From Economic Crisis to Nazi Success (1929-1933)

Everything changed when Wall Street crashed in October 1929. Share prices plummeted, and within a week investors lost $4000 million. This wasn't just an American problem - German banks had invested heavily and suffered massive losses.

The economic collapse hit Germany like a sledgehammer. The Dawes Plan loans that had helped Germany pay reduced reparations suddenly dried up. By January 1933, 6 million Germans were unemployed. The government raised taxes and cut unemployment benefits, making life even harder for ordinary people.

Desperate Germans began turning to extreme political parties for solutions. The Nazis seized this opportunity brilliantly. Their seats in the Reichstag shot up from just 12 in 1928 to 230 by 1932, making them the largest party.

Key Point: Economic disasters often create political opportunities for extremist groups who promise simple solutions to complex problems.

Hitler's path to becoming chancellor involved a series of political appointments and elections between 1932-1933. After coming second to Hindenburg in the presidential election with 36.8% of the vote, political wheeling and dealing eventually led to Hindenburg appointing Hitler as chancellor in January 1933, with Von Papen as vice chancellor.

Early Nazi Development and the Munich Putsch (1919-1925)

Hitler joined the tiny German Workers' Party (DAP) in September 1919 and became its leader by 1921. He transformed it completely, creating the 25-point programme in February 1920 that would define Nazi ideology.

The programme demanded some radical changes: abolish the Treaty of Versailles, create a strong central government, conquer Lebensraum (living space), and rearm Germany. More sinisterly, it promoted the idea that the Aryan race was superior whilst Jews were sub-human.

Hitler also built the SA (Stormtroopers) from unemployed men and former soldiers. These thugs intimidated opponents and created violence at political meetings. The party grew rapidly from 1,000 members in 1920 to 100,000 by 1932.

The Munich Putsch in November 1923 was Hitler's first major failure. Trying to exploit Germany's hyperinflation crisis, Hitler and 600 SA members stormed a beer hall meeting, forcing Bavarian officials to support a rebellion against the Weimar Republic. The next day's march through Munich ended in disaster when police opened fire, killing 16 SA members and leading to Hitler's arrest.

Key Point: The Munich Putsch taught Hitler that he needed to use democratic methods, not violence, to gain power legally.

Prison actually helped Hitler's cause. He wrote Mein Kampf (My Struggle), which became the Nazi party's political bible, and reorganised the party around core beliefs: extreme nationalism, using industry to benefit workers, traditional German values, and the destiny of the Aryan race to rule the world.