Containment in Europe and East Asia

1
Containment in Europeand East Asia
2
Targets Policy Imperatives

• Targets
• Target One Soviet Expansionism
• Target Two Chinese Communist Regime
• Policy Imperatives
• Restructure US national security mechanism
• Assist European economic recovery
• Support resolution of internal disputes
• Facilitate security cooperation

3
Post-War US Security Mechanism

• The National Security Act
• Creation of Defense Department
• Creation of Central Intelligence Agency
• Creation of National Security Council
• Creation of national security advisor position
• Implications
• Centralization of foreign policy power in
  executive branch
• Intensification of bureaucratic politics in
  foreign policy

4
Reviving World Economy

• The Bretton Woods System
• Rationale
• Mercantilist trade policies undermine internal
  global economic security
• Global economic insecurity invites aggressive
  adventures
• An open system (open markets, cooperation
  market-based order) reduces communist appeal
• A free economy creates a prosperous capitalist
  society
• What?

5
Reviving World Economy

• The Bretton Woods System
• When What?
• 1944, 44 countries met at Bretton Woods, NH.
• To build an intl economic, fiscal, and monetary
  system
• Institutions
• International Bank for Reconstruction
  Development (IBRD)
• International Monetary Fund (IMF)
• Govern currency exchange
• Provide credits for members having short-term
  currency crisis

6
Reviving World Economy

• The Bretton Woods System
• Institutions
• General Agreement on Tariffs and Trade (GATT)
• Rules to promote open markets global trade
• Results
• Stability of market economies ensured
• Stability of financial market
• A uniform and simple framework for trade
  foreign investment
• American dominance in the system

7
Reviving World Economy

• The Marshall Plan
• Impending Crises in W Europe
• Short supply of daily necessities
• Financially bankrupt
• American decisions
• W. Europe called on to devise a plan for their
  common needs and common recovery
• Massive injection of dollars into W. Europe thru
  Marshall Plan
• 13 bn approved by Congress for European recovery
• Major recipients
• England, France, West Germany

8
Reviving World Economy

• The Marshall Plan
• Results
• Social political stability achieved
• Soviet influence successfully excluded
• Drastic production increase
• Exceeding pre-war production by 200 (1952)
• Dollar gap reduced from 12 bn to 2 bn
• Inflation down, export going up

9
European Union

• American Policy The Economic Cooperation Act
  (1948)
• American aid to Western Europe conditioned on
  economic cooperation among the European states
• American support of the creation of an integrated
  European market
• European Actions
• The Schuman Plan
• Formation of European Coal and Steel Community
• To integrate French Germany heavy industry
• To undercut German use of its industrial
  capabilities for aggressive purposes

10
European Union

• European Economic Community (EEC), 1957
• No tariffs and quota systems
• No restrictions on regional movement of goods,
  services, labor and capital
• Creation of European Parliament towards political
  unification

11
Western Alliance

• The North Atlantic Treaty Organization (NATO)
• Objectives
• Collective security measure to counter the Soviet
  expansionism
• Effective self-help mutual aid
• Deter aggression on member states
• Founding
• April 1949
• US, Canada, Denmark, Iceland, Italy, Norway
  Portugal
• Significance
• No entanglements in European politics, history

12
Western Alliance

• Significance
• Make no entanglements in European politics
  history
• US resolve to preserve European balance of power
• 1st US commitment to an alliance in peacetime
• Importance
• Enhance collective defense against the Soviet
  provocations
• Subordinating member armed forces to the US-led
  alliance to defuse European internal rivalries
  suspicion
• 1955, West Germany joined NATO, subordinating
  German forces to coordinated NATO operations

13
Soviet Reactions towards

• Marshall PlanRejected it and wanted its allies
  to do so too
• EECVowed to isolate Eastern Europe from the West
  
• NATO Bonns joining in 1955Founding of War
  Treaty Organization (Warsaw Pact)

14
Communist Victory in East Asia

• Downfall of the Nationalist Chinese Government
• Fall of the Chinese Government (April 1949)
• Building of the Peoples Republic of China
• Impacts
• Asias 1st republic in survival crisis
• The Republic of China re-built in Taipei
• Spread of Communism in Asian continent
• Enhancement of Soviet power in post-WWII

15
Communist Victory in East Asia

• Beijings Foreign Policy
• lean to the side of the Soviet Union
• Beijing-Moscow diplomatic ties, Oct 2. 49
• Beijing-Moscow alliance treaty, Feb, 1950
• Non-recognition of existing Sino-foreign
  diplomatic relations
• New negotiations necessary to resume ties
• Abolition of foreign privileges in China
• Freezing US assets in mainland China
• Eliminating foreign cultural influence

16
Communist Victory in East Asia

• Chinese Communist Worldview
• Should Beijing look to the US and Britain for
  assistance?
• No.
• The rulers of the US and Britain at the present
  time are imperialists. Would they assist the
  peoples governments like our own?
• US and China
• US led aggression in China (a 1844 unequal
  treaty)
• US led cultural, religious, educational
  aggression in China

17
Communist Victory in East Asia

• Chinese Communist Worldview
• Peoples China USSR
• The Peoples China was part of the world
  anti-imperialist front led by the USSR
• True friendship assistance could only come from
  the USSR
• Marxism introduced to China via Russia
• Lenin proposed abolition of Russian special
  privileges in China
• Lenin birth of Chinese Communist Party
• Lenin Chinese Communist united front strategy

18
Communist Victory in East Asia

• Chinese Communist Worldview
• The Peoples China was a state of the people
  exercising dictatorship against members of
• The landlord class
• The capitalists
• The bureaucratic bourgeois class
• The reactionary Chinese Nationalist Party

19
The Korean War

• Korean Division
• 38th parallel, 1945
• Syngman Rhees Republic of Korea (South Korea)
• Kim Il Sungs Democratic Peoples Republic of
  Korea (DPRK)
• Civil War or International Conflict
• June 1950, North Korean attack on South
• Stalins approval given in March 1949
• Beijing given a major role to play (by Stalin)
• Chinese soldiers joining the North Korean forces
• Chinese suspension of demobilization
• Beijing would not be indifferent

20
The Korean War

• Korean Division
• Civil War or International Conflict
• Escalation of Armed Conflicts
• Sept. 15., UN army landed at Inchon
• Oct., Chinese Communist forces (as Chinese
  Volunteer Army) entered Korea
• MacArthurs Plan
• Unify the Peninsula
• Naval blockade of mainland Chinese coast
• Bombardment of Chinese industrial complex, .
• Reinforce the Chinese Nationalist forces

21
The Korean War

• Korean Division
• End of War
• Truce, 1953
• US forces in South Korea
• Communist Chinese forces in North Korea
• Division of Peninsula at the 38th Parallel
• Impacts
• Battlefield success cannot be used to change a
  strategic objective
• Hot wars are likely against Cold War background
• Communist China, a force to be taken seriously
• Growing anti-Communist sentiments