The Young Plan of 1929 then reduced the reparations by a third and Germany was given 59 years to repay the sum, unfortunately for Stresemann the plan fell through because of the Wall Street Crash on 24th October 1929. Many investors world-wide, felt the devastating, long-lasting effects of the falling prices at the New York stock exchange, which led to the depression. .
The depression was a big problem for the German Government, they were just staring to get some of their problem sorted, and were now forced to make decisions on what to do. Due to the number of parties in the Reichstag these decisions proved to be hard to make. The depression emphasised the problem in the structural weakness of the Government due to the parties arguing over how much unemployment benefits should be paid to the people of Germany.
The German Government now began to look really bad and unorganised to the German people. So with an unstable parliamentary government, the people of Germany, who were not very democratic and did not have much tradition or history of democracy for them to look back on, started to vote for anti-democratic parties, such as the Nazis.
All the problems that were being thrown at the parliamentary government, and the weakness that was already there meant that it could not cope with all the pressure being put on it, and so it started declining. .
And why was Hitler appointed Chancellor in January 1933?.
On 30th January 1933 Hitler was appointed Chancellor, and Von Papen was appointed vice-chancellor, by Hindenburg. Many events took place at around that time, such as the political scheming between the leaders, which helped to allow Hitler become Chancellor. There were also many other factors that helped to allow Hitler and the Nazis to become recognised. Some factors were events that occurred many years prior to 1933, such as the Treaty of Versailles, which indirectly contributed towards Hitler becoming Chancellor because the Weimar Government could not cope with the huge reparation payments.