Weimar Republic 1919 - 1933

On 28 June 1919 the Treaty of Versailles was signed. Germany was to cede Alsace-Lorraine, Eupen-Malmédy, North Schleswig, and the Memel area. Poland was restored and most of the provinces of Posen and West Prussia, and some areas of Upper Silesia were reincorporated into the reformed country after plebiscites and independence uprisings. All German colonies were to be handed over to the Allies. The left and right banks of the Rhine were to be permanently demilitarised. The industrially important Saarland was to be governed by the League of Nations for 15 years and its coalfields administered by France. At the end of that time a plebiscite was to determine the Saar's future status. To ensure execution of the treaty's terms, Allied troops would occupy the left (German) bank of the Rhine for a period of 5–15 years. The German army was to be limited to 100,000 officers and men; the general staff was to be dissolved; vast quantities of war material were to be handed over and the manufacture of munitions rigidly curtailed. The navy was to be similarly reduced, and no military aircraft were allowed. Germany and its allies were to accept the sole responsibility of the war, in accordance with the War Guilt Clause, and were to pay financial reparations for all loss and damage suffered by the Allies.

The humiliating peace terms provoked bitter indignation throughout Germany, and seriously weakened the new democratic regime.

On 11 August 1919 the Weimar constitution came into effect, with Friedrich Ebert as first President.

The two biggest enemies of the new democratic order, however, had already been constituted. In December 1918, the German Communist Party (KPD) was founded, followed in January 1919 by the establishment of the German Workers' Party, later known as the National Socialist German Workers' Party (NSDAP). Both parties would make reckless use of the freedoms guaranteed by the new constitution in their fight against the Weimar Republic.

In the first months of 1920, the Reichswehr was to be reduced to 100,000 men, in accordance with the Treaty of Versailles. This included the dissolution of many Freikorps - units made up of volunteers. Some of them made difficulties. The discontent was exploited by the extreme right-wing politician Wolfgang Kapp. He let the rebelling Freikorps march on Berlin and proclaimed himself Reich Chancellor (Kapp Putsch). After only four days the coup d'état collapsed, due to lack of support by the civil servants and the officers. Other cities were shaken by strikes and rebellions, which were bloodily suppressed.

Faced with animosity from Britain and France and the retreat of American power from Europe, in 1922 Germany was the first state to establish diplomatic relations with the new Soviet Union. Under the Treaty of Rapallo, Germany accorded the Soviet Union de jure recognition, and the two signatories mutually cancelled all pre-war debts and renounced war claims.

When Germany defaulted on its reparation payments, French and Belgian troops occupied the heavily industrialised Ruhr district (January 1923). The German government encouraged the population of the Ruhr to passive resistance: shops would not sell goods to the foreign soldiers, coal-mines would not dig for the foreign troops, trams in which members of the occupation army had taken seat would be left abandoned in the middle of the street. The passive resistance proved effective, insofar as the occupation became a loss-making deal for the French government. But the Ruhr fight also led to hyperinflation, and many who lost all their fortune would become bitter enemies of the Weimar Republic, and voters of the anti-democratic right. See 1920s German inflation.

In September 1923, the deteriorating economic conditions led Chancellor Gustav Stresemann to call an end to the passive resistance in the Ruhr. In November, his government introduced a new currency, the Rentenmark (later: Reichsmark), together with other measures to stop the hyperinflation. In the following six years the economic situation improved. In 1928, Germany's industrial production even regained the pre-war levels of 1913.

On the evening of November 8, 1923, six hundred armed SA men surrounded a beer hall in Munich, where the heads of the Bavarian state and the local Reichswehr had gathered for a rally. The storm troopers were led by Adolf Hitler. Born in 1889 in Austria, a former volunteer in the German army during WWI, now a member of a new party called NSDAP, he was largely unknown until then. Hitler tried to force those present to join him and to march on to Berlin to seize power (Beer Hall Putsch). Hitler was later arrested and condemned to five years in prison, but was released at the end of 1924 after less than one year of detention.

The national elections of 1924 led to a swing to the right (Ruck nach rechts). Field Marshal Hindenburg, a supporter of the monarchy, was elected President in 1925.

In October 1925 the Treaty of Locarno was signed between Germany, France, Belgium, the United Kingdom and Italy, which recognized Germany's borders with France and Belgium. Moreover, Britain, Italy and Belgium undertook to assist France in the case that German troops marched into the demilitarised Rheinland. The Treaty of Locarno paved the way for Germany's admission to the League of Nations in 1926.

The stock market crash of 1929 on Wall Street marked the beginning of the Great Depression. The effects of the ensuing world economic crisis were also felt in Germany, where the economic situation rapidly deteriorated. In July 1931, the Darmstätter und Nationalbank - one of the biggest German banks - failed, and, in early 1932, the number of unemployed rose to more than 6,000,000.

In addition to the flagging economy came political problems, due to the inability by the political parties represented in the Reichstag to build a governing majority. In March 1930, President Hindenburg appointed Heinrich Brüning Chancellor. To push through his package of austerity measures against a majority of Social Democrats, Communists and the NSDAP, Brüning made use of emergency decrees, and even dissolved Parliament. In March and April of 1932, Hindenburg was re-elected in the German presidential election of 1932.

The NSDAP was the big winner in the national elections of July 1932. It gained 38% of the vote, making it the biggest party in the Reichstag. The Communist KPD came third, with 15%. Together, the anti-democratic parties of right and left were now able to hold the majority of seats in Parliament. The NSDAP was particularly successful among young voters, who were unable to find a place in vocational training, with little hope for a future job; among the petite bourgeoisie (lower middle class) which had lost its assets in the hyperinflation of 1923; among the rural population; and among the army of unemployed. In new elections in November 1932, the NSDAP's share of the vote declined slightly, but it remained the biggest party in the Parliament.

On January 30, 1933, pressured by former Chancellor Franz von Papen and other conservatives, President Hindenburg finally appointed Hitler Chancellor.