50 Reichsbank NOTE, dated Berlin, July 23, 1920 .-
During the great war, the devaluation of the framework had begun .- The government financed the war more and more by creating debt .- When Germany finally lost the war, faced the enormous demands for reparations from the victorious countries, tremendous steps that were agreed in the Treaty of Versailles .-
The German government decided to start printing more money, and reserves Gold and the dollar fell .- Although some coins were initially minted aluminum (200 and 500 marks) and worthless when they were delivered, and soon only banknotes were issued .- The Papier Mark (The Setting of paper) was created, but
in 1922 and the government could not agree on a new economic policy that would meet the demands of compensation .- The value of the framework against the dollar declining continuously .-
At 1 January 1923 the exchange rate was U.S. $ 1 = 9,000 .- Marcos
When Germany was unable to pay compensation in 1923, troops from France and Belgium occupied the main industrial area in west Germany, the Ruhrgebiet or Ruhr basin .- Without their main source of economic contribution of inflation in Germany was unstoppable .- $ 1 cost about 100,000 marks the June 1, 1923 .- Only two months later in August 1923 and the change was 4.62 billion marks for 1 Dolar .-
The monetary system was out of control .-
transport of banknotes in inflation was getting worse. - Workers now receive their wages each morning in baskets .- needed to go shopping immediately, as their salaries afternoon became worthless .- The physical source of money became a problem. due to the volume needed tickets enormede .- A central source of money was impossible .- The Hyperinflation was at its highest historical value
E. Hyde .- .-
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