1. Who benefited from the Marshall Plan ? MS. LARSEN FLINN MIDDLE SCHOOL ROCKFORD, IL

2. U.S. fears following WWII Spread of communism Return of the Great Depression

3. Soviet Communist Threat To U.S and Western Europe Following WWII Western European Conditions HUNGER POVERTY DESPAIR 1.May cause Western Europeans to vote their own leaders into office who would align their country with the Soviet Union. 2.May cause the spread of communism.

4. Understanding Capitalism vs. Communism CAPITALIST THEORY Businesses, farms and industry are privately owned by individuals who profit from the sale of goods produced. Individuals pay for the labor of the workers. Pay is based on the efficiency and the skill of the worker. This system creates a social and economic class system. COMMUNIST THEORY Workers, as a community, own and run all businesses, industry and farms. Economically all people would benefit equally. Socially this creates a classless society with great freedom where all people would be considered equal.

5. Communist Theory to Practice Communist Theory Marxist- Leninism Stalinism Karl Marx publishes the Communist Manifesto promising a workers’ paradise Vladimir Lenin seizes control of agrarian Russia imposing limited liberty Stalin takes control of Russia Forces industrialization on the agrarian society Centralizes power and takes away freedoms from most Takes control of Eastern Block contries

6. The Marshall Plan PURPOSES – Provide Europeans with an attractive option to communism – Make the U.S. look good by giving Europeans hope by providing for immediate needs of the people – Provide financial opportunities for the U.S. to later trade with European nations – Cause Stalin (Soviet Union) to put up a “wall” dividing Europe which aided containment of communism – Cause friction between Stalin and satellite countries by forbidding acceptance of U.S. aide

7. Marshall Plan Offered to all European countries including Eastern Block countries – Provided grants rather than loans to purchase: Food Fuel Manufactured goods Marshall Plan made up 10% of the U.S. budget

8. Eastern Block Countries Stalin refuses to allow Eastern Block countries to accept Marshall Plan money from the U.S. Yugoslavia leaves the Eastern Block and accepts Marshall Plan money from the U.S.

9. Expected Outcomes of the Marshall Plan "The Marshall Plan is very much a business plan...," it concluded. "At its root is an office and factory and warehouse job. The Marshall Plan means work, and you will be one of the workers.” Kiplinger Magazine, a publication for business people, 1948

10. U.S. and WESTERN EUROPEAN TRADE W. Europeans have money to purchase goods to rebuild U.S. companies and farmers sell goods to Europe U.S. economy flourishes W. Europeans rebuild W. Europeans continue to trade with the U.S. U.S. gives grants to Western Europe

12. PEACE WITHOUT FEAR: SECURITY AND COOPERATION DANISH POSTER CELEBRATIN G THE MARSHALL PLAN

13. Tell me what you know. 1. Evaluate the political cartoon. Tell what you see : Tell what each item /person /symbol represents. At what audience is the political cartoon aimed ? What did the artist want you to understand? 2. You are a U.S. Citizen. Choose one job from the list below and tell how the Marshall Plan will help you. SecretaryFactory Worker BankerFactory Owner Farmer Politician Merchant shipper 3. How did the Western European people or nations benefit from the Marshall Plan?

14. Bibliography Gaddis, John Lewis. The Cold War. New York. Penguin.2005. http://www.loc.gov/rr/print/swann/herblock/images/s03386 u.jpg http://www.loc.gov/rr/print/swann/herblock/images/s03386 http://www.loc.gov/exhibits/marshall/images/p4647.jpg http://www.loc.gov/exhibits/marshall/mars10.html Painter, David. The Cold War : An International History. New York, Rutledge. 1999.