The Great Depression had severe negative consequences for Germany's economy which was dependent on foreign trade and capital. As production levels declined and workers were laid off, inflation set in making it difficult for many German citizens to afford necessities, and many fell into poverty. The economic troubles contributed to the unraveling of Germany's democracy, culminating with Adolf Hitler and the Nazis winning the 1932 elections and Hitler becoming chancellor. Under Hitler, Germany transitioned to a fascist economy focused on autarky and military spending, which helped lower unemployment by 1935.

1. Germany & The Great
Depression
By: Jessica Fauquier

2. The Beginning
• Stock Market on Wall St crashes on Tuesday,
October 29, 1929
• Germany economy was very dependent on
foreign trade and was built upon foreign
capital.
• Market for German exports comes to a halt.

3. Aftermath
• Since production levels declined, German
workers were laid off.
• Inflation happened soon after, and many
middle class families could not purchase
expensive necessities with their devalued
money.
• Many German citizens fell into poverty.

4. Democracy Unravels
• Gustav Stresemann, the German Foreign Minister
dies in October of 1929.
• In March of 1930, Heinrich Bruening, a member
of the Catholic Center Party, becomes Chancellor.
• Due to the negative reaction of Chancellor
Bruening’s attempts to help the citizens, he asks
President Hindenburg in July 1930 to dissolve the
Reichstag according to parliamentary rules and
call for new elections.

5. New Elections
• The election was set for September 14th.
• Hitler and the Nazis begin campaigning
relentlessly, giving speeches, signing
autographs, and even kissing babies.
• On election day, Hitler and the Nazi Party
received 6,371,000 votes, enough to win.
• Adolf Hitler was the new chancellor of
Germany.

6. German Economy under Hitler
• Germany changed its economy to a fascist
economy.
• Followed an autarky economic policy, creating
a network of client states and economic allies
in central Europe and Latin America.
• Unemployment fell significantly by 1935.
• Large scale military spending played a major
role in the recovery.