Which of these statements best explains how the Treaty of Versailles contributed to the economic crisis in Germany during the 1920s?(1 point)

Responses

The treaty required that Germany pay all war reparations in gold.
The treaty required that Germany pay all war reparations in gold.

The treaty required that Germany print worthless paper money to cover war reparations.
The treaty required that Germany print worthless paper money to cover war reparations.

The treaty required that Germany make expensive reparation payments to the Allied nations.
The treaty required that Germany make expensive reparation payments to the Allied nations.

The treaty required that Germany raise tariffs on imported and exported goods to secure funding for war reparations.

The correct answer is the third statement: "The treaty required that Germany make expensive reparation payments to the Allied nations." The Treaty of Versailles imposed heavy reparations on Germany, forcing them to make significant financial payments to the victorious Allied nations. This placed a tremendous economic burden on Germany, leading to inflation and economic crisis in the 1920s.