RM to USD Exchange Rate

[landsknechte]

I'm helping a friend with some research in the immediate postwar period... We have a record of some materials that were purchased from a German firm by American forces immediately after VE Day. Does anyone have any guess as to what the exchange rate between RM and USD would have been at that point?

Thanks,

--Chris

[Guest Rick Research]

4 RM to the dollar, I believe.

[landsknechte]

4 RM to the dollar, I believe.

That sounds about right. It's for some photography equipment, and that would price it pretty close to the US prices for the equipment.

Thanks,

--Chris

[Laurence Strong]

When did the RM cease to be legal tender, and what replaced it, the current DM? Was there some kind of Mil Gov script at first?

Edited October 15, 2007 by Laurence Strong

[Guest Rick Research]

Nope, it was just called in, 1948 or 1949. There is a scene near the end of the 1980s German multi-generational mini-series "Heimat" where a horde of stashed Third Reich cash is discovered by the family AFTER the deadline for exchange-- so it was all worthless.

[landsknechte]

Thanks for the help guys!

[Laurence Strong]

Thanks Rick

[Ed_Haynes]

Somewhat earlier, 1918-23, but interesting numbers. $1 (US) = how many DM:

Jan. 1918 - 5.21

Jan. 1919 - 8.20

Jan. 1920 - 64.80

Jan. 1921 - 64.91

Jan. 1922 - 191.81

April 1922 - 291.00

July 1922 - 493.22

Oct. 1922 - 3,180.96

Jan. 1923 - 17,972.00

Feb. 1923 - 27,918.00

Mar. 1923 - 21,190.00

Apr. 1923 - 24,475.00

May 1923 - 47,670.00

June 1923 - 109,966.00

July 1923 - 353,412.00

Aug. 1923 - 4,620,455.00

Sept. 1923 - 98,860,000.00

Oct. 1923 - 25,260,000,000.00

Nov. 1923 - 2,193,600,000,000.00

Dec. 1923 - 4,200,000,000,000.00

http://www.schoolshistory.org.uk/ASLevel_H...micrecovery.htm

As of 1950, $1 = DM 4.1950

http://en.wikipedia.org/wiki/Table_of_hist..._exchange_rates

[Paul R]

That is incredible Ed!

So in Dec 1923, one US dollar was equal to 4 TRILLION RM?!?!?!?! The paper and ink was worth more than the face value of the bill!!!

[Obergefreiter]

That is incredible Ed!

So in Dec 1923, one US dollar was equal to 4 TRILLION RM?!?!?!?! The paper and ink was worth more than the face value of the bill!!!

I have heard that people burned bundles of banknotes in their stoves, because that was cheaper and easier than trying to buy coal.

[Harrier]

People would go shopping carrying baskets full of money. If they put the basket down, someone would steal the basket and leave the money.

It's fun to look at German postage stamps from the period. A common stamp would be "over-stamped" with the new denomination (maybe 5 million RM).

Of course, if the Western world keeps spending its way out of the current economic slump, we may see those stamps again!