The impact on Germany because of her refusal to pay war compensation in 1923

CBSE Class 9 CBSE Class 9 Social Science
1

The impact on Germany because of her refusal to pay war compensation in 1923
reflected in the economy and society. How?

2

Impacts of refusal to pay war compensation in 1923 on Germany were :

  1. The France occupied its leading industrial area, Ruhr, which was rich in coal.
  2. Germany retaliated with passive resistance and printed paper currency recklessly. With too much printed money in circulation, the value of the German Mark fell drastically, causing the prices of goods to soar leading to hyperinflation.
  3. The economic crises created deep anxieties and fear in people which disrupted the social life of the people.