This episode traces the transformation of Europe and Asia from the Yalta Conference to the dawn of the Cold War. Most of Eastern Europe is dominated by the Soviet Union, and Berlin is split into eastern and western zones. Movie theaters are built along both sides of the city and show propaganda films arguing the merits of communism and capitalism. In 1948, the Soviets mount a total blockade of West Berlin. Women perm their hair with heat from wood-fired stoves and printing presses run on muscle power. War in Korea breaks out in June 1950 and grim US soldiers leave home to join the fighting.