The German Government and the Dawes Plan

July 31, 1928

Report Outline
Reparation Payments Under the Dawes Plan
Condition of the German Railway Company
Condition of the German Budget

The fourth year of the Dawes plan - the last twelve months of the so-called transition period - will come to a close August 31, 1928. The Agent General for Reparation Payments, Mr. S. Parker Gilbert, published on June 7 his report covering the operation of the plan during the first nine months of the current year. It shows that the plan has continued during the fourth year to function with perfect smoothness and that the calculations of its framers have thus far proven substantially correct. The experiences encountered during this year are important for the light they throw on the possibilities for the fifth - or first standard annuity year under the Dawes plan - which begins September 1.

Shortly after the publication of Mr. Gilbert's recent report, the German government of Chancellor Marx fell. The fall of the government on June 12 was technically the result of a vote on the National School law, but was due in reality to the results of the general election held on May 20. This election was a triumph for the parties of the Left at the expense of the conservative Nationalists and other parties of the Right and Centre. As Chancellor Marx, himself a member of the Centre party, had allied himself with the Nationalists' it was inevitable that he would lose his majority in the Reichstag after the Nationalist party had lost 38 of its seats.

The results of the recent general election are compared in the following table with those of the last parliamentary election in 1924.

ISSUE TRACKER for Related Reports
Dawes Plan
Jul. 31, 1928  The German Government and the Dawes Plan
Oct. 08, 1926  The Dawes Plan and the Thoiry Project
Aug. 25, 1925  Germany and the Dawes Plan
Feb. 28, 1925  Ten Months Under the Dawes Plan
Aug. 22, 1924  The Dawes Report and The London Conference
Apr. 11, 1924  The Dawes Report—An Economic Analysis
International Economic Development
Regional Political Affairs: Europe