and Freikorps 22) Restore the power of the Kaiser/old traditional rule in Germany 23) Government fled Berlin. Freikorps seized control of capital 24) Put down by socialist workers striking – however, the government themselves were incapable of crushing the revolt 32 25) 11th January 1923 – seized the Ruhr (industrial area of Germany) in order to seize material goods in lieu of reparations payments 26) German workers engaged in passive resistance (Working v slowly/refusing to cooperate) and were encouraged to do so by the government 27) Printed off endless banknotes at a time they had no gold in the bank 28) Winner – people with fixed debt who could suddenly pay off their loans/farmers who could charge what they liked for food. 29) Losers = middle classes with savings, old people with fixed pensions etc 30) Middle Class – least revolutionary class. In majority of circumstances will support moderate government, but this undermined their faith in democracy as the government were powerless to protect their money 33 34