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The Wall Street Crash of October 1929 plunged Germany into an economic and political crisis that destroyed the Weimar Republic and brought Adolf Hitler to power. This lesson examines the factors that allowed the Nazis to go from a fringe party to the government of Germany in just four years. This is one of the most important topics in the AQA GCSE History specification.
On 29 October 1929, the American stock market crashed, triggering a worldwide economic depression.
Germany was particularly badly hit because its economic recovery depended on American loans (the Dawes Plan). When the US economy collapsed:
| Effect | Detail |
|---|---|
| Loans recalled | American banks demanded their loans back; German businesses lost their funding |
| Factories closed | Industrial production fell by over 40% between 1929 and 1932 |
| Unemployment | Rose from 1.6 million (1929) to over 6 million (early 1933) — roughly one in three workers |
| Banking crisis | Major German banks collapsed in 1931 |
| Poverty | Millions depended on government welfare; homelessness and hunger became widespread |
| Agriculture | Farmers, already struggling, faced further falling prices and increased debt |
Exam Tip: Be able to explain the chain of causation: Wall Street Crash → US loans recalled → German businesses collapse → mass unemployment → poverty and desperation → people turn to extremist parties (Nazis and Communists).
The Great Depression created the conditions for the Nazis' electoral breakthrough. Different groups had different reasons for supporting the party.
| Group | Why They Supported the Nazis |
|---|---|
| Unemployed workers | The Nazis promised jobs and bread; the SA provided food and a sense of purpose |
| Middle class | Terrified of communism (which would take their property); had lost savings in hyperinflation; wanted a strong leader to restore order |
| Farmers | Attracted by Nazi promises to protect agriculture and raise food prices; hostile to the Weimar Republic |
| Big business | Feared communism; some industrialists (e.g. Fritz Thyssen) funded the Nazis as a bulwark against the left |
| Nationalists | Supported the Nazis' promise to destroy the Treaty of Versailles and restore German greatness |
| Young people | Attracted by the energy, dynamism, and sense of purpose of the Nazi movement; unemployment was especially high among the young |
| Women | Some women supported the Nazis' emphasis on traditional family values (though the Nazis also attracted women who admired Hitler personally) |
Joseph Goebbels, the Nazi propaganda chief, was crucial to the party's success.
| Method | Detail |
|---|---|
| Mass rallies | Carefully staged events with flags, music, searchlights, and powerful speeches by Hitler |
| Posters and leaflets | Simple, striking messages targeting specific groups (workers, farmers, the middle class) |
| Hitler's speeches | Hitler was a mesmerising speaker who told audiences what they wanted to hear; he offered simple explanations for Germany's problems and blamed the Jews, communists, and the Weimar Republic |
| Radio | The Nazis used radio broadcasts to reach millions |
| Newspapers | The Nazi newspaper Völkischer Beobachter spread the party message |
| Aeroplane campaigns | Hitler flew across Germany to speak at multiple rallies in a single day — the "Hitler over Germany" campaign (1932) |
| Scapegoating | Blamed Germany's problems on the Jews, communists, and the "November Criminals" |
The Reichstag was unable to form a stable government. The main parties could not agree on how to deal with the economic crisis.
| Date | Chancellor | Problem |
|---|---|---|
| 1930–1932 | Heinrich Brüning | Governed by presidential decree (Article 48); cut spending, raised taxes; made the depression worse; earned the nickname "the Hunger Chancellor" |
| June–November 1932 | Franz von Papen | Had almost no support in the Reichstag; relied entirely on President Hindenburg |
| December 1932–January 1933 | Kurt von Schleicher | Failed to build a coalition; lasted only 57 days |
| Election | Nazi Seats | Nazi Vote % | Communist (KPD) Seats |
|---|---|---|---|
| May 1928 | 12 | 2.6% | 54 |
| September 1930 | 107 | 18.3% | 77 |
| July 1932 | 230 | 37.3% | 89 |
| November 1932 | 196 | 33.1% | 100 |
Exam Tip: Note that Nazi support fell in the November 1932 election. The party was running out of money, and some voters were drifting to other parties. Hitler came to power not because the Nazis were becoming more popular, but because of backroom political deals.
On 30 January 1933, President Paul von Hindenburg appointed Hitler as Chancellor of Germany.
Why did this happen?
| Factor | Detail |
|---|---|
| Franz von Papen's scheming | Von Papen persuaded Hindenburg to appoint Hitler as Chancellor with himself as Vice-Chancellor. He believed he could control Hitler: "We've hired him." |
| Hindenburg's reluctance | Hindenburg despised Hitler as a "Bohemian corporal" but was persuaded that only a government including the Nazis could command a Reichstag majority |
| Fear of communism | The growing strength of the Communist Party (100 seats in November 1932) terrified the conservative elite; they saw Hitler as the lesser evil |
| Failure of alternatives | Neither Papen nor Schleicher could form a workable government |
| Nazi electoral strength | The Nazis were the largest party in the Reichstag; it was difficult to form a government without them |
Exam Tip: Hitler was not elected as Chancellor. He was appointed by President Hindenburg as part of a political deal. This is a crucial distinction that examiners expect you to understand. The conservative elite thought they could use and control Hitler — they were catastrophically wrong.
Question: Which was more important to Hitler's rise to power: economic factors, or the political weakness of the Weimar Republic?
Model Level 4/5 paragraph:
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