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During the time of Cold War, both USA and USSR have a program to help their allied country economically.
For USA, they have a policy called "Marshal Plan" which is aimed to support democratic country by giving them economic support.

This is a map showing the support USA gave.

http://upload.wikimedia.org/wikipedia/commons/thumb/d/dc/Marshall_Plan.svg/350px-Marshall_Plan.svg.png

For USSR, they have an organization called "Comecon" to support their communist country.

This is a map showing Comecon alliance. Yugoslavia is the country with a bright red colour with a status of "Observer".

enter image description here

According to the maps, the countries surrounding Yugoslavia were economically supported by either USA or USSR, but Yugoslavia didn't really participate in any.
My question is how did Yugoslavia economically survive when other countries have economic assistance but they didn't.

  • I'm not sure that I'd use the word "monetary support" - that term means something quite different in today's world. "economic assistance". – Mark C. Wallace Oct 24 '14 at 14:43
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    Is there a reason you assume that countries that lack economic assistance do not survive? Do you have any research tying economic assistance to national persistence or success? – Mark C. Wallace Oct 24 '14 at 14:44
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    @MarkC.Wallace Thanks for the correction. I'm just curious how they maintained good economy when there is a war going on and they also involved. Many countries' economy collapse during wars. – Xuicide Oct 24 '14 at 14:58
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    @Xuicide The Cold "War" is not that kind of war. – Semaphore Oct 25 '14 at 7:21
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    What @MarkC.Wallace said. But note also that unlike the Marshall Plan, which did provide assistance, the Soviet Union's relation to its satellites and quasi-satellites was different. Roughly speaking, it did help the undeveloped countries somewhat, but it effectively exploited the developed (European) countries it dominated, under the guise of mutual assistance. – Felix Goldberg Oct 25 '14 at 7:27
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In 1947, Cominform, an association of communist parties was founded. Cominform was supposedly an association of communist parties founded with a goal of mutual economic aid, but through Cominform, Stalin actually wanted to get control over the other communist countries.

Josip Broz Tito was opposed to that idea. He wanted Yugoslavia to be independent in its foreign policy. Stalin certainly didn't support that and tensions between Yugoslavia and USSR grew.

This struggle escalated in June, 1948. when Informburo expelled Yugoslavia from Cominform, telling Yugoslavia to get back on the right path.

The western bloc saw that as the first crack in the socialist world and wanted to help Tito in his fight against Stalin. Simultaneously, Yugoslavia requested financial aid from the USA. On November 14,1951 Harry Truman requested Congress to approve financial aid to Yugoslavia. His request was accepted and Yugoslavia got great help in money and armament, stabilizing their financial situation. During the 1950s, thanks to new methods in factory management and financial aid, industrial production growth in Yugoslavia was one of the biggest in the world.

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    So you're saying Yugoslavia did get money from super-powers in the cold war? – LateralFractal Oct 24 '14 at 23:29
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    Exactly, Yugoslavia got great loans from the USA. – Branko Sego Oct 25 '14 at 6:50
  • A source would be nice. – Felix Goldberg Oct 25 '14 at 7:25
  • @FelixGoldberg source was added. – Branko Sego Oct 25 '14 at 8:08

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