Saturday, March 13, 2010

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DDR: Economic development policy of the GDR

compared East and West Germany regarding the economic and political development

The situation after 1945
Marshall Plan engages in West Germany, not in East Germany.
currency reform in West German area, introduction of the D-Mark. Linked to the Berlin Blockade by the Soviet Union (1948/49) and the airlift by the United States.
founding of the FRG on 24 May 1949 at London's six-power conference (UK, USA, France, Netherlands, Belgium, Luxembourg).
founding of the GDR on 7 October 1949 by People's Congress, with Wilhelm Pieck as the first president of the GDR, Otto Grote well becomes prime minister. But in 1954 declared a sovereign state by the USSR.
Soviet Union controlled process and denazification in the GDR.
Higher monetary damage in eastern Germany, reparations to the USSR and Poland.
deep-sea ports broken and bruised without trade relations, internal market.
No deliveries of raw materials and manufactured goods.
Long time no oil production by Arab states.
removing the remaining industrial plants by the USSR
Hardly construction of heavy industry and neglect the development of light industry in the GDR.
land reform / expropriation / centralization / planned economy. Land reform expropriated millions of citizens. Result, fragmentation of agricultural production possibilities.
be paid through centralization had minimal profit margins of companies in the state.
Economic stagnation and extremely high national debt.
High disability in the East

The political situation in the 50s and 60s
foundation of mutual economic aid to Eastern European countries (CMEA)
establishment of NATO (1949) as a military alliance of Western Europe and North Atlantic.
1945 Foundation of the United Nations for the maintenance of international peace and respect human rights
1955 Establishment of the Warsaw Pact.
Korean War (1950-53) military of the USSR must be financed.
June 17, 1953 workers' uprising. Due to increased labor standards occur on June 17, 1953 strike that explodes in a workers' uprising. Protest movement for improved working conditions, free elections, separation of the government. Suppressed by Russian tanks.
No self-management / resolution of the five countries in 14 counties, capital of East Berlin
construction of the Wall on 13/08/1961
surveillance by the Stasi and IM, one-party state SED

boom in the 70s in the GDR
boom in the late 70s, with a high export products of the GDR.
From 1974 to take almost all States have diplomatic relations with East Germany.
consumer and social policy needs of the citizens will not yield.
full sovereignty of the GDR. International legal recognition worldwide. From 1974, almost all States to take diplomatic relations with East Germany.
experiment, the unity of economic and social policies to implement. attempt to increase productivity and innovative technology.
housing is improved. Every family should have the right to housing.
family support with child day care and better housing.
education: working families are preferred, together with social applications.
social program will be expanded, however, associated with high public debt.

stagnation in the 80s
Was it in the late 70s still feel a boost by Honecker, had to find the latest in the 80-ies a non-liftable more national debt. Episode: High borrowing and increased attempts of foreign exchange to . Come Billion in loans from the FRG to the GDR.
High export products of the GDR. Own citizens can not buy the products. (Exception: Intershop)
Listed are nationalized. There was no independence in the strict sense it no longer. VEB = state-owned enterprise
stability of the GDR's foreign policy is crumbling, but behind the facade.
Additional reforms by reform of the Soviet Union under Gorbachev (glasnost and perestroika).
Economic stagnation in the GDR national debt by economic planning and reforms, and extremely high.
Growing discontent of the population.
State Security: Massive expansion of the Ministry for State Security (Stasi). Increase in "unofficial employees" (IM) to about 180,000. Highest density of secret police. Guarding every life area. Artists, Press

The turnaround time
Hungary, the Czech Republic and Poland take on East German refugees in the embassies. The beginning of the end of the GDR.
1989 Hungary opened its borders. Large waves of refugees and Leipzig Monday demonstrations that ultimately lead to the downfall of the GDR regime, with the help of Gorbachev.
Even on 7.10.1989, on the 40. Party Congress is officially announced that the GDR "everything was in order." Ten days later was forced Honecker to resign.
Economic, political alliances, foreign policy, ideological and legitimating circumstances led to the collapse of the GDR.
The non-intervention of Soviet armed forces during the Monday demonstrations in Leipzig also sealed the very end of the GDR in advance.

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