This kind of didn't make sense to me at first when looking at it, but looking at them individually it makes sense in the context of the graph.
Dawe's Plan
-starts in 1924
-bring Weimar government out of inflation
- actually succeeded from 1924-1929
- 5 nations involved (US, Italy, UK, Belgium & France)
- boost German econ in order to stabilize national econ
Young Plan
-forms in 1929
-helps with paying reparations
-expanded Dawe's plan
-both expires in 1929
Really, the arrow from U.S. represents the Dawes Plan and the arrow pointing the Allies from Germany is the Young Plan.
Thanks Michael! I never really knew the difference, and this helps! It seems as though the U.S. was quite intelligent when devising this plan as theoretically, as least, is seems like it would work. If the arrow from the U.S. to Germany is the Dawes Plan and the arrow from Germany to the Allies is the Young Plan, then my question is, which plan involved the third arrow, going from the Allies to the U.S.?
ReplyDeleteIf anyone wants more information on the Young and Dawes Plans, I found this site to do a great job elaborating on them: http://history.state.gov/milestones/1921-1936/dawes
ReplyDeleteI found the last paragraph on the importance of these plans very interesting. To me, this whole cycle of money seemed kind of pointless, but it did actually have some important effects. These plans came about shortly after the US rejected the Treaty of Versailles and the League of Nations. With these two plans, the US became more re-engaged with European affairs once again. Furthermore, these plans influenced America's foreign policy in the following years, which you can get more information about if you want with the link above.
Thanks for posting this! The visual was really helpful for me to understand the whole situation that was going on. It is interesting to see how all the countries just passed around the money that was owed from the war. None of them really gained anything from the whole process.
ReplyDeleteSo if they both were suppose to expire in 1929 did they have a long-term plan? Did they expect everything to get paid by then?
ReplyDelete