Reparations are payments made to a
person or country for
damages caused to their property and or livelyhood.
The
intent is to help the
victim or, in the case of war,
victor repay their costs and rebuild their lives.
Reparations were used as a tool of
peace in wars prior to
World War II. The loser was usually required to pay a large sum to the victor to cover
war costs. This proved ineffective in the aftermath of
World War I, and was one of the direct causes of the rise of
Nazism and
World War II.