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Lecture 4

Lecture 4 Marshall Plan.docx

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HIST 304
Charlie Sharpe

Lecture 4 – Marshall Plan. Jan 22nd 4/17/2013 8:54:00 PM Lecture 4: Marshall Plan Terms: Konstantin Rokossovsky, Andrei Zhdanov, Cominform, Comintern, Tito, ECSC, Nowa Huta, NATO, FRG, GDR, COMECON Marshall Plan, 47  European recovery plan- Truman doctrine promised financial and military support to Greek and Turkey- Stalin had seen it as a one time thing. But it caused American policy makers to rethink their strategy in Europe. Famine in Europe, had been a hard winter, this threatened the underlying political and social stability. The UN Relief Fund had been for this, but it turned out the Red Army had been taking all aid. 47, people had payment imbalance. Radical left was gaining power in western Europe. Communist parties in France and Italy were either dominated by Moscow or lead by Stalinists. In Eastern Europe, people had become disillusioned with the radical left.  Economic recovery for all of Europe. Help struggling democracies in Western Europe. Short term- provide region with psychological boost. June 5th 47, Marshall announced the program. Within a few days government in France felt confident enough to eject communist party. Long term- provide economic security. Best way of containing Stalin's expansionism was providing endangered countries with support economic and politically.  Instead of simply offering aid to just West, left it to East. Either Stalin would allow Eastern Europe to accept the aid or not. IF he did, the Americans believed it would undermine his political grip on Eastern Europe. If he refused, which they suspected, then SU would have to assume the responsibility to helping Eastern Europe recover which would drain their economic and it would create the impression that Stalin had divided Europe into 2 blocks and that Eastern Europe was dominated by SU but West was supported by American.  Caught Stalin off guard. Sent a large party lead by Molotov to Paris to discuss Marshall Plan aid. After a few days he recalled them believing that a walk out would completely disrupt the conference, but let the Eastern governments stay. Recalled them too and said they couldn't accept aid. But Czechoslovakia kept displaying an interest in Marshall aid- it was a special case. At end of German occupation had elected their own communist government without Moscow. No official occupation there. They'd believed that the west had sold them out to Hitler in 38. Thought of themselves as a potential bridge between East and West. Offended officials in US. Worried Stalin. He undertook actions to build up Stalinist faction there, but still didn't have a firm grip, so the leaders didn't feel the need to follow him in Paris. Constituted a capitol offense in Moscow. Withdrew after threatened by Stalin.  Once they'd withdrawn US continued talking with Western Europe. Roots of EU in the Marshall Plan negotiations- US wasn't going to decide who gets what and how much. Truman had also told them that they wouldn't get economic support if they could sit down with each other and agree who needed what. Thinking was that if Western Europe was to become economically sufficient and stand up to SU was the encourage economic integration.  Program was 48-51. Countries' size played a role. Larger got more aid. Relationships to emerging CW conflict played a role. Strong communist movement got more aid to stop this. Proximity to iron curtain. Indebtedness to US played a role and size of it's dollar reserves. UK largest amount, France second, (W) Germany 3rd. Italy 4th.  Spain didn't get any aid because of dictator Franco- Franco didn't want to work them either. However, did provide aid to Portugal which had an authoritarian regime.  Was the plan a success? Psychologically, yes. It also ignited European integration. Repressed nationalistic rivalries that had caused tensions in Europe for so long. Economically, not so clear. We know economic growth increased by 35% within the 3 years it was done. But it was more the result of hard work and industrialness from the countries that received aid. We also know that the growth wasn't equal across region. Britain spent large sums on welfare programs which did little help economy. In France used it to reasserted control of colonial possessions in Indo-China. In Italy used to bribe officials. But in West Germany, it was used in all sorts of capital investments and economic projects around the country. Huge success. Economic power house.  American empire by invitation, not by force. Why did Western want US involved? Americans had behaved a lot better- soldiers friendly with citizens. Knew that the presence of American power was the best way to ensure that the Europeans wouldn't fight among themselves. The 'Empire by Integration'. Integration kept them from fighting one another- especially France and Germany.  Designed to rebuilt W.E- resist Stalinist expansion- wanted to also increase American security and share defense burden in the long run, but it wasn't to expand market reach.  Great blow to Stalin's Post WWII policy undermined his belief that capitalists couldn't cooperate. Instead, it showed that they would and could work together if they were faced with a threat. Surprised how fast communist parties were voted out of power. He ordered the parties to rise up in violent strikes. Alienated many of his sympathizers in Europe. Stalin also had the cost of rebuilding Eastern Europe. Realised people would see what was happening in West and want that too and if it couldn't happen, it would undermine them. In face of this enacted counter plan- ended all reparations to the SU. Since 45 gov had removed all industrial equipment from other states- terminated this. Began to subsidizes fuel and raw materials, but this meant that the Soviet people had to pa higher taxes and prices. Eliminated political independence. In Poland they were somewhat under control, but not really. Defense minister was Konstantin Rokossovsky and Stalin only trusted him. Following 47 all independent parties in E Germany were put under heavy pressure. Called parties to a conference and announced the creation of the common party by Andrei Zhdanov. This pressure lead Tito to express discontent to Stalin- his party was the only one to come to power other than the Czech's without Stalin. This hostility created tensions between Yugoslavia and the SU which lead to a split in 48. Stalin tried to have him assassinated by failed. So from 48 onward, they were an independent soviet state. US tried to help him out, but Tito couldn't be lured into American camp and set out in what's called the Third Way.  Between 47-8 all of Eastern Europe succumbed to complete Stalininsation. Only loyal Stalinists remained in power in the parties.  Also initiated a series of policies to further economic integration of E.E. Wasn't voluntary  COMICON- council of neutral economic aid in 49. meant that E.E centrally planned their economic policies with suppressive surveillance and guidelines from Moscow. Berlin Crisis, 48-9  Berlin consisted of 4 occupation zones.  In 48 there was a war scare with the whole thing in Czech and the forces in Berlin wanted to prepare west Germany for participation in Marshall Plan, so currency reform. Deutsch Mark was introduced. Prevented Stalin from using currency in Soviet zone from influences economy in Western Germany. Borders between Soviet and other occupation zones weren't really fortified. Worried People from Soviet sector might flee through W. Germany. Decided it was time to kick the Westerners out of Berlin. SO in Spring of 48 blocked all land access to Western sectors and cut off energy supplies. Hoped to secure concessions from Truman. Started in June 48 and was supposed to keep on until they got what they wanted. Truman refused to let Stalin's challenge go unchallenged, so American and British air forces had begun flying fuel and aid into West Berlin. Known As Berlin Airlift went on around the clock for about a year. Endeared Americans and Westerners to Germany. Would toss chocolates out as they neared airport so the children would all gather around to catch them. Made Stalin look like a dick.
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