the First World War had been the unnecessary act of traitors, the popular legitimacy of the government was on shaky ground. As normal parliamentary lawmaking broke down and was replaced around 1930 by a series of emergency decrees, the decreasing popular legitimacy of the government further drove voters to extremist parties. No single reason can explain the failure of the Weimar Republic. The most commonly asserted causes can be grouped into three categories: economic problems, institutional problems, and the roles of specific individuals. Economic problems The Weimar Republic had some of the most serious economic problems ever experienced by any Western democracy in history. Rampant hyperinflation, massive unemployment, and a large drop in living standards were primary factors. From 1923 to 1929, there was a short period of economic recovery, but the Great Depression of the 1930s led to a worldwide recession. Germany was particularly affected because it depended heavily on American loans. In 1926, about 2 million Germans were unemployed, which rose to around 6 million in 1932. Many blamed the Weimar Republic. That was made apparent when political parties on both right and left wanting to disband the Republic altogether made any democratic majority in Parliament impossible. The Weimar Republic was severely affected by the Great Depression. The economic stagnation led to increased demands on Germany to repay the debts owed to the United States. As the Weimar Republic was very fragile in all its existence, the depression was devastating, and played a major role in the Nazi takeover. Most Germans thought the Treaty of Versailles was a punishing and degrading document because it forced them to surrender resource-rich areas and pay massive amounts of compensation. The punitive reparations caused consternation and resentment, but the actual economic damage resulting from the Treaty of Versailles is difficult to determine. While the official reparations were considerable, Germany ended up paying only a fraction of them. However, the reparations damaged Germany's economy by discouraging market loans, which forced the Weimar government to finance its deficit by printing more currency, causing rampant hyperinflation. At the beginning of 1920, 50 marks was equivalent to one US dollar. By the end of 1923, one US dollar was equal to 4,200,000,000,000 marks. In addition, the rapid disintegration of Germany in 1919 by the return of a disillusioned army, the rapid change from possible victory in 1918 to defeat in 1919, and the political chaos may