LONDON INTERNATIONAL MODEL UNITED NATIONS 2018
1 LONDON INTERNATIONAL MODEL UNITED NATIONS 2018 Table of Contents
Introduction Letter 3 Introduction to the Joint Cabinet Crisis 5 1937: The Crossroads of Diplomacy 8 Introduction: Understanding the Crisis behind Appeasement 8 The Political Economy of Europe 9 Timeline: The Rise of Nazism in Germany 13 Timeline: The Rise of Fascism in Italy 14 The United Kingdom 15 Economy and Trade 15 Treaties 18 Overview of Early 20th Century British History & Politics 18 Britain in the First World War 21 Italy 23 The Italian peninsula 23 A modern struggle for unity 23 Italy in the 20th century 25 Economy and Trade 26 Role in WWI and Treaties 29 France 33 History and Politics 33 Economy and Trade 35 Foreign Policy and Treaties 39 The League of Nations 43 History and Formation 43 The League of Nations in the Interwar Crisis 46 Current Challenges 48 Sources 51
Joint Cabinet Crisis London International Model United Nations 19th Session | 2018 2 LONDONLONDON INTERNATIONALINTERNATIONAL MODELMODEL UNITEDUNITED NATIONSNATIONS 20182018
Introduction Letter
Dear Delegates,
I would like to warmly welcome you to our Joint Cabinet Crisis committee which will be based on the Appeasement Years from May 1937. This Crisis is designed for both beginner and advanced delegates, whether you are a committed Crisis delegate or someone who prefers General Assembly debate and are interested in a new experience. You are all part of an ambitious project to simulate one of the most critical points of history in the Interwar period, not only to experience the issues European powers faced comprehensively but also to work towards alternatives which could potentially prevent the Second World War.
The focus of this Crisis committee is to enable bring out the best in the Model United Nations experience through a combination of Crisis and General Assembly procedure; putting the Resolution into practice. While the League of Nations faced great power struggles and lack of implementation of its beliefs, delegates will face the same challenge the predecessor institution of the United Nations did – war. While
3 LONDON INTERNATIONAL MODEL UNITED NATIONS 2018 diplomacy is used as a mechanism to prevent conflict, this Crisis will also evaluate how leaders and ambassadors operate throughout numerous conflicts across Europe, such as that of the Spanish Civil War.
We ask each and every delegate to challenge themselves in this new experience that is our historical journey, for we will surely challenge every cabinet and the League of Nations in approaching domestic and transnational crises. While it is surely not the inception of global diplomacy despite the first time many smaller countries are represented on such a scale, the consequences of this period will define the 20th century in trade, military capabilities and ultimately, the Western historical narrative of the origins of the Second World War.
We look forward to meeting you all at LIMUN 2018 and this Study Guide proves useful in understanding our topic for this simulation.
Yours Sincerely,
Hamzah Sheikh (Crisis Director)
Roberta Maggi and Muqqaddam Malik (Assistant Directors)
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Introduction to the Joint Cabinet Crisis
This crisis is based on the diplomatic crossroads of a continent that struggled with the long-term effects of the global crises of the Great Depression and the First World War. It is also known as the Appeasement Years in which the Great Powers failed to prevent Hitler’s regime from advancing on Eastern Europe, before Prime Minister Neville Chamberlain declared war on Germany for invoking their agreement that promised to keep Poland independent from Nazi control. While a century-old debate exists on whether the British should have intervened earlier to prevent the Second World War, the arguments between orthodox and revisionist perspectives as well as numerous counterfactual theories will be put to the test in this Crisis Committee. The starting point in this setting will be the 28th May 1937, the day Chamberlain assumed leadership over a new, National Government of the United Kingdom.
This Crisis will be an opportunity for all delegates to engage with the underlying factors behind the process that began WW2. With the countries of Britain, France and Italy present as Cabinets along with the diplomatic body of the League of Nations, leaders, politicians and ambassadors are tasked to determine the direction of what
5 LONDON INTERNATIONAL MODEL UNITED NATIONS 2018 could have happened differently. It is hindsight that will provide the challenge for all delegates in hopes of advancing the interests of their country populations, whether it is Britain’s intention to maintain its global empire, Italy’s aspiration to dominate the Mediterranean, France’s drive to advance its Republic or the League of Nations chance to overcome its history of failure to provide a diplomatic solution to global crisis.
It is strongly recommended both advanced and beginner delegates read the Crisis guides available on the LIMUN website (https://limun.org.uk/help_guides) to become more informed on Rules of Procedure, what to expect in crisis committees and how to engage with all mechanics of the simulation. Messages, news updates and directives will be facilitated by Deus Crisis Platform, a system created by crisis experts that has improved the operation of Crisis Committees and all delegates will be given a tutorial on how to use it on the first day of committee session.
Roles and Responsibilities
Delegates have all been given roles that entail a character’s history, position of power and objectives in the simulation. It is important that every delegate learns and researches their character in order to understand what they are capable of when submitting directives, along with acknowledging the history, allegiances and limitations of that of their character in May 1937. Simply having the ability to take certain action comes with consequences for a character and has to be realistic, especially within the framework of a historical crisis. All characters are not immortal and could possibly endure travel logistics, political scandal and conspiracy and assassination. Death will not be as frequent as it was in the trenches of the First World War, however in the case it will happen, it will be monumental in determining character and country relations, shifts in power and change in public opinion, all variables for each delegate to consider when submitting directives.
The Crisis Team will be responsible for personally responding to your directives by updating the news and simulated countries and characters that are not represented by 6 LONDON INTERNATIONAL MODEL UNITED NATIONS 2018
Chairs or delegates. When engaging with this simulation of historical events, we ask you consider the culture and technology of society at the time when submitting directives and evaluating the effects. This is a particular stage of globalisation where despite rapid development of science and industry radically changing the behaviour of countries within the span of decades, it is still far from the standard of accessibility we have today and therefore this needs to be considered in this ‘alternate reality’ we will provide for you in the committee. The same applies to how government institutions choose to operate and how news is reported and delivered to mass audiences, as well as the numerous advantages of air power and sound technology, practicality correlating with innovation.
Crisis Chairs will assume characters that were leaders of the countries represented as cabinets. Chairs will act with their own interests and that of the Crisis Team, however will be excluded on most information limited to what their character realistically has access to throughout the period. They will assert the agenda on the first day of committee session, assisting you in understanding and engaging the crisis simulation and guiding everyone to reach the objectives of their respective cabinets. Their prime objective is to lead the cabinet and every delegate’s progress, even if it creates clashes with the motives and methods of another character including their own.
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1937: The Crossroads of Diplomacy
Introduction: Understanding the Crisis behind Appeasement
The consolidation of power from both Nazi and Fascist leaders had posed issues for the League of Nations. Not only did Hitler withdraw from the League in October 1933 but he also introduced two-year conscription and the development of the German air force, which was not only a violation of the Treaty of Versailles but also a threat to Chamberlain, who as Chancellor, had always prioritised funding for power in the skies over the Royal Navy. A militaristic Germany was a threat to Central and Eastern Europe and its goals to expand territorial interests in connection to German domination of Jews and Slavs alarmed its neighbours. In March 1936, the Nazis established control and remilitarised the Rhineland while Europe focused on Mussolini’s conquest for the Mediterranean in hopes of reviving Italy’s symbolic history of the Roman Empire with the goal of invading Abyssinia, which he succeeded in doing despite Emperor Haile Selassie’s protest to the League of Nations (Best, 2008, 162-165).
The Appeasement policy was not only limited to the British Empire. Italy had entertained diplomatic treaties from the Locarno powers, where Mussolini wanted to prevent Hitler from becoming an enemy in anticipation of German troops in Austria. However, when Mussolini moved towards Abyssinia, he was met with sanctions from the League before he eventually succeeded in securing his invasion in 1936. Hitler
8 LONDON INTERNATIONAL MODEL UNITED NATIONS 2018 offered neutrality to Italy, which in turn gave the Germans a free-hand to work with Austrian fascists while both countries supported Franco’s nationalist regime in the Spanish Civil War. While Europe was gripped in crisis, both the British and the French were reluctant to start another war. Appeasement was spearheaded by Britain to benefit its security interests in Europe and to keep its Empire protected from other powers. The Anglo-German naval agreement in June 1935 was a move to limit Germany’s navy to 35% of that of the Royal Navy and to become a wider set of negotiations for an international armaments treaty, however, Hitler saw this as another free-hand to move further into Eastern Europe (Best, 2008, 164-170).
Delegates are tasked to use this study guide for further research in history, which will be your most powerful weapon in debate and in writing directives, whether you work in a team or independently. The League of Nations in this Crisis will approach all of Europe’s crises throughout the cabinet’s resolve to secure the interests of their country. Each country will also have their Ambassador present in the League Council to be accountable for what happens throughout the Crisis. Even though delegates will have numerous political and strategic differences with each other (between and within cabinets), the League of Nations is the chief instrument of reaching diplomatic resolution and preventing global conflict. The question of the diplomatic crossroads when engaging in Appeasement will not only be determining its success but also its purpose if it were to be successfully implemented.
The Political Economy of Europe
Europe had been torn apart by the First World War and despite the heavy funding regime enacted by the United States of America, the deep cracks were only temporarily plastered over by the free market trade of the 1920s. The loss and suffering of the First World War was hard to overcome and created years of uncertainty with little capacity for recovery. France and Germany alone lost about 15% of their male workforce, Austria-Hungary and Italy lost 6-7% and Britain lost 5%. This negatively impacted the age dynamics of the workforces and hurt
9 LONDON INTERNATIONAL MODEL UNITED NATIONS 2018 productivity limiting productivity in Europe causing the former global powers to lose their comparative advantages. The USA benefitted from this as they had enough to grow and dominate global trade in the post WWI period to establish themselves as a new hegemonic power overtaking imperialistic Britain.
In the mid-1920s the states chose to cooperate and used their collective wealth and influence to levy deals with the USA and furthered the imperialistic drives into Africa, Asia and the Middle East. Factories, farms and railways were back to full functionality with new optimal capacity levels by 1924 across Europe. Intra- European trade rose 78% between 1920 and 1925 with focus on agricultural and mechanical products. Most states refocused on mining raw materials and value addition processes. This was a shift from the industrial focus on war supplies adopted since the late 1890s as the USA and Japan developed sounder tech at cheaper rates with more stable supply. Central Europe particularly struggled as about 70% of the workforce therein relied on the land to earn a living despite the new American model sharply increasing per capita produce. The Axis Powers struggled significantly more as they stopped from trading with each other, faced hefty reparations and were subject to outside interference such as the French/Belgian occupation of the Ruhr Valley. Overall, the European economy was recovering from a sharp down turn and was stagnating in a trough pending market advancements and growth. Inflation was initially a worrying factor across Europe up to 1924 with risks and occurrences of rampant unpredictable inflatory shocks and hyperinflation. Thereafter the inflation was a strong driving force of competition and helped Europe in wealth collection. Most European states employed currency stabilization techniques largely implementing gold standard policies and markers.
The most significant economic impact in the post WWI period was the Wall Street Crash of 1929 which kicked off a global economic recession dubbed ‘The Great Depression. The use of the gold standard tied the European economy to that of the USA, thus when the crash occurred as a result of subtle bubbling factors such as falling prices, diminishing demand and uncontrollable levels of unemployment the world was plunged into economic dismay. The Dawes Plan had failed as US Hedge 10 LONDON INTERNATIONAL MODEL UNITED NATIONS 2018
Funds and Banks immediately recalled all their loans to European entities causing a hyperinflation reflex creating global asymmetric shocks. The negotiations of the Young Plan seemed to be a lifeline but were cut short by the death of Gustav Stresemann and the collapse of the American financial sector. Many blame the Great Depression on the rise of interest rates in the US but the fundamental issue was the unsustainability of American loans in Europe without substantial or moderate returns. By 1931, US investment across Europe amounted 0. Europe responded by shooting up taxation, interest rates and sticking by the gold standard but this played out poorly politically and the people felt returned to the hard times of the post WWI period. This is evident in the rise of the Fascist movements in Germany and Italy. The first European state to fall flat into the crisis was Austria with the collapse of the Creditanstalt bank due to the withdrawal of 420 million schillings in a 7-day period in October 1931; this led to the government taking over the bank thus assuming ownership of 64 Austrian companies and 65% of the nominal capital of the business sector. This broke the gold standard rule due to selling of currency based on uncertainty thus resulting in the collapse of the Austrian economy. This model of collapse was mirrored by Bulgaria, Yugoslavia, Italy, Czechoslovakia and Germany. The British Imperial Empire (including her subjects) were faced with similar struggles in 1931 when the commercial banks and the Bank of England saw unprecedented losses of confidence leading to dumping of the pound globally. The interest rates rose rapidly making households unsustainable and triggering rationing in the UK. This brought along the highest levels of budget deficit the empire had ever faced and they could not offset this irrespective of their resources being gathered from across the commonwealth. This pressure coupled with the need for radical change in the new government saw a founder of the gold standard toss it aside in September 1931 changing global economics forever.
Politically, the difficult economic situation gave rise to niche parties bringing them into the spotlight for the first time in a decade and ever for some. The rise of communism and fascism can be attributed to the poor economic performances of European states and the generally low expectancy for wealth therein. Germany and
11 LONDON INTERNATIONAL MODEL UNITED NATIONS 2018 the UK had 6 and 3 million unemployed respectively in 1932 with France and Italy following with 2 million apiece. Another major consequence was the abandonment of diplomacy and cross border trade ushering in an era of protectionism and land based economics to cater to the basic necessities of the population. Between 1932 and 1935 the average tariffs for trade between France and Germany rose 55% whereas Italy and the UK rose 32%. This ended a free trade ethos that has stood for close to a century. By 1937, the UK is the only European state in economic recovery with high levels of productivity and a competitive edge. Germany and Italy are dealing with poverty and unemployment through populist policies and conscription. The rest of Europe is struggling to consolidate political and economic power leading to general uncertainty such as in France where the informal sector of the economy has grown over 60% leading to almost a 95% decrease in financial interactions through banks.
Overall, Europe is in a fragile place economically with a dire need for cooperation to survive the possible shocks in the future. The lack of purchasing power is causing major losses against China, Japan and the USA whereas the lack of productivity is hurting jobs and livelihoods in Europe.