History of the world economy - Polyak GB

27.2. Economic Development in Germany

Back in the middle of the XIX century. Germany lagged behind in economics from England and France. And in the 1970s there was a radical change in the country - an industrial upsurge began, Germany implemented the technical and energy re-equipment of industry; Here the volume of output sharply increased (especially in the heavy industry), labor productivity increased, foreign trade turnover increased.

The pace of development, the structure of the economy

For the last 30 years of the XIX century. Germany came in second place in the world for industrial production. In Europe, it won first place. Its share in world production rose from 13 to 16%. On the rate of economic development, which increased six-fold, Germany was second only to the United States (nine times). Heavy industries developed heavy industries, especially new ones. Only in the first ten years of the XX century. The power of power plants increased 100 times, the production of sulfuric acid - almost 20 times. The steel smelting was almost equal to the production of cast iron. Germany sharply increased its military production, having outstripped by 1913 its outstripping France by almost four times.

The industrial recovery in Germany led to a change in the structure of its economy - now the industry in terms of specific weight significantly exceeded the share of agriculture, and Germany has become an industrial country. Heavy industry outstripped the light by development rate. Especially important among the heavy industries in Germany were electrical, mechanical engineering, chemical, railway construction. The central link in Germany's industrial development is metallurgy and machine building. * They developed at a faster rate, and at the beginning of the 20th century. Rates were higher than in the period 1870-1900. The melting of cast iron and steel in 1913 reached 19.3 million tons and 18.3 million tons, respectively, and Germany took the second place after the United States. The metallurgical industry was well equipped technically, the metal was made of high quality and at low production costs. This industry served as a base for the growth of production of machines and various mechanisms. The invention of an internal combustion engine and electricity has had a beneficial effect on the development of engineering. The number of employees in this industry increased from 385,000 in 1895 to 907,000 in 1907. Germany began exporting the products of the metallurgical industry and machine building for export.

* In Essen, Krupp's factories created such novelties in machine building as the 50-ton Fritz steam hammer.

The steam hammer "Fritz"

The steam hammer "Fritz"

At the turn of the century new branches emerged as a result of the second scientific and technical revolution, electrical and chemical. Gigantic volumes reached the production of sulfuric acid (75 thousand tons in 1870 and 1.7 million tons in 1913). Germany produced synthetic dyes, chemical fertilizers. In the global export of chemical products, Germany's share reached 50%.

Railway construction became extremely important. Already in the 70 years in Germany, a network of railways was created, and not only the main lines were built, but also access roads to industrial enterprises. As a result of extensive railway construction, the mining industry, as well as transport engineering, have flourished. Germany became the largest exporter of railway equipment. The construction of transport routes significantly reduced the cost of transportation.

Processes of concentration and monopolization

The structure of industry in Germany began to dominate the heavy industry, i.e. Group "A", as well as large enterprises. Such shifts led to a significant concentration of production and capital, and consequently, their monopolization. For the last 20 years of the XIX century. The number of large enterprises (more than 1,000 workers) in Germany increased fourfold. On the consolidation of enterprises can be judged by the following data. In the coal industry in 1850, on average, 62 people were involved in one mine, and in 1910 - 2131 people. In the metallurgical industry, the average number of workers per blast furnace increased 32 times, and the annual output - 263 times.

Thus, in the decisive industries, production was concentrated in large factories and factories.

The peculiarity of the process of monopolization in this country was the formation of mainly cartels and syndicates.

After the crisis of 1893 the processes of concentration and monopolization intensified, especially in the new branches - chemical and electrotechnical. In the electrical industry appeared and dominated, dividing the spheres of influence, the "General Electric Society" (AEG) and "Siemens-Halske and Schuckert." The chemical industry was mainly controlled by the concern "I. G. Farbenindustrie ». The Krupna steel company, engaged in the production of weapons, for a long time was a "family monopoly", and later it was transformed into a joint stock company. Maritime trade and passenger shipping was almost completely controlled by the two largest societies - Hamburg-America and North-German Lloyd.

The total number of monopolistic associations was about 600 on the eve of World War I.

Along with the monopolization of industry and transport, there was a process of concentration and centralization of banks, their merging with industrial capital. By 1913, there were already nine powerful Berlin banks, the largest of which were the Deutsche Bank and the Accounting Company, which concentrated half of the bank deposits in Germany. The establishment of the dominance of the financial oligarchy is evidenced by the fact that in 751 industrial companies the leaders were representatives of these banks. For example, the German bank was represented in 200 industrial enterprises. "Uncrowned kings" in Germany - Krupp, Thyssen, Kirdorf, Ballin and others - have concentrated the economic power of the country in their hands. In 1913, the total profit of the monopolies amounted to 15 billion marks.

Population

The growth of the industrial power of Germany conditioned the development of cities and the growth of the urban population. In 1870, only a third of the population lived in cities, and in 1910 - already 60%. The main part of the urban population was now represented by hired labor. The army of the working class reached 18 million in 1907. However, in Germany the wages of workers were lower than in England and the United States, which led to a narrowness of the domestic market and low purchasing power of the masses. The narrowness of the internal market forced German capitalism to play an active role in the external (world). In addition, the need for foreign trade turnover was caused by a shortage of certain types of raw materials for the German industry (oil, iron ore, timber, wool, bread, cotton).

International trade

During this period, Germany established itself on the world market. The volume of foreign trade in Germany for 1870-1913. Grew significantly faster than England and France. Especially increased the export of electrical products, chemical industry and machine building. In the world exports of electrical engineering and chemicals, its share reached 50%, and engineering products - 1/3. This meant that the products of these industries occupied the first place in the world market.

The export of capital played a subordinate role in Germany's foreign economic sphere. However, for the years 1901-1913. Export of capital has increased almost fourfold. The direction of the export of German capital coincided with the geography of the export of manufactured goods. Since Germany was short of some types of industrial raw materials, before the First World War, 60% of its imports were raw materials. Import by volume was slightly higher than exports, in which the cost of machines and other finished products was 73%.

German monopolies actively participated in international monopolistic agreements. For example, in 1907 an agreement was concluded between AEG and the American company "General Electric"; Formed an international cartel of commercial shipping with the "International Maritime Trade Company" Morgan. Agreements were signed on the rail cartel, zinc syndicate, etc. Before the First World War, German monopolies participated in 100 international agreements.

Development of agriculture

Unlike the industrial sector, the development of agriculture in Germany in the last third of the XIX century. Passed at a slower pace, which were inferior to the American ones. In Germany, a large Junker (landlord) landholding was preserved, especially in East Germany - Prussia, Pomerania, where large landed estates occupied from 1/3 to 1/2 of the entire cultivated land. The largest possessions were the reigning dynasty of the Hohenzollerns and hereditary feudal houses, including the Bismarck, Bulow, and others.

In the late XIX-early XX centuries. The differentiation of the rural population in Germany continued. At the end of XIX century. Large farms accounted for 13% of the total, and they owned 70% of all cultivated land. Here machines, mineral fertilizers, farms switched to fertile crop rotation, and livestock of improved breeds. Expansion of animal husbandry led to an increase in the sowing of forage grasses. The transition to technical crops and gardening was carried out. The processing enterprises - distilling, sugar factories were created. As a result of the agrarian crisis of the 1970s and 1990s, the intensity of farming increased markedly. Unlike the US, land tenants were not farmers-capitalists, but peasants. And in a number of regions over the years of the crisis, rent even increased, which worsened the situation of the peasants even more. Peasant farms (even strong ones), exhausted by taxes, land rent and usurious debt, could not invest considerable funds in production. All this hindered the development of the agricultural sector in Germany.

In 1880, to support agriculture, the state adopted a law aimed at limiting the tyranny of usurers. The establishment of special agronomical societies, experimental stations, and agricultural schools was envisaged. Agricultural partnerships were organized for mutual lending and the use of expensive agricultural equipment on shares. The largest was the Imperial Union of Agricultural Associations (1909), which combined 13,000 credit partnerships, 1 million members and had an annual turnover of 4.5 billion marks.

The creation of the Pangemian Union

However, the agrarian sector hampered the overall development of Germany. The country from the bread exporting country turned into its importer. The dependence of Germany on the import of cotton, wool, and leather restrained the development of light industry. And if in the United States in this period the theory of American exclusivity was put forward, then Germany - the idea of ​​a "lack" of living space. Germany creates the Pan-German Union and begins training for the redivision of the world.

Thus, by the end of the XIX century. German industry, especially difficult, has outgrown the domestic market framework - it did not have sufficient reserves of raw materials and marketing of its products. It did not have a large number of colonies that could provide it with cheap raw materials and where Germany could duty-free export goods. Therefore, she had to face fierce competition and to win in this competition to fight for improving the quality of their goods.

These factors explain the extreme aggressiveness of German capitalism and its external expansion, which led to the First World War.