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German Hyperinflation & What They Do Not Teach in School

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German 1918 Revolution

QUESTION: Dear Marty

Following your blog is a good way to counter the propaganda in our society.

Today you stated:

‘This was the fate of the hyperinflation in Germany. It was NOT the Quantity of Money theory, it was the fact that there was a 1918 Communist Revolution in Germany where they had even asked the Communist Russians to take over Germany. It was the collapse in CONFIDENCE that led to the hyperinflation.’

Living in the UK, with German friends, I do not know any person who is aware of this and they would not believe that Germany nearly became communist if I told them. This is not taught at school anywhere.

Can you point me to some literature or other sources where we can find out more about what happened with the communists in Germany and elsewhere in Europe? I know they are making a resurgence at present (Think the EU!)

Thanks for all you do


Wilheim II (1914) 20 mark

German RevolutionANSWER: Curious. I know that in Germany they do not really teach the details of the rise of Hitler. But he was the ultimate reaction to the events of the 1920s. There is a good book on the subject, but it is in German – Die Deutsche Revolution 1918/19I have explained this revolution for this is why Germany overthrew Emperor Wilhelm II who was compelled to abdicate. There are photographs of the civil war that took place at that time.


This was the Weimar Republic, which was the revolution and the end of Prussian emperors. The revolutionary period lasted from November 1918 until the adoption in August 1919. But what also seems to be omitted from many accounts taught in school, is the simple fact that the German government interfered in the Russian Revolution and was instrumental in creating the Russian Revolution.


The German Imperial Government feared that Russia would enter the war. The rising communist movement was anti-war. Germany saw a chance for victory by supporting the anti-war sentiment of the Bolsheviks. Germany permitted Vladimir Lenin to travel in a sealed train wagon from his place of exile in Switzerland through Germany, Sweden and Finland to Petrograd. Since the start of the February Revolution in Russia, Lenin was trying to figure out a way to get back into Russia. Germany aided that assuming he was anti-war and would keep Russia out of World War I. Within months of arriving, Lenin led the October Revolution in Russia and the Bolsheviks seized power and indeed Russia withdrew from the world war. According to Leon Trotsky, the October Revolution would not have succeeded without Lenin.

Germany Seized by Revolutionaries 1918With the success of the October Revolution in Russia and the Dream of a new Marxist Utopia, the Germans entered into a civil war and invited Lenin to please take Germany. Clearly, the scheme of the Imperial German government had backfired. It not only was instrumental in creating the Soviet Union by turning over Russia’s socialist transformation decisively into the hands of the Bolsheviks, its plan led to the overthrow of its own hold on power. This is all recorded in contemporary newspapers (see New York Times Nov 11, 1918).


Hyperinflation thus unfolded in Germany because those with money saw what Lenin had done in Russia and sent whatever wealth they had to other places, particularly the United States.  The Weimar Republic then just printed money to pay reparation payments and the entire system collapsed.