Economic impactof Hitlers rule

DO YOU REMEMBERWhat did Hitler promise the unemployed?

What did Hitler promise the rich industrialists?

GERMANY JUST BEFORE HITLER TOOK OVER IN 1933GREAT DEPRESSION (1929)Unemployed dockworkers at Hamburgs harbour in January 1931. The workers are milling about, waiting for the unlikely prospect of day work.

A POOR FAMILY IN BERLIN, 1931

ECONOMIC POLICY

HITLER PROMISED TO MAKE GERMANY STRONG AND PROSPEROUS AGAIN!Video: Nazi Economic Miracle http://www.youtube.com/watch?v=A7m6b1cyRyo

RE-EMPLOYMENTThere was massive unemployment at the time when Hitler came to power.Public works programmes such as the building of roads, motorways (Autobahn) and public buildings were initiated. This greatly reduced the unemployment rate while at the same time providing infrastructure and facilities for the public.

HITLER & AUTOBAHNPostcard commemorating the construction of the autobahn. Left side shows Hitler starting the works and a completed section of the motorway in 1936 when 1000km had been completed

4-LANE DIVIDED HIGHWAYS, GERMANY (1930S)

HITLER AT THE OPENING OF THE AUTOBAHN.

MORE ABOUT THE AUTOBAHNHitler, who never earned a drivers license, and his entourage was the first to ride on completed roads.

Autobahn built for the Aryan populace only as the German Jews had to give up their driving license by the late 1930s.

MILITARISATIONIn 1935, the Nazis introduced conscription for the army. By 1939, there were 1.4 million men in the army. (HITLER DEFIED THE TOV!)Unemployment rate was drastically reduced as men were either employed by the army or working in factories that produced war materials such as uniforms, weapons and equipment. Creation of the modern air force the Luftwaffe also boosted the economy and provided employment.

RISE OF BIG INDUSTRIALISTSUnder the New Plan 1934 which aimed to make Germany self-sufficient, the Nazi government developed a close relationship with big industrialists. Imports were banned. Industries producing goods important to Germany (e.g. coal, explosives, oil and steel factories) were subsidized and awarded valuable government contracts to make these items. In return, they supported the Nazi government. The governments ban on trade unions also helped the big businesses. Employers no longer had to worry about conflict with workers as the workers were now under the strict control of the government.

Goerings Four Year Plan (1936) also had a huge impact on big businesses. Its purpose was to prepare Germany for war in four years. As such, the state spent massive amounts of money on rearmament, which in turn boosted the incomes of companies involved in the production of war materials. These big companies, in return, made compulsory donations directly to the Nazi Party.Thus, these big industrialists thrived and their production of important products contributed to the boost in the economy. At the same time, the Nazis did not have to be concerned about the Partys finances while strengthening their power and influence.

CONTROL OF TRADE UNIONSTrade unions were abolished.Workers were forced instead to join the DAF (German Work Front), a workers organization controlled by the Nazis. Workers were strictly controlled by the DAF. Although they could not be sacked on the spot, they were no longer allowed to strike or bargain for pay rises or better conditions.They also needed the governments permission to leave the jobs. (In some industries, they were not allowed to change jobs at all. Workers had no job mobility.)While Germanys economy seemed to be improving in general, it was at the expense of the workers wages and benefits. For example, by 1939, they were working up to 72 hours a week and their wages were restricted.

DAF FLAG & POSTERDAF poster DAF unites all kinds of workers

To ensure that workers continue to support the Nazi Party, the DAF set up the Strength Through Joy programme to placate them. The scheme provided workers with cheap cinema and theatre tickets, and organised courses and cultural and sports events for them. This allowed the Nazi government to indirectly control workers leisure time. Working conditions for workers were also improved under the DAFs Beauty of Labour scheme. For example, low-cost canteens and washing facilities were set up in factories. However, workers often had to indirectly pay for these services.

KdF scheme: Workers could save five Marks a week towards a cheap car, the KdF-wagen (later known as the Volkswagen Beetle)

NEGATIVE/POSITIVE EFFECTS OF HITLERS ECONOMIC POLICIES

PoliciesPositive EffectsNegative EffectsRe-employmentMilitarisationRise of Big IndustrialistsControl of Trade Unions

NEGATIVE/POSITIVE EFFECTS OF HITLERS ECONOMIC POLICIES

PoliciesPositive EffectsNegative EffectsRe-employment- Reduced unemployment rate. (Public works programmes created jobs for the unemployed.)MilitarisationReduced unemployment rate. (People were either working in the military/air force or in factories related to military-production)Boosted the economyRise of Big IndustrialistsControl of Trade Unions

NEGATIVE/POSITIVE EFFECTS OF HITLERS ECONOMIC POLICIES

PoliciesPositive EffectsNegative EffectsRe-employmentMilitarisationReduced unemployment rate. (People were either working in the military/air force or in factories related to military-production)Boosted the economyRise of Big IndustrialistsControl of Trade Unions

NEGATIVE/POSITIVE EFFECTS OF HITLERS ECONOMIC POLICIES

PoliciesPositive EffectsNegative EffectsRe-employmentMilitarisationRise of Big IndustrialistsBoosted Germanys economy- Workers and businesses were strictly controlledControl of trade unions

NEGATIVE/POSITIVE EFFECTS OF HITLERS ECONOMIC POLICIES

PoliciesPositive EffectsNegative EffectsRe-employmentMilitarisationRise of Big IndustrialistsControl of trade unionsJob security for the workers as they could not be sacked on the spot.Workers were provided with leisure activites through the KdF programmeWorking conditions were improved through the DAF Beauty of Labour scheme.Workers were strictly controlled by the government (e.g. not allowed to strike/bargain for pay raises or better conditions)