1. National 5 History Germany 1919-1939
Topic 4 – Social and Economic Policies
Lesson: Germany’s economic miracle - The “Carrot”

2. Summary
For most Germans, Hitler provided huge improvements in their lives – or at least so they were told.
One of the big propaganda claims was that the Nazis solved Germany’s economic problems.
Main worries of the German people were based on jobs, prices and standard of living.
How true was it that the Nazi economic policies made life better for most Germans?

3. By end of this topic you should be able to:
Describe how Hitler made most Germans feel good about living in a Nazi State.
Explain why historians think the Nazi economic miracle was not as good as it seemed.

4. “The feel good factor”
Most important change was that everyone had a job and a wage.
Huge programme of public works provided jobs – planting forests, building hospitals and schools.
Building of public buildings also provided jobs e.g. Olympic stadium
Construction of Autobahns (motorways) – work for 80,000 men.
Re-armament created jobs in the armaments industry.

5. Autarky Can you remember/ look up what this word means?
The Nazis tried to make Germany self-sufficient - that is to produce all the goods it needed without having to rely on imported supplies. They called this policy ‘Autarky’.
This was why roads and houses were build and Germany started its rearmament programme.

6. Controlling the workers

7. The Creation of a Command Economy
Everything was controlled by the government and carefully planned.
The government determined what goods would be produced, how much should be produced and the price at which the goods would be offered for sale.
They also control wages.

8. Controlling the Workers
The Nazis took control of workers’ lives in a number of ways:
The German Labour Front (DAF) was established in 1933 and operated as a trade union for its members, although it was controlled by the Nazi Party. Striking was banned.
The German Labour Service (RAD) set up in 1935 made it compulsory for young men to be employed in public works schemes for six-month stints.
The Strength Through Joy (KDF) movement provided Nazi-approved leisure activities and holidays for loyal workers.

9. Economic Policies

10. The German Labour Front (DAF)
Only “trade union” allowed
Benefits to worker:
Extra days holiday to members
Protected from on the spot sacking
Benefits to Nazis/business:
No campaigning for higher wages or better working conditions
DAF decided wage rates
Compulsory deductions for income tax and strength through joy programme
Could not leave without Government’s permission
Needed a workbook to be employed
Record of behaviour, timekeeping and absence rate
Hours increased from 60-72hours
10x more than unemployment benefit had been.

11. The Reich Labour Service (RAD)
This was another work scheme to reduce unemployment.
In July 1935 the Reich Labour Service Act was passed, which forced every man aged between 18 and 25 to:
complete 6 months training at the RAD
wear military uniform
live in camps
receive pocket money only (no wages)
do military/physical exercise every day.

13. Strength through Joy (KDF)
Social Factors
Strength through Joy (KDF)

14. What was it? This was a way to control workers’ leisure time.
Hitler deemed it "necessary to control not only the working hours but the leisure hours of the individual".
Sports grounds and hiking hostels that already existed were taken over by the German Labour Front and used for its members.
They offered discounted leisure activities that workers and their families could afford.

15. Sport
By , over three million people were taking part in its physical education and gymnastics evenings, while many others took advantage of the cheap coaching it offered in tennis, golf, skiing, sailing and other upper-middle-class-sports.

16. Culture
Strength Through Joy promoted evening classes, amateur cultural activities and travelling art exhibitions.
Plays were performed in factories and specially organized KdF concerts, featuring important classical conductors and soloists
The KdF even had its own ninety-piece symphony orchestra which continually toured the country and in 1938 over two and a half million people attended its concerts.
One observer pointed out that the KdF "made available at bargain rates tickets to the theatre, the opera and concerts, thus making available more highbrow entertainment to the labouring man."

17. Leisure Cheap holidays
Two cruise ships – Madeira, Canary Islands, Norway
In 1938 – over 180,000 went on such cruises

19. Volkswagen - The People’s Car
Hitler felt car ownership would be "a source of unknown joy".
Designed by Ferdinand Porsche
Aim was it would be a family car and cost only 1,000 Reichmarks
Workers paid 5 marks/wk into an account
No-one ever received a car
Millions of marks invested were redirected into weapons factories.

20. Purpose of Strength through Joy
The first was to ensure that no one had too much time on their hands to get involved in activities against the state. There was a belief that idle hands might get involved in anti-state behaviour.
The second purpose was to make the average worker grateful to the state for providing activities and holidays that in ‘normal’ circumstances they could not afford as individuals.

21. Other reasons to “feel good”
Streets were safe and almost no crime
Nazis rallies provided excitement and fun.
Nazis youth groups provided activities and holidays for young people.
Positive images of Nazism – strength, vitality, the future!

22. Why is this important?
One way that Hitler controlled Germany – “carrot and the stick”.
This was the “carrot” that led people to accept the Nazis.
As long as life seemed to get better, most Germans were prepared to go along with the Nazis even if they did not agree with their actions or ideology.

23. Question
Was the German Labour Front a typical Trade Union? Give reasons for your answer
How did the German Labour Front help to increase productivity?

24. Source B is from Martha Hegzel, German Citizen 1938
I remember reading the NAZI newspaper and smiling. Finally, I could put food on the table and my children were not starving. My husband Herman came home from work yesterday and he even had two opera tickets! What a delight! I have never been to the opera. I will need to steam clean my blue dress. My neighbour said people don’t ever win holidays but I do not believe that is the case! The Nazi Party are helping us. How useful is source B as evidence of the Strength through Joy programme in Nazi Germany? (5)

25. Source A
Government organisation of the workers gave opportunity for brainwashing them. In 1935 the Labour Service was established. This meant that every male between the ages of 18 and 25 had to do six months in public work camps. Camp discipline was semi-military. Camp leaders were given ranks. Men drilled with spades instead of rifles. The Labour Service was an opportunity to spread Nazi propaganda, building upon that already provided by the schools and Hitler Youth. Workers were urged to regard themselves as ‘soldiers of work’.
How fully does source A describe the methods of control in Nazi Germany? (6)
You can mention any CARROT or STICK methods (German Labour Front –Trade Union, Gestapo or SS)

26. How successful were Nazi economic policies?
Target 1 = Full Employment
Nazis came to power the most serious problem was an unemployment rate of 26%.
They claimed by 1939 there was full employment – everyone had a job.
Was this accurate?

27. How successful were the economic policies?
Watch the clip and list the groups who benefited from the Nazi economic policies.
Unemployed- 30% of Germans unemployed in the Depression.
Farmers- had been made bankrupt in the Depression. Hitler’s economic policies gave them a future again.
Propaganda through rallies, festivals and newspaper reports made Germans proud to be Germans again- eg: after the opening of the autobahns.

28. Falling Unemployment An Economic Miracle???
6 million unemployed
Young men conscripted into army
Had to do whatever job Nazis gave them
Jews not counted
Job Creation – road building
War preparations = Job Creation
Women not counted
1933
1939

29. Target 2 = Autarky
Nazis wanted to make Germay self-sufficient.
That meant Germany would produce what it needed within Germany and would not rely on foreign imports.

30. AN ECONOMIC MIRACLE??

32. The Nazis took over other parts of Europe in the later 1930s such as Austria. The Nazis gained the resources and raw materials. This had nothing to do with Nazi economic policies.
Nazis tried to stop Germany importing food, clothing etc. However, the amount of luxury items brought in for Nazi officials kept increasing.
For most Germans everyday goods were in short supply and few luxuries were available.
German scientists tried to make oil from coal and to find substitutes for rubber, petrol, cotton and coffee – most were unsuccessful.
Farmers were given subsidies (money) to produce more food within Germany. Food imports were reduced, but it would have been cheaper to import from abriad.

33. Was there a German economic miracle?
The Nazis did provide the one thing Germans really wanted – a job.
Hitler claimed to cure unemployment.
1933 – unemployment levels were 26% by 1939 they had reduced to less than 1%.
The statistics were true but few Germans really questioned how the fall had been achieved.
It was hard and dangerous to question anything in the Nazi state. It was easier to just go with the flow!

34. Evidence – no miracle
The introduction of national service meant all young men spent 6 months in the German Labour Force and then they were conscripted into the army. By 1939, 1.4 million men were in the army, so they were not counted as unememployed.
Many Jews were sacked and their Jobs given to non-Jews. Jews were not counted as unemployed.
Many women were sacked and jobs given to men. Women were not counted as unemployed.
The Nazis stopped paying reparations which meant there was much more money to invest in the economy. This had nothing to do with Nazis policies.

35. Exam Practice
To what extent did Germans benefit from Hitler’s economic policies?
9 Marks
Remember – you must include at least 6 pieces of relevant/accurate information
Organised into paragraphs
Present evidence on both sides of the debate.
Include a conclusion which sums up the answer to the question and provides a reason why.
Fix the answer on the next slide!

36. Link back to q about CONTROL
Unemployment fell as a result of Hitler’s economic policies. Hitler’s war economy created many jobs in the armed forces and building tanks, ships and aircraft. Hitler also invested in big public works projects like the building of the autobahns. A lot of money was spent on big prestige projects – like fancy new government buildings. German workers soon found that their wages were lower than before. Hitler introduced an efficient “command economy” where there was careful planning and strikes were not allowed. Hitler’s economic policies were of little benefit to the Germans.

37. Strong and self-sufficient country Industrialised Transformed Gave Nazi Party a source of very CHEAP labour