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Age of Anxiety:
1920’s: Consequences of World War I
and Versailles
1930’s: Great Depression and
aftermath; WWII begins
New Governments
New nations from Versailles: new governments
answerable to the people
 Results of Revolution: new governments



Russia: toward utopia
Defeated and Victor nations: more democratic
governments
Germany
 Austria Hungary
 France
 Italy

Challenges to Democratic Rule
Harsh reality of economic conditions
 Aggressive nationalism
 Political conservatism
 Lack of experience and skill
 Distrust from upper classes

Versailles Aftermath

German objections

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E Europe Objections



Treated unfairly
New national boundaries don’t satisfy nationalists
French objections


Humiliation to militaristic, nationalistic, proud
Reparations payments outlandish % of country’s economy
Believed provisions of treaty not adequately enforced
Italian objections


Not rewarded sufficiently
No empire: wanted African colonies as “reward” for WWI
alliance
Costs of WWI




Men: Lost Generation
 750,000 Brit; 1,385,000 Fr; 1,808,000 Ger; 1,7000,000 Russ; other
nations = combat deaths;
 Countless wounded, crippled by attacks, gas
 Loss of an entire generation + disillusionment of rest
Destruction of financial dominance and independence of Europe
 Debts from war costs, especially to US
 Bolshevik repudiation of Russ debts
 No cooperation or forgiveness of indebtedness: no nation completely in
control of own economy
Infrastructure Destruction and Interruption
 Transport facilities, mines industry
 Multitude of small states: no trade region as Germany and
Austria/Hungarian empire
 Russia: complete redistribution
 Poor conditions of agriculture because of relocation of farmers,
disruption, US competition
Loss of International markets
 US and Japan inroads into former Euro colonies; Latin America and Asia
while Europe tied up in war
Development of Communism
[See Russ Revolution presentation]
 Comintern vow to spread revolution to all
capitalist countries + “in”ness of
Communism as econ/polit/social
philosophy for intellectuals = threat to all
established governments
 Fear of “communist conspiracies” became
the way fascist and other conservative
parties rallied people against more liberal
governments

Fascism: ultra conservative,
nationalistic, totalitarianism
Term fascist from Mussolini
 Antidemocratic, antiMarxist, anticommunist, antiparliamentary,
mostly antiSemitic
 To make world “safe” for middle class, small business, middle
class propertied, small farmers
 Rejected 19th C liberalism
 Nationalist in response to “international” socialism
 Believed that normal parliamentary politics and parties
sacrificed national pride to inconsequentials, masses
 Unity of all for glory of fatherland: single party dictatorhips
 Ends justify means: terrorism, police state
 Ironically: based in support of masses for fascist political
parties vs USSR Communists imposed by minority

Italy: Turmoil that made Mussolini

Fasci di Combattimento (“Bands of Combat”) 1919 Milan war
vets





Mussolini, leader





Felt Versailles cheated of fruits of victory
resented that It didn’t get Fiume (Adriatic seaport)
Hated war-caused inflation destroying middle class
Feared spread of socialism
Son of blacksmith; teacher, day laborer
Editor of socialist newspaper, but broke w socialists over his support of
Italian entry into WWI
Served in army, wounded,
Opportunist, changing principles to gain power; took advantage of
situation
Italian nationalists



Weakness of Parliament during war: ministers ruled
All felt Italy humiliated by Allies: not paid attention
Abriele D’Annunzio lead group that seized Fiume; driven out:
embarrassed Italian government
Internal social turmoil
 Strikes
and unrest: workers occupied factories and
peasants seized uncultivated land from owners
 Parliament at a standstill:
 Socialist
party had plurality in 1919 election (still
combined with Communists)
 conservative Catholic Popular Party of working and
agrarian classes
 None would cooperate to make laws, solve problems
 Fear
that this social and political chaos would lead
to Communist takeover
Fascists on the Rise

Early Organization
 Mussolini
watching the way the wind blew
 First
wanted factory occupation, land seizure
 Then saw middle class no sympathy for workers or
peasants: wanted order, protection of own interests
 Direct
action in face of government inaction
 Local
squads of terrorists (Black Shirts) to disrupt
Socialist and other opposition parties (violence,
intimidation)
 Arson, beatings and murder of local officials that opposed
them: controlled city government in most of N Italy by
1922
 Law ignored Fascist squads
Mussolini Gains Power: March on Rome
 Power
in parliament 1921
elections
 Black Shirt of fascists march
on Rome
 Victor Emmanuel III refused
decree authorizing army to
stop them
 Cabinet resigned in protest
 Victor Emmanuel III invited
Mussolini to become prime
minister
 Technically: legitimately
elected: not really because
of terrorism and intimidation
Fascists in Power

Consolidation of power




Repression of opposition



By elections, took over ministry and passed laws
to enforce single party dictatorship
Terrorist squads made government militia,
execute major opposition leaders
Organization and propaganda





Impotence of rivals
Ruthlessness
1922: king, Parl give dictatorial authority for 1
year to reestablish order
Every government institution, corresponding
party organization
Fascist local control
Cult of personality: m’s oratory and intelligence
Belief M. saved Italy from Communists
Accord with Vatican

Lateran Accord 1929: Pope temporal ruler Vat.
City, Catholicism = state relig; $$ for confiscated
church property 1860’s
France: joyless victory




Conservative government
 “Blue Horizon Chamber” from uniformed vet members
Defeat of Clemenceau
 1920 president bid
 Alleged leniency of Versailles: didn’t get Rhineland state
 No domestic reform; vs German and vs Russ Comm
 Polit instability: 27 different cabinets 1919-1933
New Alliances
 Enforce clauses of Versailles to keep Germany weak
 Replace alliance with Russ with E. European nations
 Little Entente: Czech, Rom, Yugo
 Poland (not in Little Entente cause fight with Czech over border)
 Rapallo Treaty: Germany + Russia (trained Nazis) felt excluded
Quest for Reparations
 Germany in default of reparations payments 1923
 Under Poincare, France occupied Ruhr
 Germany calls for passive resistance (general strike in Ruhr)
 English alienated, suspicious of France
 Occupation by France increased inflation and hurt economy
Britain: Post War Mess

Asquith vs Lloyd George



“a land fit for heroes to live in”



Rallying cry, but economy depressed
Million unemployed on dole with little hope of jobs
First Labor Government:



During war, coalition government
Divided rule of Asquith and Lloyd George, both liberals, Lloyd George
supported by dominant conservatives
Baldwin, conservative, abandoned free trade and tariffs so lost power
Ramsay MacDonald, 1st Labour pm with socialist platform: social reforrm
General strike of 1926



Baldwin back in office; tried to reestablish prewar trade and gold
standard, but made Eng goods too expensive;
Cut in wages and breakdown in negotiations in coal, minors on strike
9 day general strike of all workers: new housing and poor law reform
Unrest Abroad


Empire: rise of Gandhi in India, asking for government and
own tariffs
Ireland:





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
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Home Rule Bill passed during war, with understanding not in force
until war’s end
BUT, Easter Uprising 1916 (war still on) in Dublin
British executed nationalist leaders
Sinn Fein (“ourselves alone”) took leadership
1919 declared Irish Independence, and military wing became Irish
Republican Army (IRA)
Guerilla war between IRA and “black and tans” (Eng army)
1921 Irish Free State in British Commonwealth
Ulster: six counties in N. Ireland
Civil war: supporters of treaties and those who do not
Germany: Weimar Republic

Weimar



Seeds of Failure




Associated with Versailles Treaty, signed under threat of invasion
Struggled with war reparations, other dictates of Versailles
Military, aristocracy blamed the republic for their defeat
Constitutional Flaws



(for city where Constitution being written)
With defeat of imperial army, hope of democratic republic
Proportional representation in Reichstag: minor parties, too
Article 48: president rules by decree in emergency
Lack of Broad Popular Support




Myth that military only surrendered cause of treason at home
Kapp Putsch: rebellion in Berlin lead by conservative civil servant
supported by army officers: failed, but undermined
Strikes and unrest extremism from right and left; violence, assassination
Economic disaster: reparations bill 132 billion gold marks
Germany on the brink of disaster

Economic disaster



War debt = inflation for all
currency devalued (mark to $ = 1914 4.2:1; 1921
64:1
Invasion of Ruhr and general strike = more
inflation



Unemployment from Ruhr spread to rest of country
1923 800,000,000 marks to 1 dollar
Real estate speculators and farmers did well, middle
class pensions and savings wiped out
Rise of Nazism: Adolf Hitler

Early life

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
During the War

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
Son of minor Austrian customs official
Hopes as artist dashed in Vienna; total failure
Absorbed anti Semitism, hatred of Marxism
German army gave him purpose: wounded
Rank of corporal and Iron Cross
After the War




Munich
Small, nationalistic, anti Semitic political party, National Socialist German
Workers’ Party (Nazis); Red and white with black swastika banner
Storm Troopers (SA_ instrument for terror, paramilitary
25 points:






repudiation of Versailles
Unification of Austria and Germany
Exclusion of Jews from German citizenship
Agrarian reform, prohibition of land speculation, confiscation of war profits
State sdministration of cartels, replacement of large with small shops
Socialism = subordination of all to state
Beer Hall Putsch





Hitler and General Ludendorff attempt coup
against the government in beer hall in Munich
Unsuccessful, 16 killed nazis killed, Hitler and
Ludendorff arrested.
General acquitted, Hitler used trial as a podium
to preach Nazism: condemned republic,
Versailles treaty, Jews
Hitler convicted: sentenced to five years, served
only a few months in jail
During jail, wrote Mein Kampf (“My Struggle”);
decided to manipulate system and seize power
legally
Stresemann tries to make the
republic work

Reconstruction of Germany



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Growing sense of confidence



Abandoned passive resistance in Ruhr
New currency (1 trillion old marks for 1 rentenmark)
Dawes plan (named after US proponent) lowered annual
payments of reparations, allowed to vary w Ger economy
Crushed Hitler and Communist disturbances
Economic stability: more for all; employment up
Hindenburg election


Stresemann resigned as president to be foreign minister with
secret aims of recovering German speaking territories in
Poland, Czechoslavakia
Election of Hindenburg, military hero monarchist (Germany
more conservative)
Locarno and Other Agreements

Lucarno Agreement (1925)



Stresemann begged for “fresh start” for Germany, change in Versailles
Treaty provisions
Spirit of conciliation in Chamberlain (Britain) and Briand (France)
Adjusting boundaries:
France and Germany accept Germany’s W. boundary (Versailles est)
French troops out of Ruhr by 1930
 Britain and Italy to intervene if either France or Britain pushed into Rhine
 Treaties of arbitration with Poland and Czechoslavakia
 Italy included as “Great Power”




Entry of Germany into League of Nations
Kellogg Briand Pact 1928



Major European powers, Japan and US
Renounced “war as an instrument of national policy”
Young plan



Again, proposed by US businessman
Lowered reparation payments, limited how long
Germany no longer supervised, controlled by outside
1929: Start of the Great Depression
Causes of the Great Depression
 Financial Crisis: outcome of Versailles
 Problems of production/distribution in
World Markets: agricultural crisis
 Lack of economic cooperation or
leadership
Financial Crisis from the peace

Reparations and War Debts


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
France paid reparations 1815, 1871 and expected Germany to
do the same; finance France’s recovery from WWI
US wanted repayment from Allied loans, other European nations
counted on reparations to help repay (mostly to US)
Britain wanted redefinition (We’ll only require France, others to
repay as much as US demands we repay; US wouldn’t decrease
demands)
Currency speculations meant no money going into capital
investments; tariffs high so balance of payments not awful
Unleashed inflation


After armistice, demand for consumer/industrial goods drove up
prices, which drove up wages
Currencies couldn’t keep value, especially German
Whoops! It all crashes!


Dominoes: American influence
 Dawes Plan: organizes reparations and debt repayment to US
 Handy: US in good shape invests in Europe, especially Germany—short
term loans
 BUT 1928 American money invested into booming stock market instead
 Wall Street Crash October 1929 result of unregulated financial
speculation results in bank failure; No money for Europe; loans not
renewed
End of reparations
 Because of American crash, European crash: Kreditanstalt, major Vienna
Bank creditor all E Europe, collapsed
 German banking system only saved by government ; no longer make
reparations payments
 Hoover declares 1 year moratorium on war debts; France has to go
along
 Lausanne Conference 1932: ends reparations
GREAT DEPRESSION deepens


Expanded agricultural world wide = prices down
 Better methods of farming, better varieties of wheat,
expanded farming acreage, better transport
worldwide = more production
 Glut on world market = Prices down, good for
consumer, but lower income for farmers, especially
Euro breadbasket of E/Central Euro
 Land reform in E Euro Romania and Czechoslovakia
(less in Poland and Hungary) meant smaller farms,
inefficient
No money = no demand for European goods
 Demand for Euro goods shrank relative to production
 Idle factories, fewer jobs=prices up, fewer still could
buy
 Farmers couldn’t repay loans = banks down
Britain’s Response

Labour government (Ramsay Macdonald)
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Unemployment up to 2.5 million
Macdonald thought budget slash, government cut in
salaries, unemployment benefits cut would help
Ministers refused to take income from poor and
unemployed
Divide in government: all thought MacD would resign
National Government


Coalition government formed by MacD with Labour,
Conservative, Liberal made Labour mad (thought sold
out)
1931 won elections, but MacD became tool of
conservatives who had majority in Commons
What the National Government did:

3 decisive steps

Balance budget: raised taxes, cut insurance benefits to
unemployed and pensioners, lowered government salaries




Argued that with fall in prices, no real income cut
Went off gold standard: pound fell 30%, stimulated exports,
but only a little
Import Duties Bill: 10% ad valorem tariff (proportion to
value of item) on all except empire imports
Results



Avoided banking crisis
Industrial production up (first to reestablish prewar levels)
Housing boom
Other Responses
Orwell Road to Wigan Pier about those still
unemployed showed many still hurt
 Demonstrations by unemployed, but social
insurance (dole) did support them
 Extreme right wing proposed; many supported,
but not able to take over




Sir Oswald Mosley: British Union of Fascist
Encouraged direct action;
Black shirts and antisemitism, but didn’t have wide
support
France: The Popular Front

Great Depression in France
 Later
and longer than Britain
 Wages lowered, but not so much unemployment
 Relations between labor and management tense
 Tariffs protected French agriculture

Election of Radical coalition government
 Deflationary
policies to head off economic tragedy
 Reparations payments stopped: depression begins
Right Wing Violence
Right wing groups wanted change
 Action Francaise founded before WWI
 Croix de Feu (Cross of Fire) army vets
 Some wanted monarchy, some military rule; hostile to
parliamentary government, socialism, communism
 Above all, nationalistic: greater good and glory of France above
political parties
 Stavisky incident: government loses prestige
 A gangster with government ties, involved in fraudulent bond
scheme
 Tracked down by police: suicide in January 1934
 Political coverup to protect government
 1934 Violent Demonstration
 Right wing leagues with uncertain purpose
 March to Chamber of Deputies
 Right and left begin to fight; both fight with police
 14 killed, many injured
 Radicals resigned, replaced with coalition of all living former
premiers; left realizes danger of right wing takeover as in

Reaction

Socialist/Communist Cooperation




French Socialists, lead by Leon Blum, usually target of
French Communtists, but cooperated because of rt threat
Popular Front of all left wing parties 1935
Elections 1936 gave them majority in Chamber of Deputies
Blum Government



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
Blum = successor to Jaures, assassinated in 1914; Jewish
intellectual/humanitarian
Strikes spread throughout French industry, especially after
election
Blum brought labor and management together:
Raised civil servant salaries, program of public works, loans
to small industry, nationalized some armaments
Wheat Board to manage grain production and sales
Devaluated currency, but too late to help industry
Reaction to the Reaction
Conservative bankers and business
complained to ministry to halt reform
 Popular Front didn’t want compromise
 Blum Resigns; ministry holds on for awhile
 Popular Front replaced by Radicals under
Daladier
 Depression in industry continues until war
intervenes

Germany: Nazi Seizure of Power

Depression Leads to Political Deadlock





Prosperity of Weimar gone when Am $$ withdrawn
Coalition of centrist and Social Demos split in face of depression
Von Hindenburg appointed Bruning, who ruled through decrees (Article
48) = authoritarian, but not effective
Persistent unemployment and unhappiness
Hitler Comes to Power


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
1928 Nazis as seats in Reichstag; 1930 = 107; Comm 77
Unemployed join stormtroopers (SA) which went from 100,000 to 1
million (1933)
Vicious attacks on Communists and Social Demos, who also fought each
other
Nazi “religious revival” rallies with supporters in business, military, press
1932 election 83 year old von Hindenburg vs Hitler : Hitler got 30% in
first vote, 36.8 % in runoff election
In light of elections, Hindenburg dismissed Bruning and put in von Papen
as chancellor, one of very conservative group controlling Hindenburg
Hitler becomes a dictator

Hindenburg wanted mass support only Nazis seemed to
have,




Removed ban on Nazi meetings Bruning imposed
called for election July 1932, where Nazis won 37%; Hitler
demanded to be chancellor; Hindenburg refused;
called another elections where Nazi support dipped to 33%
Papen resigned, General von Schliecher chancellor, but
almost civil war between right and left;




conservatives didn’t trust general, so decided to appoint Hitler
von Papen as vice chancellor, other conservative ministers in cabinet
to control Hitler
Hitler, however, had too much popular support; took over
government
HITLER GAINED INITIAL POWER LEGALLY
Hitler Consolidates Power

Hitler’s political strength





Mass politics
Propaganda
Support in country (farmers, vets, young)
Promised security vs communists and socialists, effective government
instead of party politics, nationalist vision
Three facet consolidation of power

Capture of full legal authority
Firing of Reichstag building in Berlin by mentally ill Dutch Communist
Took advantage of “Communist threat”
 Article 48 chancellor could take full power with Emergency Decree: Hitler
suspended all civil liberties, arrested communists
 New election: 43.9% to Nazis, but removed all Communists
 Reichstag passed Enabling Act: Hitler rule by decree alone with no limits to
his power



Crushing of all external opposition
Nazi power seized offices, banks, newspapers of opposition and arrested
leaders;
 outlawed other parties; Only National Socialists (Nazis) allowed


Purging of Rivals within the own party

Ernst Roehm commander of SA rival to Hitler; Hitler ordered his murder, and
also that of other SA chief officers (100 killed July 1934)
Police State and Anti Semitism
 Nazi Economic Policy

Italy: Fascists Face Depression
Economics
 Syndicates
 Corporations

USSR: Central Economic Planning
Decision for Rapid Industrialization
 Collectivization of Agriculture

Foreign Reactions and Repercussions
 Purges
