the People's Car 2014 page 2

the People's Car 2014 page 2 by ric Gustafson


The most important obstacle to a stable German auto industry was the state of the German economy. Because of the First World War, political upheaval and hyperinflation the country and it's population was severely depressed. In 1925, only half of the country's industrial workers brought home the minimum annual wage. The majority of drivers in Germany at that time were the middle class. The elite middle class such as bankers and high level managers were able to save their assets, this was not the case with the bulk of the middle class. Shopkeepers, tradesmen and civil servants lost their investments in war loans and their savings evaporated.
Two cars were popular at this time. The first was a small car produced by Opel. It was nicknamed the ' tree frog' because of it's green color. It was a fourteen horsepower vehicle and reached a top speed of thirty eight miles per hour. It came with two or four seats and cost between 2,300 and 3,200 reichsmarks. The other car was produced by Hanomag between 1925 and 1928. It was nicknamed the ' rolling bread loaf' because of it's rounded front and back. It retailed around 2,000 reichsmarks. German motorists spent more for gasoline and paid more for road tax than most Americans. Another problem was that motorists had to have a garage to stow the vehicle which was expensive.


research help: ' The People's Car' by Bernhard Rieger


Peace and God's blessings. Love Ric