hyperinflation

Main cause of hyperinflation

Excess printing of money to cover war debts

How did the treaty of Versailles impact inflation

Through the reparations Germany was expected to pay

How did the government react to the crisis

By printing more money, which raised prices which created a loop

How did hyperinflation affect people

Basic necessities were expensive, many had to be paid 2x a day to be able to go and buy items before prices rose again

Peak of hyperinflation

November 1923, money was worthless

What and when was bartering used

Some shops owners no longer accepted money and instead preferred trading (also known as bartering)

Affects on the government

Political instability, many people doubted the government

How was it finally controlled?

Stresemanns introduction of a new currency - rentenmark