U.S. and Germany Although by Term Paper

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When the wall fell, the United States could somewhat smugly say, "I told you so" to the former Soviet sympathizers. Political and ideological victory was a key advantage of reunification for the United States.

The Socialist Unity Party (Sozialistische Einheitspartei Deutschlands), headed by Ulbrecht for decades, laid the foundations for the state-controlled industrial economy that would characterize East Germany and which might have crippled the Eastern provinces' potential to thrive as part of the EU. Like the former GDR, West Germany also emphasized heavy industry during the Cold War as a key to their economic growth, but the FRG permitted at least some form of free enterprise and also enjoyed having the United States as a wealthy trading partner.

Many of the lessons derived from reunification can also be incorporated into American foreign and domestic policy, informing for instance, methods of reviving economically depressed regions at home and abroad. However, the United States and Germany have consistently differed with regards to their political institutions and philosophies: the United States generally pursues a small government whereas the Federal Republic of Germany (FRG) has traditionally favored some form of socialism.

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Opponents of Germany's socialist tendencies, such as Thomas Schirrmacher, criticize the FRG's policies as "statism" that differs insignificantly from the statism of the former East Germany. Reunification has unearthed some of the problems with Germany's affection for socialist policies. For instance, the welfare monies devoted to East German economic revival have yet to pay off and unemployment remains high in former German Democratic Republic (GDR) provinces in the East.

The United States had in West Germany a valuable political and economic ally during the Cold War. When the wall came down it was as if Americans added the five new Bundesl nder to its repertoire of international trade allies without having to actually fund the reconstruction of the East as the residents of Germany did. Since the formation of the European Union, Germany's geographic, economic, and political centrality has become more poignant, the revival of former GDR a burden shared in part by member states as well as the FRG. The decisions made by current Chancellor Merkel and by EU leaders will continue to affect the United States economically and politically......

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