not Butter’ [EFICS]
In June 1933, the Nazis passed a Law to Reduce Unemployment.
The RAD (National
Labour Service) sent men
on public works; eg the
rose, 1932–38 from about 5 billion to 30 billion marks.
Unemployment fell from
nearly 6 million to virtually nothing.
up the armed forces (e.g. conscription took 1 million unemployed).
The soldiers needed
equipment, so this set steel mills, coal mines and factories back into
production. The Luftwaffe gave jobs to fitters, engineers and designers.
• The Nazi state machinery needed thousands of clerks, prison guards etc.
By the 1933 Farm Law, farmers were assured of sales and given
The government kept food prices at the 1928 level.
• BUT farmers were organised into the Reich Food Estate and strictly controlled (e.g., one rule stated that hens must lay 65 eggs a year).
• The New Plan of 1934 stopped imports, and subsidised industry. This is called 'Autarky' - the belief that Germany should be self-sufficient.
Production rose, especially of oil, steel, coal and explosives.
In 1936, Goering was put in charge. His Four Year Plan proposed
to get the army and industry ready for war in four years.
were happy when workers were well disciplined.
businesses were strictly controlled; they could be told to make
something different/ were not allowed to raise wages/ workers could be
sent to other factories.
Goering said: ‘Iron makes an empire strong; butter only makes
• Economists know now that these policies cause massive economic problems.
The Nazis tried to make people proud (e.g. the film The
Beauty of Work in 1934).
unions were banned and all workers had to join the German Labour Front.
lost their right to strike for better pay and conditions.
who refused to work were imprisoned.
• Wages and conditions on the RAD schemes were very poor.
through Joy (KdF) Movement
Workers were offered
cut-price holidays, theatre trips and concerts. In Berlin,
1933–38, the KdF sponsored 134,000 events for 32 million people (2
million went on cruises & weekend trips, and 11 million on theatre
The KdF designed the Volkswagen
(or ‘People’s Car’) ‘Beetle’, which it was planned to be able
to buy for 5 marks a week.
• The government made sure that everybody could get a cheap radio.
do YOU think?