Describe what caused Germany’s economy to suffer after World War I.
A. the rise of the Nazi Party
B. the Great Depression
C. disarmament
D. wartime reparations and hyperinflation
D. wartime reparations and hyperinflation
After World War I, Germany was required to pay hefty reparations as part of the Treaty of Versailles. This, combined with the cost of the war and the loss of valuable territories, put a huge strain on the German economy. In an attempt to pay off these reparations, the German government resorted to printing more money, leading to hyperinflation. This economic instability caused widespread unemployment, poverty, and social unrest in Germany after World War I.