Germany's 1924–1929 Recovery: Dawes Plan, Investment, and Rationalization

The "Golden Twenties" recovery stemmed from:

1. Dawes Plan (1924): Rescheduled reparations; $200M US loan stabilized currency (Rentenmark/Reichsmark).
2. Foreign Capital: US loans flowed into industry (IG Farben, steel, auto), boosting output 50% by 1929.
3. Industrial Rationalization: Cartels, mergers, assembly lines cut costs, raised productivity.
4. Agricultural Protection: Tariffs/subsidies stabilized farm incomes.
5. Infrastructure: Autobahn planning, rail modernization, housing (Neues Bauen) created jobs.

Fragile: dependent on US loans; collapsed with 1929 Crash and Young Plan failure.