Notes on Weimar and Nazi Rise (1929-1933)

German economy recovering from WW1 and hyperinflation.
Economic prosperity dependent on American loans (1924-1928).
Wall Street crash in October 1929 called in existing American loans, leading to a crisis.
Panic led to a rush for gold and foreign currency, with $1,000 million marks leaving Germany.
Bank runs and closures in 1931; government imposed money movement restrictions.
Heavy industry demand fell rapidly (1929-1932); exports decreased by 55%.
Unemployment rose to 6 million by mid-1932; businesses and banks collapsed.
Significant cuts in welfare spending; industrial production halved compared to pre-WW1 levels.

Weimar political weaknesses exposed; parties unable to agree on unemployment solutions.
SPD (Society Democrats) and DVP (German People’s Party) split increased.
Hermann Muller lost support; used Article 48 to pass laws when unable to secure Reichstag support.
Political stalemate; Muller resigned in March 1930.

Bruning succeeded Muller; reliance on Article 48 increased (66 times in 1932).
Known as the "hunger chancellor" for unpopular policies: welfare cuts, salary reductions, tax increases.
Unemployment and violence increased; lost support from President Hindenburg.

Nazi support increased; September 1930 election - 18.3% of votes, 107 seats in Reichstag.
Hitler focused on winning middle-class support and effective propaganda.
July 1932 election - Nazis won 230 seats, becoming largest party; suffered losses later.

Weimar republic portrayed as ineffective; key players undermined democracy.
von Papen's government had no Reichstag members; continued reliance on Article 48.
Political instability prompted fears of civil war; von Schleicher appointed chancellor but failed.
January 30, 1933: Hitler appointed chancellor amid elite’s belief of controlling him.