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Inter‐War World:The Great Depression
IdeologicalAlternatives:Soviet Union
andGermany
Ideological AlternativesHas Capitalism Failed?
‐ This was not an academic question in the early 1930s
‐ America, Western Europe (especially Britain): feared that if people accepted the argument that many were making – namely ‘Yes it does not work’, they would make other choices
‐ There were two proffered c.1930‐35: Fascism and Communism
Ideological AlternativesHas Capitalism Failed? Soviet Union, Germany had already said ‘yes’
‐ Following upon Lenin’s Revolution: a struggle for his successor had not only kept “Communist” ideals in place ‐‐ it had led to an ‘evolution’ of that ideology [under Stalin, below] in the 1920s, 1930s global situation
[similar to the way Mao had taken Soviet Communism and made it ‘Chinese’]
Ideological AlternativesHas Capitalism Failed? Soviet Union, Germany had already said ‘yes’
‐ The repercussions of Germany’s debt to Versailles (WWI), France’s occupation of the Ruhr (1922‐3) resulting in the Dawes Plan – exacerbated by the Depression ‐‐ led to the rise of German Fascism
‐ [similar to Japan’s use of Ultra‐Nationalism to create authoritarian, militarized, racist state]
‐ Italy also ‘shared’ in this European Fascism, although it could not/did not claim the same ‘roots’ for its ultra‐nationalism as Hitler’s Germany did
Alternatives: the Soviet Union
Alternatives: the Soviet Union
Video
Stalin and the
Modernization of the
Soviet Union
[Add’l. Rdgs., shown in Class]
Alternatives: the Soviet Union“Stalinism”:
‐Joseph Stalin emerged from post‐Leninist political foray as ‘winner’: but not with complete support
‐position as Party Secretary allowed him to manipulate people of like‐minded ideas into positions of power
‐ ultimately exercised full power himself
Alternate Paths: Soviet UnionPillars of Modernization:
‐ Five Year Plans: ‘staged’ development
‐ Industry (first): required infrastructure
‐ Agriculture (second): required machinery in turn, dependent on Industry
Alternate Paths: Soviet UnionMain Issues of Modernization:
‐ ‘catch‐up’ : industry
‐ lag in terms of infrastructure: power (electricity – water, coal); transport (roads, railroads)
‐built on forced labour: prisoners and others
All forms of coerced labour were ‘legitimate’ in terms of Stalinist goals
Alternate Paths: Soviet UnionAgriculture:
‐5‐Year Plan 1929: called for ‘collectivization’
‐attempt to apply industrial achievements (machinery) to traditional peasant cultivation: ‘shared use’ of expensive equipment = more efficiency
‐ ‘in principle’ made good sense
Alternate Paths: Soviet Union
Peasants being ‘taught’ collectivization by government agents
Alternate Paths: Soviet UnionIn reality:
‐base of agricultural economy was not the peasant but the Kulak: farmer with land, income able to employ others
‐collectivization destroyed Kulaks (‘enemy of state goals’) but the local economy depended on them as employers
‐ generated resistance not only along class lines but at the community level
Alternate Paths: Soviet Union
Kulaks Being Evicted, Ukraine
Alternate Paths: Soviet UnionThe Road to Famine:
‐ even as industry, urban growth looked successful and was portrayed as such…
‐ peasants starving to meet ‘5‐year plan’ goals
‐ intentional genocide?
‐ cruelty for the sake of power?
‐ delusion, denial?
Ongoing debate among historians
Alternate Paths: Soviet UnionThe Road to Famine: presented as total success
“Typical VillageCelebration ofCollectivization”
Alternate Paths: Soviet UnionThe Road to Famine:
Idealized Harvest Scene underCollectivization
Alternate Paths: Soviet Union“Cult of the Personality”
‐Stalin successfully associated all that was ‘good and progressive’ with his plans
‐ effectively created , then exploited image as: ‘father of nation , children, women, workers’
Stalin as ‘Papa’:
Family Man –Embracing women,military, culture …
Alternate Paths: Soviet UnionShow Trials: [see video]
‐were exactly that: ‘trials’ of those accused of subverting Stalin’s ‘vision’
‐ staged for international audience: impact significant
Impression of Stalin and Soviet Union on eve WWII: strong, healthy economy – authoritarian but effective government
Soviet Communism Works!!
”Long live the worker's and peasant's Red Army, the true guard of Soviet frontiers !”(1935)
« Stalin‘s spirit inspire and defend our Army and Motherland»(1939)
Alternate Paths ‐ GermanyGermany’s Situation Was Completely Different:
‐ Germany and Russia ‘Allies’ in WWI
‐ Russia’s Revolution took them out of the war, and therefore out of its ‘spoils’
‐ But in 1920s, new Soviet Union appeared to be doing so much better than Germany. . .
‐ Why? Germans put much of that down to ‘Versailles Punishment’ – government had not ‘negotiated’ well
Alternate Paths ‐ GermanyWeimar Government attempted to address crisis by:
‐ increasing ‘social’ spending: more than doubled by 1929
‐ printing more money: 1921‐24 era of hyperinflation
‐ Just like other nations responded to Great Depression: Germany already responding to its own national depression following loss of economic viability of Ruhr Valley (French invasion 1922‐3)
Alternate Paths ‐ Germany
Piles of New Bank Notes: ready for distribution
Alternate Paths ‐ Germany‐ wiped out savings, effectively undermined cash economy
‐millions ofGerman marks worthless
50 million markbanknote, 1923
Alternate Paths ‐ Germany
Alternate Paths ‐ GermanyImpact of Great Depression:
‐ in addition to struggling export sector: German economy of 1920s based on loans
‐ US major ‘banker’: extensive capital loans kept economy alive [last lecture, role of US international loans]
‐ with impact Great Depression: all markets closed, foreign trade (import and export) collapsed
US demanded repayment: economy collapsed completely
Alternate Paths ‐ Germany‐ industry quickly ground to halt
‐ production levels fell: workers laid off
‐ banks failed throughout country: savings accounts recently built up, instantly wiped out
‐ Inflation soon followed making it hard for families to purchase expensive necessities with devalued money
Alternate Paths ‐ Germany
Berliners Demandtheir Money:‘Bank Run’
Roads to War ‐ Germany
Said to be worth the price of a loaf of bread, 1930s
Alternate Paths ‐ Germany
‘Communists Fill the Streets, May-Day 1930’
Alternate Paths ‐ GermanyExactly the same disastrous economic dynamic as happened in the United States: Differences were. . .
‐ in part: post‐WWI experience in general
‐in larger part: extent to which the middle class was ‘new’in Germany and reacted in different ways to protecting their status
‐In part: easy association of ‘military’ strength (remember Germany was not allowed to grow its military”) with economic capability
Alternate Paths ‐ GermanyExactly the same disastrous economic dynamic as happened in the United States: Differences were. . .
‐In very large part: history of anti‐Semitism
‐Jews had immigrated into the United States following on anti‐Semitism in Europe (generally)
‐Germany (under Bismark) had been a nation very influenced by anti‐Jewish politics: they were well entrenched by the post‐war era
Alternate Paths ‐ GermanyThe recent history of anti‐Semitism:
‐Hugely important to remember ‘history’ here
‐Late 19th century anti‐Semitism was particularly virulent in Eastern Europe/Russia but had become entrenched in German politics as well
‐Just as Russian ‘nationalists’ initiated pogroms against the Jews (supported by the Tsar), German ‘nationalists’ were able to ‘tap into’ that racist ideology to create Nazism
Alternate Paths ‐ GermanyRise of Adolf Hitler:
‐ led National Socialist German Workers’ Party – Nazis in 1920s
‐ wrote Mein Kampf 1925: radical plan to build master Aryan race, retake lands with German peoples (direct reaction to French occupation of Ruhr 1922‐3), restore “German dignity”
‐ this was ‘ultra nationalism’ as experienced by Japan: difference ‐ ‘Aryan Whites’ (not ‘Asians’) at its base
Alternate Paths ‐ GermanyCrisis of Great Depression: government fell apart
‐ political parties in Reichstag broke into squabbling, uncompromising groups
‐ government dissolved July 1930: election planned for September
‐ Hitler’s party: few followers (approx. 100,000 in population 60 million) ‐‐ until then
‐ 1930: German People finally ready to listen to Hitler’s ideas
Alternate Paths ‐ GermanyHitler’s Platform:
‐ found scapegoats to blame for failing economy: Jews
‐ four‐year plan of militarization (previously restricted under Treaty of Versailles):
‐ would restore power while addressing unemployment
‐ would address problem of growing ‘German’population: acquire “living space”, retake areas with German populations rendered ‘independent’after WWI
Hitler: from electoral victory to Chancellor 1930‐ 1933
Alternate Paths ‐ Germany
Adolf Hitler Appointed Chancellor, 1934
Alternate Paths ‐ GermanyHitler’s Germany: resurrection of late‐19th Century Anti‐Semitism
‐ Nazis took over all government agencies, educational institutes, professions
‐ restrictions on Jews: removed from public offices; property confiscated; loss civil rights
Alternate Paths ‐ GermanyHitler’s Imperialism: carried with it destruction of Jews
‐ invasion, occupation of Poland (1939, below): 1000s Polish Jews shot or confined to ghettoes
‐ began sending others to concentration camps (slave labour, death)
‐ invasion Soviet Union (1941, below): 10,000s Jews killed by death squads
Death and ConcentrationCamps
Numbers Murdered in each Country
Alternate Paths ‐ GermanyHitler’s Germany:
‐ 1934: Hitler declared himself Fuhrer (‘leader’)
‐ constitution suspended, Germany renamed ‘Third Reich’: meant to last ‘one thousand years’
‐ Nazi Fascism combination of ‘socialism’ (public works), militarism (arms manufacture), anti‐Semitism (allowing for over‐taking of financial assets of wealthy Jewish businessmen, bankers): worked – it was effective
Alternate Paths ‐ Germany“By 1936 business was booming; unemployment was at its lowest level since the 1910s; and living standards were rising. Most Germans believed that their economic well‐being outweighed the loss of liberty”
Germany was the only country to appear to have successfully survived and triumphed over, the Great Depression! Fascism worked…
Alternate Paths ‐ Germany‘Re’ Unification of German Peoples: aggressive, step‐by‐step foreign policy of imperialism
‐ 1933:withdrew from League of Nations‐ 1936 reoccupied German Rhineland (Ruhr)
‐ 1936/7 entered ‘pact’ with Japan [lecture on ‘Inter‐War Asia’]
‐ 1938: annexed Austria
‐ 1939: invaded Czechoslovakia
‐ September 1, 1939: invaded Poland
Great Britain, France declared war on Germany.
Alternate Paths ‐ GermanyAlternatives:
‐By early‐mid 1930s: it appeared to many people in the Western World (on both sides of the Atlantic) that successful ‘choices’ had been developed elsewhere
‐many Americans attracted by Soviet Model (as they knew it from excellent propaganda)
‐Other Europeans (e.g. Italy) attracted to Germany’s meteoric rise: also a model elsewhere (e.g. South Africa)[see lecture ‘WWI impact – world wide]
Alternatives: Roads to WarEve of WWII:
‐Not at all clear that ‘Western Democracies’ would or even should succeed
‐Many questions about how much personal/social ‘freedom’was worth when the cost could be as devastating as the Great Depression
‐Japan, Soviet Union, Germany (by extension Italy who had replicated Germany’s road to fascism with similar results) had seemingly ‘proven’ there were viable alternatives!