Question

What were the effects of economic depression in Germany?

Answer 1

The economic situation in Germany briefly improved between 1924-1929. However, Germany in the 1920s remained politically and economically unstable. The Weimar democracy could not withstand the disastrous Great Depression of 1929.The disaster began in the United States of America, the leading economy in the world. The American stock exchange is in the city of New York in a building on Wall Street. The Wall Street stock exchange collapsed in 1929 and the American economy collapsed with it. This event was known as the Wall Street Crash, and was the start of the Great Depression.

Answer 2

In the year 1929 the Wall Street Exchange crashed in. German investments were totally dependent in short term loans provided by USA .This support was withdrawn.The German economy was worst hit by this crisis.Industrial production was reduced to 40 %. There were 6 million unemployed people.You could see men with placards hung around their neck saying "willing to do any work".Youth queued up in local employment exchange,played cards or took to criminal activities.Total despair became commonplace.