HISTORY
THE WORLD BETWEEN THE WARS
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
What economic event causes great problems in Germany in the early 1920’s?
|
|
Hyperinflation
|
|
|
Influenza
|
|
|
Inflation
|
|
|
Wall Street Crash
|
Explanation:
Detailed explanation-1: -Although the inflation was rooted in the huge debt that Germany had amassed in financing its war effort, the hyperinflation of 1923 was triggered by the French-Belgian military occupation in January 1923 of the German industrial district in the Ruhr valley.
Detailed explanation-2: -The government borrowed increasingly large amounts from the Reichsbank, which put more and more money into circulation. This was not matched by growth in the supply of goods in Germany, and huge price increases resulted.
There is 1 question to complete.