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Morgenthau Plan

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Morgenthau's proposal for the partition of Germany from his 1945 book Germany is Our Problem

The Morgenthau Plan was a proposal to weaken Germany following World War II by eliminating its arms industry and removing or destroying other key industries basic to military strength. This included the removal or destruction of all industrial plants and equipment in the Ruhr. It was first proposed by United States Secretary of the Treasury Henry Morgenthau Jr. in a 1944 memorandum entitled Suggested Post-Surrender Program for Germany.[1]

While the Morgenthau Plan had some influence until 10 July 1947 (adoption of JCS 1779) on Allied planning for the occupation of Germany, it was not adopted. US occupation policies aimed at "industrial disarmament",[2] but contained a number of deliberate loopholes, limiting any action to short-term military measures and preventing large-scale destruction of mines and industrial plants, giving wide-ranging discretion to the military governor and Morgenthau's opponents at the War Department.[3][4] An investigation by Herbert Hoover concluded the plan was unworkable, and would result in up to 25 million Germans dying from starvation.[5] From 1947, US policies aimed at restoring a "stable and productive Germany" and were soon followed by the Marshall Plan.[3][6]

When the Morgenthau Plan was published by the US press in September 1944, it was immediately seized upon by the Nazi German government and used as part of propaganda efforts in the final seven months of the war in Europe that aimed to convince Germans to fight on.[7]

Proposals

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Morgenthau's memorandum

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Document outlining the plan

The original memorandum, written some time between January and early September 1944, signed by Morgenthau, and headed "Suggested Post-Surrender Program for Germany", is preserved at the Franklin D. Roosevelt Presidential Library and Museum.[1] According to Morgenthau's son, senior U.S. Treasury Department official and alleged Soviet spy Harry Dexter White was influential in drafting the memorandum.[8]

The main provisions can be summarized as follows:

  1. Demilitarization of Germany. : It should be the aim of the Allied Forces to accomplish the complete demilitarization of Germany in the shortest possible period of time after surrender. This means completely disarming the German Army and people (including the removal or destruction of all war material), the total destruction of the whole German armament industry, and the removal or destruction of other key industries which are basic to military strength.
  2. Partitioning of Germany. :
    1. Poland should get that part of East Prussia which does not go to the USSR and the southern portion of Silesia as indicated on the attached map, (Appendix A)
    2. France should get the Saar and the Palatinate.
    3. As indicated in part 3 an International zone should be created containing the Ruhr and the surrounding industrial areas.
    4. The remaining portion of Germany should be divided into two autonomous, independent states, (1) a South German state comprising Bavaria, Württemberg, Baden and several smaller states and (2) a North German state comprising a large portion of Prussia, Saxony, Thuringia and several smaller states.
    There shall be a customs union between the new South German state and Austria, which will be restored to her pre-1938 political borders.
  3. The Ruhr Area. : (The Ruhr, surrounding industrial areas, as shown on the attached map, including the Rhineland, the Kiel Canal, and all German territory north of the Kiel Canal.) Here lies the heart of German industrial power, the cauldron of wars. This area should not only be stripped of all presently existing industries but so weakened and controlled that it can not in the foreseeable future become an industrial area. The following steps will accomplish this:
    1. Within a short period, if possible not longer than 6 months after the cessation of hostilities, all industrial plants and equipment not destroyed by military action shall either be completely dismantled and removed from the area or completely destroyed. All equipment shall be removed from the mines and the mines shall be thoroughly wrecked.

      It is anticipated that the stripping of this area would be accomplished in three stages:

      1. The military forces immediately upon entry into the area shall destroy all plants and equipment which cannot be removed.
      2. Removal of plants and equipment by members of the United Nations as restitution and reparation (Paragraph 4).
      3. All plants and equipment not removed within a stated period of time, say 6 months, will be completely destroyed or reduced to scrap and allocated to the United Nations.
    2. All people within the area should be made to understand that this area will not again be allowed to become an industrial area. Accordingly, all people and their families within the area having special skills or technical training should be encouraged to migrate permanently from the area and should be as widely dispersed as possible.
    3. The area should be made an international zone to be governed by an international security organization to be established by the United Nations. In governing the area the international organization should be guided by policies designed to further the above stated objectives.
    4. Restitution and Reparation. : Reparations, in the form of recurrent payments and deliveries, should not be demanded. Restitution and reparation shall be effected by the transfer of existing German resources and territories, e.g.
      1. by restitution of property looted by the Germans in territories occupied by them;
      2. by transfer of German territory and German private rights in industrial property situated in such territory to invaded countries and the international organization under the program of partition;
      3. by the removal and distribution among devastated countries of industrial plants and equipment situated within the International Zone and the North and South German states delimited in the section on partition;
      4. by forced German labor outside Germany; and
      5. by confiscation of all German assets of any character whatsoever outside of Germany.

The Morgenthau Plan, in the sense of the plan drafted by Morgenthau or the plan initialed by Roosevelt, was never implemented.[9] Germany was not made "primarily agricultural and pastoral in its character".[10] However, some commentators, such as Gareau, extend the term to mean "any postwar program designed to effect and preserve German disarmament by significantly reducing German industrial might".[11] JCS-1067, the April 1945 "Directive to Commander-in-Chief of United States Forces of Occupation Regarding the Military Government of Germany" specified the Allied objective as being "to prevent Germany from ever again becoming a threat to the peace of the world", including, as an essential step, "the industrial disarmament and demilitarization of Germany".[12]

United States

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Roosevelt and Morgenthau, who have been described as "two of a kind"[13]

As Secretary of the Treasury, Morgenthau was initially not involved in the drafting of the plans for Germany. On a trip to Europe at the beginning of August, Harry Dexter White, his most trusted collaborator in the Treasury Department, presented him the memorandum from the State Department. This memorandum left Morgenthau with the impression that the main aim was to rebuild Germany economically to such an extent that after a few years they would be able to pay reparations. For him, it came down to the supposition that after 10 years they would be ready to start World War III.[14]

After his return from Europe, Morgenthau informed Secretary of State Cordell Hull that he would immediately take care of Germany's affairs with the following words: "I appreciate the fact that this isn't my responsibility, but I'm doing this as an American citizen, and I'm going to continue to do so, and I'm going to stick my nose into it until I know it is all right."[15] He right away informed the President of his observations and the dangers he saw in the existing memorandum drawn up by Hull. The President showed increased interest in what had been accomplished, but despite all of Morgenthau's hopes, Roosevelt initially did not officially invite him to take part in the drafting of the plans.

Morgenthau now tried to achieve his objective in another way. In a meeting with Secretary of War Henry L. Stimson shortly thereafter, he suggested that a committee consisting of Stimson, Hull, and himself should meet to work out a memorandum for the upcoming conference in Quebec.[16] In his next attempt at the President, he once again made clear that implementing the plan as it stood would have undesirable consequences. He also exclusively showed excerpts that he knew would displease the President. The lecture did not miss its aim.[17] Morgenthau's explanations persuaded Roosevelt to write to Hull and Stimson that US occupation policy, which anticipated that "Germany is to be restored just as much as the Netherlands or Belgium", was excessively lenient. A better policy would have the Germans "fed three times a day with soup from Army soup kitchens", so "they will remember that experience the rest of their lives".[18]

In addition, Roosevelt officially set up a committee consisting of Morgenthau, Stimson, and Hull to deal with the future of Germany. However, due to serious disagreement, the committee was unable to draw up a collaborative memorandum. Morgenthau on one side was drafting plans for how Germany could be ruined industrially, while other parts of the US government were already forging plans for how the country could be rebuilt after Nazi rule. Above all, the American business elite, which was still closely intertwined with German companies during the war, was interested in getting back to business as soon as possible.[19] Hull, on the other hand, was outraged by Morgenthau's "inconceivable intrusion" into foreign policy. Hull told Roosevelt that the plan would inspire last-ditch resistance and cost thousands of American lives. Hull was so upset over the plan that he suffered from insomnia and eating problems and was hospitalized. He said that nothing would be left to Germany but land, and only 60% of the Germans could live off the land, meaning 40% of the population would die.[20] Stimson expressed his opposition even more forcefully to Roosevelt. Hull later resigned for health reasons,[21] though there were anecdotal reports that his resignation was brought about by "the Morgenthau business".[22] So it came about that the Cabinet Committee on Germany met with Roosevelt on September 6, 1944, and discussed three different memoranda prepared by the State, War, and Treasury Departments.

Second Quebec Conference (September 1944)

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Franklin D. Roosevelt and Churchill in Quebec, 9 September 1944

At the Second Quebec Conference, a high-level military conference held in Quebec City, 12–16 September 1944, the British and United States governments, represented by Winston Churchill and Franklin D. Roosevelt respectively, reached agreement on a number of matters, including a plan for Germany, based on Morgenthau's original proposal. The memorandum drafted by Churchill provided for "eliminating the warmaking industries in the Ruhr and the Saar ... looking forward to converting Germany into a country primarily agricultural and pastoral in its character". However, it no longer included a plan to partition the country into several independent states.[23] This memorandum is also referred to as the Morgenthau Plan.[11]

The fact that Morgenthau was able to present his plans in Quebec despite the great resistance within the US government is precisely due to Hull's poor health. In fact, Roosevelt had asked Hull to accompany him to Quebec,[24] but he was unable to do so for health reasons. It was only at the last minute, when the conference was on, that Roosevelt asked Morgenthau to follow him to Quebec. Ultimately, Roosevelt's motivations for agreeing to Morgenthau's proposal may be attributed to his desire to be on good terms with Joseph Stalin and to a personal conviction that Germany must be treated harshly. In a 26 August 1944 letter to Queen Wilhelmina of the Netherlands, Roosevelt wrote that "There are two schools of thought, those who would be altruistic in regard to the Germans, hoping by loving kindness to make them Christians again and those who would adopt a much 'tougher' attitude. Most decidedly I belong to the latter school, for though I am not bloodthirsty, I want the Germans to know that this time at least they have definitely lost the war".[25]

British reaction

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Churchill was not initially inclined to support the proposal, saying "England would be chained to a dead body". Roosevelt reminded Churchill of Stalin's comments at the Tehran Conference, and asked "Are you going to let Germany produce modern metal furniture? The manufacture of metal furniture can be quickly turned into the manufacture of armament."[26][27] The meeting broke up on Churchill's disagreement but Roosevelt suggested that Morgenthau and White continue to discuss with Lord Cherwell, Churchill's personal assistant.

Lord Cherwell has been described as having "an almost pathological hatred for Nazi Germany, and an almost medieval desire for revenge was a part of his character".[28] Morgenthau is quoted as saying to his staff that "I can't overemphasize how helpful Lord Cherwell was because he could advise how to handle Churchill".[29] In any case, Cherwell was able to persuade Churchill to change his mind. Churchill later said that "At first I was violently opposed to the idea. But the President and Mr. Morgenthau from whom we had much to ask were so insistent that in the end we agreed to consider it".[30]

Some have read into the clause "from whom we had much to ask" that Churchill was bought off, and note a September 15 memo from Roosevelt to Hull stating that "Morgenthau has presented at Quebec, in conjunction with his plan for Germany, a proposal of credits to Britain totalling six and half billion dollars". Hull's comment on this was that "this might suggest to some the quid pro quo with which the Secretary of the Treasury was able to get Mr. Churchill's adherence to his cataclysmic plan for Germany".[31]

At Quebec, White made sure that Lord Cherwell understood that economic aid to Britain was dependent on British approval of the plan. During the signing of the plan, which coincided with the signing of a loan agreement, President Roosevelt proposed that they sign the plan first. This prompted Churchill to exclaim: "What do you want me to do? Get on my hind legs and beg like Fala?"[32]

Anthony Eden expressed his strong opposition to the plan and, with the support of some others, was able to get the Morgenthau Plan set aside in Britain.

Impact on the war

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Journalist Drew Pearson publicized the plan on 21 September 1944. Although Pearson himself was sympathetic to it, more critical stories in The New York Times and The Wall Street Journal quickly followed. Joseph Goebbels used the Morgenthau Plan in his propaganda. Goebbels said that "The Jew Morgenthau" wanted to make Germany into a giant potato patch. The headline of the Völkischer Beobachter stated, "Roosevelt and Churchill Agree to Jewish Murder Plan!"[7]

The Washington Post urged a stop to helping Dr. Goebbels: if the Germans suspect that nothing but complete destruction lies ahead, then they will fight on.[33] Republican presidential candidate Thomas Dewey complained in his campaign that the plan had terrified the Germans into fanatical resistance: "Now they are fighting with the frenzy of despair."[34]

General George Marshall complained to Morgenthau that German resistance had strengthened.[35] Hoping to get Morgenthau to relent on his plan for Germany, President Roosevelt's son-in-law Lt. Colonel John Boettiger, who worked in the War Department, explained to Morgenthau how the American troops who had to fight for five weeks against fierce German resistance to capture the city of Aachen had complained to him that the Morgenthau Plan was "worth thirty divisions to the Germans". Morgenthau refused to relent.[36]

On 11 December 1944, OSS operative William Donovan sent Roosevelt a telegraph message from Bern, warning him of the consequences that the knowledge of the Morgenthau plan had had on German resistance.[37] The message was a translation of a recent article in the Neue Zürcher Zeitung.

So far, the Allies have not offered the opposition any serious encouragement. On the contrary, they have again and again welded together the people and the Nazis by statements published, either out of indifference or with a purpose. To take a recent example, the Morgenthau plan gave Dr. Goebbels the best possible chance. He was able to prove to his countrymen, in black and white, that the enemy planned the enslavement of Germany. The conviction that Germany had nothing to expect from defeat but oppression and exploitation still prevails, and that accounts for the fact that the Germans continue to fight. It is not a question of a regime, but of the homeland itself, and to save that, every German is bound to obey the call, whether he be Nazi or member of the opposition.[38]

Following the negative public reaction to the publishing of the Morgenthau plan, President Roosevelt disowned it, saying "About this pastoral, agricultural Germany, that is just nonsense. I have not approved anything like that. I am sure I have not. ... I have no recollection of this at all".[39] According to Stimson, the President said that he just wanted to help Britain get a share of the Ruhr and denied that he intended to fully deindustrialize Germany. Stimson replied, "Mr. President, I don't like you to dissemble to me" and read back to Roosevelt what he had signed. Struck by this, Roosevelt said he had "no idea how he could have initialed this".[40] The theory that Roosevelt was not truly rejecting the plan is supported by later remarks by Eleanor Roosevelt, who stated that she never heard him disagree with the basics of the plan, and who believed that "the repercussions brought about by the press stories made him feel that it was wise to abandon any final solution at that time". However, other sources suggest that Roosevelt "had not realized the devastating nature of the program he had initialed".[10]

Morgenthau's book Germany is Our Problem

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Morgenthau's 1945 book Germany is Our Problem

In October 1945, Harper and Brother published Morgenthau's book Germany is Our Problem, where Morgenthau described his plan and the rationale for it in greater detail. President Franklin D. Roosevelt had granted permission for the publication of the book the evening before his death, when dining with Morgenthau at Warm Springs.[41]

A review in The New York Times on 7 October 1945 felt that the book was important to the survival of the American people and would help prevent World War III.[42] A review by Orville Prescott on 5 October 1945 in the same newspaper concluded that the whole world would benefit if copies of the book reached the key US decisionmakers responsible for policy about Germany.[42]

In November 1945, General Dwight D. Eisenhower, the military governor of the US Occupation Zone, approved the distribution of 1,000 free copies of the book to American military officials in occupied Germany. Historian Stephen Ambrose draws the conclusion that, despite Eisenhower's later claims that the act was not an endorsement of the Morgenthau plan, Eisenhower both approved of the plan and had previously given Morgenthau at least some of his ideas on how Germany should be treated.[43]

Occupation policy

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JCS 1067

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A Handbook for Military Government in Germany was ready in August 1944: it advocated a quick restoration of normal life for the German people and reconstruction of Germany. Henry Morgenthau Jr. brought it to the attention of President Franklin D. Roosevelt who, after reading it, rejected it with the words:

Too many people here and in England hold the view that the German people as a whole are not responsible for what has taken place – that only a few Nazis are responsible. That unfortunately is not based on fact. The German people must have it driven home to them that the whole nation has been engaged in a lawless conspiracy against the decencies of modern civilization.

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