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German reunification

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After the end of World War II in Europe, Germany had been divided into four occupation zones. The old capital of Berlin, as the seat of the Allied Control Council, was itself subdivided into four occupation zones. Although the intent was for the occupying powers to govern Germany together in the borders from 1947, the advent of Cold War tension caused the French, British and American zones to be formed into the Federal Republic of Germany (and West Berlin) in 1949, excluding the Soviet zone which then formed the German Democratic Republic (including East Berlin) the same year. Additionally, in accordance with the terms of the Yalta Conference in February 1945, the provinces of eastern Pomerania and Silesia, as well as the southern half of East Prussia, were annexed by Poland and the northern half of East Prussia (now known as the Kaliningrad Oblast) was annexed by the Soviet Union. The resulting expulsions of Germans in the east resulted in the death of 2,000,000 civilians. In the West the U.S. gave in 1947 in to French demands for the coal-fields of the German state of the Saar. It was made into a protectorate of France. In 1955 France under preassure from the West German government agreed to hold a referendum which led to a reunification with West Germany in 1957. France however retained control of the Saar coal-fields until 1981. The Allied plans[1][2] to internationalize or let France annex the Ruhr area, Germany's main industrial centre, were finally dropped in mid 1947 due to the emerging Cold War and the resulting change in U.S. occupation policy in Germany.

Occupied Germany in 1945

The FRG and the GDR both made competing claims to be the legitimate legal successors of the German Reich. However, the GDR changed its position at a later point, stating that Germany had ceased to exist in 1945 and that both the FRG and the GDR were newly-created states.

The 1952 Stalin Note proposed German reunification and superpower disengagement from Central Europe but Britain, France, and the United States rejected the offer. Another proposal by Stalin involved the reunification of Germany within the borders of December 31, 1937 under the condition that Germany joined the Warsaw Pact (Eastern Bloc).

From 1949 onwards, the Federal Republic of Germany developed into a western capitalist country with a "social market economy" and a democratic parliamentary government. Prolonged economic growth starting in the 1950s fuelled a 30-year "economic miracle" (Wirtschaftswunder). Across the border, the German Democratic Republic established an authoritarian government with a Soviet-style command economy. While the GDR became the richest, most advanced country in the Eastern bloc, many of its citizens still looked to the West for political freedoms and economic prosperity. The flight of growing numbers of East Germans to non-communist countries via West Berlin led to East Germany erecting the GDR border system (of which the Berlin Wall was a part) in 1961 to prevent any further exodus.

The government of West Germany and its NATO allies at first did not recognize the German Democratic Republic or the People's Republic of Poland, per the Hallstein Doctrine. Relations between East Germany and West Germany remained icy until the Western chancellor Willy Brandt launched a highly controversial rapprochement with East Germany (Ostpolitik) in the 1970s.

The end of the division (“Wende”)

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Inter-German Border Strip at the Berlin Wall

By the mid-1980s, the prospect of German reunification was widely regarded within both East and West Germany as a distant hope, unattainable as long as Communist governments ruled Eastern Europe. However, the hope of reunification was suddenly placed within reach by political changes within the Soviet Union. The advent of reformist Soviet leader Mikhail Gorbachev in 1985 caused waves of reform to propagate throughout the Eastern bloc, presenting an opportunity for change in the GDR.

In August 1989, Hungary removed its border restrictions with Austria and in September more than 13,000 East Germans escaped to the West through Hungary. Thousands of East Germans also tried to reach the West by staging sit-ins at West German diplomatic facilities in other East European capitals, especially in Prague, Czechoslovakia. In September 1989, the GDR announced that it would provide special trains to carry these refugees to West Germany, claiming it was expelling "irresponsible antisocial traitors and criminals." [3] Meanwhile, mass demonstrations against the East German regime began, most prominently the Monday demonstrations in Leipzig.

Faced with growing civil unrest, long-time East German leader Erich Honecker was forced to resign as head of the ruling Socialist Unity Party (SED) and as head of state on October 18, 1989. More resignations followed when the entire East German cabinet stepped down on November 7. The travel restrictions for East Germans were subsequently removed by the new leadership on November 9, 1989, and many people immediately went to the Wall where the border guards opened access points and allowed them through. Emboldened, many Germans on both sides began to tear down sections of the Wall itself, leading to one of the most enduring news stories of the 20th century.

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Germans dancing on the Berlin Wall.

On November 28, West German Chancellor Helmut Kohl outlined a 10-point plan for the peaceful unification of the two Germanies based on free elections in East Germany and a unification of their two economies. In December, the East German Volkskammer eliminated the SED monopoly on power, and the entire Politbüro and Central Committee – including leader Egon Krenz – resigned. The SED changed its name to the Party of Democratic Socialism (PDS) and the formation and growth of numerous political groups and parties marked the end of the communist system. Prime Minister Hans Modrow headed a caretaker government which shared power with the new, democratically oriented parties. On December 7, 1989, agreement was reached to hold free elections in May 1990 and rewrite the East German constitution. On January 28, all the parties agreed to advance the elections to March 18, primarily because of an erosion of state authority and because the East German exodus was continuing apace; more than 117,000 left in January and February 1990.

In early February 1990, the Modrow government's proposal for a unified, neutral German state was rejected by Chancellor Kohl, who affirmed that a unified Germany must be a member of NATO. Finally, on March 18, 1990, the first and only free elections in the history of the GDR were held, producing a government whose major mandate was to negotiate an end to itself and its state. As one East German ideologist had noted in 1989, "Poland would remain Poland even if communism fell, but without communism East Germany has no reason to exist."

Under Prime Minister Lothar de Maizière, East Germany negotiated with West Germany, the United Kingdom, France, the United States and the Soviet Union the preconditions for a German reunification. Despite initial Soviet objections to East Germany being absorbed into the NATO alliance, an agreement was reached which allowed a reunified Germany to remain a part of NATO on the condition that NATO troops were not to be stationed in East German territory. In addition to allaying Soviet concerns, Chancellor Kohl was able to convince the leaders of the United Kingdom and France that a unified Germany would represent no threat to its neighbors by tying German reunification with the tighter integration of Germany into the European Union.

Parallel to the multilateral negotiations, bilateral negotiations between the East and West German governments led to the signing on 18 May of an agreement for an intermediate step, an Economic, Social and Currency Union, which entered into force on 1 July. On 23 August the Volkskammer approved the proposed 3 October accession to the FRG. The Einigungsvertrag (Unification Treaty) was signed on August 31, 1990 by representatives of East and West Germany. On September 12, 1990 the Treaty on the Final Settlement With Respect to Germany (Two Plus Four Treaty) was signed and officially reestablished the sovereignty of both German states.

Reunification

Germany was officially reunified on October 3, 1990 when the five reestablished federal states (Bundesländer) of East Germany–Brandenburg, Mecklenburg-West Pomerania, Saxony, Saxony-Anhalt, and Thuringia–formally joined the Federal Republic of Germany (West Germany), choosing one of two options implemented in the West German constitution (Grundgesetz). As these five newly-founded German states formally joined the Federal Republic in accordance with the (then-existing) Article 23, the area in which the Grundgesetz (basic law) served as the constitution was simply extended to include them. The alternative would have been for East Germany to join as a whole along the lines of a formal union between two German states that then would have had to, amongst other things, create a new constitution for the newly established country. Though the option chosen clearly was simpler, it is and has been responsible for sentiments in the East of being "occupied" or "annexed" by the old Federal Republic.

To facilitate this process and to reassure other countries, the FRG made some changes to the "Basic Law" (constitution). Article 146 was amended so that Article 23 of the current constitution could be used for reunification. Then, once the five "reestablished federal states" in East Germany had joined, the Basic Law was amended again to indicate that there were no other parts of Germany, which existed outside of the unified territory, that had not acceded. However, the constitution can be amended again at some future date and it still permits the adoption of another constitution by the German people at some time in the future.

On November 14 1990, the German government signed a treaty with Poland, finalizing Germany's boundaries as permanent along the Oder-Neisse line, and thus, renouncing any claims to Silesia, Eastern Pomerania, Gdańsk (Danzig), and territories of the former province of East Prussia. The following month, the first all-German free elections since 1932 were held, resulting in an increased majority for the coalition government of Chancellor Helmut Kohl.

Effects of reunification

The cost of reunification has been a heavy burden to the German economy and has contributed to Germany’s slowed economic growth in recent years. The costs of reunification are estimated to amount to over €1.5 trillion (statement of Freie Universität Berlin). This is more than the national debt of the German state [4]. The primary cause of this was the severe weakness of the East German economy, especially vis-à-vis the West German economy, combined with (politically motivated) exchange rates from the East German mark to the Deutsche Mark that did not reflect this economic reality, resulting in a very sudden (usually fatal) loss of competitiveness of East German industries, making them collapse within a very short time. Today, there are still special transfers of more than €100 billion every year to “rebuild” the eastern part of Germany. Providing goods and services to East Germany strained the resources of West Germany. Money-losing industries formerly supported by the East German government had to be privatised.

As a consequence of the reunification, most of the former GDR has been deindustrialised, causing an unemployment rate of about 20%. Since then, hundreds of thousands of former East Germans have continued to migrate to western Germany to find jobs, resulting in the loss of significant portions of population, especially in highly trained professions. It is also thought to be the actual cause of the majority of problems in Germany which are blamed on the changeover to the euro[citation needed]. The Bundesbank (Central bank) has always insisted that the economic problems are not a result of the euro, and are a problem which Germany itself must sort out (presumably referring to reunification)[citation needed].

See also