#69 Development Aid: The Master Stroke

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