The Student Room Group

Germany 1922 French Invasion of the Ruhr

Did the french invasion of the Ruhr cause hyperinflation in 1923 in Germany?
Because the Germans passively resist to work, so there was not much money in the economy; so that led to hyperinflation.
OR
Did the French invade the Ruhr because of hyperinflation in Germany, and so Germany could not pay reparations?
Germany didn't pay reparations (for a number of reasons), so the French invaded the Ruhr. The government ordered passive resistance (strikes) but still had to pay the workers. To pay the workers they had to print more money, which led to hyperinflation.


Posted from TSR Mobile
I personally think that the French invaded the Ruhr driven by bitterness and jealousy at Germany's industry. However, their invasion did provoke German passivity so it can be argued that if the French didn't invade then the workers would not have gone on strike, etc. Don't forget that inflation was an underlying factor and the Invasion of the Ruhr simply made inflation transpire into hyperinflation. I would always link the Treaty of Versailles back to one of the major causes for hyperinflation since Germany had so much land etc taken away from them and they simply could not afford the reparations. But of course the fact that Germany's biggest source of industry had been brought to a standstill, due to German passivity, had huge conseqences and hyperinflation was certainly one of them. The German economy had been spiralling downhill ever since the war, but even Europe as a whole, and America were struggling (Wall Street Crash etc). But France invading the Ruhr was an enormous display of power for the French who were bitter at how far German's industrialisation had come, especially as France and Belgium were somewhat left in ruins after the war. But I think that Germany had no choice but to print more money, as their currency had become literally worthless and the Germans could not afford to live.

(I hope this helps, it's been 2/3 years now since I sat my GCSE Nazi Germany paper. But I can help with anything if you need me.) :biggrin:
Reply 3
Original post by tragicwords
I personally think that the French invaded the Ruhr driven by bitterness and jealousy at Germany's industry. However, their invasion did provoke German passivity so it can be argued that if the French didn't invade then the workers would not have gone on strike, etc. Don't forget that inflation was an underlying factor and the Invasion of the Ruhr simply made inflation transpire into hyperinflation. I would always link the Treaty of Versailles back to one of the major causes for hyperinflation since Germany had so much land etc taken away from them and they simply could not afford the reparations. But of course the fact that Germany's biggest source of industry had been brought to a standstill, due to German passivity, had huge conseqences and hyperinflation was certainly one of them. The German economy had been spiralling downhill ever since the war, but even Europe as a whole, and America were struggling (Wall Street Crash etc). But France invading the Ruhr was an enormous display of power for the French who were bitter at how far German's industrialisation had come, especially as France and Belgium were somewhat left in ruins after the war. But I think that Germany had no choice but to print more money, as their currency had become literally worthless and the Germans could not afford to live.

(I hope this helps, it's been 2/3 years now since I sat my GCSE Nazi Germany paper. But I can help with anything if you need me.) :biggrin:


Thank you so much for that!
I'm just a bit confused because my history teacher told me that the french invaded the ruhr because Germany wasn't paying reparations so they took their main industrial area in Germany.. so did the French invasion of the Ruhr take place before major hyperinflation in germany then?
Original post by S6991
Thank you so much for that!
I'm just a bit confused because my history teacher told me that the french invaded the ruhr because Germany wasn't paying reparations so they took their main industrial area in Germany.. so did the French invasion of the Ruhr take place before major hyperinflation in germany then?
Yes - they already had an inflation problem but the invasion exacerbated it.
The French invaded the Ruhr because Germany was in inflation, and so couldn't pay the reparations. The Ruhr was the strongest economical part of Germany, and so when they lost that, the inflation they were suffereing turned int hyperinflation.
Reply 6
The reason hyperinflation is because the Germans did not want to pay reparations, so they had a strike (formally known as passive resistance). This meant production was not being manufactured. So the French invaded Germany to take their payments by force. They could not do this due to "passive" resistance. Now because no production was being manufactured, some products e.g. bread had to raised to a higher mark. This is where hyperinflation happens. More money was being printed so that could pay for daily items. The prices kept going up, therefore more money was being printed. That should help you.

Quick Reply

Latest

Trending

Trending