... of flourishing. Germany benefited from an increase in foreign investment especially from the US. Foreign investment exceeded the amount being paid through reparations. Between 1924 and 1931, Germany received 18,000 million marks through foreign loans while 11,100 million marks had been paid off through reparations. This created a healthy budget deficit which saw Germany boost industrial development and social expenditure. The large budget deficit created of approximately 7,000 was a considerable achievement considering the country was still feeling the wrath of hyperinflation. The ingenuity of Stresemann cured the problem of hyperinflation through the introduction of the Rentenmark a replacement to the old currency. In 1928 industrial production exceeded pre-war levels and exports were 40% higher than they had been in 1925. Unemployment was also low at a figure of 6.2%. In addition Stresemann made sure that the Rentenmark was issued in strictly limited quantities ensuring that the economic crisis of hyperinflation ...

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