1. European Recovery Program (ERP) A United States program for economic aid for Europe after WWII. First announced on June 5, 1947 Secretary of State George C. Marshall

2. Why was it needed? World War two covered more territory than in WWI. Countries were left in ruins. Many civilians had been left homeless. Most of the country's agricultural was devastated. Railways, bridges and roads were destroyed. Which left all the European Countries isolated from each other. The war also left Europe's treasuries exhausted.

3. What the Plan intended to do In order to help Europe recover from the war three things needed to be done. 1. An increase in European agricultural and industrial production. 2. Re-establishment of sound currencies, budgets, and finances in individual European countries. 3. Stimulation of global trade between European countries and among Europe and the rest of the world. Stop the spread of Communism.

4. How to begin The European countries who were offered help had to agree upon a plan to be approved by the American Government. 16 countries accepted our offer. July 12, 1947 a conference of the different countries met in Paris. Established the Committee of European Economic Cooperation (CEEC). The final report called for a four-year program to –promote production, create internal financial stability, extend economic support among the involved countries.

5. U.S Response The State department would accept the proposals of the CEEC on several different conditions. The participating countries: –Must make specific commitments to fulfill production programs; take immediate stets to create financial stability; express a determination to reduce trade barriers; consider alternate source of dollar credits; give a formal recognition to their common objective and take responsibility attaining them; and establish and international organization to act as a coordinating agency to implement the program.

6. Congress passes the bill April 3, 1948 the Economic Cooperation Act was made into law. Congress authorized $5 Billion to be given to the ERP. Over the next four year over $13 Billion would be spent under the plan.

7. Programs set up by the Plan U.S Economic Cooperation Administration (ECA) –Provided dollar assistance to Europe to purchase commodities-food, fuel, and machinery. Gave funds for certain projects. The European-run organization Insured the participants fulfilled their joint obligations to adopt policies encouraging trade and increased production.

8. What the Marshall Plan did Greece Modernize industries, improve their agriculture, build power plants, and roads. Ireland Between 1948 and 1951 received about $148 millions. Agricultural projects, livestock improvements, education, state building programs, and transportation. Turkey Received $353 million in economic and military assistance. Germany The Marshall Plan help Germany to find political union and to be peacefully accepted by other European countries. Sweden Received $120 million from the ERP. Buy raw materials and produce goods. Norway Received $256 million. No country received more aid through the ERP. Investments in the aluminum industry, and several mines were modernized.

9. The End of the Plan By 1951 industrial production for all countries was 41% above the 1938 level. Trade within Europe has doubled since 1947. The spreading of communism in Europe was no longer a threat. Communism had declined almost one-third between 1946 and 1951. Came to an end in December 1950