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13 - Germany Will Collapse (June 19–July 10)

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Per H. Hansen
Affiliation:
Copenhagen Business School
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Summary

Chapter 13, Germany will collapse (June 19 - July 10) begins with everyone’s eyes on Germany where the uncertainty about the French position towards the Hoover plan increases every day. More generally, politics comes to play a larger role, as Norman increasingly emphasizes that it’s about politics, and Harrison has to take Hoover’s plan into account. At the same time leadership in the epistemic community of central bankers shifts away from Norman toward Harrison, who enters into a dialogue with French central bankers. Tensions arise between Norman and Harrison, as the begin to subscribe to divergent narratives of the situation and what needs to be done. In Germany, the situation gets more concerning by the hour, and Hans Luther travels to London and Paris in an unsuccessful attempt to secure a giant credit to the Reichsbank.

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Chapter
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There Will Be the Devil to Pay
Central Bankers, Uncertainty and Sensemaking in the European Financial Crisis of 1931
, pp. 231 - 255
Publisher: Cambridge University Press
Print publication year: 2025

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