Cambridge University Press 978-1-108-49978-1 — Central Bank Independence and the Legacy of the German Past Simon Mee Index More Information

Index

20 July group, 81, 219, 221, 223, 225–7, Sparkassen- und Giroverbändes und 250 Girozentralen), 133 Auschwitz, 229, 300 Abs, Hermann Josef, 103, 259 Austria, 45, 116 Adenauer, Konrad, 16, 27, 118, 120–2, 124, 127, 137–8, 140–1, 144–5, 150, balance of payments, 46–7, 135 155, 158–9, 164–5, 167, 169–70, Bank deutscher Länder (BdL), 11–12, 14, 174–5, 183, 187, 198, 221, 249, 262, 17–18, 25, 51, 64, 77, 85, 88, 92, 94, 312, 319, 321, 323 101, 106, 110, 118, 169, 252, 267, criticism of the Bank deutscher Länder, 278, 317–18, 321 142, 150, 166, 173–4, 176, 184, 187, and the ‘Becket’ effect, 107 298 balance of payments crisis, 135 Gürzenich affair, 25, 30, 151, 153, Bank deutscher Länder Law of 1948, 96 175–7, 179–81, 183–4, 199, 280, becoming obliged to support the general 319 economic policy of the government, Kanzlerdemokratie, 16, 159, 298, 319 146 opposition to central bank independence, central bank council, 11, 96–7, 102, 105, 11, 16, 125, 136, 142, 148, 151, 167, 150, 154–5, 174–6, 278 173, 177, 184, 189, 254 communication channel, 109, 131, 162 sovereignty, 15–16, 319 continuity with the Bundesbank, 196, strained relations with Ludwig Erhard, 199, 251 170, 181 continuity with the Reichsbank, 14, Aktuell (magazine), 201 103–4, 148, 196, 201, 255, 268, Allied Banking Commission (ABC), 96, 99, 306–8, 320 102–3, 109, 111–12, 121–4, 145–6 counterproposal to Bundesbank Law ability to veto central bank council draft of the finance ministry in early decisions, 111 1950, 125 Allied High Commission, 144 counterproposal to Bundesbank Law Allied Reparation Commission (ARC), 47 draft of the finance ministry in late Allies (First World War), 46–7, 52, 59, 61 1950, 138 Allies (Second World War), 33–4, 79, 82, criticism of government economic policy, 95, 147, 149 190 Allies (western), 11–12, 17, 28, 30, 90, 92, discussions with the Bundesverband der 95, 99, 101, 135–6, 148–9, 151, 172, Deutschen Industrie, 171 189, 259, 310, 317, 319 embracing the inter-war record of Andriessen, Frans, 325 Wilhelm Vocke, 15, 115, 148, 160, anniversaries, monetary, 32, 257–8, 302–5, 179–80, 191, 268, 321 307, 309, 322 establishment of, 10–11, 30, 46, 90, Anti-cartel Law, 155, 187 94–5, 149, 154, 179, 305 Association of German Savings Banks and first emergence of its name, 99 Giro Institutions growing public profile of, 161, 169, 190 (Arbeitsgemeinschaft Deutscher Gürzenich affair, 25, 30

346

© in this web service Cambridge University Press www.cambridge.org Cambridge University Press 978-1-108-49978-1 — Central Bank Independence and the Legacy of the German Past Simon Mee Index More Information

Index 347

influencing the Bundesbank Law debate, attitude regarding the media, 57, 59, 199, 18, 92, 94, 126–8, 130, 148, 197, 318 208–9, 249, 264 Korean crisis, 141 attitude towards National Socialism, legal uncertainty in the early post-war 78–9, 81, 198 years, 94, 108–9, 111, 119, 121, 124, background, 44, 78, 254–5, 268, 270 127, 136, 162, 318 Bundesbank press department coming opinions of West German elites prior to under the jurisdiction of, 202 the establishment of, 30, 96–7 circle of friends (Freundeskreis), 20, 31, political attacks on, 108, 113, 120, 130, 79–80, 86, 88, 192–4, 196, 198, 218, 139, 150, 163, 171, 184 220–1, 223, 227–30, 250–1, 322 press department, 108, 110, 115, 141, short comprehensive summary, 21, 162, 173, 203 195, 224–6, 228–9, 250, 322 press policy, 30, 109, 111, 133, 162, 172 concentration camps, 80 reports concern about the Social Democratic annual, 162 Party, 251 monthly, 110, 143, 162, 165 Continental Oil, 81 subject to instructions by the Allies, 11, departure from the Bundesbank, 252, 96, 161 254, 270 task force on the Bundesbank Law, 120 departure from the Reichsbank, 76, tightening monetary policy, 142, 165–6, 79–80, 85–6, 225, 308–9 171, 173–4, 176, 278, 280, 298 financial persecution of Jews in the Third Bank for International Settlements (BIS), Reich, 78 59, 61, 78, 325 fixed exchange rate, 257, 269–70 Bank of England, 23, 39, 44, 52, 57, 59, 91, and Fritz Knapp Verlag, 208 99, 102, 105, 111, 132–3, 267, 305 Gestapo interrogation, 80 Bank of France, 91, 99, 132–3 gold standard, 39, 244–5 Bank of Hungary, 100 and Hjalmar Schacht, 19, 45, 57, 79, 88, Baranyai, Leopold, 100 196, 201, 211–12, 215, 217, 220, Bardepot, 281 231, 321 Baumgarten, Hans, 131 Im Kampf um gutes Geld (book), 249 Bavaria Party, 146 Kreisau Circle (Kreisauer Kreis), 81 Becket effect, 107 and Ludwig Erhard, 247 Belgium, 48, 54 Margarine-Union, 79 Benning, Bernard, 103 Nuremberg trials, 21, 80–1, 86, 193, 219, Berg, Fritz, 166, 170–1, 177, 191 223, 226 Berliner Börsen Zeitung (newspaper), 56 participation in the 1938 conference, 78, Berliner Börsen-Courier (newspaper), 56 81, 198, 218 Berliner Handels-Gesellschaft, 228 portrayed as ‘president of the Berliner Tageblatt (newspaper), 56 deutschmark’, 20, 200, 320 Bernard, Karl, 103–4, 107, 109, 111, as the public face of the Bundesbank, 35, 113–14, 118, 120, 138–9, 142, 145, 194, 196, 199, 209, 234, 320 147, 151–2, 154–5, 160–1, 170, Reichsbank advisory council, 79, 215 174–5, 186, 199, 279 Reichsbank memorandum, 19, 73, 74, Bernhuber, Maximilian, 229 76, 81, 194–5, 198–9, 218, 224, 250 Bild (newspaper), 1, 316 seeking co-operation with the interview with Mario Draghi, 1, 4, 7, 22, government, 263 314 signature on banknotes, 221, 308 interview with Wilhelm Vocke, 179 speeches, 208–9, 231, 240–8 Blessing, Karl, 19, 21, 31, 35, 201, 214, third inflation, 231–3, 243 216–17, 219, 221, 249, 251–3, 256, Verteidigung des Geldwertes, Die (book), 208 262–3, 269, 271, 289, 308, 311, 323 and Wilhelm Vocke, 267 and 20 July group, 81, 198, 219, 221, Young Plan, 59 223, 225–7, 250 Blessing, Oscar, 233 arrival at the Bundesbank, 198–9, 201, Boden, Wilhelm, 102, 120 251 Brandt, Willy, 198, 234, 254, 262, 283

348 Index

Braunbuch (book), 220 total number of drafts of, 119 Brawand, Leo, 116 and the West German constitution, 9 Bretton Woods, 238–9, 269, 290, 299 central bank council, 188, 199, 234, Brinkmann, Rudolf, 77 298–9, 301, 327–8 Brüning, Heinrich, 27, 65–7, 132, 140, 172 communication channel, 258, 271 Bundesbank, 5, 9, 11, 19, 21–2, 29, 59, 64, continuity with the Bank deutscher 75, 81, 87–8, 102, 204, 220, 255, Länder, 196, 199, 201, 251, 309 273–4, 278, 281, 289, 315–16, 318, continuity with the Reichsbank, 14, 19, 322, 324, 326, 329–30 31, 196, 201, 251, 255, 257, 268, accused of forcing Karl Schiller’s 306–8, 311, 320 resignation, 284–5 engaging with the media, 32, 196, 209, accused of toppling Ludwig Erhard’s 213, 239, 249, 256, 267, 287–8, 298, government, 208, 248, 277 309, 311–12, 323, 326, 331 Bundesbank Law of 1957, 5, 9–10, European Monetary System, 299–301 12–13, 17–18, 24, 30–1, 150, 183–4, headquarters as ‘symbol of the stability 191, 197, 199, 232, 238, 240, 248, culture’,24 254–5, 259, 261, 270, 277, 279, 282, as a model for the European Central 284–7, 293, 297, 300, 309, 312, Bank, 2, 4, 327–31 317–19, 323, 326, 331 post-war success of, 2 advisory board (Beirat), 125, 137, 166, press department, 21, 192, 195–7, 201–3, 169, 172 207, 209, 218, 223, 228–30, 249, 271 arbitration committee, 125–6, 137, press policy, 198, 204–5, 249 144, 189, 191, 263, 294–5, 320 reports debate as to whether it should be a annual, 202–3, 209 decentralised or centralised monthly, 202–5, 208–9, 285–7, 312, 323 institution, 10, 90, 152–5, 157, 175, sovereign bond purchases, 4 187 Stunde Null, 14, 320 debate influenced by the business tightening monetary policy, 247, 254, cycle, 94, 108, 153 275–7 entrenching a power struggle, 11, 26, Transition Law of 1951, 94, 146–8, 150, 28, 30, 32, 93, 147, 151–2, 155, 189, 152–3, 161, 190, 304, 318 312, 317, 319 Währung und Wirtschaft in Deutschland first draft of, 123 1876-1975 (book), 307 inflation narratives, 25, 31 Bundesrat, 36, 38, 119, 136–8, 155 and Konrad Adenauer’s Bundestag, 29, 91, 95, 119, 139–40, 152–3, Kanzlerdemokratie,16 155, 157, 161, 170, 183, 294 ministerial responsibility over, 121, Bundesverband der Deutschen Industrie 154, 296 (BDI), 29, 140, 153, 166, 169–72, Munich conference in 1950, 90 176, 191 Novellierung debate of 1973, 26, 255, Burkhardt, Otto, 102, 120 257, 281, 288–9, 291–4, 296–7, Bütefisch, Heinrich, 192 300–1, 312, 323 outline of, 187–9, 191 cabaret, 20, 192–3, 195, 223, 227, 250 passage through parliament, 187 Carter, Jimmy, 275 seen by politicians as a means of central bank independence, 7, 17–18, 21, asserting federal influence over the 23, 30, 34, 45, 75, 84, 87, 132, 153, central bank, 11, 119, 154, 188 181, 246, 248, 254, 257, 261, 274, and the Social Democratic Party 280, 287, 293–4, 302, 304, 318, 323, economics committee, 175 329, 331 as a subject of debate, 8, 11, 18, 35, 91, consensus fracturing since global finance 93–4, 104–5, 117, 119, 123, 126, crisis, 22 130, 133, 135, 140–1, 144, 150, 155, inflation narratives being used in support 168, 171 of, 8–9, 24–5, 92, 124, 126, 129, supporting the general economic policy 134, 145–6, 158, 168–9, 177, 185–6, of government, 53 191, 197, 233, 246–7, 251, 286, 320

Index 349

League of Nations as an active supporter deutschmark (currency), 12, 14–17, 20–1, of, 45 32, 95, 105–7, 115, 117, 121, 128, popularity in the 1920s, 63 134, 146, 149, 152, 161, 163, 169, popularity in the 1980s and 1990s, 21 177, 179, 181, 193–4, 196–7, 199, populist attacks on, 22 204, 211, 213, 220–1, 223, 231, 233, public opinion surveys on, 29, 127 235, 238, 243, 246–8, 251, 257, West German elites split on the question 268–70, 280–1, 283, 290–1, 297, of, 7, 30, 97, 99, 101, 154, 175 300, 303–6, 308–11, 313, 316, Christian Democratic Union (CDU), 108, 319–20, 330 115, 138–9, 155, 185, 198, 232, 237, Di Maio, Luigi, 22 257, 278 Dix, Rudolf, 82–4 Christian Social Union (CSU), 121, 154–5, dollar (currency), 54, 238, 269, 273, 299 234, 237, 285, 292 Dossier, Das (publication), 194, 218–19, 221 Co-determination Law, 141 Draghi, Mario, 1–5, 22, 314–16, 331–2 Cold War, 20, 135, 158, 220, 222, 224, 250 Dresdner Bank, 54 Committee of governors of the central Dreyse, Ernst, 75 banks of the European Economic Duisenberg, Wim, 326, 330 Community, 325, 328–9 Economic Council (Wirtschaftsrat), 95, Conrad, Henry, 112 108, 115 Continental Oil (Kontinentale Öl- Aktiengesellschaft), 80, 86, 88 Economist, The (magazine), 4, 165 Credit Law of 1961, 155, 187 Ehmke, Horst, 282 Currency Ofﬁce (Währungsamt), Ehrenberg, Herbert, 293–6, 301, 323 98 Eicke, Rudolf, 75 Czechoslovakia, 74 Eiserne Front, 258 Emminger, Otmar, 239, 244, 256–7, 265, Darmstädter and National Bank, 54 266, 268, 270, 273–6, 282, 306–7, Dawes Plan, 52, 59, 91 310 deﬂation, 6, 8, 13, 15, 67, 87, 101, 108, arrival at the Bank deutscher Länder, 113–14, 135, 157, 171, 212, 332 265, 267, 269 Dehler, Thomas, 138, 154, 156 attitude regarding central bank Delors Committee, 325–9 independence, 142, 287, 291 Delors, Jacques, 325–7 attitude regarding the media, 264–5, 267, Delors Report, 328–9 271, 273 Deutsche Bank, 36, 103, 258–9 background, 255, 264, 268, 270 Deutsche Demokratische Partei, 57 becoming president of the Bundesbank, Deutsche Hochschullehrer-Zeitung (journal), 265 215 becoming vice president of the Deutsche Presse-Agentur, 303 Bundesbank, 265 Deutsche Verkehrs-Kredit-Bank, 303 distancing the Bundesbank from the Deutsche Volkswirt, Der (magazine), 56 Reichsbank, 269, 311, 322 Deutscher Gewerkschaftsbund (German on Helmut Schmidt’s party report of May Trade Union Confederation), 141, 1974, 298 276, 292–3 international reputation, 265 Deutscher Industrie- und on Karl Schiller, 284 Handelskammertag (German memoirs, 267, 311 Chamber of Commerce and personality, 265 Industry), 275 as the public face of the Bundesbank, Deutscher Reichsanzeiger und Preussischer 257–8, 267–8, 322 Staatsanzeiger (publication), 225, speeches, 249, 265, 310–11 227 and Wilhelm Vocke, 70, 115, 213, 216, Deutsches Allgemeines Sonntagsblatt 305 (newspaper), 286 employment, 10, 69, 72, 163, 168, 186, Deutschland Report (book), 20, 192, 194, 252, 277, 279, 292 221–2, 224, 226–7, 229, 250, 308 Enabling Act of 1933, 296

350 Index

Engelmann, Bernt, 221–2, 227, 229, 250, Frankfurter Allgemeine Zeitung (newspaper), 308 114, 131, 172, 186, 214, 217, 232, Erhard, Ludwig, 17, 107, 112, 124, 141–2, 296, 310, 316, 321 166, 170, 173, 183, 187, 198, 208, Frankfurter Rundschau (newspaper), 129, 219–20, 247, 305, 310 195, 199, 227, 229 attitude regarding central bank Free Democratic Party (FDP), 131, 155–7, independence, 25, 98, 100, 118, 237, 254, 257, 276, 278, 295–6, 323 122, 153, 156, 185, 189, 191, 263 Friderichs, Hans, 296–7 balance of payments crisis, 135 Fritz Knapp Verlag, 180, 207–8, 249, 307 clash with Fritz Schäffer, 121–2, 154, Funk, Walther, 81 156, 263 Gürzenich affair, 25, 177 Garbo, Greta, 180 Konjunkturrat, 170, 173, 176 Genscher, Hans-Dietrich, 325 Sonderstelle für Geld und Kredit (Special German Democratic Republic (East Committee for Money and Credit), Germany), 20, 194, 219–21, 224, 230 98, 100 Germany, 1–2, 4–6, 8, 12–13, 16, 22, 24, strained relations with Konrad Adenauer, 26–8, 33–8, 40–4, 46–50, 52–4, 59, 170, 181 61, 63, 65–6, 69, 74, 77–8, 80–1, support for a centralised central bank, 86–7, 91–3, 95–6, 99–100, 102, 108, 123, 133, 138, 152, 154 124, 126, 129, 134, 137, 145, 147, Wohlstand für Alle (book), 16 149, 157, 164, 168–9, 184, 186, 191, Eucken, Walter, 100 197–8, 219, 233, 242, 251, 258, 272, euro (currency), 22, 313–14, 316, 330 274, 294, 303–4, 310, 312, 316–18, Euromoney (publication), 243 320, 323, 325, 332 European Central Bank (ECB), 1–2, 4–5, 7, experience of two inﬂations,3,5,7–9, 16, 313–17, 324–30, 332 18, 25–6, 31, 92, 100, 124, 126, 133–4, European Commission, 22, 325 143, 145, 147, 153, 156–9, 163, 168, European Council, 325, 328 177, 179, 184, 190, 197, 201, 231, 240, European Monetary Institute (EMI), 329 243, 246, 252–3, 255, 272, 274–5, 286, European Monetary System (EMS), 289, 294, 296, 312, 326–7, 330 299–300, 324 Gestapo (Geheime Staatspolizei), 80 European Payments Union (EPU), Giscard d’Estaing, Valéry, 299 135–6 global ﬁnancial crisis, 22, 330, 332 Expert Commission ‘Länder Union Bank’ Globke, Hans, 173 (Sachverständigen-Kommission Goebbels, Joseph, 78, 221 ‘Länder Union Bank’), 99 Gold Discount Bank, 50 gold standard, 6, 36–7, 39–40, 43, 45, 65, Federal Republic of Germany (West 141, 198, 240, 244–6, 256, 264 Germany), 7, 9, 11, 14, 18, 20, 26, gold-exchange standard, 53 94, 101, 113, 117, 119–20, 127, 132, Göring, Hermann, 69, 80, 221, 225 140, 143, 151, 158, 175, 190, 193–4, Grasmann, Max, 102 211–12, 218–21, 233, 252, 262–3, Great Britain, 38, 40, 66, 150 278, 286–7, 308, 317, 319–20, 327, Great Depression, 6, 10, 18, 34, 94, 135, 331 148, 153, 171, 184, 191, 248, 252, Federal Reserve System, 9, 22, 57, 91, 95, 295, 304, 324, 332 99, 132, 134, 152 Grotkopp, Wilhelm, 130–1 Financial Times (newspaper), 23, 177, 315 Gürzenich affair, 25–6, 30, 151–2, 176–7, First World War, 6, 40, 43–4, 54–5, 61 181, 183–4, 191, 199, 280, 319 Flemming, Karl Otto, 234 Flick, Friedrich, 86, 192–3, 218–19, 223, Haffner, Sebastian, 48–9 226 Hamburger Abendblatt (newspaper), 207 Foreign Trade Law of 1961, 282–3 Handelsblatt (newspaper), 163, 293 Four Year Plan, 69, 225 Hartlieb, Heinrich, 216 France, 33, 36, 38, 48, 150, 281–2, 325 Havenstein, Rudolf, 44, 47–9, 54–6, 65, 87, Franco-Prussian War, 1, 36, 40, 163 146

Index 351

Hayek, Friedrich, 264 hyperinflation Helfferich, Karl, 41, 46, 54, 87 Austria, 27 Henckel, Hans, 133, 171 Germany, 3–6, 8–9, 15, 27, 34, 42, Henry II, 107 48–50, 52, 65, 67, 72, 87, 101, 108, Heydrich, Reinhard, 78, 225 114, 143, 175, 179, 233, 243, 246, Hildebrandt, Dieter, 222 257, 272–5, 286, 295, 302, 304, 317, Hilferding, Rudolf, 62 321, 323, 326, 330–2 Himmler, Heinrich, 20–1, 31, 79–81, 86, Hungary, 28 88, 192–4, 196, 198, 211, 218, 221, Poland, 27 224–7, 229–30, 250, 322 Russia, 27 Hinckel, Eugen Christian, 102 imported inflation, 197, 235, 238–9, 268 Hitler, Adolf, 4, 13, 15, 28, 34, 68–9, 72, second inflation, 4, 8, 20, 71, 79, 108, 76, 81–4, 127, 134, 211, 214–15, 134, 146, 159, 196, 211, 215, 217, 217, 230, 232, 258, 321 231–3, 246, 274, 286, 295–6, 306, 20 July group assassination attempt, 81, 321, 323, 330 198, 219, 225, 227, 250 third inflation, 20, 31, 197, 211, 230–5, appointing Hjalmar Schacht as 239, 243, 251, 322 Reichsbank president, 68 trauma, 4–5, 18, 27–8, 66–7, 151, 190, ascent to the chancellery, 6, 34, 68, 156, 201, 243, 247, 249, 252, 272–5, 311, 252, 273 318, 326 benefiting from Hjalmar Schacht’s Institut für Demoskopie, 122, 234 support during the Weimar International Monetary Fund (IMF), 241 Republic, 63 Irmler, Heinrich, 286, 288, 303–4, 307 confidence in Hjalmar Schacht, 69 Issing, Otmar, 5 Enabling Act of 1933, 296 Italy, 22, 24, 316, 325 Four Year Plan, 69 Mefo bills, 15, 70, 160, 216 Jackson, Robert, 84 Reichsbank memorandum, 14, 19, 72–6, Juliusturm, 163, 166, 170 81, 83–6, 115, 159, 179–80, 182, 194, 198–9, 224–6, 268, 308 Kaiser, 38, 42, 294 removing Hjalmar Schacht from the Kalbitzer, Hellmut, 139 Reichsbank, 34 Keiser, Günter, 98 second inflation known as the ‘Hitler Keppler, Wilhelm, 225–6 inflation’, 274 Keynesianism, 99, 102, 164, 167, 275, 277 Young Plan, 62 Kiesinger, Kurt Georg, 198, 254, 262, 265, Höcherl, Hermann, 292 277 Holocaust, 300 Kissinger, Henry, 267 Homburg Plan, 98 Kladderadatsch (publication), 64 Höpker-Aschoff, Hermann, 131 Klasen, Karl, 102, 253–4, 256, 260, 261, Hülse, Ernst, 73, 75, 82, 102 263–4, 276, 282–3, 303, 307, 309, Hungary, 45 322 appointed as president of the Hamburg IG Farben, 192, 220 state central bank, 259 IG Metall, 276, 301 arrival at the Bundesbank, 254, 281 Industriekurier (newspaper), 131, attitude regarding central bank 212 independence, 253, 261–4, 284, inflation, 2, 4–5, 12–14, 18, 21–2, 24, 27–9, 288, 292, 297, 301, 311 31, 42–4, 47–50, 66–7, 86, 99, attitude regarding the media, 264, 271–2, 112–13, 126, 129, 131, 143, 146–7, 285, 292 151, 153, 163–4, 166–8, 175, 197, background, 254–5, 258–9, 268, 270 214–15, 217, 231, 233, 238–9, Bank deutscher Länder task force on the 245–8, 251–2, 254, 257, 274–6, 281, Bundesbank Law, 120, 261 290, 298, 303–6, 312, 314, 316, 320, departure from the Bundesbank, 265, 270 322, 330 and Helmut Schmidt, 262–3, 291, 297, 1948 inflation, 107, 112 302

352 Index

Klasen, Karl (cont.) National Geographic (magazine), 273 and Karl Schiller, 257, 262, 281–7, 290, National Socialism, 10, 28, 31, 62–3, 67, 312 69, 77, 131–2, 164, 194, 210–11, Novellierung debate of 1973, 290, 297 218, 225, 254, 258, 264, 268 as the public face of the Bundesbank, Netherlands, the, 42, 330 257–8, 267–8, 322 Neue Zürcher Zeitung (newspaper), 253 speeches, 252–3, 261, 264, 275, 311 Neuer Vorwärts (SPD outlet), 113, 139, 278 and Viktor von der Lippe, 271–2 New York Times, The (newspaper), 259, Kohl, Helmut, 325–7 273–4 Köhler, Erich, 108, 115 Noelle-Neumann, Elisabeth, 122 Konjunkturrat (economic council), 170, 176 Nölting, Erik, 139 Konkret (magazine), 227 Norddeutsche Bank, 259 Könneker, Wilhelm, 103, 145, 162, 249, Norman, Montagu, 44, 47, 57, 59 306 North Atlantic Treaty Organization Korean crisis, 17, 135, 141, 164 (NATO), 300 Korean War, 135, 158 Nuremberg trials, 13, 21, 30, 34–5, 70, 75, Kreisau Circle (Kreisauer Kreis), 81 80, 83, 86–8, 93, 148, 180, 191, Kristallnacht,78 193–5, 218, 220–1, 225–7, 318, 322

Lambsdorff, Otto Graf, 295–6, 323 Oechsner, Fritz, 223, 228 Lamfalussy, Alexandre, 325–7 oil crisis of 1973, 256, 275, 289, 298, 307 League of Nations, 45 ordoliberalism, 100 Lessing Gymnasium, 229, 250, 322 Orientierungsrahmen’85, 301 Lindemann, Karl, 226 Outright Monetary Transactions (OMT), lira (currency), 316 315–16 Lübke, Heinrich, 221 Luther, Hans, 63, 65–7, 100, 130, 132, Paersch, Fritz, 103 153, 212, 295 Panorama (show), 221 Luxembourg, 329 Penne, Die (school newspaper), 229 persuasion, moral, 198, 240–1, 244, 250–1 Maastricht Treaty, 324, 328–30 Pferdmenges, Robert, 241 Manchester Guardian (newspaper), 183 Pfleiderer, Otto, 102, 106, 156–7, 304–5, 307 Margarine-Union, 79 Phillips curve, 275 mark (currency), 35–6, 41, 43, 49, 51, 273 Pickelhaube,1,3–4, 313–16, 331–2 Marshall Plan, 112, 135 Pöhl, Karl Otto, 265, 326–8, 330 Mefo bills, 15, 70–1, 85, 160–1, 216, 232, Poland, 61 321 Portugal, 24 Merkel, Angela, 24 pound sterling (currency), 264, 281 miracle, economic (Wirtschaftswunder), 16, Presse- und Informationsamt der 98, 153, 175, 198, 248, 263, 280 Bundesregierung (government news Möller, Alex, 293 office), 219 Möller, Hans, 98, 307 Prussia, 37 monetarism, 256, 267, 270, 282, 307 Prussian Bank, 37 Mönkemeyer, Karin, 228 public sphere, 8, 19, 25–8, 31, 34, 44, 49, Münchau, Wolfgang, 23 55–7, 59, 63–5, 68, 70, 72–3, 79, 85, Münchner Lach- und Schiessgesellschaft, 87–8, 94, 104, 106, 109–11, 113, 193, 222, 224, 227 116, 126, 128, 130, 138, 148, 151–3, Munich Agreement of 1938, 74 157, 170, 172, 174, 181, 184, 186–7, Mürdel, Karl, 102 191, 195–9, 204, 208–9, 212, 214, Muthesius, Volkmar, 92, 110–11, 127–31, 216–18, 230, 232, 239–40, 249–50, 141, 147, 180, 207, 231, 304, 306 252, 254–7, 263–5, 268, 271–2, 275, mythology, monetary, 8, 13, 15, 21, 23, 280, 284, 286, 288, 291–3, 296–7, 29–30, 32, 34–5, 73, 87–9, 153, 191, 303–4, 306, 311–12, 319–22 227, 280, 317–18, 322, 327, 330, definition, 18–19 332 Pünder, Hermann, 108

Index 353

Quick (magazine), 212, 214–15, 284 note circulation requirements, 39, 41, 53, 65 Raeder, Erich, 88 operating alongside Rentenbank and recession of 1966-7, 208, 247–9, 251–3, Gold Discount Bank, 50 255, 263, 277, 280, 294, 311 as a political actor during the Weimar refugees, 113, 147 Republic, 6, 10, 54–5, 57, 62–3, 69, Reichsbank, 6–7, 10, 14, 25, 29, 33, 87, 278 38–9, 61, 66, 92–5, 100, 102, 270, publishing Hjalmar Schacht’s speeches, 318 56 1922–3 hyperinflation, 6, 9, 34, 50, 87 as a reference point during the advisory council, 79, 215 Bundesbank Law debate, 9–11, 35, Allied powers demanding that the 91, 122, 132, 141, 152, 154, 156–7, Reichsbank be made autonomous, 171, 175, 317 46 report regarding Social Democratic Autonomy Law of 1922, 46–7, 49, 53, attitudes about central bank 87, 278, 331 independence, 62 Bank Act of 1924, 52–3, 66, 68 and Rudolf Havenstein, 49 Bank Law of 1875, 37–8, 52–3 warning the government about bank legislation of 1933, 68 inflationary spending, 43, 73 bank legislation of 1937, 76 Reichsbanner, 258 bank legislation of 1939, 76, 91, 201 reichsmark (currency), 20, 52–4, 57, 61, 71, becoming independent in May 1922, 73, 78, 80, 149, 159, 196, 215, 219, 45 243, 246, 273, 306, 321 central bank reports during the Third Reichsrat, 46, 54 Reich praising the close relationship Reichstag, 36, 41, 62, 273 with the state, 72 Rentenbank, 50 central committee (Zentralausschuß), 38, rentenmark (currency), 50, 54 46 reparations, 6, 36, 41, 43, 45–8, 52–3, 55, co-operating with government policy 59, 61, 65–7, 70, 163 during the hyperinflation and Reuters (news service), 314 deflation, 7, 65, 67, 172 Revue (magazine), 212 debates during the Second Reich about Rhein Ruhr Club, 232 its nationalisation, 38 Riedel, Gerhard, 228 deflation, 67, 87, 132 Roeper, Hans, 214, 310 establishment of, 29, 36–7, 88, 307 Romania, 80 general assembly (Generalversammlung), Ruhr, 48 38 Russia, 80 general council (Generalrat), 52–3, 61, 68 headquarters destroyed, 33 Schacht, Hjalmar, 6, 10, 19, 31, 33, 35, 58, Kuratorium, 38, 46, 53, 122 100–2, 107, 130, 153, 201, 277–8 left-wing support for central bank and Adolf Hitler, 63, 68 autonomy during the Second Reich, allegations of misconduct during the First 38 World War, 54 legacy during the post-war era, 5, 9, appointed as ‘commissary’ minister for 13–14, 18–19, 31, 114, 130–1, 137, the economy, 69 146, 153, 156–7, 171–2, 177, 180, appointed as general commissioner for 184, 190, 196, 201, 231, 255–7, the war economy, 69 268–70, 277, 286, 295–6, 303–4, arrested, 33 306–7, 310–11, 317–18, 320–2, arrival at the Reichsbank, 54–5 331 attitude regarding central bank Mefo bills, 70 independence, 68 memorandum of January 1939, 14–15, attitude regarding the media, 35, 55–7, 21, 34, 72–3, 74,75–6, 83, 159, 87, 197, 212, 217, 321 179–80, 191, 194–5, 211, 218, 221, becoming a minister without portfolio, 69 226, 256, 268, 308, 321–2 concentration camps, 82

354 Index

Schacht, Hjalmar (cont.) budget, 143, 187 demanding the return of the ‘Polish Bundesbank Law, 18, 121, 123, 125, corridor’,61 137–8, 144, 154, 189, 263, 294, 318, departure from the Reichsbank in 1939, 320 34, 70, 72, 81–4, 211, 308–9 clash with Ludwig Erhard, 123, 154, 156, enjoying the confidence of Adolf Hitler, 263 69 Juliusturm, 163, 166, 170 evoking the 1922–3 hyperinflation, 72 Konjunkturrat, 170, 173, 176 Hamburg state senate, 115, 160 and Konrad Adenauer, 122, 125 as ‘Hitler’s magician’, 13, 70, 211, 214, sensitivity to bad publicity, 143 217, 230, 232 support for a decentralised central bank, international respect, 57 123, 133, 154 and Karl Blessing, 20, 79, 196, 211–12, Transition Law, 145–6, 153 215–17, 230–2, 321 and Wilhelm Vocke, 149 Lex Schacht, 62 Scharnberg, Hugo, 138, 155–6, 185 Magic of money, The (book), 216, 232 Schäuble, Wolfgang, 24 Mefo bills, 15, 160, 216, 321 Scheel, Walter, 283 memoirs, 211–12, 216 Schiettinger, Fritz, 271 Nuremberg trials, 13, 21, 30, 34–5, 74, Schiller, Friedrich, 242 83, 86, 93, 211, 226, 318, 322 Schiller, Karl, 183, 248, 263, 277, 288 personifying central bank independence cabinet resignation, 256, 281, 283–5, during the Weimar Republic, 63, 64 287, 290, 323 political attacks on, 62 and Karl Klasen, 255, 257, 262, 281–5, portrayed as abusing the Reichsbank’s 287, 312 independence, 62 Schlesinger, Helmut, 307, 330–1 portrayed as the ‘master’ of Karl Blessing, Schmidt, Helmut, 27, 283, 287, 296–8, 201 310, 323 portrayed as the ‘master’ of Wilhelm ascent to the chancellery, 298 Vocke, 114 attitude regarding central bank as the public face of the Reichsbank, independence, 261, 287, 290, 56–7, 64, 169, 320 297–8, 300, 302, 312 Quick magazine, 213–14 and Karl Klasen, 262–3, 291, 302, 311 Reichsbank directorate’s resistance to his Novellierung debate of 1973, 255, 257, appointment, 54 261, 281, 288, 291–3, 296–7, 301, Reichsbank memorandum, 14, 72–5, 74, 311 83–4, 179–80 party report of May 1974, 298, 312 Reichsbank speeches, 55–7 speech before the central bank council in resignation in 1930, 63, 78 November 1978, 298–301 return as Reichsbank president in 1933, Schmücker, Kurt, 248 68 Schniewind, Otto, 102 second inflation, 72 Schumacher, Kurt, 139 shift to right-wing politics, 57, 63 Schutzstaffel (SS), 20, 79–81, 88, 192, support by Gustav Stresemann, 54 219–20, 223, 227 tarnished reputation in the 1960s, 19, Second Reich, 3, 35, 37, 77, 120, 307, 197, 211–12, 214, 217, 321 330–1 third inflation, 197, 231–3, 239 Second World War, 3–4, 8, 12–13, 88, 95, threatening to resign as Reichsbank 99, 103, 149, 193, 252, 268, 278, president, 71 300, 309 and Wilhelm Vocke, 123 Sentz, Max, 102 Young Plan, 59, 61–2 Seuffert, Walter, 279 Schaefer, Carl, 90–1, 93, 99, 132 Single European Act of 1986, 324–5 Schäffer, Fritz, 136, 166, 170, 173 snake, 269, 281, 299 attitude regarding central bank Social Democratic Party (SPD), 29, 98, independence, 11, 121–4, 127, 136, 102, 113, 115, 139–40, 153, 162, 142, 170, 189 164, 183, 191, 198, 230, 237, 248,

Index 355

251, 254–5, 257–9, 265, 276, 278, Treue, Hans, 103 280, 285, 293, 296–7, 300–1, 309, Trichet, Jean-Claude, 330 323 Troeger, Heinrich, 209, 279 attacks on the Bank deutscher Länder, Trump, Donald, 22 139, 184 Tucker, Paul, 23 central bank independence, 31, 47, 62, 130, 140, 153, 175, 183, 255–7, 264, Übersee Club, 167 278–9, 295, 297–8, 301, 311, 319, Ulrich, Franz Heinrich, 259 323 unemployment, 94, 100, 149, 275 economics committee, 140, 155, 175, post-war, 108, 112–13, 117, 122, 135, 183–4, 259 153, 163, 191, 210, 234, 247, 252–3, Godesberger Programme, 183 263, 275–6, 297, 302, 311, 323–4 ‘Gürzenich affair‘, 175, 183–4 trauma, 252, 311, 318 Sonderstelle für Geld und Kredit (Special Weimar Republic, 6, 10, 26, 28, 63, Committee for Money and Credit), 66–7, 71, 100, 113–14, 130, 160, 98 184, 252, 318 Soviet Union, 150, 158 Unilever, 79–80, 225, 227 Spain, 24 United States, 66, 96–7, 150, 190 Spiegel, Der (magazine), 14–15, 20, 116, 159, 169, 177, 179, 181, 195, 199, Veit, Hermann, 175 201, 212, 221, 227–9, 316, 319, 321 Veit, Otto, 102, 120 Spiegel affair of 1962, 19 Versailles Treaty, 43 Spiegel Online, 4, 316–17 Vetter, Heinz Oskar, 276 Stabilitätskultur (stability culture), 23–4, Vocke, Wilhelm, 15, 19, 35, 60, 88, 136, 332 158, 164, 166, 172, 174, 186, 197, Stabilitätspolitik (politics of stability), 7, 244, 201, 214, 216, 233, 240, 252–3, 256, 253, 255, 257, 268, 270, 276, 280, 263–4, 269, 271, 304, 318, 323 290, 303, 307, 309–11, 323, 331 activity during the Reichsbank years, 45, Stability and Growth Law of 1967, 277, 59, 116 289, 292–3, 301 appealing to the German saver, 147, 167, stagﬂation, 276, 332 169 Stalingrad, 81 appointed as chairman of the Bank Stasi (East German Ministry for State deutscher Länder directorate, 103, Security), 20–1, 194, 219, 221–2, 305 227, 230 arguing that Keynesian policies were Strauß, Franz Josef, 19, 285 reminiscent of economic policy Stresemann, Gustav, 49, 54 during the Third Reich, 164 Strong, Benjamin Jr., 57 attitude regarding social democracy, 259, Stuttgarter Zeitung (newspaper), 119 279 Süddeutsche Zeitung (newspaper), 214 attitude regarding the central bank’s supervision, banking, 23 relationship with the government, surveys, public opinion, 29, 122, 127, 140, 104 234 attitude regarding the media, 57, 59, Switzerland, 281 109–10, 116–17, 131, 133–4, 143, 208 Tepe, Hermann, 102, 156–7 attitude towards National Socialism, 77 Third Reich, 12–13, 15, 20, 34, 56, 59, attitude towards the Allied Banking 69–72, 77–8, 80–3, 86, 96, 103, 157, Commission, 111 164, 180, 192, 194, 196, 198, 201, background, 44, 254–5, 268, 270, 306 210–11, 216, 218–19, 221, 224–5, Bank deutscher Länder task force on the 228, 230, 268, 274, 295, 306, 308, Bundesbank Law, 120 321 control of the Bank deutscher Länder Tietmeyer, Hans, 22 directorate, 109, 267 Time (magazine), 32, 267, 310 criticism of government economic policy, Titzhoff, Peter, 271 160, 165, 167

356 Index

Vocke, Wilhelm (cont.) support for a centralised central bank, departure from the Reichsbank, 76, 79, 106, 133, 138, 155 85, 115, 180, 308–9 third inflation, 231 as deputy chairman of the as the vice chairman of the Bank Reichsbankleitstelle, 103 deutscher Länder central bank and Ernst Hülse, 102 council, 103 financial persecution of Jews in the Third and Volkmar Muthesius, 128, 180 Reich, 77 and Wilhelm Grotkopp, 131 first address before the Bank deutscher Young Plan, 59 Länder central bank council, 105, 305 Vögler, Albert, 59 and Fritz Schäffer, 122–4, 170 Volkswirt, Der (magazine), 186, 253 Gesundes Geld (book), 180–1, 208 Von Bismarck, Otto, 36, 39 Gürzenich affair, 179–80 Von der Lippe, Viktor, 117, 129–31, 143, and Hans Luther, 65 162, 167, 172–3, 193, 195, 203–4, and Hjalmar Schacht, 54, 68, 115, 160, 211, 216, 219, 230, 250 216 appointed as personal advisor to Wilhelm and imported inflation, 268 Vocke, 116 international reputation, 170 assigned to direct the Bank deutscher interview with Bild, 179 Länder press department, 117 and Karl Blessing, 216 attitude regarding the media, 127, 158, Konjunkturrat, 170, 173, 176 172, 202, 204–5, 214, 217–18, 244, and Konrad Adenauer, 121, 124, 141–2, 285, 321 166, 187, 262 background and influence, 116 Mefo bills, 15, 70–1, 85, 160, 216, 321 circle of friends (Freundeskreis), 193, 195, memoirs, 187 211, 222–3, 228–30 Nuremberg trials, 14, 21, 75, 82, 84–5, short comprehensive summary, 195, 88, 195, 211, 225–6, 322 224, 226, 228–9, 250, 322 and Otmar Emminger, 267 contacts with journalists, 162, 171, 173, political attacks on, 15, 114, 117, 278, 207, 209, 271–2 321 correspondence with Volkmar portrayed as ‘foreign minister of the Muthesius, 130, 207 Reichsbank’, 15, 59, 88 departure from the Bundesbank, 271 portrayed as ‘guardian’ of the diaries, 251, 271–2 deutschmark, 177, 183 enjoying the confidence of Karl Blessing, portrayed by Der Spiegel as ‘chancellor of 208 the deutschmark’, 14, 177, 199, on Helmut Schmidt’s party report of May 319–20 1974, 298 portrayed by the Financial Times as the and Karl Klasen, 253, 257, 261, 271–2, ‘boy wonder of the old Reichsbank’, 284–5, 291–2 177 Nuremberg trials, 88 power struggle with Karl Bernard, 104 responsibilities at the Bank deutscher as the public face of the Bank deutscher Länder, 117 Länder, 14, 35, 104, 114, 117, 148, responsibilities at the Bundesbank, 151, 159, 161, 169, 172, 194, 199, 202–3, 209, 249, 271 278, 280, 320–1 third inflation, 233 reaching out to Ludwig Erhard for Von Schelling, Friedrich Wilhelm, 120–1, support, 142 172 Reichsbank memorandum, 14–15, 73–6, Vorwärts (SPD outlet), 63, 183 74, 115, 148, 159, 179, 181, 194–5, Vossische Zeitung (newspaper), 56 308 and Rudolf Havenstein, 49 Wall Street Journal, The (newspaper), 272, signature on banknotes, 14, 51, 180, 321 326 speeches, 15, 134, 147, 149, 163, 165, Warburg, Max, 167 167, 169–71, 180–1, 185, 190, 246, Warmbold, Hermann, 66 321 Weidmann, Jens, 315–16, 331

Index 357

Weimar Republic, 3, 5–6, 13, 27–8, 43–4, 48, Wrede, Victor, 98, 103–4, 106–7, 109–10, 54–6, 65, 67, 69–70, 78, 87, 108, 113, 128–9 120, 169, 233, 252, 254, 257, 272–3, 295, 302, 304, 306, 317, 331–2 Young Plan, 59, 61–2 Welt am Sonntag (newspaper), 284 Welt, Die (newspaper), 107, 118, 130, 201 Zachau, Erich, 103, 216 Wilhelm, Karl-Friedrich, 103 Zeit, Die (newspaper), 114, 174, 212, 232, Wissenschaftliches Institut der 243, 285–6, 316 Gewerkschaften (Academic Institute Zeitschrift für das gesamte Kreditwesen, Die of the Trade Unions), 141 (journal), 110, 128, 131, 147, 205, Wolf, Eduard, 113, 120, 202, 267 304 Wolf, Markus, 219 Zeitung (magazine), 195, 227–8 Wolf, Martin, 315 Zwischen Marx und Markt (book), 294–5