EVALUATION OF FINANCING THE RECONSTRUCTION OF SOCIAL INFRASTRUCTURE IN EUROPEAN IN THE POST-WAR PERIOD
Abstract
The article is dedicated to the study of financing the reconstruction of the social sector in European countries after World War II. The social sector, encompassing healthcare, education, social protection, housing construction, culture, and public services, required significant resources for recovery. In June 1947, George Catlett Marshall proposed that European countries affected by wartime losses, including infrastructure damage, use their potential and consider territorial specificities and infrastructural losses to develop a recovery program with the support of the United States (the Marshall Plan).
When determining the allocation of aid to recipient countries, factors such as population size, the country’s status during World War II, the extent of industrial and transport infrastructure destruction, and balance of payments conditions were taken into account. The largest share of the funding—two-thirds of the total provided by the program—was received by the United Kingdom, France, Italy, West Germany, and the Netherlands.
The article includes a cluster analysis of the financial aid received, which allowed the identification of three main groups of recipient countries based on the volume of funds received and their strategic significance. It was found that countries with high levels of aid, such as the United Kingdom and France, achieved significant progress in restoring social infrastructure and enhancing political stability. Countries with medium levels of aid, such as Germany, Italy, and the Netherlands, succeeded in restoring their economies and social services, ensuring sustainable economic growth in the long term. Countries with low levels of aid received basic support for economic stabilization, providing the minimum conditions for integration into the new post-war political structure of Europe.
In conclusion, the article highlights that the post-war modernization of social infrastructure contributed to the development of the European welfare model, which continues to ensure social stability and a high standard of living to this day. The experience of post-war recovery demonstrates that effective management of national and international resources during crisis periods is critical for the long-term development and resilience of social institutions. International support and investments in social infrastructure are essential elements for achieving economic and social stability, improving quality of life, and ensuring the sustainable development of society. This experience can be applied to the post-war reconstruction of the social sector in Ukraine.
