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Economic Developments - Coggle Diagram

- - - - cut gov spending & raised taxes
      - unemployment increased
      - cut salaries of public workers and decreased unemployment benefits.
      - Agriculture still protected = food prices artifically high
  - - - Pres Hoover agreed to a temporary halt on payments (finally abandoned June 1932)
      - 'Agrarian Socialism'
        
        disfavour from Hindenburg = lost position before in effect
  - - - peaked 6 million 1932
      - tax rebates to employers that took on new staff
      - end of compulsory arbitration
      - relaxation of the system wage agreements
      - approved by employers, opposed by TU and left wing parties
    - - attempted to win over TU
        
        programme of public works
        
        price fixing
        
        restoration of wages
        
        relief cuts
        
        land settlements in East Prussia
      - Consequence
        
        alienated Industrialists and landowners
        
        annoyed Hindenburg
        
        By 1932, Germany still not recovered to 1913 standard (France and World had, US close.)
- - - - gov spending on work schemes - Arbeitsdienst
      - Subsidies for private construction & renovation
      - discouragement of female labour - e.g marriage loans
      - tax concessions for businesses through 'mefo bills'
        
        repayments accounted for 50% of gov expenditure
        
        stimulated industries (housing and road construction.)
        
        rearms in short term, but expensive
      - construction of Autobahnen (Sep 1933)
      - recruitment into RAD
        
        complusory service for every man aged 18-25 for 6 months
    - - payed foreign debts in Reichmarks (worth less)
      - July 1934 - debts stopped payed altogether
  - - - offered rewards to keep support for Hitler (e.g leisure activities)
      - established Strength through Joy and Beauty of Work