The Rest Is History cover image

322: East Germany: Life Behind the Iron Curtain

The Rest Is History

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East Germany's Economic Struggles in the 1980s

In the 1980s, East Germany faced economic challenges as they aimed to create a socialist society with affordable basic necessities for all. The population, however, started to feel resentment towards the West as they perceived a disparity in living standards. The East German government under Hannegger tried to balance providing free education and social benefits with offering luxury goods like color TVs and radios, which only a small portion of the population in the West could afford. This attempt to provide both necessities and luxuries to everyone led to economic overextension, revealing the unsustainable economic model by the 1980s.

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