Marshall Plan By: Ryan Calderon & Chris Camacho Period 5.

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Marshall Plan By: Ryan Calderon & Chris Camacho Period 5

What is the Marshall plan? The Marshall Plan is reconstruction plan for Europe after World War two.

George C. Marshall Born Dec 31, 1880 American military leader Chief of staff of the army Secretary of state Secretary of defense Noted the “organizer of victory” by Winston Churchill for his leadership of the allied victory in WW2 Awarded the Nobel Peace prize In 1953 for the Marshall Plan

Why the Marshall Plan? The Marshall Plan aided European nations with money to rebuild their cities and help their economy Marshall needed the plan to keep his allies on his side to fight against the soviet union The Marshall Plan would only stay in effect if Europe united causing a strong front against communists

After World War Two Economy of Europe was ruined. Millions of Europeans were left homeless. Many of Europe's great cities were ruined.

The Day June 5,1957, Marshall announces at Harvard University the final plan.

Austria 6,935 677.8 Belgium & Luxembourg 8,935 559.3 Denmark 4,271 273.0 France 41,829 2,713.6 Germany, West 49,986 1,390.6 Greece 7,566 706.7 Iceland 143 29.3 Ireland 2,963 147.5 Italy 47,105 1,508.8 Netherlands 10,114 1,083.5 Norway 3,265 255.3 Portugal 8,443 51.2 Sweden 7,014 107.3 United Kingdom 50,127 3,189.8

The Marshall Plan In Action Effected the cold war $13 Billion worth of aid was given Helped move communists groups out of power

Soviet Response The Soviet Union opposed the plan. Stalin was at first interested in the plan. He felt that the Soviet Union stood in a good position after the war and would be able to dictate the terms of the aid. He thus dispatched foreign minister Vyacheslav Molotov to Paris to meet with Bevin and Bidault. The British and French leadership shared the American lack of genuine interest in Soviet participation, and they presented Molotov with conditions that the Soviets could never accept. The most important condition was that every country to join the plan would need to have its economic situation independently assessed, scrutiny to which the Soviets could not agree. Bevin and Bidault also insisted that any aid be accompanied by the creation of a unified European economy, something incompatible with the strict Soviet command economy. Molotov left Paris, rejecting the plan. On July 12, a larger meeting was convened in Paris. Every country of Europe was invited, with the exceptions of Spain (which had stayed out of World War II but had sympathized with the Axis powers) and the small states of Andorra, San Marino, Monaco, and Liechtenstein. The Soviet Union was invited with the understanding that it would refuse. The states of the future Eastern Bloc were also approached, and Czechoslovakia and Poland agreed to attend. In one of the clearest signs of Soviet control over the region, the Czechoslovakian foreign minister, Jan Masaryk, was summoned to Moscow and berated by Stalin for thinking of joining the Marshall Plan. Polish Prime minister Josef Cyrankiewicz was rewarded by Stalin for the Polish rejection of the Plan. Russia rewarded Poland with a huge 5 year trade agreement, 450 million in credit, 200,000 tons of grain, heavy machinery and factories. Stalin saw the Plan as a significant threat to Soviet control of Eastern Europe and believed that economic integration with the West would allow these countries to escape Soviet guidance. The Americans shared this view and hoped that economic aid could counter the growing Soviet influence. They were not too surprised, therefore, when the Czechoslovakian and Polish delegations were prevented from attending the Paris meeting. The other Eastern European states immediately rejected the offer. Finland also declined in order to avoid antagonizing the Soviets. The Soviet Union's "alternative" to the Marshall plan, which was purported to involve Soviet subsidies and trade with western Europe, became known as the Molotov Plan, and later, the COMECON. In a 1947 speech to the United Nations, Soviet deputy foreign minister Andrei Vyshinsky said that the Marshall Plan violated the principles of the United Nations. He accused the United States of attempting to impose its will on other independent states, while at the same time using economic resources distributed as relief to needy nations as an instrument of political pressure.