USA HISTORY

Detailed explanation-1: -The Young Plan reduced the total reparations debt from £6.6 billion to £2 billion. The Young Plan gave Germany 89 years to pay these reparations.

Detailed explanation-2: -Under the Dawes Plan, Germany’s annual reparation payments would be reduced, increasing over time as its economy improved; the full amount to be paid, however, was left undetermined. Economic policy making in Berlin would be reorganized under foreign supervision and a new currency, the Reichsmark, adopted.

Detailed explanation-3: -The Young Plan was an attempt by former wartime allies to support the government of Weimar Germany. In 1924, the Dawes Plan had been introduced to bring Weimar out of hyperinflation and to stabilise its economy. It appeared to have succeeded as 1924 to mid-1929 are viewed by historians as Weimar’s ‘golden years’.

Detailed explanation-4: -Allied victors took a punitive approach to Germany at the end of World War I. Intense negotiation resulted in the Treaty of Versailles’ “war guilt clause, ” which identified Germany as the sole responsible party for the war and forced it to pay reparations.