Hyperinflation In Germany

Superior Essays
Unfortunately, not only was the government’s infrastructures becoming weak, but it also began losing its discipline. In an attempt to bring prosperity back to Germany, the government asked the United States for several juicy loans. With such money, almost an instant boom was created. Culture was flourishing back, construction, music, art, every aspect of the German culture was expanding at a rapid pace.(source G1) Unfortunately, people began rioting and became uncivilized. Thanks to the general strike in Germany, prosperity left as easy as it came. People would trade goods instead of buying them and monetary flow slowed until it was completely stopped. Trades dramatically lost their value and within months into the strike, Germany was heading towards hyperinflation. Because of all the debts Germany had, the government was completely dried out of money during the strike. It seemed to them that the only alternative was to print more and more money. About two months later, goods would cost about 4000% more …show more content…
On October 29, 1929 there was a wall street crash in the United States that savaged through nearly the entire world’s economy.(source G) Countries had to slow down in the amount of goods imported into the land and famine soon spread around the world. Germany itself depended on loans from the United States and now it had to find a way to survive. With the Great Depression taking course in history, every country had to find money from wherever they could and survive with merely scraps. People lost their hope; suicide and crime rate skyrocketed and the Weimar leaders didn’t know what in the world to do. In addition to that, the US asked Germany to pay back all the loans they had borrowed.(source J) This meant that if Germany was on a tight budget, it was about to get worse. Government leaders soon came up with an idea that would handle their money in a smarter and more effective

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