Category Archives: U.S.

by | 12 February 2024 · 5:44 am

New Sites for Convict Colonies

From In For The Long Haul: First Fleet Voyage & Colonial Australia: The Convicts’ Perspective, by Annegret Hall (ESH Publication, 2018), Kindle pp. 63-67:

Between 1783 and 1786, three different sites for convict colonies were under consideration – in Senegal, on the Gold Coast of Africa and in New South Wales on the east coast of New Holland. In December 1784, an exploratory expedition to transport convicts to Lemain Island, 700 km up the river Gambia in Senegal, was put forward. Following strong public and parliamentary criticism, the Lemain project was abandoned because of the region’s unsuitable climate. In May 1785, James Matra once again testified before a committee enquiring specifically into the suitability of Botany Bay as a penal colony. Even at this late stage, the committee was not prepared to rule out the free colonisation of this site. Despite much testimony in favour of a New Holland location, the majority of the committee believed that an African site would be more practical. In parallel with committee’s enquiries, the government was independently exploring various settlement options. The Home Office was increasingly anxious at the burgeoning number of transportees in prisons and Lord Sydney and Evan Nepean, thought that closer sites in Africa could be settled sooner.

The strain on the prison system by the end of 1785 was so great that additional naval ships had to be converted into prison hulks. The hulk Fortunée was moored at Portsmouth and the Dunkirk at Plymouth. The political and public pressure on the government was intense, and the Home Office commissioned a ship to explore possible locations on the west coast of Africa between Das Voltas (Orange River) and Angola. This expedition returned in July 1786 and reported that the soil in the Das Voltas was not suitable for cultivation. This report effectively ended any further consideration of Africa as a place for a British convict settlement.

…

The often-cited belief that Botany Bay was planned solely as a dumping ground for convicts is unsupported by available documents. It may have been the main objective, but there is clear evidence the Pitt government saw tangible benefits in establishing commercial bases in the South Pacific. At the time, Britain was embroiled in conflicts with France, Spain and America, so there were also strategic reasons for establishing a territorial claim on the continent. Nevertheless, the endless debates on whether New South Wales was suitable suggests a begrudging recognition by the Tory government that this was a good locality – it was just a pity one had to go so far to dispose of the convicts, and to achieve these objectives.

Early assessments of the Botany Bay Scheme logistics by the Home Office appreciated that it would be quite different to sending convicts to America, which had been privately financed and organised. The Botany Bay Scheme would be administered by the government, transported by the Royal Navy and guarded by Royal Marines. This enterprise had no precedent in previous British convict transportations. The government, rather than private merchants, would be involved in convict transportation on a scale that they had never before attempted.

In August 1786, Lord Sydney informed the Admiralty of what he needed to transport 750 convicts to Botany Bay. He requested a naval warship that would escort and protect transport ships carrying the convicts and 160 marines as guards to the new settlement. The marines would be responsible to the Home Office for a term of three years.

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Filed under Africa, Australia, Britain, economics, France, labor, migration, Pacific, Spain, U.S., war

by | 11 February 2024 · 6:49 am

Colonial American Convict Labor

From In For The Long Haul: First Fleet Voyage & Colonial Australia: The Convicts’ Perspective, by Annegret Hall (ESH Publication, 2018), Kindle pp. 19-21:

A brief overview of earlier British convict transportation practices is relevant here. In 1717, the British Parliament passed the Act for the Further Preventing Robbery, Burglary, and Other Felonies, and for the More Effective Transportation of Felons, etc. (4 Geo. I cap. XI), which established penal transportation to America with a seven-year convict bond service for minor offenders, and a fourteen-year convict bond service for more serious crimes. Between 1718 and 1775 an estimated 50,000 convicts were transported to the British-American colonies. This represented about a quarter of all British migrants to the North American colonies at a time when they were desperately short of labour. The American colonists saw convict transportation as beneficial socially, politically and economically. It disposed of minor criminals at a cost that was less than gaoling them and a boon to the colonies by providing cheap labour. This was, in effect, and indeed in fact, a slave trade under a different guise. From its inception, transportation to the American colonies was a private business enterprise. Shipping contractors managed the movement of the convicts, obtained contracts from the sheriffs and in the colonies recouped their costs by selling the prisoners at auctions. Colonists would buy a convict as an indentured servant for the duration of their sentence. During an indenture the living and working conditions imposed on convicts differed little from those of slaves.

However, by the mid 18th century, convict labour had become less attractive to American colonialists and, moreover, in the 1770s the prospect of antislavery laws in England spelled the end of this practice. Maryland was the last colony to accept convicts and by 1775 the American Revolutionary War ended the trade of imported British goods and convicts. On 11 Jan 1776, the London Gazetteer reported ‘there will be no more convicts sent to America whilst the country remains unsettled.’ The article suggested that transportation would resume just as soon as peace was restored. This never took place.

With the loss of the American colonies, the systematic disposal of convicts to places beyond the seas came to a halt. Nevertheless, most judges consistently refused to apply capital punishment to relatively minor crimes and, where it was applied, capital sentences were often commuted to transportation. Consequently, the land gaols in the 1770s and 1780s overflowed with prisoners awaiting the imposition of a sentence that could not be enacted and, importantly, could not be altered. It was a serious judicial stalemate.

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Filed under Australia, Britain, Canada, economics, labor, migration, nationalism, slavery, U.S.

by | 10 February 2024 · 4:06 am

Era of Petty Capital Crimes, mid 1700s

From In For The Long Haul: First Fleet Voyage & Colonial Australia: The Convicts’ Perspective, by Annegret Hall (ESH Publication, 2018), Kindle pp. 17-19:

By mid-century the fear that increasing crime rates would lead to widespread social disruption spawned new penalties intended to discourage property theft. The legal imperatives for these were bolstered by a growing concern about the civil insurrection in France, especially after the French Revolution took place in 1789. The British Parliament passed bills reclassifying many petty crimes as capital offences (to which the death sentence applies). Capital crimes now included burglary, highway-robbery, house-breaking in daytime, private stealing or picking pockets above 1 shilling, shoplifting above 5 shillings, stealing above 40 shillings, maiming or stealing a cow, horse or sheep, or breaking into a house or church. The official punishment for these offences was now the same as for murder and treason – death by hanging.

Quite unfairly the new laws came into effect rapidly and were little understood by the poor, of whom 90% were illiterate. Consequently, the severity of the changes went largely unappreciated by the working class, which Thomas Paine – author of The Rights of Man – claimed was intentional to disadvantage the poor. Other enlightened members of English society, including the judiciary, strongly opposed the imposition of the new capital sentences for minor offences and this became a cause célèbre for many social reformers; the same people advocating for the abolition of the slave trade in the 1770s.

Mercifully, there were several ad hoc legal options available to those members of the judiciary who were inclined to avoid the imposition of a capital sentence. The legal loopholes were not recognised officially, but they were commonly applied, nonetheless. In particular, juries could be encouraged to apply pious perjury in assessing the severity of an offence when a prisoner was charged with a minor property or financial crime. Such actions permitted judges to assign imprisonment by transportation rather than the death sentence. For example, a court clerk could routinely understate the value of stolen property on the charge sheet in order that it was below the capital offence threshold.

In fact, the widespread application of judicial leniency in the late 1700s meant that transportation beyond the seas became the de facto sentence imposed by courts for minor crimes. Relaxation of the capital sentencing laws was tolerated because a sentence of transportation satisfied the political imperative of removing petty lawbreakers from decent society. Ironically, the lenient judicial practices posed a new problem for the prison system in England; where were all these transported prisoners to go? After 1775, the American Colonies no longer accepted transportees and there was no other offshore prison to send them to.

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Filed under Australia, Britain, economics, France, labor, migration, slavery, U.S., war

by | 6 February 2024 · 7:02 am

Rooting Out Nazis in 1946 Germany

From 1946: The Making of the Modern World, by Victor Sebestyen (Knopf Doubleday, 2015), Kindle pp. 236-238:

The Spruchkammer tribunals were mocked for a good reason. They served mainly to whitewash suspect characters who needed certificates of good character, notoriously labelled Persilschein – after the washing powder Persil – to show they were ‘whiter than white, with all brown [Nazi] stains removed.’ The initial problem was to find anyone in the legal profession who was not themselves compromised – 90 per cent of German lawyers had been Nazi Party members. In Hamburg at the end of the war, every judge was a member of either the Party or an affiliated organisation. It was a dilemma that would never be resolved. So Nazi judges tried cases of Nazi crimes – including those jurists who had sent people to the gallows for ‘crimes’ that, until Hitler came to power, had not been offences, such as sexual relations between Jews and Christians. In the American zone not a single judge was removed from the bench after the war.

The majority of the police were Nazis, too, which ought to have prevented their involvement in such cases, but did not. Kurt Schumacher, the leader of the SDP, had been assigned a five-man police guard by the British Occupation forces, who had assured him that the police force had been ‘cleared of Nazis’. But on 15 May 1946 he angrily wrote to British officials to say that, after overhearing his bodyguards chatting, he found that four out of the five had been in the SS. He was also profoundly shocked to learn that the British had just appointed a notorious SS man, Lieutenant-Colonel Adolf Shult, as head of the police in the British zone. An Allied Control Commission report to the British Foreign Office explained: ‘It is fairly clear that if the denazification of the police is carried to extremes there would be no police force left. With conditions…[in Germany] as they are it would perhaps seem that the essential thing is to have a reliable police force and this cannot be achieved without some sense of security…The need is…[to] terminate the process of denazification at some stage for these reasons…We will surely still need the police as an instrument of military government.’ In an apparently seamless transition, many senior officers kept their jobs, among them Wilhelm Hauser, Chief of Police in the Rhineland-Palatinate, who, when he was an SS officer in Byelorussia, had been responsible for countless wartime atrocities.

No German institution was entirely ‘cleansed’. Brown stains remained everywhere. More than three-quarters of university professors had been Party members, and even those who briefly lost their jobs were reinstated. Dr Hans Preuss, Dean of the Theology Department at one of Germany’s foremost universities, Erlangen, in Nuremberg, was a fervent Nazi who, in the 1930s had organised the burning of books in the university’s library written by Jews or Marxists. Preuss was sacked in the summer of 1945 but got his job back the following year. Around two-thirds of Germany’s teachers had been Nazis, and at the gymnasia, the best secondary schools, the figure was higher. Thousands had been fired in the three or four months after the end of the war. In 1946, 90 per cent of them were reinstated. The British poet Stephen Spender, then a civil servant, who had been despatched early in the year to report on education in the British Occupation zone, could see why. Visiting a school in Hamburg, he asked the children what they were studying. ‘Latin and biology,’ they said. ‘Nothing else?’ I asked. ‘No, sir. You see the history, geography, English and mathematics teachers have all been fired.’

Many of the clergy, regardless of denomination, had also been Party members. After the sacking of numerous German civil servants, the Lutheran Bishop of Württemberg, Theophil Wurm, preached that they had suffered too much and were the victims ‘of extremely skilful propaganda…[most] had joined the Party thinking of the public welfare. They did not identify themselves with the regime.’ He was perhaps also thinking of himself. He had joined the Nazi Party in 1933, arguing that he had done so ‘in good faith…believing it could produce a religious revival,’ though he later began to oppose the regime and was removed from his bishopric. The American Religious Affairs Division of the Occupation reported to Clay that it knew of 351 active clergy in the American sector. Of these, only three were defrocked. In the summer of 1946 the Catholic Archbishop of Freiburg, Conrad Gröber, nicknamed ‘Brown Conrad’ because of his fervent support for the Nazis, issued a pastoral letter to his flock in which he blamed the rise of Hitler on ‘secularism’, neatly absolving the Church and the people from responsibility for what had happened over the last dozen years.

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by | 3 February 2024 · 5:55 am

Japan’s No. 1 Problem in 1946

From 1946: The Making of the Modern World, by Victor Sebestyen (Knopf Doubleday, 2015), Kindle pp. 102-104:

Amidst the rubble of the cities, one of the saddest sights was that of orphaned children with white boxes hanging around their necks. The boxes contained the ashes of their relatives. In some cities, more than a quarter of the population was homeless – with a mass influx returning home from the front. More than five million Japanese were repatriated in the eighteen months after the war. Around 80 per cent were soldiers and the rest were colonists and their families from the empire Japan had conquered but had now lost. They were seldom welcomed back with open arms. Soldiers, in particular, were widely despised – and this in a country where propaganda, and long tradition, had conditioned its people to hold officers and men from the Imperial Army as the fount of all honour. ‘We were not invincible, as we had been told by our superiors,’ one officer recalled wearily, many years later. ‘The big shock was coming home and being shunned. People did not look us in the face.’ Army and people together were not ‘a hundred million hearts beating as one’, as the military mantra went. The people now regarded soldiers not as returning heroes but as discredited failures, and treated them as pariahs. But it was not only that the military had failed lamentably in its mission and left the country starving and ruined: since the defeat, the public had also been inundated with information about the atrocities Japanese soldiers had committed in China, the Philippines, Korea, Indonesia, and South-East Asia. Japan had been dishonoured in the eyes of its own people, for which the Japanese blamed their own soldiers.

But in the immediate aftermath of defeat questions of honour took second place. For at least the next two years food remained the biggest issue for most Japanese. Much of Japan had gone hungry long before the surrender. Shortages had been acute since the fortunes of war had turned in favour of the Western Allies and by the end of 1944 the majority of Japanese were malnourished. South Korea and Formosa (Taiwan) had been colonies since before the First World War and had produced large amounts of food for the home market. But the sinking of Japanese ships in the Pacific meant that these supplies were not getting through. American bombing of the cities had also disrupted food distribution, and 1945 saw the worst harvest since 1910. At the end of autumn 1945 the country was almost entirely out of rice. Thousands had starved to death and officials warned that ten million people now faced imminent starvation. They were exaggerating, but their panic prompted swift action from the occupying army.

MacArthur’s first, decent, instinct was to alleviate hunger and avoid famine. He cut through red tape, ordered the seizure of 3.5 million tons of food that the US Army had stockpiled for emergencies and had it shipped to Japan. The Joint Chiefs of Staff and the House Appropriations Committee were indignant and demanded an explanation, but he responded with customary arrogance.

Among my more vivid earliest memories of Japan in the early 1950s was the sight of former Japanese soldiers, dressed all in white except for their green field hats, often missing a limb, begging in pedestrian underpasses or other unobtrusive places with lots of passing foot-traffic.

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Filed under economics, food, industry, Japan, Korea, migration, military, nationalism, Taiwan, U.S., war

by | 2 February 2024 · 6:05 am

Japan’s Abdication Crisis, 1946

From 1946: The Making of the Modern World, by Victor Sebestyen (Knopf Doubleday, 2015), Kindle pp. 95-96:

Prince Naruhiko Higashikuni was the first member of the Japanese imperial family to break ranks and say it publicly. On 27 February 1946 he told a journalist from the New York Times that Emperor Hirohito should abdicate in favour of his son and a regent be nominated until Crown Prince Akihito, then aged twelve, came of age. Higashikuni, the Emperor’s uncle by marriage, was one of the few members of Japan’s ruling circle in the 1930s to have opposed war in Asia and to have warned against embarking on a route bound to result in conflict with the United States. After Pearl Harbor he had continually sought ways to bring about peace. Following Japan’s surrender in August 1945, he became Prime Minister, charged with overseeing the cessation of hostilities and reassuring the people that the Japanese empire was secure, despite the defeat. After two months he retired voluntarily, but he remained one of the most influential members of the government. Now he admitted that in Tokyo court circles the idea of abdication had been discussed for months; just a few days earlier he had told the Emperor in a private audience that he should stand down. He had said the same thing at a Cabinet meeting. Hirohito, he declared, bore ‘moral responsibility’ for the nation’s defeat, ‘to the dead and to his bereaved subjects’.

These unprecedented comments caused a sensation. Japan was a strictly hierarchical society. The imperial family and leading aristocrats seldom spoke out of turn or manifested any sign of disloyalty. A few days later the Emperor’s youngest brother, Prince Misaka, declared that Hirohito should accept responsibility for defeat and graciously volunteered himself as the regent. Another brother, Takametsu [sic, Takamatsu], was also suggested. Despite hunger and extreme hardship being uppermost in most Japanese minds, much of the country was talking about the possible abdication. The censored press, however, barely mentioned the issue, although there was a huge stir when one of Japan’s foremost poets, Miyoshi Tatsuji, published an essay urging the Emperor to step down as he had been ‘extremely negligent in the performance of his duties…[and] was responsible for betraying the loyal soldiers who had laid down their lives for him in battle.’

But the most powerful man in the country had decided against abdication. General Douglas MacArthur, the proconsul in charge of America’s occupation of Japan, was insistent on Hirohito staying on the throne – and whatever MacArthur wanted in postwar Japan he got. America would remake Japan from the top down and turn it from semi-feudal despotism into a model twentieth-century democracy rooted in Western precepts of freedom. The Americans would impose democracy by fiat on Japan, whether the Japanese wanted and liked it or not, but they would do so using imperial institutions, including the existing civil service. They adopted as their principal ally and functionary in the task an Emperor who just weeks earlier had been regarded by his people, and by himself, as a descendant of the gods. Despite such obvious ironies, the creation of the new Japan was a remarkable achievement – practical, efficient, bloodless – and of lasting importance in re-ordering not just Japan but, by example, much of the Asian continent.

At the beginning of 1946 neither princes nor poets would have dared to question Emperor Hirohito’s right to rule, despite the humiliation of total defeat. But early in the New Year, the Emperor issued a statement proclaiming himself human. It was the first stage of a process that turned Hirohito from an absolute ruler, literally worshipped by his people, into a constitutional monarch.

This chapter is perhaps the weakest in the book. Many small typos indicate it was neither written nor proofread very carefully, or that he relied only on occupation-era English language reports. For instance, it spells Daiichi [第一 ‘No. 1’] Bank as ‘Daichi’ Bank, Prince Takamatsu [高松] as ‘Takematsu’; Atsugi [厚木] Naval Air Base as ‘Atsugii’.

But the most egregious error in his account of the war in northern China was relying on outdated (and false) Chinese Nationalist sources that blamed Japan for destroying the Yellow River dikes that flooded huge areas and killed millions of people, but allowed the Chinese Nationalists time to withdraw their armies and capital deeper into the interior.

Disasterhistory.org offers a more up-to-date corrective.

Many people drowned in the flooding; far more would succumb to illness or hunger in the difficult months and years that followed. To the east, however, the river’s diversion halted the invading Japanese, who abandoned their westward march. The vital railroad junction at Zhengzhou was held for the time. The city of Hankou, China’s provisional political center after the fall of Nanjing, won a temporary breathing spell.

Strategically, breaking the dikes may have bought the Nationalist army time to withdraw and regroup, bogging down Japanese tanks and mobile artillery in fields of mud as Chinese forces secured their defenses around Zhengzhou. By preventing the Japanese from taking the railway junction, some scholars argue, the river’s diversion postponed the seizure of Wuhan by several months, giving the Nationalist government time to relocate its capital to southwest China in the city of Chongqing. But the Japanese simply redirected their advance from a north–south land attack along the railways to an amphibious assault along the Yangzi River that combined naval and infantry forces. Wuhan fell in October 1938, after the Nationalist central government had withdrawn into China’s interior.

…

Like the numerous scorched-earth tactics that the Nationalists employed during the Sino-Japanese War, the breaking of the Yellow River dikes was undertaken in an atmosphere of high-level desperation and panic that grew from the Japanese war of terror. On the other hand, the Nationalist regime showed a willingness to sacrifice people along with resources to keep them out of Japanese hands. The breaking of the Yellow River dikes was the prime example of this tendency. In the eyes of Nationalist leaders, not unlike other modern regimes of the twentieth-century world, “saving the nation” could justify unlimited sacrifice on the part of the civilian population.

Throughout the war, the Nationalist government refused to take responsibility for the disasters caused by the Yellow River’s intentional diversion. Instead, the Nationalists claimed that Japanese bombing of the dikes had caused the floods, presenting the disaster as another example of Japanese atrocities against Chinese civilians. Chinese newspaper reports published in the summer of 1938 followed the official version of events. The Japanese denied these accusations, framing the flood as proof of China’s disregard for human life. When the disaster’s true causes eventually came to light after 1945, the Nationalist regime changed the narrative and presented the flood as evidence of sacrifices made by China’s people to save the nation during the War of Resistance.

…

On shifting representations of the flood disaster see especially, Kathryn Edgerton-Tarpley, “From ‘Nourish the People’ to ‘Sacrifice for the Nation’: Changing Responses to Disaster in Late Imperial and Modern China,” The Journal of Asian Studies 73:2 (2014), 447–469.

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by | 26 January 2024 · 6:29 am

Fraternization in 1946 Germany

From 1946: The Making of the Modern World, by Victor Sebestyen (Knopf Doubleday, 2015), Kindle pp. 49-52:

The Occupation armies had been promised swift demobilisation. But while they waited to go home, many were determined to make the best of their lot. At first, Allied generals issued strict edicts against fraternisation of any kind with Germans. Relations between victors and vanquished were to be strictly official and formal. The Supreme Allied Commander, Dwight D. Eisenhower, ordered American soldiers not to have any contact with locals. They could not visit German homes; no drinking with Germans in bars was allowed, nor shaking hands; no playing games with German children or sports with adults; no inviting them to Allied concerts, cinemas or parties. GIs faced a sixty-five-dollar fine for breaking the rules. Similar orders were issued by British commanders, mainly, as they admitted, as a sop to public opinion at home. Most crucially, there was to be no contact between soldiers and German women. It was hardly surprising that the rules proved impractical, almost impossible to enforce and so frequently disobeyed, they had to be dropped – first by Montgomery and then by the Americans.

…

For German women, friendships – or more – with Allied soldiers – were often the difference between life and death for them and their families; the GIs and Tommies gave them food, milk, medicines, and even luxuries, such as cigarettes and stockings, that they had been without for so long.

…

The conquerors had other attractions, too. There was an acute shortage of men. Two German men out of three born in 1918 did not survive World War Two, and a third of all children in Germany had lost their fathers. In the Berlin suburb of Treptow in February 1946 there were just 181 men for 1,105 women aged between eighteen and twenty-one. Major Arthur Moon, a Guards officer, was struck by what he saw: ‘In our thousands of miles that we travelled Germany, the most outstanding fact of all was the total absence of men aged between seventeen and forty. It was a land of women, children and old men.’ The Lucky Strike cigarettes, fresh coffee, nylon stockings and chocolate bars were appealing, but for the most part the relationships were not just transactional. American and even British men seemed far more attractive than the crippled veterans, returned prisoners of war, with the weariness of defeat about them, and the old men who were left in Germany. The occupiers seemed glamorous and desirable – not least since so many foreign films, books and music had been banned in the culturally oppressive Third Reich.

…

Social liberals were as shocked as moralists by illegitimacy levels. Nearly a hundred thousand babies were born to unmarried women in Germany in 1946, around a third of all births and three times the 1945 rate. Officially recorded abortions were more than twice that number, but the real, hidden, figure was assumed to be many times higher, though nobody knows for certain the exact figure. The cost of an abortion in 1946, illegally and dangerously obtained in back streets, was high, around a thousand marks – or, in the currency used far more widely, two cartons of Lucky Strikes and a half pound of coffee. A perhaps happier outcome was the number of GI brides: around twenty-five thousand in 1946/1947.

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by | 23 January 2024 · 5:47 am

U.S. Status in 1946

From 1946: The Making of the Modern World, by Victor Sebestyen (Knopf Doubleday, 2015), Kindle pp. 12-14:

The US experience of World War Two was entirely different from that of every other combatant nation. There was much hardship, to be sure, and loss of lives. But America was the only country to emerge from the conflict better off than when it entered it in 1941. No attempt had been made to invade and occupy the country; no cities were destroyed by bombs. There were no refugees roaming the American countryside, desperately searching for food and shelter as in much of Europe and Asia. There were no direct war casualties from military action in mainland America. Around 420,000 Americans from the services died in combat or went missing in action, which, given the scale of the fighting on three continents, is a modest number. British losses, at around 330,000 service personnel, were lower, but from a population about a quarter of America’s size. And combined American and British losses were fewer than Russian deaths in the Siege of Leningrad alone.

America’s economy boomed as never before. Its annual GNP doubled between 1940 and 1945 from $102 billion to $214 billion. Unemployment fell from 14.6 per cent to a historic low of 1.2 per cent. The war dragged the US out of the Depression. There had been rationing on a range of products such as milk, sugar, gasoline, rubber for tyres, some meats and vegetable oils, and even typewriter ribbon. But for most people, living standards improved dramatically as incomes rose by more than 50 per cent. The war was a leveller economically, unusually so in American history. The share of income of the top 5 per cent of the population fell by almost a fifth and remained that way until the gap began widening again in the 1970s.

America was the granary of the world, and its industrial workshop. At the beginning of 1946 more goods were manufactured in the US than in the rest of the world put together. During the war, America had created a new financial system that ensured the US dollar would become the world’s chief trading currency, which it continued to be well into the twenty-first century. Most Americans believed not only that US soldiers had done most of the fighting to win the war but, justifiably, that American money had bankrolled the Allies to help with the rest.

Immediately post-war, Americans wanted a brief period to celebrate victory. After that, the demands were equally uncomplicated. Dean Acheson, an advisor to the President who would become US Secretary of State three years later, put it in straightforward fashion. ‘I can state in three sentences what the popular foreign policies are among the people of the United States. 1. Bring the boys home. 2. No playing Santa Claus. 3. Don’t be pushed around.’ They also wanted the security that wealth could provide.

Before the war the only substantial US military base outside homeland America was in the Philippines. But Pearl Harbor marked the beginning of America’s development as a military superpower. In 1946/47 the defence budget was $13 billion, 36 per cent of national spending and thirteen times more than it had been for each of the nine pre-war years. It was to remain at similar levels for the next three decades. By the end of the war, new naval and air bases had been leased in the Americas, in Iceland, Greece and Turkey, in Korea and the Middle East. More than half a million US troops were stationed in Europe. As it turned out, many thousands would remain for the next forty years – and America would be the strongest military power in Europe. But however counter-intuitive it might seem in retrospect, at the time it was assumed on both sides of the Atlantic that the GIs would soon return home. When the final details of D-Day were being planned in spring 1944, the US military’s top brass asked President Roosevelt how long he expected occupation troops to stay in Germany and elsewhere after the war was won. The Commander-in-Chief was explicit: ‘At least a year, maybe two,’ he replied. But not more. That was still America’s clear intention throughout 1946. It changed only when the Big Three alliance began falling apart and perceptions in Washington hardened about the USSR’s objectives in Europe. Meanwhile, America’s allies – including the Soviets – believed the same. Winston Churchill wrote a note to the British cabinet before VE Day emphasising the point: ‘We must not expect that the United States will keep large armies in Europe for long after the war,’ he said. ‘I doubt there will be any American troops in Europe four years after the cease-firing.’

There was to be no return to isolationism. US soldiers, engineers and an army of idealistic bureaucrats would remake Japan as a modern democracy in the American image, but disarmed so it could never again pose a threat to its neighbours or to the United States. And though the plan was to bring the troops home, it was never the intention to withdraw from European peace-making and diplomacy.

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by | 5 January 2024 · 5:20 am

Budapest Inflation, 1945

From Budapest: Portrait of a City Between East and West, by Victor Sebestyen (Knopf Doubleday, 2023), Kindle pp. 317-318:

The Hungarian national budget over the next eighteen months set aside as reparations five times more than was allotted for post-war reconstruction for Budapest. UN officials estimated three years after the war that total losses, calculating reparations, occupation costs and looting, amounted to 40 per cent of national income.

The currency collapsed – as it did in many places immediately after the war. Yet Hungary beat all records in terms of inflation. In July 1945 one US dollar was worth 1,320 pengős; by 1 November that year the exchange rate was one US dollar to 296,000. By spring 1946 hyperinflation took the rate to 4.6 quadrillion to the dollar (that is an almost unimaginable 15 noughts, 158,000 per cent a day). Most people in Budapest refused to be paid in money. As buildings were being repaired throughout the city, the walls in many rooms were decorated with large banknotes in fantastical denominations. In his marvellous book My Happy Days in Hell, György Faludy described the effect this had on daily life. A year after the war ended his publisher brought out a new edition of one of his books. He was paid 300 million pengős (which before the war would have been worth something like US$60 billion). When he collected his money, in cash, knowing it would have devalued by the time he had walked through Budapest, he ran to the central market a few blocks away. He spent the entire amount, he said, ‘on one chicken, a litre of olive oil and a handful of vegetables’. On 5 July a 100-quintillion-pengő note was issued – that’s twenty noughts; when an elderly gentleman in Budapest received one as wages he used it as part of the lining of his hat.

The currency was stabilized, largely with the help of the Americans. In April 1944, a fortnight after the German occupation, the Nazis had taken US$40 million ($570 million at 2022 values) in gold from various Hungarian banks. It fell into US hands at the end of the war and the Americans returned it a year later. Had the gold remained in Hungary at the moment of liberation, it is certain it would have been looted by the Red Army.

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by | 29 December 2023 · 5:21 am

Tolls of the Treaty of Trianon

From Budapest: Portrait of a City Between East and West, by Victor Sebestyen (Knopf Doubleday, 2023), Kindle pp. 268-270:

All day throughout Hungary on Friday, 4 June 1920 church bells tolled a dirge, black flags flew over public buildings, traffic came to a standstill in the centre of Budapest for long periods, newspapers appeared with black borders and funeral services were held in churches. It was the day the Treaty of Trianon was signed – still regarded 100 years later ‘as the most devastating tragedy in the nation’s history…a live issue now from which Hungary has not recovered’, according to the philosopher Miklós Haraszti, who under the post-Second World War Communist regime was a dissident leader and in the 1970s the last political prisoner in the country. Trianon ‘was the vivisection of the nation…the death certificate of the 1,000-year realm of King Stephen’.

Hungary was the biggest loser from the First World War – around a third of its territory was handed over to successor states to form new nations, Czechoslovakia and Yugoslavia. Large slices of Hungary were given over by the Great Powers to existing states: the whole of Transylvania, part of historic Hungary for hundreds of years, was given to Romania. Half of the population was lost and millions of Hungarians became ‘foreigners’ in new countries overnight. Towns and cities with deep Hungarian roots were renamed: Kassa became Košice in Slovakia, Kolozsvár in Transylvania became Cluj: Temesvár in Romania was now Timişoara; Pozsony became the Slovak capital, Bratislava. As Horthy remarked on the day the treaty was signed: ‘They dismembered the Germans, the Bulgarians and the Turks too. But from them they only took only one or two fingers. From the Hungarians they took his hands and feet.’

The peacemakers of the new world order – particularly the French, who pushed hardest in the Trianon talks – believed they were acting in the interests of self-determination for peoples who had been long held subject. The Hungarians thought they were victims of an ahistorical act of vindictive punishment. The Hungarian army was limited to no more than 35,000 troops and was allowed no heavy artillery, tanks or an air force. Hungary – like Germany – was forced to pay enormous reparations. The French President, Georges Clemenceau, declared that Hungary would be ‘permanently deprived of the means of making war’.

For long afterwards in kindergartens and schools, during church services and in the press, the notion that the lost territories could be restored was kept alive. The slogan taught to children – and often used as a greeting when people met socially – was: ‘No, No Never’ – meaning ‘No, it can never happen’. The saying modulated daily life in Hungary between the wars. The legacy of Trianon defined life in Horthy’s Hungary….

Rump Hungary became a homogeneous state in a way it had never been in 1,000 years. Only 10 per cent of the population were not ethnic Magyars or did not use Hungarian as their native tongue. Trianon, as Paul Lendvai, the best historian of 1920s and 1930s Hungary, noted, ‘was the breeding ground for the transformation of nationalism from an ideology of liberation to one of distraction’. A hundred years later, in the 2020s, the best-selling items of tat in cheap market stalls are pre-Trianon fridge magnets and plastic flags with Greater Hungary maps.

The post-Trianon shock determined the Horthy regime’s revisionist policies. It drove public opinion to an ever more extreme nationalism and further isolated the country from its neighbours. After the peace treaty, ‘Hungary became the quintessential have-not state, ready to ally itself with the Devil himself to undo the injustices perpetrated at Trianon.’ All politics was seen through the prism of the infamous treaty.

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