The Marshall Plan was the idea behind a speech made by U.S. Secretary of State, George C. Marshall that suggested that the United States assist Europe with their economic devastation; however, there was no actual “plan.” Once the plan was approved and became the European Recovery Program it lasted from April 1948 to December 1951. During that time there was approximately $12.5 billion dollars given to 12 European countries. The Marshall Plan did have its faults but overall was a success in assisting European economy to get back on its feet. The cost of World War II was immense among the European states. The United States had been sending aid to European states, even before the U.S. joined the war in December of 1941. In August of 1941 the
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The Plan created a new relationship between government, labor, and industry in European countries that was much more reliable. There were many successes of the European Recovery Program, regardless of if the plan was an overall success or not. The European Recovery Program “kept inflation down temporarily” (History Unbound) which allowed for countries to work on rebuilding their economies without their money losing value every time they made some progress. “It revived trade, both within Europe and the larger Atlantic economy” (History Unbound) and allowed vital imports to be delivered which allowed for European countries to rely on trade to rebuild their economy. Trade had been a major part of European economy before the war and it had been hurt by the war and was a major piece of the economic struggles of European economy following the war. The European Recovery Program “aided in the formation of capital [which] paved the way for long term economic growth” (History Unbound). By paving the way for economic growth over the long term the Plan made sure that the successes they created would not be temporary. Stabilizing the economy gave Europeans a higher standard of living which would not have been able to be achieved without the aid of the European Recovery Program. There were issues such as the return of inflation in 1951, or the lagging agricultural production. These issues are minimal compared to the issues that existed and were developing before the United States implemented the European Recovery Program and began
The Plan created a new relationship between government, labor, and industry in European countries that was much more reliable. There were many successes of the European Recovery Program, regardless of if the plan was an overall success or not. The European Recovery Program “kept inflation down temporarily” (History Unbound) which allowed for countries to work on rebuilding their economies without their money losing value every time they made some progress. “It revived trade, both within Europe and the larger Atlantic economy” (History Unbound) and allowed vital imports to be delivered which allowed for European countries to rely on trade to rebuild their economy. Trade had been a major part of European economy before the war and it had been hurt by the war and was a major piece of the economic struggles of European economy following the war. The European Recovery Program “aided in the formation of capital [which] paved the way for long term economic growth” (History Unbound). By paving the way for economic growth over the long term the Plan made sure that the successes they created would not be temporary. Stabilizing the economy gave Europeans a higher standard of living which would not have been able to be achieved without the aid of the European Recovery Program. There were issues such as the return of inflation in 1951, or the lagging agricultural production. These issues are minimal compared to the issues that existed and were developing before the United States implemented the European Recovery Program and began