The World Wide Depression was hard for all countries. The World War did put a harsh reality on the whole world. Every country was nearly bankrupt and doing everything they can to strength their ecomonies. When the war ened in 1919, France and the other allies countrys put the blame on Germany for the emotional and phyical destruction the war had put on the world. Germany had a $56 billion reparation put on then that was agreed under the terms of the Treaty of Versailles. Germany also faced emormous economic problems that started during the war. Unlike France and the other country, Germany did not increase their taxes during wartime. Instead they just printed up more money which made the value of the money much less. The German government had a hard time and kept failing to keep up with the payments for the reparation. Thankful, Germany revered from the 1923 inflation by the international committee.
Charles Dawes, an American banker, was the leader of the international committee at the time. He was asked by the Ailled Reparaions Committee to investigate the problem. He helped start the Dawes Plan. The US government then gave $200 million loan which would help allow the Germans get back on their feet from the hole they were in. This was put into effect in 1924. Dawes Plan was helped stabilize German currency and to help make the economy strong again.
France wanted Germany to be weak, and as soon as Germany could not keep up with the payments, they sent troops to Ruhr. Because France had troops sent to Ruhr, Germany hed to not even try to pay the reparation at all. France was then forced into the Dawes Plan to help.
Much of the money from the Dawes Plan was spent on building new factories and helping the economy become strong once again. But the French wanted to keep Germany was weak as they could so France looked like the strongest power in the world. The Dawes Plan slowly made Germany became stronger. The French, Americans, and Germans were in a money circle. United States loaned Germany the money to help re-build their country. Germany used the tax increase to help pay the reparation. France started to pay back the Untied States for the war loan and helped with the shipment of the United States goods.
As I look at all the information I have found on the Dawes Plan and how it did help Germany get its strength back, I think this plan was not only a good idea to start but it made the United States look like a powerful country. This plan helped Germany get the power and strength back to get back into the power they had before the war. France did not want Germany to come back into power. They tried to keep them weak for a long period of time. By the United States stepping in and giving Germany the push they needed, showed the world that the United States is becoming a more powerful and important country to the world. As the world saw the United States slowly get the power and confidence they need, Germany got back on their feet adn was becoming for powerful then they were before World War 1. This plan was a positive for both the United States and Germany. France wanted Germany to stay weak because it made France look the the power house of the world. France put the blame on Germany for World War 1 and gave a huge reparation payment. When Germany did not make the payments, France just went after them again. I feel like the United States stepping in to give Germany the loan made France look like the bad guy. France tried to redeem thenselves by stepping in also to help Germany get their country back on their feet. All in all, the United Startes took a big leap in stepping in to get Germany back into the top powers once again. France was the bully in this act. But Germany still got themselves into a higher power then ever with the help of the Dawes plan. Germany is still a strong and powerful country today.
words:526
