Soviet Union tried to empower communism all over the world while United States and its alliance supported many countries of the world to weaken the communism.
After the end of World War II, the Soviet unions decided to spread communism all over the world. The United States determined to stop the spread of Soviet power and communism. For this purpose it provided much financial support to its alliance. The alliances were democracies that were not in favor of communists too. Though they were not able to stop the spread of communism in Eastern Europe, the U.S and Britain were determined to preserve Western Europe from the reach of communists. In the World War II Soviet Union has gained much popularity in the West Europe due to the resistance against the Nazi forces. So there was a chance of election of communist parties in France and Italy. Harry Trumann was the first US president started to fight the cold War.
Britain was the first country that investigated for the nuclear weapons' development. In 1945, Britain was an activist world power. It possessed the second largest national navy, and its Empire-Commonwealth was genuinely global. The Dominions stretched from Canada to Australia, New Zealand and South Africa; it had colonial possessions from the north to the south of the African continent, to the east of Suez, in south and south-east Asia, as well as many scattered, and often strategic, island outposts. India was proclaimed as the 'jewel in the crown' of the Empire.
A major problem for the historians analyzing the impact of military expenditure on the usual working of the economy of a country just after the war is the fact ignored by the liberal economic theory. This theoretical shortfall reflects the fact that the mobilization for industrial warfare can only be achieved through suspending the normal economic operation. While accepting necessity to plan the wartime economy, most British economists considered that after the hostilities and War activities, the resources will be allocated to the market as usual. This is what the liberal economists oppose.
As a part of conversion, the British policy makers faced crucial situation about scaling down the Britain's efforts with its diminished economy and military power in the post war world. Alec Ciancross accepts that the Britain's Defence efforts may have been extraordinarily large and says that the real problem for Britain was the role it was asked to play was beyond its strength. But the other historians criticize the leadership of Britain who did not face the fact that Britain would not be able to meet the global military commitments. The question arises here is this that did the excessive military costs were responsible for low investment leading to weak economy of Britain Usually it seems to be answered that the short term expenses of the war would not affect the long term economy policies. Defence economists analyze short term and even small changes in the economy and