Wanted to stimulate the economy as they needed to solve the balance-of-payments deficit ( amount earned in exports being less than the amount spent on imports) as it was potentially dangerous by living outside its means.The economy also needed to grow for it to regain its world status and the economy growing results in the creation of more jobs.This was achieved by:
- The new plan (1934) which solved the deficit by reducing imports and new bilateral trade agreements. Bartering german manufactured products for balkan raw materials.
- People in the public sector began to earn money so spent more,increasing buisness profits. From this the overnment were able to tax companies and pay of their debts. New infrastructure being built alos boosted the private sector.
- As trade unions were banned less strikes occured so buisnesses could get away with paying lower wages.
Secret reamarmament began by progressing the restoration of the german military but needed to keep it secret to avoid britain and frances intervention(through the use of dummy companies)
- Rearmament was being paid for on credit as buisnesses were expecting to be paid with interest after the economies recovered.
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