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The Economic Division of Europe

The Economic Division of Europe. The Truman Doctrine.

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The Economic Division of Europe

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  1. The Economic Division of Europe

  2. The Truman Doctrine • Truman made a key speech to the U.S. Congress on 12 March 1947. In this speech he put forward the belief that the United States had the obligation to ‘to support free peoples who are resisting attempted subjugation by armed minorities or by outside pressures.’ • This became known as the Truman Doctrine. • President Harry Truman declared that any country that was under threat of Communist takeover would receive aid and assistance from the United States. • Truman wanted to stop Communism from spreading any further than it already had.

  3. The Truman Doctrine • Although the Truman Doctrine was important in determining America’s anti-communism actions. It was also important because it declared that the West had a responsibility to help former colonies ‘develop’. • Colonies were no longer considered a ‘white man’s burden’, which is the old imperialist viewpoint, but rather people who needed assistance to develop themselves. • The Truman Doctrine was a radical change for U.S. foreign policy which had traditionally been isolationist.

  4. “I believe that it must be the policy of the United States to support free peoples who are resisting attempted subjugation by armed minorities or by outside pressures…The free peoples of the world look to us for support in maintaining those freedoms. If we falter in our leadership, we may endanger the peace of the world”

  5. American Foreign Policy - Isolationism “The great rule of conduct for us, in regard to foreign nations, is in extending our commercial relations, to have with them as little political connection as possible. Europe has a set of primary interests, which to us have none, or a very remote relation.. Hence she must be engaged in frequent controversies the causes of which are essentially foreign to our concerns. Hence, therefore, it must be unwise in us to implicate ourselves, by artificial ties, in the ordinary vicissitudes of her politics, or the ordinary combinations and collisions of her friendships or enmities.” George Washington’s Farewell Address (1796) Isolationism refers to America’s longstanding reluctance to become involved in European alliances and wars. Isolationists held the view that America’s perspective on the world was difference from that of European societies and that America could advance the cause of freedom and democracy by means other than war. “In the wars of the European powers, in matters relating to themselves, we have never taken part, nor does it comport with our policy, so to do.” James Monroe (1823)

  6. The Marshall Plan • In January 1947, the U.S. Secretary of State, James Byrnes, resigned and was replaced by General George Marshall. • Marshall believed that the economies of Western Europe needed immediate help from the USA. • In an address at Harvard University of on the 5th June 1947, outlined his economic plan. • This became known as the “Marshall Plan” • The ‘Marshall Plan’ seemed to follow quite naturally on from the Truman Doctrine • It was the economic extension of the ideas outlined by the President in the ‘Truman Doctrine’ General George Marshall

  7. Dollar Imperialism? • The Marshall Plan was designed to give immediate economic help to Europe. • The problem of whether or not to ‘allow’ the Soviets to join the plan, or indeed to avoid specifically excluding them, was solved by setting down strict criteria to qualify for American economic aid. • This involved allowing the United States to investigate the financial records of applicant countries. The USSR would never tolerate this condition. • The United States invited the USSR to join the Marshall Plan and claimed that this ‘aid’ was not directed for or against any country or doctrine.

  8. Dollar Imperialism? • The stated aims of the Marshall Plan aid were to: • Revive European working economies so that political and social stability could ensue • Safeguard the future of the U.S. economy • However, to avoid the interpretation that the United States was in any way coercing European governments to accept the aid plan, it was made clear that the ‘initiative must come from Europe’. • The bill allocating the four-year aid programmer of $17 billion did not pass the U.S. Congress until March 1948.

  9. Soviet Reaction to the Marshall Plan • The Soviets rejected the Marshall Plan. This was probably was the Americans intended them to as the Americans had asked to see the recipients’ financial records. • The Soviets saw this as ‘dollar imperialism’. • This means that the Soviet Union felt the USA was establishing a European empire, and that its method was economic domination and dependence, which would ultimately give it political control.

  10. Soviet Reaction to the Marshall Plan “The so-called Truman doctrine is a particularly glaring example of the way in which the principles of the United Nations are violated, of the way in which the United Nations is ignored. The United States has moved towards giving up the idea of international co-operation and joint action by the great powers. It has tried to force its will on the other independent countries, whilst at the same time obviously using the money distributed as relief to needy countries as an instrument of political pressure. This is clearly proved by the measures taken by the United States government with regard to Greece and Turkey, which ignore and bypass the United Nations. This policy conflicts with the principle expressed by the General Assembly in its resolution of 11th December 1946, which declares that relief supplies to other countries should, at no time, be used as a political weapon. The Marshall Plan is merely a variant of the Truman Doctrine. It is becoming more and more evident to everyone that the implementation of the Marshall Plan will mean placing European countries under the economic and political control of the United States and direct interference by the latter in those countries. Moreover this plan is an attempt to split Europe into two camps and, with the help of the United Kingdom and France, to complete the formation of a bloc of several European countries hostile to the interests of the democratic countries Soviet Foreign Minister Vyshinsky, Speech to the United Nations in September 1947

  11. Significance of the Marshall Plan • Over $13billion of aid given to Western Europe between 1948-1952 • Created strong trade markets for the US • Strengthened West Germany to defend Communism. “The plan’s approach…soon evolved into military alliances. Truman proved to be correct in saying that the Truman Doctrine and the Marshall Plan ‘are two halves of the same walnut.’ Americans willingly acquiesced as the military aspects of the doctrine developed into quite the larger part.” Walter LeFeber “Churchill’s words won the war. Marshall’s words won the peace.” Dirk Stikker Foreign Minister, The Netherlands 1948-52 “The Marshall Speech…was greeted as a great act of statesmanship and as an expression of what we felt was genuine idealism on the part of the United States.” Halvard Lange Minister of Foreign Affairs, Norway 1946-65

  12. The Soviet Response - COMECOM In response to the Marshall Plan, the Soviets came up with the Molotov Plan. • This was a series of bilateral trade agreements aimed to tie the economies of Eastern Europe to the USSR. • The outcome was the creation of COMECOM in January 1949 • COMECOM was the Council for Mutual Economic Assistance. • This was a centralised agency that linked Eastern bloc countries to Moscow. • It was designed to ‘stimulate’ and control their economic development, and support the collectivisation of agriculture and the development of heavy industry.

  13. Developments behind the ‘Iron Curtain’ Whilst the United States was rolling out the ‘Truman Doctrine’ and the ‘Marshall Plan’ there were two important developments behind the Iron Curtain. These were: • Cominform • Stalin’s ‘Two Camps’ Doctrine

  14. Cominform • This was the Communist Information Bureau • Established in September 1947 • Its aim was to be an instrument of control for Stalin over the Communist parties of other countries. • Initially it comprised of Communists from the USSR, Yugoslavia, France, Italy, Poland, Bulgaria, Hungary and Romania. • The West was concerned by this organisations because they were scared that it would actively spread Communism and destabilize the democratic governments in the West’s ‘own sphere of influence’ – Western Europe.

  15. Stalin’s ‘Two Camps’ Doctrine • During the 1920s and 1930s Stalin developed the idea of Europe being divided into two opposing camps • This idea became the firm foundation of Soviet foreign policy post-WW2 • This policy was reinforced in Stalin’s ‘two camps’ speech in February 1946 (Before the ‘Iron Curtain’ speech) • The ‘first’ camp was and American developed ‘anti-soviet’ bloc of countries that were economically dependent upon the United States. This bloc included countries from Western Europe, South America and Asia. • The ‘second’ camp was the USSR and the ‘new democracies’ in Eastern Europe. Included in this group were countries deemed ‘associated’ or ‘sympathetic’ to the Soviet cause. These included: Indonesia, Vietnam, India, Egypt and Syria • This Soviet doctrine was very similar to the ‘new world order’ outlined by Truman.

  16. Red Army occupation of Eastern Europe: 1945-1947 • The Soviet Union controlled various Eastern European states by creating what became known as a ‘satellite empire’. • These countries kept their separate legal identities – separate from each other and the USSR. • However they were tied to the USSR by the following factors: • Soviet military power (Warsaw pact 1955) • ‘Salami tactics’ which transferred the machinery of government into the hands of obedient, pro-Soviet Communists • State police and security/spy networks • COMECON

  17. The Czechoslovakian Coup: February 1948 • By 1947, the USSR was in control over most of Eastern Europe. However the only hold out country was Czechoslovakia. • The tactics that were employed in other Eastern European countries were taking too long. So Stalin decided to orchestrate a coup in order to oust the non-Communist members of the Czechoslovakian government. • In addition to this, Stalin saw Czechoslovakia as moving towards the West. This was because Czechoslovakia had expressed interest in receiving aid from the Marshall Plan.

  18. The Czechoslovakian Coup: February 1948 • In February 1948, Stalin organised pressure on the Czechoslovakian coalition government. • 12 non-communist members were forced to resign • The Czech Communist party demanded the formation of a Communist-led government. • Under heavy pressure from Moscow, coupled with loosely veiled threats of armed intervention, Czech President Eduard Benes agreed. • Two weeks later, the staunchly independent Czech Foreign Minister, Jan Masaryk, was found dead, in suspicious circumstances. • President Truman responded to this by calling the events in Czechoslovakia a ‘coup’.

  19. The Czechoslovakian Coup: February 1948 • At the time of the Czechoslovakian Coup the funding for the Marshall Plan had not yet been passed through the United States Congress. • This was due to the hesitation over the large sum of money that the United States was investing in the plan. • President Truman was able to use the events in Czechoslovakia to push the bill through Congress. • The ‘Czech Coup’ was directly responsible for the implementation of the Marshall Plan in Europe.

  20. British Cartoon 1946

  21. Berlin Blockade 1948 • In March 1948, Stalin started putting a stranglehold on Western interests in West Berlin, through transport restrictions. • In response to the new currency in Western sectors of Berlin, Stalin began a total blockade of Berlin on 23-24 June 1948. • This blockade meant that the roads, railways and waterways linking West Berlin to the Western sector of Germany were all closed. • The supply of electricity from East to West was also cut. • This was the first crisis of the Cold War and direct military confrontation was always a possibility. • The West did not try to defeat the blockade by force, rather supplied Berlin from the air. This became known as the Berlin airlift. • There was always the threat of a Soviet military response during the airlift. • By early 1949, it was clear that Stalin’s gamble was failing and he finally ended the blockade in May of that year.

  22. Berlin Blockade 1948 • Facts about the airlift: • The blockade lasted 318 days (11 months) • In the Winter of 1948-49 Berliners lived on dried potatoes, powdered eggs and cans of meat. They had 4 hours of electricity a day. • 275,000 flights carried 1.5 million tonnes of supplies. A plane landed every three minutes. • On 16 April 1949, 1400 flights brought 13,000 tonnes of supplies in one day – Berlin only needs 6,000 tonnes a day to survive. • Some pilots dropped chocolate and sweets • The USA stationed B-29 bombers (which could carry an atomic bomb) in Britain

  23. The Bird Watcher British cartoon from 1948.

  24. Berlin Blockade 1948 What caused it? [CABAN] • Cold War was just getting started (eg. Czechoslovakia, February 1948) • Aims • Stalin wanted to destroy Germany – Britain and the USA wanted to rebuild Germany • Bizonia • The Soviets were taking German machinery back to the USSR. In January 1947, Britain and the USA joined their two zones together to try to get German industry going. They called their new zone ‘Bi-zonia’ (two zones). • American Aid • Congress voted for Marshall Aid on 31 March 1948. Immediately, the Soviets stated searching all road and rail traffic into Berlin. • New Currency • On 1st June 1948, America and France announced that they wanted to create the new country of West Germany; and on 23rd June 1948 they introduced a new currency into ‘Bizonia’ and western Berlin. The next day the Russians stopped all road and rail traffic into Berlin.

  25. Berlin Blockade 1948 What were the results? [CENA] • Cold War got worse. • It almost started an all-out war. • East and West Germany • Germany was officially split into two different countries. America, Britain and France united their zones into the Federal Republic of Germany (West Germany). In October 1949, Stalin set up the German Democratic Republic (East Germany). • NATO and the Warsaw Pact • In 1949, the western Allies set up NATO (North Atlantic Treaty Organisation) as a defensive alliance against Russia. NATO countries surrounded Russia; in 1955, the Soviet Union set up the Warsaw Pact – an alliance of Communist states. • Arms Race • After Berlin, the USA and the USSR realised that they were in a competition for world domination. They began to build up their armies and weapons.

  26. NATO The North Atlantic Treaty Signed Washington D.C. – 4 April 1949 The Parties to this Treaty reaffirm their faith in the purposes and principles of the Charter of the United Nations and their desire to live in peace with all peoples and governments. They are determined to safeguard the freedom, common heritage and civilisation of their peoples, founded on the principles of democracy, individual liberty and the rule of law. They seek to promote stability and well-being in the North Atlantic area. They are resolved to unite their efforts for collective defence and for the preservation of peace and security. • NATO = North Atlantic Treaty Organisation • Formed in April 1949 • Original 12 members were: Belgium, Canada, Denmark, France, Iceland, Italy, Luxembourg, Netherlands, Norway, Portugal, Britain and USA. • Greece and Turkey joined in 1952 • The Soviet Union tried to join NATO but was turned down

  27. NATO member countries in 1955

  28. The Warsaw Pact • This was the Soviet reply to the establishment of NATO • Created in May 1955 • The Warsaw Pact was officially the ‘Treaty of Friendship, Cooperation and Mutual Assistance’. • It was an alliance of the East European socialist states. • Each member of the Warsaw Pact had to pledge to defend other members if they were attacked. • Member states were: Bulgaria, Czechoslovakia, East Germany, Hungary, Poland, Romania, Albania and the Soviet Union.

  29. Europe’s position in 1949 • Europe was now clearly divided along political, economic and military lines. • Germany was not to be reunited as had been the original aim of the Allies at the end of World War Two. There were now two clear states, although neither side was prepared to recognise the existence of the other. • The USA had abandoned its peacetime policy of avoiding commitments and was now involved economically – through the Marshall Plan – and militarily – through NATO – in Europe. • No peace treaty had actually been signed with Germany, which meant that the borders of Central Europe were not formalised. This was particularly worrying for Poland as it now included territory taken from Germany in 1945. • Western countries had developed a greater sense of unity due to the Soviet threat.

  30. What did this mean internationally? • From this time on, many conflicts, wherever they were in the world, would be seen as part of the struggle between Communism and Capitalism. • The USA’s policy of containment, which had been developed to fight Communism in Europe, was to lead the USA into resisting Communism anywhere in the world where it perceived that Communism was a threat. This would involve the USA fighting in both the Korean War and the Vietnam War. • The United Nations was never to play the role envisioned in the original discussions between Roosevelt and Churchill at the time of its foundation. With the USA and the USSR now opposing each other and able to use their respective vetoes, the UN could not act effectively to resolve international conflicts.

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