>Or do you mean the reunification years? Cause I hardly remember "western institutions stepping in and saving the day" ever mentioned when the days of the Treuhand are brought up. The more common narrative is "west stepped in, destroyed all our industry and left us with little prospects to these days" or some more grounded version of that.
It's a convenient narrative, but it isn't, IMO, a correct one. Yes, the Treuhand had to decide quite literally which businesses got to live, and which didn't. Never before had an entire country been converted from a planned economy to a market one. There was no road map to follow. Decades of land and property seizure by both the Nazis & the Soviets made untangling actual ownership rights a Sisyphean task.
But at the same time this transition was occuring, billions and billions of Marks/Euros were and are invested in bringing the East up to the same levels of development. What do you think would have happened with the same governmental collapse, if the Treuhandanstalt hadn't existed? Honest question.
It's a convenient narrative, but it isn't, IMO, a correct one. Yes, the Treuhand had to decide quite literally which businesses got to live, and which didn't. Never before had an entire country been converted from a planned economy to a market one. There was no road map to follow. Decades of land and property seizure by both the Nazis & the Soviets made untangling actual ownership rights a Sisyphean task.
But at the same time this transition was occuring, billions and billions of Marks/Euros were and are invested in bringing the East up to the same levels of development. What do you think would have happened with the same governmental collapse, if the Treuhandanstalt hadn't existed? Honest question.