Hello, welcome to History here at Oak National Academy.

My name's Mr. Newton and I'll be a teacher today guiding you through the entire lesson.

Right, let's get started.

In this topic, we'll uncover the story of a Germany, which went through a dramatic transformation.

In the wake of defeat in the first World War, Germany shifted from a powerful empire to a fragile democracy known as the Weimar Republic.

Between 1919 and 1923, Germany faced crisis after crisis, political uprisings, economic collapse, and the humiliation of the Treaty of Versailles.

Many believed the young republic wouldn't survive.

How did Germany manage to pull back from the brink? However, there was a glimmer of hope.

Between 1924 and 1929, the country seemed to stabilise, the economy improved, daily life became easier, and Germany regained some international respect.

Some historians called this period the Golden Age of the Weimar Republic, but was it really? Did these years bring real lasting stability or was Germany simply papering over deeper problems? In the lessons ahead we will explore what was achieved and how strong this recovery really was.

To guide our investigation, we will focus on our big inquiry question, was 1924 to 29 a golden age for the Weimar Republic? This the question we will use to investigate whether this so-called Golden Age was built to last or duped to crumble.

By the end of this lesson, you will be able to explain why the German economy recovered between 1924 and 1929.

Before we begin, there are a few keywords that we need to understand.

Loans is the money that is borrowed and has to be paid back, usually with an extra fee.

The Rentenmark was a temporary currency issued in 1923 to stop hyperinflation.

The Dawes Plan was an agreement between Germany and the allies.

It restructured reparations, provided US loans to Germany and led to French troops leaving the Ruhr.

And the Young Plan was also an agreement between Germany and the allies.

It reduced Germany's reparations by 20%, though it faced criticism for prolonging debt.

And finally, infrastructure are the basic systems and services such as transport and power supplies that a country uses in order to work effectively.

Today's lesson is split up into two parts.

We'll first look at the initial stages of economic recovery before moving on to American loans and the Young Plan.

Right, let's start the lesson with economic recovery.

In 1923, as Germany teetered on the brink of collapse, president Friedrich Ebert needed to appoint someone who could help him rebuild Germany.

President Ebert turned to Gustav Stresemann.

Stresemann was appointed chancellor, which is a position equivalent to the Prime Minister in Britain.

Stresemann quickly said about stabilising Germany, and we can see Gustav here in this photo in his formal suit, serious expression and composed posture.

Stresemann was a politician with a sharp intellect, and he had an unyielding will, which was committed to stabilising Germany's fragile democracy.

Stresemann quickly demonstrated his knack for uniting Germany's fractured political landscape By bringing together moderate and democratic parties, he forged a coalition that gave Germany a much needed break from the intense political divisions that had troubled it since the Republic began.

After just 100 days as Chancellor, Stresemann stepped down and took on the role of foreign minister, dedicating himself to restoring Germany's international reputation.

Tragically, he passed away in 1929.

So we can see here a politician that will essentially work to stabilise Germany by improving the economy and restoring its international reputation.

Okay, let's have a check for understanding.

What I want you to do here is fill in the blank and you can see I provided you with a sentence, and I want you to complete this sentence with the correct missing word.

Pause the video, have a think, and then come right back.

Okay, welcome back.

Let's see how that sentence should have read.

Gustav Stresemann became chancellor in 1923 during the hyperinflation crisis.

Despite his brief time in leadership, Stresemann's efforts marked the start of what historians now refer to as the Golden Age of the Weimar Republic.

Let's take a look at this timeline which shows the key steps in Germany's economic recovery under Stresemann.

And we can see the timeline starts in 1923 on the left of the slide and goes through the years right up to 1929.

So in 1923, Stresemann introduced a new currency.

This was crucial to stopping hyperinflation, which had caused severe economic hardship in Germany.

Next, in 1924, Germany's reparations payments were restructured.

This economic agreement reduced the immediate financial strain on Germany and allowed the economy to start recovering.

At the same time, this agreement secured large loans from the United States.

The yellow bar shows the loans and investment flowing into Germany between the years 1924 to 1929.

These loans helped revive German industry, create jobs and improve infrastructure.

In other words, this period saw significant economic growth, and this is the period that has been sometimes referred to as the golden age of the Weimar Republic.

And finally, in 1929, another economic agreement further reduced Germany's reparations payments, giving the economy more breathing room.

So what does this timeline tell us? Well, it helps us to see how Stresemann's policies helped Germany to recover from crisis.

But just take a note that much of this recovery relied on US loans.

And this raises an important question.

Was Germany's economic recovery truly stable or was it built on fragile foundations? In 1925, following President Ebert's death, Paul von Hindenburg was elected president.

Here we can see a photo of Hindenburg.

During the First World War, Hindenburg was a former first World War general who had ties to the old Imperial order under the Kaiser.

In other words, he was a close advisor to the emperor.

Many Germans, especially right wingers, respected him as a war hero and would have felt reassured that he was now at the heart of government.

Together, Stresemann and Hindenburg played vital roles in stabilising the Weimar Republic and giving it a chance to recover.

One of Stresemann's most pressing tasks in 1923 was to address the economic chaos crippling the nation.

Hyperinflation had spiralled so wildly out of control that people used stacks of bank notes as fuel or wallpaper.

The German economy needed an anchor, something to stabilise a sinking ship and Stresemann had a solution.

To stabilise the German economy, Stresemann introduced a new currency, the Rentenmark.

This currency was introduced in November, 1923, and it replaced the worthless Reichsmark, which had inflated out of control during hyperinflation.

And in the image on the left we can see one Rentenmark note.

The Rentenmark was a stroke of genius.

Unlike its predecessor, the Rentenmark was tied to the value of real physical assets, particularly the price of gold, agricultural land and industrial goods.

Rather than being endlessly printed to meet government debts.

Crucially, each Rentenmark was backed by real solid value, which reassured people that the money was actually worth something and could be trusted.

Stresemann's Rentenmark was a significant step towards ending hyperinflation.

Okay, let's have a check for understanding what action did Stresemann take to stabilise the economy and reduce hyperinflation? A, he halted all reparations payments.

B, he introduced the Rentenmark, C, he nationalised major industries.

Pause the video, have a think and then come right back.

Okay, welcome back, and well done if you knew the correct answer was that Stresemann introduced the Rentenmark to stabilise the economy and reduce hyperinflation.

Okay, let's continue.

So the new currency was introduced using Article 48, which reinforced the belief that the Weimar democracy was ineffective.

Have a look at the diagram on the left.

This illustrates how the Weimar Republic worked together with the power shared between the president, the Chancellor, and the Reichstag.

However, in times of crises, these three often argued, and this could cause a delay in laws being passed.

So to overcome this log jam, Article 48 was used and this was a special clause in the Constitution, which allowed the president to bypass both the chancellor and the Reichstag to take emergency action.

So we can see here how this might be seen to be undemocratic by bypassing and ignoring the Chancellor and the parliament, effectively, the President could make decisions like a dictator.

While the Rentenmark successfully brought runaway inflation under control within months, its undemocratic introduction reinforced the belief of many Germans that democracy was ineffective at solving the nation's problems. The Rentenmark was never intended to be permanent, but it provided the stability Germany desperately needed.

By 1924, it was replaced by the Reichsmark as the official currency overseen by a newly independent Reichsbank and not the government.

This bank played a critical role in maintaining economic stability and ensuring trust in Germany's financial system moving forward.

hyperinflation might have been quelled but Germany remained buried under the crushing weight of reparations demanded by the Treaty of Versailles.

Stresemann recognised that without a renegotiation, Germany would remain paralysed, unable to rebuild.

To address Germany's inability to make these payments, the allies turned to Charles G Dawes, and American Banker to find a solution.

In 1924, Stresemann working with Dawes and other international financial experts negotiated the Dawes Plan.

And we can see a photo of the Dawes committee in Berlin and Dawes is seated forth from the left.

These experts worked on how they could find a compromise, which meant that Germany still paid reparations, but it's in a more viable way.

Therefore, the Dawes Plan resulted in reparations payments being restructured to make them more manageable, starting with smaller amounts and increasing as Germany's economy recovered.

The plan also meant that the French agreed to leave the Ruhr, and perhaps more importantly, the Dawes Plan unlocked a vital source of economic lifeblood, American loans.

Okay, let's have a check for understanding, what was the outcome of the Dawes Plan? Select three correct answers.

A, Germany received American loans, B, reparations payments were cancelled.

C, reparations payments were restructured.

D, the French withdrew from the Ruhr.

Pause the video, select your three correct answers, and then come right back.

Okay, welcome back and well done if you knew the correct outcome of the Dawes plan was A, Germany received American loans, C reparations payments were restructured, and D, the French withdrew from the Ruhr.

Okay, great.

Let's move on to task A.

What I want you to do here is, working with your partner, discuss how Germany began to stabilise after 1923.

And if you'd like, you could jot this down in the form of a bullet point list, pause the video, have a quick discussion, or write your list and then come right back.

Okay, welcome back and well done for having a go at that task.

So there's many things that you may have discussed or written down in your list, but you may have come up with the following.

See, I said that Stresemann's political leadership uniting parties in the Reichstag, reducing political divisions, restoring Germany's international reputation as foreign minister all point towards a Germany which is beginning to stabilise after 1923.

You might have said that Hindenburg was elected as president and is brought reassurance to many Germans due to his ties to the old Imperial order and his status as a war hero.

So in other words, across the political spectrum, Germans now had a centre left party in power, the SPD, but this was also balanced with a right-wing president in Hindenburg, keeping both sides of the political spectrum happy, offering stability to the government.

You much said that Stresemann introduced the Rentenmark to combat hyperinflation, that the currency was tied to real assets like gold and land.

And this restored public confidence in using money.

You might have also talked about the Dawes Plan, that it restructured reparations payments and made them more manageable and that this led to the French leaving the Ruhr, reducing tensions.

And you might have also mentioned the crucial aspect of the Dawes Plan being that it unlocked American loans to help economic recovery.

And finally, you might have said that 1923 marked the start of what historians now refer to as the Golden Age of the Weimar Republic.

All of these things point towards a Germany that is beginning to stabilise after 1923.

Okay, great, so we've now established the context of the initial economic recovery.

We can now move on to the impact made by American loans and the Young Plan.

The United States provided Germany with substantial loans and investment under the Dawes Plan, America was aiming to stabilise Europe as part of its own post-war economic recovery.

In other words, a stable Europe was beneficial to the United States.

Between 1924 and 1929, billions of dollars flowed into German industries, infrastructure projects and banks.

And if we have a look at the diagram, we can see the US loans at the top of the diagram.

We can imagine the billions of dollars flowing down into Germany and the factories on the map represent how the influx of money helped revive the German economy.

Factories were modernised and restarted, producing goods for both domestic use and exports, but also massive infrastructure projects such as new roads, railways and public buildings.

These all improved daily life and restored Germany's sense of pride and progress.

Unemployment dropped significantly and as cities were transformed and industry flourished, a renewed optimism began to take hold, boosting Germany's status both at home and on the international stage.

Yet much of this new found prosperity was built on loans that would eventually need to be repaid, leaving Germany's recovery more fragile than it seemed.

Okay, let's have a check for understanding.

Why did Germany's industrial production increase between 1924 to 1929? Was it A, factories were funded by American loans, B, reparations payments were cancelled.

C, the Dawes Plan reduced taxes.

Pause the video, have a think and then come right back.

Okay, welcome back, and well done if you knew the correct answer was A, factories were funded by American loans helping to boost industrial production.

Okay, let's continue.

So Stresemann's economic diplomacy did not end with the Dawes Plan.

Using his position as foreign minister, he worked tirelessly to negotiate further relief for Germany.

In August, 1929, a committee agreed the Young Plan the reduction of Germany's reparations by 20%.

This committee was set up by the allies and headed by American Banker Owen Young, and we can see a photo of the previous Dawes committee and we can see Young highlighted in the green circle, showing that he was also a participant of the Dawes committee before going on to head up the Young Plan.

The Young Plan further reduced Germany's reparations burden, cutting the total amount owed by about 20%.

Payments were also stretched out over 59 years, offering some reprieve to the struggling German economy.

This meant that Germany had a longer term to attempt to pay off their debt.

However, the long-term nature of the payments provided fuel for critics of the Weimar Republic, such as many nationalist groups including the Nazis.

And the image on the left is actually an edited photo of Adolf Hitler with other nationalists who were attempting to block the Young Plan.

So why was there so much opposition against the Young Plan? The opponents argued that the payments would not end until 1988, effectively passing the debt onto future generations.

Therefore, these groups railed against the idea of Germany being shackled by reparations for decades to come.

To many, the Young Plan symbolised the ongoing humiliation caused by the Treaty of Versailles and the belief that the Democratic government had failed to make Germany truly independent again.

The Young Plan was a practical step forward, as reducing reparations payments allowed the government to lower taxes on ordinary Germans, easing their financial burden.

Although the Young Plan was finalised after Stresemann's death, it was very much a continuation of the groundwork he had laid through his diplomatic efforts.

Many Germans recognised the benefits of the Young Plan as evidenced by the fact that 85% voted to accept it in a national referendum.

Tragically, Stresemann's life was cut short by a stroke in 1929, leaving behind a legacy of significant progress.

He had overseen a remarkable recovery for Germany, but even he understood the fragility of this new found prosperity.

He warned that economic position is only flourishing on the surface.

He recognised that the recovery relied heavily on foreign loans and could quickly unravel if that support were withdrawn.

Okay, let's have a check for understanding, and what I want you to do here is fill in the blank.

So you can see that I've given you a sentence and I want you to complete that sentence with the correct missing word.

Pause the video, have a go and then come right back.

Welcome back, and let's see how that sentence should have read.

A key feature of the Young Plan was that it reduced reparations by 20%.

Okay, let's have another check.

Why were some people sceptical about the economic recovery? Select two correct answers.

A, seen by some as pushing debt onto future generations.

B, the recovery relied heavily on foreign loans.

C, the Rentenmark caused hyperinflation to return.

D, unemployment rates remained unchanged.

Pause the video, have a think and then come right back.

Okay, welcome back and well done if you knew the correct answers were A, the economic recovery was seen by some as pushing debt onto future generations, and B, the recovery relied heavily on foreign loans.

Okay, great, let's move on to the first part of task B.

What I want you to do here is starting with the earliest, sort these events into time order.

And you can see I've provided you with four jumbled events, which I want you to place into the correct chronological order.

Pause the video, have a go at the task, and then come right back.

Okay, great, welcome back.

Let's check the correct time order of those events.

So firstly, Stresemann introduces the Rentenmark to combat hyperinflation, and this was an early event in economic recovery of Weimar Germany.

And then the French agreed to leave the Ruhr as part of the Dawes Plan.

And of course, the Dawes Plan opened up the possibility for the USA to give loans to Germany.

And some years after that, the Young Plan reduces reparations by 20%.

Okay, great.

Let's move on to the second part of Task B.

And I've given you a 1929 newspaper article to read, and what I want you to do is to tell me what can you learn from this 1929 newspaper article about the German economic recovery between 1923 and 1929? And you'll explain your answer with two paragraphs using the contextual knowledge you have gained in the lesson so far.

So let's read the newspaper article.

"Since 1923, Germany has experienced an extraordinary recovery thanks to the efforts of a visionary chancellor who brought stability through bold leadership and international agreements, which have reduced the burdens imposed by the Treaty of Versailles.

Yet not all are convinced.

Critics argue that foreign power and money have us at their mercy for generations to come.

There is still plenty of suspicion about the effectiveness of democracy.

Despite these concerns, the Weimar Republic have our factories humming again." So use this newspaper article and the contextual knowledge you've gained in the lesson so far to explain what can be learned about the German economic recovery between 1923 and 1929.

So in other words, use the newspaper article to talk about the broader context of what's happening in Germany at the time.

Pause the video, have a go at the task and then come right back.

Okay, welcome back and well done by having a go at that task.

So there's many ways that you could have answered that question, but compare your answer with the one I have here.

From the newspaper article, historians can learn that Stresemann played a vital role in stabilising Germany's economy during this period.

One of his first major actions as Chancellor was introducing the Rentenmark in 1923 to tackle the hyperinflation crisis.

This new currency restored confidence in the German economy.

As foreign minister, Stresemann and continued his efforts by negotiating the Dawes Plan in 1924, which restructured reparations payments and secured significant American loans.

These loans were crucial for funding factories and infrastructure projects.

This led to reduced unemployment and the source celebrates the revival of factories as evidence of the Weimar Republic success.

However, the article also hints at the criticisms of this recovery, showing that not everyone was convinced.

For example, the reliance on American loans left Germany vulnerable, as they would eventually need to be repaid.

Additionally, the use of Article 48 to introduce the Rentenmark bypassed democratic processes, leading some to question the effectiveness of the democratic system in solving crises.

Critics were further concerned about the Young Plan, which extended reparations payments for decades, making Germany feel trapped under foreign control.

These lingering doubts about democracy and economic dependence meant that while many Germans appreciated the recovery, critics such as nationalist groups, including the Nazis, railed against the potential long-term instability created by the Weimar Republic.

Okay, great, let's summarise today's lesson.

Economic recovery under Stresemann.

Streelman played a key role in stabilising the Weimar Republic.

He united parties in the Reichstag and restored Germany's international reputation.

To address hyperinflation, he introduced the Rentenmark in 1923.

The 1924 Dawes Plan restructured reparations payments and secured American loans, funding infrastructure to reduce unemployment.

Hindenburg's election as president in 1925 reassured many Germans due to his imperial ties and status as a war hero.

However, critics pointed to Germany's dependence on American loans and the Young Plan, which extended reparations payments until 1988 as signs of ongoing foreign control.

Additionally, the use of Article 48 to introduce the Rentenmark raised concerns about democracy's effectiveness in addressing crises.

Well done on a brilliant lesson.

Today we've explored how Stresemann's policies, helped Germany recover from economic crisis.

However, much of this success relied on foreign support and emergency measures like Article 48, which bypassed democracy.

So was this recovery truly built to last or was it just a temporary fix? As we move forward, we'll question whether this period truly deserves to be called a Golden Age.

I'll see you next time when we continue our inquiry.

See you in the next session.