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Economy and Politics in Wartime Greece, 1940-44



Manoussakis Vassilis
Aristote University of Thessaloniki, School of Political Sciences
Type: Dissertations

This dissertation has three main aims: a) to investigate the effort of the occupying powers to exploit Greek economy, and to estimate the “contribution” of occupied Greece to the Axis war effort; b) to describe the factors that influenced the economic policy choices during the occupation, as well as the effects of those policies; c) to study the largely neglected issue of economic collaboration with the enemy, looking at the causes and the extent of this historical phenomenon, and trying to calculate the profits of those who either volunteered or felt they had no choice but to work for German and Italian authorities in Greece.
The dissertation is divided in two parts. The first deals with the German plans for “New Europe” and the place reserved for Greece therein. It also examines the various exploitation policies (occupation expenses, orders placed in Greek industries, use of forced labour, etc.) and the reaction of the Greek business community to the question of economic collaboration. A significant part of this first section also addresses - for the first time - the complex issue of an accurate estimation of the effects of the war and occupation on the Greek GDP, and of what percentage of that reduced wartime GDP ended up in the hands of the occupiers and their Greek collaborators.
The second part focuses on some specific programs of war-related production in occupied Greece, especially for the Kriegsmarine and the Luftwaffe, and looks in detail at some of the Greek businesses that were involved in those programs (Greek Powder & Cartridge Co., State Aircraft Factory, and several state and private shipyards, construction companies, and salvage firms).
This dissertation argues that the policies of German authorities were often influenced by short-term military needs (Italy played a secondary role in the exploitation of Greek resources). Furthermore, excessive demands on the Greek economy and the great scarcity of fuel and other materials led to a significant drop in production, even though that drop was smaller than the official numbers suggested. Despite war damages, decreased production, and a thriving black economy, the Axis was able to extract goods and services worth about half of the Greek GDP between 1941-44 (this estimate includes wages and business profits), thus contributing significantly to the large scale redistribution of wealth in Greece.

 



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