The rehabilitation of Germany after World War II
Encyclopedia
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
, Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
suffered heavy losses both in lives and industrial power: the country's cities were severely damaged from the heavy bombings in the closing chapters of World War II, agricultural production was only 35% of what it was before the war. During the war, 7.5 million Germans had been killed, roughly 11 percent of the population (see also World War II casualties
World War II casualties
World War II was the deadliest military conflict in history. Over 60 million people were killed, which was over 2.5% of the world population. The tables below give a detailed country-by-country count of human losses.-Total dead:...
).
At the Potsdam conference
Potsdam Conference
The Potsdam Conference was held at Cecilienhof, the home of Crown Prince Wilhelm Hohenzollern, in Potsdam, occupied Germany, from 16 July to 2 August 1945. Participants were the Soviet Union, the United Kingdom, and the United States...
the victorious allies ceded roughly 25% of Germany's pre-Anschluss territory to Poland
Poland
Poland , officially the Republic of Poland , is a country in Central Europe bordered by Germany to the west; the Czech Republic and Slovakia to the south; Ukraine, Belarus and Lithuania to the east; and the Baltic Sea and Kaliningrad Oblast, a Russian exclave, to the north...
and the Soviet Union
Soviet Union
The Soviet Union , officially the Union of Soviet Socialist Republics , was a constitutionally socialist state that existed in Eurasia between 1922 and 1991....
. The German population in this area was expelled by force, together with the Germans of the Sudetenland
Sudetenland
Sudetenland is the German name used in English in the first half of the 20th century for the northern, southwest and western regions of Czechoslovakia inhabited mostly by ethnic Germans, specifically the border areas of Bohemia, Moravia, and those parts of Silesia being within Czechoslovakia.The...
and the German populations scattered throughout the rest of Eastern Europe
Eastern Europe
Eastern Europe is the eastern part of Europe. The term has widely disparate geopolitical, geographical, cultural and socioeconomic readings, which makes it highly context-dependent and even volatile, and there are "almost as many definitions of Eastern Europe as there are scholars of the region"...
. Between 0.5 and 2 million died in the process, depending on source. (See also Expulsion of Germans after World War II
Expulsion of Germans after World War II
The later stages of World War II, and the period after the end of that war, saw the forced migration of millions of German nationals and ethnic Germans from various European states and territories, mostly into the areas which would become post-war Germany and post-war Austria...
). As a result the population density
Population density
Population density is a measurement of population per unit area or unit volume. It is frequently applied to living organisms, and particularly to humans...
grew in the "new" Germany that remained after the dismemberment.
As agreed at Potsdam, an attempt was made to convert Germany into a pastoral and agricultural nation, which would only be allowed light industry. Huge amounts of factories were dismantled as reparations or simply destroyed (see also the Morgenthau Plan
Morgenthau Plan
The Morgenthau Plan, proposed by United States Secretary of the Treasury Henry Morgenthau, Jr., advocated that the Allied occupation of Germany following World War II include measures to eliminate Germany's ability to wage war.-Overview:...
). Due to these policies large numbers of German civilians died in the years following the unconditional surrender in what would eventually become West Germany
West Germany
West Germany is the common English, but not official, name for the Federal Republic of Germany or FRG in the period between its creation in May 1949 to German reunification on 3 October 1990....
.
Millions of German prisoners of war were for several years used as forced labor, both by the Western Allies
Western Allies
The Western Allies were a political and geographic grouping among the Allied Powers of the Second World War. It generally includes the United Kingdom and British Commonwealth, the United States, France and various other European and Latin American countries, but excludes China, the Soviet Union,...
and the Soviet Union
Soviet Union
The Soviet Union , officially the Union of Soviet Socialist Republics , was a constitutionally socialist state that existed in Eurasia between 1922 and 1991....
.
Beginning immediately after the German surrender and continuing for the next two years the U.S. pursued a vigorous program to harvest all technological and scientific know-how as well as all patents in Germany. John Gimbel comes to the conclusion, in his book Science Technology and Reparations: Exploitation and Plunder in Postwar Germany, that the "intellectual reparations" taken by the U.S. and the UK amounted to close to 10 billion dollars--equivalent to around 100 billion dollars in 2006 (Ref: Norman M. Naimark The Russians in Germany pg. 206) (see also Operation paperclip
Operation Paperclip
Operation Paperclip was the Office of Strategic Services program used to recruit the scientists of Nazi Germany for employment by the United States in the aftermath of World War II...
).
Rehabilitation and "denazification"
As soon as 1945, the Allied forces worked heavily on removing Nazi symbolism from Germany, this process was dubbed "denazificationDenazification
Denazification was an Allied initiative to rid German and Austrian society, culture, press, economy, judiciary, and politics of any remnants of the National Socialist ideology. It was carried out specifically by removing those involved from positions of influence and by disbanding or rendering...
."
By mid 1947 the start of the Cold War
Cold War
The Cold War was the continuing state from roughly 1946 to 1991 of political conflict, military tension, proxy wars, and economic competition between the Communist World—primarily the Soviet Union and its satellite states and allies—and the powers of the Western world, primarily the United States...
had led to a reconsideration of policy, as the Germans were seen as possible allies in the conflict and the dawning realization that the Economic recovery of Europe was dependent on the reactivation of German industry. With the repudiation of the U.S. occupation directive JCS 1067 in July 1947 the Western Allies were able to start planning for the introduction of a currency
Currency
In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply...
reform
Reform
Reform means to put or change into an improved form or condition; to amend or improve by change of color or removal of faults or abuses, beneficial change, more specifically, reversion to a pure original state, to repair, restore or to correct....
to halt the rampant inflation. This type of act to help the German economy had been prohibited by the directive and its execution also led to the eventual division of Germany. (see also Berlin Blockade
Berlin Blockade
The Berlin Blockade was one of the first major international crises of the Cold War and the first resulting in casualties. During the multinational occupation of post-World War II Germany, the Soviet Union blocked the Western Allies' railway and road access to the sectors of Berlin under Allied...
)
In 1948, the Deutsche Mark
German mark
The Deutsche Mark |mark]], abbreviated "DM") was the official currency of West Germany and Germany until the adoption of the euro in 2002. It is commonly called the "Deutschmark" in English but not in German. Germans often say "Mark" or "D-Mark"...
replaced the occupation
Military occupation
Military occupation occurs when the control and authority over a territory passes to a hostile army. The territory then becomes occupied territory.-Military occupation and the laws of war:...
currency
Currency
In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply...
as the currency
Currency
In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply...
of the Western occupation zones, leading to their eventual economic recovery.
In 1947 the Marshall plan
Marshall Plan
The Marshall Plan was the large-scale American program to aid Europe where the United States gave monetary support to help rebuild European economies after the end of World War II in order to combat the spread of Soviet communism. The plan was in operation for four years beginning in April 1948...
, initially known as the "European Recovery Program" was initiated. In the years 1947-1952 some $13 billion of economic and technical assistance—-equivalent to around $130 billion in 2006--were allocated to Western Europe. Despite protests from many beneficiaries the Marshall plan, although in the less generous form of loans, was in 1949 extended to also include the newly formed West Germany
West Germany
West Germany is the common English, but not official, name for the Federal Republic of Germany or FRG in the period between its creation in May 1949 to German reunification on 3 October 1990....
. In the years 1949-1952 West Germany received loans which totaled $1.45 billion dollars--equivalent to around $14.5 billion in 2006.
The country subsequently began exporting local products, reduced unemployment
Unemployment
Unemployment , as defined by the International Labour Organization, occurs when people are without jobs and they have actively sought work within the past four weeks...
, increased food production, reduced the black market, and slowly, but continuously, improved the country's standard of living
Standard of living
Standard of living is generally measured by standards such as real income per person and poverty rate. Other measures such as access and quality of health care, income growth inequality and educational standards are also used. Examples are access to certain goods , or measures of health such as...
.
By 1950 the UK and France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
were finally forced to stop the dismantling of German heavy industry. http://www.wdr.de/themen/politik/deutschland/wiederaufbau/chronik/infobox/html.php?block=3&artnr=6&blockoff=3&bf=1 http://www.thyssenkrupp.com/en/konzern/geschichte_chronik_t1949.html http://www.ena.lu?lang=2&doc=16822.
The country's economic recovery was, once it was permitted, swift and effective; during the mid-1950s, the unemployment rate in Germany was so low that it led to the influx of Turkish
Turkey
Turkey , known officially as the Republic of Turkey , is a Eurasian country located in Western Asia and in East Thrace in Southeastern Europe...
immigrants into the country's labor force
Labor force
In economics, a labor force or labour force is a region's combined civilian workforce, including both the employed and unemployed.Normally, the labor force of a country consists of everyone of working age In economics, a labor force or labour force is a region's combined civilian workforce,...
. Germany's economy continued to improve until the 1973 oil crisis
1973 oil crisis
The 1973 oil crisis started in October 1973, when the members of Organization of Arab Petroleum Exporting Countries or the OAPEC proclaimed an oil embargo. This was "in response to the U.S. decision to re-supply the Israeli military" during the Yom Kippur war. It lasted until March 1974. With the...
. (see also Wirtschaftswunder
Wirtschaftswunder
The term describes the rapid reconstruction and development of the economies of West Germany and Austria after World War II . The expression was used by The Times in 1950...
))
Rehabilitation Milestones
- In 1946 the US Secretary of StateUnited States Secretary of StateThe United States Secretary of State is the head of the United States Department of State, concerned with foreign affairs. The Secretary is a member of the Cabinet and the highest-ranking cabinet secretary both in line of succession and order of precedence...
(foreign minister) made the speech Restatement of Policy on GermanyRestatement of Policy on Germany"Restatement of Policy on Germany" is a famous speech by James F. Byrnes, the United States Secretary of State, held in Stuttgart on September 6, 1946.Also known as the "Speech of hope" it set the tone of future U.S...
, repudiating the Morgenthau planMorgenthau PlanThe Morgenthau Plan, proposed by United States Secretary of the Treasury Henry Morgenthau, Jr., advocated that the Allied occupation of Germany following World War II include measures to eliminate Germany's ability to wage war.-Overview:...
policies.
- In 1947 the JCS 1067 was rescinded.
- In 1948 the Deutsche Mark replaced the almost worthless Reichsmark in the Allied western occupation zones initiating the start of economic recovery in western Germany
- In 1949 West Germany is formed from the Western occupation zones, with the exception of the SaarlandSaarlandSaarland is one of the sixteen states of Germany. The capital is Saarbrücken. It has an area of 2570 km² and 1,045,000 inhabitants. In both area and population, it is the smallest state in Germany other than the city-states...
.
- In 1949 the Marshall PlanMarshall PlanThe Marshall Plan was the large-scale American program to aid Europe where the United States gave monetary support to help rebuild European economies after the end of World War II in order to combat the spread of Soviet communism. The plan was in operation for four years beginning in April 1948...
is extended to also include West Germany.
- In 1950 dismantling of West German heavy industry ends.
- In 1955 the military occupation of West Germany ends.
- In 1955 NATO, which was formed in 1948, allowed West Germany to join.
- In 1957 France returned the SaarlandSaarlandSaarland is one of the sixteen states of Germany. The capital is Saarbrücken. It has an area of 2570 km² and 1,045,000 inhabitants. In both area and population, it is the smallest state in Germany other than the city-states...
to West Germany.
- In 1957 West Germany was one of the founding nations of the European Economic CommunityEuropean Economic CommunityThe European Economic Community The European Economic Community (EEC) The European Economic Community (EEC) (also known as the Common Market in the English-speaking world, renamed the European Community (EC) in 1993The information in this article primarily covers the EEC's time as an independent...
.
- In 1973 West Germany joined the United NationsUnited NationsThe United Nations is an international organization whose stated aims are facilitating cooperation in international law, international security, economic development, social progress, human rights, and achievement of world peace...
(formed in 1945).
- In 1991 a unified Germany was allowed by the Allies of WW2 to become fully sovereignSovereignA sovereign is the supreme lawmaking authority within its jurisdiction.Sovereign may also refer to:*Monarch, the sovereign of a monarchy*Sovereign Bank, banking institution in the United States*Sovereign...
after signing the Treaty on the Final Settlement with Respect to GermanyTreaty on the Final Settlement with Respect to GermanyThe Treaty on the Final Settlement With Respect to Germany, was negotiated in 1990 between the Federal Republic of Germany and the German Democratic Republic , and the Four Powers which occupied Germany at the end of World War II in Europe: France, the Soviet Union, the United Kingdom, and the...
.
See also
- GARIOAGARIOAGovernment and Relief in Occupied Areas was a program under which the US after the 1945 end of World War II from 1946 onwards provided emergency aid to the occupied nations, Japan, Germany, Austria. The aid was predominantly in the form of food to alleviate starvation in the occupied...
- The industrial plans for Germany
- Restatement of Policy on GermanyRestatement of Policy on Germany"Restatement of Policy on Germany" is a famous speech by James F. Byrnes, the United States Secretary of State, held in Stuttgart on September 6, 1946.Also known as the "Speech of hope" it set the tone of future U.S...
- The President's Economic Mission to Germany and AustriaThe President's Economic Mission to Germany and AustriaThe President's Economic Mission to Germany and Austria was a series of reports commissioned by US President Harry S. Truman and written by former US President Herbert Hoover....
- VergangenheitsbewältigungVergangenheitsbewältigungVergangenheitsbewältigung is a composite German word that describes processes of dealing with the past , which is perhaps best rendered in English as "struggle to come to terms with the past"...