The mechanics of the West German recovery is a tale rarely told. The Marshall Plan was the means through which the Americans channelled money for the recovery of all states in Europe in the Western sector and Japan. The USA had 80% of the world’s gold supply, so could well afford the largesse needed by all the collapsed economies. Over the four years, $13 billion (equivalent to well over $100 billion today) or 0.5% of the USA Gross Domestic Product (GDP) was channelled into dollar-starved Europe

The Marshall Plan had several purposes. First, the American economy needed outlets for export, and second, the entire European and Japanese economies were in ruins and debt from the war. The Marshall Plan provided much-needed trading dollars. The plan was also intended to counter the attractions of Soviet Communism and probably saved western Europe from following a socialist path. The infrastructure of Europe, including a large number of homes and factories, had been destroyed by the war.