
destroyed many of Europe’s cities, and both civilian and military casualties
had mounted. In April 1945, after the Soviets invaded Germany, Adolph
Hitler committed suicide in his bunker. Grand Admiral Karl D€onitz
became the new leader of Germany, but German resolve evaporated with
the loss of Hitler. The German forces in Berlin, Italy, northern Germany,
Denmark, The Netherlands, and France surrendered in May 1945.
Although the Germans had given up the fight, the Japanese continued
their attacks. In August 1945, Harry Truman, who assumed the presi-
dency after FDR’s death in April, ordered a decisive attack on the Japa-
nese to try to bring about a swift end to the war. U.S. bombers dropped
nuclear bombs on Hiroshima and Nagasaki in Japan, which devastated
the cities and killed or injured 225,000 people. (Lenman 1995, pp. 420,
650). In addition, tens of thousands suffered and later died from the radi-
ation. The Japanese surrendered six days later.
The closing year of the war also set the stage for the Cold War that
would dominate world relations for the next few decades. British Prime
Minister Winston Churchill, U.S. President Franklin Roosevelt, and Soviet
Premier Joseph Stalin met in Yalta in February 1945. During the conference
they agreed to give Stalin control of Eastern Europe, but he did not allow
free elections in his newly acquired land. As a result, Americans and the
British grew hostile toward Russia, and hostility grew into the Cold War.
European economies were devastated as a result of WWII, so the
leading allied countries considered various plans to restore order to inter-
national monetary relations. Twenty-nine countries created the Interna-
tional Money Fund (IMF) in December 1945. The institution was
designed to oversee the international monetary system, promote the elimi-
nation of exchange restrictions relating to trade in goods and services, and
support the stability of exchange rates. It approved its first loan on May
9, 1947, of $250 million to France for postwar reconstruction. (Yeager
1976).
The Nuremburg Trials, which were conducted from 1945 to 1949,
attempted to serve justice in the crimes that Nazis inflicted on Jews,
Catholics, homosexuals, and others they deemed as ‘‘undesirable.’’ The
media coverage of the trials brought the unspeakable crimes into public
consciousness. Americans responded to the atrocities with a shift toward
conservatism and patriotism.
Postwar U.S. foreign policy marked a distinct break from the isolation-
ism that characterized the country before the war. U.S. President Harry
Truman described the new strategy as the Truman Doctrine in a speech
on March 12, 1947. He defined it by casting the United States as the
‘‘world’s policeman.’’
The 1940s
49