how did german came out of financial crisis
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The US senate refused to ratify the Treaty of Versailles and the US was cast outside the Allies in peace talks.
When in 1923, German economy began to collapse under the weight of war compensation it had to pay ; the US concluded a peace treaty with Germany.
This peace treaty covered the movement of nationals as well as trade between the two countries.
With economic sanctions on Germany form the entire world, this treaty with the US helped Germany somewhat in its difficult years leading upto Hitler’s rise to power.
As the value of German mark crumpled leading to chronic inflation in 1923, the US assisted Germany by launching the Dawes Plan which revised the provisions of compensation to relieve Germany from the financial liability.
According to this plan, American investment banks advanced money to Germany.
This reduced the problems of war compensations but made the German economy a reliant on overseas markets.
hope it helps you.....!!!!
:)
When in 1923, German economy began to collapse under the weight of war compensation it had to pay ; the US concluded a peace treaty with Germany.
This peace treaty covered the movement of nationals as well as trade between the two countries.
With economic sanctions on Germany form the entire world, this treaty with the US helped Germany somewhat in its difficult years leading upto Hitler’s rise to power.
As the value of German mark crumpled leading to chronic inflation in 1923, the US assisted Germany by launching the Dawes Plan which revised the provisions of compensation to relieve Germany from the financial liability.
According to this plan, American investment banks advanced money to Germany.
This reduced the problems of war compensations but made the German economy a reliant on overseas markets.
hope it helps you.....!!!!
:)
vishnu820:
this is not the right answer
but any ways thanks
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