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Home , Helmut Schmidt, Kurt Georg Kiesinger, Ludwig Erhard, Walter Scheel, Willy Brandt

in EU: A Story of Mutual Success

2. Germany in the European Economic Community (1960-1970) The second Federal (1897-1977) Ludwig Erhard was born in 1897. Economist by education (Doctor of science). Career stages: • Until 1945 - work in research institutions, did not cooperate with the Nazis; • In 1945 - Minister of Economics of , began to actively insist on the implementation of reforms to liberalize the German economy; • Since 1949 - Minister of Economics in the government of , father of the Ludwig Erhard “economic miracle” of Germany, from 1957 vice- chancellor; • 1963-1966 - Second Federal Chancellor of the Federal Republic of Germany. Erhard, like no one else, symbolized the economic growth in Germany, achieved great success in the post of Minister of Economics. Many - above all Adenauer himself - doubted that Erhard was suitable for the post of chancellor, and considered his choice to be a kind of compromise with the main task of achieving victory in the elections to the in 1965. with Erhard

The first half of the 1960s: tensions within NATO and the EEC. Source - General de Gaulle, Britain refused to join the EEC (due to pro-American policies). In 1959 de Gaulle delivered a famous speech about "Europe from the Atlantic to the Urals“. In the alliance of European countries he saw an alternative to NATO that led to a conflict with the . The German government in this conflict was on the side of the United States that did not mean a revision of the 1963 Elysian Treaty by . The European initiatives of the Erhard government (deepening cooperation in the field of foreign policy, defense and culture), stumbled over the “empty chair policy”, boycotting the meetings of the EEC and France’s decision- making. Germany tried to overcome this policy. Subsequently, German policy itself, for egoistic reasons, never provoked crises of the European integration, but was always aimed at overcoming them. The Third Federal Chancellor of Germany (1904-1988)

Kurt Georg Kiesinger was born in 1904. Career stages: • Since 1933 - a member of the NSDAP; • 1940 - entered Ribbentrop in the Imperial Ministry of Foreign Affairs, rose to head of the Radio Policy Department; • 1945 - spent in an internment camp for 18 months, recognized as the so-called “mode companion”, passive, or nominal Nazi; Kurt Georg Kiesinger • 1948 - joined the CDU, the next 10 years was a deputy of the Bundestag; • 1966-1969 - the third Federal Chancellor of the Federal Republic of Germany.

1966-1969 - the period of the first "big coalition" in the Federal Republic of Germany. The big coalition is the name of a coalition government formed by the two largest parties. In Germany, this is the Christian Democratic Union (CDU) and the of Germany (SPD), conservatives and liberals, antagonist parties, the eternal main rivals in the elections. Foreign policy of the "big coalition"

The main feature - inconsistency - is due to the discrepancy in the foreign policy approaches of the CDU and the SPD. The SPD advocated, for example, a more active Eastern policy, the CDU could not completely deviate from the course of Adenauer. European policy, 1967: • The first chairmanship of Germany in the EEC; • The Federal Union of German Industry publishes a Memorandum on the future of the EEC: it advocates the abolition of restrictions on competition in the movement of goods. First attempts on planning the European integration; • The Federal Republic of Germany supports applications for joining the EEC of Great Britain and Ireland, which France opposed in the 1960s. The apotheosis of student unrest of the 1960s. Movement: • against the ; • against the structure of higher education; • against the primacy of the economy and technocracy over society; • against the authorities of the older generation; • against the arms race of the ; • against diminishing the role and rights of women; • against obsolete norms and values. West . Demonstration May 1, 1968 Demonstration in on May 11, 1968 (1913-1992)

Willy Brandt was born in 1913 in the city of Lubeck. His real name is Herbert Ernst Karl Frahm. At the age of 17 he joined the Social Democratic Party, early began his journalistic activities in the local socialist newspaper. 1933-1945 - the period of emigration, flight from the Nazi regime. Publicist, journalist of Norwegian and Swedish publications. 1945 - return to Germany as a correspondent Willy Brandt for Scandinavian newspapers. The collection "Criminals and other Germans" (1946) Since 1949 - deputy from the SPD, assistant burgomaster 1956-1966 - Mayor of Since 1964 - Chairman of the SPD 1966-1969 - Foreign Secretary 1961, 1964, 1969 - Candidate for the position of SPD Chancellor in elections Kennedy, Brandt and Adenauer in Berlin 1963 The Fourth Federal Chancellor Willy Brandt 1969-1974 - Federal Chancellor. The election results of 1969: 46.1%, or 250 seats in the parliament - at the CDU / CSU; 42.7%, or 237 places - at the SPD; 5.8%, or 31st place - at the FDP. Coalition of the SPD-FDP. Domestic policy is not so successful (since 1973, the slowdown in production growth, inflation and unemployment due to the energy crisis), early response due to the spy scandal Willy Brandt (one of the assistants, Guillaume, turned out to be a spy). The main merits are in the field of foreign policy and spiritual overcoming of the Nazi past. Brandt was keenly aware of the historical collective responsibility of the Germans for the crimes of , the first of the chancellors to visit Israel. The main thing in the realization of Brandt is that without affecting the fundamentals, that is, Western integration, he restored friendly and constructive relations with , the region that suffered most from Hitler’s aggression. European policy of Willy Brandt Brandt managed to establish a constructive relationship with the French president Georges Pampidou. In the course of a number of summit meetings it was possible to agree on issues of agrarian policy and England’s entry into the EEC. 1969 - a plan for the development of the European economic community was adopted at the conference in the Hague.

New objectives and benchmarks: a common currency, European foreign policy, further expansion with a general goal of creating a comprehensive political and economic union.

In 1970 a phased plan for the creation of a monetary and economic union was presented. Western integration received a new impetus, a qualitatively new stage of deep integration was launched, ending with the signing of the Maastricht agreements and the creation of the (EU) in 1992.

Brandt was an active supporter and participant in the process. Brandt insisted on substantive negotiations on the accession of new members to the EEC: in 1973, the , Denmark and Ireland joined the organization (the first expansion of the EEC after its creation). Eastern policy of Willy Brandt Willy Brandt entered German history with his “new Eastern policy”. The basics of the course: theories of convergence (gradual ) and peaceful coexistence, “changes through rapprochement and tactics of small steps”. Before that the FRG had tense relations with the USSR, did not recognize the GDR and the post-war borders. In November 1969 Germany joined the Treaty on the Non-Proliferation of Nuclear Weapons. Brandt concluded from 1970 to 1973 a number of so-called “Eastern treaties” that were based on the recognition of borders, rejection of the use of military force, development of humanitarian relations. Knee bending Brandt in Brandt recognized the GDR, began to - recognition guilt cooperate with the East German regime. All symbol for the Second this contributed to the future reunification of World War Germany, the restoration of relations between the west and east of the European continent. Eastern policy of Willy Brandt

In November 1969 Germany joined the Treaty on the Non- Proliferation of Nuclear Weapons.

1970 - Moscow Treaty 1971 - negotiations in Oreanda (Crimea). Egon Bar: “The destruction of prejudice and enemy images on both sides was tangible” 1973 - Brezhnev's visit to Germany Brandt and Brezhnev Treaties with Poland (1970) and in Oreanda, Crimea 1971 (1973), recognition of the GDR, quadrilateral agreement on West Berlin (1971) Discussion with the USSR regarding Germany's membership in the EEC USSR Minister of Foreign Trade Patolichev (1971): “Our negative viewpoint towards this economic grouping does not change. We believe that the strengthening and development of relations on a bilateral basis is more in the interests of the peoples. If the "common market" already had the full economy. It is not known to the authorities how such large contracts could be concluded, for example, contracts for the supply of gas Nikolai Patolichev and pipes or a contract with FIAT”. German Foreign Minister Scheel (1970): “I informed Gromyko about the development of the EEC telling him that integration is proceeding at an accelerated pace and that there is a tendency towards the creation of a Western European union. This trend today can no longer be seen or disputed. Therefore, we consider cooperation between the EEC and the Warsaw Pact countries necessary. I also told Gromyko that the EEC is not some kind of dinosaur that intends to destroy and devour everything. This animal is grown in a zoo and has good manners. ” Willy Brandt (1913-1992) In 1971 with the words “in recognition of concrete initiatives that resulted in easing tensions between East and West” Brandt was awarded the . 1974 - the resignation. Since 1976 – was at the head of the - the union of the socialist parties of the whole world. In 1977 he was at the head of the Independent Commission on International Development Issues, another name is the North-South Nobel Presentation Independent Commission. Engaged in issues awards of assistance to developing countries, third world countries. In 1985 he was awarded the Einstein Peace Prize. In 1990 as the oldest member of the Bundestag, the ex-chancellor opened the meeting of the first all-German parliament in Brandt is watching the post-war history. fall of the (1918-2015) Helmut Schmidt was born on December 23, 1918. His father had Jewish roots that the family had hidden for many years.

1939-1945 - participation in the Second World War, served in the air defense, , artillery. He was not a convinced Nazi, known critical comments about the Nazi regime. 1945-1949 - study at the University of (Political Science and Economics). Helmut Schmidt In 1945 - joined the SPD, deputy of the Bundestag in 1953-1962 and 1965-1987. 1961-1965 - Senator in Hamburg (work in the municipality). In 1969-1974 - in the government of Brandt headed the federal ministries of defense, economics, finance. 1974-1982 - the fifth Federal Chancellor. Schmidt had outstanding competencies in the At the congress of the SPD areas of finance and economics. 1982 Conference on Security and Co-operation in Europe, , 1975 1973-1975 - Conferences on Security and Co-operation in Europe (CSCE), Helsinki August 1, 1975 - Helsinki Final Act (35 states) that became “the main law” of Europe. The main principles: 1. Sovereign equality; 2. Refraining from the threat or use of force; 3. Inviolability of frontiers and territorial integrity of states; 4. Peaceful settlement of disputes; 5. Non-intervention in internal affairs; 6. Respect for human rights and fundamental freedoms; 7. Equal rights and self-determination of peoples; 8. Mutually beneficial co-operation; 9. Fulfillment in good faith of obligations under international law. CSCE in Helsinki became the apotheosis of the policy of detente of the 1960- 1970s. After Helsinki meetings in the CSCE format became regular. ince 1995, it was decided to rename the CSCE in the OSCE - the Organization for Security and Cooperation in Europe. This organization is still active and plays an important role in resolving European crises. Schmidt actively participated in the negotiations, established partnership personal relations with the leaders of the West and the East. European policy of Helmut Schmidt (1974-1982)

Under Helmut Schmidt the FRG itself became the initiator of the processes, the main driving force of the European integration. The crisis period of the European integration from 1973 to 1984 was called the Eurosclerosis, when the countries of the EEC partially moderated the desire and real steps to open the pan-European market and concentrated on measures to protect and develop national economies. The reason is the instability of the world economy. The most important activities in this direction were the formation of the and the introduction of a single (EMU), from which the European Monetary Union, the , subsequently grew. Helmut Schmidt Schmidt worked out initiatives together with his French counterpart Giscard d'Estaing and only then presented them to the general European public. European Council The European Council became the highest political body of the EEC, consisting of the heads of state and government of the EEC member countries, meets annually several times a year. The creation of the body gave new impetus to European integration. The Council determines the main strategic directions for the development of integration. The development of a general policy of political integration is the main mission of the European Council. The Council gave the necessary impetus to the development of the entire EEC as a whole. Along with the Council of Ministers, the European Council is endowed with a political function (“political arbitration”), changing the fundamental treaties of the European integration. After its establishment in 1974, the European Council became the most important institution of European integration, primarily due to the intensive joint work of the fifth Federal Chancellor of the Federal Republic of Germany, Helmut Schmidt, and French President Valerie Giscard d'Estaing. European monetary system

The “currency snake” regime assumed the joint swimming of the monetary rate of the EEC countries (introduced in 1972 to prevent sharp exchange rate fluctuations and speculation), with a corridor of mutual currency fluctuations +/- 2.25%. The European Monetary System (1979), focused on the "currency snake", but significantly went beyond its limits. The European Unit of Account was created - ECU that was put into circulation in 1979. Its value and exchange rate in relation to other currencies was determined by the “basket of currencies” of the countries of the European Community and was a certain weighted average. Dutch Prime Minister The rate change mechanism was flexible, the Tindemans, Schmidt, fluctuation was set from +/- 2.25 (for 7 d'Estaing, Italian Prime currencies, including DM) to +/- 6% (for the Minister Andreotti 1978 Italian lira). ECU Currency Basket Currency basket is a conditional set of currencies in order to establish the rate of a national currency in relation to other currencies or to create an international settlement currency that takes into account the dynamics of changes in the exchange rates of all currencies included in the basket. The sum of the weights of all currencies included in the basket is one or 100%. The share of individual currencies in this basket was calculated according to various general economic criteria, such as: - national participation in the gross output of the EEC; - participation of the relevant state in the internal trade of the EEC; - value of the relevant national currency as a reserve currency. The share of currencies was checked and recalculated every 5 years. There were no ECU banknotes, only souvenir coins. Several member states of the EEC issued securities and bonds in the ECU, which were traded on exchanges. In fact, the ECU is: a parity base of exchange rates of the EEC; currency unit of loans and credits; currency unit of agricultural prices and so on. Currency Snake Share of national currencies in the ECU currency basket 1979-1999 data March 13, 1979– September 17, September 21, Валюта September 16, 1984– September 1989– Dec. 31, 1984 21, 1989 1998

Belgian franc 9,64 % 8,57 % 8,183 %

German mark 32,98 % 32,08 % 31,955 % Danish krone 3,06 % 2,69 % 2,653 % Peseta – – 4,138 %

French franc 19,83 % 19,06 % 20,316 %

GBP 13,34 % 14,98 % 12,452 % Greek drachma – 1,31 % 0,437 %

Irish Pound 1,15 % 1,20 % Коленопреклонение1,086 % Italian lira 9,49 % 9,98 % Брандта7,840 в% Варшаве – символ признания franc – – вины0,322 за% Вторую Netherlands мировую войну. 10,51 % 10,13 % 9,98 % Guilder

Portuguese escudo – – 0,695 %