 The end of the First World War brought economic problems to the new Germany. Many soldiers returned home to find that there were no jobs for them. The Treaty of Versailles made the situation much worse. Vital economic resources, such as coal mines and steel factories, were taken away. Huge reparation payments also now had to be made. By 1923 the German government found that it could no longer meet these payments. Determined not to be deprived of the money due to them, the French sent troops into the Ruhr, the centre of Germany's heavy industry. Outraged by this invasion the German workers in the Ruhr went on strike. The effect on the German economy was devastating. Wages failed to keep pace with rocketing prices. The standard of living thus fell. Life savings were wiped out at a stroke. The government's response at first was merely to print more money. Paper mills and printing establishments were put on to 24 hour shifts in order to cope with the ever increasing demand.
For a time in the autumn of 1923 the very existence of the Republics seemed again to be threatened. Economic collapse led to a series of uprisings in different parts of Germany, such as Hitler's unsuccessful beer hall putsch in Bavaria.
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