What Was the Root Cause of the Hyperinflation of the German

question 23

Multiple Choice

What was the root cause of the hyperinflation of the German mark under the Weimar Republic?

• A)the unrestricted printing of additional paper money
• B)the humiliating Versailles Treaty
• C)the leadership of the Social Democrats
• D)the great debt incurred by the former government
• E)the collapse of the German banks

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Definitions:

Deposit

A sum of money placed into an account or given to a party as security for the performance of an agreement.

Daily Interest Rate

The interest rate expressed as a daily figure, often used in calculating interest on loans or savings on a day-to-day basis.

Collection Float

The time period between when a check is deposited and when the funds become available in the company's account.

Cheques

Written orders to a bank to pay a specified amount from the writer's account to the person in whose name the cheque has been issued.