Can someone explain the economic policy of pre-war NSDAP Germany?
Hitler mentioned in one of his Four-Year Plan speeches that the Reichsmark was backed by production rather than gold. How does this work?
Did companies retain profits as they do in capitalism?
He significantly reduced unemployment by putting people to work on infrastructure projects like the railway system and the autobahn. But how was this achieved without printing money and causing inflation?
My brain only knows jewish economics.
The government needs something. So it prints some money, and gives it to the person who has what it needs. For instance, if they need a car, they pay the auto manufacturer for a car with money they just printed. If they need a road built, they give it to a construction company to build that road.
What is that money good for? Taxes, for starters. When you go to pay the government taxes, you need that money that they printed. So you have to go to a worker, convince him to give you some of it, then you can pay your taxes. How do you convince a middle or low class worker to give you money? You have to create something they want or need. I believe the government would collect taxes in the form of tariffs and other things, mostly directed towards punishing those who were not working and not producing. So if you wanted to bring in foreign goods, you needed to not only come up with the foreign currency to buy it, but the local currency to cover the tariff.
Remember when Reagan became president and he put the money printers on furlough? And then, all of a sudden, inflation stopped and the economy started to heal? The reason why there is inflation is not because the government is printing money. It's not even because it's printing *too much* money. It's because it's printing money and giving it to people who don't deserve it, who aren't creating goods and services. Just stop giving your money to your enemies and the economy naturally recovers. The money was intended to be put in the hands of people who actually create stuff and do things. And once you incentivize that, everything else falls into place. Once you stop giving your money to the parasites, things magically work again.