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History_103_Lecture Jan 22nd

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HIST 103

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History 103 Lecture – 22  January nd 01/22/2014 Topics: The Truman Doctrine and “Containment” in Europe: i. Marshall Plan ii. NATO Hot War in Asia: Korea, 1950­53 Stalin proclaimed that War was inevitable as long as capitalism continued to exist.  Core of Truman doctrine to contain the spread of communism territorially by the dispersment by US  economic and military assistance.  Marshall Plan and the creation of a defensive alliance known as “NATO” Popular support for communists in France and Italy had been growing rapidly since the end of the war  to the extent that the communist party had become as important player in global politics.  Communists held cabinet posts through 1947 and well beyond that, not uncommon to see the mayors of  towns and cities as communists. Reasons for communism Political establishment in the countries had been tainted due to their fascist ways. Combination of economic dislocation on one hand and fear that that communists would take advantage  of it on the other hand,  The US had a strong interest in restoring Western Europe’s status as a major trading partner.  Geopolitical objectives coinciding with US economic interests as well. IN March 1947, various considerations came together by George Marshall in a speech given at Harvard  university. Seasoned political observer and diplomat and experienced military figure.  In 1947, he had just returned from a failed diplomatic mission in China to get rid of communism?  In theory, the Marshall Plan was open to all of Europe including Eastern Europe and the Soviet union.  However, communist states were only eligible if they agreed to open up their economies to private  foregin investment.  So the Marshall Plan approved 17 billion dollars of investment to Europe to Britain, France and Italy  mostly.  The money was given on the condition that it be spent in the USA and also to a lesser extent, in  Canada. For manufactured good, equipment’s and agricultural products. Domestic/ political angle to this  plan as well as it represented a huge govt/ subsidy to the business sector.  The USSR made their copy­cat version of this known as the COMECON.  Division of labour had the effect of breeding investment. Romania the “vegetable garden” of Eastern  Europe.  Some countries now had imp. Industrial niches etc.  Involved the creation of military alliances and US took the lead in the late 1940s of having a series of  regional defense alliances, the most imp. Of which was NATO set up in 1949. It had 12 original member  states,  USA, Canada, Britain, France, Italy, Portugal, Holland, Belgium, Luxemburg, Norway, Denmark, Iceland Later, Turkey was also added.  From it’s
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