* Greek economy Cold War Era Civil War








Greek Cold War Economy: Greek Civil War (1944-49)


Figure 1.--The photo was taken in early 1950s in Filiates, Epirus, Greece, during a funeral. We can still note the consequences of the recent civil war. Some men are wearing military caps. Epirus was a very poor region. One of the altar boys is barefoot. Possibly he didn't own any footwear.

The Greek economy was devestated by the World War II Axis occupation. The initial physical damage was limited, because the German viuctories were so rapid. It was the Axis policies during the occupation that did much of the economic damage along with the resistance and anti-resistance operations. The ELAS Communist Guerrillas gained control of much of ther countryside. And this was the situation at the time of liberation (September 1944). ELAS was reorhganized as DAG under the control of the Greek Communist Psrty (KKE) to fight a Civil War after the Communisdts did poorly in the first electiion after liberatiin (1946). The economy was further damaged by the ensuing Communist inspired Civil War. Efforts to revitalize the economy were difficult during the Civil War. In fact, the DAG strategy was to conduct small scale attacks, in opart to dange the economy and prevebt any economic recovery. DAG hoped that the resulting econmomic paralysis would increase support for the KKE. The British and eventually the Americans supported the royalists. The insuing Greek Civil War raged (1944-49) and added to the damaged during the World War II Axis occupation, especially in rural areas. It was not just the physical damage. No one was going to make important efforts to build business or make major investments as long as there was a belief that the Communists were going to prevail. As a result, not only was very little progress made repairing the economy. Greece arguably faced the most difficult recovery in all of non-Comminist Europe. As one author explians it, "It was very difficult for Greece to make an economic progress during the Civil War. Basically it had twenty to thirty thousand organized terrorist operating in the country. The terrorists could not hope to win but they could disrupt any progress. The Civil War was terminated when the General Secretary of the Communist Party KKE, Zachariadis, became deluded that the terrorist could match the national army in military confrontations. However even after the military defeat of the terrorist there was a legacy that plagued Greece politics for decades." [Watkins] Living standardards remined far below pre-War levels. Per capita income levels were below that of the poorer European countries as well as the Third World countries like Mexico. Only American food aid prevented another terrible famine. Amerivan military and economic aid as part of the Truman Dictrine meant that DAG initial hit and run tactics were not proving effective. When DAG shifted to open conventional combat, the superior Greek Army defeated DAG, driviung them to border areas.

Sources

Ioannides, Yannis M. "Economic consequences of World War II for Greece," Talk at OXI Day at -Maliotis Center (October 31, 2004).

Watkins, Thayer. "The economic history and the economy of Greece, the Hellenic Republic," applet-magic.com.






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Created: 4:57 PM 10/20/2020
Last updated: 4:58 PM 10/20/2020