Question

Due to conditions set forth in the Treaty of Versailles, Germany lost much of its territory. Why did this prove to be economically fatal to the nation?

1 It lost many of its best workers.
2 It lost its main industrial complex.
3 Most of the best farmland was lost.
4 Germany did not receive compensation.

Answer 1

The answer is 4, Germany did not receive compensation

Answer 2

Due to the conditions set forth in the "Treaty of Versailles", Germany lost much of its territory. This proved to be economically fatal for the nation because of option 4. Germany did not receive compensation. Moreover, due to one provision Germany and her allies had to admit its responsibility for the war damages and losses. Germany had to disarm, lose colonies and territory and pay reparations to some countries of the Entente.