Victorious Chinese Communist forces drove the anti-Communist Nationalist Chinese off the China mainland to the island of Formosa (now called Taiwan). South Korea maintained close ties with the United States, which still occupied nearby Japan under the command of General MacArthur. North Korea, which bordered China, had become a Communist state heavily armed by the Soviet Union. By this time, Korea as a practical matter had separated into two countries. By agreement, both Soviet and American forces withdrew from Korea in 1948. American troops occupied the area south of this line. Following the defeat of Japan in 1945, Soviet troops occupied Korea north of the 38th line of latitude (usually referred to as the 38th parallel). Korea had been a Japanese possession since 1910. Constitution designates the civilian president as the commander in chief of the armed forces and the one who sets American foreign policy. Truman, as president, was MacArthur's superior. MacArthur was the top commander of the American and other U.N. During this war, a major confrontation took place between Truman and MacArthur over the conduct of the war. Yet in the 1948 presidential election, Truman pulled an upset victory. In 1946, the Republicans gained control of Congress, and Truman seemed likely to lose the next election. As part of this policy, he set up the Marshall Plan to send economic aid to Europe, and he established the North Atlantic Treaty Organization to provide military security for Europe. To stop Soviet expansion, he instituted a policy of containing communism. He decided to drop the atomic bomb on Japan. As president, Truman immediately faced many difficult situations. Inexperienced and unknown to most Americans, Truman assumed the presidency when Roosevelt died suddenly in 1945. Roosevelt picked him as his running mate in 1s944, replacing Vice President Henry Wallace for Roosevelt's fourth term in office. He returned home to Missouri following the war, worked briefly in business, and entered politics. Enlisting in the Army in World War I, he rose to the rank of captain and headed an artillery unit in France. Truman also served his country as a soldier.
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