Saturday, April 3, 1948 at the White House in Washington D.C.
WWII had ended just over two years earlier and the winter of 1946-1947 had been the worst one in living memory. With mass starvation, chaos and the spread of communism riddling Western Europe since the end of the war, a comprehensive system of economic aid for Europe had now finally come to the fore.
Its official title was the European Recovery Program (ERP), but history and the world would better know it as the ‘Marshall Plan’, named after Secretary of State George C. Marshall – one of the most highly respected and most popular persons in the United States at that time.
What Secretary Marshall and President Truman were proposing was not military action, but an economic plan that would involve a delay in the withdrawal of American forces from Europe and a program of financial aid that would pump anywhere between $8-17 billion dollars into the economies of receptive countries. This money would then be used to buy food, resources and other goods from the United States in the hopes that it would help them combat mass starvation, rejuvenate their economies, rebuild utterly destroyed areas, and prevent their democracies from rapidly moving toward the Left – something that was seen as a real danger at the time.
Therefore, it was on this day 71 years ago that U.S. President Harry S. Truman signed the Marshall Plan, initially granting $13 billion dollars in economic assistance to 16 European nations. With this coming a little over a year after Greece and Turkey had been granted $400 million dollars in aid, no other president in U.S. history has ever approved so much money to aid people who weren’t Americans.
The success of the Plan has been criticized by modern historians who argue that some recipient nations had already been experiencing economic recovery, while others negatively argue that it strengthened American economic imperialism abroad. Yet, what’s important to keep in mind is that this stimulus came at a time when a psychological boost was badly needed as countries were still struggling to cope with the economic and human aftermath of WWII, as well as the terrible aforementioned winter.
In short, many people at that time – who were living history forward and not backward – understood the Marshall Plan as a compassionate program and found it to be a real badge of honor for the Truman administration.
“Some of the White House Staff suggested to President Truman that they didn’t much like the idea of General Marshall getting credit for it, but Truman was very firm on that: ‘The Congress will do anything that George Marshall wants. If my name is on it, it will probably become controversial. I don’t want it to become controversial. I want it to succeed. It will be called the Marshall Plan and we will have no more talk about changing the name.’”
– Administrative Assistant to the President, George M. Elsey, on President Truman