They were also forced to pay a high amount of money for reparations, they had to pay a sum of 132 billion gold marks (US$33 billion) to cover civilian damage caused during the war. This resulted in the collapse of Germany’s economy. Germany, known as Weimar Germany at the time became very dependant on American loans. As a consequence, when the wall street(1929) occurred Weimar Germany was very much affect almost as much as the USA itself. This made Germany very vulnerable, making it easier for Hitler to seize power. The unemployment rate in Germany was 6 million.During the 1932-33 election campaigns Hitler had promised the people of Germany Work and Bread. In January 1933 the unemployment rate was 6 million and 302,000 in January 1939. How did Hitler reduce the unemployment rate to nearly having full employment by 1939? He established a ‘do whatever work is given to you by the government or be classed as “work-shy” and put in a concentration camp. Hitler tried to counter unemployment and fight poverty after the Great Depression by forcing the german population to take whatever work was given to them. When Stalin came into power in 1924 after the death of Lenin who had been in power from 1917 to 1924, he found the that USSR’s economy had suffered immensely. Mainly during the early years of the 20th century with the World War I(WWI) in 1914 and the civil war in 1917. The Union of Soviet Socialist Republics (USSR) was still suffering from absolute poverty by 1928. As a result, Stalin decided to have a totally planned economy. He came up with the first part of his five year plan in the same year (1928). The Five year plans were Stalin's method of modernising the country's industry. The five year plan was an economic success, they created jobs and the soviet union wasn’t affected by the great depression. This was a forced-marched industrialization, Forced-marched industrialization is when the government forces everyone to work in Industries, In the case, Stalin forced everyone to work in the industrial career frame and whoever refused to work in industries was sent to the gulag. ‘Industries Fuel the Economy’ As industries grow and makes more money they can bring in more workers which creates more jobs.
However, with big government comes big control.
As we have seen, both Hitler and Stalin have indeed helped their country’s economy grow, however, they left no choice to the people. Both politicians sent whoever refused the job offering to concentration camps. The people have no say in government like these. Both Hitler and Stalin have a totalitarian system, which means they have full control over everything the country does, anybody who doesn’t agree with them disappears and is never heard of again. In Nazi Germany, Hitler claimed that the unemployment rate went down 5 698 000. However we have to keep in mind that Hitler was a dictator and could say anything he wanted to make himself seem great. This could have been propaganda. A great example of this is with the first five year plan. Stalin told the people of the USSR that the five year plan was a great success when in reality, it wasn’t. It did create many jobs and reduce the unemployment rate, but it failed to successfully ‘catch-up’ to the western world. In Nazi Germany, it is important to keep in mind that Hitler did not count the jews as citizens of the country, as a result they were not categorized as employed or unemployment. Women were also discouraged from working, Hitler believed that women belonged at home cooking, cleaning, and taking care of their children (the three k’s (“Kirche, Küche, Kinder” (church, kitchen, children)
)).
In conclusion, Society should help fight poverty with a big government. A big government will be able to take the precautions necessary in order to create more jobs as a result reducing the unemployment, thus ending absolute poverty. However with big governments comes big responsibilities and control. A big governments, the government usually has full power of the lives of its country.