Notgeld During The German Hyperinflation
In 1922 inflation started to get out of control in Germany, leading to the German hyperinflation. Until 1923, the value of the mark deteriorated faster and faster and new money in higher denominations was issued constantly. The central bank could not cope with the logistics of providing the necessary supply of money, and Notgeld (Papiermark) was issued again—this time in denominations of thousands, millions and billions of Marks. Because the Mark became so unstable, Notgeld was also issued in the form of commodities or other currencies: wheat, rye, sugar, coal, wood, natural gas, electricity, gold, or US dollars. These pieces were known as Wertbeständige, or notes of "fixed value".
There were also notgeld coins that were made of compressed coal dust. These became quite rare, as most of them were eventually burned as fuel.
Read more about this topic: Notgeld
Famous quotes containing the word german:
“Germany has reduced savagery to a science, and this great war for the victorious peace of justice must go on until the German cancer is cut clean out of the world body.”
—Theodore Roosevelt (18581919)