Wonk and Economy in Nazi Germany

1933: German Economy in tatters, 6 million unemployed. Hitler wished to restore economic
confidence, and get people working. Between 1933-1939, the unemployment rate dropped from
6,000,000 to 302,000, 25.45%.

The Nazis had 3 ways of restoring the economy: Massive construction projects, major rearmament,
and forcing women, Jews, and minorities to leave the workforce

Autobahn construction: One of the largest infrastructure projects under the Nazis, beginning in
September 1933. The project was primarily financed mainly by the Reich Institute for Labour
Placement and Unemployment Insurance. By 1936, 120,000 people were employed. By 1938, 3,500
kilometres of roads had been established. The Nazis encouraged the use of manual labour, to reduce
efficiency, thereby employing more people

The National Labour Service, our RAD put young men between 18-25 to work building public works.
Service was mandatory, and work most mostly manual, focusing on land reclamation, construction,
and roadbuilding. Men were only payed pocket money, and were forced to live in barracks or tents.
The Labour Service was unpopular, but it allowed the Nazis to artificially lower unemployment
statistics

The Strength through Joy program gave workers cheap tickets to cinemas, sporting events, and the
chance to win holidays, in exchange for not raising wages. Strength Through Joy kept workers
occupied: making sure they had no time to get involved with anti-state activities. The second
purpose was to make workers grateful to the state. Workers were encouraged to save 5 marks a
week for 4 years. 330,000 workers participated in this scheme, and 60,000 had paid off their car
purchase by 1939.

The Nazis restricted workers rights, in order to keep control. They outlawed trade unions, abolished
the minimum wage, removed maximum working hours, and forced workers into jobs. Unions were
replaced by a Nazi-Controlled ‘German Labour Front”

Official unemployment figures didn’t include Jews, men under 25, those held in concentration
camps, Women who had been removed from work, and people in part time work.

Hitler’s Secret Memo: “If we do not succeed in bringing the German army as rapidly as possible to
the rank of the premier army in the world, then Germany will be lost. Now, with Iron determination,
100% self-sufficiency should be achieved in every sphere where it is possible: I thus set the following
tasks: The German army must be operational within 4 years, and the German economy must ready
for war within 4 years.”

By 1938, German military spending massively increased, from 3.5 billion Reichsmarks in 1933 to 26
billion in 1938. Rearmament had two goals: To reduce unemployment and save German pride, and
prepare for war, in pursuit of Lebensraum

From 1935 onwards, all 18-25 year old men had to do compulsory military service for two years.
Thus, the German army grew from 100,000 in 1933 to 1,400,000 in 1938, cutting a million down
from the unemployment registers

Because the Nazis put so much effort into rearmament, living standards did not improve.

The German economy was beginning to recover before Hitler became chancellor.
Rapid recovery from unemployment was one of the Nazi regime’s notable successes, though living
standards did not increase: German workers were being payed less for more work