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— CH. 1 · ORIGINS AND PROPOSALS —

Morgenthau Plan

~4 min read · Ch. 1 of 6
6 sections
  • In early 1944, Henry Morgenthau Jr. held a meeting with Secretary of State Cordell Hull to discuss the future of Germany after World War II. Morgenthau had just returned from a trip to Europe where he saw Harry Dexter White present him with a memorandum from the State Department. That document suggested rebuilding Germany economically so it could pay reparations within ten years. Morgenthau feared this would lead to another war and decided to intervene personally. He told Roosevelt that he was acting as an American citizen to ensure the country's safety. The Treasury Secretary then drafted his own proposal titled Suggested Post-Surrender Program for Germany. This memorandum outlined a plan to eliminate all German industrial plants in the Ruhr region. It also proposed deporting millions of Germans to labor camps across Europe as war reparations. The original text remains preserved at the Franklin D. Roosevelt Presidential Library and Museum today.

  • The Second Quebec Conference took place between September 12 and 16, 1944 in Quebec City. Winston Churchill and Franklin D. Roosevelt met to discuss postwar arrangements including a new plan for Germany. Churchill initially opposed the idea stating England would be chained to a dead body. However Lord Cherwell persuaded him otherwise by emphasizing the need for revenge against Nazi Germany. Roosevelt insisted on signing the agreement before discussing economic aid to Britain. This prompted Churchill to exclaim what he wanted him to do while begging like Fala. The resulting memorandum called for eliminating warmaking industries in the Ruhr and Saar regions. It aimed to convert Germany into a primarily agricultural and pastoral nation. The document did not include plans to partition the country into independent states. Roosevelt later claimed he had no recollection of approving such measures after the press published them publicly.

  • Journalist Drew Pearson publicized the Morgenthau Plan on the 21st of September 1944. Joseph Goebbels immediately used this information in Nazi propaganda efforts during the final seven months of the war. He declared that Jew Morgenthau wanted to turn Germany into a giant potato patch. The Völkischer Beobachter newspaper ran headlines claiming Roosevelt and Churchill agreed to a Jewish Murder Plan. Republican presidential candidate Thomas Dewey complained that the plan terrified Germans into fanatical resistance. General George Marshall reported that German resistance had strengthened because of these revelations. An OSS operative named William Donovan sent a telegraph message from Bern on the 11th of December 1944 warning about consequences. American troops fighting near Aachen told John Boettiger that the plan was worth thirty divisions to the Germans. Despite pressure from allies President Roosevelt disowned the proposal saying it was nonsense.

  • Joint Chiefs of Staff Directive 1067 became effective on the 10th of May 1945 when approved by President Harry Truman. This document directed US forces to take no steps looking toward economic rehabilitation of Germany. It strictly forbade fraternization with Germans including attending church services or shaking hands. Violators risked being fined $65 which equaled one month's pay for an Army private. Morgenthau left a direct legacy through what were called Morgenthau boys in occupied zones. These Treasury officials ensured JCS 1067 was interpreted as strictly as possible. They remained active for almost two years following Morgenthau's resignation in mid-1945. The directive applied only to the US zone although attempts were made to get other Allies to accept it. Occupation forces prohibited production of oil rubber merchant ships and aircraft. Coal mines faced closure despite warnings from experts who predicted a coal famine would destroy law and order.

  • By March 1946 imported food supplies would last another sixty days before running out completely. The British zone reduced rations to 1,042 calories that month while France dropped to 980 calories. The US zone lowered its allowance to 1,275 calories in April then 1,180 in late May. Average daily kilocalorie intake reached only 1,080 during 1946, 1947 according to Alan S. Milward. William Clayton reported to Dean Acheson on the 27th of May 1947 that millions of people in cities were slowly starving. General Lucius D. Clay asked for flexibility in implementing JCS 1067 as early as the 7th of May 1945. Lewis Douglas denounced the directive saying economic idiots assembled it without sense. German prisoners engaged in dangerous tasks such as clearing mine fields under Allied supervision. By the 28th of February 1947 an estimated 4,160,000 former prisoners worked as forced labor outside Germany. Three million went to Russia while 750,000 went to France and 400,000 to Britain.

  • President Truman rescinded punitive JCS 1067 on national security grounds in July 1947. It was replaced by JCS 1779 which stressed that orderly prosperous Europe required contributions from a stable Germany. James F. Byrnes delivered his famous Speech of Hope in Stuttgart on the 6th of September 1946 setting tone for future US policy. The Marshall Plan extended loans instead of free aid to West Germany after initial resistance. General Clay took over two months to overcome continued opposition before approval came on the 10th of July 1947. Morgenthau followers resigned en masse when the new directive passed but accomplished one last task destroying old banking systems. Currency Reform of 1948 helped Germany make impressive recovery known later as Wirtschaftswunder. Steel production caps set at about 25% prewar levels were eventually lifted after Konrad Adenauer requested changes in 1949. Last repayment of $1.1 billion received occurred in June 1971 marking end of reparations era.

Common questions

What was the Morgenthau Plan proposed by Henry Morgenthau Jr. in 1944?

The Morgenthau Plan was a proposal to eliminate all German industrial plants in the Ruhr region and convert Germany into a primarily agricultural and pastoral nation. It included provisions for deporting millions of Germans to labor camps across Europe as war reparations.

When did the Second Quebec Conference approve the Morgenthau Plan agreement?

The Second Quebec Conference took place between September 12 and 16, 1944 in Quebec City where Winston Churchill and Franklin D. Roosevelt agreed to the plan. The resulting memorandum called for eliminating warmaking industries in the Ruhr and Saar regions.

How did journalist Drew Pearson publicize the Morgenthau Plan on September 21 1944?

Journalist Drew Pearson publicized the Morgenthau Plan on the 21st of September 1944 which Joseph Goebbels immediately used in Nazi propaganda efforts during the final seven months of the war. He declared that Jew Morgenthau wanted to turn Germany into a giant potato patch.

What were the consequences of Joint Chiefs of Staff Directive 1067 effective May 10 1945?

Joint Chiefs of Staff Directive 1067 became effective on the 10th of May 1945 when approved by President Harry Truman and directed US forces to take no steps looking toward economic rehabilitation of Germany. It strictly forbade fraternization with Germans including attending church services or shaking hands and violators risked being fined $65.

Why did millions of people in cities starve under the Morgenthau Plan implementation?

By March 1946 imported food supplies would last another sixty days before running out completely while average daily kilocalorie intake reached only 1,080 during 1946 and 1947 according to Alan S. Milward. William Clayton reported to Dean Acheson on the 27th of May 1947 that millions of people in cities were slowly starving.

When was punitive JCS 1067 rescinded by President Truman in July 1947?

President Truman rescinded punitive JCS 1067 on national security grounds in July 1947 and it was replaced by JCS 1779 which stressed that orderly prosperous Europe required contributions from a stable Germany. The Marshall Plan extended loans instead of free aid to West Germany after initial resistance.

All sources

66 references cited across the entry

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