The chapter examines the relationship between the size and diversity of the expellee population and entrepreneurship and occupational change in West Germany. Using statistical data at the municipal and county levels, it documents a reversal of fortune: although expellee presence presented economic challenges in the immediate postwar period, in the long run, it increased entrepreneurship rates, education, and household incomes. The more regionally diverse the expellee population, the better the long-run economic performance in receiving communities.

Chapter 6 deals with the crisis year of 1923 and examines the German Right’s response to the hyperinflation of 1922–23, the Franco-Belgian occupation of the Ruhr, the increasingly palpable fear of Bolshevism, and threat of Bavaria’s secession from the Reich. After a discussion of the DNVP’s relationship to the Cuno government that assumed office in November 1922, the chapter takes a particularly close look at its opposition to the Stresemann cabinet that assumed power at the height of the crisis in August 1923. Following the termination of passive resistance in the Ruhr, many DNVP leaders began to embrace the idea of a “national dictatorship” under the tutelage of the army commander-in-chief Hans von Seeckt as the only way out of the crisis in which Germany found itself. But movement in this direction was cut short not only by Seeckt’s ambivalence but more importantly by Hitler’s abortive “Beer Hall Putsch” in Munich. As the Stresemann government moved to consolidate its position in the aftermath of the putsch, any chance of replacing the Weimar Republic with a more authoritarian system of government had vanished.

Chapter 7 examines the DNVP’s reaction to the stabilization of Germany’s republican system under the auspices of a new government formed by the Center Party’s Wilhelm Marx in January 1924. In the campaign for the May 1924 Reichstag elections, the DNVP not only did its best to dissociate itself from the anti-social consequences of stabilization, but moved racism and antisemitism to the forefront of its campaign in an attempt to preempt attacks from the racists that had bolted the party in 1922. The result was a stunning victory at the polls that made its delegation the largest in the Reichstag. But with success comes responsibility, and the DNVP was suddenly faced with the task of voting for the Dawes Plan, a plan that in the campaign it had denounced as a “second Versailles.” In the decisive vote in August 1924, the Nationalist delegation to the Reichstag split right down the middle in a dramatic turn of events that only highlighted how deeply divided the DNVP was as it faced the prospect of governmental responsibility.