Germany 1923 1926 1923 Jan French and Belgian troops occupied the Ruhr.

r. - Germany declared a policy of passive resistance in the Ruhr. Jul Hyperinflation of German economy. US$1 = 150,000 marks Aug Gustav Stresemann becomes chancellor Sep Stresemann ends policy of passive resistance. Oct Reichstag passes Enabling Act, giving Stresemann government power to deal with hyperinflation. Nov New currency (rentenmark) introduced. - Fall of the Stresemann government. 1924 Apr Dawes Plan announced, revising Germanys reparations. Aug French troops withdrawn from Ruhr. 1925 Feb Death of President Friedrich Ebert. Apr Hindenburg elected president. Aug Final French troops left the Ruhr. Oct - Germany signed the Locarno Treaty. 1926 Apr Germany & Soviet Union signed the Treaty of Berlin. Sep Germany joins League of Nations. Oct General von Seeckt was dismissed as commander of German army. JANUARY 1923 - THE RUHR -Germany announced that they could not pay the second reparation to France, and hoped to renegotiate the terms of the settlement under Clause 234 of the treaty, which allowed for a review based on Germanys capacity to pay. -French and Belgian troops were sent to occupy the Ruhr (industrially significant), receiving the reparations in timber and coal. -Germany was united in an anti-French sentiment so called for Passive Resistance in the Ruhr. Workers went on strike. -French brought in their own workers and more troops to control Germans. -Germanys economic ties to the Ruhr cut by France. JULY 1923 - HYPERINFLATION -Reasons: key industrial resources lost in peace treaty; little export trade; no foreign investment or loans. -To meet cost of reparations, wages (still had to pay those in Ruhr) and war pensions, government printed more money currency fell dramatically. -Did not increase taxation. -Led to redistribution of wealth farmers not affected, bourgeoisie & working class suffered, industrialists & business class paid debts and made profits. STRESEMANN -Nationalistic; supported war effort and policies of Ludendorff, Brest Litovsk, and unrestricted submarine warfare. Distrusted radical left & radical right. Formed own party. Believed in co-operating with West & former enemies. Wanted to end diplomatic isolation, undo injustice of treaty, and recover lost territory.

-AUGUST: government falls (lost control of economy, social hardship increased, rising unemployment) and Stresemann (DVP) called on to form new government coalition of SPD, Centre Party, DDP and DVP. -SEPTEMBER: Stresemann ends passive resistance in the Ruhr. German nationalists unhappy saw it as betrayal. -Enabling Act passed by Reichstag, giving Stresemann power to deal with national issues. (i.e. hyperinflation) -NOVEMBER: introduced new currency (Rentenmark) backed by land & industrial assets rather than gold. Strict controls on issue and exchange rate. -Government expenditure cut, budget balanced, new taxes. NOVEMBER 1923 - FALL OF GOVERNMENT -Nationalist anger as a result of end of passive resistance. Right wing government in Bavaria defied government in Berlin. -Ebert declares a state of emergency threat of separation. Thuringia and Saxony governments removed to protect national unity. -Munich Beerhall Putsch: Nazi Party in Bavaria tries to seize control of government, but failed because neither the prime minister of Bavaria or the army would support it. Resulted in a march through Munich some killed in police gunfire. -SPD withdraw from coalition. APRIL 1924 - DAWES PLAN -Stresemann, now foreign minister, worked to improve Germanys international position and was able to renegotiate the reparations. -Dawes Plan introduced April 1924 reparations were to vary depending on Germanys capacity to pay. -Relied on loans from USA. -Result: stabilised economy & reduced burden of reparations; improved standard of living; return of confidence to people; industry grew rapidly. -However, high unemployment rates and agricultural debt remained. AUGUST 1924 FRENCH TROOPS WITHDRAWN FROM THE RUHR FEBRUARY 1925 DEATH OF PRESIDENT EBERT APRIL 1925 HINDENBURG ELECTED PRESIDENT -Narrow victory -Symbol of right wing, nationalist aspirations -Army & right wing now more tolerant of Republic. -Followed letter of constitution but was opposed to republican democracy. AUGUST 1925 FINAL FRENCH TROOPS LEAVE RUHR OCTOBER 1925 LOCARNO TREATY -Wanted to improve relations with France. -France, Germany, Belgium, Britain & Italy involved.

-Stresemann signed Locarno Treaty accepted French-German and German-Belgian borders as per Treaty of Versailles. -France, Germany and Belgium renounce use of war. -No agreement on eastern borders. -Reduced tensions, spirit of reconciliation, France & Germany given added security. APRIL 1926 TREATY OF BERLIN -Neutrality pact between Germany and USSR. -Germany maintained friendly relations with USSR. SEPTEMBER 1926 GERMANY JOINS LEAGUE OF NATIONS -Germany on good terms with Europe, so admitted as part of League of Nations. -Used as forum to complain about unfair treatment of German minorities in Poland. -Some Germans opposed this as it had been formed by those who inflicted injustice on Germany through Treaty of Versailles. OCTOBER 1926 GENERAL VON SEECKT DISMISSED