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CLEP Western Civ II

Category - Interwar

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France's Raymond Poincaré used which of the following means to try to stabilize the economy in the post-war period?

Investing the money received from German reparations
Raising taxes on goods
Eliminating all restrictions on trade
Printing more francs
Sporadically closing banks to prevent people from withdrawing money

Explanation

Answer: B - Raymond Poincaré raised taxes on goods to stabilize the French economy. For this reason, he is credited with saving the franc in postwar France. While this strategy worked, the working class remained discontented. Their wages did not increase, making everyday goods more expensive.

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CLEP Western Civ II

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CLEP Western Civ II

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