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Between 1929 and 1933, economic catastrophe, political miscalculation, and constitutional exploitation drained the life from German democracy. Was collapse inevitable once the Depression struck, or did it result from contingent political choices?
Key Definition: The Great Depression was triggered by the Wall Street Crash of October 1929. In Germany, it caused mass unemployment, banking collapse, and political radicalisation.
Germany was hit harder than almost any other country because of dependence on American short-term loans.
| Economic Indicator | 1928 | 1932 | Change |
|---|---|---|---|
| Industrial production (1928=100) | 100 | 58 | -42% |
| Registered unemployed | 1.3m | 6.1m | +369% |
| Real wages | Index 100 | Index 64 | -36% |
| Bank deposits | 50bn marks | 35bn marks | -30% |
Exam Tip: The unemployment figure of 6 million is one of the most important statistics in modern European history. The real figure was probably closer to 8 million.
The Grand Coalition collapsed in March 1930. Hindenburg appointed Heinrich Bruning (Centre Party), who governed by presidential decree under Article 48. Bruning's austerity — cutting spending, raising taxes, reducing wages — deepened the Depression.
| Action | Actual Effect |
|---|---|
| Cutting welfare | Increased poverty |
| Raising taxes | Reduced consumer spending |
| Cutting wages | Reduced domestic demand |
| Deflationary policy | Deepened the Depression |
Key Definition: Rule by presidential decree means governing through Article 48, bypassing the Reichstag. Democracy was hollowed out from within.
Ian Kershaw: Bruning's chancellorship was 'the beginning of the end for Weimar democracy.'
| Party | May 1928 | Sept 1930 | July 1932 | Nov 1932 |
|---|---|---|---|---|
| NSDAP | 2.6% | 18.3% | 37.3% | 33.1% |
| KPD | 10.6% | 13.1% | 14.3% | 16.9% |
| SPD | 29.8% | 24.5% | 21.6% | 20.4% |
| Centre | 12.1% | 11.8% | 12.5% | 11.9% |
| DNVP | 14.2% | 7.0% | 5.9% | 8.3% |
| Liberals | 13.6% | 8.6% | 2.6% | 3.1% |
By mid-1932, over 50% supported anti-democratic parties (NSDAP + KPD).
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