As the Second World War came to an end, many of Europe’s leaders grappled with the ‘Question of Europe’. Should Europe be allowed to revert to its old rivalries or be reconstructed on principles and institutions that would contribute to a positive conception of international relations? The Second World War shattered many of the assumptions and structures on which the European states had based their relations. In 1945, the European states confronted the ruin of their economies and the destruction of the assumptions and structures on which Europe had been founded.

Which country extended massive financial help for reviving Europe's economy under the Marshall Plan?

America

America extended massive financial help for reviving Europe’s economy under what was called the ‘Marshall Plan’.

European integration after 1945 was aided by the Cold War. America extended massive financial help for reviving Europe’s economy under what was called the ‘Marshall Plan’. The US also created a new collective security structure under NATO. Under the Marshall Plan, the Organisation for European Economic Cooperation (OEEC) was established in 1948 to channel aid to the Western European states. It became a forum where the Western European states began to cooperate on trade and economic issues. The Council of Europe, established in 1949, was another step forward in political cooperation. The process of economic integration of European capitalist countries proceeded step by step leading to the formation of the European Economic Community in 1957. This process acquired a political dimension with the creation of the European Parliament. The collapse of the Soviet bloc put Europe on a fast track and resulted in the establishment of the European Union in 1992. The foundation was thus laid for a common foreign and security policy, cooperation on justice and home affairs, and the creation of a single currency.