Germany

The borders of Germany have changed numerous times since it became a unified country in the 1870’s.

During World War II, Germany expanded its borders and conquered much of Western Europe.

After the war, Germany was divided as punishment for starting World War II. The original intention was to eventually re-unite the country.

With the advent of the Cold War, the Soviet Union created the communist “puppet state” of East Germany, called the German Democratic Republic (GDR).

Life was quite different in East and West Germany and in East and West Berlin.

East Berlin

West Berlin

Trabant – East Germany’s most popular car.

Cars produced in the east and west told the story.

Mercedes

VW Bug

With the fall of the Berlin Wall in 1989, the collapse of communist East Germany was a certainty.

There was now a push from both east and west to re-unify Germany into one country. This occurred quickly. October 3, 1990, the two countries reunited.

With reunification, new problems arose. East Germany had been a command (inefficient) economy. West Germany was capitalist. Profit was the goal in the West.

West German factories operated to make money.

Closing inefficient and polluting East German factories would cost thousands of jobs.

Reunification issues that created problems for both East and West Germany after reunification.

West Germany East Germany

Many factories were closed, many thousands of jobs were lost.

Women had to give up access to free day care in order to work.

The government no longer guaranteed jobs.

The government no longer offered free housing.

East German money was worthless.

The West was going to have to pay for reunification (prox $40,000 per person.

There would be a mass migration of East Germans to the West looking for jobs.

East Germans would work for less than West Germans.

Not enough resources. Raw materials would have to be imported.

Now the question is, why would the West want to reunify with the East?

German Reunification Day, 10/4/04.

The population of a single Germany would increase some 25%.

The German “people” were linked together in a single country.

Families were re-united (separated since 1945).

Potential for the future.

Germany today is an economic powerhouse. One of the ten richest countries in the world.