Paper-1, Booklet-3, History

PROBLEMS OF DIVIDED GERMANY  The division of Germany into a number of states had hampered the economic development of Germany. The social and political system in these states was also very backward.  With the growth of national consciousness, particularly after the French Revolution, the people of these states had started demanding the national unification of Germany, establishment of democratic government and social and economic reforms.  In 1815, the German states along with Austria were organised into a Germanic Confederation. However, each state tried to preserve its independence and its oppressive political and social system.  In 1848 revolts occurred in every German state and the rulers were forced to grant democratic constitutions. To unite Germany and to frame a constitution for the united Germany, a constituent assembly met in Frankfurt.  The initial success of the revolts had made the German democrats and nationalists think that victory had been achieved. While they debated the clauses of the constitution, the rulers prepared themselves to suppress the movement.  The Frankfurt Assembly proposed the unification of Germany as a constitutional monarchy under the King of Prussia who would become emperor of Germany.  However, the King of Prussia declined the offer. He did not wish to accept the crown from the elected representatives of the people. Repression soon followed and even the rights that people had won in the initial stages of the revolution were taken away. Thousands of German revolutionaries had to flee the country and live in exile. BISMARCK: POLICY OF BLOOD & IRON  With the failure of the revolution of 1848 to unify Germany, one phase in the struggle for unification came to an end. Now Germany was to be unified not into a democratic country by the efforts of revolutionaries but by the rulers into a militaristic empire.  The leader of this policy was Bismarck who belonged to a Prussian aristocratic family. He wanted to preserve the predominance of the landed aristocrats and the army in the united German state and to achieve the unification of Germany under the leadership of the Prussian monarchy. 101

 He described his policy of unification as one of ‗blood and iron‘. The policy of ‗blood and iron‘ meant a policy of war.  The first aim he pursued was the elimination of Austria from the Germanic Confederation. He aligned with Austria in a war against Denmark over the possession of Schleswig and Holstein. After Denmark‘s defeat, he entered into an alliance with Italy against Austria, defeated Austria and dissolved the Germanic Confederation. Thus Austria was separated from other German states.  In place of the old Confederation, he united 22 states of Germany into North German Confederation in 1866. The constitution of this Confederation made the King of Prussia the hereditary head of the Confederation.  The unification of Germany was completed as a result of a war between Prussia and France. FALL OF LOUIS BONAPARTE  In 1870, Louis Bonaparte, whose power had begun to collapse, declared war on Prussia in the hope of maintaining his empire through a military victory. The war was partly provoked by Bismarck. It proved disastrous for the empire of Louis Bonaparte.  The French armies were defeated and the French emperor was captured. After her defeat, France finally became a republic. Germany‘s unification was completed as a result of the war which enabled Bismarck to absorb the remaining German states into a united Germany.  The formal ceremony at which King William I of Prussia took the title of German‘ Emperor was not held on German soil. It took place at Versailles in France, in the palace of the French kings. CONCLUSION After her unification, Germany emerged as a very strong power in Europe. It underwent heavy industrialization in a very short period and soon joined the scramble for colonies. However, the militarism which made Germany into a great power was to prove disastrous to the people of Germany in the years to come. 102

UNIFICATION OF ITALY Like Germany, Italy was also divided into a number of states. The major states in the early 19th century Italy were Sardinia, Lombardy, Venetia, Kingdom of the Two Sicilies (Sicily and Naples), Papal States, Tuscany, Parma and Modena. Of these the most powerful was the kingdom of Sardinia. Venetia and Lombardy were under Austrian occupation. Thus the Italian people were faced with the task of expelling the Austrians and forcing the rulers of independent states to unite. YOUNG ITALY MOVEMENT  The struggle for Italian independence and unification was organized by the two famous revolutionaries of Italy - Giuseppe Mazzini and Giuseppe Garibaldi. The movement led by them is known as the ‗Young Italy‘ movement. It aimed at the independence and unification of Italy and the establishment of a republic there.  In 1848, as in other parts of Europe, revolutionary uprisings had broken out in Italy and the rulers were forced to grant certain democratic reforms to the people. However, the goal of independence and unification was still distant. 103

ITALY AFTER THE REVOLUTION OF 1848  The king of Sardinia had introduced many reforms in the political system of his kingdom after the revolution of 1848. After 1848, his prime minister, Count Cavour, took the initiative of uniting Italy under the leadership of Sardinia.  Cavour‘s policy in some ways was similar to that followed by Bismarck in Germany. Hoping to gain the support of Britain and France, he entered the Crimean war in 1853-56 against Russia even though Sardinia had no dispute with Russia. However, nothing came out of this war.  In 1859, Cavour entered into an alliance with Louis Bonaparte and went to war with Austria. Although France soon withdrew from the war, Austria was ousted from Lombardy, which was taken over by Sardinia.  Tuscany, Modena, Parma and the Papal States of the north also joined Sardinia.  Venetia, however, was still under Austrian occupation. The other states that remained to be united with Sardinia were the Kingdom of the Two Sicilies and Rome which was under the rule of the Pope. UPRISING IN SICILIES  Meanwhile an uprising had broken out in the Kingdom of the Two Sicilies. Garibaldi marched into the island of Sicily with his revolutionary fighters and liberated it from the rule of the king within three months. Then he marched to Naples in support of the revolt that had already broken out there.  By the end of November 1860 the entire Kingdom of the Two Sicilies had been liberated. The Italian revolutionaries were not perhaps strong enough to push the victory of the people in the Sicilies further with a view to establishing a united republic of Italy.  They surrendered the former kingdom to the King of Sardinia, Victor Emmanuel II, who then took the title of King of Italy in 1861. 104

ROME BECOME THE CAPITAL  Rome was still outside the kingdom of Italy. It was ruled over by the Pope with the help of the French soldiers provided to him by Louis Bonaparte. When the war between France and Prussia broke out in 1870, Bonaparte was forced to withdraw his troops from Rome.  Italian soldiers occupied the city of Rome in 1870, and in July 1871, Rome became the capital of united Italy.  In spite of the important role played by democratic and revolutionary leaders such as Mazzini and Garibaldi in the struggle for Italy‘s liberation and unification, Italy also, like Germany, became a monarchy. 105

AFTER THE REVOLTS AND UNIFICATIONS  The unification of Germany and Italy, in spite of the fact that democracy was not completely victorious there, marked a great advance in the history of the two countries.  The revolutions and movements described above, along with the Industrial Revolution, deeply influenced the course of the history of mankind. The forces that generated these revolutions and movements were also at work in other countries. Their success in one place fed the fires of revolt and encouraged change in the rest of the world. They are still being felt today, transforming social, political and economic life everywhere.  One of the aspects of the movements described so far is the gradual growth of political democracy, that is, the ever increasing participation of increasing number of people in the political life of a country. This happened in countries where the form of government became republican as well as in those which remained monarchies such as England, Germany and Italy.  The period of autocracies and privileged aristocracies was gradually coming to an end. Alongside, there were also the movements for national unity and national independence.  These movements were victorious in Italy, Germany, and some other countries of Europe and in the, Americas. In a few more decades they were to succeed in the rest a Europe and in the recent period in most of the world.  It is necessary to remember here that the new political and economic system that was emerging in Europe in the 19th century was also creating imperialism.  The period of the triumph of democracy and in Europe was also the period of the conquest of Asia and Africa by the imperialist powers of Europe. The 19th century saw the beginning of the revolts against imperialism in Asia and Africa. There were two mighty revolts 1. 1857 in India 2. Taiping rebellion in China. 106

WORLD WAR I (28 July 1914 - 11 November 1918) First World War (World War I) is considered as one of the largest wars in history. It was fought between the Allied Powers and the Central Powers. The main members of the Allied Powers were France, Russia, and Britain. The United States also fought on the side of the Allies after 1917. The main members of the Central Powers were Germany, Austria-Hungary, the Ottoman Empire, and Bulgaria. CAUSES OF THE WAR In the background there were many conflicts between European nations. Nations grouped among themselves to form military alliances as there were tension and suspicion among them. The causes of the First World War were: 1. Conflict between Imperialist countries: Ambition of Germany  Conflict between old imperialist countries (Eg: Britain and France) vs new imperialist countries (Eg: Germany).  Germany ship – Imperator.  German railway line – from Berlin to Baghdad. 2. Ultra Nationalism  Pan Slav movement – Russian, Polish, Czhech, Serb, Bulgaria and Greek.  Pan German movement. 3. Military Alliance  Triple Alliance or Central Powers (1882) – Germany, Italy, Austria-Hungary.  Triple Entente or Allies (1907) – Britain, France, Russia. Although Italy was a member of the Triple Alliance alongside Germany and Austria-Hungary, it did not join the Central Powers, as Austria-Hungary had taken the offensive, against the terms of the alliance. These alliances were reorganised and expanded as more nations entered the war: Italy, Japan and the United States joined the Allies, while the Ottoman Empire and Bulgaria joined the Central Powers. 107

4. International Anarchy  Secret agreement between Britain and France allowing Britain to control Egypt and France to take over Morocco. Germany opposed, but settled with a part of French Congo.  Hague conference of 1882 and 1907 failed to emerge as an international organisation. 5. Balkan Wars  Many Balkan nations (Serbia, Bulgaria, Albania, Greece and Montenegro) were under the control of Turkey. They defeated Turkey in the First Balkan War. The subsequent war was between the Balkan countries themselves – Eg: Serbia v/s Bulgaria.  Defeated countries like Turkey and Bulgaria sought German help. 6. Alsace-Loraine  During German unification, Germany got Alsace-Loraine from France. France wanted to capture Alsace-Loraine back from Germany. 7. Militarism: As the world entered the 20th century, an arms race had begun. By 1914, Germany had the greatest increase in military buildup. Great Britain and Germany both greatly increased their navies in this time period. This increase in militarism helped push the countries involved into war. 8. Mutual Defense Alliances: Countries throughout Europe made mutual defence agreements. These treaties meant that if one country was attacked, allied countries were bound to defend them. 9. Immediate Cause: assassination of Francis Ferdinand In June 1914, Archduke Franz Ferdinand, the heir to the throne of Austria-Hungary, was shot while he was visiting Sarajevo in Bosnia. He was killed by a Serbian person, who thought that Serbia should control Bosnia instead of Austria. Because its leader had been shot, Austria-Hungary declared war on Serbia. As a result:  Russia got involved as it had an alliance with Serbia.  Germany then declared war on Russia because Germany had an alliance with Austria- Hungary. Britain declared war on Germany because of its invasion of neutral Belgium - Britain had agreements to protect both Belgium and France. 108

COURSE OF THE WAR  Group 1 (Allies): Serbia, Russia, Britain, France, USA, Belgium, Portugal, Romania etc  Group 2 (Central Powers): Austria-Hungary, Germany, Italy, Turkey, Bulgaria etc.  War on Western Side: Battle of Marne.  War on Eastern Side: Battle of Tennenberg (Russia was defeated).  War on the Sea: Batter of Dogger Bank (Germany was defeated), Battle of Jutland (Germany retreated).  USA entered in 1917.  Russia withdrew in 1917 after October Revolution. END OF THE WAR  The War ended on November 11, 1918, when a general armistice was agreed to by both sides.  On June 28, 1919, World War I officially ended with the signing of the Treaty of Versailles. The Treaty of Versailles signed on June 28, 1919, was an attempt to prevent the world from going into another war. The ―war to end all wars‖ turned out to be the opposite. By ensuring Germany‘s economic ruin and political humiliation, the post-war settlement provided fertile ground for World War II. 109

CONSEQUENCES OF THE WAR 1. Rule of King ended in Germany: Germany became a republic on November 1918. The German Emperor Kaiser William II fled to Holland. 2. Around 1 crore people were killed. Unemployment and famine were rampant alongwith epidemics. 3. The fall of Russian empire after October revolution (1917) which resulted in the formation of USSR (1922) 4. Emergence of USA as a super power. 5. Beginning of the end of European supremacy. 6. Japan became a powerful country in Asia. 7. Poland, Yugoslavia and Czechoslovakia became new independent states. 8. Baltic countries – Estonia, Latvia and Lithvania – became independent. 9. Rule of Ottamans came to an end in Turkey. 10. New boundary lines were drawn for Austria, Germany and Turkey. 11. Strengthened independence movements in Asia and Africa. 12. League of Nations came into being. 13. Germany had to return Alsace-Loraine to France. Its colonies were shared. It gave up Saar coal field and Polish Corridor, and made city of Danzig independent. 14. Monarchy was abolished in Germany, Austria, Hungary, Turkey and Russia. 15. The harsh clauses of the Treaty of Versailles finally resulted in the Second World War. 110

INDIA‘S ROLE IN THE WAR  India being a former British colony played a vital role in helping Britain and its allies win over Germany and allies, a role that is often overlooked.  Being a British colony, the Indian Army contributed a large number of soldiers to the European, Mediterranean and the Middle East conflicts of war in World War I.  The Indian Army fought against the German Empire in East Africa and also on the Western Front.  They served in places as diverse as France and Belgium, Mesopotamia, Egypt, Gallipoli, Palestine and Sinai.  More than 70 thousand of the Indian soldiers who served British in World War I lost their lives. Sir Claude Auchinleck, Commander-in-Chief of the Indian Army once said: \"Britain couldn't have come through the wars if they hadn't had the Indian Army.\"  As high as 100 million British Pounds was given by India to Britain to fund their war anticipating dominion status and home rule in return.  The British raised men and money from India, as well as large supplies of food, cash, and ammunition, collected by British taxation policies. In return, the British promised to award self-rule to India at the end of the war which eventually was not delivered.  In 1931, British commemorated the war by constructing the arch known as India Gate in New Delhi designed by Edwin Lutyens. India Gate has been the focal point to commemorate over 70,000 Indian soldiers who lost their lives fighting for the British Army during World War I. 111

CONCLUSION Recently, world leaders gathered at the Arc de Triomphe in Paris on November 11 to mark 100 years since the end of World War I(1914-18).November 11 is observed as Remembrance Day (also known as Armistice Day) since the end of the World War I to remember members of armed forces who died in the line of duty. The commemoration marked the signing of the Armistice that brought the fighting to an end at exactly 11 a.m. on Nov 11, 1918. The Paris Peace Forum, conceived by French President Macron, is intended to highlight the importance of international institutions in helping resolve conflicts, avert wars and spread prosperity. The aim of the forum is to show that there are lots of forces in the international system — states, NGOs, foundations, intellectuals, companies — which believe that there is a need for world of rules, an open world and a multilateral world. 112

WORLD WAR II (1 Sep 1939 – 2 Sep 1945) The Second World War, like the First, started in Europe and assumed the character of a world war. In spite of the fact that Western countries had acquiesced in all the aggressions of Japan, Italy and Germany from the invasion of Manchuria to the annexation of Czechoslovakia, the fascist countries‘ ambitions had not been satisfied. These countries were planning another re-division of the world and thus had to come into conflict with the established imperialist powers. The Western policy of diverting the aggression of the fascist countries towards the Soviet Union had failed with the signing of the Soviet German Non-Aggression Pact. Thus the war began in Europe between the fascist countries and the major West European Powers—Britain and France. Within a few months it became a world war as it spread to more and more areas, ultimately involving almost every country in the world. FIGURE: TIMELINE 113

CAUSES OF THE WAR The first world war itself sowed the seeds for Second World War, primarily because of the humiliating Treaty of Versailles. Here, the two opposing sides were: • Britain, France, Allies USSR, USA and China Axis • Germany, Italy Powers and Japan Causes of the war can be enumerated as: 1) Humiliation by the Treaty of Versailles  War indemnity.  The provision for disarming Germany.  Saar coal mine to France for 15 years.  Polish Corridor was given to Poland.  City of Danzing was made free. 114

2) Growth of Fascism and Nazism  Mussolini (Italy) and Hitler (Germany) strongly glorified war and violence.  While West was fighting communism, Germany and Italy started massive militarization. 3) Rise of Japan  Imperialism.  Rome-Berlin-Tokyo axis (1936). 4) Neglect of minority interests  New countries like Poland, Czechoslovakia and Austria were formed after the First World War. While drawing boundaries the interests of minority groups in each of these countries were neglected. 5) Military Alliance  Allies – Britain, France, USA, USSR and China vs Axis Powers – Germany, Italy and Japan  Leaders – Churchill (Britain), Roosevelt (USA), Stalin (USSR) 6) Germany‘s attack on Czechoslovakia In-spite of the Munich Pact between Germany and Britain (1938), Germany re-attacked and sized Czechoslovakia. 7) Immediate Cause: Germany‘s invasion of Poland (1st September 1939)  Germany annexed Polish corridor and Danzig city. The sudden attack on Poland is known as Blitzkrieg (lightning war).  Britain and France declared war on Germany. 115

COURSE OF THE WAR  World War II officially began on September 1, 1939.  Germany conquered – Poland, Norway, Denmark, Belgium, Holland and France.  Battle of Britain – Germany v/s Britain (air battle; German Air force =Luftwaffe).  Battle of Stalingrad – Germany v/s USSR. (Operation of Barbaressa (1941 = Attack on Yugoslavia and Greece; Russia countered attack on Moscow with Scorched Earth Policy).  Atlantic Charter (August 1941) – Between Churchil (UK) and Roosevelt (USA).  Pearl Harbor Attack (7th December 1941) – Japan on USA.  Italy v/s UK in Africa (1942) – Ethiopia, Kenya, Sudan, British Somaliland, Eritrea.  France was conquered by Germany in 1940, but British and American troops liberated France in 1944.  Atom bomb – Hiroshima and Nagasaki. 116

CONSEQUENCES  End of colonialism and imperialism.  End of dictatorship in Germany and Italy.  Germany was divided into West Germany and East Germany. West Germany was controlled by Britain, France and USA. East Germany by USSR.  Strengthening of nationalist movements in Africa and Asia. (From Britain – India, Myanmar, Egypt, Sri Lanka; From America – Philippines; From France – Indo- China; From Dutch – Indonesia)  Economics problems – Unemployment, low growth etc.  Emergence of two power blocks – USA and USSR. This resulted in cold war.  Emergence of third world Countries.  UNO was set up in 1945. CONCLUSION The Second World War was the most destructive war in history. The fascists had converted a large part of Europe into a vast graveyard and a slave-camp. The Nazis‘ hatred of the Jews has been mentioned before. Inside Germany and in those parts of Europe which came under German occupation before and during the war, Jews were picked up and six million of them were exterminated. The labour of the countries occupied by Germany was utilized and most horrible labour camps were started. Many new weapons of destruction were devised and used in the Second World War. The most dreadful of these was the atom bomb. The atom bomb was first devised in the United States during the Second World War. Scientists of many countries, including those who had come to the United States to escape the fascist tyranny in Europe, had helped in developing it. Many other people, including many scientists who had helped in making the bomb condemned the use of the atom bomb. Though, UN has been successful in preventing a World War 3, the world is still under the threat of regional issues escalating into a world war because of ever-high interconnectedness, from North Korea crisis to India-Pakistan issue, etc. 117

COLD WAR The Cold War A major feature of the history of the world for almost four decades after the end of the Second World War was the antagonism between the United States and the Soviet Union and the armed confrontation between the military blocs headed by them. This was the period of the Cold War and the race in the designing and production of ever new weapons of mass destruction. It posed a danger to the very survival of humankind. Since the end of the First World War, the United States had emerged as the strongest power in the world. After the Second World War, her power had grown still more compared with the European powers who had dominated the world for centuries. This was both in the spheres of economic and military strength. After she acquired the atom bomb, the awareness of her power was further strengthened. The United States at that time was the only country which possessed the atom bomb. Next to the United States the mightiest power in the world after the Second World War was the Soviet Union. She had suffered more than any other country in the war. Besides the 20 million people that she lost during the war, hundreds of her towns and thousands of factories had been completely destroyed. However, in spite of these losses, her power and prestige had increased. This was to some extent due to the very important role that she had played in defeating Germany. During the war, Britain, the United States and the Soviet Union had together fought against the fascist countries. Many declarations issued during the war had emphasized that the unity among these countries would continue after the war also and would be the basis of a durable peace and international brotherhood. These declarations had aroused hopes all over the world. However, the war was hardly over when conflicts and tensions began to emerge between Britain and the United States on the one hand and the Soviet Union on the other. The relations between them began to deteriorate and came to be characterized by what has been called the Cold War. Gradually, the Cold War became more and more intense and the world was divided into two major blocs — the United States and West European countries forming one bloc and the Soviet Union and the socialist countries of Eastern Europe forming the other. Sometimes the ‗cold‘ war became ‗hot‘ but the hostilities remained confined to specific areas. The most important reason for the ‗outbreak‘ of the Cold War was the Western countries‘ fear of communism. With the increase in the might of the Soviet Union, the emergence of governments ruled by communist parties in Eastern and Central Europe and the growing strength of communist 118

parties in many parts of the world, alarmed the governments of the United States, Britain and other West European countries. In 1949, the victory of the Communist Party of China in the civil war which had been raging there for about two decades added to the alarm. The United States openly declared that her policy was to prevent the spread of communism. One of the objectives of the massive economic aid that the United States gave to West European countries was also to ‗contain‘ communism. 119

MILITARY BLOCS The growing tension in the world was worsened by the setting up of military blocs, like: NATO In 1949, North Atlantic Treaty Organization (NATO) was formed for defense against the Soviet Union. The members of this alliance were the United States, Canada, Denmark, Norway, Iceland, Portugal, Britain, France, Belgium, Holland and Luxemburg. Turkey, Greece, the Federal Republic of Germany and Spain became its members later. A NATO army was created which established its bases in many countries of Europe. Similar military alliances were set up by the United States and Britain in other parts of the world. SEATO In 1954 South East Asia Treaty Organization (SEATO) was setup with the United States, Britain, France, Australia, New Zealand, Thailand, the Philippines and Pakistan as members. BAGHDAD PACT In 1955 the Baghdad Pact was brought into being. It consisted of Britain, Turkey, Iraq, Pakistan and Iran. The United States established its military bases all over the world for use against what she considered the danger of communist aggression. The formation of these alliances and the establishment of military bases worsened the already tense international situation. These alliances and the military bases came to be looked upon by countries, which were not members of the alliances, as a danger to peace and to their independence. In some countries which were members of these alliances, these alliances were very unpopular. For example, when there was a revolution in Iraq in 1958, that country withdrew from the Baghdad Pact which had been named after capital of Iraq. CENTO The name of Baghdad Pact was then changed to the Central Treaty Organization (CENTO). These alliances were generally unpopular in the countries of Asia and Africa as all the imperialist powers of Europe were members of these alliances and used it to suppress the movements for freedom. Most of the countries of Asia and Africa which had won their freedom refused to join these alliances. 120

WARSAW Pact As against these Western and Western sponsored alliances, the Soviet Union and the socialist countries of Europe —Poland, Czechoslovakia, Hungary, Rumania, Bulgaria and the German Democratic Republic formed the Warsaw Pact. Under this pact, the Soviet Union stationed her troops in these countries. However, the Soviet Union and the other members of the Warsaw Pact did not have any military bases in other parts of the world. The Soviet Union had treaties of friendship and mutual assistance with China. 121

ARMS RACE The formation of the military alliances was accompanied by another dangerous development. This was the race for deadlier weapons of destruction. For about four years after the Second World War, only the United States possessed atomic weapons. In 1949, the Soviet Union tested her first atom bomb. A few years later nuclear weapons which were thousands of times more destructive than the atom bombs used against Japan, were developed. These were the thermonuclear or hydrogen bombs. The testing alone of these bombs created serious hazards to life. Many movements were launched in all parts of the world to demand a ban on the testing and manufacture of nuclear weapons. Most of the leading scientists such as Einstein and Linus Pauling also supported this demand. However, the arsenals of nuclear weapons in the world went on increasing. There are so many nuclear weapons in the world today that the world can be destroyed many times over. Along with the nuclear weapons and many other kinds of weaponry, new bombers, submarines and missiles have been developed which can carry these weapons over thousands of kilometres. The race for armaments which was a part of the Cold War has created the danger to the very survival of human race. Vast resources have been spent on developing these weapons. These resources, if they had been utilized for peaceful purposes, would have gone a long way in abolishing want and poverty of which millions of people all over the world are victims. 122

END OF COLD WAR 123

In the 1970s and early 1980s, some beginnings were made to end the Cold War. Agreements were reached between the United States and the Soviet Union to eliminate some categories of carriers of nuclear weapons and to reduce the number of certain types of weapons installed in certain areas. The process of ending the Cold War, however, suffered many setbacks, for example: Afghanistan In 1979, Soviet troops entered Afghanistan. This development increased the tension between the United States and the Soviet Union. Star Wars The United States launched a programme of developing new and even more deadly weapons, popularly known as the Star Wars. These weapons would have meant taking the conflict into outer space and launching attacks from there. However, the world situation began to improve after the mid 1980s and by the end of the 1980s it could be said with much certainty that the era of Cold War had came to an end. By early 1989, Soviet troops were withdrawn from Afghanistan. Many other changes took place from the late 1980s and it is generally agreed that we are now living in a post Cold War world. This can be considered as the most significant and positive development that has taken place in recent years. Effectively, the cold war ended with the disintegration of USSR in 1991. 124

NON ALIGNED MOVEMENT (NAM) Many newly independent nations of Asia and Africa as well as many nations in other continents did not like the military blocs. They began to follow a policy of non-alignment with any military bloc. Their emergence played a very important role in reducing the intensity of the Cold War and in creating an atmosphere of peace. A crucial role in promoting nonalignment and peace was played by India after her independence. One of the significant developments in this region was the Cuban revolution which overthrew the corrupt and dictatorial government headed by Batista on 31 December 1958. In 1961, the United States sent mercenaries to Cuba but the invasion ended in a fiasco and was crushed in less than three days. Having common problems and sharing common aspirations, the peoples of these countries began to act together although there was no organization binding them. However, they began to develop some common understanding on world affairs, particularly on the question of the independence of nations which were still under foreign rule. These countries were faced with the enormous task of social and economic reconstruction which could be done only in a world free from war and tension. Some countries in Asia had joined the military alliances and had allowed foreign bases to be set up on their soil. The extension of military alliances and the setting up of foreign bases were considered by most Asian countries as a threat to their Independence and a source of tension. Hence they opposed these alliances. They were also aware of the danger which the continuance of imperialism in some parts of Asia and Africa posed to them and to world peace. Bandung Conference In 1955, an important event took place which helped to strengthen the unity of African and Asian countries. This was the Afro Asian conference which was held at Bandung in Indonesia. The leaders of three Asian nations, India, China and Indonesia played an important role in the deliberations of this conference. The growing importance of the Afro Asian countries was reflected in the United Nations where on a number of issues the countries of Asia and Africa functioned as a group. 125

Nonalignment has primarily been a policy aiming at the strengthening of independence, ending of colonialism and promoting world peace. It was not merely a policy of non-involvement with military blocs but a policy for creating a better world. India under the Prime Ministership of Jawaharlal Nehru played a pioneering role in making nonalignment a major force in the world. The other leaders who played an important role in the Non- Aligned movement were: PRESIDENT COUNTRY Sukarno Indonesia Nasser Egypt Tito Yugoslavia NAM: Belgrade Summit The first summit conference of Non-Aligned nations was held at Belgrade in Yugoslavia in September 1961. Besides Yugoslavia and Cuba, from Europe and the Americas, respectively, the other participating countries were from Asia and Africa. The statement issued at the end of this conference affirmed the basic principles of nonalignment such as 1. the stabilization of peace 2. liquidation of colonialism and imperialism in all their forms 3. peaceful coexistence between nations 4. condemnation of racial discrimination 5. opposition to military alliances 6. disarmament 7. respect for human rights 8. establishment of economic relations between nations based on equality and free from exploitation 126

The popularity of the policy of nonalignment was reflected by the number of countries which joined the group of Non-Aligned nations. Beginning with 25 Countries which attended the Belgrade conference in 1961, there are today 109 countries which are following the policy of nonalignment. Movement has played a very important role in world affairs, particularly in ending colonialism and in promoting peace. The Non-Aligned countries are also working for the creation of a new international economic order in which the economic relations between nations would be based on equality, non-exploitation of one nation by another and the narrowing down of economic disparities between nations. 127

COLONISATION Colonialism is a political-economic fact whereby different nations discovered, conquered, settled, and exploited large zones of the world. Generally, colonialism happens when people from one terrain establish or acquire, maintain, and develop colonies in another region. In colonialism, the metropole or colonizing power claims dominance over the colony. From a world-systems viewpoint, much of the history of the capitalist world-economy is a history of colonialism, consisting of repeated and more or less successful attempts by the core to create a periphery, to control it politically in order to exploit it economically. Colonialism brings a totally new existence to the colonies. Cultures which are unfamiliar to one another are brought together and forced to interact and coexist. The subjugation of lands and forceful coexistence of peoples of different backgrounds (as a result of the conquest) with different beliefs and philosophies has brought about many changes, both negative and positive, especially in the colonies. Other features of the \"colonial situation\" are, domination of an alien minority, asserting racial and cultural superiority, over a materially inferior native majority, contact between a machine-oriented civilization with Christian origins, a powerful economy, and a rapid rhythm of life and a non-Christian civilization that lacks machines and is marked by a backward economy and a slow rhythm of life, and the imposition of the first civilization upon the second. 128

ADVANTAGES OF COLONIALISM Religion: Colonialism has assisted to spread religion especially the Christian religion. The European missionaries brought Christian religion to their colonies and communicated the people of the colonies the religion very well. For example, in Southern Nigeria, Christianity helped stop the killing of twins as the religion addressed equality and encouraged education for all people. In the process of learning the religion the colonial masters also made the people attain new skills. This brought about a development in the people as they were being liberated from the illiteracy which had kept them in the dark for many years. Modernization and technological advancement: Colonialism had contributed in modernization of underdeveloped regions. Progressive technological equipment and amenities necessary for improvements in medical and healthcare services, building of railroads and other developments in transportation, modern education, all have helped in the development of the colonies. Discovery of natural resources: Colonisations helps in exploring natural resources which was due to the provision of new technology known to the colonies by their colonial leaders. The use of new technology made investigation of natural resources easier and more efficient. Expansion of land: Colonialism also brought about the enlargement of land for their colonies. For example, before colonialism, there was no terrain known as Nigeria. There were only towns and villages, which were more or less restricted to their areas, living on their own. With the initiation of colonization, colonial masters expanded the land for all ethnic groups, towns and villages. Members of any ethnic group can now move to and live in any part of the country and call the place home. Language: The implementation of the language of the colonial masters by the colonies had promoted unity to an extent in most multilingual and multicultural nations. It is apparent in Nigeria which has well over five hundred languages. 129

Disadvantages of Colonialism Unfamiliar system of government: The colonial masters brought new and unfamiliar systems of government which the inhabitants were not familiar with. These systems of government gave less importance to, and had less regard for the systems of government of the colonies. Loss and destruction of culture and land: Colonialism contributed vastly to the loss and destruction of cultural norms and values of inhabitants. First of all the native languages of the colonies were made lower to the languages of the colonial masters. The mode of dressing of the people changed. Natives of the colonies started to dress and speak like the colonial masters as they were made to believe that their colonial masters were superior human beings. THE IMPACT OF COLONIALISM POLITICAL  One impact of colonialism was the political control of regions having no central government or, where centralization already existed, the foreign take-over or domination of pre-colonial central government.  British style of indirect rule and an allegedly French style of direct administration were different, bringing different outcomes.  Where there was the most effective indirect rule, the political incorporation was more problematic and the tensions between old and new elites were more obvious. Indirect rule encouraged local tyranny by allowing traditional rulers to be \"rent-seekers extraordinaire.\" Consequently, \"the colonial state in indirectly ruled colonies lacked the competences to implement policy outside of the capital city and often had no option for following policy other than compulsion\"  In contrast, where direct rule was most effective, the political integration has been easier and less clogged by old elites. Direct rule provided an administrative structure based on formal rules and had a centralized legal- administrative structure with a formal chain of command that interlinked the diverse state actors throughout the colony to the central colonial administration in the metropole.  The legal systems established in British colonies are based on common law, which allows less state interference than the French legal system established in other colonies. In between the two are the German, Scandinavian, and Socialist legal systems. 130

ECONOMIC  Drain of wealth SOCIAL  Expropriation (mainly of land)  The control over production and trade  The exploitation of natural resources  The improvement of infrastructure.  Example: By the last quarter of the nineteenth century India was the largest purchaser of British exports, a major employer of British civil servants at high salaries, the provider of half of the Empire's military might, all paid for from local revenues, and a significant recipient of British capital Colonialism led to a considerable outflow of financial resources. The so called \"Home Charges,\" the official transfers of funds by the colonial government to Britain between 1858 and 1947, consisted mainly of debt service, pensions, India Office expenses in Britain, purchases of military items and railway equipment.  With the development of colonialism in India, new middle class also arose which consisted of people who get a modern education and would become interested in public services.  Another significant group which emerged was a group of trained professionals such as doctors, lawyers, teachers, journalists. This group became very important in society and was able to develop because of the British influence on education in the country following the defeat of the British East India Company. This class was more liberal in its viewpoint because it drew its position and strength from professional competence rather than hereditary privilege.  Colonialism greatly impact on the cultural, political, religious, economic and social aspects in the colony. 131

DECOLONIZATION After World War II, colonial systems were pulled to bits in a process called decolonization. Decolonisation is the downfall of colonialism, where a nation establishes and maintains its supremacy over dependent terrains. Decolonization is described as the collapse of colonialism, or the claim of a previously colonized people for independence and self-determination. In part, decolonization was the consequence of independence movements in colonized territories. It was also the result of an intended economic decision made by colonial authorities. The cost of maintaining colonial empires had begun to surpass their value for the European powers. Other experts define decolonization as a polity's movement from a status of political dependence or subordination to a status of formal autonomy or sovereignty. In modern practice, it is generally supposed that the regal or metropolitan centre is physically separated from the dependency and that the two societies are culturally distinct. The United Nations Special Committee on decolonization has specified that in the process of decolonization there is no alternative to the colonizer allowing a process of self-determination but in practice decolonization may involve either peaceful rebellion or national liberation wars by pro- independence groups. It may be internal or involve the interference of foreign supremacies acting individually or through international bodies such as the United Nations. There are many ways by which decolonization can occur. Most commonly, the dependency becomes a new independent state, a political entity recognized in the international field as independent of other states and as possessing final jurisdiction over a defined territory and population. Less often, decolonization may occur through the dependency's full incorporation into an existing polity, such that it is no longer separate and subordinate. There were three major elements that played massive role in this decolonization process. 1. The colonized peoples' hunger for independence. 2. The Second World War itself which established that colonial powers were no longer indestructible. 3. The new focus on anti-colonialism in United Nations. 132

PHASES OF DECOLONISATION FIRST PHASE SECOND PHASE It started with the liberation of Britain's thirteen It was a global phase. It encompassed the continental colonies as the United States of freedom of most of the Indian subcontinent, America. The French Revolution touched off a Southeast Asia and Australasia, the Middle East, slave uprising that led finally to the Africa, and the Caribbean. Between the world independence of the French colony of Saint wars, some of Britain's settler colonies and a Domingue as Haiti. Portuguese Brazil and number of insecurely held protectorates became Spanish Central and South America became self- fully independent. After World War II, the major governing after the Napoleonic Wars, which had Asian colonies such as India, Indonesia, cut Latin America off from the Iberian Peninsula. Indochina, and the Philippines gained independence. This change rapidly speeded during the 1960s, which saw the decolonization of approximately all of Africa. Early American decolonization was creole Twentieth-century decolonization was deep- revolutions, as the offspring of European settlers rooted in aboriginal rather than creole sought political independence from their mother movements for independence, as country. decolonization came to mean autonomy from racially foreign rule. After World War II, settler subgroups opposed decolonization, since national independence spelled an end to their privileged political, economic, and social position. Early decolonization in the America was gained Most colonies became independent without through military battle between settler and organized violence between the imperial state imperial forces. and colonial nationalists. In much of Africa, imperial powers practically abandoned colonies at the first sign of antagonism to the colonial regime. In the middle of 1960s, decolonization had become a rather routine activity for many imperial powers, often attained through institutionalized expressions of popular will. 133

Decolonization has greatly affected on the economies of the newly formed states. It was observed that newly independent African states had to improve an economic system. Furthermore, even though the previous colonies were now formally independent, they were still rather dependent on the West for support in developing economic and political structures. Therefore, western companies still had a significant amount of control over the new states. Newly independent states borrowed money from the Western countries in order to fund their own development which created a new system of debt. For decades, this debt has been politically not possible for many countries to pay off and still exists. To summarize, the process of colonialism typically involved the relocation of populace to a new terrain, where the arrivals lived as permanent settlers while maintaining political fidelity to their country of origin. Colonialism is a practice of authority, which involves the suppression of one people to another. Decolonization is the opposing of colonialism. In this process, one nation establishes itself self-governing and separate from the state it had emerged from. 134

ECONOMIC DEPRESSION (1929 – 1945) The Great Depression of 1929 was a worldwide depression which lasted for ten years. The most important event in the U.S. economy was ―Black Thursday,\" October 24, 1929 when 12.9 million shares of stock were sold in one day. It was triple the usual amount that was spent. Over the next four days, stock prices fell 23% which resulted in the stock market crash of 1929. The height of the Depression was 1933. By then, unemployment had risen from 3% to 25% of the nation‘s workforce. Wages for those who still had jobs fell 42%. Economic output was cut in half, from $103 to $55 billion. That was partly because of deflation Prices fell 10% per year. Panicked government leaders passed the Smoot-Hawley tariff to protect domestic industries and jobs. As a result, world trade fell 65% as measured in dollars and 25% in the total number of units. Because of depression many farmers lost their farms. In the same time, years of erosion and a drought created the ―Dust Bowl‖ in the Midwest, where no crops could grow. DIFFERENCE BETWEEN DEPRESSION AND RECESSION  During the depression, the real GDP decreases, and not just rate of GDP growth. This means the production of goods and services in an economy (in a year) will be less than that of the previous year.  But on the other hand, recession denotes lowering of GDP growth rate. Recession as per usual definitions is negative GDP growth rate for two consecutive quarters. 135

CAUSES It is believed that the US Federal Reserve wrongly used monetary policies, leading to a global crisis of this scale. Thanks to the Fed, there was just not enough money in circulation to get the economy going again. Instead of pumping money into the economy, and increasing the money supply, the Fed allowed the money supply to fall 30%. Several mistakes can be enumerated as:  The Fed began raising the Fed Funds rate in the spring of 1928. It kept raising it through a recession that began in August 1929. That's what caused the stock market crash in October 1929.  When the stock market crashed, investors turned to the currency markets. At that time, dollars were backed by gold held by the U.S. Government. Speculators began selling dollars for gold in September 1931. That created a run on the dollar.  The Fed raised interest rates again to preserve the value of the dollar. That further restricted the availability of money for businesses. More bankruptcies followed.  The Fed did not increase the supply of money to combat deflation.  As investors withdrew all their dollars from banks, the banks failed. That created more panic. The Fed ignored the banks' plight. It destroyed any remaining consumers‘ confidence in banks. Most people withdrew their cash and put it under their mattresses. They further decreased the money supply. 136

EFFECTS Great Depression was one of the major economic events in world history. It affected every sphere of life. The outcomes were such that they changed the face of world economy. This article deals in detail with the economic, political, social and cultural effects of this crisis and the process of restoration. ECONOMIC  Trade Collapse: The Depression became a worldwide business POLITICAL downturn of the 1930s that affected almost all countries. International commerce declined quickly. There was a sharp reduction in tax revenues, profits and personal incomes. It affected both countries that exported raw materials and the industrialized countries.  It set the wheels rolling towards the end of international gold standards and consequently the emergence of the fixed exchange rate system.  Reduction in Government Spending: Governments all around the world reduced their spending, which led to decreased consumer demand.  Employee Distress: Wages were scaled down to 20 percent, whereas 25 percent of the workforce was left unemployed. This led to decrease in the standard of living pushing the economy further into the depth of the Depression.  Breakdown of the Financial Machinery: Thousands of investors lost large sums of money and several were wiped out, losing everything. Banks, stores, and factories were closed and left millions of people jobless, penniless and homeless.  Effect on Agriculture: Due to lack of subsidies and loans, farmers were unable to support mass produce leading to under-capacity output. Textile farming faced the major blow.  In countries such as Germany and Japan, reaction to the Depression brought about the rise to power of militarist governments who adopted the aggressive foreign policies that led to the Second World War. In Germany, weak economic conditions led to the rise to power of Adolf Hitler. 137

SOCIAL AND  The Japanese invaded China and developed mines and industries in CULTURAL Manchuria. Japan thought that this economic growth would relieve the Depression.  In countries such as the United States and Britain, the government intervened which ultimately resulted in the creation of welfare systems. Franklin D. Roosevelt promised a \"New Deal\" under which the government would intervene to reduce unemployment by work- creation schemes such as painting of the post offices and street cleaning. Both agriculture and industry were supported by policies to limit output and increase prices.  Due to failure of the financial machinery, masses' faith over the economic system shattered. This resulted in a sudden rise in the crime rate. Theft, burglary and felony became common occurrences.  With no income and several mouths to feed, workers were pushed to commit suicides.  Malnutrition was one of the severe outcomes of the Depression.  Higher education was beyond anyone's reach which resulted in contraction of the student bodies in all the universities. Due to lack of public spending, many schools were closed down or understaffed. Professional education was no longer a priority.  One of the key features of this phase was the mass migration. It reshaped the whole American scenario, people relocated to other countries in search of better employment opportunities and increased standard of living.  A positive outcome of the whole Depression was the emergence of labor unions and the concept of welfare state. It brought the trend of collective bargaining used during that phase to voice the concerns of the labor distress, which is a well-defined form of communication in companies today. 138

REHABILITATION PROCESS  The Great Depression ended as nations augmented their production of war materials at the beginning of World War II. This increased production provided jobs and put considerable amounts of money back into circulation.  In an attempt to revive the economy, governments all over the world actively participated in the regulation process especially of the financial markets.  United States constituted the Social Security Act (1935) as a response to the hardships of 1930s. It included unemployment compensation and old age and survivors' insurance scheme. With this, several other acts like the Security Exchange Act of 1933, the Glass-Steagall Act, Emergency Relief and Construction Act, etc., were introduced as corrective measures.  In Germany, Hitler developed a massive work-creation scheme that had largely removed unemployment by 1936. Rearmament, paid for by government borrowing, started in a major way. In order to control inflation, consumption was restricted by rationing and trade controls. CONCLUSION In 1932, Franklin D. Roosevelt was elected President. He promised to create federal government programs to end the Great Depression. Within 100 days, the New Deal was signed into law. It created 42 new agencies designed to create jobs, allow unionization, and provide unemployment insurance. Many of these programs, such as Social Security, the Securities and Exchange Commission (SEC), and the Federal Deposit Insurance Corporation (FDIC) are still here today. They help safeguard the economy and prevent another depression Many argue that World War II, not the New Deal, ended the Depression. However, if FDR had spent as much on the New Deal as he did during the War, it would have ended the Depression. In fact, WWII had its roots in the Depression. Financial stress made people desperate enough to elect Hitler as Chancellor in 1933. If FDR had spent enough on the New Deal to end the Depression before Hitler consolidated his power, World War II might never have happened. 139

NAZISM AND FASCISM FASCISM IN ITALY A number of political movements which arose in Europe after the First World War are generally given the name ‗fascist‘. The common features of these movements were their hostility to democracy and socialism, and the aim of establishing dictatorships. They succeeded, in many countries of Europe, such as, Hungary, Italy, Poland, Portugal, Germany, and Spain. Their success in Italy and Germany had the most serious consequences. The term ‗fascism‘ is of Italian origin. It was first used for the movement which started in Italy under the leadership of Benito Mussolini. Mussolini had organised armed gangs against socialists and communists in 1919. The Italian government had shown little concern for the welfare of the agricultural and industrial workers whose conditions were miserable in the extreme. It had, instead, plunged Italy into the First World War in the hope of gaining colonies. About 700,000 Italians were killed in the war. The conditions of the people had worsened further. The growing strength of the socialist movement in Italy posed a threat to the existing system. Italy had joined the war with the aim of gaining colonies. However, the peace tree, ties had failed to satisfy her ambitions. The Italian government at the time was dominated by capitalists and landlords. These sections began to support antidemocratic movements which promised to save them from the danger of socialism as well as to satisfy their colonial aspirations. The movement started by Mussolini was one such movement. A systematic campaign of terrorism and murder was launched but the government showed little interest in curbing it. In 1921, elections were held in Italy. However, no single party could win a majority and no stable government could be formed. In spite of the terror organized by Mussolini‘s gangs, his party performed poorly in elections. Despite that, Mussolini openly talked of seizing power. On 28 October 1922, he organized a march on Rome. The government of Italy did not show any sign of resistance against the volunteers of Mussolini. Instead, on 29 October 1922, the king of Italy invited Mussolini to join the government. Thus without firing a shot, fascists under Mussolini‘s leadership came to power in Italy. The takeover of the government by fascists was followed by a reign of terror. The socialist movement was suppressed and many socialist and communist leaders were either jailed or killed. In 1926 all political parties except Mussolini‘s party were banned. The victory of fascism in Italy not only led to the destruction of democracy and the suppression of socialist movement, it also led 140

to the preparation for war. The fascists believed that there could be no harmony between two or more nations. They glorified war which, according to them, ennobled people. They openly advocated a policy of expansion and said that nations which do not expand cannot survive for long. The victory of fascism in Italy was neither the result of a victory in elections nor of a popular uprising. The government of Italy was handed over to the fascists because the ruling classes of Italy considered democracy and socialism as threats to their power. 141

NAZISM IN GERMANY Within eleven years of the fascist capture of power in Italy, Nazism triumphed in Germany. Nazism which was the German version of fascism was much more sinister than the original Italian version. The Nazis, under the leadership of Adolf Hitler, established the most barbarous dictatorship of modern times. Germany had sought to satisfy her imperial ambitions through war but she had suffered defeat. The outbreak of revolution in Germany towards the end of the First World War led to the collapse of the German monarchy. However, even though Germany became a republic, the forces behind the monarchy the industrialists, the big landowners and the officers of the army remained quite powerful. The government of German republic was not able to destroy their power. These forces began to turn to the anti democratic forces represented by Nazism to extend their power and to check the power of the socialist movement, The term ‗Nazism‘ derived from the name of the party which Hitler founded in 1921 - the National Socialist German Workers‘ Party, or Nazi Party. Like Mussolini, Hitler had also planned to capture power through a march on Berlin. He was arrested and jailed, but released long before his term was over. He glorified the use of force and brutality, and the rule by a great leader and ridiculed internationalism, peace and democracy. He preached extreme hatred against the German Jews who were blamed not only for the defeat of Germany in the First World War but for all the ills of Germany. He glorified violent nationalism and extolled war. The dreadful ideas of the Nazis found favour with the army, the industrialists, the big landowners and the anti republican politicians. They began to look upon Hitler as the saviour of Germany. The Nazis capitalized on the sense of humiliation which many Germans felt at their defeat in the war and the unjust provisions of the Treaty of Versailles. They also exploited the misery of the people which had worsened due to the reparations which Germany was made to pay to the Allied powers. In 1929 occurred, the most serious economic crisis which affected all the capitalist countries of the world. As a result of this crisis, eight million workers, about half of the working population of Germany, were rendered unemployed. It was during this period that the Nazi Party, which was no more than a conspiratorial group in the beginning, began to spread its influence. The Social Democratic Party and the Communist Party were powerful parties with huge following. These two parties, however, failed to unite against the Nazis. The victory of Nazism in Germany, like that of fascism in Italy, was neither the outcome of a popular uprising, nor the result of a sham march on Berlin such as Mussolini‘s on Rome. In the elections held in Germany before Hitler came to power, the Nazi Party had polled fewer votes than the Socialist and Communist vote put together. 142

Hitler‘s coming to power was the result of political intrigues. In spite of his poor showing in the elections, Hitler was appointed the Chancellor of Germany by the President of Germany. Within a few weeks, the entire fabric of democracy in Germany was shattered. Soon after coming to power, Hitler ordered fresh elections and let loose a reign of terror. Assassination of anti-Nazi leaders was organized on a large scale. The Reichstag (Parliament) building was set on fire by the Nazis. The Communist Party Germany was blamed for the fire and was suppressed. In spite of the terror organized by the Nazis, the Nazi Party could not win a majority of seats in Parliament. However, Hitler assumed dictatorial powers and, in 1934, became the President. Trade unions were suppressed and thousands of socialists, communists and anti-Nazi political leaders were exterminated. The Nazis started huge bonfires into which the works of some of the best writers of Germany and other countries were thrown. Besides socialists and communists, Jews were made victims of an organized campaign of humiliation and violence. Within a few years they were to be completely exterminated. Simultaneously, a massive programme of militarization was launched and preparations for war began. The victory of Nazism was a calamity not only for the German people but for entire Europe and many other parts of the world. It brought in the Second World War. 143

DEVELOPMENTS IN BRITAIN AND FRANCE The two major countries of Europe which did not succumb to fascist movements were Britain and France. However, both these countries were faced with serious economic difficulties. In 1921, there were 2 million unemployed persons in Britain. The workers‘ movement made great advances. In 1924, the first Labour Party government came to power. However, it did not remain in power for long. In 1926 occurred the biggest strike in the history of Britain involving 6 million workers. The strike ultimately failed. A few years later, Britain was badly affected by the worldwide economic crisis and about three million people were unemployed. In 1931, the National government comprising the Conservative, the Labour and the Liberal parties was formed. This government took some steps to overcome the serious economic difficulties though the unemployment situation remained serious. After the victory of fascism in Germany, a fascist movement started in Britain but it could not make much headway and Britain continued as a democratic country. The government of France for many years was dominated by big bankers and industrialists. It hoped that by making use of the resources of the German areas which had come under her control after the war, it would be able to make France economically strong. However, these hopes were not fulfilled. France could not attain political stability also. Many governments came and fell. Political instability was made worse as a result of the economic crisis, and corruption became rampant. Fascist movement raised its head and there was violence in the streets. Ultimately, to meet the threat posed by fascist and other anti-democratic forces, a government comprising Socialist, Radical Socialist and Communist parties was formed in 1936. This is known as the Popular Front government and it lasted for about two years. During this period many important economic reforms were introduced in France. Thus Britain and France succeeded in remaining democratic countries even though they were faced with serious problems. However, the foreign policy of these countries, as you will see later, was not conducive to the maintenance of democracy in other parts of Europe and in preventing the outbreak of war. 144