Germany's reconstruction succeeded not because of occupation but despite it: the U.S. retained Nazi-era price controls and rationing, and recovery only began when Ludwig Erhard unilaterally abolished the price controls on the radio against the occupiers' rules, because freeing prices allows resources to flow to their most highly valued ends.
causalpending
Speaker
Christopher CoyneEvidence Quote
“Erhard ... goes on the radio and lists the controls ... the quickest way ... to free up an economy ... is allow prices to fluctuate ... if I had told you and your men you wouldn't have let me do it”
Created: 6/15/2026, 9:29:02 AM
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