Pre-WW1 Germany- domestic

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German Unification

created in 1871 after the fall of the Holy Roman Empire

started as a power struggle between Prussia and Austria-Hungary

Chancellor of Prussia, Otto von Bismarck worked to exclude Austria-Hungary from German affairs and set to unify other German states

this aim was achieved in January 1871 when king Whilem 1 of Prussia was proclaimed Kaiser of Germany

German Government

Emperor (Kaiser)

Was supreme leader had the ability to:

Appoint and dismiss chancellors

Dissolve Reichstag (with consent if the Bundesrat)

Direct German foreign policy

Command all armed forces as commander-in-chief within the Empire both in peace and war

Chancellor

Was the chief minister of the Reich and was:

Responsible to the Kaiser alone

Responsible for shaping the framework of Reich policies

Not accountable to the Reichstag

Responsible for appointing all the state secretaries who had no power in their own

Had to sign all decrees from the Kaiser

Federal Council (Bundesrat)

Was a council from all 25 states within Germany they had power over

currency, banking, matters relating to trade, responsibility for education, justice, health and cultural matters

had 58 representatives nominated from all the states (with 17 seats for Prussia)

Could alter the constitution

had to ratify all legislation

had the ability to reject at military or constitutional issue with just 14 votes

Imperial Parliament (Reichstag)

elected by universal male suffrage

officials served for 5 years unless the Kaiser dissolved it

could discuss and agree those proposals put forward by the Bundesrat and the Imperial Government

not permitted to introduce its own legislation

did not allow chancellor and the state secretaries to be members

German Economy

by early 1900's Germany had become Europe's industrial powerhouse, overtaking Britain in industrial output. It was focused on a wide variety of industries

Electrics: two German firms produced almost 50% of the world electrical products by 1913

Chemicals: fertilizers made from potash and potassium salts greatly increased agriculture outputs. research and development gave Germany the leading role in dyes, pharmaceuticals and artificial fibers. by 1900, 90% of the worlds dyes came from Germany

Cars: Germans first produced the automobile but mass production didn't start until the 1920's

Precision Equipment: Germany had great development into things such as optics, cameras and mechanical engineering

The Labour Force

Germany had an ever growing population (almost 65 million by 1910) with that came a move from the primary sector (agriculture, fishing) to the secondary (industry, mining) and tertiary (banking, commerce)

Reasons for German Success

Long-term causes

Population: Germany had a rapidly growing population, therefore had a large work force. the younger population was willing to move from job to job, allowing them to gather new skills. this let Germany continue to develop.

Raw Materials: Germany had large amounts of natural resources. they had coal, iron-ore and potash in abundance. thus the huge demand for energy, iron-steel productions and chemicals could largely be met from domestic supplies instead of relying on imports.

Geography: Germany had major navigable rivers and easy access to the Danube. the large flat northern plain allowed fro construction of its excellent railway system.

Short Term Causes

Education: Germany had the best elementary education in the world, and between 1890 and 1914, university enrollment doubled.

Banks: Banking was a large stimulant to the economy. they provided generous long term loans, which allowed them to be directly involved in industry.

Protection: Bismarck placed import tariffs, which allowed domestic industry to develop and helped start up industries.

Weltpolitik

after Bismarck resigned, the Kaiser (Wilhelm II) had new ideas about where Germany should go. Bismarck had no colonial desires and only wanted to keep Germany as an economic superpower in Europe. the new kaiser wanted to attain colonies and grow the German navy to match the power of their army, as well as create larger economic "spheres of influence" this was to be accomplished through a new form of policy called Weltpolitik.

Political Impact

overall weltpolitik was successful because it had acceptance from various political parties and both upper and middle classes. it creatively played on feelings patriotism and loyalty to the crown.

Budget

the cost of weltpolitik was soon felt, the cost of sustaining Germany's large army and building its navy soon put them in debt, therefore new taxes had to be put in place. two proposals were put forward, a rise in indirect tax, and and inheritance tax (the tax on the estate of a person who has died) these tax proposals were both weakened by the Reichstag, and therefore the government debt continued to grow.

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