What were the original aims of the Western occupants?
To eliminate Germany's war potential; provide reparations and allowing enough reconstruction to satisfy the immediate needs of the Germans.
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When was the Leve-of-Industry Plan agreed by the Four Powers?
March 1946
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What level, according to this plan, should should the standard of living in Germany be kept to?
Its 1932 level, but never above that of other European countries.
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What should industrial capacity be?
50-55% of the 1938 level.
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How many plants should be dismantled?
1546
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What should be banned?
Armaments and war-related industry.
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What should be expanded?
Coal output to provide for reparations and reconstruction.
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What was the American suggestion on reparations?
That they should only be paid when Germany was econominally self-supporting and that the seizures in the Soviet zones should be counted as part of the reparations due.
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What was the Russian response?
Refusal.
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What happened in May 1946 as a result of this?
Lucius D. Clay (American govener) announced that America would not provide the Russians with goods from their zone until they stopped acting independently.
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What was the Russian reaction?
The Russians stopped delivering agricultural products to western sectors and began obstructing the administrative work in all four sectors.
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Why did the Americans fear a weakened western economy?
They believed it would leave it open to a communist takeover thanks to a lack of co-operation and the spread of communism in the East.
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What happened in 1946?
The Paris Conference
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What was proposed?
The Americans invited the French and British to work together in an economic union.
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Who agreed?
Only the British.
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How did they propose to reduce the costs of German occupation and help Western economic recovery?
By developing an economically united west ('partial state') in the Bevin Plan of February 1946.
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Why else was this method favoured?
As a way of resisting a communist-dominated central government.
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What happened on the 6th September 1946?
The speech given at Stuttgart by James Byrnes (US Secretary of State).
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What was announced?
That heavy industries would not be distmantled if they were needed for the economy; the American zone was ready to merge economically with other zones.
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Who rejected this proposal?
The Russians (based on ideology) and the French (based on wish to see Germany permanently serparaed).
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Other cards in this set
Card 2
Front
When was the Leve-of-Industry Plan agreed by the Four Powers?
Back
March 1946
Card 3
Front
What level, according to this plan, should should the standard of living in Germany be kept to?
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