Repeated austerity and SPD rigidity did more to empower Hitler than inflation memory

Evidence

Nonetheless, once the Nazis ended austerity and abandoned gold (even if they did this more through exchange controls than through devaluation), growth returned. That this turn against austerity took a particularly murderous direction in Germany does not invalidate the basic point that austerity didn’t work. In fact, the point that really needs to be recognized is that repeated rounds of austerity policy, plus the ideological intransigence of the Social Democrats, helped to bring Hitler to power far more than any memory of inflation a decade earlier. — Mark Blyth, Austerity, 533

Categorization

  • DEEPTHINKING: The counterintuitive causal claim — that austerity itself, not the 1923 hyperinflation trauma, is what opened the door to Hitler — reframes a widely-held historical intuition and sits with the reader for a while.
  • XREF: This directly connects to Mattei’s austerity genealogy and to the Weimar inflation-vs-austerity historiography. — connects to: German trade unions proposed a Keynesian reflation plan that the SPD hierarchy actively destroyed — Mark Blyth, Austerity: The History of a Dangerous…, 530; German hyperinflation was unrelated to the later austerity that enabled fascism — Mark Blyth, Austerity: The History of a Dangerous…, 556; Austerity in Weimar Germany crippled labor and enabled Nazi takeover — Clara E. Mattei, Escape from Capitalism, 234 (+4 more)

Broader Connections