Germany, Post World War I
The effects of the war and its consequential treaty were tremendous. Germany could not afford to pay these reparations and provide for its own citizens, and as a result, inflation rose as domestic products and goods dwindled. Due to these significant shortages, Germany was unable to keep up with demand, and as a result, the country had entered a period of hyperinflation by 1923. Prior to the war, the exchange value of Germany's Reichsmark to the U.S. dollar was 4:1. By 1923, the exchange value had drastically changed to one billion RM: 1 USD.
The Treaty of Versailles (1919)
At the end of "The Great War," the allies blamed Germany as the sole instigator of the conflict and thus laid out the terms of the treaty accordingly. A few of the terms Germany had to abide by are as follows:
cede 13% of Germany's territory to Poland and France
pay reparations to France and Britain in money, coal, steel, and other industrial products
The "Film Boom"
Germany mandated a foreign film ban in 1916, effectively minimizing international competition for the film industry. This ban, made in part as an effort to block anti-German propaganda, granted domestic filmmakers an opportunity to produce a larger quantity of films. The inflation that follows, ironically, also helps to aid the growth of the film industry. Instead of saving their funds, German citizens spent their money as much as they could while it still had value, and due to shortages of food and clothing, they opted to go to the theaters, where there were no shortages of films to enjoy. Additionally, German filmmakers were able to produce an abundance of high-quality films, as they were able to invest in cheap land, labor, and equipment. These films generated a large profit internationally as well, matching Hollywood in the quality of films, but at a much lower rate than what Hollywood sold their products for. All these factors supported the eventual popularization of German film, making the industry incredibly successful, despite the bleak existence of its inhabitants.
During this time, the number of production companies rose from about 25 in 1914, to 130 by 1918. Of these companies, Universum Film Aktiengesellschaft (UFA) became the largest in Germany, monopolizing and dominating the industry.
Why Expressionism?
Before the expressionist movement made its way into cinema, the style had already been popularized through visual art and performance. The artistic movement came about as a reaction to the disasters and tragedies of World War I. Artists, such as Ernst Kirchner, conveyed the disillusionment and strife they felt during these times by rejecting traditional conventions, and instead, created art that reflected their inner turmoil and unease. In this sense, impression becomes more important than the portrayal of physical reality.
As a response to these troubling times, German audiences became less preferential to romance and comedies, hence the popularity of dark themes such as betrayal, violence, and cruelty in expressionistic art and cinema.
Self-Portrait as a Soldier (Ernst Kirchner, 1915)
The Nazi Party and the End of Expressionism
By 1933, Adolf Hitler had been appointed chancellor of Germany, immediately enforcing the ideas and beliefs held by the Nazi Party. Hitler appointed Joseph Goebbels as the head of the Reich Ministry of Public Enlightenment and Propaganda. The sole purpose of this department was to seize control of German culture. Goebbels asked director Fritz Lang to head UFA, and Lang responded by fleeing to France. Robert Wiene, another influential expressionist director, lived in Budapest to film A Night in Venice and did not return to Germany out of fear, for his previous film Taifun had been banned. Paul Leni, Fritz Lang, and F.W. Murnau had all moved to the United States to work in Hollywood, integrating their own styles into American film.