After the end of World War II, the economic state of Europe was bleak. US Secretary of State George Marshall in 1947 proposed a plan for the recovery of the European economy, which was officially called the "Program for the recovery of Europe", and unofficially - the "Marshall plan".
Europe after the war
The Second World War became not only the largest and most bloody, but also the most destructive. As a result of massive bombing from both warring sides, many buildings in Europe were destroyed, and significant casualties among the population caused a tangible economic recession. In addition, Western Europe was fragmented, since during the war many states were on different sides of the conflict.
Unlike European countries, the United States of America did not suffer such significant economic and human losses, therefore it had the opportunity to provide assistance to Europe. In addition, the United States knew that it needed to act against a new potential enemy - the USSR - and sought to strengthen the positions of its opponents, that is, the capitalist European states, uniting them in the face of the communist threat.
The plan, which was written by George Marshall, assumed the restoration and modernization of the economies of the affected countries, the provision of financial assistance, the development of industry and foreign trade. It was planned to use loans and subsidies as one of the main instruments for implementing the program.
Implementation of the Marshall Plan
The program began in 1948, and it was curtailed in 1968. 16 states located in Western Europe became the objects of the Marshall plan. America put forward a number of conditions, the observance of which was necessary for participation in the program. One of the most politically significant demands was the exclusion of representatives of the communist parties from the governments of the participating countries. This allowed the United States to significantly weaken the position of the communists in Europe.
In addition to European countries, Japan and several states of Southeast Asia received assistance under the Marshall Plan.
There were other important restrictions as well, since America was guided, among other things, by its own interests. For example, it was the United States that chose which goods would be imported into the affected states. This applied not only to food, but also to means of production, machine tools, raw materials and equipment. In some cases, this choice turned out to be not the most optimal from the point of view of Europeans, but the overall benefits of participating in the program were significantly higher.
The countries of Eastern Europe did not fall under the influence of the Marshall Plan, since the leadership of the USSR, fearing for their interests, insisted that the Eastern European states did not apply for participation in the reconstruction program. As for the USSR itself, it did not fit the criteria of the Marshall plan from a purely formal point of view, since it did not declare the existing deficit.
In the first three years of the plan, the United States transferred more than $ 13 billion to Europe, with the United Kingdom receiving about 20% of this amount.
The results of the Marshall plan turned out to be quite effective: the European economy received a powerful impetus, which made it possible to quickly leave the war, the influence of the USSR was reduced, and the middle class was not only restored to its pre-war positions, but also significantly strengthened, which ultimately ensured the political and economic stability.
