OCCUPATION COSTS IN CENTRAL, EASTERNAND SOUTHEASTERN EUROPE DURING THE SECOND WORLD WAR

Abstract

During the Second World War, the Central, Eastern and Southeastern European countries were subordi-nated to the German war machinery. It must be emphasized that both agricultural and industrial production served to cover the war needs of Germany. As a result of war efforts, more and more agricultural products and raw materials were delivered from the countries of the region to the Third Reich without any recompen-sation. The Government of Germany did not want to comply its obligations not only for the shipping of industrial goods, but also to conceal the debts, which were accumulated in the clearing accounts. Before the outbreak of the Second World War the liabilities of the clearing accounts grew significantly by the Central, Eastern and Southeastern Europeancountries towards Germany. The objective of my paper is to analyse the occupation costs in the Central, Eastern and Southeastern region, which can be perceived as neglected part of historic researches. Besides the debts, which were accumulated in the clearing accounts by the Third Reich, the occupation costs of the German army (Wehrmacht) were to be considered as serious burdens on the national economies of Central Eastern and Southeastern European countries. War expenditures, together with the amount ofdebts owed by Germany also increased substantially, which were financed by the issuing of great quantities of unbacked paper currency. This led to the acceleration of inflation rate, which aggravated the financial vulnerability in all countries of the region. As far as occupation costs were concerned emphasis must be given on the changes of state finances. With regard to the development trends of the 21st century, I think it is essential evaluate the occupation costs during the war years, which contributedto the economic backwardness of the countries in the region. Because of limited extent I would not like to deal in my essay with the economic development of Central, East and Southeast Europe and with the war losses and devastation of the Second World War.