Question

1. What nation experienced extreme hyperinflation, or skyrocketing cost of goods, that contributed to the start of World War II? France Germany Britain Japan

Answer 1

The correct answer is Germany.

After WWI, the treaty of Versailles signed in 1919 between Germany and the Allies, established that the reparations of the war shall be paid by Germany and that this country had to accept the moral and material responsibility of the war. The costs of the reparations stipulated by France and the UK were extremely high, increasing immensely the German foreign debt, and the ultimatum of the payment established for 1921 caused a serious economic crisis in Germany. This crisis was seen in a great leak of German money, a severe devaluation of the Deutsche Mark, which was replaced by the Papiermark, and extreme hyperinflation.

Answer 2

Germany, Germany, and Germany