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Keeling, Ralph Franklin, 1901- / Gruesome harvest
(1947)
Chapter IV - the attack against German capital, pp. 38-52
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Page 48
GRUESOME HARVEST 000,000, representing half of the assets of the country's largest ball bearing plant. Other early shipments included the Gen- dorf unit of the Anorgana Chemical works, valued at $10,- 000,000 and the vast Daimler-Benz underground aircraft en- gine plant near Oberingheim. By May, according to Reparations Commissioner Edwin W. Pauley, the U. S. zone had earmarked 144 plants for re- moval to Russia, of which 35 or 40 were actually shipped, be- fore we suddenly halted further shipments on the ground that we must do so to protect the economic interests of our zone until inter-zonal economic unity had been achieved, in har- mony with Potsdam. Shortly before this, however, the west- ern powers had failed to get the Russians to agree on how much inspection a four power commission would be allowed to do in all four zones, including the Russian. The idea had originated in the Paris conference of Foreign Ministers to allay interzonal suspicions and to give each occupying power a clearcut picture of disarmament in other zones. Britain had hinted that she wanted to check rumors that munitions were being turned out in the Russian zone; Russia had retorted with the direct accusation that Britain had not disbanded large units of the captured German army and wanted to investigate. Whatever the reasons, we stopped further shipments of reparations from our zone. And then the storm broke loose. Russia apparently reversed her whole attitude toward Ger- many. In June at Paris Molotov declared it ridiculous to try to destroy Germany, called for a strong, centralized and eco- nomically balanced Reich with the Ruhr and Saar attached, specifically asked for higher steel and coal production levels than those Russia had previously agreed upon, saying, "The Reich must be permitted more steel, greater industry and for- eign trade," and added, "The Soviet Government insists that reparations from Germany to the amount of ten billion dol- lars be exacted without fail." His object was clear: Russia now wanted a Germany able and required to pay large repa- rations so heavy that socialization would become mandatory, with anschluss with the Union of Socialist Soviet Republics to follow. Meanwhile, Russia was stripping her zone to the bone, im- plying that it was necessary to do so to guarantee a continued
Copyright, 1947, by Institute of American Economics. All rights reserved.| For information on re-use see: http://digital.library.wisc.edu/1711.dl/Copyright




