Question

QWhat is Hyperinflation?

Q: What was the ‘Great Economic Depression’ of 1929

Answer should be in points class 9​

Answer 1

Answer:

Hyperinflation is when the prices of goods and services rise more than 50 percent a month. The severity of price increases distinguishes it from the other types of inflation.

1.The Great Depression of 1929 - 1934 had a rippling effect all over the world. It aggravated the economic crises in Germany and nearly crippled German economy.

2. German investments and industrial recovery leading to economic stability between 1924 1928 was built on short term loans largely from USA. This support was withdrawn when the Wall Street Exchange crashed I'm USA in 1929.

3. In Germany by 1932 industrial output fell to 40% of the 1929 level.

4. As jobs disappeared unemployed youth took to criminal activities.

5. The crisis created deep anxieties among the middle class who feared destitution and proletarianisation.

6. Women were severely affected and worried for their hungry children.

7. It was during this period that Nazi party which was no more than a conspiratorial group became a mass movement.

8. The depression contributed to the rise of Hitler and establishment of dictatorship in Germany.

Answer 2

✤$\textsf{\large{\underline{Question 1}:}}$

What is Hyperinflation?

✤$\textsf{\large{\underline{Answer}:}}$

1. Hyperinflation is a situation when prices rise phenomenally high.
2. Germany faced hyperinflation in 1932 as it fought the war mainly on loans and was obliged to pay war reparations in gold.Due to this, the gold reserves further decreased which were already scarce.
3. Therefore,in 1923 Germany refused to pay and Ruhr(Leading Industrial Area of Germany) was occupied by French to claim coal.
4. Germany fought back with passive resistance and printed paper currency recklessly.
5. As a result,the value of German Mark fell and prices rose.This crisis is called as Hyperinflation.

✤$\textsf{\large{\underline{Question 2}:}}$

What was the ‘Great Economic Depression’ of 1929?

✤$\textsf{\large{\underline{Answer}:}}$

1. The Great Economic Depression is considered as the the biggest and longest economic fall. It started in USA when the Wall Street Exchange crashed in 1929 and lasted till 1932.
2. People sold 13 million shares fearing fall in prices.The national income of the USA fell by half.
3. Factories shut down,farmers badly affected and exports fell.The effects were felt worldwide.
4. The worst hit by this economic crisis was the German economy.Workers lost their jobs,their wages were reduced and about 6 million population became unemployed.
5. The society was as a result filled with the anxiety of being impoverished to the level of working classes or worse.

✤$\textsf{\large{\underline{Some key elements}:}}$

• This crisis in the economy helped Hitler to rise to power.
• Nazi propaganda stirred hopes of a better future.
• He promised employment for those looking for work, and a secure future for the youth.
• He promised to eliminate all foreign influences.