Why was Stresseman so important to Germany's economy?

Gustav Stresseman reformed Germany's economy and this meant that they regained the respect of other countries and it encouraged positive change in Germany. He came into government following the Hyperinflation crisis, which was where prices rose so high and fast that people struggled to afford even a loaf of bread! And Germany's currency became almost worthless in comparison to other countries', which meant Germans struggled to afford anything from different countries like going on holiday or just buying things from another country. He helped renegotiate the reparations payments that Germany had to pay following World War 1, and he also decreased the amount of money the German government had to spend.
One of the most important things Stresseman achieved was the regained trust and respect for Germany after WW1, which meant other countries began trading with them again and their economy began to recover. However, despite all the things he achieved, Stresseman did not work magic! Unemployment was still quite high, over a million people remained without jobs, and Germany was still quite dependent on the United States for loans. Some sectors also never recovered, like its agricultural sector, it was severely damaged by the war and it struggled to recover under Stresseman. One of the disadvantages to Stresseman's policies was that after the German economy recovered and Germans could buy products from other countries again, they ended up buying more from other countries than other countries bought from them, which meant they lost money as they were buying more than they were selling. Overall Stresseman was very important to Germany after World War 1, but it is important to know both sides of the argument.

Answered by Georgia D. History tutor

1397 Views

See similar History GCSE tutors

Related History GCSE answers

All answers ▸

How do I write essays? Sample question: Was the Treaty of Versailles too harsh?


My essay feedback says I need to go into more depth. How do I do this?


How should I structure each paragraph in ten mark questions?


How do I write a really good History essay?


We're here to help

contact us iconContact usWhatsapp logoMessage us on Whatsapptelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo
Cookie Preferences