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Full text of "Department of State bulletin"

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<77. g. 5TTIPT. OF DOCIT\fr,\TS 



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THE DEPARTMENT OF STATE 



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•FICIAL 
lEKLY RECORD 



Vol. XXXVII, No. 954 / ^ ®^'</ \ October 7, 1957 

MAJOR ISSUES BEFORE THE UNITED NATIONS • 

Address by Secretary Dulles 555 

THE UNITED NATIONS: ITS ISSUES AND RESPON- 
SIBILITY • by Assistant Secretary Wilcox 560 

CHALLENGE AND RESPONSE IN UNITED STATES 

POLICY • Article by Secretary Dulles 569 



^ITED STATES 
IREIGN POLICY 



For index see inside back cover 



THE DEPARTMENT OF STATE 




Vol. XXXVII. No. 954 • Publication 6544 
October 7, 1957 



For sale by the Superintendent of Documents 

U.S. Government Printing Ollice 

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Price: 

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The printing of tills publication has been 
approved by the Director of the Bureau of 
the Budget (January 19, 1955). 

Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Department 
or State Bulletin as the source will be 
appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the 
Department of State and the Foreign 
Service. The BULLETIN includes se- 
lected press releases on foreign policy, 
issued by the White House and the 
Department, and statements and ad- 
dresses made by the President and by 
tlie Secretary of State and other 
officers of the Department, as well as 
special articles on various pluises of 
international affairs and tlie func- 
tions of the Department. Informa- 
tion is included concerning treaties 
and international agreements to 
which tlie United States is or may 
become a party and treaties of gen- 
eral international interest. 

Publications of the Department, 
United Nations documents, and legis- 
lative material in the field of inter- 
national relations are listed currently. 



Major Issues Before the United Nations 



Address iy Secretary Dulles ^ 



It has been my great privilege to participate in 
the work of the United Nations since its begin- 
ning. I am happy today to continue that asso- 
ciation by taking part in the general debate of 
this, the 12th, General Assembly. 

The International Atomic Energy Agency 

The last year has seen the creation of an im- 
portant new international agency — the Interna- 
tional Atomic Energy Agency. 

I recall, as will all of us who were here on 
December 8, 1953, the inspiring address of Presi- 
dent Eisenhower. We must, he said, "find the 
way by which the miraculous inventiveness of 
man shall not be dedicated to his death but con- 
secrated to his life." To that end he proposed the 
creation of an International Atomic Energy 
Agency. 

To realize that vision has not been easy. There 
were serious initial obstructions. It has taken 4 
years of patience, firmness, and diplomacy to 



achieve our goal, 
achieved. 



But now at last that goal is 



Justice and Law 

Other major activities of the United Nations 
during the past year have been in relation to 
Egypt and Hungary. I do not review these at 
this time, as they are fresh in the minds of all of 
us. However, I would recall that, when I dis- 
cussed these matters at the first emergency ses- 
sion of the United Nations,^ I referred to article 
1 of our charter, which calls for peaceful settle- 



^ Made before the U.N. General Assembly at New York, 
N.T., on Sept. 19 (press release 529 revised). 
' Btilletin of Nov. 12, 19.o6, p. 751. 



ments "in conformity with the principles of jus- 
tice and international law." I expressed here the 
hope that we might in the future do more to give 
vitality to that principle. 

Unhappily, there is today much injustice in 
the world. The forcible partition of Germany is 
one injustice that comes instantly to mind. 

There also seems to be reluctance on the part 
of many members to conform to article 36, which 
says that "legal disputes should as a general rule 
be referred by the parties to the International 
Court of Justice." 

If there is any one thing that history demon- 
strates, it is that it is impossible to preserve peace 
indefinitely miless that peace is based upon justice 
and upon law. 

Disarmament 

I speak now of limitation of armament. It is 
one of the essential tasks which the charter lays 
upon the United Nations. 

To limit armaments is at best a difficult task. 
The inherent difficulties are today intensified by 
acute distrust. 

To make matters still more difficult, there are 
now in existence new weapons, the control of 
which cannot be assured by any scientific means. 
The Soviet Union has pointed out that it was im- 
possible to preclude "the clandestine manufacture 
of atomic and hydrogen weapons."^ Therefore, 
the Soviets concluded, "until an atmosphere of 
trust has been created in relations between States, 
any agreement on the institution of international 
control can only serve to lull the vigilance of the 



' ma., Ma.v 30, 1!>55, p. 904. 



Ocfober 7, 1957 



555 



peoples. It will create a false sense of security, 
while in reality there will be . . . the threat of 
surprise attack." So speaks the Soviet Union. 

We agree on the need for "an atmosphere of 
trust." But how shall we create it? One way 
is for the great military powers to demonstrate, 
by their conduct, that they live up to their pledges 
expressed in our cliarter. Unhappily, that basis 
for trust is lacking. I need only recall the As- 
sembly's recent resolution dealing with the tragic 
fate of Hungary. 

There is, however, another way to establish con- 
fidence; that is for the great military powers to 
accept such reciprocal inspection as will in fact 
make it unlikely that tliere could be the "sur- 
prise attack" of which the Soviet note spoke. 
Then we shall not have to trust each other's word 
or each other's intentions. Bad faith would be 
so vulnerable to detection that it would not be- 
come a profitable tactic even for those so inclined. 

That is the concept which underlay President 
Eisenhower's "open skies" proposal made at the 
"summit" conference. Tliat concept instantly won 
worldwide acclaim, and it has been endorsed by 
this Assembly. It is the heart of the joint pro- 
posals which four of the five members of our 
Disarmament Subcommittee agreed upon last 
month. 

The Joint Proposals 

I shall briefly describe these joint proposals,* 
for they will, no doubt, figure largely in tlie de- 
liberations of this 12th Assembly. 

1. The joint proposals would provide reciprocal 
inspection to safeguard against surprise attack. 
President Eisenhower had proposed this by aerial 
inspection. Messrs. Bulganin and Khrushchev 
had proposed land inspection. The joint propos- 
als combine the two types of inspection. 

Witli respect to the initial zones of inspection, 
the joint proposals offer the Soviets a wide choice. 
If they will pei'mit inspection of tlie Soviet Union 
and Eastern Europe, they can have inspection of 
all areas from which the Soviet Union professes 
to fear attack, i.e., Western Europe, the United 
States, and Canada. There are a few United 
States bases in other areas, and, as I said at Geneva 
in 1955, the United States would not object to their 
also being opened to inspection. 

If the Soviet Union prefers to start on only a 



* Ibid., Sept. 16, 1957, p. 451. 
556 



modest and experimental basis, Canada, Denmark, 
Norway, and the United States unite to ofi'er such 
an area in the north. Willingness is also ex- 
pressed to iiave a small initial zone in Europe. 

Tims the joint proposals deal with what all 
recognize to be the threshold difficulty, lack of 
trust and the clanger of surprise attack. 

2. The joint proposals then tackle the nuclear 
weapons problem. They provide (a) that no 
fissionable material shall ever again be produced 
for weapons purposes once an adequate control 
system is established and (b) that existing fission- 
able material, available for weapons, will be regu- 
larly reduced by transfers to nonweapons pur- 
poses. 

Most experts, including those of the Soviet 
Union, agree that there is no dependable way to 
control existing stocks of fissionable material and 
to exclude their clandestine use. But we believe 
tliat it is possible to assure that no fissionable 
material hereafter produced shall be used for 
weapons purposes. That we propose to assure, 
and surely that is worth doing. 

3. The joint pi'oposals call for suspending the 
testing of nuclear weapons for 2 years and there- 
after if other aspects of the program are moving 
forward as agreed. 

4. The joint proposals would establish a study 
of outer space to the end that it shall be used 
only for peaceful and not for military purposes. 
The Soviet Union has announced that it had dis- 
covered ways to use outer space to wreak vast 
destruction anywhere. That is no new discovery. 
The United States, too, knows how that can be 
done. Our task is to see that it is not done. 

5. The joint proposals would reduce the number 
of armed forces and put a part of the present 
stocks of armament into internationally super- 
vised depots. 

Testing 

Mr. President, let me here say a few words 
about the much debated matter of testing. 

We seek, by experiments now carefully con- 
trolled, to find how to eliminate the hazardous 
radioactive material now incident to tlie explosion 
of tliermonuclear weapons. Also, we seek to make 
nuclear weapons into discriminating weapons, 
suitable for defense against attacking troops, sub- 
marines, and bombers, and for interception of in- 
tercontinental missiles. 

Deparfment of State Bulletin 



The Soviet Union seems not to want tlie charac- 
ter of nuclear weapons thus to be retined and 
changed. It seems to like it that nuclear weapons 
can be stigmatized as "liorror" weapons. 

Does it calculate that, under these conditions, 
governments subject to moral and religious influ- 
ences will not be apt to use them ? And would the 
Soviet Government, which itself is not subject to 
moral and religious restraints, thereby gain a spe- 
cial freedom of action and initiative as regards 
such weapons? 

And does the Soviet Union not want nuclear 
weapons to be refined into effective defense weap- 
ons which could repel an aggressive attack by 
those who control the most manpower ? 

We want to reduce, to the maximum extent pos- 
sible, the danger of surjjrise attack and thus the 
danger of war itself. We want, to the maximum 
extent possible, to stop the future use of fissionable 
material for weapons purposes. We want existing 
nuclear weapons stockpiles to start on their way 
downward. We want to end the risk that nuclear 
weaj^ons will be spread promiscuously throughout 
the world, giving irresponsible persons a power 
for evil that is appalling even to contemplate. 

But if the Soviet Union rejects inspection 
against surprise attack, if it rejects a worldwide 
system to end the production of fissionable ma- 
terial for weapons purposes, if it rejects coopera- 
tion to prevent the promiscuous spreading of nu- 
clear weapons throughout the world, if it refuses 
to start a reciprocal reduction of existing weapons 
stockpiles, then we doubt that it is prudent to 
forgo efforts to make nuclear weapons into dis- 
criminating defensive weapons substantially free 
of radioactive fallout. 

Now, of course, our friends, it is essential that 
experimentation with nuclear weapons should not 
itself carry a threat to human life. The United 
States has a concern second to none in that matter. 

We shall invite the United Nations to send ob- 
servers to one of our next tests so that they can 
see how these tests are conducted. 

Last March the United States and the United 
Kingdom joined to declare their intention to con- 
duct nuclear tests only in such a manner as would 
keep world radiation from rising to more than 
a small fraction of what might be hazardous.^ In- 
deed, because each year a percentage of radio- 
activity dies away, we have reason to hope that 



'Ibid., Apr. 8, 1957, p. 561. 
, October 7, J 957 



in the future any needed testing can be accom- 
jjlished without any material raising whatsoever 
of the levels of radioactivity in the world. 

The Soviet Attitude 

The joint proposals which I describe derive 
from months, even years, of effort and discussion. 
They were formally submitted on August 29. The 
Soviet delegate instantly rejected them. He de- 
clared them a "sham." He went on to insist that 
the work of the subcommittee should be recessed, 
and he refused to agree on a date for the resump- 
tion of its task. 

We cannot believe that that sweeping, almost 
contemjituous, Soviet rejection is final. Never 
before have so many nations, of so great military 
power, joined to make proposals so far-reaching. 
Any government that summarily rejects them 
would accept a frightful responsibility before all 
the world. 

Humanity faces a tragic future if the war threat 
is not brought under control. It would mean that 
men, in order to survive, must learn to live as bur- 
rowers within the earth's surface to find protection 
against death. It would mean that man would be 
a slave to the rapidly mounting costs of an arms 
race. It would mean that individual freedom 
would give way to the requirements of bare 
survival. 

The free-world members of the Disarmament 
Subcommittee reject that future. They accept 
what to some seem sacrifices, and to others risks, 
in order to chart a course which will reduce the 
danger of war, not just nuclear war but all war. 
"Wliether or not the Soviet Union today refuses to 
follow in that course, we can be confident that the 
enlightened effort that produced these proposals 
will not have been in vain. Even if the Soviet 
Union now rejects the joint proposals, those pro- 
jjosals should not on that account be regarded as 
dead. Their principles are valid and will live on. 

The search for limitation of armament cannot 
be held in a state of suspense. Economic consid- 
erations alone require efforts to relieve the peoples 
of the terrible burden of armaments. Also there 
is need better to assure that the vast power which 
now resides in armaments shall serve only for secu- 
rity and never as an instrument of purely national- 
istic policies. 

There are today about 50 nations which have 
made collective defense pacts as authorized by our 

557 



charter. Such a framework is conducive to the 
development and application of these principles. 
For the very purpose of collective security is to en- 
able each party to get more security with less 
armament. Already, for example, in Western 
Euroj^e there is on the one hand the North Atlantic 
Treaty Organization, which calls for contributions 
to a common defense, and on the other hand the 
1954 treaty for Western European Union, which 
provides for limitations upon national armaments. 

If we cannot advance on a universal front, let the 
nations, wherever possible, draw closer together so 
that, within the limits of safety, we may relieve 
the burden and reduce the risks of armament. 

But let us not fatalistically assume the Soviet 
response of last month is their last word. At first • 
the Soviets rejected the proposal for an Interna- 
tional Atomic Energy Agency, calling it a scheme 
which would serve only "aggressive forces." We 
persisted then. Let us persist now. If this or- 
ganization will put the weight of its influence 
behind the principles of the joint proposals, it is 
not impossible that those principles will yet obtain 
universal acceptance. Since the stakes are so high, 
no chance, however slight, should be left untried. 

The Middle East 

Mr. President, I turn now to the Middle East, 
speaking first of a past we would all prefer to for- 
get. But we dare not forget because, unhappily, 
the past lives in the present. 

Russia's rulers have long sought domination in 
the Middle East. In 1940, when the Soviets were 
seeking a division of the world with Hitler, they 
stipulated that "the area south of Batum and Baku 
in the general direction of the Persian Gulf is 
recognized as the center of the aspirations of the 
Soviet Union." 

In the immediate postwar period the Soviets 
prolonged their military occupation of Iran ; they 
sought trusteeship over Libya, and they fomented 
subversion against Greece. 

Between 1945 and 1949, however, Central 
Europe became the principal theater of Soviet 
activities. 

In 1949, after the Marshall plan and the North 
Atlantic Treaty, the Soviets shifted their 
principal efforts to the Far East. There they 
supported the Communist revolution in China, the 
war in Korea, and the war in Indochina. 

In 1955, after the United Nations' successful 



558 



defense of Korea and the making of the Southeast 
Asia and other defensive pacts, the Soviet rulers 
again made the Middle East the center of their 
external efforts. This time they tried to use, in 
Arab countries, the technique that Stalin and 
Lenin had prescribed for bringing about the 
"amalgamation"- — that is their word — of the so- 
called "colonial and dependent peoples" into the 
Soviet orbit. This technique, as Lenm specified, 
involves inciting nationalism to break all ties with 
the West and thus create so total a dependence 
upon the Soviet Union that it can take full control. 

So, in 1955, the Soviet rulers began intensive 
propaganda designed to incite the Arab nations to 
believe that with Soviet arms, with Soviet tech- 
nicians, and with Soviet political backing they 
could accomplish extreme nationalistic ambitions. 

This Soviet Communist effort has made progress 
in Syria. There Soviet-bloc arms were exultantly 
received and political power has increasingly been 
taken over by those who depend upon Moscow. 
True patriots have been driven from positions of 
power by arrests or intimidation. 

One consequence of this is that Turkey now 
faces growing military dangers from the major 
buildup of Soviet arms in Syria on its southern 
border, a buildup concerted with Soviet military 
power on Turkey's northern border. Last week 
the Soviet Union sought to intimidate Turkey 
from making internal dispositions of its own se- 
curity forces. 

The "Essentials of Peace" 

I turn now to recall the position of this organi- 
zation with respect to so-called indirect aggres- 
sion. In 1949 the General Assembly adopted a 
resolution entitled "Essentials of Peace." ^ The 
resolution calls upon every nation "To refrain 
from any threats or acts, direct or indirect, aimed 
at impairing the freedom, independence, or in- 
tegrity of any state." Wlien this resolution was 
voted upon, the only nations voting "no" were the 
five Soviet-bloc states. 

The United States has consistently supported 
the "Essentials of Peace" and has done so specifi- 
cally in relation to the Middle East. 

In 1947, when international communism was 
seeking to take over Greece and threatening Tur- 
key, President Truman said, "totalitarian regimes 



' For text, see iiid., Nov. 28, 1949, p. 807. |i 

Department of State Bulletin I 



imposed upon free peoples, by direct or indirect 
aggi-essioii, undermine the foundations of interna- 
tional peace." ' 

When the Soviet threat to the Middle East was 
recently resumed, the Congress of the United 
States, by joint resolution, declared that "the 
United States regards as vital to the national in- 
terest and world peace the preservation of the 
independence and integrity of the nations of the 
Middle East."* It authorized the President to 
give economic and military assistance to help the 
nations of the Middle East to remain independent. 
It also says, ". . . The United States is prepared 
to use armed forces to assist any such nation or 
group of such nations requesting assistance 
against armed aggression from any coimtry con- 
trolled by international communism." 

On September 7, 1957, President Eisenliower 
called attention to the danger in Syria and re- 
aiErmed his intention to "exercise, as needed" the 
authority given him by that congressional reso- 
lution.s 

The Soviet Communists appear to be engaging 
in "acts, direct or indirect, aimed at impairing the 
freedom, independence or integrity" of certain 
Near East nations in violation of our United 
Nations "Essentials of Peace" resolution. Also, 
we believe that these Soviet acts may, perhaps un- 
wittingly, lead the recipients of Soviet arms into 
acts of direct aggression. Those who feel an 
abnormal sense of power, as a result of the recent 
putting into their hands of large amounts of So- 
viet-bloc arms, are being incited against their 



'Ibid., Mar. 23, 1947, p. 534. 
'Ibid., Mar. 25, 1957, p. 481. 
' Ibid., Sept. 23, 1957, p. 487. 



neighbors by violent propaganda. That is risky 
business. 

Of course, in this situation the primary respon- 
sibility rests upon the member nations themselves. 
It is they who should abstain from acts of aggres- 
sion, direct or indirect. It is they who have an 
inherent right of individual and collective self- 
defense. Nothing that the United Nations can 
do should i-elax for one moment the vigilance and 
efforts of each free nation to maintain the genuine 
integrity and independence of itself and of every 
other free nation. 

Nevertheless, when there is such a situation as 
now exists in the Middle East, tliis General As- 
sembly ought at least to consider it and to dis- 
cuss it. Discussion, as our charter suggests, may 
of itself be salutary. The United States reserves 
the right, in the light of that discussion, to intro- 
duce concrete proposals. 

Mr. President and fellow delegates, it is a trag- 
edy that the Middle East, so rich in culture and 
tradition and contributing so greatly to the mate- 
rial and spiritual welfare of all the world, should 
be distraught, as it is today. The United States 
stands ready to contribute generously to the eco- 
nomic development of the area luider conditions 
which will promote and strengthen the freedom 
and independence of the nations. This prospect 
of enlarged freedom and well-being will, how- 
ever, never be realized so long as the area is 
looked upon as a subject of conquest and as a 
potential base for the domination of Europe, 
Asia, and Africa. 

The United Nations may not be able, by any 
material power that it can muster, to tranquilize 
the scene. But we can exert our influence. May 
we at least do that and thereby once again serve 
the cause of peace, hope, and happiness. 



October 7, 1957 



559 



The United Nations: Its issues and Responsibility 



hy Francis 0. Wilcox 

Assistant Secretary for International Organisation Affairs ^ 



It is always heartwanning to meet with old 
friends on the eve of a momentous event. It is 
particularly true on this occasion — only 2 days 
before the opening of the 12th General Assembly. 

The American Association for the United Na- 
tions and the other nongovernmental organiza- 
tions represented here have given sustained and 
vigorous support to the United Nations. You 
have contributed a great deal to a fuller under- 
standing in this country of the importance of the 
United Nations to all of us. We must never forget 
that public understanding of the United Nations 
is absolutely essential to its effectiveness. I con- 
gratulate you for the splendid job you are doing. 

The fact that the Congress did not reduce our 
contributions to any of our United Nations pro- 
grams for next year is a tribute to your deep in- 
terest in the organization and the solid support of 
the American people for it. 

All of us have reason today for jiarticular en- 
couragement, in that the United States is sending 
one of its strongest delegations - to one of the most 
significant meetings of the General Assembly in 
United Nations history. Under the tireless and 
able leadership of Ambassador Lodge, the United 
States team represents this counti'y in the widest 
sense. Its members come from diverse walks of 
life — the legislative and executive branches of 
government, law and labor, education and the arts. 
We can be assured of a forceful and productive 
representation of United States interest at this 
forthcoming session of the Assembly. 



' Address made before the American Association for the 
United Nations at New York, N.Y., on Sept. 15 (press 
release 519 dated Sept. 14). 

= Bulletin of Sept. 9, 1957, p. 443. 

560 



The New Role of the General Assembly 

The current problems of the Assembly can best 
be reviewed against a background of its changing 
role. This is particularly true with respect to the 
Assembly's increasing responsibilities. Events of 
the past year, perhaps more than any other, have 
underlined this significant change. They clearly 
underscore the fact that the United Nations today 
has emerged a different organization from that 
conceived in 1945 at San Francisco. 

The architects of the charter vested in the 
Security Council the power and responsibility to 
maintain and restore world peace. This power 
and responsibility dovetailed neatly with one 
another, at least in theory. However, over a dec- 
ade of cold war the increasingly deep cleavages 
between the Soviet orbit and the free world, and 
in particular the endless abuse of the veto by the 
U.S.S.R., have seriously crippled the role of the 
Security Council for the time being. 

If increasing disuse has characterized the Secu- 
rity Council, the opposite is true of the General 
Assembly. Unlike the Council, it was created 
only to recommend, not to decide. It was designed 
as a forum — a town meeting of the world — where 
member nations could air the conflicts arising from 
their varied interests and aspirations. Its found- 
ing fathers did not attempt to provide representa- 
tion in the Assembly to member states on the basis 
of their power or interest in world affairs. 

Today the General Assembly has grown from 51 
to 81 member countries. It will soon have 82 
when the newly independent Federation of Alalaya 
becomes a member.^ We welcome Malaya into the 



' Malaya became a member of the U.N. on Sept. 17. 
Department of State Bulletin 



famil}' of free nations. And we are particularly 
gratified that Malaya achieved its independence 
througli peaceful negotiation with the United 
Kingdom under circumstances of high statesman- 
ship on both sides. 

Most of the growth of the Assembly, as you are 
aware, consists of the membership of newly 
sovereign nations in Africa and Asia. It reflects 
tlie increasing importance of these developing 
countries, and rightly so. For their legitimate 
interests and aspirations cannot and will not be 
ignored in the present scheme of things. The in- 
creasing urge for greater freedom and independ- 
ence is one of the central facts of the contemporary 
world. The United States intends to continue to 
encourage these legitimate aspirations both 
within and outside the United Nations and to 
contribute toward their achievement through the 
orderly processes of peaceful change. 

The enlargement and changed composition of 
the Assemblj', along with its increasingly impor- 
tant role, has broad implications for the future. 
Able students of world affairs are pondering 
whether the Assembly can effectively face up to 
the critical issues which confront it. Can justice 
and fair play really be achieved in a body such as 
the General Assembly, they ask ? Or is it too un- 
wieldy and too susceptible to political jiressures? 
Let us briefly examine some of these fears and 
criticisms. 

Criticisms of the General Assembly 

It is often contended that the General Assembly 
is tending more and more toward bloc voting and 
that this is a dangerous development because of 
possible misuse of political power. I suggest to 
these critics that the only really consistent bloc 
voting in the Assembly is done by the U.S.S.R. and 
its satellite states. 

In practice, the states of Africa and Asia do not 
vote as a bloc. When they do, it is ordinarily on 
issues for which there is overwhelming support 
from other states as well. Such was the case, for 
example, on the resolutions relating to the Middle 
East crisis at the 11th session. 

We ought to be perfectly candid about it ; we do 
ourselves and the United Nations a disservice when 
we refer to the Afro-Asian bloc. To be sure, these 
states do have some things in common. But no 
one can deny that, when taken as a whole, the dif- 
ferences between them — in history, language, cul- 



ture, and political thinking — are very great indeed. 
It would be surprising if they were to vote as a 
bloc on most issues before the Assembly. 

Some critics also complain that resolutions are 
often watered down in order to get a two-thirds 
vote. I do not have to tell this audience a resolu- 
tion is seldom approved in committee in the form 
in which it was first submitted — not even in our 
own Congress. The process of compromise, the 
attempt to find common ground and secure wide 
supjDort for it, is a truly democratic process. As 
Edmund Burke put it in his famous address on 
conciliation with America: "All government, — 
indeed, every human benefit and enjoyment, every 
virtue and every prudent act, — is founded on com- 
promise and barter." 

An excellent example of the effectiveness of this 
process was the Assembly's handling of the Al- 
gerian problem in its last session.^ A moderate 
compromise resolution was introduced. It ex- 
pressed the hope that a peaceful, democratic, and 
just solution to the Algerian problem could be 
found in conformity with the principles of the 
charter. The resolution was unanimously adopted. 
This, I suppose, could be cited as an example of a 
watered-down resolution. It would be far more 
accurate in my view to describe it as a .practical 
compromise arrived at after extensive debate in 
which all sides had an opportunity to air their 
views. 

Another complaint is that the vote of a small, 
economically and politically weak state weighs 
equally with that of a large and strong nation, 
with the result that a gi-oup of small countries can 
"gang up" on the large ones. Wlien a nation first 
gains its independence, one of its first actions is to 
apply for admission to the United Nations. Mem- 
bership in this body is regarded as the final stamp 
of approval by the international community. 
Once admitted, it is only natural that the new 
nation is eager to demonstrate its ability to con- 
tribute to United Nations objectives and to assert 
its newly found independence. By and large, I 
believe that these newly sovereign states and the 
so-called small or weak nations have acted re- 
sponsibly and in the common interest. 

Thei-e is every reason for them to do so. Being 
weak, they lean upon the United Nations. They 
look upon it as the special guardian of their in- 



* Bulletin of Mar. 11, 1957, p. 421. 



October 7, 1957 



561 



terests. I cannot believe they would take irre- 
sponsible action and thus impair the usefulness of 
the organization that protects them and gives 
them an equal voice in the councils of nations. 

Others contend that the General Assembly has a 
so-called "double standard" of justice and moral- 
ity, one for the states which abide by its recom- 
mendations and another for those which defy 
them. The failure of the General Assembly to 
bring about the withdrawal of Soviet forces from 
Hungary as contrasted with its success in the Mid- 
dle East conflict has been cited as an example of 
this "double standard." 

The record of Assembly action on these two 
issues, in my opinion, does not support these 
charges. The resolutions invoked against the So- 
viet Union and the Hungarian Communist regime 
were actually more strongly worded than in the 
case of the action in the Middle East. The As- 
sembly climaxed its action with outright con- 
demnation of the U.S.S.R. 

The difference in results lay in the attitude of 
states. President Eisenhower succinctly described 
this difference in his address to a joint session of 
Congress last January ' when he declared : 

The United Nations was able to bring about a cease- 
fire and withdrawal of hostile forces from Egypt be- 
cause it was dealing with governments and peoples who 
had a decent respect for the opinions of mankind as re- 
flected in the United Nations General Assembly. But in 
the case of Hungary the situation was different. The 
Soviet Union vetoed action by the Security Council to 
require the withdrawal of Soviet armed forces from 
Hungary. And it has shown callous indifference to the 
recommendations, even the censure, of the General 
Assembly. 

Therefore, if there is a "double standard" in 
the U. N., it is not a "double standard" in the 
sense of judging violations of the charter but 
rather in terms of how the parties involved re- 
spond to the judgment of world opinion. 

Issues Confronting the 12th General Assembly 

Against this background of the changed role 
of the Assembly and the problems inherent in its 
"growing pains," I would now like to review some 
of the major issues which will confront the Gen- 
eral Assembly in the forthcoming session. 

Significant changes in the power structure of 
the Soviet Union have occurred in the past year. 



" IMd., Jan. 21, 1957, p. 83. 
562 



Former Premier Malenkov has been exiled to a 
remote Soviet power plant. Mr. Molotov, the once 
powerful Foreign Minister of the U.S.S.R., has 
been assigned to oblivion as Ambassador to Outer 
Mongolia. His successor, Mr. Shepilov, and Mr. 
Kaganovich, another former member of the Krem- 
lin's high command, also have gotten their walking 
papers. 

There is an ancient Chinese proverb to the effect 
that "he who rides a tiger finds it difficult to dis- 
mount." For some time now the truth of this 
proverb has been painfully evident to the leaders 
in the Kremlin. 

Hungary 

Definitive analysis of the import of these 
changes would be premature. They could mean 
eventually a more favorable international climate. 
Or they could mean more Stalinism. Wliichever 
may be con-ect, the Soviet Union remains unwill- 
ing to alleviate the tragedy of Hungary. 

History may show that what took place in Hun- 
gary last autumn was one of the most significant 
developments since the close of World War II. 
It showed conclusively, even more than the free 
world dared to believe, how deeply the captive 
peoples of Eastern Europe resent the rule of the 
Soviet Union. In time the Soviet Union may it- 
self come to recognize that it is in its own national 
interest to permit its satellites a greater degree of 
independence. Otherwise, as the Hungarian 
people have demonstrated, the Soviets must accept 
the possibility that bitter and hostile people held 
captive in Eastern Europe may turn against them 
the instant the chance presents itself. 

The present uneasy situation in Hungary must 
give considerable concern to the Kremlin. It has 
been nearly a year since jieacef ul student demon- 
strations in Budapest mushroomed into a nation- 
wide uprising. The efforts of the Hungarian 
people to achieve independence inspired sympathy 
and supi^ort throughout the world. At the very 
moment of fulfillment the Soviet Union inter- 
vened with armed forces. There can be no ques- 
tion as to what would have happened in the 
absence of Soviet intervention. The people of 
Hungary would be free today. 

The United Nations was seized with the Hun- 
garian problem from the outset of the revolution. 
It demanded an end to hostilities, the withdrawal 

Department of State Bulletin 



of Soviet troops, and proclaimed the riglit of the 
people of Hungary to a government of their own 
clioice. The Soviet Union and tlie puppet Hun- 
garian authorities flagrantly defied the resolutions 
of the Assembly. 

Last January tlie Assembly established a Spe- 
cial Committee on the Problem of Hungary. Its 
report, unanimously agreed to by its five mem- 
bers, -who came from Australia, Ceylon, Denmark, 
Tunisia, and Uruguay, is pei'haps the most re- 
markable document ever issued by the United 
Nations.® Not only is it an outstanding historical 
document, but it presents the facts in a straight- 
forward fashion and draws conclusions that are 
unassailable. No one now can contend, against 
the weight of the Committee's report, that what 
happened in Hungary was inspired by forces out- 
side that country. Nor can one blur the grim 
facts of Soviet armed intervention to impose iipon 
the people of Hungary a regime that would do 
the Kremlin bidding. 

The 11th session of the Assembly was recon- 
vened on September 10 to consider the Special 
Conxmittee's report. In the frank and inspiring 
discussion which took place the vast majority of 
the United Nations members joined forces in ap- 
proving a resolution that reiterates past calls of 
the General Assembly upon the Soviet Union to 
withdraw its armed forces from Hungary and 
which points the way toward an eventual solu- 
tion.' Many delegations believed that the pros- 
pect of progress would be greater if the Assembly 
were to appoint a special representative of out- 
standing eminence to pursue its objectives on the 
Hungarian question. Prince Wan, the distin- 
guished Foreign Minister of Thailand and the 
President of the 11th session of the Assembly, has 
been named to this important post. 

"We all regret, of course, that the action taken by 
the United Nations has not brought about an im- 
mediate improvement of conditions in Hungary. 
Let us remember, however, that the United Nations 
took every measure possible short of force. Its 
actions stand today as the agreed consensus of the 
world community as to the nature of the events in 
Hungary and what should be done to change the 



" For text of final chapter of report, see ibid., July 8, 
1057, p. 63. 
' IMd., Sept. 30, 1957, p. 515. 



situation. It was the clear duty of the United 
Nations to do all within its power to bring about 
the relief of the troubles of the people of Hungary. 
Progress in this respect can be made if the Soviet 
Union, which exercises military and political 
power in Hungary, responds to the judgment of 
world opinion. 

Of course, the Assembly cannot force the Soviet 
Union to comply, but in the long run it is my con- 
viction that the events in Hungary, the action 
taken in the United Nations to meet them, and the 
subsequent exposure of the policies and actions of 
the Soviet Union mark the beginning of the end 
of communism's appeal. No one can read the re- 
port of the Committee on Hungary, listen to the 
shallow Soviet efforts to defend their actions, and 
watch the desperate efforts of the puppet Hun- 
garian Government to restore order, and still be- 
lieve that communism pursues policies in the in- 
terests of the common man. 

The Middle East 

Throughout the past year diplomats of the 
world have probably spent more time on the Mid- 
dle East than on any other set of problems. Wliile 
there is no item on the agenda of the forthcoming 
Assembly which deals with overall Middle East 
problems, various aspects of this explosive issue are 
certain to be reflected in the Assembly's discussions 
and debate. For example, the Assembly will con- 
sider the urgent problem of financial support for 
the United Nations Eelief and Works Agency and 
its effort to alleviate the plight of the Palestine 
refugees. Member states will also be confronted 
with the question of determining appropriate 
means of reimbursement of nations who assisted 
in the clearing of the Suez Canal. Finally, the 
Assembly will have to face up to the problem of 
providing additional financial resources to assure 
the continuation of the United Nations Emergency 
Force in its role as the guardian of the peace in 
the Middle East. 

The Middle East crisis illustrates what the 
United Nations is able to do when the nations 
involved have a decent respect for the opinions of 
mankind. The simple fact is that in all proba- 
bility a major war was avoided in the Middle East 
because the United Nations acted promptly and 
effectively. 

What were the residts of this United Nations 
action ? 



October 7, 1957 



563 



( 1 ) The menace of war has receded and peace — 
admittedly an uneasy peace — has been created in 
the area. 

(2) The standing of the United States in Asia, 
Africa, and the Middle East has been increased. 
By our firm adherence to the charter, the nations 
of the world now know that the United States 
stands on the side of i^rinciple. 

(3) Britain, France, and Israel, by heeding the 
reconnnendations of the General Assembly, proved 
themselves sensitive to the call of world opinion. 
This came at a time when the Soviet Union was 
behaving in precisely the opposite manner. 

(4) A truly international police force was 
mobilized and sent to the scene of the trouble. 
It is now on guard, helping to keep the uneasy 
truce that prevails. 

The United States acted promptly to deal with 
the emergency created by the outbreak of violence 
in the Middle East. We must move ahead to help 
find solutions to the difficult problems which 
caused the conflict. 

This is no time for us to have a smug feeling 
about the limited successes achieved. The shoot- 
ing is over, but the basic causes that gave rise to 
the shooting must be dealt with if peace is to 
prevail. 

One important element of peace in the Middle 
East is the early solution of the problem of the 
more than 900,000 Palestine refugees who rely on 
United Nations help for subsistence and housing. 
Admittedly the matter is an urgent one. But the 
problem is so complex and so explosive politically 
that possible steps must be considered carefully 
if they are to improve rather than worsen the sit- 
uation. Nor can the boundaries between Israel 
and her neighbors — a sore which has been fester- 
ing for a decade — be satisfactorily adjusted 
overnight. 

The Middle East remains a tinder box where 
rash and ill-considered action could have serious 
results. We can take it for granted that the Soviet 
Union will continue to fish in troubled waters. 

There continues to be a pall of fear hanging 
over the heads of the Arab and Israeli people 
alike. We must therefore push ahead with a pa- 
tient vigor. We must do everything possible to 
develop a will to peace in the Middle East. With- 
out such a will, a settlement of the long-range 
problems cannot be achieved. 

564 



Disarmament 

There are few subjects reported in the press 
which leave well-informed citizens more confused 
than the subject of disarmament. The term itself 
invites confusion because it is not disarmament we 
are seeking but rather progress in the control of 
armaments which will reduce the threat of war. 

As you know, the discussions of the Disarma- 
ment Subcommittee in Jjondon have recessed with- 
out agreement. The lack of agreement which 
brought about the recess of the talks was due al- 
most entirely to a sudden shift on the part of the 
Soviet Union from an attitude of comparative 
reasonableness to one of extreme rigidity. How- 
ever, it is encouraging to note that both the West- 
ern ijowers and the Soviet Union were able to make 
some major accommodations to the position of the 
other and come somewhat closer than they had 
been able to come before on the details of a 
settlement. 

The Subcommittee i-eport * has just been sub- 
mitted to the U.N. Disarmament Commission. 
We hope that the discussion and debate in the 
coming Assembly session based on a review of this 
record will induce the U.S.S.R. to relax its rigid 
position and reinforce our efforts to move toward 
agreement. 

Our position on disarmament is not quite so 
complex as some seem to believe. In a nutshell it 
is basically this : 

First. We believe that small steps taken now 
will materially reduce the chance of nuclear war. 
For example, a degree of inspection as a start 
would make it very difficult for either side to 
launch a major surprise attack. Without this 
ability, neither side would be tempted to begin all- 
out war. With this in mind we have proposed 
certain possible zones of inspection which offer i 
alternatives either of all of the United States, 
Canada, and the U.S.S.R. or smaller trial inspec- 
tion zones in the Arctic and in Europe. 

Second. We wish to divert future output of fis- 
sionable material into peaceful uses. Even now 
we are beginning to transfer some of our existing 
stockpiles of this material to such purposes. We 
propose that all nuclear powers take similar steps 
on a proportionate basis. 

Third. To carry out these steps we propose a 
2-year suspension of nuclear weapons tests while 



' U.N. doc. DC/113 dated Sept. 11. 

Department of State Bulletin 



a monitoring system for tests and an inspection 
sj'stem for tlie other nuclear proposals is being 
established. 

Fourth. "We hope to limit indiscriminate ac- 
quisition of nuclear weapons throughout the world 
through limitation of production, testing, and 
transfer of nuclear weapons. The fewer the coun- 
tries which have atomic bombs, the less difficult 
is the problem of control. 

Fifth. We would agree to reduce our armed 
forces to 2.5 million men in a first stage if the 
Soviets would do the same. Moreover, we have 
indicated our willingness to consider levels of 2.1 
million and 1.7 million men in later stages. We 
would, of course, have to take into account 
progress on the settlement of major political prob- 
lems before extensive reductions could be under- 
taken. 

Sixth. Finally we propose that steps be taken 
to insure that missiles or other objects fired into 
outer space are being used only for peaceful i)ur- 
poses. We believe that it is essential that any 
agreement, on this or otlier phases of our pro- 
posals, should include a foolproof system of in- 
spection. We cannot rely on mere promises. 

You may question whether there are any risks 
to the security of the United States and the free 
world in our proposal. Secretary Dulles pro- 
vided the best answer to that question last July 
when he said : ^ 

It may be asked whether the steps we now propose 
•can be taken without any risk that hostile forces may 
Igain advantage for themselves. In all frankness it 
imust be admitted that, after all foreseeable risks are 
(Considered, there may be other risks that we cannot 
(foresee. But this can be said with assurance : The risks 
lOf seeking to move forward are far less than the risks 
lOf being frightened into immobility. 

The whole world faces a grim future if the war threat 
lis not brought under some international control. Man- 
Ikind cannot long live under the shadow of such destruc- 
(tion as is now possible, without great changes in existing 
(physical, social, political, and moral values. 

The Soviet Union has given an impression of 

iwanting to negotiate seriously on disarmament. 

(However, thus far, they have balked at accepting 

]lan effective inspection system, with one exception. 

This exception relates to the testing of atomic 

bombs. The Soviet Union's position, briefly 

stated, is tliis : Let us halt all tests. We will allow 



" Bulletin of Aug. 12, 1957, p. 267. 
OcJober 7, ?957 



you to station observers in our country to make 
sure that we stand by our word. 

To this proposal we must give a negative reply. 
Before wo agree to ban testing, we insist that all 
future production of fissionable materials which 
constitute the makings of nuclear weapons should 
be diverted to peaceful uses. And, in order to 
make sure that no future production is used for 
making weapons, we must have the right of mutual 
inspection in each other's factories. 

Now, why do we insist on these conditions? 
Why not simply agree to ban the bomb? Cer- 
tainly everyone would be better off if there were no 
more testing of these ultimate weapons of destruc- 
tion. The fact is that we are willing to stop 
testing. But we will agree to halt these tests only 
if we are assured that the Soviet Union will not 
then begin to amass stockpiles of bombs. After 
all, our superiority in both the quality and quan- 
tity of nuclear weapons is our main insurance 
against aggression. Consequently, if we are asked 
to abandon testing, the source of our qualitative 
advantage, then certainly we are justified in de- 
manding that the quantity of weapons be con- 
trolled thereafter. This, of course, would be 
achieved by means I have mentioned earlier, that 
is, the earmarking of all future fissionable ma- 
terials for peaceful uses for the benefit of man- 
kind. 

International Atomic Energy Agency 

The subject of disarmament has obscured to a 
large extent a development of vital importance to 
mankind. Only recently the Senate approved the 
atoms-for-peace treaty. With this approval, 
President Eisenhower's bold concept of an inter- 
national agency which would have responsibility 
for the sharing by mankind of the benefits of 
atomic energy is now coming to fruition. 

This question is not on the agenda of the Gen- 
eral Assembly. I refer to it, however, because of 
the important impact it may have on the disarma- 
ment problem. 

"Wlien a state receives assistance from the Agen- 
cy, it must agree to adequate safeguards. The 
Agency must approve the means by which used 
nuclear fuels are processed. Complete records 
must be kept by receiving nations and progress re- 
ports made to the Agency. Moreover, in order to 
make certain that fissionable materials made avail- 

565 



able to a given country are not diverted to military 
use, international inspectors will have free access 
at all times to all places, data, and persons in- 
volved with the Agency projects. 

This is the heart of the statute." For the first 
time in history, a large number of states have de- 
clared their willingness to admit international in- 
spectors within their boundaries in the larger 
interests of world peace and security. This is a 
brealithrough of real significance for tlie future. 

There is one other point I ought to mention in 
passing. Some people have been seriously dis- 
turbed lest our relations witli the new Agency be 
hampered by congressional restrictions and limita- 
tions. This concern stems from the fact that, un- 
der the law providing for our participation in the 
Agency, congressional approval, in general, will 
be necessary for the transfer of nuclear materials 
from the United States to the Agency. 

No one can doubt that Congress could, if it 
chose to do so, completely hamstring our relations 
with the Agency. I am confident this will not be 
done. I believe the legislative history clearly 
demonstrates the intent of Congress to insure full 
U.S. participation in this Agency in keeping with 
the spirit of President Eisenhower's original initi- 
ative and that Congress intends to be reasonable 
in its application of the new law. Moreover, I 
am convinced that there is such strong support 
for the program, both in Congress and among the 
American people, as to guarantee good working 
relations between the Agency and the United 
States. 

Communist China and the U.N. 

We can be sure that the Soviets will once again 
press for the seating of Communist China in the 
U.N. You can be equally sure that the United 
States will continue to make every effort to main- 
tain the representation of the Republic of China. 
Last year the vote was 47 to 24 in favor of our 
position. This year I believe that the Assembly, 
by an equally large margin of votes, will again 
agree to postpone consideration of the matter. 

On this question our position is unequivocally 
clear. Time after time Congress, mindful of the 
aggressiveness of Communist China, has unani- 
mously expressed its opposition to the seating of 
that regime in the various organs and agencies 



,,t 
of tlie U.N. These votes reflect the sentiment of i 
the American i^eople and the Government of the I 
United States. I 

Reappointment of the Secretary-General 

You will have noted, I am sure, that the Assem- 
bly will consider during this session the question 
of the reappointment of the Secretary-General. 
Secretary-General Hammarskjold deserves the 
gratitude of millions of people the world over for 
his able leadership during the Middle East crisis 
of last year. The U.N. is indeed fortunate to 
have at its helm a servant so dedicated to peace 
and mankind. He has applied himself imagina- 
tively, resourcefully, and vmstintingly in support 
of the principles of the charter. He has the full 
confidence of the United States Government and 
its people. We favor his early reappointment for 
another 5-year term. 

Other Issues 

Thus far I have dwelt on various political issues 
before the General Assembly. But we must not 
lose sight of the crucial role of the United Nations 
in other areas. 

In the economic field the U.N., through the 
Economic and Social Council and the work of the 
Assembly's Economic Committee, is pressing 
ahead on the vital task of helping to raise living 
standards and improve the general welfare of 
peoples in many lands. The jjroblem of a Special 
United Nations Fund for Economic Development 
(SUNFED) will again loom large. For reasons 
we have often stated, we do not believe that the 
time has come for the establishment of SUN- 
FED." Soviet intransigence in opposing any ef- 
fective disarmament measures have made the 
establishment of such a fmid at this time im- 
practical. 

However, the United States already is on record 
as favoring a modest increase in the technical 
assistance program. It remains our hope that 
steps can soon be taken which would extend and 
strengthen this program as a basis for increased 
private and public investment on a national and 
international scale. 

The Human Rights Commission and the Assem- 
bly's Social Committee continue to attack the un- 



'° For text of statute, see ibid., Nov. 19, 1956, p. 820. 
566 



" For a statement by Neil H. Jacoby in the U.N. Eco- J 
nomic and Social Council, see ibid., Sept. 23, 1957, p. 502. I 

Department of State Bulletin l 



deriving social conditions* which give rise to in- 
stability and tension. Progress in the social field 
remains painfully slow, particularly in the field 
of human rights. And this is apt to be so as long 
as millions under Soviet tyranny are denied basic 
human freedoms. 

The Trusteeship Council and the Trusteeship 
Committee of the Assembly are making real prog- 
ress in channeling constructively and gradually 
the legitimate national aspirations of many for 
self-government either as independent states or in 
association with other nations. One of the most 
significant chapters of our time is the creation of 
independent states from colonial areas. Most of 
these new states are now members of the United 
Nations, comprising over 600 million people whose 
newly found dignity and freedom is expressing it- 
self in our counsels and deliberations. The termi- 
nation of the U.N. trusteeship over British Togo- 
land and the incorporation of that trust territory, 
by its own freely expressed will, in a newly inde- 
pendent Ghana constitutes a notable achievement. 
The Administrative and Budgetary Committee 
of the Assembly will tackle the difficult problem 
of moimting costs. Once again members will have 
to face up to the prospect of an increasing budget. 
It will cost more to operate the secretariat. It will 
take more money to maintain the United Nations 
Emergency Force. Peace is costly, but war is 
infmitely more costly. Member states will have 
to recognize this fact more fully than ever as the 
12th Assembly reviews its budget. 

The United States will renew its efforts in the 
Committee for reduction in its percentage share 
of the regular U.N. budget. With the member- 
ship increased from 51 to 81, we believe it is only 
reasonable that the share of the largest contribu- 
tor should be reduced below the 33% percent ceil- 
ing which has governed our contribution in the 
past. 

The Legal Committee of the Assembly will also 
have important work before it. If it can encour- 
age states toward greater use of judicial processes 
and a greater respect for the rule of law in the 
world, real progress toward peace will have been 
made. 

Concluding Comments 

I look optimistically to the future of the United 
Nations and of the role of the General Assembly 
in it. It has faced crucial issues and has emerged 



a stronger and in many ways a more mature 
organization. 

In this connection may I say just a word about 
the problem of charter review. As you know, the 
special committee created to study this matter will 
recommend that the Assembly defer for the time 
being a decision as to when and where a charter 
review conference should be held. 

I hasten to add that the United States Govern- 
ment has not changed its mind about the desir- 
ability of convening such a conference at the 
appropriate time. We believe in the United Na- 
tions, and we want to do what we can to strengthen 
that organization as an instrumentality of world 
peace. 

Wlien the time seems more auspicious, therefore, 
we shall press forward with our recommendation 
that a charter review conference be convened. 
Such a conference could consider not only formal 
amendments to the charter but should review in 
some detaU the experience of the United Nations 
and make recommendations for its more effective 
functioning. 

For example, the Secretary-General in his re- 
cent report comments that there is need for a 
careful analysis of the United Nations Emergency 
Force experience in order to give the U.N. a sound 
foundation for action in future emergencies. 
Steps are already being taken in the secretariat 
to carry out such a study. I welcome this study, 
for the UNEF experience has been a fruitful one 
from which many valuable lessons can be learned. 

Meanwhile, at least two charter amendments 
should be approved without undue delay. In 12 
years' time, some 30 new members have been ad- 
mitted to the United Nations. This influx of new 
members has not been accompanied by any increase 
whatsoever in the size of the Security Council. 
The Asian countries, who do not have a seat on 
the Council they can call their own, have never 
been adequately represented. By the same token, 
the increase in European members calls for a re- 
view of the number of seats allocated to that re- 
gion of the world. It would appear that at least 
two nonpermanent seats should be added to the 
Council in order to redress the imbalance that has 
developed over the years. Moreover, we believe 
that an increase of four members on the Economic 
and Social Council is both reasonable and 
desirable. 



October 7, 7957 



567 



Had the nations of the world been forced to live 
the past 11 years without a common meeting place, 
without the basic rules by which they should con- 
duct themselves, without the machinery for peace- 
ful settlement of international differences, without 
a place to air disputes and seek agreements, the 
world might not have survived these 12 years. The 
stresses and strains have been so great, the ideo- 
logical conflict so sharp, and the destructive power 
of weapons available so immense, that without 
the unifying power of the United Nations we 
could have by this time destroyed ourselves. 

For its part, the United States will continue to 
contribute its full measure of support to the United 
Nations. We set our hand to the plow at San 
Francisco in 1945. We shall not turn back. 

10th Anniversary of Death 
of Nikola Petkov 

Press release 536 dated September 20 

September 23, 1957, marks the 10th anniversary 
of the execution of the Bulgarian patriot Nikola 
Petkov by the Communist regime of Bulgaria. 
One of tlie Bulgarian leaders who signed the 
armistice in 1944, he helped to end his country's 
alliance with Nazi Germany and played a leading 
role in establishing a democratic coalition govern- 
ment. He was a defender of freedom and a cham- 
pion of the rights of his fellow Bulgarians. His 
imprisonment and tragic death allowed the forces 
against which he fought to gain control in 
Bulgaria. 

The spirit of Nikola Petkov still lives. His de- 
votion to the cause of democracy is an inspiration 
to his countrymen and to all who love freedom. 
His name is an enduring symbol of hope to his 
people and a source of pride and solace to them in 
this period of trial. 



General Pulaski's Memorial Day 

A PROCLAMATION' 

Whereas, soon after the adoption of our Declaration 
of Independence, Count Casiniir Pulaski, a Polish patriot, 
came from across the seas to join our army of freedom ; 
and 

Whereas, he quickly distinguished himself in battle ; 
was made Brigadier General by the Continental Congress 
and formed the cavalry Legion which bore his name ; and 

Whereas on October 0, 1779, while leading his troops 
in an attempt to divide the enemy forces at Savannah, he 
received a grievous wound from which he died two days 
later, thus sacrificing a young life which gave promise of 
further contributions to the cause of liberty ; and 

Whereas, in acknowledgment of our debt to General 
Pulaski for his valorous conduct in our War for Inde- 
pendence, it is fitting that we pay tribute to his memory 
on the one hundred and seventy-eighth anniversary of 
his death : 

Now, THEREFORE, I, DwiGHT D. EISENHOWER, President 
of the United States of America, do hereby proclaim Fri- 
day, the eleventh day of October, 1957, as General Pulas- 
ki's Memorial Day ; and I invite the people of this Nation 
to observe the day with appropriate commemorative cere- 
monies. I also direct that the flag of the United States 
be displayed on all Government buildings on that day in 
honor of the memory of General Casimir Pulaski. 

In witness whereof, I have hereunto set my hand 
and caused the Seal of the United States of America to 
be affixed. 

Done at the City of Washington this twelfth day of 

September in the year of our Lord nineteen hundred 

and fifty-seven, and of the Independence of the 

[seal] United States of America the one hundred and 

eighty-second. 



By the President : 

John Foster Dulles, 
Secretary of State. 



' No. 3201 ; 22 Fed. Reg. 7415. 



568 



Department of State Bulletin 



Challenge and Response in United States Policy 



hy Secretary Dulles ' 



The 35th amiiversary of the foimdiiig of For- 
eign Affairs is a suitable occasion for comment on 
the evolution of United States foreign policy and 
the role we can play today in accord with our 
enduring national principles. During tliis third 
of a century, the American people have altered 
their conception as to the proper part which 
their Government should take in world affairs. 

Since the foundmg of this nation, the Ameri- 
can people have believed that it had a mission 
in the world. They have believed that "their 
conduct and example" ("The Federalist," No. 1) 
would influence events throughout the world and 
promote the spread of free institutions. But they 
have traditionally felt that it would be better for 
their Government to avoid involvement in interna- 
tional issues. So, with rare exceptions, the United 
States left the field of international politics to the 
governments of the "great powers" of the 19th 
century. 

It took the First World War to bring us into 
major involvement in world crises and conflicts. 
Then in the decade of the thirties a series of 
critical events cuhninated in the greatest of all 
wars. By its end, a transformation had been 
effected. It had become obvious that the con- 
duct and example of our people no longer, alone, 
sufficed to prevent recurrent challenges to our 
security and our way of life. It was also ap- 
parent that only in association with others could 
we repel sucli challenges. Furthermore, our na- 
tional jDOwer had grown to be so impressive as to 
preclude its being merely a reserved, negative 
force. 

Thus, since 1945, our Govermnent has played 

'Article prepared for publication in the October issue 
of Foreign Affairs (press release 528 dated Sept. 18). 



a leading role in a coalition of free nations dedi- 
cated to the principles of international order to 
which our people have long subscribed. 

There still remains a nostalgia for the "good 
old days." This is reinforced by recurrent dem- 
onstrations that, great as is our strength, we are 
not omnipotent. We cannot, by fiat, produce 
the kind of a world we want. Even nations 
which depend greatly upon us do not always 
follow what we believe to be the right course. 
For they are independent nations and not our 
satellites. Our power and policy are but one 
significant factor in the world in which we live. 
In combination with other factors we are able to 
influence unportantly the com'se of events. But 
we camiot deal in absolutes. This, to many 
Ajnericans, is a source of worriment. 

The American people may not yet have com- 
l^letely accepted the role that history has made 
inevitable. But at least a good beginning has been 
made. It is unlikely that there could now be a 
successful effort to withdraw the United States 
Government from official and active jaarticipation 
in international affairs. But in order that such 
participation should command popular support, 
our foreign policies should be more than politics. 
They must evidently reflect the traditional aspira- 
tions of our people. 

II. Communist Hostility 

United States foreign policy since 1945 has been 
forced to concern itself primarily with one major 
threat to the peaceful and orderly development of 
the kind of international community the American 
people desire. This is the threat posed by those 
who direct the totalitarian system of international 
communism. Because orthodox communism rep- 



Ocfober 7, 1957 

439413—57 3 



569 



resents a materialistic and atheistic creed, it in- 
evitably is repugnant to those who believe in the 
supremacy of the spirit. Because it seeks world 
rule through the domination of all governments 
by the international Communist Party, it is re- 
pugnant to all who understand its purposes and, 
as patriots, cherish national independence. And 
because it employs fraud and violence to achieve 
its ends, it is repugnant to all mIio seek a world 
society of decency and order. 

The United States, as the strongest nation of 
the non-Communist world, has had the major re- 
sponsibility for meeting this challenge which, 
since 1950, has been able to exploit the resources 
of most of the Eurasian land mass and one-third 
of the world's poiDulation. 

Since the death of Stalin in March 1953, there 
has been a Soviet disavowal of the ruthlessness of 
the Stalinist period. Internally, that disavowal 
has found some practical expression. Externally, 
Soviet policy has been marked by a more diversi- 
fied range of political, diplomatic, and economic 
tactics vis-a-vis the non-Communist world. This 
became especially pronounced in 1955. There were 
such gestures as the sudden consent to a long- 
overdue Austrian treaty and the overtures to 
Yugoslavia. x\.t the "summit" conference at 
Geneva there were professions of peaceful intent 
and an agreement to reunify Germany by free 
elections. There were profuse offers of "assist- 
ance" to many nations and a plea for "cultural 
relations." 

But nowhere, except perhaps in Austria, did the 
Soviets yield anything of substance or enter into 
genuine negotiations on basic issues. Economic 
and military "assistance" was a Trojan horse 
whereby influence could be gained to promote po- 
litical subversion. There was no honest accept- 
ance of Yugoslavia's right to have a national Com- 
munist government not dominated by interna- 
tional communism. And in November 1955 at 
Geneva the Soviet Government flatly repudiated 
the July "summit" agreement for German reuni- 
fication. 

The year 1956 gave further evidence that the 
new rulers in Moscow were not essentially changed. 
Enticements were mingled with threats. Wlien 
"de-Stalinization," proclaimed by the 20th Party 
Congress in February 1956, was interpreted in the 
satellites as justifying more freedom and inde- 
pendence, there were fierce reactions first at Poz- 



nan, Poland, and then in Hungary. Obviously, 
those who presently dictate the doctrines of inter- 
national communism are not in fact prepared to 
accept the consequences of their professed liberal- 
ization. 

In all the 40 years of Bolshevik rule there is no 
episode more brutal than the Red Army suppres- 
sion of the Hungarian people's 1956 uprising 
against intolerable oppression. And recent Soviet 
policies in the Near East are inexcusably 
mischievous. 

That area, rich in cultural and religious tradi- 
tion, yet stricken with historic dissensions and 
tragic poverty, was chosen in 1955 to be the scene 
of a new Communist hunt for power. Commu- 
nist propaganda studiously sought to inflame ani- 
mosities. The Soviet Government, drawing upon 
its semiobsolete war equipment, stimulated an 
arms race. As a direct or indirect result, violence 
and bitterness were increased and abject poverty 
was riveted more firmly as some govermnents 
mortgaged the future economic productivity of the 
people m order to buy Soviet arms. It has indeed 
been a cynical performance by those who profess 
to love peace and to desire to uplift the masses. 

More than a decade of cold- war experience has 
confirmed our earlier judgments of international 
communism. It and the governments it controls 
are deeply hostile to us and to all free and inde- 
pendent governments. Its basic doctrine pre- 
cludes its changing of its own accord. Self-ad- 
vertised changes must be considered as mere 
stratagems. 

We need not, however, despair. International 
communism is subject to change even against its 
will. It is not impervious to the erosion of time 
and circumstance. Klirushchev's speech of Feb- 
ruary 1956, the July 1957 shakeup in the ruling 
clique at Moscow, and Mao's speech of February 
27, 1957, indicate that, even in Russia and the 
China mainland, Soviet and Chinese Communist 
regimes are confronted with grace internal pres- 
sures and dilemmas. The yeast of change is a.t 
work, despite all the efforts of "democratic cen- 
tralism" to keep matters moving in a strictly 
Leninist pattern. The rulers in Russia do not find 
it possible to combine industrial and military mod- 
ernization with the personal repressions of the 
Middle Ages ; and the rulers in China will not find 
it possible to fit the richly diversified culture of 
the Chinese into a Communist mold of conformity. 



570 



DeparimenI of State Bulletin 



The time may come, indeed we can be confident 
that it will come, when tlie nations now ruled by 
international communism will have governments 
which, whatever their label, in fact serve their own 
nations and their own peoples rather than the in- 
satiable worldwide ambitions of an international 
party. There will be broadening participation in 
government. There will be increasing personal 
security under law. There will be a significant 
degree of freedom of thought and expression. 
And the workers will be permitted to have some 
choice of the work that they do and to enjoy more 
of the fruits of their labor. Under those condi- 
tions, the people, if not the masters of their gov- 
ernment, will at least not be its abject slaves. 
Vast military power will no longer be completely 
at the disposal of those who accept no restraints 
either of a governmental or moral character and 
whose goal is worldwide rule. When that day 
comes, we can rejoice. Until that day comes, we 
shall need to remain on our guard. 

III. Collective Security 

During the last two decades, the United States 
has found it necessary to recast its ideas and 
policies regarding national security. The course 
of our thinking and planning has been in the 
direction of collective security. In our modern 
world no nation, however powerful, can find safety 
in isolation, and security for one is only to be 
achieved through cooperation with other like- 
minded nations. 

The society of nations is undergoing the trans- 
formation that occurs whenever primitive societies 
develop. There is a gradual evolution from con- 
ditions where security is a matter of each for him- 
self and the Devil take the hindmost, to a condition 
where security is a collective effort to which each 
contributes and from which each benefits. In that 
way there is greater security at less cost. The 
society of nations is gradually and painfully 
evolving from a primitive condition to one where 
security is a matter of collective effort and where 
defense is a common defense. 

It is not easy to realize these principles in a 
world where people have long thought of sov- 
ereignty as a status unqualified by interdepend- 
ence. Yet after a second generation of bitter 
experience, the United States, with many others, 
sees the indispensability of interdependence. To- 
day we seek security through the strengthening of 



universal institutions, by regional arrangements, 
by maintaining military capabilities in conjunc- 
tion with our allies, and by determined efforts to 
diminish the risk of surprise attack and to limit 
and control armaments. 

In 1945 the United States took the lead in or- 
ganizing the United Nations. We hoped that it 
would become an effective insti'ument of collective 
security. But it still falls short of being that. 
United Nations action in a divided world has often 
been paralyzed. For example, the U.S.S.R. has 
exercised the veto in the Security Council about 80 
times. No joint U.N. military force has been set 
up as contemplated in the charter, although Korea 
and Suez point to possible progress in this direc- 
tion. Also, the Assembly, in the Suez and the 
Hungarian crises of last fall, displayed surprising 
determination and virtual unanimity. 

It is sometimes said by way of reproach that in 
these matters the United Nations applied a "double 
standard"- — severity toward Israel, France, and 
the United Kingdom, and leniency toward the 
Soviet Union. This charge has no basis in fact. 
The Assembly resolutions directed against the use 
of force in Egypt and in Hungary were equally 
peremptory. 

The double standard was not in the United Na' 
tions but in the nations. There was the moral 
sensitivity of the Western nations, and their decent 
respect for the opinions of mankind. There was 
the immorality of Soviet communism, and its con- 
tempt for the opinions of mankind. We can 
rejoice that, among the nations, there are govern- 
ments having standards higher than those of the 
Govermnent of Soviet Eussia. That is not a mat- 
ter of reproach to them, or to the United Nations- 

Despite hopeful indications of progress in the 
United Nations, the nations of the free world 
which felt endangered have, for the most part, felt 
it necessary to resort to collective, and usually 
regional, arrangements to safeguard their security. 
This has been in entire accord with the charter. 
In this development the United States has as- 
simied a major role and responsibility. Since 
1945 we have entered into collective security 
treaties with 42 other nations, and we have less 
formal arrangements with several more. 

The first such treaty, the Rio Pact, was with our 
own neighbors of this hemisphere. We went on to 
broaden the base of collective security through a 
series of multilateral and bilateral pacts which 
now encompass much of the free world. The 



Ocfober 7, 1957 



571 



forces of NATO, now including the Federal Re- 
public of Germany, stand guard over the treaty- 
defined North Atlantic region, which includes the 
vital area of Western Europe. In the West 
Pacific and Far East, the SEATO and ANZUS 
pacts and four bilateral treaties establish the 
principle that a threat to one is the concern of all. 
In the Middle East, the Baghdad Pact and the 
Eisenhower Doctrine assure collective response to 
Communist aggression at points of special danger 
or weakness. This nearly worldwide system of 
regional collective security has served all the par- 
ticipants well. It has deterred aggi-ession and 
given much-needed assurance to peoples who are 
especially exposed to attack. 

We must, in candor, admit that all of the par- 
ticipants do not look upon these arrangements 
alike. Some consider them broad political al- 
liances, binding the parties, at least morally, to 
support each other generally. But the net result 
has been to further the application of the principle 
of collective security within the society of nations. 

IV. The Strategy of Collective Self-Defense 

Collective security must, of course, be buttressed 
by military capabilities to deter armed aggression 
and to cope with it if it should occur. In De- 
cember 1950, in an address before the American 
Association for the United Nations, I spoke to this 
problem, pointing out that, "With more than 20 
nations strung along the 20,000 miles of Iron 
Curtain, it is not possible to build up static de- 
fensive forces which could make each nation im- 
pregnable to such a major and unpredictable 
assault as Eussia could launch. To attempt this 
would be to have strength nowhere and bank- 
ruptcy everywhere." I went on to say, "Against 
such military power as the Soviet Union can 
marshal, collective security depends on capacity to 
counterattack against the aggressor," and I 
pointed to our Strategic Air Force and our stock 
of weapons as constituting an arsenal of retalia- 
tion. 

During the ensuing years the military strategy 
of the free-world allies has been largely based 
upon our great capacity to retaliate should the 
Soviet Union launch a war of aggression. It is 
widely accepted that this strategy of deterrence 
has, during this period, contributed decisively to 
the security of the free world. 



However, the United States has not been con- 
tent to rely upon a peace which could be preserved 
only by a capacity to destroy vast segments of the 
human race. Such a concept is acceptable only 
as a last alternative. In recent years there has 
been no other. But the resourcefulness of those 
who serve our nation in the field of science and 
weapon engineering now shows that it is possible 
to alter the character of nuclear weapons. It 
seems now that their use need not involve vast 
destruction and widespread harm to humanity. 
Recent tests point to the possibility of possessing 
nuclear weapons the destructiveness and radiation 
effects of which can be confined substantially to 
predetermined targets. 

In the future it may thus be feasible to place 
less reliance upon deterrence of vast retaliatory 
power. It may be possible to defend countries by 
nuclear weapons so mobile, or so placed, as to 
make military invasion with conventional forces a 
hazardous attempt. For example, terrain is often 
such that invasion routes can be decisively domi- 
nated by nuclear artillery. Thus, in contrast to 
the 1950 decade, it may be that by the 1960 decade 
the nations which are around the Sino-Soviet 
perimeter can possess an effective defense against 
full-scale conventional attack and thus confront 
any aggressor with the choice between failing or 
himself initiating nuclear war against the defend- 
ing country. Thus the tables may be turned, in 
the sense that, instead of those who are nonaggres- 
sive having to rely upon all-out nuclear retalia- 
tory power for their protection, would-be aggres- 
sors will be unable to count on a successful con- 
ventional aggression but must themselves weigh 
the consequences of invoking nuclear war. 

It is precisely this evolution that Soviet diplo- 
macy and propaganda strive most vigorously to 
prevent. They oppose all such experimental test- 
ing of nuclear devices as is necessary to find ways 
to reduce fallout and to reduce size. They seem 
to prefer that nuclear weapons be only the "hor- 
ror" type of weapons. They apparently calcu- 
late that humanitarian instincts will prevent us 
from using such weapons. They know that, if 
Soviet conventional forces were operating in 
Europe, the megaton-type weapon with large fis- 
sion fallout could not be used by Western forces 
without endangering the friendly peoples of the 
area. Under these conditions Sino-Soviet man- 
power and its conventional weapons would be- 



572 



Department of State Bulletin 



come tlie dominant military force in Eurasia. 
Siicli considerations make it important to combine 
the susiiension of testing with other measures 
which will limit armament and the possibilities 
of surprise attack. 

The Soviet Union, in its May 10, 1955, disarma- 
ment proposals, said : 

There are possibilities beyond tlie reach of interna- 
tional control for evading this control and for organizing 
the clandestine manufacture of atomic and hydrogen 
weapons, even if there is a formal agreement on inter- 
national control. In such a situation the security of the 
States signatory to the international convention can not 
be guaranteed, since the possibility would be open to a 
potential aggressor to accumulate stocks of atomic and 
hydrogen weapons for a surprise atomic attack on peace- 
loving states. 

The foregoing is certainly true, at least as re- 
gards the use of existing stocks of fissionable ma- 
terial. That is "why we do not seek to control 
existing stocks. We accept their inevitability, 
limiting our control proposals to newly created 
fissionable material that can be controlled. 

The Soviet statement continued : 

Until an atmosphere of trust has been created in rela- 
tions between States, any agreement on the institution of 
international control can only serve to lull the vigilance 
of the peoples. It will create a false sense of security, 
while in reality there will be a danger of the production 
of atomic and hydrogen weapons and hence the threat 
of surprise attack and the unleashing of an atomic war 
with all its appalling consequences for the people. 

This, again, is a true statement. Unless there 
are effective measures to reduce "the threat of sur- 
prise attack,"' whether nuclear or otherwise, it 
would be imprudent to interrupt the safeguarded 
search for methods to apply nuclear power to 
weapons in a manner to enlarge the possibilities 
of defense greatly and at the same time greatly 
reduce the lethal fallout factor inherent in 
weapons which are still in a relatively early stage 
of development. 

As nuclear weapons come to provide greater 
possibilities for defense, this will require changes 
in military and related political strategy. So long 
as collective security depends almost wholly upon 
the deterrent of retaliatory power and the ability 
to wreak great destruction upon an aggressor na- 
tion, there has to be almost sole dependence upon 
the United States. No other nation can afford 
the cost of maintaining adequate deterrent power. 
This requires a vast arsenal of planes, weapons, 



and perhaps long-range missiles. These must be 
constantly renewed to overcome increasing de- 
fensive capabilities. This, in turn, requires vast 
outlay for experimentation. 

However, as nuclear weapons become more tac- 
tical in character and thus more adaptable to area 
defense, there will inevitably be a desire on the 
part of those allies which are technically quali- 
fied to jjarticipate more directly in this defense 
and to have a greater assurance that this defen- 
sive power will in fact be used. Such factors are 
already leading to study of a so-called atomic 
weapons stockpile which could be established by 
the United States in the European NATO area 
and, as becomes appropriate, made available to 
NATO. 

A concomitant of this problem is how to pre- 
vent the promiscuous spread of nuclear weapons 
throughout the world. Without safeguards, such 
weapons might in the future get into the hands of 
irresponsible dictators and be used as a form of 
international blackmail. The world would indeed 
become an unhappy place to live in if humanity 
had to accept an ever-present threat of this char- 
acter. 

We are only beginning to envisage the drastic 
changes in political-military relations which will 
be consequent upon the rapid growth of scientific 
Imowledge and operating experience in the nu- 
clear field. New weapons possibilities are opening 
up in rapid succession. Political thinlcing finds 
it difficult to keep up with that pace. And, of 
course, there is inevitably some interval between 
the thinking and the institutionalizing of the re- 
sults of thinking. 

The development of a common defense has 
meant, and will continue to mean, heavy outlays 
for an effective and modern United States military 
establishment. It has also required, and will con- 
tinue to require, the United States to give military 
assistance and support to the military forces of 
those nations associated with us in collective ar- 
rangements or in special need or danger. Such 
assistance is in no sense to be viewed as charity. 
It is based on a hardheaded appraisal of our own 
defense needs. Without it, our own defense costs 
would be far greater and our security far less. 
The aggregate military and economic resources of 
the free world coalition represent the greatest and 
least costly insurance against war. 



October 7, 1957 



573 



V. "Disarmament" 

Tlie United States recognizes that armaments 
alone are no lasting guaranty of peace. We are, 
therefore, pursuing a policy designed to set up 
safeguards against surj^rise attack and to bring 
national armaments, botli nuclear and conven- 
tional, under effective international limitation and 
supervision. It is true that so-called "disarma- 
ment" efforts in the past have proved futile. The 
Hague peace conferences, the Versailles treaty, the 
Washington Naval Lhnitation Agreement, the 
League of Nations disarmament conferences, are 
recent conspicuous examples of failure. But there 
are hnportant differences today. 

Past efforts have usually proceeded from the 
assumption that it is possible to establish and 
maintain certain defined levels of military 
strength and to equate these dependably as be- 
tween the nations. Actually, military potentials 
are so imponderable that this always has been and 
always will be a futile pursuit. Today there is 
a new approach. It is proposed to establish a 
system of international supervision which will 
make massive surprise attack unlikely. If this 
happens, then general war becomes less likely and 
the level of armaments will almost automatically 
go down. 

Today the great military establishments derive 
largely from one of two calculations. A potential 
attacker calculates that he may be able to accumu- 
late the power to gain a decisive initial advantage 
by surprise attack. Those who feel that they may 
be attacked calculate that the only effective deter- 
rent to attack is to possess, collectively, power so 
great and so decentralized that it cannot be ren- 
dered nugatory by a massive surprise attack. 

New discoveries and their application lead to 
constantly mounting exertions to develop means 
of attack and of retaliation and of means of sur- 
vival. The only effective way to stop the cycle 
is to establish such international supervision of 
the great sources of military power that it becomes 
unlikely that there can be undetected preparation 
for an attack massive enough to destroy the op- 
posing source of power. That was President 
Eisenhower's "open skies" concept, first put for- 
ward at the Geneva "sunamit" conference of 1955. 

A potential aggressor, subject to inspection from 
the air, supplemented by a ground component, 
will know that he probably cannot use vast arma- 
ment to advantage. And nations exposed to ag- 



*1 

gression will know tliat they probably cannot be ; 
wiped out at a single blow and that therefore they j 
can rely more than now upon potential military ' 
strength ratlier than strength actually in being. ; 
Thus there will be no stimulation, as at present, ; 
for an arms race. This will not solve all the 
problems of armament, or guarantee peace. But 
the new appi'oach could create an atmosphere in 
which other measures, now impossible, would be- 
come possible. 

Tlie most important difference from the past 
is, of course, the fact that never before has there 
been such need to reduce the risk of war. Today 
a general war between the great military powers 
could destroy almost all human life, certainly 
in the northern latitudes. Our working hypoth- 
esis must be that what is necessary is possible. 
We assume that the forces which man has created 
man can, by wisdom, resourcefulness, and disci- 
pline, harness and control. We persevere in com- 
mon efforts to free the world from the continuing 
tlireat of destruction by tlie weapons that its civili- 
zation lias produced. 

VI. Free-World Health and Vitality 

Nations, like individuals, cannot live to them- 
selves alone. Realizing tliis, the American people 
liave always given generously of their substance 
to victims of disaster in many parts of tlie world 
and have engaged in innumerable programs of 
humanitarian assistance. These, until recently, 
have been the outcome mainly of philanthropic 
motives. During the past decade they have re- 
flected enlightened national self-interest. 

We now see that the world has become so much 
a unit that, wherever tlie body politic is afflicted, 
the whole is endangered. We realize that peace 
and prosperity for one requires, in the long run, 
that all should have the opportunity to pursue 
happiness. We see the need for more vital domes- 
tic forces in all free lands, to resist Communist 
subversion or attack. 

Since 1945 our nation has granted, outright, 
nearly $50 billion in aid, military and economic. 
Tliat has evidenced an enlightened conception of 
our own national interest. It is significant 
that, despite this assistance to others at the rate 
of about $5 billion a year, our own economy has 
developed in a healthy manner. This has been 
a decade of rising prosperity. In 1946 our na- 
tional income was approximately $180 billion. 



574 



Department of Stale Bulletin 



In 1951 it was approximately $277 billion. In 
195(3 it was approximately $344 billion. 

The Marshall plan was the most dramatic of 
our economic assistance efforts. It provided 
Western Europe with some of the means, and 
with the time and opportunity, to save itself. 
Kow we see in Western Europe the development 
of a degree of unity which had been the vision of 
enlightened statesmen for many years. There 
has been, first, the Coal and Steel Community, 
then the Brussels ti'eaty for European union, and 
now the treaties for a common market and 
EUKATOM. These developments are momen- 
tous in terms of developing unity, strength, and 
well-being in an area which for centuries has been 
the seat of recurrent wars threatening the very ex- 
istence of Western civilization. 

In recent years, as the Western European econ- 
omy has been reestablished, the United States 
has placed increasing emphasis on economic and 
technical assistance to the newly awakened and 
needy peoples of Asia and Africa. As upwards 
of 800 million people, representing 20 new na- 
tions, have won political liberty, one of the 
momentous issues of our time has been whether 
this political liberty would also mean the liber- 
ation of the people from a quagmire of economic 
misery and hopelessness. If not, present politi- 
cal liberty may prove a mere transition from one 
form of colonial rule to another far worse. 

All of our aid programs, whether military, 
economic, or technical, are rightly viewed as 
ventures in mutual security. If we have given 
more than others, this reflects our greater ability 
to give. An important question now raised 
about our mutual security policies is, will there 
be an early end to them? Eecent studies by ex- 
pert commissions all attest to their continuing 
necessity. 

The time to end such assistance will be when 
it no longer serves the enlightened self-interest 
of the United States. Military assistance and 
defense support represent about 70 percent of 
the entire program. That is part of our own 
defense. As regards economic assistance, we 
can expect private capital gradually to assume 
increasing responsibility for promoting the de- 
velopment of less well-developed areas, provided 
there is political stability. It is to be noted that, 
while the dollar value of our mutual security 
spending has not greatly declined in recent years, 



an increasing amount of this is in terms of loans 
rather than of grants. Also, the total of public 
loans and grants now represents only about 1 
percent of our national income, whereas a few 
years ago grants alone represented about 3 
percent. 

A cessation of our mutual security programs 
would, imder present conditions, be disastrous. 
What is needed is to put necessary aid programs 
on a more long-term, businesslike basis, reducing 
gi'ant aid to a minimum and applying our assist- 
ance in ways that will best help needy peoples to 
help themselves. As a result of intensive studies 
independently initiated by the Executive and the 
Congress, one new instrumentality is now being 
inaugurated, the Development Loan Fund. 
This, when adequately capitalized, will jjlace 
major I'esponsibility on the receiving comitries 
and stimulate self-help and private investment. 

United States foreign economic policy has been 
vigorous in fields other than aid. President 
Eisenhower's speech to the United Nations in 
December 1953 dramatized the possible peace- 
ful uses of atomic energy. Much has been ac- 
complished to realize these possibilities through 
bilateral agreements. Recently the United 
States ratified the statute for the International 
Atomic Energy Agency, which should be a mile- 
stone in the general application of this marvel- 
ous new resource for the benefit and not for the 
destruction of mankind. 

We recognize that governmental restrictions 
on trade have in the past throttled world com- 
merce to the detriment of eveiy nation. We 
have entered into international undertakings, 
notably the General Agreement on Tariffs and 
Trade, to prevent this and to promote the inter- 
change of goods and services. This expansion 
materially benefits the United States and 
friendly nations. Measm'es which might ad- 
versely affect a nation are avoided. Economic 
growth is stimulated throughout the world. 
The benefits of advances in one country are read- 
ily diffused to others. 

We do not forget that every government has a 
primary duty to serve its own people. But usu- 
ally that service can be best rendered by 
finding ways which help others also, or which at 
least do not hurt others. Occasionally, and hap- 
pily only rarely, situations arise which cannot 
be resolved by this formula. But in general we 
seek an international society in which men, goods, 



October 7, 1957 



575 



and ideas flow freely and without obstruction 
throughout a wide arep- and in which the oppor- 
tunity to pui'sue happiness is open to every man 
and woman. Tlie United States market, which 
dependably oilers so much that others want and 
which dependably buys so much that others 
M'ould sell, is the great economic stabilizer of 
the free world. It helps to combat conununism 
and the self-centered nationalisms which are 
alike in rejecting the concept of interdependence. 

Few economic theories are today as obsolete as 
those of Marx. They were propagated nearly a 
century ago in relation to a society which since 
then has rapidly transformed itself through the 
force of its own dynamic qualities. 

The social and economic basis of democracy has 
been widened throughout the AVestern World, and 
the same process is begiiming and accelerating in 
other free-world areas. International communism 
is a reactionary movement. Its "planning" makes 
slaves of the producers and creates a new exploit- 
ing and ruling class. It is replete with contra- 
dictions which, in free countries, have been re- 
solved by a peaceful, yet dynamic, evolution. 

We cannot, of course, claim i^erfection. The 
dramatic and peaceful development of the social 
and economic structure of our free societies must 
and will go forward. But even though we do not 
claim perfection, we can claim that the social 
goals which communism pretends to seek are in 
fact achieved to a far greater extent within our 
free society than they are achieved in Soviet 
Kussia or Communist China. 

VII. Peaceful Change 

As our countiy has been swept more fully into 
the broad currents of human affairs, we have been 
made more and more conscious of those rapid 
world movements of our century which seem inces- 
santly to transform the international landscape. 
Change is the law of life, and that includes inter- 
national life. Our common problem, in a world 
of rapid and often momentous change, is to insure 
that necessary changes occur in peaceful fashion 
without upheaval or war. Violent change is never 
selective change. It destroys the good as well as 
the bad. Change is beneficent when it is selective, 
continuing and developing the good while shed- 
ding that which is evil, outmoded, or inadequate. 

We have already alluded to some of the areas 
where change is most conspicuous. There is first 



of all the change which will inevitably result from 
the splitting of the atom. A vast new source of 
power is available to man, and we can be sure that 
it will be used to effect momentous changes. It 
can destroy man, or it can enrich him. The choice 
is up to man himself. The United States fu-st 
had the jjower of fission and used it in war to 
defend freedom. We feel a special responsibility 
to help to assure that man's momentous choice 
shall be "atoms for jjeace." 

Another vast force for change is political na- 
tionalism. This is operating strongly in Asia and 
Africa. Since 1945 it has resulted in the creation 
of a score of new nations. Other peoples are well 
on their way to political independence. 

But the mere act of granting political inde- 
pendence does not of itself assure that the newly 
independent peoples will in fact have govern- 
ments of their own choosing or governments able 
and willing to serve the governed. It does not of 
itself mean that the society of nations is enriched 
by new recruits dedicated to principles of inter- 
dependence and an international order of law and 
justice. It is going to be necessary to find policies 
to cope with new demands of colonial peoples, 
with strident and embittered nationalisms, and 
with social unrest among those who tend to feel 
that political liberty automatically should pro- 
vide them M'ith new economic oj^portunity. 

The United States, once itself a colony, shares 
and sympathizes with the aspirations of peoples 
for political independence. Also, we know the ex- 
tent to which liberty, for its own self-preservation, 
requires the self-restraint of moral law and the 
education to make sound judgments. We can and 
should play an imi)ortant part in finding the poli- 
cies to cope with the political and social ferment 
of much of the human race. 

We recognize, as does the United Nations Char- 
ter in article 14, that there will be constantly 
arising particular situations likely to impair the 
general welfare or friendly relations among na- 
tions and calling for peaceful adjustment. We 
have noted in recent years the emergence of such 
situations, for example, the disputes over Cyprus, 
Kashmir, and West Irian; between Arabs and 
Israelis; and over Suez. These not only disrupt 
world peace and comity. They provide fertile soil 
for Communist proj^aganda and penetration. 

The United States recognizes that, in the case 
of such disputes, all of the merits are not on one 



576 



Department of State Bulletin 



side. Therefore we do not identify ourselves with 
any purely partisan approach. The Soviet rulers, 
unconcerned with the merits and eager only to 
extend their power, are prepared to back one side 
against the other if, in return, they obtain political 
advantages. Because they sometimes gain advan- 
tages out of such disputes, their interest lies in 
creating and exacerbating disputes and preventing 
their settlement. 

This illustrates how important it is for the free 
world to establish regular procedures for the set- 
tlement of disputes between its members. This 
has already been done in the Western Hemisphere 
through the Organization of American States. 
Within the past few years several serious disputes 
between American states have been successfully 
dealt with by the procedures of this organization. 
Its members deserve the highest praise for their 
loyalty to the peaceful processes of law and justice 
which they have established. They have set a 
notable example which ought to be followed more 
generally. 

Largely as a result of United States initiation, 
the North Atlantic Treaty Organization is now 
developing processes for the settlement of disputes 
between its members. Last year the Secretary- 
General of NATO was given new responsibilities 
in this respect. 

There are, in the long run, great potentialities 
in article 14 of the United Nations Charter, which 
authorizes the Asseinbly to recommend cliange in 
the status quo. The exercise of this delicate func- 
tion requires knowledge, wisdom, and self- 
restraint. If becomes particularly difficult for the 
Assembly to exercise this function when a power- 
ful minoritj' of members seeks not fair and just 
settlements but unsettlements which lend them- 
selves to the use by international communism of 
its revolutionary tactics. 

Sometimes it is felt that the United States ought 
more often to use its power to effectuate settle- 
ments. The United States can and does exert an 
influence in quiet and inconspicuous ways as a 
friend of all the parties. We stand ready to exer- 
cise our good offices if and when invited to do so 
under adequate terms of reference. But we do not 
assume the right to meddle or be the arbiter of 
other peoples' affairs. 

The most dangerous of all unresolved disputes 
are those within the areas now under the rule of 
international communism. The pattern here is 



classic. There is the inevitability of change, but 
the situation is dominated by those who tlo not 
believe in peaceful change at the expense of their 
power. Such a state of affairs has historically 
pi'oduced violent eruptions. Some of the areas in 
question are especially explosive as they involve 
the artificial division of historic nations — Ger- 
many, Korea, and Viet-Nam. Others, as lately 
demonstrated in Hungary and Poland, contain 
resentments so bitter that many patriots would 
die in revolt against hopeless odds rather than 
continue to suffer in silence. 

United States policy, as proclaimed repeatedly, 
will never sanction these injustices nor accept them 
as permanent. But we strive only by peaceful 
means to achieve justice. It would not be in the 
general interest, nor in the interest of the peoples 
directly concerned, for events to shape up into 
war. We shall continue to employ all the re- 
sources of the United Nations and all diplomatic 
means and moral pressures to alleviate the in- 
justices and oppressions suffered by these peo- 
ples and to make their plight known to world 
opinion. We have faith in their ultimate free- 
dom and independence. Wlien the Russian lead- 
ers decide to serve the interests of Russia and 
cease to be the agents of international communism, 
they will act in the knowledge that Russia's long- 
term interests require the reunification of Ger- 
many in freedom and the liberation of the satel- 
lites. Only thus can Russia achieve its proper 
desire to be surrounded by friendly peoples. The 
martyrs of Hungary have not died in vain if they 
have advanced the coming of that day. 

Even such a brief survey of the forces working 
for change cannot but leave us with a sense of 
their immensity and the relative paucity of politi- 
cal means for keeping them within peaceful chan- 
nels. Peace and justice are surely in jeopardy. 

Within a stable individual society there are in- 
stitutions to effectuate and legalize change — 
usually parliamentary bodies which make and re- 
make laws so that political, economic, and social 
changes occur peacefully and with legitimacy. 
In the international field concepts of sovereignty 
Avhich have become obsolete lead nations to feel 
that they can put what they deem to be their own 
national rights and interests above the need of the 
whole society of nations — the need for peaceful 
settlement. It will probably be a long time be- 
fore there is any universal mandatory process for 



October 7, 1957 



577 



effectuating international change. But there can 
and should be a far greater willingness than there 
now is to subordinate national interests to the 
interest of the world community, to use existing 
agencies such as the Court of International Jus- 
tice, and to develop and accept a body of written 
or unwritten international law. 

VIII. Conclusion 

Two significant facts stand out respecting 
United States foreign policy. The first is that our 
policies have developed as a reflection of deeply 
ingrained national characteristics. The second is 
that our policies have been influenced and modified 
by changing world conditions in the effort to apply 
our basic concepts to actual conditions and to the 
challenges they have presented. 

These two features of our policy are by no means 
incompatible. To hold to national judgments of 
risrht and wrong does not mean that we are so 
closely wedded to doctrinaire concepts that we 
camaot adjust our policies to the demands of the 
hour. To think of our policies as shifting and 
changing in order to cope with varying situations 
need not be to infer that no central and governing 
core of principle gives them continuity. 

In this article we have dwelt mainly on the 
manner in which policy has adapted itself to new 
and challenging problems; but the manner and 
conduct have been guided throughout by certain 
principles. 

These principles were unforgettably formulated 
by George Washington in his Farewell Address. 
He there points out that "of all the dispositions 
and habits which lead to political prosperity, 
religion and morality are indispensable supports." 
And he went on to emphasize the primary impor- 
tance of a general diffusion of knowledge. "In 
proportion as the structure of a government gives 
force to public opinion, it is essential that public 
opinion should be enlightened." 

Because of our religious beliefs we attach excep- 
tional importance to freedom. We believe in the 
sanctity of the human personality, in the inalien- 
able rights with which men are endowed by their 
Creator, and in their right to have governments of 
their own choosing. But we also believe that indi- 
viduals as well as governments are subject to moral 
law. We recognize that liberty, whether it be 
individual or national, can be dangerous license 



unless it is exercised under the disciplines of moral 
law and with adequate knowledge and education to 
assure that moral judgments in fact take all rele- 
vant factors into account. 

We are as a nation imsympathetic to systems 
and governments that deny human freedom and 
seek to mold all men to a preconceived pattern and 
to use them as tools to aggrandize the state. We 
are also unsympathetic to assertions of sovereignty 
which do not accept the concept of social inter- 
dependence. As Americans we have built our na- 
tion on the federal principle, drawing together 
what were sovereign states into a cooperative com- 
munity. We thus naturally invoke the idea of 
cooperation between nations in the pursuit of ends 
which correspond with the aspirations of all 
people. 

Despite a certain superficial indifference to the 
niceties of law observance, Americans have de- 
veloped a profound respect for law as the basis of 
social and civic life. We conceive of manmade 
law as an effort to apply the moral law to the 
conditions of time and place. Our Constitution is 
the oldest basic written law in the world today. 
This concept of law permeates our entire political 
system and gives it a stability and moderation 
rarely matched among contemporary governments. 
We yearn to see the behavior of nations in their 
relations with one another rest upon the founda- 
tion of agreed legal principles derived from moral 
concepts. We abhor arbitrary government which 
reflects only the caprice of a tyrant. 

These concepts, taken together, constitute our 
American way of life. They represent, for us, the 
idea and reality of freedom under law — of which 
the most authoritative is moral law. It is inevita- 
ble that they should influence our foreign policy. 
For, under a representative form of government, 
foreign policy is valid only as an expression and a 
projection of national character and national con- 
victions. Whoever would understand our policy 
should try to comprehend us as a nation. 

The constancy of our national character is what, 
even in such a swiftly changing era, gives stability 
and continuity to our foreign policy. It is well 
that this is so, for it enables those who imderstand 
the United States to comprehend also the main- 
springs of its action and thus estimate, in their 
own interest, what the response of the United 
States to any situation is likely to be. 



578 



Department of Slate Bulletin 



The fact has an important bearing on our al- 
liances. As leader of a great coalition, we can 
never hope to please all countries. But we can 
win respect if it is felt that we are acting in true 
character. 

It is important also in relation to those who are 
hostile to us. Potential enemies will be less in- 
clined to gamble on our behavior — with all the 
risks of miscalculation — if they can count with a 
reasonable degree of certainty upon our national 
conduct. 

So toward all, whether friendly or not, we 
should act as a people proud of our heritage, as- 
sured in our convictions, and confident in our des- 
tiny. We have no desire to impose upon otliers 
the pattern of our thought and our institutions. 
Yet we may take pride in the fact that our prin- 
ciples are drawn from the great thinkers of the 
18th-century "age of enlightenment" who im- 
pressed their ideas deeply upon modern Western 
culture as a whole. These principles are not nar- 
rowly parochial but universal in their applica- 
tion. In America they were the inspiration of 
the greatest democratic experiment in history. 
Insofar as our national behavior reflects these 
principles, it is certain to meet, in the long I'un, 
with understanding and respect. 



U.S. To Waive Fingerprinting 
of Winter Olympics Participants 

Press release 527 dated September 17 

The following letter was sent on September 1^ 
to Prentis 0. Hale, president of the 1960 Squaw 
Valley VIII Olympic Winter Games Organizing 
Committee^ at San Francisco. 

Dear Mr. Hale : With respect to those Olympic 
officials and athletes who are certified by the var- 
ious national Olympic associations and commit- 
tees as qualified to participate in the 1960 Squaw 
Valley Winter Olympic Games, you may inform 
the International Olympic Committee that the 
United States Govermnent will not discriminate 
between or among them regardless of their coun- 
try or place of origin. 

You are aware, of course, that there are non- 
discriminatory laws and regulations affectmg en- 
try into the United States which would be appli- 
cable to all members of the Olympic teams and all 
Olympic officials coming to Squaw Valley irre- 



spective of their counti-y or place of origin. 
These include requirements of health and security. 
In the past, there was a fingerprinting require- 
ment which was mandatory for all alien visitors 
save, in the discretion of the Secretary of State, 
for certain diplomats and Government officials. 
This law has recently been amended to permit the 
Secretary of State and the Attorney General to 
waive this requirement. A copy of the amend- 
ment is attached for your information. The De- 
partment is advised that qualified Olympic offi- 
cials and athletes coming to the United States 
solely for the purpose of participating in the Win- 
ter Olympics as such Olympic officials and ath- 
letes, would qualify as nonimmigrant -aliens with 
respect to whom such a waiver could be given 
upon compliance with the provisions of the at- 
tached amendment. 

Sincerely yours, 

John Foster Dulles 



Enclosure 

CERTAIN REVISIONS OF THE IMMIGRATION 
AND NATIONALITY LAWS 

Sec. 8. The Secretary of State and the Attorney Gen- 
eral are hereby authorized, in their discretion and on a 
basis of reciprocity, pursuant to such regulations as they 
may severally prescribe, to waive the requirement of 
fingerprinting specified in sections 221 (b) and 262 of 
the Immigration and Nationality Act, respectively, in the 
case of any nonimmigrant alien. 



Air Transport Consultations 
With Brazil 

Press release 531 dated September 19 

Delegations of the Governments of the United 
States and Brazil began consultations in Wash- 
ington on September 19 under the terms of the 
Air Transport Services Agreement of 1946 be- 
tween the United States and Brazil. The last 
formal meeting between delegations of the two 
countries on aviation matters was held in October 
1950. The current discussions will be largely de- 
voted to an examination of operations by the air- 
lines of both countries under the terms of the 
1946 agreement. 

The chairman of the Brazilian delegation is 
Maj. Brig. Alvaro Hecksher, cliairman of tlie 
Brazilian aviation policyforming organization 



Ocfober 7, 1957 



579 



CERNAI. Other members of tlie Brazilian dele- 
gation are Federico Duarte de Oliveira, chief of 
the Civil Air Section, Cabinet of the Minister of 
Aeronautics; Roberto Pimentel, director of the 
Traffic Division, Directorate of Civil Aeronau- 
tics; Lt. Col. Jose Carlos de Miranda Correa, as- 
sistant to the director of air routes; L. de Beren- 
guer Cesar, in charge of transportation afi'airs. 
Ministry of Foreign Affairs (tlie above-men- 
tioned are members of CEENAI) ; Luiz Paulo 
Lindenberg Sette, Tliird Secretary, Brazilian Em- 
bassy, Washington; Capt. Pedro Lamego, aide- 
de-camp to Major Brigadier Hecksher; and 
Nestor Jost and Augusto de Gregorio, Members 
of the Brazilian Chamber of Deputies. 

The United States delegation is headed by 
Henry T. Snowdon, chief. Aviation Division, De- 
partment of State. Other members of the dele- 
gation are Louis J. Hector, Member, Civil Aero- 
nautics Board ; Bradley D. Nash, Deputy Under 
Secretary for Transportation, Department of 
Commerce; Joseph C. Watson, chief. Interna- 
tional Division, Civil Aeronautics Board ; Gerald 
W. Eussell, Office of Inter-American Regional 
Economic Affairs, Department of State; John J. 
IngersoU, Office of South American Affairs, De- 
partment of State; Stanley Grand, Department 
of State ; James C. Plaahr, Aviation Division, De- 
partment of State; Dorothy Thomas, Interna- 
tional Division, Civil Aeronautics Board. 

The following will attend as obsei-vers: Oren 
Harris, chairman. Committee on Interstate and 
Foreign Commerce, House of Representatives, and 
Charles A. Wolverton, ranking minority member. 
Committee on Interstate and Foreign Commerce, 
House of Representatives. Representatives of 
the Air Transport Association of America will 
also attend. 



NATO Fellowship and Scholarship 
Program for 1958-59 

Press release 532 dated September 20 

The North Atlantic Treaty Organization has 
announced the availability of a number of fellow- 
ships and scholarships for the academic year 1958- 
69. This is the third year of the NATO Fellow- 
ship and Scholarship Program, which provides 
oppox'tunities for study or research by nationals 



of states which are members of the organization. 
The fellowships are intended for scholars with 
established reputations, while the scholarships will 
be. awarded to students who have graduated from 
college in recent years. The aim of the program, 
according to the announcement made by the 
NATO headquarters in Paris, is "to promote study 
and research (preferably leading to publication) 
on various aspects of the common interests, tradi- 
tions, and outlook of the countries of the North 
Atlantic Alliance, in order to throw light on the 
history, present status, and future development of 
the concept of the Atlantic Community, and of 
the problems which confront it." 

The awards will normally be for a period of 2 
to 4 months for fellows and a full academic year 
for scholars. In addition to a financial grant, 
transportation to and from the j^lace where the 
study or research is to be undertaken will be pro- 
vided. Grantees will be required to submit to 
NATO a substantial report together with a brief 
summary, in English or French, on the results of 
their work. 

The competition for U.S. citizens opened on 
September 15, and applications must be submitted 
to the appropriate agency prior to November 1, 
1957. Candidates for fellowships should apply to 
the Conference Board of Associated Research 
Councils, 2101 Constitution Ave. NW., Washing- 
ton 25, D. C. Applications for scholarships 
should be submitted to the Institute of Interna- 
tional Education, 1 East 67th St., New York 21, 
N. Y. Tlie Board of Foreign Scholarships, ap- 
pointed by the President to advise on policies re- 
lating to certain aspects of the International Edu- 
cational Exchange Program, will nominate panels 
of candidates based on the recommendations of 
the two cooperating agencies, which the Depart- 
ment of State will present to NATO's Selection 
Committee. Announcement of the awards will be 
made on April 4, 1958, the ninth anniversary of the 
signing of the North Atlantic Treaty. 

Emphasizing the multilateral character of the 
program, the plan for selection gives preference, 
when other qualifications are equal, to candidates 
prepared to conduct their projects on the other 
side of the Atlantic Ocean. The Selection Com- 
mittee will aim at an equitable geographic distri- 
bution of awards but will not be bound by a strict 
rule. 



580 



Department of Slate Bulletin 



Germany Expands Restitution 
Claims Coverage 

I'ress release 525 dated September 16 

The American Embassy at Bona has reported 
that recent modifications of the German Fed- 
eral Restitution Law open the way for the filing 
of certain categories of monetai-y restitution 
claims by former Nazi persecutees who have been 
unable to obtain compensation under previous 
legislation. The modifications relate to claims 
arising from unlawful taking by certain German 
entities of tangible or intangible property which 
at the time of the taking was "identifiable"' within 
the meanmg of restitution legislation but which 
cannot be restituted because of loss, damage, or 
deterioration. The modifications are believed of 
particular interest to individuals who sustained 
losses due to confiscation of identifiable property 
outside "West Germany which property was sub- 
sequently sent into West Germany or Berlin. 
The development is considered of significance in 
cases where special levies or discriminatory taxes 
were collected through seizure of such property. 
Knowledge of the final location of the property 
is not required. 

Claims must be filed with German authorities 
not later than April 1, 1958.^ 



Renegotiation of Tariff Concessions 
Proposed by Five Countries 



Press release .^24 dated September 16 
DEPARTMENT ANNOUNCEMENT 

The Committee for Reciprocity Information is 
requesting submission of views in connection with 
United States participation in tariff negotiations 
arising from the desire of Austria, Canada, Cey- 
lon, Greece, and the Union of South Africa to 
modify or withdraw certain tariff concessions in 
their respective schedules annexed to the General 
Agreement on Tarifi's and Trade (GATT). There 
is attached a list of items of interest to the United 
States which the countries indicated desire to 



' The Department of State has available an Informa- 
tion sheet givlnfr further details of the German legisla- 
tion which will be furnished upon request. 



withdraw from the schedules of GATT conces- 
sions or to modify in these negotiations. 

The countries listed are among those which 
have expressed a desire to avail themselves of the 
opportunity on January 1, 1958, to modify or 
withdraw concessions in their schedules to the 
general agreement. Under procedures established 
by the contracting parties to the agreement, the 
counti-y proposing to modify or withdraw a con- 
cession negotiates, with respect to compensation 
with the country with which the concession was 
originally negotiated and with any other coun- 
try having a principal supplying interest. In 
these negotiations new concessions may be granted 
by the country proposing the modification or with- 
drawal. Another possible result may be with- 
drawal or upward adjustment, by the countries 
adversely affected, of concessions of a value sub- 
stantially equivalent to the concession modified 
or withdrawn. In addition to these negotiations, 
the country proposing modification or withdrawal 
of concessions consults with other countries sub- 
stantially interested in the concessions. 

The Committee for Reciprocity Information is 
an interagency group which receives views of in- 
terested persons regarding proposed or existing 
trade agreements. The committee consists of a 
member of the U.S. Tariff Commission and repre- 
sentatives from the Departments of Agriculture, 
Commerce, Defense, Interior, Labor, State, and 
Treasury, and the International Cooperation Ad- 
ministration. 

In preparation for the i^roposed negotiations 
the Committee for Reciprocity Information would 
welcome views from interested parties with regard 
to the possible effect on United States trade of 
modification or withdrawal of the concessions on 
the items in the attached list. In addition, the 
committee invites the submission of views regard- 
ing concessions which the United States might 
seek from the respective countries as compensa- 
tion as well as views concerning possible upward 
adjustment in United States rates of duty on 
commodities which are now the subject of con- 
cessions in the general agreement. 

Views on the foregoing matters should be sub- 
mitted to the Committee for Reciprocity Infor- 
mation by the close of business on October 7, 
1957. All communications, in 15 copies, should 
be addressed to : The Secretary of the Committee 



October 7, 1957 



581 



for Reciprocity Information, Tariff Commission 
Building, Wasliington 25, D. C. 

If any interested party considers that his views 
cannot be adequately expressed to the committee 
in a written brief, he should make this known 
to the secretary of the committee, who will then 
arrange for oral presentation before the com- 
mittee. 



LIST OF ITEMS 

GATT Concessions Proposed for Modification or With- 
drawal by Austria, Canada, Ceylon, Greece, and Union 
of South Africa in Which the United States Has an 
Interest 

Austria 

White oils 

Transformer oils 

Linoleum 

Inlaid linoleum 

Boiler feeder pumps and domestic pumps of iron, under 

1,000 kilograms 
Combustion engines weighing less than 25 kilograms each 
Refrigerating machinery of iron, less than 1,000 kilograms 

each 
Aromatic essences not containing alcohol or ether 

Canada 

Primary iron and steel products, approximately 60 trade 
classifications in the following categories : 

blooms 

cogs 

ingots 

rounds 

squares 

sheets 

plates 

bars 

hoop 

band 

band strip 

structural steel 

pipes, tubes, pipe fittings and couplings, including cas- 
ings for use in casing water, natural gas, or oil wells, 
and pressure pipe for pipe lines, as well as pipe and 
valves used in drilling for water, natural gas, or oil, or 
in prospecting for minerals 

CeiiJon 

Razor blades 
Cotton towels 

Greece 

Goat and sheepskin leather 
Whisky 

Union of South Africa 

Canned asparafcus 

Parts and material for use in the assembly of motor 
cars in the Union of South Africa (excludes radio 
apparatus and certain other specified parts and 
material) 

Radio and wireless apparatus (excludes radio-phono- 
graph combinations and apparatus imported for ships, 
aircraft, or use in public radio service) 



Congressional Documents 
Relating to Foreign Policy 

85th Congress, 1st Session 

Emergency Oil Lift Program and Related Oil Problems. 
Joint hearings before subcommittees of the Senate Com- 
mittee on the .ludiciar.v and the Senate Committee on 
Interior and Insular Affairs pursuant to S. Res. 57. 
Part 3, appendix A, 654 pp. ; part 4, appendix B, 591 pp. 

Building a World of Free Peoples. Hearings before the 
Subcommittee on International Organizations and 
Movements of the House Committee on Foreign Af- 
fairs. Volume I, March 1-April 9, 1957. 103 pp. 

Department of State Passport Policies. Hearings before 
the Senate Committee on Foreign Relations. April 2 
and 11, 1957. 137 pp. 

Food Stockpiling Within the United States and Abroad 
for Future Emergencies. Hearings before the Snl)- 
committee on Consumers Study of the House Com- 
mittee on Agriculture on H.R. 534. Part 3, June 12 
and 13, 1957. 115 pp. 

Foreign Trade Interests in the State of Michigan. Pre- 
pared at the request of Members of the Michigan Con- 
gressional Delegation by the Legislative Reference 
Service of the Library of Congress. H. Doc. 209, July 
16, 1957. 179 pp. 

22d Semiannual Report of the Atomic Energy Commis- 
sion. S. Doc. 47, July 31, 1957. 257 pp. 

Inter-American Highway and Miscellaneous Roads on 
Public Lands. Hearings before a subcommittee of the 
Senate Committee on Public Works on S. 2157, a hill to 
authorize appropriation of an additional sum required 
for completion of the Inter-American Highway, and 
miscellaneous roads on public lands. August 6 and 7. 
19.57. 53 pp. 

Double Taxation Convention With Pakistan. Hearing 
before the Senate Committee on Foreign Relations on 
income tax convention with Pakistan (Exec. N, 85th 
Cong., 1st ses.s.). August 9, 1957. 66 pp. 

A Collection of Excerpts and a Bibliography relative to 
United States foreign aid prepared at the request of the 
Senate Committee on Foreign Relations by the Foreign 
Affairs Division, Legislative Reference Service of the 
Library of Congress. S. Doc. 62, August 12, 1957. 
39 pp. 

Mutual Security Appropriation Bill, 1958. Report to ac- 
company H.R. 9302. H. Rept. 1172, August 15, 1957. 
15 pp. 

The International Patent System and Foreign Policy. 
Study of the Subcommittee on Patents, Trademarks, 
and Copyrights of the Senate Committee on the Judi- 
ciary pursuant to S. Res. 55. Study No. 5. S. Doc. 63, 
August 22, 1957. 52 pp. 

18th Semiannual Report on Educational Exchange Activ- 
ities, January 1-June 30. 1957, transmitted by the 
Chairman. U.S. Advisory Commission on Educational 
Exchange, pursuant to Public Law 402, SOth Congress. 
H. Doc. 236, August 27. 1957. 8 pp. 

Antidumping Act, 1921. Report to accompany H.R. 
6006. H. Rept. 1261, August 27, 1957. 20 pp. 

Operation of Article VII, NATO Status of Forces Treaty. 
Report of the Senate Committee on Armed Services 
covering period from December 1, 1955. through No- 
vember 30, 1956. S. Rept. 1162, August 29, 1957. 26 pp. 

Control and Reduction of Armaments. Report of the 
Subcommittee on Disarmament of the Senate Com- 
mittee on Foreign Relations pursuant to the provisions 
of S. Res. 93, S. Res. 185, and S. Res. 286, 84th Con- 
gress, and extended by S. Res. 61, S. Res. 151, and S. 
Res. 192. R5th Congress. S. Rept. 1167, September 6, 
1957. 23 pp. 



582 



Department of State Bulletin 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Calendar of International Conferences and Meetings ^ 



Adjourned During September 1957 



U.N. Disarmament Commission: Subcommittee on Disarmament . London 

ILO"Artand Labor" Exposition Geneva 

18th International Exhibition of Cinematographic Art; and 7th Venice 

International Exhibition of the Documentary and Short Film. 

Organization of American States: Economic Conference Buenos Aires 

11th Annual Edinburgh Film Festival Edinburgh 

International Scientific Radio L'^nion: 12th General Assembly . . Boulder, Colo 

ICAO Teletypewriter Technical Panel: 2d Meeting Montreal 

7th British Commonwealth Forestry Conference Australia and New Zealand 

9th International Congress on Cell Biology St. Andrews, Scotland . . 

International Geographical Union: Regional Conference Nara and Kyoto 

International Union of Public Transportation: 33d Congress . . . Hamburg and Berlin . . . 

9th Pan American Railway Congress Buenos Aires 

International Exposition of the Sea Marseille 

U.N. ECAFE Workshop on Problems of Budget Reclassification: Bangkok 

2d Meeting. 

International Union of Geodesy and Geophysics: 11th General Toronto 

Assembly. 

UNICEF Executive Board New York 

WHO Regional Committee for Western Pacific: 8th Session . . . Hong Kong 

U.N. ECE Inland Transport Committee: Group of Experts on Geneva 

Track Cost. 

FAO/ECE Timber Committee: 2d Session of Committee on Forest Moscow 

Working Techniques and Training of Forest Workers. 

UNESCO International Conference on Radioisotopes Paris 

ICAO Legal Committee: Special Subcommittee on Rule 57 of Tokyo 

Standing Rules of Procedure. 

U.N. General Assembly: 11th Session (reconvened) New York 

PASO Executive Committee: 32d and 33d Meetings Washington 

U.N. ECE Inland Transport Committee: Working Party on Geneva 

International Traffic Arteries. 

Inter-Parliamentary Union: 46th Conference London 

ICAO Legal Committee: 11th Session Tokyo 

U.N. Trusteeship Council: 7th Special Session New York 

lA-ECOSOC Permanent Technical Committee on Ports and Montevideo 

Harbors. 

FAO Cocoa Study Group: Executive Committee Ibadan, Nigeria 

PASO Directing Council: 10th Meeting Washington 

U.N. ECAFE/FAO Working Party on Economic Development and Bangkok. 

Planning: 3d Meeting. 

U.N. ECE Coal Committee: Coal Trade Subcommittee Geneva 

International Union of Pure and Applied Physics: 9th General Rome 

Assembly. 

U.N. ECE Inland Transport Committee: Subcommittee on Road Geneva 

Transport. 

FAO Cocoa Study Group: 2d Meeting Ibadan, Nigeria. 

GATT Intersessional Committee of Contracting Parties Geneva 

U.N. ECE Ad Hoc Working Party on Gas Problems Geneva 

FAO International Rice Commission: 7th Meeting of Working Vercelli, Italy 

Party on Rice Breeding. 

FAO International Rice Commission: 6th Meeting of Working Vercelli, Italy 

Party on Fertilizers. 

FAO International Rice Commission: Ad Hoc Working Group on Vercelli, Italy. 

Soil- Water-Plant Relationships. 



Mar. 18-Sept. 6 
June 15-Sept. 22 
Aug. 12-Sept. 8 

Aug. 15-Sept. 4 
Aug. 18-Sept. 8 
Aug. 22-Sept. 4 
Aug. 26-Sept. 6 
Aug. 26-Sept. 26 
Aug. 28-Sept. 3 
Aug. 29-Sept. 3 
Aug. 29-Sept. 6 
Aug. 30-Sept. 13 
Sept. 1-30 
Sept. 3-10 

Sept. 3-14 

Sept. 3-14 
Sept. 5-11 
Sept. 9-11 

Sept. 9-14 

Sept. 9-20 
Sept. 10-11 

Sept. 10-14 
Sept. 10-27 
Sept. 12-13 

Sept. 12-18 
Sept. 12-25 
Sept. 12-20 
Sept. 16-19 

Sept. 16-26 
Sept. 16-27 
Sept. 16-28 

Sept. 16 (1 day) 
Sept. 17-20 

Sept. 17-20 

Sept. 17-26 
Sept. 19-27 
Sept. 23-27 
Sept. 23-28 

Sept. 23-28 

Sept. 23-28 



' Prepared in the Office of International Conferences, Sept. 13, 1957. Asterisks indicate tentative dates. Following 
is a list of abbreviations: U.N., United Nations; ILO, International Labor Organization: ICAO, International Civil 
Aviation Organization; ECAFE, Economic Commission for Asia and the Far East; UNICEF, United Nations Children's 
Fund; WHO, World Health Organization; ECE, Economic Commission for Europe; FAO, Food and Agriculture Organiza- 
tion; UNESCO, United Nations Educational, Scientific and Cultural Organization; PASO, Pan American Sanitary Organ- 
ization; lA-ECOSOC, Inter-American Economic and Social Council; GATT, General Agreement on Tariffs and Trade; 
ICEM, Intergovernmental Committee for European Migration; WMO, World Meteorological Organization; SEATO, 
Southeast Asia Treaty Organization. 



October 7, 1957 



583 



Calendar of International Conferences and Meetings-Continued 

Adjourned During September 19S7-Continued 

International Bank for Reconstruction and Development and In- Washington Sept. 23-28 

ternational Monetary Fund: 12th Annual Meeting of Boards 

of Governors. 

17th International Conference of Sociology Beirut Sept. 23-29 

lA-ECOSOC: Meeting of Experts on Technical Standards .... Rio de Janeiro Sept. 23-30* 

In Session as of September 30, 1957 

Universal Postal Union: 14th Congress Ottawa Aug. 14- 

9th Pan American Railway Congress Buenos Aires Aug. 30- 

International Atomic Energy Agency Preparatory Commission Vienna Sept. 9- 

(PRECO). 

ICAO Communications Division: 6th Session Montreal Sept. 10- 

U.N. General Assembly: 12th Session New York Sept. 17- 

4th FAO/WHO Conference on Nutrition Problems in Latin Guatemala City Sept. 23- 

America. 

WMO Executive Committee: 9th Session Geneva Sept. 24- 

ICEM Executive Committee: 8th Session Geneva Sept. 26- 

Diplomatic Conference on Maritime Law Brussels Sept. 30- 

International Council for the Exploration of the Sea: 45th Meet- Bergen, Norway Sept. 30- 

ing. 

GATT Balance-of- Payments Consultations: Working Party . . . Geneva Sept. 30- 

U.N. ECE Inland Transport Committee: Group of Experts on Geneva Sept. 30- 

Technical Questions (Rail). 

Scheduled October 1-December 31, 1957 

International Atomic Energy Agency: 1st General Conference and Vienna Oct. 1- 

1st Meeting of Board of Governors. 

GATT Article XXVIII Tariff Negotiations Geneva Oct. 1- 

ILO Meeting of Experts on Fires and Electricity in Coal Mines . . Geneva Oct. 2- 

lA-ECOSOC: Inter-American Seminar on Rural Electrification Recife City, Brazil Oct. 5- 

Cooperatives. 

ICAO Preparatory Meeting on Air Traffic Control Problems in the Lisbon Oct. 7- 

European- Mediterranean Region. 

FAO International Fishing Gear Congress Hamburg Oct. 7- 

ILO Iron and Steel Committee: 6th Session Monterrey Oct. 7- 

ICEM Council: 7th Session Geneva Oct. 7- 

GATT Balance-of-Payment Consultations Geneva Oct. 7- 

U.N. ECE Electric Power Committee (and Related Meetings) . . Geneva Oct. 7- 

UNESCO Intergovernmental Copyright Committee: 2d Session . Washington Oct. 7- 

Consultative Committee on Cooperative Economic Development Saigon Oct. 7- 

in South and Southeast Asia (Colombo Plan): 9th Meeting. 

Consultative Committee on Cooperative Economic Development Saigon Oct. 7- 

in South and Southeast Asia (Colombo Plan) : Officials Meet- 
ing. 

8th U.N. Technical Assistance Conference New York Oct. 

WMO Commission for Synoptic Meteorology: 1st Session of Work- Paris 

ing Group on Telecommunications. 

U.N. ECE/FAO Timber Committee: 15th Session Geneva 

U.N. ECAFE Highway Subcommittee: 4th Session Bangkok 

GATT Intersessional Committee Geneva 

FAO Study Group on Grains: 2d Meeting Rome 

GATT Contracting Parties: 12th Ses.sion Geneva 

South Pacific Commission: 17th Session Noumea, New Caledonia . 

Consultative Committee on Cooperative Economic Development in Saigon 

South and Southeast Asia (Colombo Plan) : Ministerial Meet- 
ing. 

ILO Governing Body: 137th Session (and Committees) Geneva Oct. 21- 

U.N. ECE Committee on Development of Trade and East- West Geneva Oct. 21- 

Trade Con.sultations. • 

UNESCO Meeting of Governmental Experts on Agreement on the Geneva Oct. 21- 

Importation of Educational, Scientific, and Cultural Ma- 
terials. 

ICAO Airworthiness Committee: 1st Meeting Montreal Oct. 22- 

2d ICAO South American/South Atlantic Regional Air Navigation Sao Paulo Oct. 22- 

Meeting. 

FAO Committee on Commodity Problems: 29th Session Rome Oct. 24- 

FAO Committee on Relations With International Organizations. . Rome Oct. 24- 

19th International Red Cross Conference New Delhi Oct. 24- 

584 Department of State Bulletin 



Oct. 


10- 


Oct. 


14* 


Oct. 


14- 


Oct. 


14- 


Oct. 


16- 


Oct. 


17- 


Oct. 


17- 


Oct. 


18- 


Oct. 


21- 



Calendar of International Conferences and Meetings — Continued 



Scheduled October l-December 31, 1957 — Continued 

U.N. ECAFE Inland Transport Committee: 4th Session of Inland Jogjakarta Oct. 24- 

Waterwavs Subcommittee. 

SE.\TO: Comniittoe of Economic Experts Bangkok Oct. 28- 

GATT Ministerial Meeting Geneva Oct. 28- 

International Wheat Council: 23d Session London Oct. 30- 

FAO Council: 27th Session Rome Oct. 31- 

U.N. Advisory Committee on Peaceful Uses of Atomic Energy: 7th New York Nov. 1- 

Session. 

International Union of Official Travel Organizations: Executive Washington Nov. 1- 

Committee. 

FAO Conference: 9th Session Rome Nov. 2- 

International Union of Travel Organizations: 12th General Assem- Washington Nov. 3- 

bly. 

International North Pacific Fisheries Commission: 5th Meeting . . Vancouver Nov. 4- 

U.N. ECAFE Working Party of Senior Geologists on the Prepara- Calcutta Nov. 4- 

tion of a Regional Geological Map for Asia and the Far East: 

3d Meeting. 
WMO Commission for Bibliography and Publications: 2d Session . 
Caribbean Commission: 7th Session of West Indian Conference. . 

ILO Asian Advisory Committee: 8th Session New Delhi Nov 

U.N. ECAFE Industry and Trade Committee: 3d Session of Sub- Calcutta Nov. 

committee on Minerals Resources. 

ICAO Radiotelephony Speech Panel: 1st Meeting Montreal Nov. 1 

4th ILO Asian Regional Conference New Delhi Nov. 13 

Pan Pacific Surgical Association: 7th Congress Honolulu Nov. 

Inter-American Statistical Institute: 5th Session of Committee on Washington Nov. 

Improvement of National Statistics (COINS). 

9th Pacific Science Congress Bangkok Nov. 

U.N. ECE Housing Committee: 15th Session (and Working Par- Geneva Nov. 

ties) . 

UNESCO Executive Board: 49th Session Paris Nov. 

FAO Study Group on Coconut and Coconut Products Rome Nov. 

FAO Council: 28th Session Rome Nov. 

Caribbean Commission: 25th Meeting Curagao Nov. 

Customs Cooperation Council: 11th Session Brussels Nov. 

ILO Tripartite Meeting on Mines Other Than Coal Mines. . . . Geneva Nov. 

ILO Meeting of Experts on Radiation Protection Geneva Nov. 

U.N. ECE Steel Committee and Working Parties Geneva 



Paris Nov. 

Curafao Nov. 



5- 

11- 

11- 

11- 



13- 
14- 

18- 
18- 

18- 
22- 
23- 
25- 
25- 
25- 
25- 



Nov. 25- 

U.N. ECAFE Inland Transport Committee: 5th Session of Rail- Bangkok Nov. 25- 

way Subcommittee. 

International Sugar Council: Statistical Committee London Nov 

International Sugar Council: Executive Committee London Nov 

International Sugar Council: 14th Session London Nov 

FAO/ECE Working Party on Forestry Statistics Geneva Dec 



Ceylon Dec. 



25- 

26- 

28- 

2- 

2- 



FAO Plant Protection Committee for Southeast Asia and Pacific 

Region: 2d Meeting. 

WMO Regional A.ssociation III (South America) : 2d Session . . . Caracas Dec 4— 

3d U.N. ECAFE Regional Technical Conference on Water Resources Manila Dec. 4- 

Development. 
ILO Committee of Experts on Social Policy in Nonmetropolitan Geneva Dec. 9- 

Territories: 6th Se.ssion. 

U.N. ECAFE Committee on Trade: 1st Session Bangkok Dec. 11- 

U.N. ECE Agricultural Problems Committee: 9th Meeting . . . Geneva Dec. 16* 



Reports on Hague Conference 
on Private International Law 

Several articles have been or soon will be pub- 
lished by members of the United States observer 
delegation relating to their attendance at the 
Eighth Session of The Hague Conference on 
Private International Law, which was held at 
The Hague, the Netherlands, from October 3 to 24, 
1956. Although the United States is not a mem- 
ber of the Conference, the U.S. Government was 



invited by tlie Netherlands Government to be 
represented at the Conference. In response to 
this invitation the U.S. Government, after con- 
sultation with a number of associations and or- 
ganizations in the United States interested in 
the work of the Conference in the field of private 
international law, designated an official observer 
delegation made up of the following four 
persons : 

Philip W. Amrani, Washington, D.C. 



OcJober 7, 1957 



585 



Joe C. Barrett, Jonesboro, Ark. 

Kurt H. Nadelmann, Cambridge, Mass. 

Willis L. M. Eeese, New York, N.Y. 

Reports of the members of the observer delega- 
tion have been published as follows : 

Kurt H. Nadelmann and Willis L. M. Eeese, 
"The Eighth Session of The Hague Conference 
on Private International Law," 12 The Eecord of 
the Association of the Bar of the City of New 
York 51 (1957); 

Willis L. M. Eeese, "Some Observations on the 
Eighth Session of The Hague Conference on Pri- 
vate International Law," 5 American Journal of 
Comparative Law 611 (1956) ; 

Kurt H. Nadelmann, "The United States at 
The Hague Conference on Private International 
Law," 51 American Journal of International Law 
618 (1957) ; 

Philip W. Amram, "A Unique Organization: 
The Conference on Private International Law," 
43 American Bar Association Journal 809 (1957). 

A report by Joe C. Barrett will be in the Hand- 
book of the National Conference of Commissioners 
on Uniform State Laws for the year 1957. 



Robert McKinney To Represent U. S. 
on Atomic Energy Board 

The President on September 19 appointed Eob- 
ert M. McKinney to be Eepresentative of the 
United States on the Board of Governors of the 
International Atomic Energy Agency. (For bio- 
graphic details, see press release 530 dated Sep- 
tember 19.) 



U.S. Delegations to 
International Conferences 

ECE Committee on Electric Power 

The Department of State announced on Septem- 
ber 20 (press release 534) that John E. Corette, 
president and general manager of the Montana 
Power Company, Butte, Mont., has been desig- 
nated the U.S. Delegate to the 15th session of the 
Committee on Electric Power of the U.N. Eco- 
nomic Commission for Europe, which is to con- 
vene at Geneva, Switzerland, on October 10. 



This Committee is one of the principal sub- 
sidiary bodies of the U.N. Economic Commission 
for Europe and will celebrate its 10th anniversary 
during the coming session. It studies such matters 
as questions relating to the transfer of electric 
energy across frontiers and problems of rural 
electrification and energy problems. 

Mr. Corette will also serve as principal spokes- 
man for tlie United States at the 5th session of 
the Committee's working party on rural electrifica- 
tion, which will meet at Geneva October 7 to 9- 



TREATY INFORMATION 



Current Actions 



MULTILATERAL 

Atomic Energy 

Statute of the International Atomic Energy Agency. 
Done at New Yorli October 26, 1956. Entered into 
force July 29, 1957. TIAS 3873. 
Ratifications deposited: Morocco, Nicaragua, and 

Yugoslavia, September 17, 1957 ; Monaco, September 

19, 1957. 

Cultural Relations 

Convention for the promotion of inter-American cultural 
relations. Signed at Caracas March 28, 1954. En- 
tered into force February 18, 1955.' 
Ratified by the President: September 16, 1957. 

Finance 

Articles of agreement of the International Finance Cor- 
poration. Done at Washington May 25, 1955. En- 
tered into force July 20, 1956. TIAS 3620. 
Acceptance deposited: Cuba, September 6, 19.57. 

Articles of agreement of the International Monetary 
Fund. Opened for signature at Washington Decem- 
ber 27, 1945. Entered into force December 27, 1945. 
TIAS 1501. 
Signature and acceptance: Ghana, September 20, 1957. 

Articles of agreement of the International Bank for Re- 
construction and Development. Opened for signature 
at Washington December 27, 1945. Entered into force 
December 27, 1945. TIAS 1.502. 
Signature and acceptance: Ghana, September 20, 1957. 

Fur Seals 

Interim convention on conservation of North Pacific fur 
seals. Signed at Washington February 9, 1957.' 
Ratifications deposited: United States and Canada, 
September 16, 1957. 

Postal Services 

Convention of the Postal Union of the Americas and 
Spain, final protocol, and regulations of execution. 



' Not in force for the United States. 
' Not in force. 



586 



Department of State Bulletin 



Signed at Bogota November 9, 1955. Entered into 

force March 1, 19oG. TIAS 3653. 

Katificution deposited: Ecuador, August 6, 1957. 
Agreement relative to parcel post, final protocol, and 

regulations of execution of the Postal Union of the 

Americas and Spain. Signed at Bogota November 9, 

1955. Entered into force March 1, 1956. TIAS 3654. 

Ratification deposited: Ecuador, August 6, 1957. 
Agreement relative to money orders and final protocol 

of the Postal Union of the Americas and Spain. 

Signed at Bogota November 9, 1955. Entered Into 

force March 1, 1956. TIAS 3655. 

Ratification deposited: Ecuador, August 6, 1957. 

Refugees 

Constitution of the Intergovernmental Committee for 
European Migration. Adopted at Venice October 19, 
1953. Entered into force November 30, 1954. TIAS 
3197. 

Acceptance deposited: Union of South Africa, Octo- 
ber 1, 1956. 

Trade and Commerce 

International convention to facilitate the importation of 
commercial samples and advertising material. Dated 
at Geneva November 7, 1952. Entered into force 
November 20, 1955. 

Ratification deposited: United States, September 17, 
1957. 



BILATERAL 

Mexico 

Agreement for a cooperative meteorological program in 
Mexico. Effected by exchange of notes at Mexico 
August 23 and 29, 1957. Entered Into force August 
29, 1957. 

Portugal 

Agreement amending research reactor agreement con- 
cerning civil uses of atomic energy of July 21, 1955 
(TIAS 3317). Signed at Washington June 7, 1957. 
Entered into force: September 19, 19.57 (date on which 
each government received from the other written 
notification that it had complied with statutory and 
constitutional requirements). 

United Kingdom 

Agreement relating to the sale to the United Kingdom 
for sterling of citrus fruit. Effected by exchange of 
notes at London June 27, 1957. Entered into force 
June 27, 1957. 



DEPARTMENT AND FOREBGN SERVICE 



Ceremony n^arks 175th Anniversary 
of First Use of Great Seal 

Press release 522 dated September 16 

Acting Secretary Murphy on September 16 par- 
ticipated in a ceremony marking tlie l75th anni- 
versary of the earliest known use of the Great Seal 



of the United States. This ceremony took place 
on the north mezzanine of the main State Depart- 
ment building. Here the original Great Seal, with 
its press and cabinet, are housed in a glass-walled 
room as part of a permanent exhibit on the his- 
tory and use of the seal. To emphasize the im- 
portance of the Great Seal as the historic symbol 
of national sovereignty, Mr. Murphy impi'essed it 
on four documents previously signed by the 
President. 

The four documents to which Mr. Murphy 
affixed the seal were : (a) the United States instru- 
ment of ratification of the Convention for the Pro- 
motion of Inter-American Cultural Relations, 
signed at Caracas March 28, 1954, approved by 
the Senate August 8, 1957, and ratified by the 
President on September 16 ; (b) a commission pro- 
moting "Walter N. Wahnsley, Jr., Deputy Assistant 
Secretary for International Organization Affairs, 
to the class of Career Minister in the Foreign Serv- 
ice of the United States; (c) an exequatur — that 
is, an instrument recognizing the official status of 
a foreign consular officer accredited to the U.S. 
Government — to Kwee Djie Hoo as Consul Gen- 
eral of Indonesia at New York ; and (d) the annual 
proclamation of the President mailing October 11 
the day commemorating the death of Gen. Casimir 
Pulaski. 

The earliest impression of the seal was made on 
September 16, 1782, 175 years ago, on a document 
signed by John Hanson, President of the Conti- 
nental Congress, and countersigned by Charles 
Thomson, Secretary of the Congress. This docu- 
ment is a full power authorizing General Washing- 
tion to arrange with the British for the exchange, 
subsistence, and better treatment of prisoners of 
war. The document, together with various other 
documents of both early and recent date bearing 
the Great Seal, forms part of the permanent 
exhibit on the mezzanine of the main State Depart- 
ment building. 

The story of the Great Seal actually begins with 
the first day of the independence of the United 
States. On July 4, 1776, after voting the adoption 
of the Declaration of Independence, the Conti- 
nental Congress recognized the need for an official 
symbol of the sovereignty of the new nation by 
appointing a committee "to bring in a device for a 
seal for the United States." This committee con- 
sisted of Benjamin Franklin, John Adams, and 
Thomas Jefferson. 



Ocfober 7, 1957 



587 



Actually, however, the development of a suit- • 
able design for the seal took 6 years, the efforts of 
two more committees, and further work by Wil- 
liam Barton and Charles Thomson, who became 
the principal authors of the device. By a resolu- 
tion of June 20, 1782, the Continental Congress 
adopted the design for the Great Seal. There have 
been seven dies of the seal cut since 1782, but the 
present one is an exact copy of the original design. 

By an act of Congress of September 1.5, 1789, 
which changed the name of the "Department of 
Foreign Affairs" to the "Department of State," the 
seal adopted on June 20, 1782, was declared to be 
the seal of the United States and the Secretary of 
State was made its custodian. That act specified 
that the seal should be affixed "to all civil com- 
missions, for officers of the United States, to be 
appointed by the President by and with the advice 
and consent of the Senate, or by the President 
alone," and also to various other unspecified in- 
struments or acts. 

In the early days of the Department of State 
the seal was used on documents of all the types on 
which it is used today and on documents of some 
other types as well. The changing and expanding 
functions of the Federal Government have neces- 
sitated the curtailment from time to time — usu- 
ally by act of Congress or Executive order — of the 
extent of the use of the seal. Among documents 
which formerly but no longer pass under the seal 
are patents for inventions, pardons or commuta- 
tions of sentence for persons convicted of crimes 
against the laws of the United States, ships' pass- 
ports and sea letters, and commissions to private 
armed vessels to cruise in time of war against the 
enemies of the United States. Where formerly 
the seal was affixed to all civil (not military or 
naval) commissions signed by the President, now 
persons appointed to serve under Cabinet officers 
other than the Secretary of State are commis- 
sioned under the seals of the respective depart- 
ments. Except for certain proclamations and the 
commissions of some civil officere, tlie seal is now 
used only on documents pertaining to interna- 
tional affairs. 

While the original Great Seal is in the custody 
of the Secretary of State and its use is strictly 
guarded by law, every American is well acquainted 
with its symbolic design. The design of the seal 
is reproduced on all the one-dollar bills now in 
circulation, on stationery and publications of the 



Federal Government, on Army and Air Force offi- 
cers' service caps and Army uniform buttons, on 
certain public buildings and monuments, and at 
every American diplomatic and consular post 
throughout the world. 

Mr. Murphy affixed the seal to 4 of the 7 different 
types of official documents on which the Great 
Seal is still regularly used : a civil commission, an 
instrument of ratification of a treaty, an exequatur, 
and a proclamation. The other types of docu- 
ments that now take the seal are: full powers to 
negotiate and sign treaties or certain other agree- 
ments, presidential warrants for the extradition 
of fugitives from the justice of the United States, 
and envelopes enclosing letters of credence, letters 
of recall, or other autograph letters from the Presi- 
dent to heads of foreign governments.' 

Foreign Service Examination 

The Department of State announced on Septem- 
ber 16 (press release 526) that the annual Foreign 
Service officer examination will be given on De- 
cember 9, 1957, in approximately 65 centers 
throughout the United States. This examination 
is open to all who meet the age and citizenship 
requirements. 

Some of the successful Foreign Service officer 
candidates will take up duties at the 275 American 
embassies, legations, and consulates around the 
world. At these posts, which range in size from 
the large missions such as Paris and London to 
the one-man posts such as Perth, Australia, the 
new officer may expect to do a variety of tasks, 
including administrative work; political, eco- 
nomic, commercial, and labor reporting ; consular 
duties; and assisting and protecting Americans 
and protecting U.S. property abroad. Other new 
officers will be assigned to the Department's head- 
quarters in Washington, where they will engage 
in research or other substantive work, or in the 
many administrative tasks which are essential to 
the day-to-day conduct of our foreign affairs. 

Those successful in the 1-day written examina- 
tion, which tests the candidate's facility in English 
expression, general ability, and background, as 
well as his proficiency in a modern foreign lan- 
guage, will subsequently be given an oral examina- 



' For a reproduction of the seal, see Bulletin of Sept. 
16, 1937, p. 456. 



588 



Deparfment of State Bulletin 



tion by panels which will meet in regional centers 
throughout the United States. Those candidates 
who pass the oral test will then be given a physical 
examination and a security investigation. Upon 
completion of these phases, the candidate will be 
nominated by the President as a Foreign Service 
officer of class 8, vice consul, and secretary in the 
diplomatic service. 

To be eligible to take the examination, candi- 
dates must be at least 20 years of age and under 
31, as of October 28, 1957, and must also be Ameri- 
can citizens of at least 9 years' standing. Al- 
though a candidate's spouse need not be a citizen 
on the date of the examination, citizenship must 
have been obtained jjrior to the date of the officer's 
appointment. 

Starting salaries for successful candidates range 
from $-±,750 to $5,350 per year, depending upon 
the age, experience, and family status of the indi- 
vidual. In addition, insurance, medical, educa- 
tional, and retirement benefits are granted, as well 
as annual and sick leave. 

Application forms may be obtained by writing 
to the Board of Examiners for the Foreign Serv- 
ice, Department of State, Washington 25, D.C. 
The closing date for filing the application is 
October 28, 1957. 



PUBLICATIONS 



Recent Releases 

For sale bii the Superintendent of Documents, U.S. Gov- 
ernment Printing Office, Washington 25, D.C. Address 
requests direct to the Superintendent of Documents, 
except in the case of free publications, which may be 
obtained from the Department of State. 

United States Policy in the Middle East, September 
1956-June 1957. Documents. Pub. 6.505. Near and Mid- 
dle Eastern Series 2.0. xiv, 425 pp. $1.50. 

A publication presenting tbe highlights of major develop- 
ments in the Middle East, including the hostilities in 
Egypt, and showing not only how the United States re- 
acted to these developments but also how important new 
elements were added to American policy toward the Mid- 
dle East in general. 

Mutual Understanding in the Nuclear Age. Pub. G.">OS. 
International Information and Cultural Series 56. 42 pp. 
20^ 

A pamphlet containing valuable information about the 



activities of the international educational exchange pro- 
gram during 15)56. 

Mutual Defense Assistance. TIAS 3822. 4 pp. 5<«. 

Agreement between the United States of America and 
Belgium, amending annex B of agreement of January 27, 
19.jO. Exchange of notes — Signed at Bru.ssels April 15 
and May 9, 1957. Entered into force May 9, 1957. 

Trade— Films. TIAS 3829. 3 pp. 5^. 

Agreement between the United States of America and the 
Federal Republic of Germany — Signed at Bonn April 26, 

1956. Entered into force August 17, 19.57. 

Mutual Defense Assistance — Facilities Assistance Pro- 
gram. TIAS 3849. 7 pp. 10?!. 

Agreement between the United States of America and 
Iraq. Exchange of notes — Signed at Baghdad June 16, 

1957. Entered into force June 16, 1957. 

Trade. TIAS 3851. 4 pp. 5^. 

Agreement between the United States of America and 
the United Kingdom of Great Britain and Northern Ire- 
land, supplementing General Agreement on Tariffs and 
Trade of October 30, 1947 — Signed at Washington June 
27, 1957. Schedule applied June 29, 1957. 

Defense — Loan of Vessels and Small Craft to Germany. 

TIAS 3852. 5 pp. 5^. 

Agreement between the United States of America and the 
Federal Republic of Germany. Exchange of notes — 
Signed at Bonn April 30 and May 1, 1957. Entered into 
force May 1, 1957. 

Amity, Economic Relations, and Consular Rights. TIAS 
3853. 34 pp. 15?;. 

Treaty between the United States of America and Iran — 
Signed at Tehran August 15, 1955. Entered into force 
June 16, 1957. 

Trade. TIAS 3854. 10 pp. 10^. 

Agreement between the United States of America, Bel- 
glum, Acting for the Belgo-Luxembourg Economic Union, 
and the Netherlands, supplementing General Agreement 
on Tariffs and Trade of October 30, 1947— Signed at 
Washington June 27, 1957, and related exchanges of 
notes. Schedule applied June 29, 1957. 

Mutual Defense Assistance — Equipment, Materials, 
Services, and Other Assistance. TIAS 3855. 3 pp. 5^. 

Agreement between the United States of America and 
Lebanon. Exchange of notes — Signed at Beirut June 3 
and 6, 1957. Entered into force June 6, 1957. 

Commission for Educational Exchange. TIAS 3856. 11 
pp. 10^. 

Agreement between the United States of America and 
Paraguay — Signed at Asuncion April 4, 1957. Entered 
into force June 26, 1957. 

Military Assistance. TIAS 38.57. 6 pp. 54. 

Agreement between the United States of America and 
Libya — Signed at Tripoli June 30, 1957. Entered into 
force June 30, 1957. 

Military Assistance — Disposition of Equipment and Ma- 
terials. TIAS 3858. 2 pp. 5«». 

Agreement between the United States of America and 
Libya, implementing article I, paragraph 3, of agreement 
of June 30, 1957— Signed at Tripoli June 30, 1957. En- 
tered into force June 30, 1957. 



October 7, 1957 



589 



TIAS 3859. 5 



Commission for Educational Exchange. 

pp. 5^. 

Agreement between the United States of America and 
Peru, modifying agreement of May 3, 1956, as amended. 
Exchange of notes— Signed at Lima March 11 and June 
13, 1957. Entered into force June 13, 1957. 

Surplus Agricultural Commodities— Drought Relief As- 
sistance. TIAS 3860. 3 pp. 5«!. 

Agreement between the United States of America and 
Peru. Exchange of notes— Signed at Washington July 16 
and 19, 1957. Entered into force July 19, 1957. 

Surplus Agricultural Commodities. TIAS 3861. 5 pp. 
5«i. 

Agreement between the United States of America and the 
Republic of the Philippines — Signed at Manila June 25, 
1957. Entered into force June 25, 1957. 

Military Bases in the Philippines— Manila Air Station. 

TIAS 3862. 6 pp. 5^. 

Agreement between the United States of America and 
the Republic of the Philippines. Exchange of notes- 
Signed at Manila June 18, 1957, and related exchange of 
notes. Entered into force June 18, 1957. 

Surplus Agricultural Commodities— Child Feeding Pro- 
gram. TIAS 3863. 8 pp. 10^. 

Agreement between the United States of America and 
Tunisia. Exchange of notes — Signed at Tunis June 28, 
1957. Entered into force June 28, 1957. 



TIAS 3867. 6 pp. 



Sockeye and Pink Salmon Fisheries. 

5«*. 

Protocol between the United States of America and 
Canada, amending convention of May 26, 1930 — Signed 
at Ottawa December 28, 1956. Entered into force July 3, 
1957. 



Check List of Department of State 
Press Releases: September 16-22 

Releases may be obtained from the News Divi- 
sion, Department of State, Washington 25, D. C. 

Press release issued prior to September 16 which 
appears in this issue of the Buxletin is No. 519 of 
September 14. 

Subject 

Income-tax convention with U.K. 

Income-tax convention with Belgium. 

175th anniversary of Great Seal. 

Income-tax protocol with U.K. 

Renegotiation of certain tariff conces- 
sions. 

Germany expands claims coverage. 

Foreign Service officer examination 
(rewrite). 

Winter Olympic Games. 

Dulles : article for Foreign Affairs 
magazine. 

Dulles : U.N. General Assembly. 

McKinney appointed U.S. Representa- 
tive on IAEA (biographic details). 

Air transport consultations with Bra- 
zil. 

NATO fellowship and scholarship pro- 
gram. 

McKinney sworn in. 

ECE Committee on Electric Power 
(rewrite). 

Educational exchange. 

Anniversary of death of Nikola Petkov. 

*Not printed. 

tHeld for a later issue of the BtTLLETiN. 



i 

'■i 
i 



No. 


Date 


t520 
t521 

522 
t523 

524 


9/16 
9/16 
9/16 
9/16 
9/16 


525 
526 


9/16 
9/16 


527 

528 


9/17 
9/18 


529 
*530 


9/19 
9/19 


531 


9/19 


532 


9/20 


*533 
534 


9/20 
9/20 


♦535 
536 


9/20 
9/20 



590 



Department of State Bulletin 



October 7, 1957 



Ind 



ex 



Vol. XXXVII, No. 954 



American Principles. Challenge and Response in 

United States Policy (DuUes) 569 

Atomic Energy 

Robert M. McKinney To Represent U.S. on Atomic 

Energy Board 586 

Tlie United Nations : Its Issues and Responsibility 

(Wilcox) 560 

Austria. Renegotiation of Tariff Concessions Pro- 
posed by Five Countries 581 

Aviation. Air Transport Consultations With Brazil 

(delegation) 579 

Brazil. Air Transport Consultations With Brazil 

(delegation) 579 

Bulgaria. 10th Anniversary of Death of Nikola 
Petkov 568 

Canada. Renegotiation of Tariff Concessions Pro- 
posed by Five Countries 581 

Ceylon. Renegotiation of Tariff Concessions Pro- 
posed by Five Countries 581 

Claims and Property. Germany Expands Restitu- 
tion Claims Coverage 581 

Communism. Challenge and Response in United 

States Policy ( Dulles) 569 

Congress, The. Congressional Documents Relat- 
ing to Foreign Policy 582 

Department and Foreign Service 

Ceremony Marks 175th Anniversary of First Use of 

Great Seal 587 

Foreign Service Examination 588 

Disarmament 

Challenge and Response in United States Policy 

(Dulles) 569 

Major Issues Before the United Nations (Dulles) . 555 
The United Nations : Its Issues and Responsibility 

(Wilcox) 560 

Economic Affairs 

ECE Committee on Electric Power (delegate) . . 586 
Renegotiation of Tariff Concessions Proposed by 

Five Countries 581 

Educational Exchange. NATO Fellowship and 

Scholarship Program for 19.58-59 580 

Europe. ECE Committee on Electric Power (dele- 
gate) 586 

Germany. Germany Expands Restitution Claims 
Coverage 581 

Greece. Renegotiation of Tariff Concessions Pro- 
posed by Five Countries 581 



Hungary. The United Nations: Its Issues and 
Responsibility (Wilcox) 560 

Immigration and Naturalization. U.S. To Waive 
Fingerprinting of Winter Olympics Participants 
(Dulles) 579 

International Law. Reports on Hague Conference 

on Private International Law 585 

International Organizations and Conferences 

Air Transport Consultations With Brazil (dele- 
gation) 579 

Calendar of International Conferences and Meet- 
ings 583 

ECE Committee on Electric Power (delegate) . . 586 

Reports on Hague Conference on Private Inter- 
national Law 585 

Robert M. McKinney To Represent U.S. on Atomic 

Energy Board 586 

Middle East 

Major Issues Before the United Nations (Dulles) . 555 
The United Nations : Its Issues and Responsibility 

(Wilcox) 560 

Mutual Security. Challenge and Response in 

United States Policy (Dulles) 569 

North Atlantic Treaty Organization. NATO Fel- 
lowship and Scholarship Program for 1958-59 . 580 

Poland. General Pulaski's Memorial Day, 1957 

(text of proclamation) 568 

Presidential Documents. General Pulaski's Me- 
morial Day, 1057 568 

Publications. Recent Releases 589 

Treaty Information 

Current Actions 586 

Renegotiation of Tariff Concessions Proposed by 

Five Countries 581 

Union of South Africa. Renegotiation of Tariff 
Concessions Proposed by Five Countries . . . 581 

United Nations 

Major Issues Before the United Nations (Dulles) . 555 

The United Nations : Its Issues and Responsibility 

(Wilcox) 560 

Name Index 

Dulles, Secretary 555,569,579 

Eisenhower, Preisident 568 

McKinney, Robert M 586 

Wilcox, Francis O 560 



U. S, GOVERNMENT PRINTING OFFICE: 1957 



Ly^^U— L^L 



PUBLIC LIBRARY 
STATISTICAL DEPARTMENT 
COPLEY SQUARE 
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the 



United States 
Government Printing Office 

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rou . . . 

and the 

UJVITED NATIONS 
1957 



PENALTY FOR PRIVATE USE TO AVOID 

PAYMENT OF POSTAGE, *300 

(GPO) 



Department 

of 

State 



How effective has the United Nations been in preventing or stopping 
aggression and war ? 

If the United Nations can only recommend, how does it get anything 
done against war and injustice? 

Can the United Nations prevent another world war from ever 
happening? 

Can the United Nations do anything about disarmament ? 

What do the United Nations aid programs — like the technical assist- 
ance program and the United Nations Children's Fund — have to do 
with world peace ? 

How much does our membership in the United Nations cost? 

Answers to these and other frequently heard questions regarding 
the United Nations are given by Henry Cabot Lodge, United States 
Kepresentative to the United Nations, in an illustrated pamphlet 
recently issued by the Department of State. Twenty-five questions 
in all are considered in the 40-page publication, which is printed in 
question-and-answer format. 

Copies of You . . . and the United Nations^ 1957 may be purchased 
from the Superintendent of Docmnents, U.S. Government Printing 
Office, Washington 25, D.C., for 20 cents each. 



Publication 6518 



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THE DEPARTMENT OF STATE 



JQj 




IE 

■FICIAL 

EEKLY RECORD 

^ITED STATES 
IREIGN POLICY 



October 14, 1957 



PROGRESS IN INTERNATIONAL FINANCING 

Remarks by President Eisenhomer 595 

Statement by Deputy Under Secretary Dillon 597 

THE BUREAU OF SECURITY AND CONSULAR 
AFFAIRS AND THE PROBLEM OF PASSPORT 

RESTRICTIONS • by Roderic L. O'Connor 604 

THE COMMON MARKET: AN ECONOMIC INSTRU- 
MENT OF INTERNATIONAL POLICY • by Ambassa. 

dor James David Zellerbach 608 

LEGISLATIVE HISTORY OF THE MUTUAL SECU- 
RITY PROGRAM FOR FISCAL YEAR 1958 

{Statistical Table) 615 

INCOME-TAX AGREEMENTS WITH UNITED KING- 
DOM AND BELGIUM 

Protocol of August 19 With V. K. 622 

Notification of Extension to Certain British Territories . . . 623 
Convention of August 22 With Belgium 625 

For index see inside back cover 



THE DEPARTMENT OF STATE 




Vol. XXXVII. No. 955 • Publication 6546 
October 14, 1957 



For sale by the Superintendent of Documents 

U.S. Government Printing Omce 

Washington 25, D.C. 

Price: 

52 issues, domestic $7.60, foreign $10.26 

Single copy, 20 cents 

The printing of this publication has been 
approved by the Director of the Bureau of 
the Budget (January 19, 1955). 

ISote: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Department 
OF State Bulleti.n as the source will be 
appreciated. 



The Department of State BULLETIN, 
a weekly publieation issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations ami on the tcork of the 
Department of State and tite Foreign 
Service. The BULLETIN includes se- 
lected press releases on foreign policy, 
issued by the White House and the 
Department, and statements and ad- 
dresses made by the President and by 
the Secretary of State and other 
officers of the Department, as well as 
special articles on various phases of 
international affairs and the func- 
tions of the Department. Informa- 
tion is included concerning treaties 
and interruitional agreements to 
which the United States is or may 
become a party and treaties of gen- 
eral international interest. 

Publications of the Department, 
United Nations documents, and legi.s- 
lative material in the field of inter- 
national relations are listed currently . 



Progress in International Financing 



Following is the text of remarks made hy 
President Eisenhower at the opening session of 
the 12th annual nweting of the Boards of Gov- 
ernors of the International Bank for Reconstruc- 
tion and Development and the International 
Monetary Fund and the first annual meeting of 
the Board of Governors of the International 
Finance Corporation at Washington, D.C, on 
September 23, together loith a statement made 
hy Deputy Under Secretary Dillon at the dis- 
cussion of the hank''s annual report on Septem- 
ber 25 and an announcement of the U.S. dele- 
\gation. 



REMARKS BY PRESIDENT EISENHOWER 

White House press release dated September 23 

It is a great personal privilege to welcome to 
our country and to our Capital City the gov- 
ernors of the International Bank, the Interna- 
tional Monetary Fund, and the International 
Finance Corporation. We are honored by the 
presence of such a distinguished company in our 
midst. I think that in these days and times it 
would not be amiss for me to say that the wel- 
come, which I assure you is not perfunctory — we 
iare delighted you are here. We are more than 
pleased that you have again assembled to tackle 
problems through your daily meetings that are of 
importance to our whole world. So I assure you 
that the welcome, both officially and personally, 
is a very warm and sincere one. 

As the chief financial officers of your own coun- 
tries and as the governors of great financial in- 
stitutions, you must deal with some of the most 
vital and perplexing problems facing our genera- 
tion. After a quarter century marked by general 
wars and depression, the nations of the world 
are now engaged in a great effort to win for their 
peoples sustained prosperity in peacetime. I 

Oc/ober 74, 7957 



might remark here that, when I told someone I 
was gomg to appear before this body, they sug- 
gested to me that I make this observation: The 
world, through this quarter century of tribula- 
tion, proved that it could live with and survive 
advei'sity. He said, "Now their problem is to 
show us and teach us how to live with prosperity." 
In all our lands there is a surging confidence that 
steady economic growth can be a reality — that the 
good thuigs of life can be made available in a 
growing stream to all our peoples. 

In recent years the world has experienced un- 
precedented economic growth. Investment, pro- 
ductivity, and trade have expanded on a scale and 
at rates not previously known. The results are 
evident all over the globe in higher living stand- 
ards. In our age, for the first time in history, 
dreams of a better material life have become 
everyday hopes among millions accustomed to 
poverty. And for the first time in history the 
aim of fostering higher living standards has be- 
come a central concern of govermnents every- 
where and of the international community. 

This is an aim we all wish to advance. Our 
economies can help generate an ever better lot for 
our peoples if we are both forward-looking and 
prudent in our private and public policies. The 
task ahead, it seems to me, is to strengthen those 
policies that foster healthy economic growth. We 
must have growth that does not endanger sta- 
bility; we must have stability that does not 
throttle gi-owth. 

During your sessions here you will doubtless be 
concerned with this whole range of problems. 
For my part, I disclaim, and perhaps needlessly, 
any idea that I am either a trained economist or 
financial expert. I shall not make the mistake of 
attempting to counsel you on these technical is- 
sues; I leave their probing in your competent 
hands. But may I say this? Among the basic 
problems on your agenda none is currently more 



595 



pressing than inflation — the tendency to rising 
prices. While this tendency is stronger at some 
times than otliers, and in some places than others, 
it is a worldwide phenomenon today. Particular 
aspects may differ among countries, but thought- 
ful men everywhere recognize inflation as a threat 
to somid economic growth. Wise and courageous 
leaders in every land are soimding a call to their 
fellow citizens to join in the defense of their cur- 
rencies. It is a call that must be heeded, for in- 
flation not only destroys the savings, the pen- 
sions, the insurance policies of the frugal; its 
aftermath can be depression, which saps the 
strength and vigor of government, of industry, 
and of people. 

Aside from the many technical phases of in- 
flation, there seem to me to be certain common- 
sense aspects of the matter which we must 
squarely face : 

First, how many of our personal and govern- 
mental demands and desires can we safely expect 
our economies to satisfy at any one time? In- 
flation may appear to some as the easy way to 
avoid this question. So at times the world may 
try, through financial and monetary devices, to 
obtain more from its economic resources than can 
be produced, whether for current purposes or for 
capital investment. The history of recent times 
reaffirms that in reality this cannot be done. We 
cannot successfully put a continued overload on 
our resources. Rising prices have confirmed this 
axiom. 

Demands on our economies come from both 
public and private sectors. In dealing with in- 
flation a country's policies must relate to excessive 
demands from both these sectors. For those of 
us charged with public responsibilities this means 
conscientious efl'orts to limit governmental de- 
mands on tlie economy — a difficult task in this day 
of heavy defense outlays. 

To central bankers we must look for conscien- 
tious efforts to maintain credit policies that are 
consistent with sound economic growtli. To fail 
to do these things is to ask the economy to carry 
more than it can. It will react to this pressure 
in rising prices. If unchecked, this leads to re- 
action and downturn and all the evil consequences 
we so well know. It may be well occasionally 
to recall the old story about the dog that jumped 
off the bridge to get the bone he tliought he saw 
in the water, thereby losing the one he had in his 
mouth. 



596 



Aside from this first question of the impetus to 
inflation from overloading tlie economy with ex- 
cessive demands, there is a second : How much do 
we as individual nations pay ourselves for what 
we produce? If our efficiency in production and 
the payments which we make for productive ef- 
forts of all sorts rise in step in coordination, there 
is no impetus to rising prices. But if our effi- 
ciency does not increase, if our productivity does 
not rise, we as nations will tend to fall into the 
costly error of overpaying ourselves for the work 
we do. Along that road, as so many countries are 
again discovering, lies the spur to further infla- 
tion. 

We all recognize that sound domestic policies 
are the essential keystone to the avoidance of in- 
flation. In the developing of such policies the 
international financial institutions which are meet- 
ing here this week have been playing a significant 
role by giving valuable advice and by extending 
financial assistance to their members. 

The less well-developed countries of the world 
are often faced with special economic problems. 
We all recognize that basically the impulse for 
meeting these problems and for building up a 
country's production must come from within. 
Economic development is a homespun product, the 
result of a people's work and determination. It is 
not a product that can be imported from some 
other countiy. However, a helping hand from 
abroad can often be of the greatest significance 
in furthering economic development by provid- 
ing technical or financial assistance. In this 
great effort the resources and experience of pri- 
vate investment should be mobilized to the maxi- 
mum extent. We look, moreover, to the organi- 
zations represented here to give encouragement 
and assistance to the efforts of their member coun- 
tries to achieve a better life for their peoples. 

I have mentioned the vital importance of pro- 
moting a sound economic base for better living 
for all our peoples. I am sure you realize that 
there is another reason for maintaining strong 
economies. This is the need to be certain of our 
security in this troubled world. 

Sound economies are the backbone of success- 
ful defense, because successful defense must be 
indefinitely sustained so long as there is any threat 
to national security in the world. They are es- 
sential not only to the maintenance of our mili- 
tai-y establishments but also to the creation of 
those conditions of well-being which are in a very 

Deparfmenf of State BuUefin* 



real sense a primary line of defense for the entire 
free world. 

It is important that we I'emember that what 
each of us decides in his own country affects the 
fortunes of the rest of us. Each country can ren- 
der a great service to every other country by 
keeping its own economic house in order. The 
world has shrunk, and our sense of interdepend- 
ence is keen. So, too, must be our sense of co- 
operation. That nations choose to act coopera- 
tively through these great international organi- 
zations is ground for confidence that your de- 
cisions here and at home will be wise and sound. 

So I salute the great accomplisliments you and 
your organizations have achieved. I trust your 
days in Washington will be most pleasant and 
productive of increased understanding and co- 
operation in the years ahead. Your labors can 
hasten that day when all men can live and work 
in wliat we may describe as a neighborhood of 
the nations. 



STATEMENT BY DEPUTY UNDER SECRETARY 
DILLON > 

It is a real pleasure for me to participate in 
this, the 12th annual meeting of the International 
Bank. I am particularly pleased at the oppor- 
tunity to make new friends among my distin- 
guished colleagues and to renew old acquaintances. 
Most recently it has been my good fortune to meet 
with some of you at the Buenos Aires Economic 
Conference, where there were expressed in the 
name of your governments so many constructive 
thoughts on how we might best deal with tlie 
major economic problems facing us today. And 
may I say that, if to our discussion here and else- 
where we bring the essential elements of realism 
and goodwill, we need not be troubled over the 
prospects for success. 

Let me turn now to the bank's activities for the 
recent 12-month period. These have, as usual, 
been characterized by imagination and foresight. 
It goes without saying that the loans to finance 
specific projects have been carefully conceived and 
have profited from the advice of the excellent 
corps of experts in the bank. We have become 
accustomed to this type of project financing by 
the bank, and we applaud its value in the endless 

' Mr. Dillon is alternate governor of the bank and 
fund for the United States. 



task of development. We would urge all bor- 
rowers to pay heed to the sound advice which the 
bank has to offer, especially in the field of public 
utility and transportation financing. Indeed, 
when governments make themselves responsible 
for the continuing capital requirements of two 
such important sectors of the economy, tliey must 
exert themselves not only to encourage domestic 
sources of funds but also the international sources. 

The bank and its borrowers are completely 
aware that truly successful projects depend in 
good part upon their setting in a vigorous and 
expanding economy. Project financing is there- 
fore nothing more than the concentration of for- 
eign borrowing in one or two or several major 
projects in support of a general scheme of de- 
velopment. Usually this is the most convenient 
way that loan financing fi"om overseas can come 
to a capital-importing country. Dangers of re- 
source dissipation are diminished, and the ef- 
fects upon foreign-exchange availabilities are 
much the same as they would be if the loan pro- 
ceeds were spread over many economic sectors. 

However, the technique of project financing is 
not the only method of development financing. 
This the bank has recognized. So as to better 
serve the ends of development the bank in certain 
special cases has varied its lending technique. I 
have in mind the loans to Australia, Italy, and 
Iran. Each of these countries has under way a 
significant development program calling for the 
import of capital goods for use in many projects 
and in virtually every sector of the economy. 
Under these conditions generalized credits to pro- 
vide foreign-exchange resources for medium- or 
long-term periods to support overall development 
have been made. It was not possible or desirable 
to compress into one or two major projects the 
assistance wliich these countries required and 
were capable of servicing. 

The bank is to be commended for thinking 
broadly in these matters. My Government ex- 
pects that the bank will continue this approach to 
development lending and, while fully maintain- 
ing its high standards, will examine continually 
its lending policies and techniques of development 
lending in the light of the needs of its members. 
We believe this subject is one that could profitably 
be discussed in the bank's Executive Board so that 
all members collectively and individually may 
gain the greatest practicable advantages from 
membership in the institution. 



October 14, 1957 



597 



Once again the impact of the bank's activities 
has been felt in all parts of the world. In addi- 
tion to the 20 loans to some 15 borrowers, the pro- 
ceeds of loans have been spent in many countries. 
The bank's policy of calling for international 
competitive bidding on its projects is a way of 
assuring the most reasonable cost for its projects 
and also of giving an impetus to the economies of 
the countries in which the goods are procured. 
The increasingly wide distribution of the bank's 
expenditures is evidence of the recovery and 
growth which we have jointly sought for many 
years. It also should be noted that, while the 
proportion of the bank's expenditures in the 
United States has decreased, there has also been a 
corresponding increase in the funds provided to 
the bank from investors outside the United States. 

There is little one can meaningfully say about 
the geographic distribution of the bank's loans. 
There can be no predetermined or "right" dis- 
tribution of its loans. Loans are the end product 
of a chain of somewhat unpredictable events and 
circumstances and not therefore subject to actu- 
arial analysis. The bank has control over some 
of these circumstances; over others it does not. 
Consequently we can but urge that the bank ex- 
plore with all of its energy and purpose the oppor- 
tunities for lending in the territories of all its 
members. Aware as we are of the vast capital 
requirements of each of the less-developed areas of 
the world, we must not let a year pass without 
exerting the maximum effort for sound develop- 
ment lending wherever this is possible. Real 
progress is being made in development by the 
bank's members. The results of this development 
are beginning to manifest themselves in a greater 
capacity for borrowing, as the bank's report in- 
dicates.^ 

While the bank's lending activities are the more 
spectacular part of its short but bright history, 
these must not be allowed to overshadow the other 
worthwhile operations which we have come to 
accept as commonplace. I cannot conclude my 
remarks without paying tribute to that range of 
endeavors prosaically called "services to member 
countries" in the bank's administrative budget. 
There is no way to assess in money terms the value 
of these services to the further development of 
the bank's members. For example, the Economic 
Development Institute, which the bank, in our 



opinion, has wisely decided to continue, will have 
effects far outweighing its modest budget.' 
Development and development planning involve 
vast sums of capital, most of which is indigenous 
in character. If this capital can in the most 
modest degree be more productively, more effi- 
ciently, more wisely employed, the benefits to all 
our peoples can be greatly increased. If only one 
country can, through the training given its gov- 
ernment officials, avoid pitfalls and losses that 
otherwise would have occurred, then the bank's 
efforts in this field would be amply repaid. I, 
personally, am convinced that the results will by 
no means be so modest. 

I could go on at length and discuss the atomic- 
energy study in Italy, the many missions the bank 
has sent out, the bank's resident i-epresentatives, 
and the work of the bank in the creation and res- 
toration of capital markets. All of these things 
have a great significance for us. It is only a 
certainty on my part that the bank's members 
fully appreciate and endorse these activities that 
makes it unnecessarj' for me to say more. 

In closing, I wish to compliment the bank, its 
management, and staff on what must be regarded 
as a successful year. Their efforts have been un- 
tiring and have brought us farther along the path 
toward a better life for the peoples of our coun- 
tries. But in spite of all of this, there can be no 
cause for complacency on the part of any of us. 

The rate of development in many large and im- 
portant areas of the world has not yet reached 
levels which can be regarded with equanimity. 
Meanwhile population is growing steadily and the 
needs for greater development continue. In 
many instances these accumulating needs are not 
yet matched by specific preparations — project 
planning, policies, and institutional arrange- 
ments — which must precede greater economic 
growth. The needs are real. We all must con- 
tinue to bend every effort to obtain maximum bene- 
fits for our peoples. The surge of economic de- 
velopment is taking place all over the world. If 
the bank's staff and the representatives of the 
member countries continue to give to the problems 
which are presented the same intelligent and ma- 
ture consideration which has been the keynote of 
the bank's activities up to the present time, we can 
be sure that a great harvest of benefits will be the 
reward. 



" For an announcement of the annual report, see p. 599. 
598 



' See p. 001. 



Deparfmenf of Sfafe Bulletin 



U.S. DELEGATION 

The Treasury Department juinounced on Sep- 
tember 17 that tlie U.S. delegation to the 12th 
annual meeting of the Boards of Governors of the 
Bank and Fund and the first annual meeting of the 
International Finance Corporation at Washing- 
ton, September 23-27, would be as follows: 

Robert B. Anderson, Oovcriior, Secretary of the Treasury 

Douglas Dillon, Alternate Oorirnor, Deinity Under Secre- 
tary of State for Economic Affairs 

W. Randolph Burgess, Temporary Alternate Governor, 
Under Secretary of the Treasury 

Frank A. Southard, Jr., Temporary Alternate Oovemor, 
Special Assistant to the Secretary of the Treasury, 
U.S. Executive Director of the Fund 

Wallace F. Bennett, Member, Senate Committee on Bank- 
ing and Currency 

Dennis A. Fitzgerald, Acting Director, International Co- 
operation Administration 

Gabriel Hauge, Special Assistant to the President 

Alfred Hayes, President, Federal Reserve Bank of New 
York 

.Tohn S. Hooker, U.S. Alternate Executive Director, Bank 
and Fund 

Henry Kearns, Assistant Secretary of Commerce for Inter- 
national Affairs 

William McC. Martin, Jr., Chairman, Board of Governors 
of the Federal Reserve System 

A. Willis Robertson, Member, Senate Committee on Bank- 
ing and Currency 

Walter Schaefer, Assistant to the Director for Finance, 
International Cooperation Administration 

Brent Spence, Chairman, House Committee on Banking 
and Currency 

Lynn U. Stambaugh, First Vice President and Vice Chair- 
man, Export-Import Bank of Washington 

M. S. Szymczak, Jlember, Board of Governors of the 
Federal Reserve System 

Henry O. Talle, Member, Hou.se Committee on Banking 
and Currency 

Samuel C. Waugh, President and Chairman, Export- 
Import Bank of Washington 

Sinclair Weeks, Secretary of Commerce 



International Bank Releases 
12th Annual Report 

The International Bank for Eeconstruction and 
Development on September 22 made public its 
12th annual report, covering the fiscal year ended 
June 30, 1957. During the year the bank made 
•20 loans totaling the equivalent of $388 million 
in 15 countries. Since the start of its operations 
in 1946, the bank has committed more than $3,100 
million in 170 loans to 45 countries. 



The bank disbursed more money^ — $332 mil- 
lion — than in any year since 1947-48, when the 
bank was paying out on its large reconstruction 
loans to European countries. Almost half its dis- 
bursements were made in currencies other than 
U. S. dollars, a larger proportion than in any 
previous year. 

Net income during the year amounted to $36 
million. In addition, the bank received $17 mil- 
lion from the 1 percent special commission 
charged on all loans. As a result the bank's re- 
serves rose to a total of $289 million. 

The bank entered into agreements to borrow 
the equivalent of $322 million — more than in any 
past year. There were three new issues of U. S. 
dollar bonds amounting to $275 million and a 
loan of Sw fr 200 million ($47 million) from the 
Swiss Government. Member countries placed an 
additional $134 million of their capital subscrip- 
tions at the disposal of the bank for loans. Taking 
into consideration bond retirements, loan sales 
and repayments, and other items, the bank was 
able to add a net total of $439 million to its lend- 
able funds during the year. 

The report notes that the postwar decade "has 
been one of the most active periods of international 
investment of recent times." A consequence of 
this has been a large increase in the external debt 
of many of the bank's member countries. This 
has been the subject of a recent bank survey, which 
estimated that the aggregate external long-term 
debt of 62 member countries had risen to the 
equivalent of $23,000 million by 1955, or about 
twice the amount outstanding 10 years earlier. 

The report also notes, however, that the in- 
crease in debt must be viewed in the perspective 
of the rapid postwar economic growth and the 
consequent increase in capacity to service external 
debt since 1945. The bank concludes that in most 
countries this economic growth has not only made 
it possible for them to maintain service on debt 
now outstanding but also provides a foundation 
for further productive investment. 

The Year's Lending 

The bank continued to lend mainly for basic 
services that stimulate economic growth. A sum 
of $108 million, representing more than a quarter 
of the year's lending, was for expansion of electric- 
power services. Loans for sea, land, and air 
transport totaled $55 million, and the same amount 



Ocfober 14, 1957 



599 



was lent for agriculture. V.arious industrial 
projects received a total of $95 million. The re- 
mainder of the year's lending was accounted for 
by $75 million of interim financing for the Second 
Seven- Year Plan in Iran. 

Lending in Asia included finance for a steel mill, 
an airline, and a power station in India; a steel 
mill and a land reclamation project in Japan; and 
port improvements in Thailand. In Latin Amer- 
ica the bank lent for agriculture in Costa Rica 
and Peru ; for power expansion in Chile, Nicara- 
gua, and Uruguay. Transport in Africa will be 
strengthened by loans to Ethiopia and Ruanda- 
Urundi. In Australia the bank made loans for 
capital equipment needed for the development 
of agriculture, industry, and transportation. 
Lending in Europe was for power supplies in 
Austria; for industrial and other financing in the 
Netherlands; and for a broad rehabilitation pro- 
gram in the south of Italy. 

Progress Under Earlier Loans 

Since the bank started operations, it has been 
helping member countries to add 71/4 million kilo- 
watts to electric-power capacity. It has financed 
some 50 railway, road, and port improvement 
programs and the expansion of three international 
airlines. It has also financed irrigation work or 
other improvements on 31/2 million acres of land 
and has made loans for manufacturing and mining 
projects in 15 countries. 

The report describes some of the work already 
accomplished with bank aid. For instance, over 
300,000 acres of the Thai desert in Pakistan have 
been cleared and brought into cultivation. 
Dredging and other work at Bangkok has doubled 
the size of ships able to enter Thailand's principal 
port and reduced turnaround time by half. A 
modern newsprint mill has been brought into oper- 
ation in Chile. New diesel locomotives have 
sharply cut operating costs and travel time on 
large parts of the Australian railway system. 

Financial Operations 

Rising interest rates in the capital markets of 
the world had their effect on bank operations. 
The bank raised the interest rates charged on its 
loans twice during the year, first from 5 to 51/2 
percent and then to 5% percent, including com- 
mission ; these rates were applied to all new loans. 

Tight market conditions also accounted for a 



reduction in the amount of private participation 
in bank lending during the year. The $57 million 
raised through these participations was 21 percent 
less than in 1955-56. During the year 15 private 
banks and one international organization partici- 
pated in bank loans at the time they were made 
for a total of $16 million; the remaining $41 
million represented portfolio sales to private in- 
vestors from loans which had been made and dis- 
bursed. 

An important source of new funds for the bank's 
lending operations was the release during the year 
by member goveriunents of the equivalent of $134 
million from the amounts they have subscribed in 
their own currencies to the bank's capital. In the 
first years of the bank the United States and 
Canada made the whole of their original domestic- 
currency subscriptions available for lending by 
the bank. In recent years the European members 
of the bank have begun to release more and more 
of their currencies for loans, and they continued 
to account for the larger part of releases this year. 
An unprecedented number of countries outside 
Europe and North America also made funds avail- 
able for lending. Costa Rica, El Salvador, and 
Venezuela released the whole of their domestic- 
currency subscriptions on a convertible basis. 
Japan and Ecuador agreed to release theirs over 
a period of a few years. Australia and South 
Africa made partial releases on a convertible basis. 
Mexico released its entire peso subscription and 
agreed that a third of it could be used for pur- 
chases outside of Mexico. 

The report also records where the bank's bor- 
rowers spent the funds they received during the 
year from the bank's loans. The placing of orders 
for the equipment and services financed by the 
bank is a matter for the borrowers and is governed 
by their interest in using international competi- 
tive bidding so as to secure the best value for 
their money. The bank estimates, insofar as the 
relevant data is available, that of borrowers' loan 
expenditures for imported goods and services 
United States suppliers received 44.3 percent of 
these expenditures. Germany was the second 
supplier with 18.7 percent, and the United King- 
dom was the third with 11 percent. 

Technical Assistance 

The bank continued to provide various forms 
of technical assistance to its member governments. 



600 



Department of State Bulletin 



In addition to many special missions to member 
countries, resident advisers were assigned to Peru 
and Haiti, while those in Guatemala and Nica- 
ragua completed their assignments. Representa- 
tives are also stationed in Ecuador, Honduras, 
Panama, and Colombia. 

The reports of banlc survey missions on Jordan 
and on the Trust Territory of Somaliland were 
published during the year, and at the request of 
the Thai Govermiient a mission was dispatched 
to help draw up an economic development pro- 
gram for that country. The bank also continued 
to lend its good offices to discussions between 
representatives of India and Pakistan on the use 
of the waters of the Indus River Basin. 

The Economic Development Institute, the 
bank's staff college for senior officials from the 
less developed countries, completed its second 
course in April. Twenty-five participants from 
20 countries have been enrolled for the third 
course, which starts in October 1957. The bank 
has decided that the interest shown in the Insti- 
tute by member governments warrants making it 
a regular part of the bank's activities. 

Membership 

Two more countries — Argentina and Viet- 
Nam — joined the bank during the year, bringing 
total membership to 60 and subscribed capital to 
$9,268.4 million. Applications were received 
from eight other countries, the Sudan, Ghana, 
Saudi Arabia, Ireland, Libya, Malaya, Morocco, 
and Tunisia. The applications of the first three 
had been approved by June 30. 



Economic Development Institute 
Begins Third Course 

The International Bank for Reconstruction 
and Development amiounced on September 29 
that the Economic Development Institute, a staff 
college for the study of economic development 
problems, will begin its third course on October 1, 
1957, in Washington, D.C. 

Twenty-two senior officials of 18 countries have 
been selected to participate. All the officials 
hold positions of responsibility in government 
ministries, central banks, national planning au- 



thorities, and development banks. They are na- 
tionals of tlie following countries : Burma, Chile, 
China, Ecuador, El Salvador, French West 
Africa, Ghana, Guatemala, Indonesia, Iraq, 
Japan, Malaya, Nigeria, Pakistan, Sudan, Trini- 
dad, Uganda, and Yugoslavia. 

The Institute was established by the World 
Bank in 1955 with financial support from the 
Ford and Rockefeller Foundations. Its aim is to 
improve the management of economic affairs in 
less developed countries by gathering together a 
group of senior officials from those countries and 
studying with them the practical problems that 
arise in preparing and carrying through develop- 
ment programs and projects. Each govern- 
ment whose candidate has been accepted will con- 
sider him on leave of absence with pay and will 
make a contribution of US$1,500 toward the costs 
of the Institute. 

The two 6-month courses so far organized by 
the Institute have been attended by 32 officials 
from 26 countries. All have now returned to 
their home countries. 

The Institute is directed by Michael L. Hoff- 
man. It has a small full-time staff consisting, in 
addition to the director, of William Diamond 
and Benjamin King, who have been seconded 
from the staff of the International Bank, and 
K. S. Krishnaswamy, on leave from the Reserve 
Bank of India. Martin Ekker, of the Nether- 
lands Planning Bureau, George Garvy, of the 
Federal Reserve Bank of New York, and Hans 
Staekle of GATT will join the staff for various 
parts of the course. Experts from tlie bank's 
staff' and visiting speakers who are well-known 
authorities will also participate in discussions at 
the Institute. 

The Institute is designed to provide those tak- 
ing part with an integrated approach to the prob- 
lems of economic development. The course is de- 
voted to a study of the preparation of develop- 
ment programs, historical aspects of development, 
the economics of development, the structural re- 
lationships within an economy, monetary and 
trade policy, problems of agricultural develop- 
ment, public finance, international trade and pay- 
ments, and problems of program and project ap- 
praisal. Throughout, extensive use will be made 
of specific cases from recent experience, particu- 
larly that of the World Bank. 



October 14, 1957 



601 



Secretary-General of NATO 
To Visit United States 

The Depai-tinent of State announced on Septem- 
ber 27 (press release 546) that Paul-Henri Spaak, 
Secretary-General of the North Atlantic Treaty 
Organization, has been invited to the United 
States in October. He is expected to arrive at 
Wasliington on October 24. 



U.S. Replies to Soviet Note 
on Middle East 

U.S. NOTE OF SEPTEMBER 24 

Press release 539 dated September 24 

The following note was sent on Septemier 24 
by the American Emhassy at Moseoia to the Min- 
istry of Foreign Affairs of the Union of Soviet 
Socialist Republics in response to a Soviet note of 
SepteTuber 3, 1957, regarding the. Middle East. 
Similar notes were delivered by the French and 
British Embassies at Moscow in reply to Soviet 
notes to their Governments on September 3. 

The Embassy of tlie United States of America 
presents its compliments to the Ministry of For- 
eign Aflfairs of the U.S.S.R. and, on instructions 
from its Government, has the honor to convey the 
following in connection with the Ministry's note of 
September 3, 1957, concerning the area of the 
Middle East. 

The Soviet note is offensive in tone and cyni- 
cally distorts United States objectives and actions 
in the Middle East. It is clearly designed to serve 
only Soviet propaganda purposes rather than to 
promote peace and stability in the Middle East. 

The United States Government holds that the 
Soviet Union bears primary responsibility for the 
present aggravation of tension in the Middle East. 
By shipping large quantities of arms and ammuni- 
tion into the area during a period of tension there, 
the Soviet Union set in motion a chain of events 
leading to the present dangerous situation. Fur- 
thermore, inflammatory Soviet statements and 
propaganda have served to impede the relaxation 
of tension and the solution of the serious problems 
existing in the area. 

As the United States has made clear through the 
Joint Congressional Resolution on the Middle 



East,^ it regards the preservation of the inde- 
pendence and integrity of the nations of that re- 
gion as vital to world peace and as vital, therefore, 
to its own national interest. There should be no 
doubt that the Government of the United States 
intends to carry out the national policy set forth 
in this Resolution. 



SOVIET NOTE OF SEPTEMBER 3 

Tlie Ministry of Foreign Affairs of the Union of Soviet 
Socialist Republics presents its compliments to the Em- 
bassy of The United States of America and in connection 
with the Embassy's Note No. 1001 of June 11, 19.57," on the 
question of the situation in the Near and Middle East has 
the honor, on instructions of the Soviet Government, to 
declare the following : 

As is apparent from the note of the Embassy, the Gov- 
ernment of the U.S.A. does not support the proposal, 
contained in the note of the Soviet Government of April 
19 of this .vear, that the Four Powers— The U.S.A., 
U.S.S.R., Great Britain and France — come forward with 
a declaration condemning the u.se of force in the area of 
the Near and Middle East. Earlier the Government of 
the U.S.A. refused to adopt the Soviet proposal for 
pruaranteeing peace and security in the Near and Middle 
East and for non-interference in the internal affairs of 
the countries of this area. In refusing the proposal of the 
Soviet Government, the Government of the U.S.A. on its 
part has not brought forth any concrete proposals which 
would lead to the normalization of the situation in the 
Near and Middle East. 

It is difficult to assess such a position of the Govern- 
ment of the U.S.A. in any way other than as proof for 
the fact that the United States is not in the least inter- 
ested In the lessening of tension in the Near and Middle 
East and in presenting to the peoples of this area the 
opportunity to live in peace and quiet and to themselves 
determine their domestic and foreign policy. The Govern- 
ment of the IT.S.A. evidently intends in the future as well 
to conduct in the Near and Middle East a so-called policy 
from a position of strength, being guided in this by the 
interests of the American oil monopolies and military- 
strategic considerations and taking no account either of 
the national interests of the peoples of this area or of the 
necessity of preserving and strengthening peace in the 
Near and Middle East. 

In refusing to support the proposal of the Soviet Gov- 
ernment for condemning the use of force in the Near and 
Middle East, the Government of the U.S.A. declares that 
the principle of the non-use of force in the solution of 
international quarrels is embodied in the charter of the 
organization of the United Nations and that, therefore, 
there is allegedly no need to adopt a special declaration 
on this question. It is generally known, however, that the 
existence of the charter of the U.N.O. did not prevent 
Great Britain and France, for example, together with 



' For text, see Bdlu.:tin of Mar. 25, 1957, p. 481. 
'■Ihid., .luly 1, 1957, p. 20. 



602 



Department of Stale Bulletin 



Israel, from umlertaking au armoil attack on Esjpt, or the 
Governnieut of the U.S.A. from undertaking a military 
demonstration of the Sixth American Fleet in connection 
with the events in .Jordan, thus frankly resorting to a 
threat of the use of force. The "Eisenhower Doctrine" 
openly provides for the possibility of the use of American 
armed forces against the countries of the Near and Middle 
East. The above-noted military demonstration of the 
Sixth Fleet of the U.S.A., undertaken, as was noted by 
the American Press, in effectuation of this "doctrine", 
serves as a very graphic demonstration of how far the 
words contained in the note of the U.S.A. about the 
"opposition" of the U.S.A. to the use of force are from 
the practical steps of the United States. 

The policy being carried out by the U.S.A., Great Brit- 
ain and France in the Near and Middle East of putting 
together military blocs and interfering in the internal 
affairs of the countries of this area has already led to a 
serious sharpening of the situation in the Near and Middle 
East and constantly creates ever new hotbeds of conflicts 
threatening the cau.se of peace and international security. 

In this connection, attention should be called to the un- 
provoked aggression undertaken by the Government of 
Great Britain against the people of Oman. The people of 
this country, striving to free themselves from foreign rule 
and to achieve full independence, are being cruelly sup- 
pressed by English troops who in Oman are using the most 
inhuman methods of battle, destroying Oman settlements 
and shooting down peaceful residents who are guilty of 
nothing. The intervention of English armed forces in 
Oman represents a crude violation of the basic principles 
of international law and of the Charter of the United 
Nations Organization. The Government of the U.S.A. in 
essence has taken a position supporting this aggression 
against the Oman people. Not wishing to act for a peace- 
ful regulation of the questions of the Near and Middle 
East, the U.S.A. and other Western Powers did not per- 
mit a discussion in the security council of the appeal of 
eleven Arab states — members of the U.N.O. — containing 
a request for the urgent examination of the question of the 
armed aggression against Oman and for putting an end 
to this aggression. 



It is also imix)ssible to overlook the shameful facts 
which have taken place recently of the bombardment by 
English airplanes of the cities and villages of Yemen. 

Of late there has been taking place an evident intensifi- 
cation of the subversive activity and open interference of 
the U.S.A., England and France in the internal affairs 
of the Arab states. The recently uncovered anti-govern- 
ment conspiracy in Syria, the organizers of which were 
official American representatives, testifies to the serious 
threat which such a policy of the U.S.A. and other West- 
ern Powers creates for the national independence of the 
countries of the Near and Middle East. 

The Soviet Government again draws the attention of 
the Government of the U.S.A. to the dangerous conse- 
quences to which such a policy can lead, including the 
intention expressed in the note of the Government of the 
U.S.A. also in the future to draw the countries of this 
area into various military groupings. This policy, danger- 
ous for the cau.se of peace, cannot, of course, be justified 
by any groundless and obviously far-fetched assertions 
about a Soviet campaign of threats and intimidation 
allegedly takiug place in relation to the countries of the 
Near and Middle East. 

In declining the Soviet proposals directed at the re- 
storing to health and normalization of the situation in 
the Near and Middle E)ast, and in not bringing forth on its 
part any constructive proposals at all, the Government 
of the U.S.A., as well as the Governments of Great Britain 
and France, thus take on themselves the full responsibility 
for every sort of complications with which the present 
situation in this area is fraught. 

The Soviet Government, reaffirming its previous notes 
on the question of peace and security in the Near and 
Middle East, considers as before that the coming forward 
of the Four Powers with a declaration of the condemna- 
tion of the use of force as a means of the solution of un- 
regulated questions and of the renunciation of interference 
in the internal affairs of the Near and Middle East would 
be a first step in the direction of restoring to health and 
normalizing the situation in this area. 



Ocfober 14, 1957 



603 



The Bureau of Security and Consular Affairs 
and tlie Problem of Passport Restrictions 



By Roderic L. O''0onnor 

Administrator, Bureau of Security and Consular Affairs ^ 



I am very happy to be here today. I believe we 
have many interests in common, which I am glad 
to have the opportunity to discuss with you. As 
your chairman has indicated, my job in the De- 
partment of State encompasses a wide range of 
responsibilities. I have under my direction the 
issuance of all passports and visas, all security in- 
vestigations and clearances, and a great variety of 
consular services, as well as refugee and migration 
programs. These varied activities are tied to- 
gether by two cords : they relate, to either security 
or consular affairs. Hence the name of the 
Bureau. 

In administering complex laws and regulations 
my Bureau has jDroblems which perhaps only law- 
yers can fully appreciate. Eight now we face the 
issue of the extent to which the Secretary of 
State has the right to refuse passport facilities to 
those desiring to travel to certain areas. I intend 
to discuss this question candidly with you today. 
We have problems of personnel security, which 
are related to liuman rights and protection. Day 
by day we must make decisions in a multitude of 
cases which affect the lives and destinies of indi- 
viduals all over the world. You here in the adver- 
tising business will recognize that this involves 
public relations in its most direct sense. 

In simple terms ours is "big business" in human 
relations. 

Last year, for example, the State Department 
issued or renewed the passports of almost 560,000 
Americans. We issued nearly 320,000 visas to im- 



' Address made before the Advertising Council and the 
Federal Bar Association of Maryland at Baltimore, Md., 
on Sept. 25 (press release 542). 



migrants who were coming to America to become 
future citizens and to 590,000 foreign citizens here 
on temporary visits.^ We gave assistance of one 
sort or another to an estimated 300,000 American 
citizens abroad. We ran security screenings of 
one type or another on 20,000 persons. We dealt 
in one way or another with over 200,000 refugees. 
Each of these cases can represent a human 
heartbreak. Each case also represents a unique 
opportunity in human relations. The total impact 
of how we handle these many cases greatly affects 
our public relations and thus our foreign policy. 

The American Consular Service 

Tliis work, of course, is carried on by many 
men and women in all parts of the Department 
and the Foreign Service. It is the responsibility 
of the Bureau I head to coordinate these activities 
and set up, under the Secretary of State, overall 
policy direction for them. Because the heaviest 
burden falls on our consular officers abroad, I be- 
lieve tliat it is the principal mission of the Bureau 
to support and to strengthen tlie consular service 
of our country. In over 275 U.S. posts abroad 
consular officers are busy serving Americans and 
American business and dealing with the citizens 
of countries where they are stationed. They are 
the officers who, as Robert Kuark wrote in his 
news column only last week, "deal closely with 
little folks on dreary detail, such as visas, quotas, 
complaints, tragedies, accidents, lost dogs and cats 
up trees." But, Mr. Ruark said, they "are dedi- 



" For a report on the number of visas Issued in fiscal 
year 1957, see Bulletin of Sept. 23, 1957, p. 493. 



604 



Department of State Bulletin 



cated men interested in scrupulously attending the 
alTairs of America and Americans abroad," and it 
is upon them that much of the United States' 
reputation abroad depends. 

This consular service has a great tradition. Our 
first ambassador to France, Benjamin Franklin, 
complained as early as 1778 that the demands of 
stranded American seamen pi'evented him from 
properly negotiating with the court of the French 
king. Ambassador Franklin urged the establish- 
ment of a consular service. Our first consul was 
appointed soon after, in 1790, when the Depart- 
ment of State had only eight employees and was 
headed by Thomas Jefferson. That consul never 
arrived at his post, for his ship was lost in a 
storm. His name is the first of 71 names which are 
inscribed on a plaque in the front hall of the 
State Department building in Washington. The 
plaque commemorates those heroic men and women 
wlio have lost their lives in the Foreign Sei-vice 
of our coimtry. 

The American consular officer comes into con- 
tact with Americans in such a variety of ways 
that Americans abroad have long turned to him 
for advice or assistance. It was during World 
War I, however, that for the first time consular 
officers were required to issue visas to all for- 
eigners who wished to come to the United States. 
Thus hundreds of thousands of citizens and sub- 
jects of other lands were added to the constituency 
of the consular service. 

We at the headquarters of this farflung con- 
sular organization are attempting to make these 
carefully selected officers the best trained, most 
effective, and proudest of their opportunities for 
service in the long history of American consular 
work. 

In addition to these consular duties, I mentioned 
that there was another aspect of the work of my 
Bureau — security. This has been the most pub- 
licly dramatized work of our Bureau in the past. 
As far as our own personnel are concerned, I 
think it is important that the American people 
miderstand that employees of the Department of 
State at home and abroad have been investigated. 
I assure you there is a real consciousness through- 
out the Department today of the continuing need 
for diligence. We intend to keep our organiza- 
tion above reproach as far as is humanly possible. 

Another activity for which we are responsible — 
the field of migration, escapee, and refugee mat- 



ters — involves both security and consular affairs. 

Just a few weeks ago Congress passed new 
amendments to the immigration laws which will 
permit the entry of a minimum of 60,000 immi- 
grants over and above tlie normal immigration. 
We began the issuance of visas to these hardship 
cases within 24 hours of the time the President 
signed the legislation.^ All possible steps have 
been taken to put into operation the provisions 
of the new law with dispatch. 

This law is not all the administration asked for 
and still believes is necessary in this field. It will, 
however, permit many families to be reunited and 
more refugees and escapees to enter. Despite its 
limitations the law will be helpful in admitting to 
our shores some 14,000 refugees, among them 
professional men, scientists, and doctors who have 
escaped from behind the Iron Curtain. 

Issuance of Passports 

The aspect of our work which has received most 
public attention recently is the issuance of pass- 
ports. Because this matter has caused consider- 
able public controversy, I should like to discuss it 
with you in some detail. 

The passport is a document which has long been 
in use among most of the countries of the world. 
It was originally a letter of introduction from a 
chief of state requesting the authorities of one 
state to give due consideration to the citizen 
traveling from another state. The first mention 
of a passport in this sense occurs, in fact, in the 
Bible. 

Moreover I said unto the king [of Persia], If it please 
ttie liing, let letters be given me to the governors beyond 
the River, that they may let me pass through till I 
come unto Judah. (Nehemiah 2 : 7) 

Today the passport is regarded as a document 
of identity and nationality. It has become in 
recent years under our laws a necessary document 
to allow the U.S. citizen to depart from the U.S. 
for travel outside the Western Hemisphere. It 
is also necessary under the laws of most foreign 
countries to have a passport in order to gain ad- 
mittance to them. Thus, as a consequence of 
either the internal restrictions of our own laws 
on exit from or entry into the United States or the 
restrictions imposed by foreign governments on 



' For a statement by President Eisenhower, see ibid., 
Sept. 30, 1957, p. 543. 



Ocfober 14, 1957 



605 



travel across their borders, it is now a virtual im- 
possibility for an American citizen to travel 
outside of the "Western Hemisphere without a 
passport. 

Because of its origin, the right of any govern- 
ment to grant or withhold a passport is recog- 
nized internationally. Our Secretary of State 
has had, since the early days of our Republic, the 
authority to issue passports or to restrict them. 
Most Secretaries of State have, at one time or an- 
other, exercised this right. It was not until 
recently that the Secretary's rights in this respect 
have been challenged in the courts. 

Authority To Deny or Restrict Passports 

The question now being debated is centered on 
the issue of the extent to which the Secretary of 
State has discretionary authority to deny pass- 
ports to U.S. citizens who wish to travel, or to 
issue passports which are restricted for travel in 
certain countries. I should like to clarify the 
Department's position on this issue. 

The Secretary's authority both to deny or re- 
strict passports stems from his basic constitutional 
powers in the conduct of foreign relations as well 
as from precedent and certain statutory author- 
ity. In denying passports to U.S. citizens for 
reasons of national interest, the Secretary can 
base his denial on two general grounds. The 
first of these grounds is that the applicant is a 
member of the Communist Party; under Com- 
munist Party discipline, domination, or control; 
or that his travel abroad is to assist knowingly the 
cause of international communism. A recent de- 
cision in the Circuit Court of Appeals stated that, 

To that end the Secretary may refuse to permit an 
adherent of the Communist movement, clothed with 
American citizenship, from being present in places where 
he may readily create incidents or may assert statutory 
rights to activity on the iiart of this Government in his 
behalf. The Secretary may preclude potential matches 
from the international tinderbox. 

The second of the general grounds on wliich the 
Secretary may deny passports is tliat the appli- 
cant's travel, usually to a specific country or coun- 
tries, is inimical to U.S. foreign policy or detri- 
mental to the orderly conduct of United States 
foreign relations. This ground of refusal can be, 
but it is not necessarily, related to the first. It is 
related in the sense that anyone who can be shown 
to be a member of the Comnnniist conspiracy or 



to be traveling abroad in connection with that 
conspiracy is likely to be engaging in activities 
inimical to our foreign policy. However, a 
traveler who has nothing to do with communism 
may still be subject to restriction for reasons of 
foreign policy. 

Wlien the Secretary issues a passport restricted 
for travel to certain areas, he is, in our view, 
making a determination that it is contrary to 
the foreign-policy objectives of the United States 
to have American citizens traveling within those 
areas. That foreign-policy determination does 
not in and of itself constitute a ban or prohibition 
whicli prevents Americans from going to these 
areas. 

It is the practice of the Department of State, 
howevei-, to refuse passport facilities to those 
American citizens who indicate an intention to 
travel into such areas contrary to the policy of 
tlieir Government. As a practical matter, the re- 
fusal of passport facilities may but does not neces- 
sarily prevent the citizen from traveling. 

However, because the denial of passport fa- 
cilities may have this serious practical effect, the 
Department recognizes that such denial cannot 
be made arbitrarily or capriciously. The De- 
partment recognizes that such denials can be, in 
practice, a limitation upon any "natural" right 
tlie citizen may have to travel. However, we be- 
lieve that any such right, like all other rights, is 
subject to reasonable limitation in the national 
interest. We recognize that passport facilities 
can only be denied with scrupulous regard to the 
requirements of due process of law. Moreover, 
the citizen's right to appeal must equally be pro- 
tected. We believe that our present procedures 
meet this test. 

The State Department has for many years is- 
sued passports which have had stamped in them 
various restrictions as to their validity for travel 
to certain areas. Traditionally we have not is- 
sued passports for travel to countries whicli we 
do not recognize or countries in which we do not 
maintain diplomatic representation. We have, of 
course, made exceptions to this general rule as in 
the case of the Soviet Union in the 1020's and, in 
the last few days, Bulgaria. The State Depart- 
ment has also traditionally refused to validate 
jjassports for travel in areas where armed hos- 
tilities or where national disasters make the pres- 
ence of U.S. citizens hazardous. 



606 



Department of State Bulletin 



Generally speaking, such restrictions have not 
in the past been cliallenged. We believe the 
authority to impose such restrictions is an im- 
portant part of the Secretary's power in the field 
of foreign policy wliich should not be impaired. 
Moreover, experience indicates that, if this author- 
ity is used on grounds which are clearly based on 
Foreign policy, the courts will not substitute their 
judgment for that of the Secretary of State. 
When it comes to exercising a judgment on wliat 
constitutes interference with our foreign relations, 
tlie courts have long recognized that inider the 
Constitution that right and responsibility rests 
with the Secretarj' of State. We believe it is im- 
portant that this position should be understood 
and upheld by the citizens of America. 

Enforcing the Restrictions 

These cases of travel to prohibited areas, how- 
ever, illustrate the great difficulty the Depart- 
ment faces in trying to enforce the restrictions 
which are placed in the passport. The sole pen- 
alty provided by law for misuse of the passport 
is a criminal penalty which subjects the offender 
to as much as a $2,000 fine or 5 years in prison. 
However, this penalty is a harsh one. Except 
in the most flagrant cases the punishment would 
not seem to fit the crime. 

Moreover, the problem is not met simply by 
refusing to issue passports to all applicants who 
liave previously violated the restrictions. The 
Secretary of State's power to withdraw or with- 
liold a citizen's passport is not designed to be a 
punislunent. It is designed as an instrument of 
foreign policy. The language of our regulations 
makes it clear that it is our estimate of future 
action which in large part is controlling in 
reaching a decision on withholding of a passport, 
not exclusively the record of past action. Thus 
tlie fact that a citizen has violated the restrictions 
may be some evidence that he will do so in the 
future and thus interfere with the orderly con- 
duct of U.S. foreign relations. However, we 
have never felt that such past action was the only 
factor in reaching a decision as to whether the 
passport should be withdrawn or not. 

Under these general principles, the Depart- 
ment has been making everj' effort to follow a 
uniform practice in handling the cases of citi- 
zens who have violated our resti'ictions. Regret- 
tably, there have recently been a good many of 



these. Only a few weeks ago a group of 42 
American citizens traveled en masse to Communist 
China in direct violation of our restrictions.'' In 
each of these cases the Department plans to notify 
the citizen at his first point of exit from Com- 
munist China that his passport has been tenta- 
tively restricted for direct return to the United 
States. In each case the citizen will be notified 
of his rights to a hearing and of the applicable 
regulations under which this action has been 
taken. 

If the citizen returns to this country, his pass- 
port will be picked up as he enters the country 
and he may appeal tliis action to the Passport 
Office. However, we do not plan to insist that 
any individual return at once to the United States. 
To do so might create a hardship which would 
not be justified once all the facts were known. 
We will, therefore, give each citizen who remains 
abroad the right to appeal within 60 days from 
our tentative decision to restrict liis passport for 
return only. He need not return to the United 
States in order to file his appeal but may do so 
through counsel or by filing appi'opriate affidavits 
with our Passport Office. If, however, the in- 
dividual citizen does not wish to avail himself of 
these procedural rights within 60 days, tlien we 
will regard his passport as entirely invalid. 

Of tlie 42 American citizens, 5 have now left 
China. These 5 and the remaining 37 students 
will be subject to this uniform procedure. We 
believe it to be a fair procedure, one which should 
not inflict undue hardship upon ihem but which 
still u])holcls the law. In each case, of course, the 
individual may appeal our decision. If and when 
lie does so, we will judge each case on its merits. 
We shall inquire what the individual's intention 
is regarding future travel, were he again to re- 
ceive passport facilities. We shall specifically ask 
whether, if he were gi'anted a new passport, he 
intends to abide by the restrictions in the passport. 
On the basis of the answers to these questions and 
on the basis of all other pertinent information 
available to us, we will reach a decision in each 
case. 

I pledge to you that these decisions will be 
reached fairly and expeditiously. They will be 



* For a Department announcement and a letter from 
Acting Secretary Herter to the U.S. citizens who intended 
to visit Communist China, see ibid., Sept. 2, 19r)7, p. 392. 



October 14, 1957 



607 



reached with due regard to the rights of the in- 
dividual but also with full respect for the national 
interest, foreign-policy-wise, in this unsettled 
period. 

In these days the maintenance of the peace and 
the fate of every American depends upon the ex- 
ecution of a sound foreign policy. We do not 
intend to let individual Americans capriciously 



disturb the delicate international situation by 
breaking restrictions which have been imposed for 
sound foreign-policy reasons. 

I would like in closing to express the hope that 
you will bring your full understanding to the 
problems I have outlined and especially to the 
fact that the national interest sometimes does out- 
weigh the wish of the individual. 



The Common Market: An Economic Instrument of International Policy 



hy James Da/vid Zellerhach 
Ambassador to Italy ^ 



You have asked me to speak on the Common 
Market and EURATOM agreements. The com- 
mitment of six nations to the course set forth in 
those treaties is beyond doubt one of the most im- 
portant events which have taken place in Western 
Europe in this century. If the Common Market 
and EURATOM fulfill their promise, they may 
prove to be a significant turning point in history. 

In terms of their content alone the treaties de- 
serve to be ranked with the great events of our 
time. The customs union of the Common Market 
is to be no Hanseatic League but a merging of the 
economies of great nations populated by more 
than 160 million people. Though the industrial 
application of atomic science is in its infancy, it 
clearly promises to multiply the energy which 
powers our technological civilization. 

Yet it is by their implications rather than by 
their provisions that I ex^ject the treaties to take 
their place in history. They are, I believe, no less 
than the seal and confirmation of a new philoso- 
phy of relations among peoples and states. 

Wliat this philosophy is, and what it can mean 
for the future, I tliinlv will become plain if we 
consider how these treaties came into being and 
what they imply. To explain how I have been 

'Address made before the Committee for Economic 
Development at San Francisco, Calif., on Sept. 12. 



led to my conclusions I will, if I may, cite a few 
observations from personal experience. 

Strengthening the Confidence of Western Europe 

I have had the privilege of returning as am- 
bassador to a country in which, nearly a decade 
ago, I participated in carrying out a program of 
economic assistance. The purpose of that i^ro- 
gram was to help repair the destruction of war, to 
halt the nation's despairing descent toward com- 
munism, and to offer its people hope of a decent 
and improving life in democratic independence. 

The Marshall plan was an instance of economic 
policy deliberately applied to foreign affairs. 
That it achieved its economic objectives is evident. 
That it has helped materially in achieving our 
political objective of strengthening Western Eu- 
rope's freedom and friendship is also beyond argu- 
ment. The contrast between the Italy to which I 
went as aid administrator and the confident Italy 
to which I returned as ambassador is, to my mind, 
in itself a sufficient demonstration that the 
Marshall plan was worth its cost to the United 
States. 

Yet my recent experience has confirmed my be- 
lief that, even more than for what it directly 
accomplished, the Marshall plan was significant 
for what it set in motion. Times are different. 
My job is different. The days of large-scale 



608 



Department of State Bulletin 



American economic aid to Europe are past. Con- 
stantly, however, I am made aware that the idea to 
whicli Europe responded in the Marshall plan is a 
living force in the policies of its governments 
today. 

To undei-stand the vitality of that idea we must 
be clear about what the Marshall plan was intended 
to do. It was not intended to buy gratitude. 
Italy is one country from which our past help 
continues to earn sincere thanks. We are honored 
by these thanks precisely because they were not, 
nor could be, bought. Italy is a valuable and close 
partner, not because she is dependent on vis but 
because she feels able to offer the friendship of an 
independent equal. 

Nor did our aid itself rebuild the economies of 
Europe. That was the task of Europeans. We 
contributed to the means they had available for 
the job. We "primed the pump," so to speak. 
The strengthening of the economies of Western 
European nations has been accompanied by a 
strengthening of their confidence in themselves. 
It is this which has spurred Western Europe past 
every milepost of recovery into unprecedented eco- 
nomic development. From the achievements of 
the past decade the nations of Western Europe 
have acquired the courage and confidence to step 
boldly into the future. 

Our economic aid to Western Europe was, then, 
essentially an investment in the aspiration of 
peoples for their own advancement. We offered 
dollars because, with dollare, we were able to offer 
hope. The dollai-s are spent, but the hope they 
helped to create continues to grow and to shape the 
policies of governments. In the potential benefits 
of economic cooperation we had the faith to invest 
the Marshall plan. Today six nations of Western 
Europe have the faith to invest their whole 
economies. 

Significance of Common Market 

To view the Common Market treaty as an eco- 
nomic agreement from which each signatory 
hopes to derive advantage is to see only a small 
part of its significance. The potential advan- 
tages are there, of course: duty-free access to a 
market comparable in population to the United 
States ; savings in unit costs through an increased 
volume of production ; a greater variety of choice 
for the consumer; more jobs; a chance to create 
new industries which could not economically 

October M, 1957 

442849—57 3 



be developed for a single national market. 
Through a provision for the free movement of 
labor and through the expansion of her industries, 
Italy, for instance, hopes to open the way for an 
eventual solution of the persistent unemploy- 
ment with which she, alone of member states, is 
plagued. 

For Italy, as for its other members, however, 
the Common Market agreement is primarily an 
act not of economic calculation but of faith. The 
complexity of the treaty and the extended period 
over which it is to take effect are a measure of 
the difficulty of trying to fit six going economies 
together without causing any to falter. In our 
own economic development we had no compa- 
rable problem to overcome. Exhaustive as the 
Common Market treaty is, it does not pretend to 
guard its members against every potential risk 
or guarantee them the automatic enjoyment of 
every potential benefit. Many questions have 
been left for later decision. There will have to 
be a continuing process of adjustment, reassess- 
ment, and readjustment. At every step forward 
toward economic union the economies or parts 
of the economies of the member states will lose 
some of the protection behind which they have 
achieved their present development. As cer- 
tainly as the Common Market will mean com- 
petitive advantage for some enterprises, it will 
mean competitive disadvantage for others. It 
is not possible to predict in detail what will 
happen. 

Suppose, for instance, we take for granted the 
survival and expansion in healthy competition 
of all three of the auto industries which today 
exist behind tariff walls in Italy, Germany, and 
France. Let us then further envisage another 
development which, with the coming of the Com- 
mon Market, will enter the realm of the possible : 
that Belgium, with 160 million customers with- 
in reach instead of 9 million, will find it economic 
to manufacture automobiles. Wliat the pattern of 
the auto industry, or of any other industry, will 
be in Europe in a quarter-century's time, I do not 
think anybody could say precisely. My own feel- 
ing is that in economic union the buying power of 
Western Europe's population will rise fast enough 
to make room for new enterprises as well as the 
expansion of existing enterprises of reasonable 
efficiency and adaptability. In committing him- 
self to the Common Market, however, eveiy states- 
man, every businessman, every worker and con- 



609 



sumer in Western Europe must balance uncer- 
tainty against opportunity. The Common Mar- 
ket treaty is above all a proclamation of the Euro- 
pean's new confidence in himself and — what is 
even newer and more remarkable — his confidence 
in his fellow European. 

The most important imderstanding among the 
parties to the Common Market treaty, the un- 
written clause which gives all the other clauses 
force, is that within and among the peoples of the 
economic union there shall be mutual trust. At 
this stage it is not, of course, absolute trust. Old 
concepts of class and national antagonism still 
linger and still are exacerbated by Communists, 
within and without, to the extent of their declin- 
ing powers. But this trust, for the first time in 
the history of Europe, exists. It is growing. 
Already it has caused the continental powers, 
whose conflicts in the past have cursed the world, 
to put their economic fortunes in one another's 
hands in mutual confidence. To all the uncer- 
tainties inherent in this step Europe has answered 
with the serene certainty that the problems of each 
country will be the sincere concern of all. 

I have stated and explained my view that the 
Common Market is much more than an economic 
agi-eement. Its next most immediate meaning is, 
of course, as an influence on the probability of 
peace or war in the present state of the world. 
Again speaking in purely economic terms, I think 
it can fairly be said, first, that countries whose 
economies are thoroughly intermingled can make 
war on one another only with difficulty and, sec- 
ond, that the substitution for today's Europe of 
an economic unit potentially as strong as the 
United States will be a great gain for the free 
world in the struggle with Soviet communism. 

Yet even these achievements, I feel, do not ex- 
haust the meaning of the idea underlying our 
Marshall plan and embodied by Western Europe 
in the Common Market. If I am right, these may 
come in the perspective of history to be called only 
beginnings. I think we may have in the develop- 
ments which have taken place in Western Europe 
in the last decade the glimmerings of one of the 
great transforming concepts which do not enter 
the world in every generation, or even in every 
century. 

Development of Common-Market Concept 

To its present stage the development of this con- 
cept in Western Europe is not difficult to trace. 



It began with General Marshall's speech at Har- 
vard and Europe's response to it. If European 
nations would help one another toward recovery. 
General Marshall said, we would help them all. 
Eastern Europe, under the dictation of Soviet 
Eussia, declined without thanks. Western Europe 
formed the Committee for European Economic 
Cooperation, soon transformed into the Organi- 
zation for European Economic Cooperation. 
Whether this was a European response or a Euro- 
pean initiative has long since ceased to be rele- 
vant. The OEEC remains an active meeting place 
for the European family of nations because these 
nations have discovered it is useful to them to 
work out economic problems together. 

Participating in the OEEC and in other, spe- 
cialized organizations such as the European Pay- 
ments Union, the countries of Western Europe 
found that their true interests were not conflict- 
ing but complementary and were best served by 
mutual help and cooperation. The next step, per- 
haps the greatest of all as an expression of faith 
hardly justified at the time by works, was the 
formation of the European Coal and Steel Com- 
munity. "Wliether coal and steel are considered as 
basic industries of peace or as sinews of war, no 
greater pledge to a cooperative economic future, 
other than an unlimited one, could have been 
offered by France to her hereditary enemy, Ger- 
many, or by both to other countries of Europe. 
Italy, Belgium, Holland, and Luxembourg par- 
ticipated in bringing this offer about and closed 
with it when it was made. The unlimited or 
almost unlimited pledge of these six nations to 
economic union has followed. In this further 
extension of the idea of economic cooperation 
Italy has been a leader. The Common Market 
and EURATOM treaties were, with good reason, 
signed in Rome. 

The Common Market is of the utmost signifi- 
cance for the evolution of the concept of economic 
integration of Western Europe. However, we 
must not overlook the companion treaty, EURA- 
TOM. Only in atomic energy, in all the sectors 
of modern industry, is Europe unhampered by 
existing investments and commitments. In the 
development of this form of energy as a com- 
munity industrial resource Western Europe need 
neither conciliate nor compensate. There are no 
established interests to bear in mind, no present 
commercial advantages or disadvantages which 



610 



Department of Sfofe Bulletin 



need be taken into account. Therefore it may be 
hoped that in EURATOM the member nations 
will be able to create, with a minimum of difficulty, 
a model of integration toward which they can 
move with due circumspection in the other, broader 
field of the Common Market. 

The impulse of Europe toward a cooperative 
destiny neither is nor will be limited to the eco- 
nomic organizations in which it has so far found 
expression. A case in point is the North Atlantic 
Treaty Organization. As a military alliance, 
NATO is unique in the free commitment of armed 
forces of many nations to international command 
in peacetime. NATO is also imique in that the 
political influences at work within it are not cen- 
trifugal but centripetal. Its members seek con- 
stantly to make the alliance closer, stronger, more 
effective. 

Full consultation in the formulation as well as 
the execution of Western policy has been a par- 
ticular concern of Italy. She contributed one of 
the three "Wise Men" who were instructed to con- 
sider ways in which closer cooperation in non- 
military fields could be developed within the 
Atlantic alliance.^ She presses consistently, and I 
think rightly, for her views to be heard on every 
matter that concerns her interest. We have, and 
Secretary Dulles has repeatedly expressed, both the 
obligation and the policy of consulting with our 
allies on matters of mutual concern. To take the 
advice of so stanch a friend as Italy is not only 
an obligation but a privilege. 

Economic Means to Solution of Political Problems 

Tracing its development step by step, through 
the OEEC, the ECSC, NATO, EURATOM, and 
the Common Market we find little cause for sur- 
prise in the transformation of wartime ally, co- 
belligerent, and enemy into today's Europe of 
economic union and Atlantic alliance. It seems 
the logical outcome of logical policies. But a 
logical principle which can bring about so pro- 
found a change in so brief a time deserves to be 
identified and considered in all its implications. 

The principle we have seen in operation in 
Europe in the last decade is the international ap- 



' For text of a report to the North Atlantic Council by 
Foreitm Ministers Halvard Lange of Norway, Gaetano 
Martino of Italy, and Lester B. Pearson of Canada, see 
Bulletin of Jan. 7, 1057, p. 18. 



plication of economic means to the solution of 
political problems. 

There is nothing new in the recognition of these 
problems as basically economic, or at least partly 
so. What Hitler sought nobody will ever know, 
but his rallying cry was "Lebensraum.'''' The war 
lords of Japan cozened her citizens and her vic- 
tims with visions of a Greater East Asia Copros- 
perity Sphere. The Communists today tell the 
workers they have economic chains to lose. Yet 
in all history only the democratic West has 
thought to tell the workers, the citizens, and the 
nations to lose their chains and gain their ends 
by economic means. This is, I believe, the true 
revolution of the 20th century. 

The accepted means of meeting foreign policy 
problems, until recent years, have been at least in 
name other than economic. Henri IV of France 
sought a remedy for financial difficulty in mar- 
riage with an Italian princess, Marie de' Medici. 
The marriage agreement called for delivery of the 
bride, with dowry, f . o. b. Marseille. In an earlier 
century another Henry, the Fifth of England, 
consolidated and confirmed a military victory over 
France by marrying its princess, Catherine. 

War, intrigue, and royal marriage — these have 
been the traditional instruments of national policy 
in international affairs. The effectiveness of the 
third means disappeared with the rise of consti- 
tutional monarchies and republics. With the ad- 
vent of nuclear weapons unlimited war has be- 
come so plainly suicidal we may hope even the 
Kremlin is sincere in professing to want to avoid 
it. The unprofitability of all kinds of war and 
intrigue, it is our task to prove today. 

It is plain that we have yet to convince the Com- 
munist bloc, which remains fixed in outmoded po- 
litical as in outmoded economic ideas. The only 
possible answer to the Communists' reactionary 
policy is the one the free world has made — de- 
fensive forces employed to beat back active 
aggression where it has been attempted, as in Ko- 
rea; defensive forces committed to deter potential 
aggression, as in Europe and Southeast Asia. In 
the Middle East the United States has taken steps 
to counter the possibility of Communist aggres- 
sion, direct or indirect. 

These are necessary replies to reactionary com- 
munism. The free world's affirmation of its own 
dynamic philosophy of progress has, however, 
both permeated these answers and found con- 
structive expression in its own right. Its influ- 



Ocfober 14, 1957 



611 



ence on the character of the Atlantic alliance I 
have already mentioned. Equally evident was 
its manifestation in the composition of the forces 
which defended Korea. The Suez crisis made 
clear in the unliappiest circumstances that free 
peoples intend if they can to enforce the renuncia- 
tion of aggressive war as an instrument of foreign 
policy. 

The true expression of the West's new phi- 
losophy is to be found, however, not where the 
West speaks to Communist reaction in terms it 
can understand but where the peoples of the. 
West speak to one another in the newly learned 
language of trust and friendship. Such an ex- 
pression is the Common Market treaty. It is a 
pure testament of belief that the well-being 
Europe has failed to win in centuries of conflict 
can be won in concert. 

Importance of U.S. Leadership 

From the United States the partners of the 
Common Market ask at this time only the faith 
to believe that they seek the common benefit and 
that the ultimate effect of their action and their 
policies will be to strengthen the forces of free- 
dom. I think we owe them this belief and sup- 
port. 

In this connection, I believe it is important that 
the United States demonstrate its continued 
leadership in the field of foreign trade policy. 
The European economic community and, mdeed, 
the whole free world will undoubtedly look to 
the renewal of the United States trade agree- 
ments legislation and the authority of the United 
States to engage in further reciprocal tariff nego- 
tiations as an indication of the extent to which 
the United States will maintain its liberal trade 
policy. 

I think we also owe them, and the world, the 
duty of continuing to explore the uses of an 
economic approach to foreign policy as ener- 
getically as the nations of Europe are exploring 
it in their relations among themselves. The 
demonstration that economic problems can be 
called economic, and that free nations can solve 
them by working freely together, for the first 
time offers real hope of peace and progress to 
humanity. Hope is a new weapon against which 
the iron curtain can no more stand than a medie- 
val fortress could stand against gunpowder. Al- 



ready Western Europe's progress is exercising a 
visible attraction toward freedom within Soviet 
Russia's European empire. In our defensive 
and political alliances we have foimd the power 
to hold aggression in check. By continuing to 
use economic means wisely to increase the total 
of hope in the world, we can create the power we 
seek to set men free. 



U.S.-Canadian Tax Convention 
Enters Into Force 

Press release 541 dated September 26 

On September 26, 1957, Secretary Dulles, in be- 
half of the United States, and N. A. Robertson, 
Ambassador of Canada in Washington, and 
Donald Methuen Fleming, Minister of Finance 
of Canada, in behalf of Canada, exchanged the 
instruments of ratification with respect to the 
supplementary income-tax convention of August 
8, 1956, between the United States and Canada.^ 
The convention was brought into force by such 
exchange. 

The convention, which was signed at Ottawa 
on August 8, 1956, further modifies and supple- 
ments the convention and accompanying protocol 
of March 4, 1942,^ for the avoidance of double 
taxation and the prevention of fiscal evasion in 
the case of income taxes, as modified by the sup- 
plementary convention of June 12, 1950.^ On 
August 8, 1957, the U.S. Senate gave advice and 
consent to the ratification of the supplementary 
convention of August 8, 1956. The U.S. ratifica- 
tion thereof was signed by President Eisenhower 
on August 29, 1957. 

It is provided in article II of the supplemen- 
tary convention that the convention shall become 
effective with respect to taxable years beginning 
on and after the first day of January of the calen- 
dar year in which occurs the exchange of instru- 
ments of ratification. Accordingly, when the ex- 
change took place on September 26, 1957, the 
convention became effective with respect to tax- 
able years beginning on and after January 1, 
1957. 

This new convention reflects fnrtlior experi- 



' For text, see Bulletin of Aug. 27, lf>."iO, ]). 304. 
' 56 Stat. 1399. 
° 2 UST 2235. 



612 



Departmenf of Sfafe Bulletin 



ence in connection with tax problems arising 
from the application of the existing treaty provi- 
sions for the avoidance of double taxation and 
from the economic relations between tlie two 
countries. It contains a single substantive article 
(article I) divided into a number of lettered 
paragraphs. 

Article I (a) amplifies the provisions relating 
to relief from double taxation of income derived 
from the operation of ships and aircraft so as to 
extend the same principle to tlie operation of 
motor vehicles as common carriers or contract 
carriers. 

Article I (b) amends the provisions relating to 
the taxation of income from personal sei-vices so 
that, on a reciprocal basis, an employee in a Ca- 
nadian branch of an American enterprise wovdd 
be considered an employee of a Canadian enter- 
prise and would receive the same tax treatment 
as an employee of a wholly Canadian enterprise. 
Article I (c), by excluding earned income from 
the scope of article XI of the 1942 convention, 
eliminates a problem created by the 1950 supple- 
mentary convention. It also confirms the au- 
thority for administrative procedures to assure 
that persons not entitled to the benefit of a re- 
duced rate of tax on investment income will not 
receive such benefits. 

Article 1(d) relates to intercorporate dividends 
and reduces from 15 to 5 percent the tax on divi- 
dends paid by a subsidiary corporation to a parent 
corporation in any case where at least 51 percent 
of the voting stock of the subsidiary is held by the 
parent corporation, either alone or in association 
with not more than three other corporations each 
of which owns at least 10 percent of the voting 
stock. 

Article I (e) adds a new article relating to de- 
ductions for contributions to charitable organ- 
izations. 

Article I (f ) adds a new article establishing on 
a reciprocal basis the principle, already applicable 
under U.S. law, whereby a resident of one of the 
countries who is a beneficiary of an estate or trust 
in the other country would be exempt from taxa- 
tion by such other country with respect to "that 
portion of any amount paid, credited, or required 
to be distributed by such estate or trust to such 
beneficiary out of income from sources" outside 
such other country. 



Article I (g) modifies provisions relating to 
administrative cooperation in order to reflect a 
practical situation, particularly in regard to the 
furnishing of certain information.* 



Foreign Nationals Here for Study 
Under U.S. Government Grants 

Press release 540 dated September 24 

Nearly all of the more than 1,700 students from 
all parts of the world who will study in this 
country with the aid of U.S. Government grants 
during the current academic year have now ar- 
rived. They, together with the Americans who 
have been awarded grants and are now settling 
down for a year's study abroad, comprise the 
largest contingent of this year's participants in 
the International Educational Exchange Pro- 
gram, which is carried out by the Department of 
State as a means of promoting a better under- 
standing of the United States in other countries 
and of furthering mutual international mider- 
standing. 

The largest niunber of foreign student grantees, 
some 900, have come from Europe. Other geo- 
graphic areas ai-e represented as follows: 400 
from countries of the Far East; 300 from the 
Near East, South Asia, and Africa ; and 150 from 
Latin America. They have been placed in col- 
leges and universities in most of the 48 states and 
the District of Columbia, and in Puerto Kico as 
well. 

The majority of the student visitors will under- 
take advanced studies at the graduate level. 
Their work will cover a wide range of fields and 
in many cases will consist of specialized courses 
of study not available in their own countries. 
Others have come to study such subjects as 
American history, literature, and civilization at 
their source. Some will be studying under proj- 
ects developed to meet particular needs of their 
countries. For example, one project being car- 
ried out for the fourth consecutive year provides 



* The text of the supplementary convention, together 
with the text of the President's proclamation thereof, will 
be printed in the Department of State pamphlet series. 
Treaties and Other International Acts Series (TIAS), and 
thereafter in a bound volume of the statutory publication 
United States Treaties and Other Internatimial Agree- 
ments (UST). 



Ocfober 14, 1957 



613 



courses of study and observation in labor- 
management relations for a group of 10 Japanese 
students, and another, initiated this year at the 
request of tlie Sudanese Government, provides 
specialized studies in agriculture for students of 
one of the newest African nations. 

Many of these visitors from abroad are not 
students in the ordinary sense, as they are young 
leaders already established in positions in govern- 
ment, the professions, business, and other fields in 
their home countries. Thus the group includes, 
for example, a member of the British diplomatic 
service, a Norwegian writer, and a newsman from 
Afghanistan who will undertake studies here 
pertinent to their careere. 

In addition to the university students, a total 
of 26 younger people aged 16 to 18, mostly from 
the other American Republics, have been awarded 
grants under the exchange program to study in 
the United States. These teen-agers will live 
with American families and attend the local high 
schools in various communities throughout the 
United States for an entire year. 

Past experience indicates that these young 
guests besides acquiring increased knowledge in 
their field of specialization will gain a better 
understanding of the American people and their 
way of life, and at the same time bring to the 
people here greater information about tlieir own 
countries and cultures. 

During the course of the year, grants will also 
be awarded to approximately 250 students from 
various other countries to enable tliem to attend 
American-sponsored schools abroad, such as tlie 
Bologna Center of the Johns Hopkins University 
in Italy and tlie American Farm School in 
Greece. 



American Foreign Policy, 1950-1955: 
Basic Documents, Volume I 

The Department of State announced on Sep- 
tember 26 (press release 543) the publication 
of American Foreign Policy, 1950-1955; Basic 



Documents, Volume I. This is the first of two 
volumes. 

The compilation is mtended to present in con- 
venient reference form the basic published docu- 
ments regarding American foreign relations for 
the 6-year period of 1950-55. It may be re- 
garded as a sequel to the volume A Decade of 
American Foreign Policy: Basic Documents, 
191tl-19Ji9, prepared by tlie Department and re- 
leased in 1950 by the Foreign Relations Com- 
mittee as Senate Document 123, 81st Congress, 
1st session. The usefulness of this publication 
indicated a need for a supplement that would 
bring the collection closer to currency. 

The present compilation, like its predecessor, 
has been designed primarily for official use. The 
possibility tliat it might prove iiseful to others 
outside official circles has also played a part in 
determining the scope and editorial mechanics 
of the publication. In some instances the 6-year 
limits (1950-55) of the compilation have been 
extended for the sake of continuity, by reprint- 
ing a few documents that appeared in the earlier 
Decade, as well as including a few additional 
pre-1950 documents and some 1956 materials. 
Certain international agreements to which the 
United States is not a party have been included 
where the effect of such agreements on American 
])olicy formulation is obvious. 

Despite its size, which reflects the growth of 
American responsibility in international rela- 
tions, the present collection makes no pretense 
at being exhaustive. In many instances it has 
proved necessary to print summaries of develop- 
ments and of individual lengthy documents or 
to provide notliing more than tlie title of a docu- 
ment, indicating where its text may be fomid. A 
list of the documents, fairly extensive cross- 
references, and an index will facilitate use of the 
volume. 

Copies of this volume (lix, 1707 pp.) may be 
purchased from the Superintendent of Docu- 
ments, Government Printing Office, Washington 
25, D.C., for $5.25 each. 



614 



Oeparfmenf of Sfafe BuWeiin 



LEGISLATIVE HISTORY OF THE MUTUAL SECURITV PROGRAM FOR FISCAL YEAR 1058 

( Value in Millions of Dollars) 





Fiscal year 

1%8 program 

presented to 

Congress 


Authorization 

(new funds 

orUy) 


Appropriation 


Title 


House action 


Senate action 


Final appropriation action ' 




Funds 


Percent of 
program 
presented 


Grand total — Mutual Security Program .... 


$4, 440. 3 


(') 


$3, 191. 8 


$3, 692. 7 


3 $3, 435. 8 


77.4 


Total new funds 

Total funds to be reappropriated 


3, 864. 4 
575.9 


$3, 367. 1 


2, 524. 8 
667. 


3, 025. 7 
667. 


2, 768. 8 
667. 


71.6 
115.8 


Title I — Mutual Defense — Total 


3, 300. 


(') 


2, 409. 8 


2, 738. 8 


2, 603. 8 


78 9 








New fund.s appropriated 


2, 800. 
500.0 


2, 350 


1, 835. 
574. 8 


2, 164. 
574.8 


2, 029. 
574.8 


72.5 
115.0 




Chapter 1 — Military Assistance — Total . . . 


2, 400. 


{') 


1, 788. 8 


2, 013. 8 


« 1, 878. 8 


78.3 


New funds appropriated 

Unobligated balance 


1, 900 
50O 


1, 600. 

(=) 


1, 250 
538. 8 


1, 475. 
538.8 


1,340.0 
538.8 


70 5 
107.8 




Chapter 3 — Defense Support — Total .... 


900.0 


750.0 


62 L 


725.0 


725.0 


80. 6 


New funds appropriated 

Unobligated balance 


90a 


750 


585.0 
36.0 


689. 
36. 


689. 
36.0 


76. 6 










Title II — Development Loan Fund 


552.0 


{') 


352.0 


452. 


352. 


63. 8 


Development Loan Fund 

Development assistance: unobligated balance . 


500 
52.0 


5 50O 


300. 
52.0 


400.0 
52. 


« 30a 
52.0 


60 
100.0 


Title III — Technical Cooperation — Total . . . 


168.9 


168.9 


142. 


143.9 


142.0 


84. 1 


General authorization — Total 


151.9 


151.9 


125.0 


126.9 


125.0 


82.3 


New funds appropriated 

Unobligated balance reappropriated . . . 


151.9 


15L9 


113.0 

12. 

15. 5 

1.5 


114. 9 

12. 

15. 5 

1.5 


113. 

12. 

15. 5 

1.5 


74.4 


United Nations technical assistance .... 
Organization of American States 


15. 5 
1. 5 


15. 5 
1.5 


100.0 
100.0 


Title IV— Other Programs— Total 


419. 3 


(.') 


288.0 


358.0 


338.0 


80.6 


Special assistance 


30O0 
11. 5 

12.5 
2. 2 
5.5 

11.0 

23. 8 
2.7 
2. 2 
11. 3 
35.0 
4. 6 
7.0 


275.0 
11. 5 

■2. 2 

5. 5 

11.0 

{') 

2.2 

1.0 

32. 8 

7.0 


175.0 
11.5 

12.5 
2. 2 
5. 5 

11.0 

23.8 
1. 5 
2.2 
1.0 

32. 8 
4.6 
4. 4 


245. 
11.5 

12. 5 
2. 2 
5. 5 

11. 

23.8 
1.5 
2. 2 
1.0 

32.8 
4. 6 
4. 4 


225. 
' 11.5 

12.5 
2.2 
5.5 

U. 

23.8 
1.5 
2. 2 
1.0 

32. 8 
4.6 
4. 4 


75. 
100 


Intergovernmental Committee for European 
Migration (ICEM) * 


100 


UN Refugee Fund 


loao 

100 


Children's Fund 


100 


United Nations Relief and Worlis Agency: 
unobligated balance ' 


100 


NATO civilian headquarters * 

Ocean freight voluntary relief 

Control act expenses 


55. 6 

100.0 

76 9 


.Administrative expenses (Sec. 411 (b)) . . 
Administrative expenses (State Sec. 411 (c)) * . 
Atoms-for-peace program — Total 


93. 7 

100.0 

62.9 


New funds appropriated 


7.0 


7.0 










Unobligated balance .... . . 


4. 4 


4. 4 


4. 4 













Soukce: OflBce of Statistics and Reports, International Cooperation Administration, Sept. 16, 1957. 

1 Appropriation of new funds plus funds reappropriated. 

- No comparable figure in authorization legislation; this column applicable to new funds only. 

' Excludes $100 million automatically continued available in fiscal year 1958 as follows: $96.1 million for President's 
fund for Asian economic development; $3.9 million for technical cooperation fund for Latin America. 

' To remain available through Dec. 31, 1958. 

' Public Law 85-141 authorizes an additional appropriation of $625 million for fiscal year 1959. 

* To remain available until expended. ' To remain available until Sept. 30, 1958. ' Programs authorized in 

prior year legislation. 



October 14, 1957 



615 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Inscription of Hungarian Question 
on General Assembly Agenda 

Following are the texts of two statements hy 
Henry Cabot Lodge^ U.S. Representative to the 
U.N. General Assembly, on the inscription of the 
Hungarian question on the ageruJ,a of the 12th 
General Assembly. 



STATEMENT 
TEMBER 19 



IN GENERAL COMMITTEE, SEP- 



D.S. delegation press release 2731 

I do not imagine for a second that anything that 
I say can have any effect on the speeches of the 
Soviet representative, which always seem to be 
concocted in the light of some old-fashioned and 
rather weird dogma and not on the basis of real- 
ity. But in view of the many uncomplimentary 
remarks that have been made by him and by the 
two other speakers about the United States, I will 
simply say that there are no "ruling circles" in 
Ameiica. In America the people rule. Anybody 
who has been in public life m America, as I have, 
knows very well that the people express their 
views frequently and in no uncertain manner to 
their politicians. 

I would like also to say that there are no "reac- 
tionary forces" — that's a favorite word — there 
are no "reactionary forces" in American politics. 
No politician in America could ever get elected to 
anything on a reactionary program. That is a 
political death sentence. 

While I am on the subject of reactionary, I 
do not think that anyone aroimd this table has 
ever done anything quite as reactionary as Mr. 
Molotov did when he made his pact with Mr. Rib- 
bentrop at the time of World War II. That, to 
my mind, is somewhat of a record for reaction. 

When it comes to counterrevolutionary activ- 
ity, that implies that the Russian revolution of 
1917 was the last revolution. Of course, it is no 
such thing. The world is in a state of evolution, 
and as a revolution that one is way, way far be- 
hind. So I think they ought to get up to date. 



Let me say that all the contentions which were 
made here by the Soviet representative and the two 
other speakers were all made at length last week 
in the Assembly. They were all heard by the 
Assembly, and they were resoundingly rejected 
by a vote of 60 to 10.^ You really can't get beaten 
much worse than that. 

Now, in resolution 1133, which was passed by a 
vote of 60 to 10, there was a final paragraph wliich 
provided for placing the question of Hungary on 
the provisional agenda of the present session of 
the General Assembly. That was a deliberate de- 
cision of the 11th Assembly. This decision was 
fully in keeping with the spirit of constructive 
hope which animated the entire resolution. 

By its action the General Assembly recognized 
that the tragedy of Hungary continues; every 
day men and women in Hungary are being ar- 
rested; they are being tried; they are being im- 
prisoned ; and, Mr. President, they ai-e being shot, 
simply because they sought freedom and inde- 
pendence for their homeland. 

In such a situation it is the clear duty of the 
United Nations to face up to the facts and to do 
everything in its power to relieve the sufferings 
of the Hungarian people. That is why we in the 
11th General Assembly took the historic step of 
appointing Prince Wan of Thailand as our special 
representative to take action to achieve the objec- 
tives of the United Nations and to make an appro- 
priate report and recommendations to the Genei'al 
Assembly. That is why I very respectfully sub- 
mit to this Committee we should today show that 
we are keeping the Hungarian question in the fore- 
front of our attention by heeding this paragraph, 
which was adopted by a vote of 60 to 10, and by 
inscribing this item on the agenda of the 12th 
regular session. 

Mr. President, I will respect your statement 
earlier in the meeting and not speak at this stage 
regarding allocation of the item, but I do intend 
to s|3eak on that at the proper time. 



' For a statement by Ambassador Lodge in the 11th 
(resumed) session, together with the text of the resolu- 
tion, see Bulletin of Sept. 30, 1957, p. 515. 



616 



Department of State Bulletin 



(In a further statement, Mr. Lodge replied as follows:) 

jNIr. President, I merely wish to say that I thor- 
oughly applaud your efforts to keep these discus- 
sions within limits, and I shall support them. I 
will say to the Soviet representative what I have 
said many, many times, and I might as well repeat 
it at this session, that I will never begin an attack 
on the Soviet Union. I have never started one in 
the 4 years that I have been here, but, whenever 
he attacks the United States, then I will be bound 
to answer, just as every single man aromid this 
table is bound to answer to defend his own govern- 
ment. Now, he accused the United States of being 
reactionary, so I answered him in what I think 
was a fair and a very pertinent way. 



STATEMENT IN PLENARY, SEPTEMBER 23 

U.S. delegation press release 2737 

It is really scarcely believable that anyone 
should seriously oppose the inscription of this 
item. By the resounding vote of 60 to 10, the 
11th General Assembly recommended that the 
question of Hungary be placed on the agenda of 
this session. And, really, that ought to be enough. 
This recommendation was endorsed last Thursday 
in the General Committee by a vote of 13 to 2. 

There are those who claim — and we have heard 
at least one of them this afternoon — that there 
is no problem in Hungary — it just doesn't exist. 
These, I might say, are the same people who 
continue to occupy Hungary and to impose foreign 
rule upon the Hungarian people. The same people 
refuse to allow an impartial investigation. If 
they had nothing to hide, why do they refuse to 
allow the investigation? 

At this moment those Hungarians who object — 
and it is to the everlasting credit of the human 
race there are still many of them — continue to be 
arrested, imprisoned, and shot. 

Tlie statement that is made that it was all a 
Fascist putsch was not found to have one shred 
of substantiation by the investigators. It is cer- 
tainly not seriously to be believed that the Amer- 
ica which was led by Franklin D. Roosevelt and 
which furnished General Dwight D. Eisenhower 
as its military leader in the great war against 
fascism should suddenly turn around and try to 
promote fascism. 

The fact is that all the arguments which were 
made today were made here right in this hall 10 



days ago, and they were made in the General 
Committee last Thursday and were all over- 
whelmingly rejected. 

It seems to us that it is the clear duty of this 
Assembly to keep the problem of Hungary in the 
forefront of its considerations. We owe it to the 
Hungarian people and to ourselves to mobilize the 
powerful influence of this body in favor of true 
freedom and independence for Hungary.^ 



U.S. Delegations to 
International Conferences 

U.N. General Assembly 

The United States delegation to the 12th ses- 
sion of the U.N. General Assembly, which con- 
vened at New York on September 17, is as follows : 

United States Representatives 

Henry Cabot Lodge, Permanent U.S. Representative to 

the United Nations 
A. S. J. Carnahan, House of Representatives 
Walter H. Judd, House of Representatives 
George Meany 
Herman B. Wells 

Alternate United States Representatives 

James J. Wadsworth, Deputy U.S. Representative to the 

United Nations.' 
Irene Dunne (Mrs. Francis D. GrifBn) 
Philip M. Klutznick 
Mary P. Lord (Mrs. Oswald B. Lord) 
Genoa S. Washington 

Special Adviser 

Francis O. Wilcox, Assistant Secretarj of State for Inter- 
national Organization Affairs 

Counselor of Delegation 

James W. Barco, Deputy U.S. Representative in the 
Security Council 

Advisers 

Mason Sears, U.S. Representative on the Trusteeship 

Council 
Neil H. Jacoby, U.S. Representative on the Economic 

and Social Council 
Ware Adams, Director, Office of United Nations Political 

and Security Affairs, Department of State 
Norman Armour, Jr., Political and Security Affairs, U.S. 

Mission to the United Nations 



' The General Assembly on Sept. 23, by a vote of 57 to 
10, with 6 abstentions, decided to place the item on the 
agenda. 

' On Sept. 26 James W. Barco was appointed to serve 
as an alternate representative during the absence of Am- 
bassador Wadsworth. 



October 14, 1957 



617 



Thomas A. Bartlett, Eeonouiic and Social Affairs, U.S. 
Mission to the United Nations 

Albert F. Bender, Jr., Legal and International Organiza- 
tion Affairs, U.S. Mission to the United Nations 

Blackshear M. Bryan, Lt. Gen., USA, Military Staff 
Committee 

Uoy J. Bullock, Staff Consultant, Committee on Foreign 
Affairs, House of Representatives 

William I. Cargo, Deputy Director, Office of U.N. Political 
and Security Affairs, Department of State 

Francis W. Carpenter, Director, News Services, U.S. 
Mission to the United Nations 

Charle.s D. Cook. Deputy to the Counselor, U.S. Mis.sion 
to the United Nations 

Elizabeth Driscoll, Office of Dependent Area Affairs, De- 
partment of State 

Seymour Finger, Economic and Social Affairs, U.S. 
Mission to the United Nations 

John E. Fobes, Director, Office of International Adminis- 
tration, Department of State 

Benjamin Gerig, Director, Office of Dependent Area 
Affairs, Department of State 

William E. Hall, Lt. Gen., USAF, Military Staff Committee 

John W. Hanes, Jr., Deputy Assistant Secretary of State 
for International Organization Affairs 

Franklin Hawley, Office of U.N. Political and Security 
Affairs, Department of State 

Mrs. Dorothy Crook Hazard, Press Officer, U.S. Mission 
to the United Nations 

Warren E. Hewitt, Office of tlie Legal Adviser, Depart- 
ment of State 

Elizabeth F. Hitchcock, Public Affairs, U.S. Mission to 
the United Nations 

Wallace Irwin, Jr., Director. Public Services, U.S. Mission 
to the United Nations 

J. Jefferson Jones III, Director, Office of South Asian 
Affairs, Department of State 

James W. Kelly, Sca-ctan/ of Dclccjation, Deputy Execu- 
tive Director, U.S. Mission to the United Nations 

Ernest L. Kerley, Office of the T>egal Adviser, Department 
of State 

George D. LaMont. Deputy Director, Office of Soutlieni 
Africa Affairs, Department of State 

Alan W. Lukeus, News Division, Department of State 

F. W. MacMahon, Vice Adm., USN, Military Staff Com- 
mittee 

Mrs. Carmel Carrington Marr, Political and Legal Affairs, 
U.S. Mission to the United Nations 

Robert G. McGregor, Deputy Director, Office of Dependent 
Area Affairs, Department of State 

Leonard C. Meeker, Assistant Legal Adviser for U.N. 
Affairs, Department of State 

Franklin L. Mewshaw, Political and Security Affairs, 
U.S. Mission to the United Nations. 

Daniel O. Newberry, Press Officer, U.S. Mission to the 
United Nations 

George H. Owen, Foreign Service Officer, Department of 
State 

Howard L. I'arsons, Director, Office of Northeast Asian 

Affairs, Department of State 
Richard F. Pederson, Political and Security Affairs, U.S. 
Mission to the L'nited Nations 



John E. Pickering, Information Officer, U.S. Information 

Agency 
James W. Pratt, Political and Security Affairs, U.S. 

Mission to the United Nations 
Edward J. Rowell, Office of International Economic and 

Social Affairs, Department of State 
Joseph J. Sisco, Office of U.N. Political and Security 

Affairs, Department of State 
Edward H. Springer, Protocol Officer, U.S. Mis.sion to the 

United Nations 
William J. Stibravy, Office of International Financial and 

Development Affairs, Department of State 
Peter S. Thacher, Political and Security Affairs, U.S. 

Mission to the United Nations 
William R. Tyler, Director, Office of Western European 

Affairs, Department of State 
Walter N. Walmsley, Jr., Deputy Assistant Secretary of 

State for International Organization Affairs 
.Vlbert S. Watson, Executive Director, U.S. Mission to 

the United Nations 
-Mr.s. Virginia Westfall, Office of International Adminis- 
tration, Department of State 
John T. Wheelock, Office of Dependent Area Affairs, 

Department of State 
Kenneth T. Young, Jr., Director, Office of Southeast Asian 

Affairs, Department of State 

International Atomic Energy Agency 

The Department of State announced on Sep- 
tember 27 (press relestse 548) that the United 
States will be represented by the following dele- 
gation at the first session of the General Confer- 
ence of tlte International Atomic Energy Agency 
(IAEA), whicli will convene at Vienna, Austria, 
on October 1 : 

U.S. Representative 

Lewis L. Strauss, chairman, Atomic Energy Commission 
4 Iternate U.S. Representatives 

Robert M. McKinney, U.S. Representative to the Inter- 
national Atomic Energy Agency, Vienna 
James J. Wadsworth, Deputy U.S. Representative to the 
United Nations 

Congress iona I Advisers 
W. Sterling Cole, House of Representatives 
Carl T. Durham, House of Representatives 
Bourke B. Hickenlooper, U.S. Senate 
John O. Pastore, U.S. Senate 

Senior Advisers 

Harold C. Vedeler, U.S. Mission to the Internation.il 

Atomic Energy Agency, Vienna 
John A. Hall, director. Division of International Affairs. 

Atomic Energy Commis.sion 
David W. AVainhonse, Coun.selor of Embassy, American 

Embassy, Vienna 

.Advisers 

Kathleen Bell, Department of State 

W. Tapley Bennett, Jr., American Embassy, Vienna 



618 



Department of State Bulletin 



Richard C. Breithut, Departjueut of State 

Dwight M. Cramer, Department of State 

Alau W. Ford, Department of State 

UioUard L. Kirk, Atomic Knersy Commission 

Paul W. MoDaniel, Atomic Euersy Commission 

James T. Ramey, Joint Committee on Atomic Energy 

Luther J. Reid, Department of State 

Paul A. Toussaint, Department of State 

Albert S. Watson, U.S. Mission to the United Nations 

Algie A. Wells, Atomic Energy Commission 

Special Assistants to the U.S. Representative 
Paul F. Foster, Atomic Energy Commission 
Everett R. Holies, Atomic Energy Commission 

Secretary of Delegation 

Emery R. Kiraly, Department of State 

Congressional Observers 

John J. Dempsey, House of Representatives 

Chet Holifield, House of Representatives 

Albert Gore, U.S. Senate 

James T. Patterson, House of Representatives 

Melvin Price, House of Representatives 

James E. Van Zandt, House of Representatives 

Staff Observers 

George Norris, Joint Committee on Atomic Energy 

David R. Toll, Joint Committee on Atomic Energy 

Thomas D. Huff, Department of State 

Byron F. LaPlante, Atomic Energy Commission 

The idea of creating an International Atomic 
Energy Agency was first proposed by President 
Eisenhower in his atoms-for-peace speech before 
the General Assembly of the United Nations on 
December 8, 1953. The text of the present statute 
was unanimously approved by an 81-nation con- 
ference at U.N. Headquarters in New York City 
on October 26, 1956. The President of the United 
States ratified the statute on July 29, 1957, and 
the statute came into force also on July 29, 1957. 
To date, 46 other countries have deposited in- 
struments of ratification. 

The Agency, in seeking to accelerate and en- 
large the contribution of atomic energy to peace, 
health, and prosperity throughout the world, is 
authorized to perform operations or services use- 
ful in research on, or practical application or de- 
velopment of, atomic energy for peaceful uses. 

The 80 nations which signed the statute during 
the 00 days it was open for signature are either 
members of the United Nations or of its special- 
ized agencies and are eligible to become charter 
members of the IAEA. In addition, other mem- 
bers may be admitted after their membersliips 
have been approved by the General Conference, 
upon the recommendation of the Board of Gover- 



nors, due consideration having been given to tlieir 
ability and willingness to act in accordance with 
the purposes and principles of the charter of the 
United Nations. 

Robert M. McKinney was appointed by the 
President on September 19, under a recess ap- 
pointment, as the U.S. member of the Board of 
Governors. 

Items on the agenda include election of the final 
10 member states of the 23-member Board of 
Governors, appointment of a Director General, 
program and budget for the first year, determi- 
nation of permanent headquarters of the Agency, 
and relationship agreement with the United 
Nations. 



Agenda of the 12th Regular Session 
of the U.N. General Assembly ^ 

U.N. doc. A/3680 dated September 24 

1. Opening of the session by the Chairman of the dele- 
gation of Thailand 

2. Minute of silent prayer or meditation 

3. Credentials of representatives to the tv^elfth session 
of the General Assembly : 

(a) Appointment of the Credentials Committee: 

(b) Report of the Credentials Committee 

4. Election of the President 

.5. Constitution of the Main Committees and election of 
officers 

6. Election of Vice-Presidents 

7. Notification by the Secretary-General under Article 
12, paragraph 2, of the Charter 

5. Adoption of the agenda 

9. Opening of the general debate 

10. Report of the Secretary-General on the work of the 
Organization 

11. Report of the Security Council 

12. Report of the Economic and Social Council 
1.3. Report of the Trusteeship Council 

14. Election of three non-permanent members of the 
Security Council 

15. Election of six members of the Economic and Social 
Council 

l(i. Election of five members of the International Court 

of Justice 
17. Appointment of the Secretary-General of the United 

Nations 



' Adopted by the General Assembly at plenary sessions 
on Sept. 20, 23, and 24, 19.57. On Oct. 1 the General As- 
sembly decided to Include the following additional items 
in the agenda (U.N. doc. A/36S0/Add. 1) : 
24 ( d ) . Discontinuance under international control of tests 
of atomic and hydrogen weapons. 
66. Declaration concerning the peaceful co-existence of 
States. 



October 14, 1957 



619 



18. Draft relationship agreement between the United Na- 
tions and the International Atomic Energy Agency : 
report of the Advisory Committee on the Peaceful 
Uses of Atomic Energy 

19. Question of amending the United Nations Charter in 
accordance with the procedure laid down in Article 
108 of the Charter, to increase the number of non- 
permanent members of the Security Council and the 
number of votes required for decisions of the Council 

20. Question of amending the United Nations Charter in 
accordance with the procedure laid down in Article 
108 of the Charter, to increase the membership of the 
Economic and Social Council 

21. Question of amending the Statute of the Interna- 
tional Court of Justice, in accordance with the pro- 
cedure laid down in Article 108 of the Charter of the 
United Nations and Article 69 of the Statute of the 
Court with respect to an increase in the number of 
judges of the International Court of Justice 

22. Report of the Committee on arrangements for a Con- 
ference for the purpose of reviewing the Charter 

23. The Korean question : report of the United Nations 
Commission on the Unification and Rehabilitation of 
Korea 

24. Regulation, limitation and balanced reduction of all 
armed forces and all armaments ; conclusion of an 
international Convention (treaty) on the reduction 
of armaments and the prohibition of atomic, hydro- 
gen and other weapons of mass destruction : 

(a) Report of the Disarmament Commission; 

(b) Expansion of the membership of the Disarma- 
ment Commission and of its Sub-Committee ; 

(c) Collective action to inform and enlighten the 
peoples of the world as to the dangers of the 
armaments race, and particularly as to the de- 
structive effects of modern weapons 

25. Admission of new Members to the United Nations 

26. Report of the Director of the United Nations Relief 
and Works Agency for Palestine Refugees in the Near 
East 

27. Report of the Agent General of the United Nations 
Korean Reconstruction Agency 

28. Economic development of under-developed countries. 
Question of the establishment of a Special United 
Nations Fund for Economic Development : final and 
supplementary reports of the Ad Hoc Committee, and 
recommendations of the Economic and Social Council 

29. Programmes of technical assistance: 

(a) Report of the Economic and Social Council; 

(b) Confirmation of allocation of funds under the 
Expanded Programme of Technical Assistance 

30. Report of the United Nations High Commissioner for 
Refugees 

31. Review of the arrangements for the Oifice of the 
United Nations High Commissioner for Refugees 

32. Recommendations concerning international respect 
for the right of peoples and nations to self-determina- 
tion 



33. Draft International Covenants on Human Rights ' 

34. Draft Convention on Freedom of Information : report 
of the Economic and Social Council 

35. Information from Non-Self-Governing Territories ' 
transmitted under Article 73 e of the Charter : reports 
of the Secretary-General and of the Committee on 

Information from Non-Self -Governing Territories: i 

1 

(a) Information on economic conditions; ' 

(b) Information on other conditions ; j 

(c) General questions relating to the transmission 
and examination of information ; 

(d) Offers of study and training facilities under 
resolutions 845 (IX) of 22 November 1954 and ', 
931 (X) of 8 November 1955; ; 

(e) Methods of reproducing summaries of informa- ] 
tion concerning Non-Self -Governing Territories : | 
report of the Secretary-General 

36. Election to fill vacancies in the membership of the i 
Committee on Information from Non-Self-Governing j 
Territories j 

37. Tlie future of Togoland under French administration : 
report of the Trusteeship Council j 

38. Question of South West Africa : 

(a) Report of the Committee on South West Africa; ' 

(b) Study of legal action to ensure the fulfilment of 
the obligations assumed by the Mandatory Power 
under the Mandate for South West Africa : special j 
report of the Committee on South West Africa; 

(c) Election of three members of the Committee on I 

1 
South West Africa 

39. Question of the frontier between the Ti'ust Territory ) 
of Somaliland under Italian administration and ' 
Ethiopia : reports of the Governments of Ethiopia and I 
of Italy ' 

40. Supplementary estimates for the financial year 1957 

41. Budget estimates for the financial year 1958 i; 

42. Appointments to fill vacancies in the membership of I 
subsidiary bodies of the General Assembly : 

(a) Advisory Committee on Administrative and ' 
Budgetary Questions ; 1 

(b) Committee on Contributions; 

(c) Board of Auditors ; « 

(d) Investments Committee: confirmation of the ap- 
pointment made by the Secretary-General ; ' 

(e) United Nations Administrative Tribunal . 

43. Report of the Negotiating Committee for Extra-Bud- ' 
getary Funds ' 

44. Scale of assessments for the apportionment of the ; 
expenses of the United Nations: report of the Com- , 
mittee on Contributions i 

45. United Nations Joint Staff Pension Fund : 

(a) Annual report of the United Nations Joint Staff 
Pension Board ; 

(b) Report of the United Nations Joint Staff Pension 
Board on the fourth actuarial valuation of the 
United Nations Joint Staff Pension Fund as of 
30 September 1956, and second review of the liasic 
tables of the Fund 



620 



Department of State Bulletin 



4G. Audit reports relating to expenditure by specialized 
agencies of technical assistance funds allocated from 
the Special Account 

47. Review of audit procedures of the United Nations and 
the specialized agencies 

4S. Administrative and budgetary co-ordination between 
the United Nations and the specialized agencies : re- 
ports of the Secretary-General and of the Advisory 
Committee on Administrative and Budgetary Ques- 
tions 

49. Financial reports and accounts and reports of the 

Board of Auditors : 

(a) United Nations (for the financial year ended 31 
December 1956) ; 

(b) United Nations Children's Fund (for the financial 
year ended 31 December 19.56) ; 

(c) United Nations Korean Reconstruction Agency 
(for the financial year ended 30 June 1957) ; 

(d) United Nations Refugee Fund (for the financial 
year ended 31 December 1956) 

50. Offer by the Government of Chile of land in Santiago 
to be used as office site for the United Nations and 
other international organizations 

51. Personnel questions : 

(a) United Nations salary, allowance and benefits 
system : outstanding questions from the eleventh 
session ; 

(b) Question of the geographical distribution of the 
staff of the Secretariat of the United Nations : 
report of the Secretary-General ; 

(c) Question of the proportion of fixed-term staff: 
report of the Secretary-General ; 

(d) Review of the staff regulations and of the prin- 
ciples and standards progressively applied there- 
to : report of the Secretary-General ; 

(e) Proposal to amend article 9 of the Statute of the 
United Nations Administrative Tribunal : report 
of the Secretary-General 

52. United Nations International School: report of the 
Secretary-General 

53. Report of the International Law Commission on the 
work of its ninth session 

54. Question of defining aggression : report of the Special 
Committee 

55. Draft Code of Offences against the Peace and Security 
of Mankind 

56. International criminal jurisdiction 

57. Effects of atomic radiation 

58. The Cyprus question 

59. The question of Algeria 

60. The question of race conflict in South Africa resulting 
from the policies of apartheid of the Government of 
the Union of South Africa 

61. Treatment of people of Indian origin in the Union of 
South Africa : reports of the Governments of India 
and of Pakistan 

62. The question of West Irian (West New Guinea) 

63. The question of Hungary 



64. Clearance of the Suez Canal : report of the Secretary- 
General 

65. United Nations Emergency Force : report of the Secre- 
tary-General 



Current U.N. Documents: 
A Selected Bibliography 



Security Council 

Letter Dated 27 May 1957 from the Chairman of the 
Council of the Organization of American States to the 
Secretary-General, Transmitting the Report of the In- 
vestigating Committee on the Situation Between Hon- 
duras and Nicaragua. S/3S56, July 30, 1957. 40 pp. 
mimeo. 

Letter Dated 23 July 1957 from the Chairman of the 
Council of the Organization of American States, Ad- 
dressed to the Secretary-General, Transmitting the 
Text of the Agreement Signed by the Ministers of 
Foreign Affairs of Honduras and Nicaragua on 21 July 
1957. S/3859, August 5, 1957. 7 pp. mimeo. 

Letter Dated 8 July 1957 from the Chairman of the 
Council of the Organization of American States to 
the Secretary-General, Transmitting the Resolution 
Adopted on 5 July 1957 on the Situation Between Hon- 
duras and Nicaragua. S/3857/Rev. 1, August 7, 1957. 
15 pp. mimeo. 



General Assembly 

International Law Commission. Report on Consular 
Intercourse and Immunities by Jaroslav Zourek, Special 
Rapporteur. A/CN.4/108, April 15, 1957. 94 pp. mimeo. 

International Law Commission. Report of the Interna- 
tional Law Commission Covering the Work of Its Ninth 
Session. A/CN.4/110, July 4, 1957. 37 pp. mimeo. 

Constitutions, Electoral Laws and Other Legal Instru- 
ments Relating to Political Rights of Women. Memo- 
randum by the Secretary-General. A/3627, August 7, 
1957. 19 pp. mimeo. 

Proposal to Amend Article 9 of the Statute of the United 
Nations Administrative Tribunal. Report of the Sec- 
retary-General. A/3629, Augiist 8, 1957. 8 pp. mimeo. 

Budget Estimates for the Financial Year 1958. Revised 
Estimates for Sections 6, 7, 8 and 13. Report by the 
Secretary-General. A/C.5/710, August 22, 1957. 7 pp. 
mimeo. 

Secretariat of the Military Staff Committee. Report by 
the Secretary-General. A/C.5/709, August 26, 1957. 14 
pp. mimeo. 

International Criminal Jurisdiction. Note by the Secre- 
tary-General. A/3649, August 28, 1957. 4 pp. mimeo. 

Draft Code of Offences Against the Peace and Security 
of Mankind. Note by the Secretary-General. A/3650, 
August 28, 1957. 4 pp. mimeo. 

Questions Relating to Economic Development. Memoran- 
dum by the Secretary-General. A/3661, September 12, 
1957. 7 pp. mimeo. 

Report of the Negotiating Committee for Extra-Budgetary 
Funds. A/3(i68, September 18, 1957. 12 pp. mimeo. 

Review of the Arrangements for the Office of the United 
Nations High Commissioner for Refugees. Note by the 
Secretary-General. A/3669, September 19, 1957. 2 pp. 
mimeo. 

Report of the Ad Hoc Commission on Prisoners of War on 
the Work of Its Seventh Session. A/AC.46/21, Sep- 
tember 19, 1957. 33 pp. mimeo. 



October 14, 1957 



621 



TREATY INFORMATION 



Income-Tax Agreements 

With United Kingdom and Belgium 

PROTOCOL OF AUGUST 19 WITH U.K. 

Press release 523 dated September 16 
Department Announcement 

Tlie text is given below of the supplementary 
income-tax protocol between the United States 
and the United Kingdom signed at Washington 
on August 19, 1957.^ It was not possible to com- 
plete the arrangements for submitting the proto- 
col to the Senate prior to the adjournment of the 
first session of the 85th Congress; so copies of a 
Senate document containing the text thereof are 
not available. Because of the widespread interest 
in the protocol and the modification which it 
effects in the 1945 income-tax convention, as 
modified by supplementary protocols of 1946 ^ and 
1954,^ it is considered desirable to release the text 
in a form suitable for distribution. 

Text of Protocol 

.Supplementary Pp.otocol Betwekn thk United States 
OF America and the Unitf;d Kingdom of Great 
Britain and Noetheen Ireland Amending the 
con\'ention for the avoidance of double tax- 
ation and the i^revention of fiscal evasion 
AViTH Respect to Taxes on Income, Signed at 
Washington on the 16th April 1945, as Modi- 
fied i!T the Supplementary Protocol Signed at 
Washington on the 6th June 1946 and by the 
Supplementary Protocol Signed at Washington 
on the 25th May 19.54 

The Government of the United States of America and 
the Government of the United Kingdom of Great Britain 
and Northern Ireland, 

Etesiring to conclude a further supplementary Proto- 
col amending the Convention for the Avoidance of 
Double Taxation and the Prevention of Fiscal Evasion 
with respect to Taxes on Income, signed at Washington 
on the Kith April 1945, as modified by the supplementary 



' For an announcement of the signing, see Bulletin 
of Sept. 9. 1957, p. 444. 
'60 Stat. 1377. 
'Treaties and Other International Acts Series 3165. 



Protocol signed at Washington on the 6th June 1946 and 
by the supplementai-y Protocol signed at Washington 
on the 25th May 1954, 
Have agreed as follows : 

Article I 

Paragraphs (1) and (2) of Article VIII of the Conven- 
tion of the 16th April 1945 for the Avoidance of Double 
Taxation and the Prevention of Fiscal Evasion with re- 
spect to taxes on income are hereby amended to read as 
follows : 

"(1) Royalties and other amounts paid as considera- 
tion for the use of, or for the privilege of using, copy- 
rights, patents, designs, secret processes and formulae, 
trade marks, and other like property, and derived from 
sources within the United States by a resident of the 
United Kingdom who is .subject to United Kingdom tax on 
such royalties or other amounts shall be exempt from 
United States tax (a) if such resident is not engaged in 
trade or business in the United States through a perma- 
nent establishment situated therein or (b) if such resident 
is so engaged, the royalties or other amounts are not 
directly associated with the business carried on through 
that permanent establishment. 

"(2) Royalties and other amounts paid as considera- 
tion for the use of, or for the i)rivilege of using, copy- 
rights, patents, designs, secret processes and formulae, 
trade marks and other like property, and derived from 
sources within the United Kingdom by a resident of the 
United States who is subject to United States tax on such 
royalties or other amounts shall be exempt from United 
Kingdom tax (a) if such resident is not engaged in trade 
or business in the United Kingdom through a permanent 
establishment .situated therein or (b) if such resident is 
so engaged, the royalties or other amounts are not directly 
associated with the business carried on through that 
permanent establishment." 

Article II 
Paragraph (1) of Article XIII of the said Convention is 
liereby amended to read as follows : 

" (1 ) Subject to Sections 901 to 905 of the United States 
Internal Revenue Code as in effect on the 1st day of 
January 1956, United Kingdom tax shall be allowed as 
a credit against United States tax. For this purpose 

(a) the recipient of a dividend paid by a corporation 
which is a resident of the United Kingdom shall be 
deemed to have paid the United Kingdom tax ap- 
propriate to such dividend, and 

(li) the recipient of any royalty or other amount com- 
ing within the scope of Article VIII of the pre.sent 
convention shall be deemed to have paid any United 
Kingdom ta.^ legally deducted from the royalty or 
other amount by the person by or through whom 
any payment thereof is made, 

if the recipient of the dividend or royalty or other amount, 
as the case may be, elects to include in his gross income 
for the purposes of United States tax the amount of such 
United Kingdom income tax." 



622 



Department of Slate Bulletin 



Article III 

(1) This supplementary Protocol shall be ratified and 
the instruments of ratification shall be exchanged at 
London as soon as possible. 

(2) This supplementary Protocol shall enter into force 
upon the exchange of instruments of ratification and shall 
thereupon have effect — 

(a) In the United Kingdom : 

(i) as respects income tax and surtax for any year 
of assessment beginning on or after the 6th 
April 1056; 
(ii) as respects profits tax for any chargeable account- 
ing period beginning on or after the 1st April 
1956, and for the unexpired portion of any 
chargeable accounting period current at that 
date. 

(b) In the United States : 

As respects taxable years beginning on or after 
the 1st January 1956. 

In witness whereof the undersigned, being authorized 
thereto by their respective Governments, have signed this 
supplementary Protocol and have atfixed thereto their 
seals. 

Done in duplicate at Washington this nineteenth day 
of August, 1957. 
For the Government of the United States of America : 

John Foster Dui-les 
For the Government of the United Kingdom of Great 

Britain and Northern Ireland : 

Harold Caccia 



NOTIFICATION OF EXTENSION TO CERTAIN 
BRITISH TERRITORIES 

Press release 520 dated September 16 
Department Announcement 

The text is given below of the formal notifica- 
tion given on August 19, 1957, to the Government 
of the United States by the Government of the 
United Kingdom, in accordance with article 
XXII of the income-tax convention of 1945, as 
modified by the supplementary protocols of 1946, 
1954, and 1957, with a view to extending tlie op- 
eration of that convention, as modified, to certain 
territories for the international relations of which 
the United Kingdom is responsible. 

The proposed extension will not be effective un- 
til tlie United States Government formally ac- 
("epts the notification from the United Kingdom 
Government. Such acceptance will be possible 
only after Senate approval of the proposed ex- 
tension. It was not possible to complete the ar- 
rangements for submitting tlie notification to the 



Senate prior to the adjournment of the first session 
of the 85th Congress ; so copies of a Senate docu- 
ment containing the text thereof are not available. 
Because of the widespread interest in the pro- 
posed extension, it is considered desirable to re- 
lease the text of the note of August 19, 1957, with 
annex, from the British Ambassador to the Secre- 
tary of State, constituting the notification above- 
mentioned. 

Text of U.K. Note 

British Embassy, 

Washington, D.C. 

August 19, 1957 

No. 554 

Sir, I have the honour, upon instructions of Her 
Majesty's Principal Secretary of State for Foreign 
Affairs, to refer to the Convention between the 
Government of the United Kingdom of Great 
Britain and Northern Ireland and the Government 
of the United States of America for the Avoidance 
of Double Taxation and the Prevention of Fiscal 
Evasion with respect to Taxes on Income signed 
at Washington on the 16th of April, 1945, as modi- 
fied by the Supplementary Protocols signed at 
Washington on the 6th of June, 1946, the 25th of 
May, 1954, and the 19th of August, 1957. 

In accordance with the provisions of Article 
XXII of the above-mentioned Convention, as 
amended by the Supplementary Protocol of the 
25th of May, 1954, Her Majesty's Government in 
the United Kingdom desire that the application of 
the Convention should be extended to the terri- 
tories named in the Annex to this note, subject 
to the modifications and with effect from the dates 
specified therein. 

If the present notification is acceptable to the 
Government of the United States of America, I 
have the honour to request that you will be so good 
as to inform me accordingly and confirm that the 
desired application of the Convention to the terri- 
tories in question shall take effect from the dates 
specified in the Annex to this Note. 

I avail myself of this opportunity to renew to 
you the assurance of my highest consideration. 

Harold Caccia 

The Honorable 

John Foster Dulles, 
Secretai'^ of State, 

Washington 25, D. C. 



Ocfober 74, 7957 



623 



ANNEX 

, Table of Territories to "Which the Convention of the 
16th April, 1945, for the Avoidance of Double Taxation 
and the Prevention of Fiscal Evasion With Respect to 
Taxes on Income Is To Be Extended in Accordance With 
Article XXII of the Said Convention as Amended, Sub- 
ject to the Conditions Set Out in Paragraphs II and III 
of This Annex. 



Column (1) 
Aden 
Antigua 
Barbados 
British Honduras 

Cyprus 
Dominica 
Falkland Islands 
Gambia 
Grenada 

Jamaica 

Montserrat 
Nigeria, Federation 

of 
Rhodesia and Nyasa- 

land, Federation of 



St. Christopher, 
Nevis and Anguil- 
la 

St. Lucia 

St. Vincent 

Seychelles 

Sierra Leone 



Trinidad and Tobago 

Virgin Islands 



Column (2) 

Income Tax 

Income Tax 

Income Tax 

Income Tax (includ- 
ing Surtax) 

Income Tax 

Income Tax 

Income Tax 

Income Tax 

Income Tax (includ- 
ing Surtax) 

Income Tax (includ- 
ing Surtax) 

Income Tax 

Income Tax 

Income Tax, Super 
Tax and Undis- 
tributed Profits 
Tax 

Income Tax 



Income Tax 

Income Tax 

Income Tax 

The Income Tax, the 
duty on profits 
charged under the 
Concessions Ordi- 
nance, 1931, the 
diamond industry 
Profits Tax and 
the Iron Ore Con- 
cessions Tax 

Income Tax 

Income Tax 



Column (3) 
1st April 
1st January 
1st January 
1st January 

1st January 
1st January 
1st January 
1st January 
1st January 

1st January 

1st January 
1st AprU 

1st AprU 



1st January 



1st January 
1st January 
1st January 
1st April 



1st January 
1st January 



II. Application 

(a) The said Convention as modified shall apply in 
the case of each territory mentioned in Column (1) of 
the above Table, 

(1) as if the Contracting Parties were the Govern- 
ment of the United States of America and the 
Government of that territory ; 

(2) as if the taxes concerned in the case of each terri- 
tory were those mentioned opposite the name of 
that territory in Column (2) of the above Table; 
provided that for the purposes only of the appli- 
cation of Article XIII (1) of the Convention to 
the Federation of Rhodesia and Nyasaland the 
taxes concerned shall include the Territorial Sur- 
charges charged in Northern Rhodesia, Nyasaland 
and Southern Rhodesia ; 

(3) as if references to "the date of signature of the 
present Convention" were references to the date of 
the reply from the United States Government to 



the note from the United Kingdom Government 
of the 19th of August, 1957, relating hereto ; 
(4) as if reference to the 6th day of April were ref- 
erences to the date opposite the name of each terri- 
tory in Column (3) of the above Table. 

(b) When the last of those measures shall have been 
taken in the United States of America and in any terri- 
tory named in the above Table necessary to give the 
present extension the force of law In the United States 
of America and in such territory, respectively, the present 
extension shall have effect, 

(1) in the United States of America as respects United 
States tax on and after the first day of January 
next following the date on which the last of those 
measures have been taken ; and 

(2) in such territory as respects tax for the year of 
assessment beginning on the date specified opposite 
its name in Column (3) of the above Table, next 
following the date on which the last of those meas- 
ures have been taken, and for subsequent years 
of assessment. 

(c) The Government of the United States of America 
shall inform the Government of the United Kingdom, in 
writing through the diplomatic channel, when the last of 
the measures necessary, as indicated in paragraph (b), 
have been taken in the United States of America. The 
Government of the United Kingdom shall inform the 
Government of the United States of America, in writing 
through the diplomatic channel, when the last of the 
measures necessary, as indicated in paragraph (b), have 
been taken in all or any of the territories named in the 
above Table. 

III. Modifications 

(a) The said Convention as modified shall apply with 
the exception that for the purposes of the extension to 
the Federation of Rhodesia and Nyasaland Articles XIV 
and XVI shall be deemed to be deleted, and for the pur- 
poses of the extension to the other territories in the 
above Table Articles VII, XIV and XVI shall be deemed 
to be deleted. 

(b) The words "shall be exempt from United Kingdom 
surtax" in Article VI (2) of the Convention shall be 
understood, for the purposes of this extension, as though 
they read "shall not be liable to any tax in the territory 
other than tax imposed with respect to the profits or 
earnings of the corporation out of which such dividends 
are paid". 

( e ) The words "shall be exempt from United Kingdom 
surtax" in Article IX (2) of the Convention shall be 
understood, for the purposes of this extension, as though 
they read "shall not be liable to tax in the territory at a 
rate in excess of the rate applicable to a company". 

(d) For the purposes of the extension to the Federa- 
tion of Rhodesia and Nyasaland the term "the laws of 
the United Kingdom" shall be understood as though it 
read "the laws of the Federation of Rhodesia and Nyasa- 
land and the laws of its constituent Territories". 



624 



Department of State Bulletin 



CONVENTION OF AUGUST 22 WITH BELGIUM 

Press release 521 dated September IG 
Department Announcement 

The text is given below of the supplementary in- 
come-tax convention between the United States 
and Belgium signed at Washington on August 22, 
1957.'' It was not possible to complete the ar- 
rangements for submitting the convention to the 
Senate prior to the adjournment of the first ses- 
sion of the 85th Congress; so copies of a Senate 
document containing the text thereof are not avail- 
able. Because of the widespread interest in the 
convention and the modification which it effects 
in the 1948 income-tax convention, as modified by 
the supplementary convention of 1952,^ it is con- 
sidered desirable to release the text in a form suit- 
able for distribution. 

The primary purpose of the new supplementary 
convention is to modify the existing treaty provi- 
sions in such a way as to facilitate the extension to 
the Belgian Congo and the Trust Territory of 
Euanda-Urundi of the operation of the 1948 con- 
vention, as modified. Under article XXII of the 
1948 convention, either country may give a noti- 
fication of a desire to have the operation of the 
convention extended to any of its colonies or over- 
seas territories. The Belgian Government gave 
such a notification in 1954 with a view to such an 
extension to the Belgian Congo and the Trust 
Territory of Ruanda-Urmidi. Tlie proposed ex- 
tension will not be effective until the United States 
Government formally accepts the notification 
from the Belgian Govermnent. Such acceptance 
will be possible only after Senate approval of the 
proposed extension. It is contemplated that, 
when the new supplementary convention is sub- 
mitted to the Senate for advice and consent to 
ratification, the Senate will be requested also to 
approve the proposed extension. 

Text of Convention 

Supplementary Convention Between the United 
States of Amekica and Belgium Relating to Taxes on 
Income 

The Government of the United States of America and 
the Government of Belgium, desiring to modify and sup- 
plement in certain respects the convention for the avoid- 



' For an announcement of the signing, see Bulletin of 
Sept. 16, 1957, p. 477. 
" Treaties and Other International Acts Series 2833. 



ance of double taxation and the prevention of fiscal 
evasion with respect to taxes on income, signed at Wash- 
ington on October 28, 1948, as modified by the supple- 
mentary convention of September 9, 1952, and desiring 
to facilitate the extension thereof to, and facilitate in- 
vestment in, the Belgian Congo and the Trust Territory 
of Ruanda-Urundi, in accordance with the provisions of 
Article XXII of the convention, have decided to conclude 
a supplementary convention and have appointed as their 
respective plenipotentiaries : 

The Government of the United States of America: 
John Foster Dulles, Secretary of State of the United 
States of America, and 

The Government of Belgium : Baron Silvercruys, Am- 
bassador Extraordinary and Plenipotentiary of Belgium 
at Washington, 

who having communicated to each other their full powers, 
found in good and due form, have agreed upon the follow- 
ing articles : 

Article I 

Article II (1) (d) of the convention of October 28, 1948 
is amended by adding the following sentence at the end 
thereof : 

For the purposes of this convention, any corporation 
organized or created under the laws of Belgium or of the 
Belgian Congo and subject to tax under the Belgian fiscal 
law of June 21, 1927 shall be deemed to be a "Belgian 
enterprise." 

Abticle II 

In the application to the Belgian Congo and the Trust 
Territory of Ruanda-Urundi of the convention of Octo- 
ber 28, 1948, as amended by the supplementary conven- 
tion of September 9, 1952, the Belgian Congo and the 
Trust Territory of Ruanda-Urundi may impose taxe mo- 
biliere at a rate not in excess of 15 percent on dividends 
from sources within the Belgian Congo and Ruanda- 
Urundi paid to a resident or corporation or other entity 
of the United States not having a permanent establish- 
ment in the Belgian Congo or Ruanda-Urundi. 

Article III 

In its application to the Belgian Congo and the Trust 
Territory of Ruanda-Urundi, paragraph (2) of Article 
XXII of the convention of October 28, 1948 is amended 
by striking out the word "following" and inserting in lieu 
thereof the words "immediately preceding." 

Article IV 

For the purposes of Article XXII of the convention of 
October 28, 1948, the expression "overseas territories" is 
construed as applying to any overseas territory for the 
foreign relations of which either contracting State is 
responsible. 

Article V 

(1) The present supplementary convention shall be 
ratified and the instruments of ratification shall be ex- 
changed at Brussels as soon as possible. 

(2) The present supplementary convention shall be re- 



Ocfober 14, 1957 



625 



garded as an integral part of the convention of October 
28, 1948, as amended, but shall become effective with re- 
spect to taxable years beginning on or after the first day 
of January of the calendar year in which the exchange 
of instruments of ratification takes place. It shall con- 
tinue in effect in accordance with Article XXIII of the 
convention of October 28, 1948, as amended by Article I 
(g) of the supplementary convention of September 9, 
1952, and in the event of termination of such convention 
shall terminate simultaneously with such convention. 

Done in duplicate, in the English and French lan- 
guages, the two texts having equal authenticity, at Wash- 
ington this 22nd day of August, 1957. 

For the Government of the United States of America: 

John Fosteb Dulles 
For the Government of Belgium : 

SiLVEBCRtrrs 



Current Actions 



MULTILATERAL 

Atomic Energy 

Statute of the International Atomic Energy Agency. 
Done at New York October 26, 1956. Entered into 
force July 29, 1957. TIAS 3873. 
Ratification deposited: Viet-Nam, September 24, 1957. 

Automotive Traffic 

Convention concerning customs facilities for touring. 
Done at New York June 4, 1954. Entered into force 
September 11, 1957. TIAS 3879. 
Ratification deposited: Federal Republic of Germany, 

September 16, 19-57. 
Customs convention on temporary importation of private 
road vehicles. Done at New York June 4, 1954. 
Ratification deposited: Federal Republic of Germany, 

September 16, 1957. 
Enters into force: December 15, 1957. 

Customs Tariffs 

Convention creating the International Union for the Pub- 
lication of Customs Tariffs, regulations of execution, 
and final declarations. Signed at Brussels July 5, 
1890. Entered into force April 1, 1891. 26 Stat. 1518. 
AdhercTwe deposited: Jordan, Jul.v 10, 1957. 

Protocol modifying the convention signed at Brussels 
July 5, 1890 (26 Stat. 1518), creating an International 
Union for the Pulilication of Customs Tariffs. Done at 
Brussels December 16, 1949. Entered into force May 
5. 1950. 
Adherence deposited: Jordan, July 10, 1957. 

Postal Services 

Universal postal convention, with final protocol, annex, 
regulations of execution, and provisions regarding air- 
mail and final protocol thereto. Signed at Brussels 
July 11, 1952. Entered into force July 1, 1953. TIAS 
2800. 
Ratification deposited: Haiti, September 2, 19.57. 

Trade and Commerce 

International convention to facilitate the importation of 
commercial samples and advertising material. Dated 
at Geneva November 7, 19.52. Entered into force No- 
vember 20, 1955. 
Ratification deposited: Belgium, August 28, 1957. 



BILATERAL 
Canada 

Convention modifying and supplementing the convention 
and accompanying protocol of March 4, 1942 (56 Stat. 
1399), as modified .lune 12, 19.50 (TIAS 2347), for the 
avoidance of double taxation and prevention of fiscal 
evasion with respect to taxes on income. Signed at 
Ottawa Augxist 8, 1956. 

Ratifications exchanged: September 26, 1957. 
Entered into force: September 20, 1957. 

Cuba 

Agreement amending annex of air transport agreement 
of May 26, 19.53 (TIAS 2892). Effected by exchange of 
notes at Habana May 21 and July 30, 1957. Entered 
into force July 30, 1957. 

India 

Agreement providing guaranties against inconvertibility 
of investment receipts, authorized by section 413 (b) 
(4) (B) (i) of the Mutual Security Act of 1954, as 
amended (68 Stat. 846-847; 70 Stat. 558; 22 U. S. C. 
1933). Effected by exchange of notes at Washington 
September 19, 1957. Entered into force September 19, 
1957. 

Japan 

Protocol supplementing the convention for the avoidance 
of double taxation and the prevention of fiscal evasion 
with respect to taxes on income of April 16, 1954 (TIAS 
3176). Signed at Tokyo March 23, 1957. 
Entered into force: September 9, 1957 (date of exchange 

of notifications of ratification or approval). 
Proclaimed bij the President: September 19, 1957. 

Mexico 

Agreement modifying and extending the agreement of 
April 6, 1954 (TIAS 2999) relating to a cooperative 
project in developmental engineering in Mexico, pur- 
suant to the general agreement for technical coopera- 
tion signed at Mexico June 27, 1951 (TIAS 2273). 
Effected by exchange of notes signed at Mexico June 29, 
1957. Entered into force June 29, 1957. 

Thailand 

Agreement amending the agreement of August 27 and 
September 1, 1954 (TIAS 3086) relating to an invest- 
ment guaranty program, and providing war risk 
guaranties under section 413 (b) (4) of the Mutual 
Security Act of 1954, as amended (68 Stat. 832, 847: 22 
U. S. C. 1933). Effected by exchange of notes at 
Bangkok August 27, 1957. Entered into force August 
27, 1957. 



DEPARTMENT AND FOREIGN SERVICE 



Designations 

Gardner E. Palmer as Deputy Assistant Secretary for 
Far Eastern Economic Affairs, effective September 3. 

James W. Barco as Alternate Representative of the 
United States to the 12th session of the United Nations 
General Assembly during the absence of Ambassador 
James J. Wadsworth, effective September 26. 



626 



Department of Slate Bulletin 



October 14, 1957 I n d 

Atomic Energy. International Atomic Energy 
Agency (delegation) 618 

Belgium. Income-Tax Agreements With United 
Kingdom and Belgium (test of convention) . . 622 

Canada. U.S.-Canadian Tax Convention Enters 
Into Force 612 

China, Communist. The Bureau of Security and 
Consular Affairs and the Problem of Passport 
Restrictions (O'Connor) 604 

Congress, The. Legislative History of the Mutual 

Security Program for Fiscal Tear 1958 (table) 615 

Department and Foreign Service 

The Bureau of Security and Consular Affairs and 
the Problem of Passport Restrictions (O'Con- 
nor) 604 

Designations (Palmer) 626 

Economic AfiFairs 

The Common Market: An Economic Instrument of 

International Policy (Zellerbach) 608 

Economic Development Institute Begins Third 

Course 601 

Income-Tax Agreements With United Kingdom and 
Belgium (texts of protocol, U.K. note, and 
convention) 622 

International Bank Releases 12th Annual Report . 599 

Progress in International Financing (Eisenhower, 

Dillon) 595 

U.S.-Canadian Tax Convention Enters Into 
Force 612 

Educational Exchange. Foreign Nationals Here 
for Study Under U.S. Government Grants . . 613 

Europe. The Common Market : An Economic In- 
strument of International Policy (Zellerbach) . 608 

Hungary. Inscription of Hungarian Question on 

General Assembly Agenda (Lodge) 616 

International Organizations and Conferences 

Agenda of the 12th Regular Session of the U.N. 

General Assembly 619 

Economic Development Institute Begins Third 
Course 601 

International Atomic Energy Agency (delega- 
tion) 618 

International Bank Releases 12th Annual Re- 
port 599 

Progress in International Financing (Eisenhower, 

Dillon) 595 

U.N. General Assembly (delegation) 617 

Middle East. U.S. Replies to Soviet Note on Middle 
East (texts of U.S. and Soviet notes) .... 002 

Mutual Security 

The Common Market : An Economic Instrument of 

International Policy (Zellerbach) 608 

Legislative History of the Mutual Security Pro- 
gram for Fiscal Tear 19.58 (table) 615 

North Atlantic Treaty Organization. Secretary- 
General of NATO To Visit United States ... 602 



e X 



Vol. XXXVII, No. 955 



Presidential Documents. Progress in Interna- 
tional Financing 595 

Publications. American Foreign Policy, 1950- 

1955 : Basic Documents, Volume I 614 

Treaty Information 

Current Actions 626 

Income-Tax Agreements With United Kingdom and 
Belgium (texts of protocol, U.K. note, and con- 
vention) 622 

U.S.-Canadian Tax Convention Enters Into Force . 612 
U.S.S.R. U.S. Replies to Soviet Note on Middle 

East (texts of U.S. and Soviet notes) .... 602 

United Kingdom. Income-Tax Agreements With 
United Kingdom and Belgium (texts of protocol 
and U.K. note) 622 

United Nations 

Agenda of the 12th Regular Session of the U.N. 

General Assembly 619 

Current U.N. Documents 621 

Designations (Barco) 626 

Inscription of Hungarian Question on General As- 
sembly Agenda (Lodge) 616 

Name Index 

Barco, James W 626 

Dillon, Douglas 597 

Eisenhower, President 595 

Lodge, Henry Cabot 616 

O'Connor, Roderic L 604 

Palmer, Gardner E 626 

Spaak, Paul-Henri 602 

Zellerbach, J'ames David 608 



Check List of Department of State 
Press Releases: September 23-23 

Releases may be obtained from the News Division, 
Department of State, Wa.shington 25, D.C. 

Releases issued prior to September 23 which ap- 
pear in this issue of the Bulletin are Nos. 520, 521, 
and 523 of September 16. 

No. Date Subject 

*537 9/23 Educational exchange. 

*.")38 9/23 Educational exchange. 

.539 9/24 Reply to Soviet note on Middle East. 

540 9/24 Educational exchange. 

541 9/26 Tax convention with Canada. 

542 9/25 O'Connor : Advertising Council and 

Federal Bar Association, Baltimore. 

543 9/26 Ameriean Foreign Policy, 1950-1955. 
*544 9/26 Burgess sworn in. 

*545 9/26 Educational exchange. 

546 9/27 Dr. Spaak to visit U.S. (rewrite). 
*547 9/27 Mr. Firestone to represent President 
at funeral of King Haakon VII. 

548 9/27 IAE.\ delegation (rewrite). 



*Not printed. 



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OFFICIAL BUSINESS 



YOU . . . 

and the 

UNITED NATIONS 
1957 



Department 

of 

State 



How effective has the United Nations been in preventing or stopping 
aggression and war? 

If the United Nations can only recommend, how does it get anything 
done against war and injustice? 

Can the United Nations prevent another world war from ever 
happening ? 

Can the United Nations do anything about disarmament ? 

What do the United Nations aid programs — like the technical assist- 
ance program and the United Nations Children's Fund — have to do 
with world peace ? 

How much does our membership in the United Nations cost? 

Answers to these and other frequently heard questions regarding 
the United Nations are given by Henry Cabot Lodge, United States 
Representative to the United Nations, in an illustrated pamphlet 
recently issued by the Department of State. Twenty-five questions 
in all are considered in the 40-page publication, which is printed in 
question-and-answer format. 

Copies of You . . . and the United Nations, 1957 may be purchased 
from the Superintendent of Docmnents, U.S. Government Printing 
Office, Washington 25, D.C., for 20 cents each. 



Publication 6518 



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THE DEPARTMENT OF STATE 




Vol. XXXVII, No. 956 



October 21, 1957 



HE 

FFiCiAL 

KEEKLY RECORD 
f 

INITED STATES 
OREIGN POLICY 



THE PROBLEM OF DISARMAMENT • Statement by 

Ambassador Henry Cabot Lodge 0«>i 

UNITED NATIONS MOVES TO REDUCE U.S. SHARE 

OF ASSESSMENTS • Statements by Representative 

A. S. J. Carnahan and Text of Resolution 652 

FIRST CONFERENCE OF THE INTERNATIONAL 

ATOMIC ENERGY AGENCY • Remarks by Leivis 

L. Strauss and Text of President Eisenhower's Message . . . 637 

"THE COMMUNISTS ALSO HAVE THEIR PROB- 
LEMS" • by Allen W. Dulles 639 

COOPERATION IN INTERNATIONAL ECONOMIC 

AFFAIRS • by Ambassador Willard L. Beaulac 647 



For index see inside back cover 



THE DEPARTMENT OF STATE 




Vol. XXXVII, No. 956 • Pubucation 6549 
October 21, 1957 



For sale by the Superintendent of Documents 

U.S. Government Printing Office 

Washington 25, D.C. 

Peice: 

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Single copy, 20 cents 

The printing of this publication has been 
approved by the Director of the Bureau of 
the Budget (January 19, 1956). 

Note: Contents of this publication are not 
copyrighted and Items contained herein may 
be reprinted. Citation of the Department 
or State Bulletin as the source will be 
appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the 
Department of State and the Foreign 
Service. The BULLETIN includes se- 
lected press releases on foreign policy, 
issued by the White House and the 
Department, and statetnents and ad- 
dresses made by the President and by 
the Secretary of State and other 
officers of the Department, as well as 
special articles on various phases of 
international affairs and the func- 
tions of the Department. Informa- 
tion is included concerning treaties 
and international agreements to 
which the United States is or may 
become a party and treaties of gen- 
eral international interest. 

Publications of the Department, 
United Nations documents, and legis- 
lative material in the field of inter- 
national relations are listed currently. 



The Problem of Disarmament 



Statement hy Henry Cabot Lodge 

U.S. Representative to the United Nations ^ 



In convening this Commission to discuss the 
report of its Subcommittee,^ we recognize the ur- 
gency which all of us feel about the problem of 
disarmament. 

The United States fully shares this sense of ur- 
gency. The record of the 5^2 months during 
which the Subcommittee met in London will bear 
this out. This session, during which the Subcom- 
mittee met 71 times, was the longest in its history. 

During this period the United States, the 
United Kingdom, France, and Canada made ex- 
tensive studies and basic reviews of policy. Our 
position was adapted continuously to seize upon 
every new opportunity for progress. The ses- 
sions of the Subcommittee have been marked by 
the unprecedented participation of both the Sec- 
retary of State of the United States and the For- 
eign Minister of the United Kingdom and by con- 
sultations in London with the Foreign Minister 
of France during the sessions. The serious and 
businesslike tone of the greater part of the discus- 
sions led to a most careful and comprehensive 
examination of basic issues. But despite this no 
agreement has yet been reached. 

The United States believes the Commission and 
the General Assembly should review the record 
of these negotiations calmly and in a spirit of 
good will. We hope and expect that from these 
discussions new light will be thrown on this very 
complex problem. This review and discussion 
can help to assure that future negotiations will 
meet with a greater measure of success. 



' Made in the Disarmament Commission on Sept. 30 
(U.S. /U.N. press release 2744). 

= U.N. does. DC/112 dated Aug. 1, 1957, and DC/113 
dated Sept. 11, 1957. 



Disarmament is a problem that concerns all 
nations, large and small. Since this is the parent 
body of the Subcommittee, the states represented 
around this table, without exception, have an 
especially deep and legitimate interest in the solu- 
tion of this problem. 

This is another reason we welcome this discus- 
sion. It provides an opportunity to outline the 
situation as we see it and to explain how we have 
tried to meet the issues. 

Joint Proposals 

The proposals which the United States, jointly 
with the United Kingdom, France, and Canada, 
has submitted are to be found in document DC/- 
SC.1/66.^ We believe that document is of his- 
toric importance. It outlines a practical, real- 
istic program which will appeal to all men who 
seek peace. It is submitted with tlie full and 
unequivocal support of the sponsoring govern- 
ments. It is a sincere attempt to balance the se- 
curity interests of all, while taking account of the 
views and aspirations expressed by others in this 
body, in the Assembly, and during the negotiations 
in the Subcommittee. 

At the heart of these proposals are six general 
objectives : 

The first general objective is the early cessation 
of production of fissionable materials for weapons 
purposes, under effective international control, 
and the complete devotion of future production 
of fissionable materials to peaceful purposes. 

We propose that this cessation of production 



' For text of the four-power working paper of Aug. 29, 
see Bulletin of Sept. 16, 1957, p. 451. 



October 21, 1957 



631 



take place as soon as an inspection system capable 
of verifying it has been agreed and put into effect. 
Acceptance of this proposal would mean an imme- 
diate end to the buildup of nuclear-arms stock- 
piles. It is a progressive proposal, entirely fea- 
sible and in line with the resolutions adopted by 
the Assembly. 

Second, the cessation of testing of nuclear weap- 
ons, under effective international control. 

We propose that, at the outset of a first-stage 
disarmament agreement, nuclear-weapons tests 
be suspended for a period of 24 months while ar- 
i-angements are being worked out to insure the cut- 
off of fissionable production for weapons pur- 
poses. The second 12 months of this suspension 
depends only upon making progress in this direc- 
tion and on the installation of an inspection 
system to police the test suspension. Nations 
would be fi'ee to resume testing if, after 2 years of 
fissionable production, cutoff had not been put 
into effect. 

Thirdly, we seek reciprocal reduction of armed 
forces and armaments. 

We have proposed a practical start in this di- 
rection. Our approach to the problem of reduc- 
ing conventional armaments avoids many of the 
difficulties which we would otherwise face. We 
propose that specified and agreed modern arma- 
ments of land, air, and sea be deposited in storage 
depots under international supervision. We are 
prepared to begin negotiations at any time on the 
specific arms for deposit. At the same time we 
have expressed a willingness to accept for our- 
selves a first-step ceiling of 2.5 million armed 
forces. We have agreed to specify second- and 
third-stage ceilings of 2.1 and 1.7 million. We 
hope and believe that a first-stage agreement will 
result in progress toward the settlement of a num- 
ber of the outstanding problems which create in- 
ternational friction, and make feasible the attain- 
ment of lower force levels. 

A fourth objective is the progressive establish- 
ment of systems of open inspection with ground 
and aerial components. 

We have proposed that a beginning be made in 
areas in which protection against surprise attack 
is of greatest importance. We have also reaf- 
firmed the proposal originally made at Geneva 
by President Eisenhower in 1955 and have, with 
our allies, agreed to include also territory of Can- 



632 



ada and important areas in Europe. This pro- 
posal alone, which has been overwhelmingly 
endorsed by the Assembly, would result in a safer 
and more secure world for all. We are ready also 
to include areas in which free-world bases are lo- 
cated wherever they may be, provided the coun- 
tries concerned agree. We are ready to make a 
modest beginning of tliis reciprocal open inspec- 
tion and then expand it in later stages. 

The fifth principle foresees the beginning of 
the elimination of nuclear weapons by transfer- 
ring on an equitable and agreed basis stocks of 
fissionable materials from previous weapons pro- 
duction to internationally supervised peaceful 
uses. 

This proposal is in accordance with the objec- 
tive set by the United Nations. It is a logical 
and feasible step toward meeting that objective. 
Most important, it would insure a lessening of the 
nuclear threat. 

Finally, Mr. Chairman, we seek agreement on 
measures to control the newest threat to peace: 
tlie outerspace missile. 

This weapon is too new for us to be able to pre- 
sent precise and detailed proposals to deal with 
it. But it is potentially so dangerous that it can- 
not be ignored. We propose as our next objec- 
tive that means be designed to assure that the 
sending of objects through outer space will be for 
exclusively scientific and peaceful purposes. 

Mr. Chairman, this seems to us to be a sensible 
and practical program which can be implemented 
now. If put into effect, the security of every 
nation represented here would be increased. 

We hope tlirough this and the subsequent As- 
sembly debate to achieve an understanding of our 
proposals and of their merits. We are confident 
that this Commission and all in the General As- 
sembly who strive for peace will support the 
principles I have outlined. 

Although the Soviet Union has so far rejected 
the proposals we have put forward, we hope its 
negative attitude will change when it comes to 
appreciate the sentiments of this Commission and 
the Assembly. This should not be a forlorn Iiope. 
We recall the Soviet Union's critical first rejec- 
tion of "open skies" aerial inspection, of the need 
for on-the-spot inspection for nuclear-test cessa- 
tion, of the first-stage force ceilings of 2.5 million, 
and of the International Atomic Energy Agency. 

Deparfmeni of State Bulletin 



] 



But we also recall their later acceptance of all of 
these proposals. 

Progress in Right Direction 

The negotiations of the past year have not been 
fruitless. It has demonstrated the usefulness of 
tlie Subcommittee and the -wisdom of the Assem- 
bly in settins; up a forum for discussion among 
those "principallj' involved." There has been a 
narrowing of the differences that we faced at the 
last General Assembly. The remaining obstacles 
are large and important, but there has been prog- 
ress in the right direction. 

It is noteworthy that the Soviet Union in the 
course of these negotiations has modified certain 
of its longstanding positions which for years have 
blocked the way to agreement. It accepted the 
idea of a limited first-stage agreement. It seemed 
finally to have recognized the utility of systems of 
air and ground inspections as a safeguard against 
surprise attack, and the idea of beginning with 
agreed zones of inspection. It seems to be will- 
ing at least to defer and omit from a first-stage 
agreement its demand for "elimination" of nu- 
clear weapons, which by its own admission could 
not now be verified and is therefore an impossible 
demand. It appeared to be moving toward a more 
sincere and constructive approach to the nuclear- 
testing problem when in June it agreed that a 
suspension of testing should be accompanied by 
monitoring systems to insure compliance. It has 
indicated acceptance of the idea of international 
disarmament depots in which arms would be 
stored. 

Seeking earnestly to seize upon every oppor- 
tunity to move toward agreement, the United 
States, United Kingdom, France, and Canada 
have made more significant clianges in their posi- 
tions. These are reflected in the four-power 
working paper of August 29. These proposals go 
far to meet the Soviet objection that the United 
States was silent on the steps which might follow 
a first-stage disarmament agreement. Accord- 
ingly, we have offered concrete figures for second- 
and third-stage force levels on which we would 
negotiate in good faith. 

On the subject of nuclear tests, the Soviet 
Union objected that cessation of tests was to be 
delayed until a system to insure that fissionable 
materials would be used for peaceful purposes 



was in effect. We agreed then that the suspen- 
sion of tests would take effect before this system 
was in operation. We suggested a period of 10 
months, but this was rejected as too short. Con- 
sequently we accepted the period suggested by the 
Soviet Union — 2 years. We did so in tlie hope 
that the Soviet Union in turn would agree in 
principle to the cutoff of production of fission- 
able materials for weapons purposes and that 
work should pi'oceed to design the necessary 
inspection system. 

Wlien the original proposal for aerial inspec- 
tion was made by President Eisenhower, it was 
rejected by the Soviet Union. We then suggested 
progressive installation of zones of inspection be- 
ginning in limited areas in hopes that this would 
lead the Soviet Union to accept this important 
proposal. We have offered alternative sugges- 
tions for starting this program. 

The Soviet Union at first objected to our dis- 
armament proposals as not coping with the 
nuclear threat and claimed that we intended to 
do nothing about the stocks of nuclear weapons 
which now exist. We have in fact proposed that 
we not only stop adding to these stocks of weap- 
ons but that we begin to reduce them by transfer- 
ring their fissionable-materials contents to peace- 
ful uses under international supervision. 

Mr. President, I think the above shows that 
we have on several occasions made significant 
movement toward the position of the Soviet 
Union. 

But there is one point of disagreement which 
is of major significance and on which we would 
welcome the afiirmation of the Commission's and 
the Assembly's support. This is our proposal for 
the stopping of production of fissionable mate- 
rials for weapons purposes. Soviet acceptance 
of this principle would take us a great distance 
toward achievement of an agreement on disarma- 
ment, for it is now one of the most important 
barriers to success. We urge the Soviet Union 
to reconsider its opposition to this step. 

If the Soviet Union accepted this proposal, we 
would finally be able to see a light at the end of 
the tunnel after these 12 difScult years of talk 
and negotiation. The buildup of stocks of nu- 
clear weapons would stop. Mankind could devote 
the genius and the great resources in men, time, 
material, and money now going into costly nu- 



Ocfofaer 21, 7957 



633 



clear plants to peaceful ends. We could not take 
a greater step for peace. 

Question of Nuclear Testing 

We believe that tliis question is closely related 
to the matter of the continuation of nuclear tests. 
The United States has proposed the suspension 
of nuclear tests; we have done so in a way which 
makes the ending of these tests significant and 
which tlius genuinely advances the cause of peace. 

The position of the United States, the United 
Kingdom, France, and Canada on this question 
is that there is a logical and necessary link be- 
tween tlie testing of nuclear weapons and their 
production. Testing is the top of the iceberg that 
bears testimony to the dangerous mass below. To 
stop tests but to continue producing weapons 
would make no contribution to the solution of 
the real issues tliat confront us. Until a disarma- 
ment agreement putting real limits on the nuclear 
threat is achieved, we cannot accept an imsound 
limitation which could prevent us from improving 
our ability to defend ourselves. To stop nuclear 
tests alone would not meet the real danger whicli 
comes from ever-increasing stockpiles of nuclear 
weapons in a number of countries. 

We know that nuclear testing has given con- 
cern to many sincere people throughout the world. 
We believe these fears are ill-founded, but we re- 
spect tlieir motivations. It is for this reason that 
the United States proposed, at the 10th General 
Assembly, the establisliment of a special United 
Nations committee to study the problem of radia- 
tion effects. This committee will report to the 
Assembly by July 1958, and its conclusions will 
no doubt be thoroughly reviewed at that time. 

Then, Mr. President, let us also think of those 
who may see in the possession of nuclear weapons 
by the United States a threat to dreams of con- 
quest and expansion. Such persons would like 
to see this element of our strength singled out for 
separate and restrictive treatment. Yet how ob- 
vious it is that these weapons enable the free 
world to stand firm against aggression by the 
large manpower resources of the Communist 
world. In fact, it is reasonable to believe that 
the possession of these weapons by the free world 
has helped to prevent the subjugation of still 
more sovereign and independent governments. 

Therefore, we will not fall victim to a policy 
wliich attempts to strip us of parts of our defen- 



sive strength which are peculiarly important to 
us and our allies. We camiot, therefore, in the 
interests of our own security and that of world 
peace agree to stop the development of nuclear 
weapons unless there are also restrictions on pro- 
duction. As long as nuclear weapons can be 
used and produced by others, we must insure that 
we are free to continue the development and re- 
search of which testing is an integral part. For 
the same reasons we will accept no ban on the use 
of these weapons which does not effectively apply 
to all instruments of war. Nor will we accept a 
paper prohibition of stocks of tliese weapons 
when we know there is no way to insure that such 
an obligation is faithfully carried out. 

During tlie debate in the 10th General Assem- 
bly the Representative of New Zealand [F. H. 
Corner] made a very wise speech, which bears 
rereading. At one point he said that "all weap- 
ons — the blockbuster as well as the atomic bomb — • 
are bad and .... If war and aggression are to 
be prevented, no single weapon should be singled 
out but all weapons must be brought under a 
single compreliensive scheme of disarmament 
which can be policed and enforced." 

We commend our proposals, which include sus- 
pension of testing with other measures of real 
disarmament and which therefore go further 
than a mere test ban, as the best way to get 
started. Our proposals would insure that the nu- 
clear buildup would be stopped short and gradu- 
ally diminished. A start would be made toward 
an open woi'ld in which the chances of surprise 
attack and miscalculations which are bred in fear 
and lead to war would be reduced to the vanish- 
ing point. New horizons of peace and prosperitj' 
would open before us. 

We believe that the overwhelming majority of 
the members of this Commission, upon a thought- 
ful review of the record before them, will share 
this conviction. 



Offer to Soviet Union 

Now, Mr. President, as I conclude let me say 
this: In essence, we, that is to say Canada, 
France, the United Kingdom, and the United 
States, have made and we do now make this offer 
to the Soviet Union : 

We will suspend nuclear tests for an initial 
period expected to be 2 years but also subject to 
further extension, provided you, the Soviet 



634 



Department of State Bulletin 



Union, agree on establishing an eft'ective inspec- 
tion system, air and ground, on stopping produc- 
tion of fissionable material for weapons purposes 
and reducing jjresent stocks, on starting outer- 
space missile control, and on reducing armed 
forces. 

Mr. President, we do not insist that all these 
tilings be done at once. An agreement that they 
should be done in acceptable stages is enough to 
get this program under way, and suspension of 
testing would be the first thing to happen. 

If the Soviet Union is not willing to commit 
itself to steps to reduce the danger of surprise 
attack, if it is not prepared to commit itself to 
steps to stop the future piling up of nuclear 
weapons and their spreading througliout the 
world, tlien I say with all the solemnity of which 
I am capable that we are faced with a present 
major danger far graver than the problematic 
minor danger that comes from the testing of 
atomic weapons in order to make the new power 
available for defense without a dangerous fall- 
out. Such unwillingness would confront us and 
other nations of the free world with a powerful 
nation whose conduct could only be explained by 
a determination to impose military domination 
on the world. There wouldn't be any other ex- 
planation. If that be the case, then we and 
peace-loving humanity everywhere would hav0 
no alternative but to concentrate all our effort 
on meeting that danger. All else fades into 
insignificance. 

It is for the Soviet Union to speak and tell us 
what we must contemplate. 



Mr. Dulles and Mr. Gromyko Discuss 
U.S.-Soviet Relations 

Following is the text of a joint statement is- 
sved 071 October 5 at the close of a meeting he- 
tioeen Secretary Dulles and Soviet Foreign Min- 
ister Andrei Gromyko. 

Press release 560 dated October 5 

Secretary Dulles and Foreign Minister Gro- 
myko met for approximately four hours and dealt 
with a number of major topics. The meeting was 
held at the invitation of the United States Sec- 
retary of State to discuss questions concerning 
the state of United States-Soviet relations. 

The Secretary felt that advantage should be 



taken of the Soviet Foreign Minister's presence 
in the United States in connection with the Gen- 
eral Assembly of the United Nations to invite an 
exchange of views. 

Secretary Dulles and Foreign Minister Gro- 
myko felt that the meeting would enable them to 
seek clarification of the intentions and positions 
of their respective Governments on major ques- 
tions of mutual concern. 

They believe that the conversation this after- 
noon has been helpful in this respect. 

The major topics which were brought up in the 
course of the conversation were the Middle East, 
disarmament, the situation in Europe, and United 
States-Soviet contacts. 

The Secretary was accompanied at the meeting 
by Mr. C. Burke Elbrick, Assistant Secretary of 
State for European Affairs, and Mr. Edward L. 
Freers, Director of the Office of Eastern European 
Affairs. 

The Soviet Foreign Minister was accompanied 
by Ambassador Zaroubin and Mr. Oleg Troyanov- 
sky. 



President and Prime Minister Kishi 
Exchange Views on Nuclear Tests 

White House press release dated October 4 

The White House on October ^ made public 
the following exchange of messages between the 
President and Prime Minister Nobusuke Kishi of 
Japan. 

The President's Message 

October 3, 1957 
Dear Mr. Prime Minister: I have for a long 
time given serious and thoughtful consideration 
to the issue you raise in your communication of 
September twenty-fourth regarding the continua- 
tion of nuclear testing, which has been the subject 
of discussion between us in the past. 

Unfortunately, I have been able to reach no 
other conclusion than that for the time being and 
in the present circumstances, the security of the 
United States, and, I believe, that of the free 
world, depends to a great degree upon what we 
barn from the testing of nuclear weapons. We 
are at a stage when testing is required for the de- 
velopment of important defensive uses of nuclear 
weapons, particularly against missiles, sub- 



Ocfober 21, 1957 



635 



marines, and aircraft, as well as to reduce further 
the fallout yield from nuclear weapons. To stop 
these tests in the absence of effective limitations 
on nuclear weapons production and on other ele- 
ments of armed strength and without the opening 
up of all principal nations to a measure of inspec- 
tion as a safeguard against surprise attack in 
which nuclear weapons could be used is a sacrifice 
which would be dangerous to accept. 

We are aware of the preoccupations with the 
question of health hazards connected with nuclear 
testing. We believe that these are ill founded. 
However, we have pledged to conduct those tests 
which may be necessary only in such a manner 
as will keep world radiation fi'om rising to more 
than a small fraction of the levels which might 
be hazardous. Also, as you know, the General 
Assembly has established a scientific committee 
to study this problem. This committee is due to 
report by July 1958, and its findings will no doubt 
be fully debated in the United Nations. 

We believe that nuclear tests can and should be 
suspended if other limitations of the type I have 
mentioned are agreed upon. Accordingly, the 
United States has joined with the Governments of 
the United Kingdom, France, and Canada in pre- 
senting proposals which provide for the suspen- 
sion of testing in this context. Of special im- 
portance, I think, is the proposal that further 
production of fissionable materials for weapons 
purposes be stopped and a beginning be made in 
the reduction of existing weapons stockpiles. We 
believe that if this proposal is widely supported in 
the General Assembly, it will be accepted by the 
Soviet Union. In this event, we would be assured 
that atomic energy in the future would be devoted 
to peaceful purposes everywhere in the world. 
Sincerely, 

DwiGHT D. Eisenhower 



The Prime Minister's Message 

September 24, 19.57 

My dear Mb. President : I have the honour to call 
Your Excellency's attention to the proposal submitted by 
the Japanese delegation to the present session of the 
General Assembly on 23 September, 1957 on the question 
of disarmament and nuclear test explosions. 

Japan as a peace-loving nation ardently desires prompt 
realization of a general disarmament, particularly, pro- 
hibition of the manufacture, use and test of nuclear weap- 
ons as is clearly stated in the several resolutions of the 
Diet, which have been duly transmitted to Your Excel- 
lency's government. My government, recognizing the 
urgent necessity of ending all nuclear test explosions, has 
repeatedly requested your government to suspend such 
tests. But to our profound disappointment, none of the 
countries concerned has so far taken the initiative to sus- 
pend nuclear test explosions. But they all go on repeat- 
ing their tests, creating a vicious circle of the most re- 
grettable kind, which does nothing to lessen distrust 
among nations. 

The recent Disarmament Conference, while giving in- 
dications of partial agreement among the powers con- 
cerned, came to an impasse on account of the disagree- 
ment of views as to whether suspension of nuclear test 
explosions should be carried out in c(mnection with other 
aspects of disarmament, or it should take place separately 
from them. This difference in opinion is perhaps ir- 
reconcilable, and it may be extremely difficult to resolve 
the present impasse. But when we consider the proposi- 
tion on the one hand that disarmament negotiation be 
carried on while continuing with nuclear test explosions, 
and the proposition on the other that the negotiation be 
continued after having first put a stop to nuclear tests, 
the preferability of the latter, from the standpoint of hu- 
manity, is obvious ; it is sure to be welcomed by world 
public opinion. I, therefore, earnestly request Tour Ex- 
cellency to make a thorough study of the proposal of the 
Japanese Delegation. Acceptance will, my government 
believes, pave the way for the solution of the question of 
disarmament and nuclear test explosions, which is eagerly 
wished by the Japanese people and all peoples of the 
world. 

I avail myself of this opportunity to extend to Your 
Excellency the assurances of my highest consideration. 

NOBUSUKE KiSHI 

Prime Minister of Japan 



] 



I 



636 



Department of State Bulletin 



First Conference of the International Atomic Energy Agency 



Remarhs hy Lewis L. Sirauss 

Chairman, UjS. Atomic Energy Commission * 



Fifteen years ago today, in Cliicago, Enrico 
Fermi and his associates laid the first course of 
graphite blocks for an atomic pile. This structure 
became man's first successful apparatus for the 
control of a great force of nature. This primitive 
reactor has long since been dismantled, but I have 
brought with me today, and shall deposit here 
with the Agency, what I believe is the last of these 
graphite blocks from the world's first reactor. I 
do this in the hope that it may become the begin- 
ning of a collection, or a museum, of the early 
days of atomic energy and by reason of its as- 
sociation be symbolic of a great truth. 

For it is a truth that atomic energy belongs to 
the whole world of men. Enrico Fermi, a nat- 
uralized citizen of my country, had been born in 
Italy. Working with him in those momentous 
days were men and women from many other 
lands — from England, Canada, Germany, and 
Hungary. Their scientific education was based 
upon the great contributions to human knowledge 
made by Einstein, Bohr, Hahn, Strassman, Meit- 
ner, Frisch, the Curies, Mendeleev, Rutherford, 
von Neumann, Raman, Millikan, the Comptons, 
Lawrence, and many other scientists whose birth- 
places, as you may see, are scattered all round the 
terrestrial globe. Atomic energy belongs to no 
one nation or group of nations. 

We are fortunate to be here today, for this is 
one of the most momentous occasions in which 
men of our generation can hope to participate. 
The Supreme Intelligence, who created us all and 
whom — depending on our places of origin — we 
worship under different names, endowed man with 

' Made at the first conference of the IAEA at Vienna, 
Austria, on Oct. 1. Admiral Strauss is chairman of the 
U.S. delegation. 



the power of choice between good and evil, be- 
tween the blessing and the curse. And for once 
in man's long history we appear to have chosen 
wisely. If, as I believe, this is pleasing to the 
Creator, then He may look with favor upon the 
work which we do here. May we do what is good 
in His sight. 

Genesis of the President's Plan 

Four years ago this week President Eisenhower 
gave his approval to a plan upon which I had 
been working for the establishment of this 
Agency. The genesis of the plan, however, was 
an idea that had occurred to the President some 
months earlier. For, deeply concerned with the 
drift of nations toward an atomic deadlock, or 
even worse, an atomic war, and aware of the fail- 
ure of all previous efforts to break through the 
barriers erected by fear and mistrust. President 
Eisenhower had conceived of using the peaceful 
applications of atomic energy on an international 
scale and by so doing to persuade all nations with 
atomic materials to make them available to an 
international body. These contributions would 
be in amounts at first modest and later substantial. 
They would be used only for benign purposes. 
They would mean that much less which could be 
manufactured into weapons of destruction. 

This plan was presented to the world in Presi- 
dent Eisenhower's historic address before the 
General Assembly of the United Nations on De- 
cember 8, 1953. Since that date many earnest men 
from more than 80 nations, including many of you 
who are here today, have worked untiringly to 
bring that exalted idea to life. 

Thanks to you, today it lives. 



Ocfober 21, 1957 



637 



My Government has made available for acqui- 
sition by the Agency 5,000 kilograms of contained 
uranium-235, the rare isotope, and President 
Eisenhower has amiounced that we will increase 
this amount by adding to it as much as all other 
nations place at the disposal of the Agency be- 
tween now and July 1960. By a letter to the 
President of this Conference as required by the 
statute of the Agency, I am making tliis proposal 
of my Government formal. The Congress of the 
United States has overwhelmingly approved of 
this action, and this Conference is highlighted by 
the presence here today of a number of the United 
States Senators and Congressmen who are mem- 
bers of the Congressional Joint Committee on 
Atomic Energy and who have come here to evi- 
dence their interest.^ 

It is the liope of all my fellow countrymen that 
at this Conference or soon thereafter other na- 
tions will take similar action to make fissionable 
material available to the Agency. 

We look to see this Agency and its headquarters 
become a center for the dissemination of such ma- 
terial for peaceful uses and, among its other vital 
functions, for the spread of knowledge. Not least 
among these functions is, of course, to build a 
foundation of understanding and trust among 
peoples — by showing them the blessings which can 
flow from the peaceful atom. We believe that 
people who are prosperous, healthy, happy, and 
free are people who will not willingly or aggres- 
sively or capriciously commit the terrible sin of 
initiating war. The International Atomic En- 
ergy Agency is an organization dedicated to peace. 
This is the high purpose to which we who are here 
today likewise dedicate ourselves. 

Message From President Eisenhower 

It is now my privilege and great honor to read 
a message from the President of the United States 
of America : 

"Mr. President, and Members of the Confer- 
ence : 



' For an announcement of the U.S. delegation, see Bui-- 
LETiN of Oct. 14, 1957, p. 618. 



"The prayers and hopes of millions of people 
of every race and faith attend the deliberations 
whicli you begin in Vienna today. 

"You have been given the historic responsibility 
of translating a new concept into positive action 
for the benefit of all mankind. 

"No other Conference in history has ever begun 
more auspiciously. The Statute of the Interna- 
tional Atomic Energy Agency, which you are 
about to implement, represents the will and the 
aspirations of more nations than ever before sub- 
scribed to an international treaty. 

"Yours, therefore, is a sacred trust. You hold 
in your custody the conscience of the peoples of 
the world. They look hopefully to you to further 
the practical program whereby the fissioned atom 
will cease to be a symbol of fear and will be trans- 
formed into the means of providing them with 
richer, healthier and happier lives. 

"For the past several years the people of the 
United States have dedicated their hearts and 
minds to the success of this undertaking. Speak- 
ing in their behalf, let me on this occasion ear- 
nestly reaffirm that consecration of our efforts. It 
is our fervent hope that the Agency will become 
the focal point for promoting and distributing 
the beneficence of atomic energy to every nation 
of the world, large and small. 

"The opportunities which now lie before you 
are many; the challenges which you will have to 
meet and solve will be great. But with faith and 
continued friendly cooperation, such as lias 
marked the creation of the Agency, our generation 
can make of atomic energy a gift for which man- 
kind will be forever grateful. 

"May this Conference be inscribed in history as 
marking the turning point where man's fears of 
the atom yielded to hope, and to the wider cooper- 
ation necessary to establish that peace which is 
desired of all men. 

"It is my prayer that the splitting of the atom, 
under the wise administration of the International 
Atomic Energy Agency, may some day unify a 
divided world. 

DwiGHT D. Eisenhower" 



638 



Department of State Bulletin 



''The Communists Also Have Their Problems" 



hy Allen W. Dulles 

Director of Central Intelligence ^ 



It may seem a bit paradoxical that the Director 
of Central Intelligence should be addressing the 
Advertising Council. You represent the trend — ■ 
which seems quite irresistible — that "it pays to 
advertise." I am the head of the silent service 
and cannot advertise my wares. Sometimes, I 
admit, this is a bit irksome. Often we know a 
bit more about what is going on in the world than 
we are credited with, and we realize a little ad- 
vertisement might improve our public relations. 
For major reasons of policy, however, public re- 
lations must be sacrificed to the security of our 
operations. 

You and we, however, have much in common. 
We are both deeply concerned with the impact 
of ideas on human behavior. In carrying out 
one of the Central Intelligence Agency's im- 
portant tasks — that of estimating future develop- 
ments in the foreign field — the ability to analyze 
public reactions is essential in our job. We, as 
you, have to judge whether ideas have a transi- 
tory value or will have an enduring effect upon 
the behaviors of people. 

In particular, it is a fascinating study to follow 
the development of the ideas behind certain of 
the great revolutionary movements. Some such 
movements were promoted by religious fervor, 
some by binite military force, many by a combina- 
tion of might and assertions of right. These 
movements have had their day — long or short. 
Some have had broad geographic appeal; some 
were limited to a particular area ; and the history 
of some has never really been deciphered. Our 
civilization, despite the Dark Ages, has been 



' Address made before the Advertising Council at San 
Francisco, Calif., on Sept. 19. 



tough enough to survive the most vigorous and 
long-lived revolutionary assaults on mind and 
body. 

Tonight I propose to give you the results of 
an analysis of tlie recent happenings within the 
Soviet Communist world, and I shall be bold 
enough to draw certain conclusions which support 
my conviction that radical changes are taking 
place and more are in the making. 

The initial ideological fervor, I believe, is seep- 
ing out of the international revolutionary Com- 
munist movement, particularly in the Soviet 
Union. Marxism was not designed for the 
atomic age of the mid-20th century. Effective as 
communism has been in establishing control of 
two powerful nations and imposing its will on a 
number of satellite countries, it is beginnmg to 
encounter difficulties in coping with the complex 
industrial and technological problems of today. 
Further, while some of the industrial and mili- 
tary achievements of both the U.S.S.R. and Com- 
munist China have stirred the pride of its citi- 
zens, communism has failed to devise a political 
system capable of commanding the loyalties of 
governed peoples without resort to the cmiel 
barbarities of mass terror. It has satisfied 
neither the ideals, the aspirations, nor the needs 
of the people subject to its domination. 

Major Changes in International Communism 

Accordingly, the leaders of international com- 
munism are being forced to review their situation 
and to consider major changes — changes which 
strike at the very heart of the system. The 
theories of Marx and Lenin proved useful window 
dressing behind wliich the Commmiists estab- 
lished their monopoly of political power, the so- 



Ocfober 2/, J 957 



639 



called dictatorship of the proletariat. These 
ideas are of little aid in guiding the Commiuiist 
dictatorship in meeting the challenge of the world 
today. 

What prophet is there left in Soviet Russia? 
Marx and Lenin are given lip service, but their 
advice and counsel have little applicability today. 
Stalin has been discredited, though his embarrass- 
ing remains are still on view in the Kremlin. 
Khrushcliev is unlikely to blossom out as a creator 
of new Communist doctrine, though his impetu- 
osity and unpredictability remain a matter of 
grave concern in an international situation as 
tense as that of today. Mao retains his role as a 
prophet in China, but he, too, is having his 
troubles. 

"Wlien Stalin disappeared fi'om the scene a little 
less than 5 years ago, he left a clouded heritage. 
His later years of dictatorship had brought the 
Soviet Union close to war and disaster. Ventures 
in Greece, at Berlin, and finally in Koi-ea had 
opened the eyes even of the credulous abroad. 
Domestically, harsh measures of forced industrial- 
ization and military buildup, successful as they 
were technologically, had left little place for meet- 
ing the needs of the people. 

Moreover, the systematic cruelties of the secret 
police had created popular unrest, suspicion, and 
despair. Khrushchev told us the story of how 
terror ridden Soviet life had become in his now 
well-known secret speech at the 20th Party Con- 
gress over a year ago — a speech still vmpublished 
in the Communist world. It was too strong medi- 
cine for popular consumption, although bits and 
pieces of it were allowed to leak out. 

Stalin's successors had the difficult task of tem- 
pering a dictatorship but yet maintaining com- 
plete authority, of doing away with the Stalinist 
type of secret-police repression and yet keeping 
the people under iron discipline, of maintaining 
a tight rein but still creating the impression, and 
giving some of the substance, of a new measure of 
freedom. 

Beria found it hard to fit into this picture. He 
did not want to relinquish his personal control of 
the secret police, througli which he lioped to gain 
the top position. His plot was discovered, and he 
was liquidated. Since then the military seems to 
have become the decisive element where force or 
the threat of force was required to support a po- 
litical decision. 



Collective Dictatorship 

After the Beria crisis we were told that the 
dictatorship of the proletariat had become a col- 
lective leadership — more properly described as a 
collective dictatorship. True enough, the crisis 
of readjustment to the post-Stalin era brought 
together in uneasy harmony the surviving mem- 
bers of the governing body known as the Pre- 
sidium of the party. Many here at home and 
abroad wrongly estimated that this might be an 
enduring form of government. Actually, bitter 
personal rivalries and basic differences of philoso- 
phies and outlook remain unreconciled. 

Tlie ultimate authority to make crucial de- 
cisions must rest firmly somewhere, and that 
"somewhere" is unlikely for long to be in a col- 
lective. Majority rule is appropriate for legisla- 
tive and judicial bodies, but it does not function 
satisfactorily in the executive field, where de- 
cisiveness of action is essential. 

For a time after Stalin's disappearance from 
the scene, Malenkov tried to lead the collective 
team, seemingly down a course which promised 
a better break for the people than they had ever 
had before. In 1955 he was forced to confess his 
incapacity and Khrushchev took over, committing 
himself, like his predecessor, to the collective- 
rule formula. 

Then last June the inevitable irreconcilable 
conflict of opinions emerged, the collective 
broke down, and with the approval of the mili- 
tary, in particular Zhukov, Khrushchev eliminated 
his rivals — Molotov and Kaganovich, who really 
felt that the old Stalinist and foreign policies 
were jireferable, and Malenkov, who, due to his 
relative youth, political experience, and apparent 
popularity, was a dangerous potential rival. At 
the moment Khrushchev is busily engaged in im- 
plicating Malenkov in the crimes of Stalin's later 
days, classing him as "shadow and tool" of Beria. 
Since Beria was shot for treason, the threat to 
Malenkov is naked enough for all to see. 

So the history of Soviet governmental changes 
repeats itself, although in a slightly ditferent pat- 
tern from that of the two previous decades. 
Those recently purged have not yet been liqui- 
dated like Beria or eliminated by mock trials such 
as those of the late 1930's. With a touch of al- 
most sardonic humor, the miscreants have been 
assigned to the oblivion of Siberia or the darkness 
of Outer Mongolia. 



640 



Department of Sfafe Bulletin 



It was the handpicked Central Committee of 
the Communist Party, with the backing of the 
army, which phxyed the decisive role in last sum- 
mer's changes in the high command. This sug- 
gests that tlie Presidium on its own can no longer 
deal with recalcitrant members, at least in a situ- 
ation where the issues are closely drawn and where 
those to be eliminated are not in a hopeless 
minority. 

The claim that the purpose of these changes was 
to get back to the pure Leninist communism of the 
past is camouflage. No differing theories of Com- 
munist and Marxist dogma played a decisive role 
in this struggle. It was a question of power poli- 
tics in a situation where hard decisions had to 
be made in both the domestic and foreign fields. 
There were in fact very deep and fundamental di- 
vergences of views among the members of the 
Presidium, and the collective failed to function 
because the differences were not susceptible of 
compromise. 

Decentralization of Industry 

Tliree main issues divided the Soviet leaders. 
The first concerned the decentralization of 
industry. 

After years of extolling the virtues of a cen- 
trally planned economy, some of the Soviet leaders 
have recently begun to stress the need of local ini- 
tiative to improve efficiency at the plant level. By 
the use of local resources it was hoped to ease the 
burden on transport facilities, minimize duplica- 
tion of effort, and stimulate managerial initiative. 
Acting on tliese theories, Khrushchev recently 
forced through a program to decentralize away 
from Moscow many elements of control of the 
great Soviet industrial machine, in the most 
sweeping reorganization of the economic manage- 
ment macliinery since the first Five- Year Plan was 
adopted in 1928. Some 27 specialized economic 
ministries in Moscow were abolished and replaced 
by 105 regional economic councils. 

Last June several of Khrushchev's colleagues 
tried to reverse all this. 

The reason for the reorganization is readily 
understandable if one tries to conceive of the 
bureaucratic mess which we would have if we 
attempted to manage from the Capital all the 
details of a growing industrial complex more dis- 
persed geographically than that of the United 
States and approaching one-half of its size. 



There should be eventual economic benefits 
from the decentralization, but Khrushchev's plan 
will create as many problems as it solves. A long 
period of transitional confusion is certain while 
new administrative command and coordination 
channels are worked out. In the longer run there 
is the danger for the Soviet Union that a kind of 
economic provincialism will develop to threaten 
the dominance of the central govermnent. 

The reason for the bitter fight against this re- 
organization by many of Khrushchev's colleagues 
is clear. The decentralization will remove some 
of the power from the central government in 
Moscow and transfer it to the provinces. Here 
only two members of the Presidium are in a posi- 
tion to exercise real influence — Khrushchev, 
through his control of the party machinery 
throughout the Soviet Union, and the military, 
presently represented by Marshal Zliukov. 

The Agricultural Problem 

The second issue dividing the Soviet leaders 
in June last was the agricultural problem, often 
called the Achilles heel of the Soviet system. 
Klirushchev has been pressing for ever-increasing 
ai-eas of state-controlled f annlands, on the pattern 
of the huge development he had started in the so- 
called virgin lands east of the Caspian, in order 
to make good the shortcomings of commimism's 
greatest fiasco — the collectivized farm system. 
This involves some 80-100 million acres — larger 
than the entire wheat acreage of the United States. 

For many years Soviet emphasis on heavy in- 
dusti-y and military strength drained manpower 
and capital investments away from the farms, 
making agriculture the stepchild of the Stalinist 
economy. In contrast with the rapid growth rate 
of other parts of the Soviet economy, for the past 
20 years Soviet production of agricultural com- 
modities has failed to increase as fast as the popu- 
lation of the U.S.S.E. 

After all, soil conditions, rainfall, and tempera- 
ture do not favor the Soviet Union despite its vast 
area. Less than 10 percent of the country is 
likely to produce reasonable agricultural yields 
in normal years. Moreover, the combination of 
bureaucratic mismanagement and Communist 
neglect of the motivating force of personal in- 
centives has resulted in an inefficiency of farm 
labor so great that it takes about one farm worker 
to feed and supply every four persons in the 



October 21, 1957 



641 



U.S.S.K., whereas the ratio in the United States 
is about 1 for every 16 persons. Hence, 45 percent 
of Soviet labor is on the farms as compared with 
10 percent of American workers. 

Khrushchev's responsibility for the policy of in- 
vestin<i; heavily in the semiarid, agriculturally 
marginal virgin lands is very great. So far he 
has been lucky, with one excellent crop and one 
fair one. This year, 1957, promises to be only 
fair, and there is no doubt that many Soviet lead- 
ers fear a major crop failure as the moisture is 
used up in the new lands. Even Mikoyan, who 
has stuck with Khrushchev so far and now is prob- 
ably the number-two man in the party, is said to 
have been dubious about the virgin-lands program. 

The final success or failure of the program is 
still to be determined, and Khrushchev's personal 
reputation is deeply involved. He has promised 
his people equality per capita with Americans in 
milk and butter by 1958 and in meat by 1961. 
This latter would involve an increase of 3i/2 times 
in Soviet meat production, which, to say the least, 
is an ambitious program, even taking into account 
the noted fertility of the rabbit, which is included 
in the Soviet calculations, as well as their claimed 
ability to produce a larger number of twin lambs. 

Soviet Foreign Policy 

Finally, a third point at issue between Khrush- 
chev and his opponents lay in the related fields of 
foreign policy and policy toward the Eui'opean 
satellites. Here Khrushchev was attacked by 
Molotov and his followers for having weakened 
the Soviet position by his policy of reconciliation 
with Yugoslavia and by his Austrian settlement. 
He was, in fact, vulnerable to the charge of hav- 
ing opened the flood gates to revolt by stimulating 
support for the doctrine of "differing roads to 
socialism," a heresy that is now threatening the 
monolithic structure of the Soviet empire. 

For a time during the Hungarian revolution the 
ranks in the Soviet leadership had closed, and 
Khrushchev personally as well as his opponents 
must bear the responsibility for the ruthless inter- 
vention in November 1956. The scars of dissent 
remained, however, and in the indictment of Molo- 
tov by the Central Committee his Yugoslav and 
Austrian policies are the subject of particular 
criticism. Hungary goes unmentioned. 

Moscow's future policy toward the European 
satellites remains unresolved. Though Molotov 



642 



was vigorously attacked for his mistaken attitude, 
Khrushchev, since the Polish and Hungarian re- 
volts, has feared the contagious iiifluence of grant- 
ing more freedom anywhere. Certainly none of 
the Soviet leaders cares to remember the precepts 
of Lenin, who had this to say in 1917 : 

If Finland, if Poland, if the Ukraine break away from 
Russia there is nothing bad about that. . . . No nation 
can be free if it oppresses other nations. 

These were the major issues on which 
Khrushchev fought for, and by an eyelash won, 
the leadership of the Soviet Union. 

There are many other burning problems facing 
the new group ruling the Soviet Union. 

East-West Contacts 

First of all, they have the problem of East- 
West contacts, which, for propaganda purposes 
at least, they strongly claim to favor. Can the 
leaders really permit the people of the U.S.S.R. 
to have knowledge of the facts of life ? Do they 
dare open up to the press, to radio, to television? 

Except for certain supervised and guided tours, 
the answer to this so far seems to be "no." We 
can guess how frightened they are from their 
panicky warnings to Soviet youth about being de- 
ceived by the words of the American boys and 
girls who went to Moscow recently for the big 
Soviet youth festival. 

Similarly, they do not dare publish such docu- 
ments as the Khrushchev secret speech, the U.N. 
report on Hungary, nor the basic attack on Com- 
munist doctrine by the Yugoslav, Djilas, in his 
recently published book, The Neui Class. 

Instead of dealing with such criticisms openly, 
Soviet leaders try to sweep them under the rug 
and keep their own people in the dark. 

There was recently published in Moscow a 
highly realistic novel with the eloquent title Not 
By Bread Alone. It evoked great popular in- 
terest in the U.S.S.R. because it showed some of 
the seamier side of political life and bureaucracy 
in the Soviet Union today. All the big guns of 
the Soviet regime began to fire at the author, 
Dudintsev, and Khrushchev himself recently lam- 
basted the book as misguided and dangerous. It 
is significant that they have not yet banned it. 
Probably they were too late in realizing its subtle 
attack on the foundations of the Communist sys- 
tem. 

By and large tlie bulk of the Russian people 

Department of Sfafe Bulletin 



1 



still live in a dream world about everything out- 
side the U.S.S.R., and the most tragic part 
about this is the distorted facts and fancies the 
Soviet leaders give their own people about the 
allegedly hostile attitudes of Americans toward 
them. The exchange of a few controlled travel- 
ing delegations is not enough. The barriers to 
information and knowledge must be torn down. 

Intellectual Unrest 

The Soviet leadei's also have to deal with the 
problems created by their own educational system 
and by the development of an industrial and 
technical elite. Under the lash of its pellmell in- 
dustrialization program the U.S.S.R. in the past 
decade has enormouslj^ speeded up the education 
of the Russian people, particularly in the scientific 
and technical field. As a result, the U.S.S.R. is 
turning out hundreds of thousands of graduates 
of schools corresponding to our high schools and 
colleges. 

It is true that in their educational system they 
emphasize scientific and technical fields much 
more than social sciences and the humanities. 
But knowledge is not an inert substance. It has 
a way of seeping across lines and into adjacent 
compartments of learning. The Soviet leaders, I 
firmly believe, cannot illuminate their scientific 
lecture halls and laboratories without also letting 
the light of truth into their history and economics 
classrooms. Students cannot be conditioned to 
turning off their analytical processes when the in- 
structor changes a topic. 

Student and intellectual unrest is a troublesome 
challenge to a dictatorship. The Chinese Com- 
munists experimented briefly with placating critics 
by liberalizing their thought-control system — 
enunciating the doctrine known as "let a hundred 
flowers bloom, let a hundred schools of thought 
contend." In the face of the far-reaching criti- 
cisms promptly voiced by Chinese intellectuals, 
the Peiping regime quickly reversed itself and has 
only a few weeks ago resumed the practice of pub- 
licly executing students who dared to suggest that 
China's ills result in part from flaws in the Com- 
munist system itself. 

The education which Soviet and Chinese Com,- 
munist leaders give their people is a dangerous 
commodity for a dictatorship. Men and women 
who have their critical faculties sharpened are 
beginning to question why the Russian people can- 



not be freed from rigid Communist Party and 
police-state discipline, given a greater economic 
share of the fruit of their labors, and allowed to 
participate — at least by an effective expression of 
consent — in their own governing. 

In the past the Soviets counted particularly 
upon their ability to appeal with success to the 
youth and the students. In 1905 Lenin wrote. 

We are the party of the future but the future belongs 
to the young. We are the party of innovation, and it is 
to the innovators that youth always gladly gives its alle- 
giance. We are the party of self-sacrificing struggle 
against the ancient rot, and the young are always readiest 
for sacrificial combat — and we shall always be the party 
of the youth of the advanced class. 

That proud boast could not be made today. 
The Hungarian students were ready for combat, 
but against the Soviets, not for them. The deep 
disillusionment of the Polish youth with the So- 
viet-imposed version of communism can bo read 
in their brilliantly edited publications, and in spite 
of Soviet censorship there is evidence that they 
are read eagerly by those who can obtain them in 
the Russian universities. 

The Soviet Government can still organize mas- 
sive propaganda circuses like the recent Moscow 
youth festival. They can train an ever-increasing 
number of young scientists and technicians. 
They can bribe the ambitious with the rewards 
of power and special privilege in the swollen 
bureaucracy. But they are finding it increas- 
ingly difficult to enlist in their cause the self- 
sacrificing and idealistic young men that Lenin 
once so counted on and who are the real motive 
power of successful revolutionary movements. 

The Soviet leaders also have the growing prob- 
lem of the teclinical and managerial elite which 
has been created to run Soviet industry — now 
being decentralized. It will not be easy to re- 
strain this class of people from using its critical 
skills to question the cumbersome governmental 
and Communist Party bureaucracy and what it 
is doing — or not doing — to give the members of 
that elite a better life. 

Probably it is out of respect for the growing 
perceptiveness of the people of Russia, and at 
least out of recognition of popular yearning for 
peace, that Soviet leaders have been forced to give 
lip service to disarmament, another grave prob- 
lem before the Moscow leaders. Now that the 
issue of conceding some form of inspection and 
control in the U.S.S.R. is squarely presented. 



October 27, 7957 



643 



they are hesitating. This prospect goes against 
every tradition and instinct of the secretive and 
suspicious Communist dictators. 

These are some of the practical issues which 
Khrushchev now faces. There is no easy solution. 
After all, dictatorships, whether of the Stalin or 
of the Hitler type, can for a time exact great 
sacrifices from their peoples and achieve great 
materialistic accomplishments. In fact, for a 
limited period, it may be easier for a dictatorship 
to make steel than bread and butter — easier to 
build a mighty war machine than to satisfy the 
moral, spiritual, and material needs of a great 
and diverse people. This is certainly the case 
with the Communist dictatorship in the 
U.S.S.E. 

Today communism is more valuable as an article 
of export than it is as a solution for the problems 
of a country like the Soviet Union, which is mak- 
ing great strides in fields of material progi'ess 
but which has still found no way of creating a 
government which can meet the needs and aspira- 
tions of its people. 

Communism's Appeal in Underdeveloped Areas 

Undoubtedly in many areas of the world, par- 
ticularly those recently freed from colonial rule, 
the image of communism still has an appeal. It 
seems to combine the advantages of strict disci- 
pline at the top with the promise of quick indus- 
trialization. These factors appeal to new nations 
struggling with the task of making a government 
work among peoples who have had little experi- 
ence with it and who at the same time have the 
desire to become quickly an industrial force in 
their own right. 

The politically unsophisticated peoples of the 
underdeveloped nations have yet to learn wliat the 
peoples of the Communist world are slowly com- 
ing to understand about Marxism and industrial 
growth. Djilas, the Yugoslav Communist heretic, 
put it well : 

Modern communism began as an idea with tlie incep- 
tion of modern industry. It is dying out or being elim- 
inated in those countries where industrial development 
has achieved its basic purposes. It flourishes in those 
countries where this has not yet happened. 

In fact, I would add to this that the force of 
ideological communism seems weakest in those 
countries, like the U.S.S.K., where it has been the 



longest in control. It has its strongest appeal to 
the minds of these peoples in the underdeveloped 
areas of the world where they have had no prac- 
tical experience with it. 

Viewed in broad perspective, communism is 
only one of the many great revolutionary move- 
ments that have swept into world history. Such 
movements seemed to combine an ideology or a 
faith expressed as a program of action and a dis- 
cipline through a political or military machine 
capable of organizing the energies of the people 
in order to carry out the ideas that have captured 
their imaginations and loyalties. 

Analogy Witli tlie French Revolution 

I realize that historical analogies are notori- 
ously treacherous. But there may be food for 
thought in comparing the evolution of Soviet com- 
munism with the classical periods of revolution- 
ary movements. Possibly the closest parallel in 
history is with the French Revolution. 

The pattern seems to be tliis : The intellectuals 
desert their political institutions and adopt what 
they call a reform program. Then revolutionary 
elements take over from the intellectuals and seize 
power, generally beginning with the moderates of 
the Danton type and passing through the extrem- 
ists like Robespierre, with a reign of inhuman zeal 
and terror. Successive groups of leaders are de- 
stroyed with each change in the tempo of the revo- 
lution. As Vergniaud said in the course of the 
French Revolution, "The Revolution, like Saturn, 
devours its own children." Eventually, human 
nature rebels and demands a more normal life. 
Then the practical political and military leaders 
depose the extremists. 

Finally, in the case of the French Revolution, 
there was the temptation, to whicli they quickly 
yielded, to indulge in foreign military adventure 
and eventually the access to power of the military 
man on horseback, Bonaparte. There is, nat- 
urally, considerable speculation these days as to 
whether this last phase of the Frencli Revolution 
will be repeated in the case of Soviet communism. 
I have no crystal-ball answer, but certainly mili- 
tary dictatorship is one of the possible lines of 
evolution in the Soviet Union. 

From this analysis of developments in the 
Soviet Union it is fair to conclude that I believe 
that the old Communist dialectic of Marx, Lenin, 



644 



Department of State Bulletin 



and even Stalin does not answer the problems of 
the Soviet Union today, either those of its indus- 
trial growth or of its lasting control over the great 
peoples living within the Soviet Union. 

It would flow from this that Khrushchev and 
whomever he may associate with himself in the 
leadership, assuming he keeps his control for a 
time, will have to determine how they are going 
to accomplish this dual task. Will they meet it by 
further relaxation, thereby increasing the moral 
and industrial potential of the Soviet Union itself 
and the prospects of peace but risking the loss of 
the satellite countries? Will they attempt a re- 
version to something like Stalinism under another 
name, as some of the tough, uncompromising lan- 
guage and actions from ]\Ioscow of recent days 
would suggest ? Or will they be tempted to risk 
foreign venture with a view to uniting their people 
and their energies to meet alleged enemies they 
claim are encircling them? 

Emphasis on Industry and Armament 

These are the issues. I would not wish to sug- 
gest that what I have refeiTed to as the decline of 
the Marxist communism has left the Soviet Union 
materially weak in facing them. The Soviet may 
be ideologically less menacing ; tecluiologically its 
power is still increasing. 

Throughout the entire revolution, once the Com- 
munist regime was firmly established in Russia, 
the emphasis was placed on heavy industry and on 
building up the war machine. This has been a 
constant policy and has been one phase of Soviet 
life that has not been affected by changing leaders 
or interpretations of Communist ideology. After 
all, the men who are at the helm in the Soviet 
Union are not the original revolutionary heroes. 
Khrushchev and Mikoyan and their henchmen be- 
long to the ever-present class of political careerists 
who see in a revolutionary movement the path to 
power and privilege. They did not make the 
revolution, like Lenin. It made them, and they 
want above all else to preserve their positions. 

While Marxism at one time or another has in- 
vaded most segments of Soviet life, including the 
army with its political commissar and indoctri- 
nation agents, those who have planned the Soviet 
military buildup have been little hampered by it. 
In their concentration on the fields of nuclear 
energy, aircraft design and construction, and the 

October 27, 1957 

443564 — 57 3 



development of guided missiles, they experienced 
little ideological interference except during brief 
periods of Stalin's last hectic days. 

Take, for example, the case of guided missiles. 
Here they never ceased work from the days of 
1945, when they took over the German missile 
installation at Peenemuende with its rockets of a 
range between 150 to 200 miles. Now we know 
they have developed modem missiles of many 
times the power and efficiency of the German war- 
time models. 



Contradictions in the U.S.S.R. 

The Soviet Union which we face today presents 
a series of contradictions. Its leader has prac- 
tically unrestrained power except for such control 
as the military may exercise, backed by a formi- 
dable war machine— a leader committed by his 
expressed policies to improve the lot of his 
people and presumably committed also to relax the 
harsh controls of Stalin, which he has described 
so vividly himself and which he purports to abhor. 

At the same time, this leader, Klirushchev, faces 
the dilemma that any substantial relaxation at 
home or abroad, given the nature of the Commu- 
nist dictatorship as it has evolved, may spell his 
own downfall. For he faces, and he knows it, a 
people who are questioning the basic tenets of 
Marxist communism and, in particular, a student 
body that is becoming more and more vocal in de- 
manding the truth and may not be satisfied with 
half measures. 

The Communist leaders are also facing a grow- 
ing body of highly educated, technologically com- 
petent men and women in the field of industrial 
management and production. It may prove im- 
possible for them to stop the growing wave of 
intellectual unrest in the Soviet Union. Khrush- 
chev cannot turn back education or stop technolog- 
ical development and keep the U.S.S.R. a great 
power. 

Yet Khrushchev seems to be in a hurry to solve 
a whole series of such problems as I have described 
and gain the personal success necessary to main- 
tain his own position. 

In addition to all this, he has deeply committed 
himself in certain foreign adventures, particularly 
in the Middle East — partly, it may be assumed, to 
distract attention from problems at home and in 
the satellites. All this rightfully makes us 



645 



cautious in our judgments and does not suggest 
that there are any quick or easy ways out in our 
relations with the U.S.S.R. 

But over the longer range we can rest assured 
that revolutionary Communist tyranny cannot 
provide a final answer or a satisfactory answer to 
the needs of a civilized community. No power on 
earth can restore the myth that communism is the 
wave of the future, after 10 million Hungarians, 
after a decade of experience with it and at the risk 
of their lives, gave it such a resounding vote of "no 
confidence." 

The people of Russia, if given the time to con- 
tinue their evolution to freedom out of the narrow 
bounds of Communist dictatorship, will them- 
selves help to find a peaceful answer. 

U.S.-Yugoslav Economic Talks 

Press release 559 dated October 4 

Representatives of the Yugoslav Government 
headed by Yugoslav State Secretary for Finance, 
Mr. Avdo Humo, following a preliminary meet- 
ing with Secretary of State John Foster Dulles, 
have conferred for the past several days with 
United States officials headed by the Deputy Un- 
der Secretary of State for Economic Affairs, Mr. 
C. Douglas Dillon. The discussions covered the 
whole range of Unit«d States- Yugoslav economic 
relations and have contributed to a clearer under- 
standing on the part of both Governments of eco- 
nomic problems of mutual interest. 

During the couree of the discussions the Yugo- 
slav representatives reviewed the efforts and steps 
being taken by the Yugoslav Government to re- 
solve certain long-term problems of the Yugoslav 
economy and to create conditions for a further 
integration on a multilateral basis of the Yugo- 
slav economy with the world economy. A number 
of Yugoslav economic development projects, which 
are now being planned, were described. The con- 
tinuing need of Yugoslavia for imported food- 
stuff's was also outlined. 

The United States representatives agreed to 
give further study to the development projects 
described by Yugoslav representatives. It was 
also agreed that negotiations for the sale of United 
States surplus agricultural commodities under 
Public Law 480 would be undertaken shortly be- 
tween United States and Yugoslav officials in 
Belgrade. 



Meeting of ANZUS Council 

Press release 558 dated October 4 

The ANZUS Council met in Washington Octo- 
ber 4, 1957. The Right Honorable Richard G. 
Casey, Minister for External Affairs, represented 
Australia; the Honorable Thomas L. Macdonald, 
Minister of External Affairs, represented New 
Zealand; and the Honorable John Foster Dulles, 
Secretary of State, represented the United States. 

This meeting was one of a regidar series in 
which the Council members discuss implementa- 
tion of the Security Treaty between Australia, 
New Zealand and the United States which was 
signed at San Francisco on September 1, 1951.^ 
The Council, established under the terms of the 
treaty, provides a forum in which the Foreign 
Ministers of the three governments can, in accord- 
ance with the Charter of the United Nations, fur- 
ther the mutual objective of strengthening their 
relationships in matters pertaining to the main- 
tenance of international peace and security. 

The Ministers reviewed events affecting the 
three countries since their last Council meeting on 
November 17, 1956.^ In addition to a general ex- 
change of views on major world problems, the 
representatives specifically expressed their belief 
that the Southeast Asia Treaty Organization, to 
which all three nations adhere, will continue to 
make a significant contribution to the security and 
well-being of Southeast Asia. 

The delegations also included, for Australia: 
Sir Percy Spender, the Ambassador to the United 
States; Lieutenant General Sir Henry Wells, 
Chief of the General Staff; and Mr. Arthur 
Tange, Secretary, Department of External Af- 
fairs; for New Zealand: Mr. G. D. L. White, 
Counselor of the Embassy of New Zealand in the 
United States; Major General C. E. Weir, Chief 
of the General Staff; and Mr. George R. Laking, 
Deputy Secretary of External Affairs; and for 
the United States : Mr. Christian A. Herter, Un- 
der Secretary of State ; Mr. Walter S. Robertson, 
Assistant Secretary of State; Mr. G. Frederick 
Reinhardt, Counselor, Department of State; Mr. 
Mansfield Sprague, Assistant Secretary of De- 
fense ; and Admiral Felix B. Stump, Commander- 
in-Chief Pacific. 



• For text, see Bulletin of July 23, 1951, p. 148. 
' Ibid., Nov. 26, 1956, p. 839. 



646 



Departmenf of State Bulletin 



Cooperation in International Economic Affairs 



hy WiUard L. Beaulac 
Ambassador to Argentina'^ 



1 have been in the Foreign Service long enough 
to have reminiscences, and I thought it might be 
of interest to review some of the changes that I 
have observed in our Govermnent's attitude to- 
ward international economic affairs since I en- 
tered the Foreign Service several years ago. 

In the early twenties the emphasis in interna- 
tional economic matters was on what we called 
protection of American interests. There was no 
Export-Import Bank, there was no International 
Bank. Trade and banking were carried out en- 
tirely by private concerns. 

Our Government tried through treaties to ob- 
tain fair, nondiscriminatory treatment for Ameri- 
can interests. Once in a gi'eat while it negotiated 
a commercial treaty with a foreign government. 
Treaties tended to stay in effect a long time, and 
in between there was very little to do in the way of 
negotiation. During the interim our relations 
with foreign governments in the international eco- 
nomic field had to do principally with the pro- 
tection of private interests, which meant the pro- 
tection of the interests of private persons and 
firms. 

Protection sometimes took the form of collect- 
ing bills from governments. If a private firm 
sold goods to a foreign government or entered into 
a contract with it and the foreign government did 
not pay, then our Government was asked to col- 
lect the bill and frequently it did so, or at least 
it tried to do so. The bill-collecting business was 
pretty brisk in certain parts of the world. 

Rivalry was the keynote in international eco- 
nomic relations in the twenties. Our traders com- 
peted with the traders of other countries, and our 



^ Address made before the American Chamber of Com- 
merce at Buenos Aires on Sept. 30. 



Government's agents abroad were supposed to help 
them in this job. None of us in those days would 
have thought it possible that we would some day 
help to build up the economic strength of coun- 
tries like Germany and Japan so that they could 
give us stiff' competition in the international eco- 
nomic field. 

Within this economic rivalry emphasis was on 
exports. The idea was to sell as much as you 
could and buy as little as you could. That pro- 
duced what was fondly known as a favorable bal- 
ance of trade. The Department of Commerce of 
the United States spent millions of dollars of the 
taxpayers' money helping exporters to sell goods 
that other countries couldn't pay for. Private 
banks sold bonds to American investors to provide 
loans which foreign countries couldn't repay. 

This process ended in the late twenties and the 
early thirties with worldwide economic depression. 

Cooperation in the Twenties 

Even in the twenties we had a kind of elemen- 
tary system of cooperation with other countries of 
the type now commonly known as "point 4." Our 
Government helped countries to build roads. The 
automobile producers, for some reason, seemed to 
be the principal supporters of this kind of activity. 
We helped countries to improve their public 
health on the theory that mosquitoes and other 
menaces to health don't respect frontiers and that 
public health, therefore, is a common problem. 

We also helped certain countries to reorganize 
their finances. This last was a part of what be- 
came known as dollar diplomacy. Dollar diplo- 
macy was criticized by a great number of people, 
but it contained the germ of a good idea which 
later produced the Export-Import Bank and 



Oc/ober 2?, 7957 



647 



other similar phenomena which have become com- 
mon and are today accepted without reservation. 

When point 4 became a part of our diplomacy, 
little attention was given to financial matters. We 
lent technical assistance in such fields as public 
health, agriculture, and vocational education ; but 
the field of fiscal policy was left untouched. 

During the last few years we have come to 
realize that in many cases fiscal policy lies at the 
bottom of the troubles of some of the countries 
with which we want to have cooperative relations 
and which want to have cooperative relations with 
us. The phenomenon of inflation and its unfor- 
tunate results in hindering economic development 
or in distorting the development that does take 
place has become all too common. It looks as 
though helping other countries to reorganize their 
finances was not a bad idea. (Some people seem 
to think that reorganizing our own finances would 
not be a bad idea either !) 

It is more and more recognized today that eco- 
nomic development depends basically on three 
things: sound fiscal policies, efficient development 
of natural and human resources, and profitable 
international trade. That seems to be the secret 
of success in the economic field, and the fine thing 
about it, of course, is that it's no secret at all. 

The Export-Import Bank was founded in the 
thirties in oi"der to finance exports. It was an in- 
strument to help bring about our own economic 
recovery and to help bring about the economic 
recovery of other countries. Its principal activity 
continues to be the financing of exports, and it has 
grown to be a very important and even an indis- 
pensable instrument of economic cooperation be- 
cause it has provided financing for economic de- 
velopment in other countries which, in many or 
most cases, was not available from any other 
source. The United States, of course, as a mem- 
ber and as a source of dollar financing, also has 
had a very prominent part, as we know, in the 
operations of the International Bank. 

Our reciprocal trade agreements program con- 
stituted a very important step in the liberalization 
of our international trade. Today two-thirds of 
our imports from Latin America enter the United 
States duty free. The average duty on the re- 
mainder is less than 10 percent. This remains one 
of our greatest contributions to the economic de- 
velopment of other countries and, of course, to 
our own economic development. 



Today the Foreign Service spends very little of 
its time on what used to be known as protection of 
American interests. Rivalry in the international 
economic field still exists, of course, but it has been 
subordinated to cooperation. There is nearly uni- 
versal recognition in the free world that the pros- 
perity of one country is directly related to the 
prosperity of other countries. We Itnow now that 
we cannot sell unless we buy. Indeed, the need 
to buy in order to produce adequately for do- 
mestic consumption has become more and more 
evident. 

In the circumstances the Foreign Service is con- 
cerned more with the protection of the general 
interest of the United States and of the countries 
with which the United States wishes to cooperate 
than it is with the protection of individual private 
interests. It is concerned more with helping to 
create conditions in which all free countries can 
develop their economies, conditions which we have 
come to recognize are basic to the prosperity of all 
our countries. 



Fair Treatment for Private Capital 

We still try to impress upon foreign govern- 
ments the desirability of fair and equitable treat- 
ment of American private interests; but the em- 
phasis today is on the generally recognized prin- 
ciple that economic development and improve- 
ment of living standards, with reference to which 
our cooperation as a nation is frequently solicited, 
must be effected principally by private capital 
and private capital can operate efficiently and 
helpfully only if it is given fair and equitable 
treatment. 

Engineer Rodolfo Martinez, former Minister of 
Commerce and Industry of Argentina, has ex- 
plained the new situation in words difficult to im- 
prove upon. In his address to the second plenary 
session of the recent economic conference, Engi- 
neer Martinez, speaking as representative of the 
Pan American Union of Engineers, said. 

Private enterprise, national or foreign, needs the faith 
of the people and the respect of the country, the guaranty 
of the law, the inviolability of its rights, security for its 
profits, and assurance of justice. Treaties between na- 
tions are not the important thing. Private capital re- 
sponds to stimulus and confidence ; every country is free 
within its political, economic, or social philosophy to open 
Its doors or to close them. Each country has the right 
to legi-slate and defend its interests. Happily the day is 
long past when the country where investments originated 



648 



Department of State Bulletin 



could rattle its arms in order to influence a government ; 
but this circumstance creates a great responsibility. So- 
lution of the economic problem for that very reason de- 
pends on the country's own conduct. 

U.S. as Government and as Banker 

The fact that the Government of the United 
States, through the Export-Import Bank and 
tlirough other instruments, has assumed such an 
active role in the economic develojjment of other 
countries naturally makes our relations with other 
countries much more complicated than they used 
to be. It means that our Government in the in- 
ternational field acts not only as a government 
but as a banker, and frequently the two roles are 
confused in the public mind. 

For example, we are continually being told by 
other governments and by the press and public 
in other countries that we should do things in the 
economic field that would produce certain results, 
or that it is hoped would produce certain results, 
in other countries. These suggestions frequently 
are not addressed to the Government of the United 
States as government but to the Government of 
the United States as banker. This sometimes cre- 
ates awkward situations for the United States as 
government because what the United States as 
banker can do in another country depends on 
what that country, itself, is doing in the economic 
field. On the other hand, we are inhibited by 
tradition from making public suggestions con- 
cerning what other countries should do within 
their own borders because if we made such sug- 
gestions we would appear to a great many people 
to be making them as government. The distinc- 
tion between the United States as government and 
the United States as banker would not be clear. 
We would appear to be on the narrow edge of 
intervention, in other words. 

This is only one of many complications which 
characterize our international relations today. 
Traditions which grew up under vastly different 
circumstances persist in newer circumstances. 
Adjustment takes time. 

There is no acceptable alternative to the kind of 
cooperative relationship which has grown up nat- 
urally out of the troubled history of the last three 
decades. Certainly we will never return to a 
philosophy of trying to sell without buying. Few 
people will argue in the days to come that our 
prosperity and our tranquillity are not directly 



related to the prosperity and tranquillity of other 
areas of the world, and few in any counti-y will 
argue that any of us can live by himself. 

However, the fact that few people will argue 
in those terms does not mean that many will not 
act as though we could, in fact, live by ourselves, 
and it is here that it seems to me that our Ameri- 
can Chambers of Commerce abroad can be espe- 
cially helpful. 

Our Government is committed to a policy of 
liberalism in the international economic field, but 
the extent to which it can carry out that policy 
depends on the support it receives from the citi- 
zenry. It seems to me that if I were a private 
citizen and a member of a Chamber of Commerce 
abroad, I would take very careful note every time 
I heard of an effort being made by a pressure 
group to cause the Government of the United 
States to act as though our prosperity and our 
security were unrelated to the prosperity and se- 
curity of other people, as though we could sell 
without buying, as though we didn't live in an 
interdependent world, as though we had learned 
nothing during the last 30 years. 

I would take note of this and give thought to 
what, as an individual and as a member of the 
chamber, I could do about it, certain in my mind 
that, if that group should succeed in placing its 
immediate interests above the interests of the 
United States, the first victims would be me and 
my associates in the Chamber of Commerce and 
the next victims would be my fellow citizens at 
home. 

Countries, like parents, influence others more 
by example than by preachment. As in the case 
of parents, that example isn't always of the best. 

Shakespeare explained the problem when he 
said, "If to do were as easy as to know what were 
good to do, chapels had been churches, and poor 
men's cottages princes' palaces." 

We would not want all our churches converted 
into cathedrals or our homes into princes' palaces. 
The upkeep would be excessive, and I know from 
experience in Buenos Aires that living in a 
prince's palace is not all that it's cracked up to be, 
although I hasten to add that I am not complain- 
ing. 

The liberal road is not an easy one to follow, 
but we know from experience that it is the only 
road that leads to economic improvement. 



Ocfober 27, 1957 



649 



World Bank Loan to Ecuador 
for Road Construction 

The International Bank for Reconstruction and 
Development announced on September 20 that it 
had that day made a loan of $14.5 million to 
Ecuador for the construction of four key roads 
and a 4-year road maintenance program. Im- 
proved transportation is a prerequisite to Ecua- 
dor's further economic growth, and measures now 
being taken by the Government to improve the 
national road network can be expected to have far- 
reaching effects. 

At present the national highway network totals 
2,000 miles of primary and secondary roads, of 
which only 200 miles are asphalted, 430 miles are 
cobblestone, and the rest are gravel roads in poor 
condition because of lack of maintenance. Under 
the program now being undertaken maintenance 
operations will be completely reorganized to pro- 
vide Ecuador with an organization staffed and 
equipped to carry out effective maintenance of 
these roads. District maintenance centers will be 
set up, workshops and warehouses will be estab- 
lished, new equipment will be purchased, and a 
training program for the operation and mainte- 
nance of the equipment will be carried out. The 
program will improve the condition of most of the 
national network and save the Government the 
costly alternative of rebuilding roads. 

The four new roads to be built will open up large 
areas of Ecuador's fertile but unexploited coast- 
land, and one of them will make possible all- 
weather motor transport between the populous 
mountain area around Quito, the Capital, and the 
tropical coastal region. The roads will have a 
total length of 330 miles. The longest of them, 
145 miles, will provide a vital link in an all- 
weather road between Quito and Guayaquil, 
Ecuador's largest city and chief port. The stretch 
from Guayaquil and Quevedo, where the new 
road will start, has already been put in good con- 
dition partly with the help of a bank loan of $8.5 
million made in 1954 for road improvements in 
the Providence of Guayas. The new road will run 
from Quevedo to Quito via St. Domingo and 
Aloag. It will traverse flat, rolling country at a 
low altitude over most of its length and will then 
climb 10,500 feet through the lowest pass in the 
Andes on down to Quito at about 9,000 feet. It 
will open up presently inaccessible fertile land be- 



tween Quevedo and St. Domingo, suitable for the 
cultivation of bananas and cacao. 

The second road runs from Duran, a town op- 
posite Guayaquil on the Guayas River, to Cochan- 
cay at the foothills of the Andes. It forms part of 
the highway connection between Guayaquil and 
Cuenca, Ecuador's third largest town. The work 
to be undertaken on this road is mainly reconstruc- 
tion. A paved all-weather road in this area will 
reduce the losses in spoilage now incurred in 
transporting agricultural crops, particularly 
bananas, to Guayaquil for export and reduce 
motor- vehicle operating costs. It will be the main 
artery for branch roads now being built in other 
parts of Guayas Province, among them, bank- 
financed roads. 

A third road, of 30 miles, will be built from 
Chone to Bahia de Caraquez, a port town on the 
Pacific. "VVlien this road is completed, agi'icul- 
tural export products from the Chone area can be 
transported directly to the port of Bahia in all 
seasons of the year. 

The foiu'th road, of 100 miles, from Chone to 
St. Domingo, will be constructed when work on 
the othei-s and on the maintenance program has 
progressed satisfactorily. It would pass through 
fertile but for the most part uncultivated land 
and through its connection with the Chone-Bahia 
road would provide the coastal hinterland with 
an access to the sea. 



Julius C. Holmes To Tour 
African Continent 

Press release 557 dated October 4 

Julius C. Holmes, Special Assistant to the Sec- 
retary of State, will leave Washington on Octo- 
ber 6 for a 10-week tour of the African Continent. 
He plans to visit American diplomatic and con- 
sular offices to study and prepare a detailed re- 
port for tlie Secretary of State on this increas- 
ingly imjjortant continent. He will be accom- 
panied on his tour by Charles N. Manning, who, 
as Executive Director for African Affairs, is re- 
sponsible for administrative matters affecting 
U.S. posts in Africa. 

Prior to his assignment as Special Assistant to 
Secretary Dulles, Mr. Holmes served at various 
times as Diplomatic Agent in charge of the U.S. 
Legation in Morocco, Assistant Secretary of State, 
and Minister at the American Embassy at I^ondon. 



650 



Department of State Bulletin 



During World War II he served in the U.S. Army, 
attaining the rank of brigadier general. 
Following is Mr. Holmes' itinerary : 

City Arrival Date 

Paris, France October 7 

Dakar, French West Africa October 9 

Monrovia, Liberia October 12 
Abidjan, Ivory Coast, French West Africa October 17 

Accra, Ghana October 20 

Lagos, Nigeria October 24 

Douala, French Caiueroons October 27 

Yaounde, French Cameroons October 28 

Douala October 29 
Brazzaville ( French Equatorial Africa ) October 30 

and Leopoldville (Belgian Congo) 

Johannesburg, South Africa November 2 

Durban, South Africa November 7 

Lourenco Marques, Mozambique November 9 

Tananarive, Madagascar November 11 

Salisbury, South Rhodesia November 13 

Dar-es-Salaam, Tanganyika November 16 

Nairobi, Kenya November 18 

Mogadiscio, Italian Somaliland November 21 

Addis Ababa, Ethiopia November 23 

Khartoum, Sudan November 27 

Benghazi, Libya November 28 

Tripoli, Libya December 3 

Tunis, Tunisia December 9 

Casablanca, Morocco December 11 

Rabat, Morocco December 12 

Tangier, Morocco December 13 

Paris December 14 

New York December 16 



President Decides Not To Reopen 
Escape-Clause Action on Watch Tariff 

White House press release dated October 4 

The President has concurred with the United 
States Tariff Commission's recent finding that no 
formal investigation should be instituted at this 
time to determine whether the tariff should be 
reduced on imports of watches. The President 
found, with the Tariff Commission, that there is 
not sufficient reason at this time to reopen the 
escape-clause action which resulted 2 years ago 
in an increase in the duty on imports of watches.' 
The President's decision means that the increased 
rate of duty established in July 1954 as the result 
of escape-clause action will continue to apply with- 
out reduction or other modification. 

The President's action was taken after various 
departments and agencies of the executive branch 



had been consulted. The Tariff Commission's 
study was made pursuant to Executive Order 
10401, which requires periodic review of affirma- 
tive actions taken under the escape clause. This 
was the Tariff Commission's second such periodic 
review of the 1954 watch-tariff increase. The 
Commission's report was submitted to the Presi- 
dent on July 25, 1957.= 



Journalists From NATO Countries 
Visit United States 

The Department of State announced on Sep- 
tember 30 (press release 549) that 11 journalists 
from 9 member nations of the North Atlantic 
Treaty Organization were arriving in Washington 
that day to commence a month-long coast-to-coast 
tour of the United States. They have been in- 
vited to visit this country under the International 
Educational Exchange Program of the Depart- 
ment of State as a means of promoting a better 
imderstanding abroad of the American people and 
policies of the U.S. Government. Their visit is 
intended to develop a better understanding on the 
part of the American people of their NATO allies. 

The Governmental Affairs Institute is cooperat- 
ing with the Department of State in planning the 
program of activities for the visiting journalists. 
Numerous state and municipal officials and private 
citizens throughout the country are assisting in 
making local arrangements and providing hos- 
pitality to the newsmen. The countries repre- 
sented by those in the group are Canada, Denmark, 
France, Germany, Greece, Italy, Luxembourg, 
the Netherlands, and the United Kingdom. 

The group will spend several days in the 
Capital, where their activities will include brief- 
ings by various officials of the Departments of 
State and Defense. From Washington they will 
make a trip to Williamsburg, Va., and from there 
will go on to Louisville, Ky., to remain until 
October 10. Other cities on their itinerary in- 
clude Lubbock, Tex. (October 10-15) ; Seattle, 
Wash. (October 15-18) ; San Francisco, Calif. 
(October 18-21) ; Denver, Colo. (October 21-25) ; 
and New York, N. Y. (October 25-29). They 
will leave New York on October 29 to return to 
their home countries. 



' BtT.LETiN of July 18, 1955, p. 113. 
October 27, 1957 



' Copies of the Commission's report may be obtained 
from the U.S. Tariff Commission, Washington 25, D.C. 



651 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



United Nations Moves To Reduce U.S. Siiare of Assessments 



Stateirisnts hy A.S. J. Camahan 

U.S. Representative to the General Assembly 



STATEMENT OF SEPTEMBER 301 

I am very pleased to be here and to undertake 
consideration of the items on our agenda with such 
distinguished colleagues. Although this is the first 
General Assembly in which I have participated as 
a member of the United States delegation, I have 
followed with keen mterest the work of the United 
Nations and the specialized agencies for a number 
of years. I serve as a member of the Committee 
on Foreign Ailairs of the House of Representa- 
tives, and that committee, of course, deals with 
considerable detail with United States participa- 
tion in international organizations. 

I have not previously had the privilege of dis- 
cussing this question of the scale of assessments 
in the Fifth Committee. However, as a member 
of tlie United States Congress, I am somewhat 
familiar with past discussions concerning the 
United Nations scale of assessments. At the very 
outset I want to make clear the concern I feel be- 
cause of the decision taken on this question at 
last year's General Assembly session ^ and the 
seriousness with which I urge your support for 
the proposal which the United States has tabled 
this year.^ 

Most of the members of this committee, I am 
told, have served here for many years. Accord- 
ingly, there is no need for me to attempt to give 
a detailed history of the consideration of the scale- 
of-assessment question. I believe, however, that 
it will be helpful if I attempt to summarize as 



"Made in Committee V (Administrative and Budg- 
etary) on Sept. 30 (U. S. delegation press release 2745). 
' BtTLLETiN of Dec. 24 and 31, 1956, p. 997. 
' U. N. doc. A/C.5/L.458. 



briefly as possible the background of the United 
States proposal. 

Background of U.S. Proposal 

In the first Assembly session in 1946 it was de- 
cided that contributions of members to the regular 
budget of the organization should be based 
broadly on capacity to pay. The use of the word 
"broadly" was a recognition of the fact that ca- 
pacity to pay could not be the sole criterion in 
fixing all assessments. 

In that very first session much thought was 
given to the question of how to fix the contribution 
of the highest contributor, since it quickly became 
evident that application of a capacity-to-pay prin- 
ciple alone would produce a result which was ab- , 
surd. It was estimated at that time that the ca- 
pacity to pay of the United States was about 60 
percent relative to that of the total capacity of 
other members. The Contributions Committee 
recognized that in an organization of this kind 
no state should be permitted to exercise an influ- 
ence which would inevitably be attached to a fi- 
nancial contribution of 60 percent of the budget, 
and so it proposed a United States assessment of 
49.89 percent. 

Senator Arthur Vandenberg, who then rep- 
resented the United States, urged a recon- 
sideration of the proposal of the Contributions 
Committee and made the following statement, 
which I believe was eminently sound and which 
represents the position of tlie United States : 

This is not a question as to what we can afford to pay. 
We — and you — can afford to pay anything, in material 
values, to achieve the goals of the United Nations. This 



652 



Deparfment of State Bulletin 



is, with us, solely a question of what is right and tcise 
and just as between partners in this common enterprise. 

Upon tlie further consideration requested by 
Senator Vandenberg, the Assembly decided to fix 
the initial assessment of the United States at 39.89 
percent. This decision recognized the fact that 
the fixing of the maximum contribution of any 
one state in an organization of sovereign states 
was largely an arbitrary matter for which there 
was no fixed formula. It recognized the fact that, 
although, of course, capacity to pay was one im- 
portant consideration in making such a determina- 
tion, so also was the size of the membership ; that 
is, the total niunber of members of the organiza- 
tion, and the fact of their sovereign equality. 

In 1948, wlien this organization had 58 mem- 
bers, the General Assembly took a further step 
and recognized that in normal times, that is, when 
there had been a recovery from tlie results of the 
last great war, no one state should pay an assess- 
ment of more than one-third of the ordinary ex- 
penses of the organization. The principle thus 
recognized did not become effective, however, un- 
til January 1, 1954, when the organization had 
grown to a membership of 60. 

Then in 1955 came a very important new de- 
velopment. Sixteen new members were admitted 
to the United Nations. This was an increase in 
membership of more than 25 percent. The assess- 
ment percentages of new members were fixed by 
the Contributions Committee in the spring of 
1956, and a decision then had to be taken at the 
last General Assembly concerning the incorpora- 
tion of these percentages into the 100 percent scale 
of assessments. The United States believed that 
these new contributions totaling 6.36 percent 
would be incorporated into the scale of assess- 
ments by giving pro rata percentage reductions to 
all member states. It seemed clear to the 
United States that, if the scale of assessments was 
equitable in 1955, when it was approved by the 
Assembly, then only a pro rata reduction to 'all 
member states would insure that the scale re- 
mained equitable. Accordingly, the United 
States Government was very much concerned 
when the Contributions Committee recommended, 
and the Assembly decided, that the United States 
should be excluded from the pro rata reductions 
given to all other member states except those pay- 
ing a minimum percentage. This appeared to us 
to be a reversal of the policies which had governed 



General Assembly action in this matter from the 
beginning. AVhat had always been considered as 
a ceiling of 33% percent on the contribution of the 
highest contributor was now considered to be in 
reality a floor regardless of how many members 
the United Nations had. 

We do not believe this was the intention of the 
General Assembly when it passed resolution 238 
(III) in 1948, which stated that the Assembly 
"accepts the principle of a ceiling to be fixed on 
the percentage rate of contributions of the Mem- 
ber State bearing the highest assessment." In 
1952, in resolution 665 (VII), the Assembly de- 
cided "that from 1 January 1954 the assessment 
of the largest contributor shall not exceed one- 
third of total assessments against Members." 

This, Mr. Chjfirman, is one of the reasons the 
United States delegation at the 11th session of 
the General Assembly pressed so insistently for a 
debate on this issue at the opening of this session. 
We believe it is essential that this point be 
clarified. 

The basic principle accepted as early as 1948 
was that no one member should pay a preponder- 
ant share. We continue to subscribe to that prin- 
ciple. We maintain that its application as 
expressed in a specific figure may vary from time 
to time and is open to discussion when there are 
material changes in the total situation. We be- 
lieve that, when the Assembly established 33% 
percent as a ceiling on the maximum contribution, 
it left to the future the possibility of reducing the 
assessment of the largest contributor below that 
maximum, as circumstances warranted. As you all 
know, there was little chajige in membership be- 
tween 1948 and 1955^and therefore little reason to 
consider a change in the 'maximum assessment for 
one member. 

I know that all govermnents and all represent- 
atives in the Fiftlj Committee have a strong de- 
sire to decrease financial contributions when 
possible. I, as a member of the United States 
Congress, can imderstand wliy other govern- 
ments desired as large a reduction as possible in 
their percentage contributions last year, but I 
must say frankly I find it difficult to understand a 
decision which ignored the language of resolutions 
238 (III) and 665 (VII) and excluded the United 
States from any reduction. 

I want to make it very clear that I recognize 
that the Contributions Committee and govern- 



Oc/ober 21, J 957 



653 



ments which supported the recommendation of 
that Committee acted in good faith. Neverthe- 
less, I am convinced that last year's decision over- 
looked a number of important considerations in 
the situation. 

In view of what I have said, you may have the 
impression that the United States intends now to 
challenge or attempt to upset last year's decision. 
This is not the case. We accepted that decision, 
although most reluctantly, last year and are now 
looking only to the future. I have discussed 
the past — perhaps not as briefly as either you or 
I hoped — only for the purpose of placing our 
present proposal in proper focus. 

Four Primary Principles 

Wlien last year the United States proposed that 
the Fifth Committee should reexamine tlie prin- 
ciples governing the scale of assessment, a num- 
ber of delegations may have feared that we wanted 
to reopen and reexamine all of the principles 
which have been used in setting the assessment 
scale and perhaps to revise many of them. This 
is not what we had in mind then or have in mind 
now. We consider that there are four jjrimary 
principles which are used in determining the scale 
of assessment. These are as follows: 

1. Contributions should be based hroadly on ca- 
pacity to pay, as measured by national income 
statistics, with adjustments for countries with low 
per capita incomes. 

2. There should be a ceiling on the maximum 
contribution of any one state. Since January 1, 
1954, the ceiling has been 33.33 percent. 

3. No country should contribute at a higher per 
capita rate than the largest contributor. 

4. There should be a floor under the minimum 
contribution. 

No one country shall contribute less than .04 
percent. We are concerned here only with the 
ceiling principle. We propose no modifications in 
the other principles of assessment I have men- 
tioned. 

In considering the present United States pro- 
posal, it should be noted that this year we are 
faced, first of all, with the necessity of instruct- 
ing the Contributions Committee how to proceed 
in establishing a scale of assessment for 1958. 
Our principal problem concerns what instructions 
to give that Committee with respect to the con- 
tributions of the six new members, which must 



654 



\ 



be incorporated into the 100 percent scale. We 
cannot be certain, but I believe that we are sub- 
stantially correct in assuming that these percent- 
age contributions will total between 2.1 and 2.5 
percent. 

We are also faced this year with the problem 
of instructing the Contributions Committee how 
to proceed in establishing a scale of assessment for 
the 3-year period subsequent to 1958. The Com- 
mittee, after meeting this October to consider the 
1958 scale, will presumably meet next spring to 
make a complete review of the scale and propose 
a new scale for 1959 and subsequent years. Thus 
we must decide at this session what guidance 
should be given to the Contributions Committee 
as to the interpretation and application of the 
principles which they must take into considera- 
tion. 

At the last session of the General Assembly the 
United States delegation gave notice in this Com- 
mittee that at this session it would press for a de- 
cision that the ceiling on the maximum contribu- 
tion of any one member should be reduced from 
33.33 percent to 30 percent. The United States 
proposal which is before you is designed to accom- 
plish this. 

In the informal discussions of this matter which 
I have had with other delegations, I find that 
perhaps the United States has not yet succeeded 
in making completely clear exactly why it is mak- 
ing this proposal. Several delegates have said to 
me that the United States cannot possibly be in- 
terested only in the saving of about 1.5 million 
dollars, which would occur when and if this pro- 
posal is fully implemented. I can confirm that 
they are right. Important as is this amount of 
money to any government, including that of the 
United States, it is clear that the United States 
could save that amount if absolutely necessary 
by reducing its many voluntary contributions to 
multilateral programs or by making a relatively 
small cut in one of its bilateral progi-ams. As 
Senator Vandenberg said in 1946, and Ambassador 
Lodge said here last year,* this is not a question 
of how much the United States can afford to pay. 
This is a question of jDrinciple. 

Sharing Responsibilities I 

The basic reason for our proposal is the fact I 
that, since January 1954, 22 new members have ; 



* BtiLLETiN of Dec. 24 and 31, 1956, p. 1001. 

Department of Sfafe BuWetin 



been admitted to this organization. This is an 
increase of more than 35 percent. The United 
States is now one of 82 members instead of one 
of 60 members. There is now a broader repre- 
sentation of the world's peoples. We welcome 
this. We believe that this should strengthen the 
organization. But — and we believe this sin- 
cerely — it will strengthen the organization only 
if this broader representation is accompanied by 
a broader sharing of responsibilities. Last year's 
resolution was a step in the opposite direction; 
namely, an increase in the concentration of finan- 
cial responsibility in the United States, since it 
kept the United States share at 33% percent while 
it spread the other 66% percent among the balance 
of the membership, including the 16 new members. 

We agree comjiletely with what our distin- 
guished Secretary-General has said in his annual 
report ^ concerning the nature of the United Na- 
tions. This is not a super state, but it is an or- 
ganization in which 82 sovereign states have the 
right to express their views and to make these 
views effective by voting on an equal basis. We 
also agree with the Secretary-General that we 
cannot realistically state that certain states are re- 
sponsible and that others are not. We all know 
that membership in this organization carries great 
responsibility for each of us. We all know too 
that, in an organization of equals, responsibility 
is not compatible with too gi'eat reliance on any 
one member. There is no question but that shift- 
ing financial burdens to another tends to dilute 
responsibility. We do not think it is in the best 
interests of this organization with its gi-eatly in- 
creased membership for it to continue to rely, in 
connection with its regular budgetary expenses, as 
heavily upon any one member as it has in the 
past. Even less is it in the interest of the organ!-. 
zation to reduce the financial responsibility of all 
save the maximum contributor so that relatively 
greater reliance is placed on that contributor than 
formerly. 

Now, I am the first to agree that, just as mem- 
bership in an organization on an equal basis car- 
ries responsibility, so also does material wealth 
cari-y responsibility. The United States has been 
greatly blessed and has prospered through the 
energies and efforts of its peoples, who have come 
here from all over the globe. Accordingly it has 
great responsibilities, and I think that any objec- 



' U.N. doc. A/3594 and Add. 1. 
Ocfober 27, 1957 



five observer will conclude that the United States 
has recognized these. The United States has 
made, and is continuing to make, large voluntary 
contributions to the progi'ams of the United Na- 
tions and its agencies. It is, for example, con- 
tributing at a 70 percent rate to the program de- 
signed to aid the Palestine refugees. You all 
also know, I believe, of the billioiis of dollars — not 
77ullions, but billions — which the United States 
has expended voluntarily in bilateral aid programs 
all over the world. 

I have said all this — perhaps at too great 
length — only to make clear that the United States 
position which is incorporated in the proposal 
before you is one of principle. We think that this 
proposal is designed in the best interests of the 
organization. 

Provisions of Draft Resolution 

Now, Mr. Chairman, I would like to discuss the 
provisions of the draft resolution which the 
United States has tabled. 

It will be noted that the first five preambular 
jjaragraphs are historical, and I assume that there 
will be no objection to these. The sixth preambu- 
lar paragraph incorporates a principle which I 
have already discussed at some length and which 
has been foll6wed implicitly by the Assembly 
from the beginning in fixing the maximum con- 
tribution of any one member state. 

Turning to operative paragraph (a), it will be 
noted that this embodies a decision in principle 
that the maximum contribution of any one mem- 
ber state to the regular budget of the United Na- 
tions should not exceed 30 percent of the total. 
This first operative paragraph thus provides for 
a decrease of 3.33 percent in the maximum con- 
tribution of any single member state. We believe 
that this is an equitable proposal, particularly 
when it is recognized that the membership of the 
organization has increased by more than 35 per- 
cent since the maximum contribution percentage 
was fixed at 33.33 percent. It is also equitable in 
light of the fact that the contributions of 22 mem- 
ber states admitted to the United Nations since 
Januai-y 1, 1954, will total in the neighborhood of 
9 percent. Further, it is equitable in light of 
the fact that subparagi-aph 2 of operative para- 
graph (c) makes clear that the reduction of the 
percentage contribution of the highest contribu- 
tor to 30 percent will not be completed until some- 



655 



time in the future when this is made possible by 
the admission of additional new members or by 
increases in the national income of the present 
members. 

Operative paragraph (b) is intended to make 
clear that the scale of assessments for 1956 and 
1957 shall remain as fixed by this Committee last 
year and that tlie contributions of the six new 
members admitted during those years be treated 
as miscellaneotis income for those years. 

Turning now to operative paragrapli (c), dele- 
gates will note that subparagi-aph 1 provides in- 
structions to the Contributions Committee con- 
cerning the establishment of the assessment scale 
for 1958. It provides that the Contributions 
Committee shall fix the assessment percentages of 
the six new members and incorporate them into 
the 100 percent scale. It provides that this in- 
corporation shall be accomplished by applying the 
total amount of the percentage contributions of 
these six newly admitted states to a reduction in 
the percentage contribution of the highest con- 
tributor and to consequential reductions in the 
percentage contributions of member states affected 
by the fer capita principle. This means that, in 
the 1958 scale, the United States will probably 
receive a reduction in its assessment percentage of 
approximately 2 percent. 

The final sentence in subparagraph 1 of the 
operative paragraph (c) is important since it 
makes very clear that this subparagi-aph will not 
result in the increase of the contributions of any 
member state for the year 1958. 

Subparagraph 2 of the operative paragraph (c) 
provides guidance for the Contributions Commit- 
tee in establishing scales of assessment for years 
subsequent to 1958. At this point, Mr. Chairman, 
I wish to amend slightly the last few words of the 
first sentence of this subparagraph as it appears 
in A/C.5/L.458. We have noted that the last 
phrase, reading "because of increases in relative 
fer capita income," does not express precisely 
what we had intended. Accordingly we are 
amending this phrase by striking out the words 
"per capita" and substituting the word "national" ; 
thus the last phrase should read "because of in- 
creases in relative national income." As thus 
amended, this subparagraph sets fortli tlie metliod 
whereby the maximum contribution of the higliest 
contributor shall be reduced eventually to 30 per- 



cent. It provides that tliis sliall be done only 
when new members are admitted or when the 
Contributions Conunittee finds substantial in- 
creases in tlie national income of present member 
states which might necessitate an increase in their 
l^ercentage contribution. Thus, the method set 
forth permits the reduction of the maximum con- 
tribution of any one state to 30 percent without 
requiring increases in the contributions of any 
other member state. The last sentence of sub- 
paragraph 2 spells out this principle clearly so 
that there should be no misunderstanding on this 
point in the mind of anyone. 

Mr. Chairman, I know that this has been a 
long and detailed explanation of our proposal. 
I think you must realize how strongly the United 
States feels about this problem. 

We in the United States believe wholeheartedly 
in the United Nations. We believe that it is a 
reasonable, just body which will give careful ex- 
amination to a problem and come up with a rea- 
sonable and equitable solution. I ask for this same 
careful consideration of the proposal which we 
have placed before you, in the belief that you will 
find it is reasonable and equitable. 



STATEMENT OF OCTOBER 9« \ 

Wlien, at our last meeting, the United States \ 
delegation accepted important amendments pro- ; 
posed by a number of delegations, we believed that ! 
we had gone very far in an attempt to reconcile ■ 
various points of view which had been expressed 
in this Committee. Nevertheless, several delega- ^ 
tions requested a further postponement of the vote | 
in order to allow additional consultation in an 
endeavor to secure even wider agreement. 

Accordingly, Mr. Chairman, we have had addi- 
tional consultations, and, as a result, we are now 
proposing one final modification of the United 
States draft resolution as pi'eviously amended. 

This modification, together with all previous 
amendments, is contained in the revised draft res- ' 
olution A/C.5/L.463, which is now before the 
Committee. 

The amendment which we are proposing today 
provides for tlie deletion of the former operative 



" JIade in Committee V on Oct. 9 (U.S. delegation press 
release 2761). 



656 



Department of State Bulletin 



paragraph c(2) — the paragraph which deals with 
tlie years following 1958 — and its replacement by 
three brief paragraphs numbered 2, 3, and 4. The 
new paragraph 2 refei-s to the period 1959-1961, 
for which the Committee on Contributions next 
year will recommend a new scale of assessments 
in the usual manner. During that 3-year period, 
the United States will receive further reductions 
in its contribution toward the 30 percent level only 
when new member states are admitted to the or- 
ganization. This is an expansion of the idea pre- 
viously incorporated in paragraph c(2), to the 
effect that the Contributions Committee should 
give particular consideration to the possibility of 
reducing the United States contribution by the 
application of the contributions of new members. 

This new paragraph 2 means that, if changes 
in the scale of assessments for 1959-1961 appear 
warranted to the Committee on Contributions in 
the normal course of events — that is, apart from 
the admission of new members — these adjustments 
will be made without affecting the contribution of 
the United States. 

The new paragraph 3 assumes the probability 
that the United States contribution will not be re- 
duced to the 30 percent level during the 1959- 
1961 period. Accordingly, it provides that there- 
after, for the years following 1961, the Committee 
on Contributions shall recommend such additional 
steps as may be necessary and appropriate to com- 
plete the reduction. 

The new paragraph 4 consists of the final sen- 
tence of the original paragi-aph c(2), as amended 
last Monday. 

I believe, Mr. Chairman, that the amendments 
wliich are proposed are quite simple and that it 
is apparent that they represent a further conces- 
sion by the United States. 

At this time, Mr. Chairman, I wish to express 
the appreciation of the United States delegation 
for the support which our proposal has already re- 
ceived from so many other delegations. We ap- 
preciate particularly the efforts of those delega- 
tions which have made special contributions to the 
effort to arrive at a general agreement in the 
Committee. 

I trust that we can vote on the revised United 
States proposal this morning and that an over- 
whelming majority of this Committee will sup- 
port the proposal. 



TEXT OF RESOLUTION AS ADOPTED' 

The Oeneral Asscmhiy, 

Recalling its resolutions 14 (I) of 13 February 1946, 
238 (III) of 18 November 1948, and 66.T (VII) of 5 De- 
cember 1952, regarding the aijportionment of the expenses 
of the United Nations among its Members and the fixing 
of the maximum contribution of any one Member State, 

Notim/ that when the maximum contribution of any 
one Member State was fixed at 33.33 per cent effective 
1 January 1954, the United Nations consisted of sixty 
Member States, 

Xoting further that since 1 January 1954, twenty-two 
Member States have been admitted to the United Nations, 

Recalling its resolution 1087 (XI) of 21 December 
1956, whereby the percentage contributions of the first 
sixteen new Member States admitted since 1 January 
19.54, were incorporated into the regular scale of assess- 
ments for 19.56 and 19.57 and these were applied to reduce 
tlie percentage contributions of all Member States except 
that of the highest contributor and those of the Member 
States paying minimum assessments, 

Noting that there are now six new Member States, 
Ghana, Japan, the Federation of Malaya, Morocco, Sudan 
and Tunisia whose percentage contributions have not yet 
been fixed by the Committee on Contributions or incor- 
porated into the 100 per cent scale of assessments, 

Decides that : 

(a) in principle, the maximum contribution of any 
one Member State to the ordinary expenses of the United 
Nations shall not exceed 30 per cent of the total ; 

(b) the percentage contributions fixed by the Com- 
mittee on Contributions for .Japan, Morocco, Sudan and 
Tunisia for 1956 and 1957, and for Ghana and the Fed- 
eration of Malaya for 1957 shall constitute miscellaneous 
income of the United Nations ; 

(c) the Committee on Contributions shall take the 
following steps in preparing scales of assessment for 
1958 and subsequent years : 

(1) The percentage contributions fixed by the Com- 
mittee on Contributions for Ghana, Japan, the Federation 
of Malaya, Morocco, Sudan and Tunisia for 1958 shall be 
incorporated into the 100 per cent scale for 1958. This 
incorporation shall be accomplished by applying the total 
amount of the percentage contributions of the six Jlom- 
ber States named above to a pro rata reduction of the per- 
centage contributions of all Members except those as- 
sessed at the minimum rate, taking into account the per 
capita ceiling principle and any reductions which may be 
required as a result of a review by the Committee on 
Contributions at its session commencing 15 October 1957, 
of appeals from recommendations made previously by that 
Committee. 

(2) During the three-year period of the next scale of 
assessments, 1959-1961, further steps to reduce the share 



'Adopted in Committee V on Oct. 9 (see U.N. doe. 
A/3698) by a vote of 43-17-17 and in plenary session on 
Oct. 14 by a vote of 89-16-16. 



Ocfofaer 27, 7957 



657 



of the largest contributor shall be recouimended by the 
Committee on Contributions when new Member States 
are admitted. 

(3) The Committee on Contributions shall thereafter 
recommend such additional steps as may be necessary and 
appropriate to complete the reduction. 

(4) The percentage contributions of Member States 
shall not in any case be Increased as a consequence of 
the present resolution. 



Question of Chinese Representation 
in the United Nations 

Following are the texts of statements by Henry 
Cabot Lodge, U.S. Representative in the General 
Assenibly, on the question of Chinese representa- 
tion in the United Nations. 



STATEMENT IN GENERAL COMMITTEE, SEP- 
TEMBER 19 

U.S. delegation press release 2732 

The delegation of India has requested the in- 
clusion in the agenda of an item on the question 
of the representation of China in the United Na- 
tions. They have characterized this in their ex- 
planatory memorandum as an urgent and im- 
portant matter. 

The views of the United States on the subject 
of China have been set forth in detail on many 
occasions, and I need not reiterate these views 
now. Let it suffice that we think that this request 
should be rejected and that the Assembly should 
adojDt a decision not to consider this matter dur- 
ing its 12th regular session. 

The United States, therefore, proposes that the 
General Committee recommend to the General As- 
sembly the adoption of the following proposal, 
which I will read out : 

The General Assembly, 

1. Decides to reject the request of India for the inclu- 
sion in the afrenda of Its Twelfth Regular Session of the 
additional Item entitled "The Representation of China 
in the United Nations", and 

2. Decides not to consider at Its Twelfth Regular Ses- 
sion any proposals to exclude the Representatives of the 



Republic of China or to seat the Representatives of the 
Central Peoples Government of the Peoples Republic of 
China. 

Let me simply say in explanation that this pro- 
cedure is the same procedure which was moved and 
adopted in this General Committee last year at the 
11th regular session and also at the 6th regular 
session. So there is a precedent for this. 

Part 1 of our resolution is a decision on the 
question of inscription, namely, to reject the re- 
quest for inscription. 

Part 2 of the resolution falls within the com- 
petence of the General Committee to make recom- 
mendations to the Assembly on the conduct of its 
business, and in this form it is a proposal that has 
been adopted by the General Assembly for sev- 
eral years since 1951. 

The United States delegation strongly recom- 
mends the expeditious adoption of this resolution 
in both of its parts in order to get on to the main 
business of the session. And we agi'ee with the 
representative of India that this is not the place 
to discuss substance, and I have not done so. 

[In a further statement Mr. Lodge said:] 

Mr. President, let me say, first, that I think the 
representative of India is everlastingly right 
when he says that here in this General Committee 
and in this context we should not discuss sub- 
stance. I shall certainly abide by the position 
that he has taken in that respect, and I con- 
gratulate him for it. 

This whole question has been gone into so often 
before at previous meetings of the General Com- 
mittee that I will only take a moment to comment 
on the rules in this regard. 

Eule 40 says that the "General Committee . . . 
shall make recommendations to the General As- 
sembly with regard to each item proposed." I 
think that is very clear, Mr. President, and I 
think that explains why jirevious General Com- 
mittees have thought it was well within the pur- 
view of the General Committee to take an action 
of this kind. 

Then in the last sentence of rule 40, to which the 
distinguished representative of India alluded — he 
quoted part of it — he said, "the question whether 
the General Committee should recommend the in- 
clusion of the item in the agenda, the rejection of 
the request for inclusion, or the inclusion of the 
item in the provisional agenda" — I didn't hear, 



658 



Department of State Bulletin 



maybe he did, but I didn't hear him say that; 
that M'as a dependent chiuse. The whole sentence 
says, "In considering matters relating to the 
agenda of tlie General Assembly, the General 
Committee shall not discuss the substance of any 
item, except in so far as . . ." — in other words, 
that is all related to the question of discussion. 
I think that's important to bear in mind. 

Then the representative of India referred to 
rule 41 and quoted the last sentence which reads : 
"It [the General Committee] shall not, however, 
decide any political question." Well, of course, 
the rule is right and the representative of India 
is right. We are not deciding a political question 
here in the General Committee, and I am not ask- 
ing the General Committee to decide a political 
question. We are making a recommendation, and 
the General Assembly makes the decision. 

I contend that this proposal whicli I have of- 
fered is squarely within the rules, and it has been 
so held to be at previous meetings of the General 
Committee. I do not thiiik it is fair to say that 
all of the previous men who have passed on tliis 
question were wrong. I think they considered the 
results; they considered this proposal; and the 
decision that they made was right. Therefore, I 
hope that this proposal may be adopted.^ 



STATEMENT IN PLENARY, SEPTEMBER 23 

U.S. delegation press release 2738 

I understand tliat the rules require all members 
to confine themselves to procedural aspects and 
not to discuss the substance. I believe that is 
correct. 

Well, Mr. President, I shall abide by the rules, 
and I shall not yield to the temptation, which I 
confess is very strong after hearing the speeches 
of the Soviet bloc, to go into substance. I am a 
great believer in orderly procedure, particularly 
in a world forum like this. 

On Thursday, when the General Committee 
considered the request of India for inclusion in 
the agenda of an additional item entitled "The 
Representation of China," the United States 
moved that this request for inclusion in the 
agenda be rejected; and, furthermore, that the 



Assembly, as it has done since 1951, adopt a de- 
cision not to consider the nuitter during the pres- 
ent regular session. 

I should like to read the resolution which is 
printed on page 2 of the General Committee 
Report : ^ 

[At this point Mr. Lodge again read ttie text of the 
resolution.] 

The representative of India at that time, as he 
has done today, challenged the validity of this 
procedure. You, Mr. President, properly, in our 
opinion, ruled that the General Committee was 
competent under rule 40 of the Rules of Pro- 
cedure to consider the draft resolution submitted 
by the United States. No one challenged your 
ruling. The resolution appeared to be wise to 
most of the members, and the General Committee 
approved it by a substantial vote. 

By your action and that of the Committee in 
adopting the resolution there can be no question 
at all as to the propriety of this procedure, nor, 
do we hope, should there be any doubt as to its 
wisdom. It is, in fact, the same procedure fol- 
lowed last year and in a previous year — 1951, to 
be exact. 

We believe that the report of the General Com- 
mittee should be upheld. The members are al- 
ready all familiar with all the underlying factors, 
and we urge that the Indian amendment be re- 
jected ' and that the report of the General Com- 
mittee on this subject be adopted. 



STATEMENT IN PLENARY, SEPTEMBER 24 

D.S. delegation press release 2740 

The United States and many of those who share 
our views about this matter have avoided any dis- 
cussion of substance, but there has been so much 
said about substance that, under the right of reply, 
I wish to speak very briefly about that. 

The argument that has been made by those who 
wish to inscribe this item about the representation 
of China boils down to the one word "realism." 



' The General Committee on Sept. 19 approved the pro- 
posed resolution by a vote of 9 to 4, with 2 absentions. 



' U.N. doc. A/3670. 

^The Indian amendment (U.N. doc. A/L. 224) read as 
follows : 

"1. In paragraph 1, line 1, for the word 'reject' sub- 
stitute 'accede to'. 

"2. Delete paragraph 2." 



October 27, 1957 



659 



In other words, no matter how mucli you like it 
or dislike it there it is, and that ought to be 
enough. 

Well, I think that it is true insofar as internal 
affairs go. It is none of our affair here in the 
United Nations whether the internal administra- 
tion of a country is Marxian Communist or Soviet 
Communist, whether it is liberty-loving believers 
in social welfare or dictatorial socialists, whether 
it is competitive capitalism for a great many or 
monopoly capitalism for a few, or whether it is a 
mixture of all those things. That is not our busi- 
ness here. 

But the question of what they do when they try 
to spread across their borders is another matter. 

We may question, too, how "realistic" the cur- 
rent realism about Communist China is. Wlien 
one reads the reports of large numbers of refugees 
streaming into Hong Kong, one remembers Mr. 
Quisling and the other puppets who governed 
Europe under Hitler. That makes you remember 
that the world is in a state of evolution, and that, 
if there is one state of mind which one should 
not have in 1957, it is a fatalistic acceptance of the 
inevitability of things. 

But, Mr. President, even if this judgment about 
the Chinese Communists is realistic, let me point 
out that the United Nations is an organization 
that is not engaged in promoting realism. It is 
an organization that has a moral standard. This 
hall here is not a mere cockpit in which tlie crimi- 
nal and the law-abiding are indiscriminately 
scrambled up. The United Nations Charter says 
that member states shall be "peace-loving" — 
"peace-loving," that is the word. 

Now, if some of us here think that this Assem- 
bly, this United Nations, should become a cockpit 
in which the criminal and the law-abiding are 
indiscriminately scrambled up — and they have a 
right to that opinion — the thing for them to do 
is to go and get an amendment to the charter con- 
verting the United Nations into that type of organ- 
ization. They should go ahead by amendment to 
promote their views. But they should not seek 
to do it by nullification. That is what is involved 
in the contemplation before us. 

Now, the record shows abundantly that the 
Chinese Communist regime is not peace-loving. 
What they did in Korea, what they did in Viet- 
Nam, what they have done in Tibet, what they 
have attempted in the PhilipjDines and in Formosa, 



and what they have tried to do in Malaya — which 
was listened to when the representative of Malaya 
spoke of it with deserving respect — all prove be- 
yond doubt that this Chinese Communist regime 
is not jDcace-loving. In fact, I don't think they 
themselves even pretend to be. 

I think as the representative of the United 
States you would all, putting yourself in my posi- 
tion, understand that I make mention of the fact 
that, in the United Nations military action in 
Korea to repel Communist aggression there, we 
in the United States suffered 140,000 casualties, 
of which 35,000 were deaths, and that these were 
almost all of them inflicted by the Chinese Com- 
munists — and that is something that it is only hu- 
man for us to remember. 

The fact is, Mr. President, that the United 
Nations itself officially and fonnally and after 
due consideration branded the Chinese Com- 
munists aggressors in Korea. And it seems to me 
reasonable to hold that tlie United Nations settled 
this issue when it took tliat position. If it wants 
to unsettle it, let it repeal that decision. That 
has never been done. 

Now, Mr. President, before I take my seat, let 
me say that I speak as a friend of the Chinese 
people, as one who admires the great soul of the 
Chinese people, its steadfastness, its courage, its 
individualism, its culture. I speak as the repre- 
sentative of a country whose citizens have had 
wonderfully close and intimate relations with the 
Chinese people ever since the beginning of the 
United States of America. 

We oppose this proposal not because of our 
disapproval of the interior social system, not be- 
cause the present regime was , not populai'ly 
elected, not because it came to power by violence, 
but simply because to admit tlie Chinese Com- 
munists would stultify the United Nations and 
would tlius destroy the usefulness of tlie United 
Nations. 

Feeling this way, it must be clear to all how 
devastatingly divisive debate on this question 
would be and why, therefore, we urge our col- 
leagues to oppose the Indian amendment and to 
support the American proposition.* 



* The Assembly on Sept. 24 accepted the General Com- 
mittee's recommendation by a vote of 47 to 27, with 7 
abstentions. South Africa was absent. 



660 



Department of State Bulletin 



Election of New Members 
to Security Council 

Statement by Uenry Cabot Lodge 

U.S. Representatlue to the General Assembly ' 

The United States is happy to welcome Canada, 
Japan, and Panama to the Security Council. 
Their election was a well-deserved vote of con- 
fidence by the Assembly for tliose countries. 

The United States is delighted that Japan was 
elected to tlie Security Council. We were one of 
the first to advance the idea that Japan be a mem- 
ber of the Council. We took a very great interest 
in working for Japan's election. We think Japan 
will add a great deal to the Council. Japan's 
leaders have qualities of statesmanship, wisdom, 
and courage that will contribute greatly to the 
work here. Japan is playing a leading role for 
peace in Asia and throughout the world, and I 
look forward to working with the Japanese dele- 
gates in the Council. 



U.S. Delegations to 
International Conferences 



Intergovernmental Committee for European Mi- 
gration 

The Department of State on October 3 (press 
release 552) amiounced the U.S. delegation to the 
7th session of the Council of the Intergovern- 
mental Committee for European Migration 
(ICEM) to be held at Geneva, Switzerland, Oc- 
tober 7-11, 1957. The Council meeting was pre- 
ceded by a meeting of the nine-member Executive 
Committee, which convened on September 26. 

Roderic L. O'Connor, Administrator of the 
Bureau of Security and Consular Aifairs, will 
head the delegation ; George L. Warren, Adviser 
on Refugees and Migration, will serve as acting 
U.S. representative at the Executive Committee 
meeting and as principal adviser to Mr. O'Connor 
at the Council meeting. 

The U.S. delegation is as follows : 

U.S. Representative 

j Roderic L. O'Connor, Administrator, Bureau of Security 
and Consular Affairs, Department of State 



'Made on Oct. 1 (U.S. delegation press release 2750) 
following the election in the General As.sembly of Canada, 
Japan, and Panama as nonpermanent members of the 
Security Council. 

Ocfofaer 21, 1957 



Deputy U.S. Representative 

Robert S. McCoUum, Deputy Administrator, Bureau of 
Security and Consular Affairs, Office of Refugee and 
Migration Affairs, Department of State 

Principal Adviser 

George L. Warren, Adviser on Refugees and Migration, 
Department of State 

Congressional Advisers 

Frank Chelf, House of Representatives 
James B. Frazier, Jr., House of Representatives 
Byron G. Rogers, House of Representatives 
Patricli J. Hillings, House of Representatives 
DeWitt S. Hyde, House of Representatives 

Advisers 

Mrs. Edwin Hilson 
O. Preston Robinson 



Current U.N. Documents: 
A Selected Bibliography 

Economic and Social Council 

Economic Commission for Latin America. Annual Report 
to tlie Economic and Social Council, Covering the Period 
1.5 May 19oG-2y May I'J.jT. E/299S, E/CX.12/451, May 
29, 1957. 230 pp. mimeo. 

Economic Commission for Asia and the Par East. Inland 
Transport Committee. Official Records. Sixth Session, 
15-21 February 1957. E/CN.ll/TRANS/129, June 12, 
1957. 106 pp. mimeo. 

Financial Implications of Actions of the Council. State- 
ment submitted by the Secretary-General. E/3018, 
June 19, 1957. 23 pp. mimeo. 

International Commodity Problems. Organizational and 
procedural arran.?ements governing activities in the 
tield of international commodity problems and co-ordina- 
tion of functions within the framework of the United 
Nations. E/3012/Add. 1, June 24, 1957. 4 pp. mimeo. 

Disarmament Commission 

Fourth Report of the Sub-Committee of the Disarma- 
ment Commission. DC/112, August 1, 1957. 88 pp. 
mimeo. 

Fifth Report of the Sub-Committee of the Disarmament 
Commission. DC/113, September 11, 1957. 144 pp. 
mimeo. 

Trusteeship Council 

Report of the United Nations Commission on Togoland 

Under French Administration. T/1336/Add.l, August 

2, 1957. 41 pp. mimeo. 
The Future of Togoland Under French Administration. 

Draft special report of the Trusteeship Council. 

Working paper prepared by the Secretariat. T/L.809, 

September 19, 1957. 5 pp. mimeo. 

Secretariat 

Background Paper on Chapter XI of the Charter Con- 
cerning Non-Self-Governing Territories. ST/DPI/ 
SER.A/73/Rev.l, April 1, 1957. 79 pp. mimeo. 

661 



f 



TREATY INFORMATION 



Current Actions 



MULTILATERAL 



Atomic Energy 

Statute of the International Atomic Energy Agency. 

Done at New York October 26, 1956. Entered into force 

.July 29. 1957. TIAS 3873. 

Ratifications deposited: Ethiopia, Greece, Italy, Para- 
guay, and Peru, September 30, 1957 ; Cuba and the 
Federal Republic of Germany, October 1, 1957. 

Customs Tariffs 

Protocol modifying the convention signed at Brussels 
July 5, 1890 (26 Stat. 1518), creating an International 
Union for the Publication of Customs Tariffs. Done 
at Brussels December 16, 1949. Entered into force 
May 5, 1950. 
Proclaimed hy the President: September 16, 1957. 

Duties and Rights of States 

Protocol to the convention on duties and rights of states 
in the event of civil strife, signed at Habana February 
20, 1928 (46 Stat. 2749). Opened for signature at the 
Pan American Union May 1, 1957.' 

Signatures: Cuba, July 19, 1957 ; Argentina, August 8, 
1957 ; Haiti, August 9, 1957 ; Dominican Republic, Sep- 
tember 17, 1957. 

Trade and Commerce 

International convention to facilitate the importation of 
commercial samples and advertising material. Dated 
at Geneva November 7, 1952. Entered into force 
November 20, 1955. 
Accession deposited: Luxembourg, September 9, 1957. 

United Nations 

Charter of the United Nations and Statute of the Inter- 
national Court of Justice. Signed at San Francisco 
June 26, 1945. Entered into force October 24, 1945. 
59 Stat. 1031. 

Admission to memhership: Federation of Malaya, Sep- 
tember 17, 1957. 



(TIAS 2203), as modified and supplemented. Effected 

by exchange of notes at Bogotd December 31, 1956, and ' 
March 15, 1957. Entered into force March 26, 1957, 

upon signature of operational extension agreement. < 

Agreement amending the memorandum of understanding 1 
attached to the agricultural commodities agreement of 

April 16, 1957 (TIAS 3817). Effected by exchange of I 

notes at Bogotd August 29 and September 11, 1957. ' 

Entered into force September 11, 1957. ! 

Iran I 

Agreement providing investment guaranties under section ' 
413(b) (4) of the Mutual Security Act of 19.54 (68 J 
Stat. 846-847). Effected by exchange of notes at .'; 
Tehran September 17 and 21, 1957. Entered into force 
September 24, 1957. 

Spain 

Agreement for the acceptance of certificates of airworthi- 
ness for imported aircraft. Effected by exchange of 
notes at Madrid September 23, 1957. Entered into 
force September 23, 1957. 



DEPARTMENT AND FOREIGN SERVICE 



Recess Appointments 

The President on October 3 appointed Homer Morrison 
Byington, Jr., to be Ambassador to the Federation of 
Malaya. (For biographic details, see press release 555 
dated October 3.) 



Designations 

Wilson Thomas Moore Beale, Jr., as Deputy Assistant 
Secretary for Economic Affairs, effective September 30. 
(For biographic details, see press release 550 dated 
October 1.) 

William O. Hall as Deputy Assistant Secretary for 
Budget and Finance, effective September 30. 



BILATERAL 
Austria 

Agreement regarding certain bonds of Au.strian issue de- 
nominated in dollars, and protocol. Signed at Wash- 
ington November 21, 1956. Entered into force Septem- 
ber 11, 1957. 
Proclaimed hy the President: September 19, 1957. 

Colombia 

Agreement extending the agreement for a cooperative 
health program of September 15 and October 20, 1950 



' Not in force. 
662 



Closing of Consulate and Opening 
of Consular Agency at Valparaiso 

The American Consulate at Valparaiso, Chile, was 
officially closed on August 31, 1957. A consular agency 
was opened at Valparaiso on September 1, 1957. The 
Department has appointed Lucius D. Hill as Consular 
Agent. 

The province of Valparaiso, Easter Island, and the 
Juan Fernandez Islands, formerly in the Valparaiso Con- 
sular District, have been transferred to the jurisdiction 
of the Embassy at Santiago, Chile. 

Department of Sfafe BuUefin 



October 21, 1957 



Index 



Vol. XXXVII, No. 956 



Africa. Julius C. Holmes To Tour African Con- 

tiuent 650 

American Republics. Cooperation in International 

Economic Affairs (Beaulac) 647 

Atomic Energy 

First Conference of International Atomic Energy 

Agency (Strauss, Eisenhower) 637 

President and Prime Minister Kislii Exchange 

Views on Nuclear Tests 635 

Australia. Meeting of ANZUS Council .... 646 

Chile. Closing of Consulate and Opening of Consu- 
lar Agency at Valparaiso 662 

China, Communist. Question of Chinese Represen- 
tation in the United Nations (Lodge) .... 658 

Department and Foreign Service 

Closing of Consulate and Opening of Consular 

Agency at Valparaiso 662 

Designations (Beale, Hall) 662 

Recess Appointments (Byington) 662 

Disarmament. The Problem of Disarmament 

(Lodge) 631 

Economic Affairs 

Cooperation in International Economic Affairs 

(Beaulac) 647 

President Decides Not To Reopen Escape-Clause 
Action on Watch Tariff 651 

U.S.-Yugoslav Economic Talks (546 

■World Bank Loan to Ecuador for Road Construc- 
tion 650 

Ecuador. World Bank Loan to Ecuador for Road 

Construction 650 

Educational Exchange. Journalists From NATO 
Countries Visit United States 651 

International Organizations and Conferences 

First Conference of International Atomic Energy 

Agency (Strauss, Eisenhower) 637 

Intergovernmental Committee for Euroi)ean Mi- 
gration (delegation) 661 

Japan. President and Prime Minister Kishi Ex- 
change Views on Nuclear Tests 635 

Malaya. Recess Appointments (Byington) . . . 662 

New Zealand. Meeting of ANZUS Council ... 646 

North Atlantic Treaty Organization. Journalists 

From NATO Countries Visit United States . . 651 

Presidential Documents 

First Conference of International Atomic Energy 
Agency 637 

President and Prime Minister Kishi Exchange 

Views on Nuclear Tests 635 

Refugees. Intergovernmental Committee for Euro- 
pean Migration (delegation) 661 

Treaty Information. Current Actions .... 662 



U.S.S.R. 

"The Communists Also Have Their Problems" 

(Allen Dulles) 639 

Mr. Dulles and Mr. Gromyko Discuss U.S.-Soviet 

Relations ( text of joint statement) 635 

United Nations 

Current U.N. Documents 

Election of New Members to Security Council 
(Lodge) 

The Problem of Disarmament (Lodge) .... 

Question of Chinese Representation in the United 
Nations (Lodge) 658 

United Nations Moves To Reduce U.S. Share of As- 
sessments (Carnahan) 652 

Yugoslavia. U.S.-Yugoslav Economic Talks . . 646 

Name Index 



661 

661 
631 



Beale, Wilson Thomas Moore, Jr 

Beaulac, Willard L 

Byington, Homer Morrison, Jr 

Carnahan, A. S. J 

Dulles, Allen W 



662 

647 

662 

652 

639 

Dulles, Secretary 635 

Eisenhower, President 635, 638, 651 

Gromyko, Andrei 635 

Hall. William O 662 

Holmes, Julius C 650 

Kishi, Nobusuke 635 

Lodge, Henry Cabot 631,658,661 

Strauss, Lewis L 637 



Check List of Department of State 


Press Releases: September 30-October 6 


Releases may be obtained from the News Division, 


Department of State, Washington 25, D. C. 


No. 


Date 


Subject 


549 


9/30 


NATO journalists visit U.S. (rewrite). 


*550 


10/1 


Beale appointed Deputy Assistant Sec- 
retary for Economic Affairs (bio- 
graphic details). 


t5.51 


10/3 


Delegation to ILO Iron and Steel 
Committee (rewrite). 


552 


10/3 


Delegation to ICEM Council (rewrite). 


t553 


10/3 


Intergovernmental Copyright Com- 
mittee. 


*554 


10/3 


Knight granted personal rank of Min- 
ister (biographic details). 


•555 


10/3 


Byington appointed Ambassador to 
Malaya (biographic details). 


*556 


10/4 


Educational exchange. 


557 


10/4 


Holmes to tour Africa. 


558 


10/4 


ANZUS Council meeting. 


559 


10/4 


U.S.-Yugoslav economic talks. 


560 


10/5 


DuUes-Gromyko meeting, 
ted. 


* Not prin 


t Held for 


a later issue of the Bulletin. 



U. S. GOVERNMENT PRINTING OFFICE: 1957 




^ BOSTON 17, M,3s 

Uniteu ^ 

Government Printing Office 

DIVISION OF PUBLIC DOCUMENTS 

Washington 25, D. C. 



PENALTY FOR PRIVATE USE TO AVOID 

PAYMENT OF POSTAGE. $30O 

(GPO) 



OFFICIAL. BUSINESS 



rou . . . 

and the 

UNITED NATIONS 
1957 



Department 



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State 





Order Form 

To: Supt. of Documents 
Govt. Printing Office 
Washingrton 25, D.C. 



Enclosed And: 



(cash, cheek, or 
money order). 



How effective has the United Nations been in preventing or stopping 
aggression and vear ? 

If the United Nations can only recommend, how does it get anything 
done against war and injustice ? 

Can the United Nations prevent another world war from ever 
happening ? 

Can the United Nations do anything about disarmament ? 

Wliat do the United Nations aid programs — like the technical assist- 
ance program and the United Nations Children's Fund — have to do 
with world peace ? 

How much does our membership in the United Nations cost? 

Answers to these and other frequently heard questions regarding 
the United Nations are given by Ilenry Cabot Lodge, United States 
Representative to the United Nations, in an illustrated pamplilet 
recently issued by the Department of State. Twenty-five questions 
in all are considered in the 40-page publication, which is printed in 
question-and-answer format. 

Copies of You . . . and the United Nations, 1957 may be purchased 
from the Superintendent of Documents, U.S. Government Prmting 
Office, "Washington 25, D.C, for 20 cents each. 



Publication 6518 



20 cents 



Please send me copies of You . . . and the United Nations, 1957. 

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THE DEPARTMENT OF STATE 



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Vol. XXXVII, No. 957 



October 28, 1957 



He 

FFICiAL 

EEKLY RECORD 

F 

NITED STATES 

)REIGN POLICY 



SUMMARY OF IMPORTANT FACTS IN EARTH 

SATELLITE PROGRAM • Siatement by President 
Eisenhower 673 

WESTERN POWERS OFFER DISARMAMENT PRO- 
POSALS IN U.N. GENERAL ASSEMBLY • Statement 

by Ambassador Henry Cabot Lodge 667 

DEVELOPMENTS IN LATIN AMERICA • by Assistant 

Secretary Rubottom 675 

ESSENTIALS OF SOCIAL PROGRESS • Statement by 

George Meany 688 



For index see inside back cover 



THE DEPARTMENT 




Vol. XXXVII, No. 957 • Publication 6552 
October 28, 1957 



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Western Powers Offer Disarmament Proposals 
in U.N. General Assembly 



Statement hy Henry Cabot Lodge 

U.S. Bepresentative to the General Assembly ^ 



All of us here present today must feel the urgent 
need for progress in solving a problem as vital to 
world peace as is the disarmament problem. No 
country feels that need more urgently than the 
United States, which must bear a heavy load of 
military preparedness. We have long and ear- 
nestly sought a way to be rid of that costly burden. 

But we seek more than that, Mr. Chairman. 
Througli a safe disarmament program we seek to 
build a world in which all nations, large and small, 
will be free from the danger of war and surprise 
attack and can devote tliemselves confidently to 
the arts of peace. 

Every nation, Mr. Chairman, understands how 
vitally important that is in this dangerous time. 

We have had that goal in mind in all our work 
on disarmament, including tlie sessions of the Dis- 
armament Subcommittee in London this year. 
The 5Y2 months of tlie Subcommittee's work, al- 
tliough it recessed in disappointment, produced 
something of value. During its 71 meetings prog- 
ress was made in narrowing disagreements, and 
new proposals of tlie greatest importance were 
presented to the world. Both the Foreign Secre- 
tary of the United Kingdom and the United States 
Secretary of State took part directly, and the 
Foreign Minister of France went to London for 
consultations in comiection with the negotiations. 
This was without precedent in the Subcommittee's 
liistory. 



'Made in Committee I (Political and Security) on Oct. 
10 (U.S. delegation press release 2763). For a statement 
on disarmament made by Ambassador Lodge on Sept. 30 
in the Disarmament Commission, see Bulletin of Oct. 
21, 1957, p. 631. 

Ocfofaer 28, 1957 



We have noted with interest the proposal of 
the Belgian representative for action to inform 
and enlighten the peoples of the world of the 
dangers which may confront us all if a solution 
to the problem of disarmament is not found. It is 
well that all peoples should know the teri'ible 
facts of modern warfare. These facts have been 
brought forcefully, through every medium of in- 
formation, to tlie people of my country. We liope 
that this may be the case with all the other coun- 
tries represented here. Perhaps in this way the 
collective conscience of the United Nations will 
have its effect on the progress of the disarmament 
negotiations. 

Disarmament discussions are so difficult that we 
run tlie risk of giving way to despair. For- 
tunately there is no need for us now to entertain 
such fears. 

We were disappointed, of course — indeed, some 
people were shocked — when the Soviet represent- 
ative said "no" to the new four-power proposals 
of August 29 2 without even studying them. But 
that fact, whatever else it may suggest, is surely 
no cause for despair. Indeed, the fact that there 
has not yet been a thoroughly considered analyti- 
cal response from the Soviet Union to these pro- 
posals as a whole leaves room for further progress 
during this session of the General Assembly. 

The London Meetings 

Since we hear doubts expressed now and then 
on the value of the Subcommittee's work, the 
United States feels it important that the Assem- 

' For text of proposals, see ibid., Sept. 16, 1957, p. 451. 

667 



bly should have a clear appreciation of what was 
done at London. The full recoi'd is available.^ 
Let me indicate some of the important points 
where the Subcommittee succeeded in narrowing 
the differences which we faced last year in the 
General Assembly. 

Here are some forward steps which the Soviet 
representative took during the Subcommittee 
meetings : 

1. He reaffirmed acceptance of the idea of a 
limited first-stage agreement on various aspects 
of the disarmament problem, instead of insisting 
that there must be agreement immediately on a 
complete disarmament program before any steps 
are taken. 

2. He seemed to see the value of the "open 
skies" air and ground inspection plan as a safe- 
guard against surprise attack. And he accepted 
the idea of beginning with agreed zones of in- 
spection — even though these zones remain to be 
defined. 

3. He seemed willing to have a first-stage 
agreement without the Soviet demand for so- 
called elimination of nuclear weapons, which he 
agrees would be impossible to verify. 

4. He agreed that, if nuclear testing were sus- 
pended, there should be a monitoring system with 
inspection posts inside our countries in order to 
check on compliance. 

5. He indicated that the Soviet Union would 
accept the idea of international disarmament de- 
pots for the storage of arms. 

Those, Mr. Chairman, are five concrete points 
on which the Soviet Union made advances from 
its earlier stand. It is entitled to credit for hav- 
ing shown this spirit of accommodation, at least 
in the earlier stages of the talks. We trust that 
the Soviet delegate's more negative position at 
the end does not imply that his Government has 
changed its policy regarding these earlier ad- 
vances. 

The other four members of the Subcommittee 
showed an equal or even greater spirit of accom- 
modation. We made a number of changes in our 
position to meet Soviet objections. All these are 
reflected in the four-power working paper of 
August 29. Here are the chief new points in our 
proposals : 



' For the report of the Subcommittee, see U.N. docs. 
DO/112 and DC/113. 



1. We agreed to move beyond discussion of a 
purely first-stage agreement and proposed spe- 
cific target levels for a further reduction in the 
size of armed forces in the second and third stages 
of a disarmament program. 

2. As an alternative to complete initial inspec- 
tion, we suggested limited inspection zones as a 
beginning for the proposed "open sky" inspection 
plan, thus making it easier for the Soviet Union 
to agree. 

3. To meet the concern expressed over existing 
stocks of nuclear weapons, we made more specific 
our proposal not merely to stop adding to these 
stocks of weapons but to begin at once to reduce 
them by transferring successive amounts of fis- 
sionable material from military stockpile to peace- 
ful uses under international supervision. 

4. We agreed to transfer larger amounts of 
such material to peaceful uses than the Soviet 
Union was willing to do. We agreed to negotiate 
the quantities on a basis that is fair and equitable. 
That, Mr. Chairman, is a proposal of great sig- 
nificance. 

5. We agreed that immediately upon the rati- 
fication of the first-stage disarmament program 
nuclear tests could be suspended for an initial 
period without waiting until the other portions of 
the program were actually in operation. More- 
over, when the Soviet Union objected that the 
initial Western proposal for a test susjiension of 
10 months was not long enough, we agreed to ac- 
cept the period of 24 months put forward by the 
Soviet LTnion. 

I think that is a most important point, Mr. 
Chairman, and will come back to it later on. 

These forward steps are substantial and prove 
the value of the Subcommittee. It is a body in 
which serious negotiations can take place and 
have taken place. It is, of course, not complete 
proof against temptations to score propaganda 
points, but then no body is proof against that. 
We frankly admit that we were startled and sur- 
prised, as was most of the world, at the abrupt 
change in the Soviet attitude toward the end of 
the meetings, and the biggest jolt of all was Mr. 
Zorin's abrupt rejection of our very serious joint 
proposals before he or his Government had even 
studied them. But that action, strange as it was, 
by no means discredits the Subcommittee. The 
Soviet representative himself, in a more reason- 
able frame of mind, has proved it a practical body 



\ 



668 



Department of Sfafe Bulletin 



for renl negotiation. All that is needed is tlie 
spirit of reasonableness. 

The United States does not agree that the pros- 
pects for progress in disarmament can be im- 
proved, as some say, if only the present bodies 
dealing witli the question can be expanded. Pro- 
posals to this end have been made at this and the 
last Assembly. 

"We believe that the Assembly decided wisely 
when, in 1953, it suggested establishment of a 
Subcommittee of the powers "principally in- 
volved." This principle is as valid today as it 
was then. A disarmament agreement can be 
liammered out only through negotiations among 
the parties who, in the first instance, have to sub- 
mit to inspection and control and who, in the first 
instance, have to accept reductions and limita- 
tions. This is an indispensable first requirement. 
•Basic issues of national security are involved. 
Accommodation must be achieved by and among 
these powers, to begin with. 

This, of course, is not to say that disarmament 
is the exclusive preserve of the "Big Powers." It 
is not. AVhile the nations possessing armaments 
are, to use the language of the 1953 resolution, 
"principally involved," the whole world, in the 
lai'ger sense, is vitally involved. It is of deep and 
legitimate interest to every state represented in 
this room. All will be affected, and many will 
have in some way to participate. 

"We think that the way disarmament is handled 
in the United Nations fully reflects this widening 
circle of interest. In addition to the Subcommit- 
tee, there is the Assembly in which all members 
are heard and liave ample opportunity to express 
their views. The Assembly itself established the 
Disarmament Commission of smaller membership 
that can go more deeply into the issues and which 
can follow the negotiations closely. Further- 
more, there has always been an opportunity for 
any member which desires it to appear before the 
Disarmament Commission for a hearing — a right 
Mhich was exercised during the last year. 



The Question of Nuclear Tests 

The United States believes that a solution to this 
problem can be found. 

Our tests are carried on for defensive purposes. 
We would not conduct them if we were not deeply 
convmced that under present circumstances they 
were necessary for the security of the free world 



and of our own country. The danger of war will 
only increase if offensive capabilities are allowed 
further to outstrip defensive capabilities. 

"Without moving into a discussion of political 
issues it seems fair to say that the United States 
Government is looked to, not alone by the Ameri- 
can people but by the peoples of many other free 
countries as well, as a safeguard of their security 
against possible military attack. We cannot carry 
out the responsibility which lias fallen upon us if 
we are less strong than the potential attacker. 
That is the basic reason for all of our military 
defense activity — all of it, Mr. Chairman, includ- 
ing that involving the tests of nuclear weapons. 

Now, although we share the concern of other 
countries about nuclear-weapons testing, we be- 
lieve that this subject must be seen in its context, 
including the militai-y and technical dangers that 
confront us. In this connection a few observa- 
tions about nuclear-weapons tests may be in order. 

1. Because of our concern over the radiation 
effects of nuclear tests, however slight they might 
be, and also because of the importance of under- 
standing atomic radiation as atomic energy is 
increasingly developed for peaceful purposes, the 
United States proposed 2 years ago in the General 
Assembly that a United Nations Committee on 
Radiation be established to report to the world 
on the whole question. This Committee's report 
is due next year. From what is already known 
and published, we expect that the Committee's 
full report will answer many of the fears now 
being expressed about radiation from nuclear test- 
ing. 

No envii-onmental hazard nor substance to 
which human beings are exposed is receiving such 
thorough investigation as radiation and radio- 
active materials. "Wliile some leading medical and 
genetic authorities differ on the effects of radio- 
active fallout at low levels, all agree that the 
effects are small compared to the effects of radia- 
tion from other sources. 

The present levels of radiation exposure from 
weapons-testing fallout are extremely low. They 
are but a fraction of the natural radiation to 
which man has always been exposed. They are 
far lower than the levels we customarily receive 
voluntarily from other manmade sources such as 
medical and dental X-rays and even the lumines- 
cent dials of our wrist watches. The danger to the 
world lies in the possible use of the nuclear 



October 28, 1957 



669 



weapons and not in some small addition to natural 
radiation because of testings. We think that is 
a fundamental point — ^the possible use of weapons. 
That is the real danger. 

2. What is seldom realized is that the tests 
themselves are enabling us to develop weapons 
with reduced fallout so that radiation hazards in 
the event of hostilities may be restricted to military- 
targets. Thus, if our testing program should con- 
tinue at the present rate, the radiation it puts 
into the world's atmosphere would be less in fu- 
ture years. Indeed, as Secretary Dulles pointed 
out on September 19 in the Genera] Assembly,^ 
since a percentage of radioactivity dies away each 
year, we have i-eason to hope that in the future 
any needed testing can be done without materially 
raising the levels of radioactivity in the world. 
A practical demonstration of this achievement 
should result from our plan to invite United Na- 
tions observers to witness a nuclear test explosion. 

Mr. Chairman, the United States has given a 
great deal of serious thought to this subject. We 
do not treat our responsibility lightly in this mat- 
ter of nuclear tests. Indeed, we have shown what 
I think lawyers call an abundance of caution on 
this subject. 

But we go further than that, Mr. Chairman. 
We know how anxious people have become about 
this luifamiliar force. The quickest and most 
obvious way to allay that anxiety would be to 
suspend nuclear tests on a sound basis. In fact, 
in conjunction with our British, French, and 
Canadian colleagues in the Subcommittee we have 
proposed that it be done through an immediate 
suspension taking effect upon there being in exist- 
ence a treaty for initial measures of disarmament. 

How To Suspend Nuclear Tests 

Since there is agreement on all sides that nu- 
clear tests could be susjaended, the question is, 
how can we do it ? There are two approaches to 
this problem. One is to concentrate on this point 
alone and attempt to bypass other questions in the 
armaments field, hoping that by this one step 
international confidence would be so strengthened 
that other steps would follow. Whoever consid- 
ers this line of approach will have also to consider 
the following points. 



* Bulletin of Oct. 7, 1957, p. 555. 
670 



1. Even if the agreement were obeyed by all 
concerned and all test explosions stopped, the 
efforts to pile up more and more atomic and 
hydrogen bombs would go right on. That is 
something to think about. 

2. Moreover, under such conditions the efforts 
to reduce the radioactive fallout in sucli weapons 
would also be suspended — you would cut that 
whole work down — and consequently the weap- 
ons added to the stockpiles would contain a larger 
amount of radioactive fallout than they would 
otherwise. We ought to consider that. 

3. Finally, additional nations could and prob- 
ably would, without the aid of nuclear tests, nev- 
ertheless manufacture and acquire their own 
nuclear weapons, using techniques which are now 
known. 

These points alone, Mr. Chairman, are enough 
to dramatize the fact that a separate approach 
to the nuclear-testing problem does not go to the 
heart of the matter. The heart of the matter, in 
this world filled with conflict and mistrust, is the 
danger of war and the use of weapons of any 
kind on a mass scale. To deal effectively with 
this danger, a bolder and a more comprehensive 
approach is imperative. 

It is tragically true that the danger of war 
imposes on the defender the same iron military 
necessities as it does upon a would-be aggressor. 

Like the aggressor, the defender must have 
weapons. 

Like the aggressor, the defender must draft able 
young men into the military service. 

Like the aggressor, tlie defender must take away 
from his civilian economy large amounts of val- 
uable raw materials, iron, steel, aluminum, rubber, 
and textiles, manufacturing plants, scientific re- 
search facilities, and great tracts of useful land. 

We in the United States know all these facts 
very well because we have experienced them in 
defense against aggression. 

Believe me, Mr. Chairman, if it were not for 
the danger of a great war, the iLmerican people 
would never consent to the continuation of this 
huge burden on our national life. They and their 
freely elected representatives in Congress unceas- 
ingly plead for us to find some way by which 
the burden can safely be laid down. In the mean- 
time they recognize the need to bear it, as do 
other free peoples, because they know it is the 
price of liberty. 

Department of Sfafe Bulletin 



Conseciueiitly, we •«-oiild not conduct nuclear 
tests if yve did not have to. Let us remove the 
necessity for nuclear tests and suspend the tests at 
tlie same time. That means makinjj at least a be- 
pfinning on removing the danger of an all-out nu- 
clear war. And that, Mv. Chairman, is the heart 
and the soul of the proposals M-hich the United 
States joined in submitting to the Soviet Union in 
London on August 29. It is just as simple as that. 



The London Proposals 

Let me review very briefly what the London pro- 
posals consist of, as we renew our offer to the So- 
viet Union. These proposals are not so compli- 
cated as they are sometimes made to seem. I shall 
try to sum them up, in ordinary language, under 
five headings. 

1. Atoms for Peace, Not War. We want to put 
an end to production of fissionable materials for 
war purposes. We propose that no country shall 
make any more fissionable material for weapons 
and that all new production of fissionable material 
should be devoted to peaceful purposes. This 
program would begin as soon as an inspection sys- 
tem is in existence to see it carried out. We then 
propose that a start be made on transferring fis- 
sionable materials from weapons stockpiles to 
peaceful uses, again under international super- 
vision. Mr. Chairman, that is the vision which 
President Eisenhower presented right here in this 
building when he urged "that the miraculous in- 
ventiveness of man . . . not be dedicated to his 
death, but consecrated to his life." We could not 
take a greater step for peace than this. This is 
the practical and only realistic way of first stop- 
ping and then reversing the trend toward ever in- 
creasing stockpiles of nuclear weapons. Unless 
we get this problem under control soon, it may be- 
come entirely uiimanageable as more and more 
countries begin the production of nuclear weapons. 

2. Suspend Nuclear Tests. This would be done 
immediately upon there being a treaty in existence 
and would be followed by the prompt installation 
of an agreed monitoring system with inspection 
posts within our respective countries. 

3. Reduce Armed Forces and Armaments. On 
this essential part of the disarmament problem we 
have made definite proposals, not only for the first 
stage of a disarmament program, but also for sec- 
ond and third stages as well. The troop limit 



which we suggest for the Soviet Union and the 
United States in the first stage is 2.5 million men; 
in the second stage, assuming satisfactory fulfill- 
ment of the first step and progress toward settle- 
ment of the problems that cause world tension, 
we would reduce to 2.1 million, and in the third 
stage to 1.7 million. As to annaments, we pro- 
pose a practical method of reduction — setting up 
storage depots in which specified and agreed mod- 
ern armaments of land, sea, and air would be de- 
posited under international supervision. This 
plan would reduce the requirements of inspection 
to a minimum. We are prepared to negotiate at 
any time on the types and quantities of arms to be 
deposited in these depots. 

4. Prevent Surprise Attach. We continue to 
urge adoption of an "open sky" groimd and air 
inspection system to make a massive surprise at- 
tack impossible. Under such a system the fear of 
war would decrease and further reductions in 
armaments would be encouraged. That is what 
we are striving for. We are willing to begin in- 
spection on a progressive basis beginning in areas 
where safeguarding against surprise attack is of 
the greatest importance. In addition, we have re- 
affirmed the proposal originally made by Presi- 
dent Eisenhower at Geneva in 1955. This pro- 
posal would embrace the entire territory of the 
United States and the entire territory of the So- 
viet Union. With the consent of the countries 
concerned we have also agreed to include territoiy 
of Canada and important areas in Europe. We 
are ready also to include areas in the free world 
where military bases are located, provided the 
countries concerned also agree. Thus we have 
given the Soviet Union a considerable range of 
choice on how to hegin this vital process of inspec- 
tion against surprise attack. We are ready to 
begin modestly and expand later. 

5. Control Outer-Space Weapons. Finally, 
Mr. Chairman, we seek agreement on ways to con- 
trol the newest creation of science — the outer- 
space missile. Like atomic energy, this device can 
serve the purposes of peace or it can be used to 
blow us to bits. We have only begim to learn 
about its possibilities, but we already know that 
the prospect of outer-space missiles armed with 
nuclear warheads is too dangerous to ignore. 

Mr. Cliairman, in 1946, wlien the United States 
alone had nuclear weapons, it proposed to the 
United Nations — and there are men in this room 



Ocfofaer 28, 1957 



671 



who remember this — a plan to insure the peaceful 
use of the new and tremendous force of atomic 
energy by putting it under international control. 
We made that proposal. The woi'ld knows now 
that a decade of anxiety and trouble could have 
been avoided if that plan had been accepted. We 
now have a similar opportunity to harness for 
peace man's new pioneering efi'orts in outer space. 
We must not miss this chance. We have there- 
fore proposed that a technical committee be set 
up to work out an inspection system which will 
assure the use of outer space for exclusively peace- 
ful and scientific purposes. If there is general 
agreement to proceed with this study on a multi- 
lateral basis, the United States is prepared to join 
in this initiative without awaiting the conclusion 
of negotiations on tlie other substantive proposals. 

These, Mr. Chairman, are the highlights of the 
London proposals. 

Before leaving this subject of the London pro- 
posals, let me make clear that we are ready to be- 
gin the entire first-phase disarmament program 
without any political conditions whatsoever — 
without demanding that a single political issue be 
met. That includes all of the five headings which 
I just finished summarizing. We are dealing 
here with a disarmament program on which the 
United States and its three cosponsors are ready to 
embark without delay. 

Also, we intend that the very first part of tliis 
program to go into effect would be the suspending 
of nuclear tests. The necessary inspection system 
for the test ban should be in operation before the 
end of the first year of suspension. 



Conclusion 

No part of the agreement which we have in 
mind could be other than welcome to any country 
which truly works for peace. I have outlined its 
main parts — nuclear production for peace, not 
war; prompt suspension of nuclear bomb tests; 
reduction of troop levels and armaments; a start 
on inspection to prevent surprise attack; and a 
start on control of outer-space missiles. Mr. 
Chairman, who can obje(^ to any of these points? 

The question of prompt suspension of nuclear 
testing lies today in the hands of the Soviet Union. 
It can bring the tests to a halt if it wants to. It 
can do more than that. It can relieve the world's 
anxiety about the inexpressibly greater perils of 



surprise attack and nuclear war involving the most 
dread devices that the genius of science has pro- 
vided. 

The United States has always devoutly wislied, 
and wishes today, for a world in which all nations, 
including very definitely the Soviet Union, may 
feel secure from any external danger. We would 
be defeating our own purpose if we made a pro- 
posal designed to impair the security of the Soviet 
Union, since our aim is the very opposite of that. 
We trust that the Soviet Union will believe that. 
Surely it is to the interest of the Soviet Union to 
remove distrust of its motives. Indeed, not to do 
so would leave a world such as that described by 
President Eisenhower here at the United Nations 
in 19.53, when he spoke of "two atomic colossi" eye- 
ing each other malevolently "across a trembling 
world." If that trembling world were to erujit 
in war, the bombs that fell would be no respecters 
of persons nor of ideologies either. 

It is not the American people alone, Mr. Chair- 
man, but the peoples of the wliole world who re- 
quest today that the Soviet LTnion consider the 
alternatives facing all of us. Especially this re- 
quest comes from the small nations of the world, 
whose prospects for a peaceful life lie not in their 
own armed might but in their hope for an ordered 
world — a world of openness and a world of con- 
fidence, free from the fear of sudden and over- 
whelming attack. 

There is no reason for us to despair of a change 
of mind by tlie Soviet Union. To their credit let 
it be said that we have seen them change their 
minds before. They changed their minds about 
atoms-for-peace. They changed their minds about 
considering the "open sky" plan. Surely they can 
change their minds again when their security and 
self-interest as well as ours so clearly demand it. 

In essence, we — that is to say, Canada, France, 
the United Kingdom, and the United States — 
have made, and do make, this offer to the Soviet 
Union : 

We will suspend nuclear tests for an initial 
period expected to be 2 years but also subject to 
further extension, provided you, the Soviet Union, 
agree on establishing an effective inspection sys- 
tem, air and ground; on stopping production of 
fissionable material for weapons purposes and re- 
ducing pi'esent stocks ; on starting outer-space mis- 
sile control ; and on reducing armed forces. 

Now we do not insist, Mr. Chairman, that all 



672 



Deparimeni of State Bulletin 



tlu'se tliinji:s be done ;it once. An agreement that 
they shoukl be dojie in acceptable stages is enough 
to get this program under way, and suspension of 
testing would be the first thing to luippen. 

So, Mr. Chairman, I conclude by simply saying 
this : 

We think sincerely that our position is fair and 
farsiglited and that, if endorsed by this Assembly, 
it will help to move the world forward to a broad 
plateau of peace. 



Summary of Important Facts 
in Earth Satellite Program 

Statement hy President Eisenhower 

White House press release dated October 9 

1. The first serious discussion of an earth satel- 
lite as a scientific experiment to be incorporated in 
the program for the International Geophysical 
Year took place at a meeting of the International 
Council of Scientific Unions in Rome in October 
1954. At this meeting, at which Soviet scientists 
were present, a resolution was adopted by the 
scientists of the world recommending that "in 
view of the advanced state of present rocket tech- 
niques . . . thought be given to the launching of 
small satellite vehicles. . . ." 

2. Following this International Council meet- 
ing, the United States National Committee for 
the International Geophysical Yeai-, working 
under the sponsorship of the National Academy 
of Sciences, recommended that the United States 
institute a scientific satellite program. It was de- 
termined by the administration that this program 
would be carried out as part of the United States 
contribution to the International Geophysical 
Year. 

Responsibility within the Government for sci- 
entific aspects of the program was assigned to the 
National Science Foundation, working in close 
cooperation with the United States National Com- 
mittee for the International Geophysical Year. 
The Department of Defense was made responsi- 
ble for supplying the rocketry needed to place a 
satellite in orbit without interfering with the top- 
priority ballistic missile progi-am. In line with 
the recommendations of a group of United States 
scientists advising the Department of Defense, the 
satellite project was assigned to the Naval Re- 
search Laboratory as Project Vanguard. 



3. On July 29, 1955, at a AVhite House press 
conference, participated in by representatives of 
the National Science Foundation and the Na- 
tional Academy of Sciences, it was announced that 
plans "are going forward for the launching of 
small, unmanned earth circling satellites as part 
of the United States participation in the Inter- 
national Geophysical Year, which takes place be- 
tween July 1957 and December 1958." 

At this press conference it was specifically 
stated that the "data which will be collected from 
this program will be made available to all scien- 
tists throughout the world." The National Sci- 
ence Foundation, it was also announced, would 
work with the United States National Committee 
for the International Geophysical Year to formu- 
late plans for the satellite and its instrumentation 
as well as plans for the preparation and deploy- 
ment of the ground-observer equipment required 
for the program. 

4. In May of 1957, those charged with the 
United States satellite program determined that 
small satellite spheres would be launched as test 
vehicles during 1957 to check the rocketry, instru- 
mentation, and ground stations and that the first 
fully instrmnented satellite vehicle would be 
launched in March of 1958. The first of these test 
vehicles is planned to be launched in December of 
this year. 



As to the Soviet satellite, we congratulate Soviet 
scientists upon putting a satellite into orbit. 

The United States satellite program has been 
designed from its inception for maximum results 
in scientific research. The scheduling of this pro- 
gram has been described to and closely coordinated 
with the International Geophysical Year scientists 
of all countries. As a result of passing full infor- 
mation on our project to the scientists of the 
world, immediate tracking of the United States 
satellite will be possible, and the world's scientists 
will know at once its orbit and the appropriate 
times for observation. 

The rocketry employed by our Naval Research 
Laboratory for launching our Vanguard has been 
deliberately separated from our ballistic missile 
efloi'ts in order, first, to accent the scientific pur- 
poses of the satellite and, second, to avoid inter- 
ference with top-priority missile programs. 
Merging of this scientific effort with military pro- 
grams could have produced an orbiting United 



Ocfober 28, 7957 



673 



States satellite before now, but to the detriment of 
scientific goals and military progress. 

Vanguard, for the reasons indicated, has not 
had equal priority with that accorded our ballistic 
missile work. Speed of progress in the satellite 
project cannot be taken as an index of our prog- 
ress in ballistic missile work. 

Our satellite program has never been conducted 
as a race with other nations. Rather, it has been 
carefully scheduled as part of the scientific work 
of the International Geophysical Year. 

I consider our country's satellite program well 
designed and properly scheduled to achieve the 
scientific purposes for which it was initiated. We 
are, therefore, carrying the program forward in 
keeping with our arrangements with the inter- 
national scientific community.^ 



U.S. Policy in the Middle East 

Statement iy Jameson Parker 
Press Officer^ 

Soviet Communist Party Secretary, Nikita S. 
Khrushchev, is reported in an interview published 
October 10 as charging that instructions were 
given to Deputy Under Secretary Loy Henderson 
to incite certain Middle East states against Syria 
and that the United States is pushing Turkey 
into war with Syria. These charges are com- 
pletely unfounded. 

With regard to the first allegation, Mr. Hender- 
son took no such action. Mr. Henderson, who has 



' At his news conference on Oct. 9 President Eisen- 
hower read the following statement : 

"With reference to a reported suggestion by Mr. 
Khrushchev that there should be a U.S.-Soviet study of 
the control of objects entering outer space, the Department 
of State recalls that the London proposals of last August 
made by Canada, France, the United Kingdom, and the 
United States called for such a study. It is hoped that 
this offer will be accepted by the Soviet Union. 

"The State Department emphasized that these London 
proposals called for a multilateral international study 
and not a bilateral study between the United States and 
the U.S.S.R. and that the United States would not be 
disposed to consider any alteration of this aspect of the 
proposals, although, if its associates agree, such a study 
might be Initiated without awaiting the conclusion of the 
other substantive features of the proposals." 

' Kead to news correspondents on Oct. 10. 



had wide experience in the Middle East, had 
scheduled a trip to that area in connection with 
his duties as Deputy Under Secretary for Ad- 
ministration. He was asked to expedite his de- 
parture in view of developments in the Middle 
East in order to consult with United States and 
foreign officials and to obtain and bring back a 
first-hand impression of the situation. This was 
the substance of his instructions and this was the 
purpose of his triyi. 

With regard to the second charge, the United 
States is, of course, not pushing Turkey or any 
other country into war with Syria. Such a charge 
is an absurdity when viewed in the light of the 
United States record last winter during the Suez 
crisis. Turkey, a respected member of the United 
Nations, is an independent nation, fully capable 
of determining its own policies as well as the 
measures necessary for the defense of its national 
security. This was clearly revealed by the Turk- 
ish Government's firm reply to the recent note in 
which the Soviet Government openly threatened 
to mass troops on Turkish frontiers. Mr. Khrush- 
chev, who often glibly talks of peace, in the same 
interview now openly threatens Turkey. He has 
referred to the fact that the United States is a 
long way away from the Middle East, whereas 
the U.S.S.R. is adjacent. Despite distances, he 
should be under no illusion that the United 
States, Turkey's friend and ally, takes lightly its 
obligations under the North Atlantic Treaty or 
is not determined to carry out the national policy 
expressed in the joint congressional resolution on 
the Middle East. 

Mr. Khrushchev is himself reported to have ob- 
served that it is dangerous in these times to assume 
that hostilities, once begun, will remain confined 
to a particular locality. That truth should be 
prayerfully and constantly contemplated by every 
responsible official of every country. 



Letters of Credence 

Colombia 

The newly appointed Ambassador of Colombia, 
Jose Gutierrez Gomez, presented his credentials 
to President Eisenhower on October 10. For 
texts of the Ambassador's remarks and the Presi- 
dent's reply, see Department of State press release 
569. 



674 



Department of State Bulletin 



Developments in Latin America 



hy Roy R. Ruhottom, Jr. 

Assistant Secretary for Inter-American Affairs ^ 



The definitive book on Latin America can never 
quite get to press on time. The area is so dynamic, 
growth in all sectors is so explosively rapid, the 
political panorama mifolds and then shifts so 
quickly before our very eyes that the story can 
only be told in serial form. This is as it should 
be. The very vitality of Latin America is a great 
asset. The harnessing of this vast energy, both 
human and material, is its greatest challenge. 

The U.S., due to fortuitous circumstances of his- 
tory and geography, is indissolubly linked with 
Latin America. We are proud of our joint heri- 
tage of freedom and liberty. We maintain the 
closest ties of friendship with each of the 20 re- 
publics south of us. Of equal importance to the 
U.S. is the ever closer hai'mony between the 21 
American Republics in the Organization of Amer- 
ican States. This concert of the Americas, im- 
portant as it is to each of the states in it, has 
rung out all over the world, inspiring the United 
Nations and other regional groups of states to 
greater cooperative effort. 

The American Republics recently have added a 
new and important chapter to their record of 
joint accomplishments. I refer to the Economic 
Conference of the OAS which was held in Buenos 
Aires the last half of August and concerning 
which I shall report to you tonight. 

U.S. Economic Policies in Latin America 

Before doing so, I should briefly state or, rather, 
restate the policies and objectives of our Govern- 
ment in its economic relations with Latin America. 



'- Address made before the Council on Foreign Relations 
at \ew York, N.Y., on Oct. 10 (press release 570). 



There are some rather well-set benchmarks, pol- 
icies which have been affirmed and reaffirmed by 
both political parties here. 

Our relationship with Latin America has been, 
and will continue to be, unique in a number of im- 
portant respects. This relationship has been de- 
scribed as one of "good neighbors" and more re- 
cently as "good partners." Both of these 
appropriately call attention to certain aspects of 
this relationship. However, I would like to call 
attention to the high degree of economic inter- 
dependence which characterizes our relationship 
with Latin America, an interdependence which is 
increasmg every year. 

In trade, for instance, we exchanged with Latin 
America last year goods valued at $7.3 billion. 
In recent years our trade with Latin America has 
been greater than that with any other area in the 
world. The importance of this trade to both 
Latin America and the United States would be 
hard to overemphasize. The goods valued at $3.6 
billion we purchased in Latin America were es- 
sential to our well-being and to the maintenance 
and growth of our industrial plant, while the $3.7 
billion which Latin America spent here for a wide 
variety of manufactured and agricultural prod- 
ucts were required for the industrial development 
which is going ahead so rapidly in Latin America. 

In the field of private investment, this economic 
interdependence is equally manifest. More than 
one-third of our direct private investment is in 
Latin America. The value of total long-term 
U.S. private investment was estimated at more 
than $7.3 billion as of the end of 1955 (of which 
direct investment accounted for $6.6 billion). 
Since that date total long-term private U.S. in- 
vestment is estimated to have increased by some 



Ocfober 28, 7957 



675 



$1.3 billion. A Department of Commerce survey 
shows that in 1955 direct private investment pro- 
vided jobs for over 600,000 persons, paying sal- 
aries amounting to a billion dollars. It paid local 
taxes and royalties to the host countries also esti- 
mated at a billion dollars. Of the nearly $4.7 
billion worth of goods and services produced in 
1955 by the companies making these investments, 
more than $2 billion worth were sold abroad for 
dollars, while $2.5 billion worth were sold in local 
markets, most of them replacing goods which 
otherwise might have had to be imported. An- 
other somewhat intangible but very important 
I'esiilt of these investments has been the great 
amount of technical knowledge and managerial 
skills which they have provided for Latin Ameri- 
cans. At the same time, these investments yielded 
a satisfactoi-y return to their American owners. 

A third field in which we are intimately con- 
cerned with Latin America is in providing public 
funds, through the Export-Import Bank, for 
sound development projects. During the last 10 
years over 40 percent of the bank's total authoriza- 
tions have been made in the 20 Latin American 
Eepublics. In the 3-year period ending last June 
30th the Export-Import Bank has authorized 
credits of some $840 million in this area. 

With this intensely active and dynamically ex- 
panding economic relationship which our country 
enjoys with Latin America, it is not surprising 
that our Government maintains a highly sympa- 
thetic and intimate concern for the further eco- 
nomic development of our friends who are both 
good neighbors and good partners. In his address 
before the first plenary session of the Buenos Aires 
conference,^ Secretary of the Treasury Anderson 
stated our objectives very clearly and simply : 

We want our people all around the Americas to live 
better ; we want them to pursue more healthful lives ; 
we want their lives filled with hope, enriched with prog- 
ress, and inspired toward the improvement of standards 
of well-being. 



Buenos Aires Economic Conference 

This economic interdependence which exists be- 
tween our country and Latin America makes it 
essential that there be a greater mutual compre- 
hension of the problems which confront each of 



" Bulletin of Sept. 16, 1957, p. 463. For statements by 
President Elsenhower and Deputy Under Secretary 
Dillon, see ibid., Sept. 30, 1957, p. 539. 



our countries in providing for its people the im- 
proved standards of living to which we all aspire. 
Conferences such as the one held recently in 
Buenos Aires contribute substantially toward the 
development of this comprehension and under- 
standing of our problems and the means for their 
solution. The frank and friendly exchange of 
views which took place there over a period of 3 
weeks among men charged with shaping the fiscal 
and economic jDolicies of their countries could not 
help but bring about constructive results. 

In spite of the positive results of tlie meeting 
tliere was, perhaps, some disillusionment on the 
part of the press and general public that more was 
not accomplished. It should be realized, however, 
that an economic conference cannot in itself cre- 
ate the roads, the factories, the hydroelectric and 
other projects which will increase productivity 
and improve standards of living. A conference 
can only seek ways and means which will expedite 
the accomplishment of these jobs by the people 
themselves and their governments. It must be 
realized, also, that this particular conference, 
without in any way detracting from its impor- 
tance, in reality was only part of a continuing 
process of discussion and consultation of economic 
problems which is carried on by the American 
Republics. 

At the Buenos Aires conference, with few ex- 
ceptions each delegation was headed by its Min- 
ister of Finance or Economy responsible for 
policy formulation in the fiscal and economic 
fields. In the case of the United States, Secre- 
tary of the Treasury Anderson was our principal 
delegate, and upon his return to Washington that 
position was occupied by the Deputy Under Sec- 
retary of State for Economic Affairs, Mr. C. 
Douglas Dillon. Wliile in Buenos Aires, Secre- 
tary Anderson, Mr. Dillon, and I had talks with 
the head of each of the Latin American delega- 
tions. This provided an opportunity not only to 
discuss matters directly connected with the con- 
ference but also those relating to our relations 
with eacli country individually. These proved to 
be mutvially advantageous. 

The conference adopted 41 resolutions on a wide 
variety of economic subjects. With a single ex- 
ception these resolutions were adopted unani- 
mously. Tlie one resolution which the United 
States voted against is one which looks toward 
the negotiation of commodity control agreements 



676 



Department of State Bulletin 



for price stabilization of Latin America's basic 
export products. In few instances have interna- 
tional conferences such as this been able to arrive 
at such a high degree of unanimity. 

Interest at tlie conference was directed chiefly 
toward four problems: (1) the financmg of eco- 
nomic development, (2) terms of trade and com- 
modity agreements, (3) the creation of one or more 
common-market arrangements in Latin America, 
and (4) the negotiation of a general economic 
agreement. 

Financing Economic Development 

The Latin American countries in general be- 
lieve that their own savings are not sufficient to 
finance the rate of economic development whicli 
they desire and are therefore anxious to attract 
foreign funds. Some Latin Americans believe 
that private investors are not likely to be able to 
supply the major portion of the foreign funds 
needed for development. They also liave other 
questions as to the use of private capital. For 
example, it is sometimes said that the payment of 
dividends on foreign capital constitutes an unnec- 
essary drain on the foreign-exchange resources of 
a counti-y. The fear is also expressed at times 
that foreign private enterprise may exercise an 
undue influence on the economic and political life 
of the host countiy. For these reasons Latin 
American representatives at inter-American con- 
ferences usually press for additional govern- 
mental funds for economic development and for 
new financial institutions to provide such funds. 

The United States, which was largely de- 
veloped with private capital, much of foreign 
origin, is not disposed to attribute to the use of 
private capital the disadvantages sometimes 
ascribed to it in Latin America. In the view of 
the United States the vast jjool of capital for eco- 
nomic development represented by potential 
private investment is still largely untapped. Such 
investment is held back by numerous impedi- 
ments. Some of these are direct restrictions on 
foi-eign participation in some fields or limitations 
on the percentage of ownership. Some are by- 
products of inflationai-y financing, multijDle ex- 
change rates, and arbitrary import and export 
taxes and controls. For example, the traditional 
barrier to increased foreign investment in trans- 
portation, communications, and power production 
has been the unwillingness of the regulatory agen- 



cies of many Latin American governments to 
permit remunerative rates in the face of depreciat- 
ing currencies and rising costs. 

I might add, however, that in some Latin Amer- 
ican countries these impediments are being grad- 
ually removed, with beneficial results in attracting 
foreign investments. In 1956 the net outflow of 
private capital from the United States to Latin 
America amounted to $521 million and thus estab- 
lished a new record. Substantial amoimts of new 
private capital were also received from Canada, 
Europe, and Japan. 

The fear sometimes expressed regarding the so- 
called drain of foreign private investment on the 
foreign exchange earnings of the Latin American 
countries generally arises from a narrow inter- 
pretation of the eifect of profit remittances upon 
the balance of payments. However, the extent to 
which capacity to produce and employment op- 
portunities have been expanded by private for- 
eign investment cannot appropriately be measured 
by either the net outflow or the net inflow of 
capital. United States investments in Latin 
America are financed not only by the outflow of 
new capital but by the plowing back of cuiTent 
earnings, by the funds set aside for depreciation, 
and, in some instances, by local borrowing and 
equity financing. Gross capital expenditures by 
United States companies in the area in 1956 were 
probably in the neighborhood of $1 billion. 

Thus the impact of these investments on the 
growth of the economies of the Latin American 
countries is much greater than their effects on 
the balance of payments between the United 
States and Latin America. Furthermore, invest- 
ments made by experienced producers create 
opportunities for local people to acquire the neces- 
sary skills to organize and operate business ven- 
tures and to become acquainted with opportunities 
within tlieir own countries for investment in pro- 
ductive enterprises rather than in real estate or 
foreign securities. 

The fear of undue political influence by foreign 
corporations is, in the view of the United States, 
not justified. A United States company operat- 
ing abroad is subject to the laws of the country in 
which it operates. Those countries are generally 
in a very good position to prohibit the foreign 
company from exercising any undue political in- 
fluence, even if the company should wish to do so. 
The company as a rule lias no desire to interfere 
in local politics. 



Ocfober 28, 1957 



677 



Notwithstanding the comments I have made on 
the subject of private investments, I should not 
like to give tlie impression that the United States 
desires to encourage private capital to go into 
countries where it is not wanted. We know that 
it is for countries whicia need capital, rather than 
the United States, to take the steps which are 
needed if the largest potential source of foreign 
capital is to be tapped. 

The United States also recognizes that there 
are needs for development capital in Latin Amer- 
ica which cannot be fully met by private invest- 
ment funds and therefore has a broad and positive 
policy toward public investment in Latin 
America. 

It is the view of the United States that the Ex- 
port-Import Bank, the International Bank for 
Reconstruction and Develojiment, and the Inter- 
national Finance Corporation are able to meet all 
demands for ordinary, conventional dollar loans 
for sound projects. To the extent that private 
capital is unavailable, these institutions may be 
relied upon by the Latin American countries to 
supplement their own resources for the financing 
of productive economic projects. Among the 
factors wliich will influence the volume of foreign 
lending to any country is the effectiveness of that 
country's program for combating inflation, en- 
couraging private enterprise, and improving the 
investment climate. 

With regard to Latin American proposals for 
the establishment of inter-American institutions 
to finance economic and social development, the 
United States considers that its participation in 
such projected institutions would duplicate and 
interfere with its program for development credits 
to Latin America and is, therefore, undesirable. 
It believes that the Latin American countries can 
make greater progress through use of existing in- 
ternational credit facilities than through efforts 
to establish inter-American institutions. The 
limiting factor on further lending is not the lack 
of lending institutions but the lack of sound proj- 
ects which are within the capacity of the would-be 
borrowing countries to service. 

Tlie Eximbank's policy regarding loans in Latin 
America Is to assure financing for all appropriate 
economic development projects for which private 
capital is not readily available on equitable terms. 
The bank's lending authority has already been 
increased several times, and its activities in Latin 



America have been intensified. It may be noted 
that new loan authorizations bj' the Eximbank to 
Latin American countries in 1956 totaled more 
than $409 million, a record yearly high. 

The International Bank for Reconstruction and 
Development also has large resources available, 
and the Latin American countries, all of which 
are members, have access to its facilities. Loan 
agreements signed by IBRD with Latin American 
countries in 1956 totaled $74.4 million. The In- 
ternational Finance Corporation, which was 
formed in July 1956 with the cooperation and 
major participation of the United States, is al- 
ready active in Latin America and is expected to 
play an increasingly important role in financing 
the growth of productive private enterprise. 

The resolution adopted by the Economic Con- 
ference of the Organization of American States 
on the financing of economic development was 
formulated against the foregoing background. It 
declared the necessity of pursuit by the Inter- 
American Economic and Social Council of studies 
designed to develop formulas and policies which 
would permit the expansion of the financing of 
Latin American economic development in accord- 
ance with a resolution previously approved by the 
Inter-American Committee of Presidential Rep- 
resentatives, which met in Washington in 1956-57. 
Other portions of the resolution included provi- 
sions that the Council convoke a special commis- 
sion of governmental representatives to carry out 
tliis study, which should be brought to the atten- 
tion of the governments when completed, and that 
the member states should adopt measures condu- 
cive to encouraging the flow of private capital 
and of techniques toward Latin America to the 
greatest extent possible. 

Terms of Trade and Commodity Agreements 

A subject on which there tends to be a common 
position among the Latin American countries is 
that relating to "terms of trade" and to the pro- 
posal that international commodity agreements 
be used to help maintain a favorable relationship 
between prices of the commodities they export 
and the prices of the products which they import. 
This is understandable in view of the fact that 
economic conditions in most of the Latin Ameri- 
can countries are influenced to a large degree by 
the conditions under which a relatively few of 
their commodities are sold in international trade. 



678 



Department of Slate Bulletin 



For example, Bolivia is highly dependent on tin ; 
Chile on nitrate and copper; Brazil, Ecuador, 
Colombia, El Salvador, and Guatemala on coii'ee; 
Uruguay on meat and wool; Venezuela on pe- 
troleum; I\Iexico and Peru on lead and zinc; and 
Argentina upon wheat and meat. 

Tlie state of the export trade in these few com- 
modities has a large effect upon employment and 
economic activity generally witliin tliese coimtries. 
Kepresentatives of such countries have often 
pointed out that the prices of their raw materials 
fluctuate widely in relation to the prices of the 
products they import. 

Among the measures most often mentioned for 
attempting to stabilize such commodity prices are 
intergovernmental conimodity agreements. While 
the United States fully recognizes that many coun- 
tries rely heavily upon exports of primary prod- 
ucts and do face special problems in the form of 
relatively wide fluctuations in the world market 
prices for some of their major products, it does 
not believe that the cure is to be found in mechan- 
isms for international price support or stabiliza- 
tion. In the view of the United States, there is 
too strong a probability that such a cure would be 
at least as harmful as the disease. In general, it 
is the conviction of the United States that maxi- 
mimi reliance upon competitive forces in free 
markets will best promote international price re- 
lationships conducive to optimum allocation of 
economic resources and advancement of economic 
welfare. 

It is sometimes alleged that the United States 
position on this matter is inconsistent with its pro- 
grams which are aimed at supporting the prices 
of United States agricultural products in relation 
to the prices of products which United States 
farmers buy. It may be noted, however, in partial 
reply, that the experience which the United States 
has had with attempting to support agricultural 
prices domestically, instead of being a recommen- 
dation for an international price-support system, 
indicates strongly that such a system would, in 
all probability, be unwieldy and unworkable. 

The United States Government fully realizes 
the seriousness of the problems of market insta- 
bility for primary products but believes that the 
basic attack on them must be through the main- 
tenance of high levels of economic activity in the 
industrialized countries and the pursuit of appro- 
priate policies of economic development and ex- 



pansion elsewhere. Especially since the United 
States normally takes about 50 percent of all the 
goods exported from the Latin American coun- 
tries, as a group, it is evident that to tlie extent 
that the United States is successful in its determi- 
nation to maintain a stable rate of economic 
growth, considerable mitigation of the price fluc- 
tuations which might occur in the absence of this 
stability can be expected. 

United States trade policy is also of great im- 
portance to the Latin American countries. It may 
be pointed out that, while tliere have been indi- 
vidual exceptions, the tariff" treatment accorded 
by tlae United States to imports from Latin 
America is today favorable as a result of tariff 
reductions under the trade agreements program 
which was begun in 1934. Some two-thirds of all 
imports from Latin America are on the free list 
and are therefore not subject to duty. And under 
our trade agreements program duties on dutiable 
imports have been gradually brought down. 
Measures taken by the United States which tend 
to relieve or remove impediments to United States 
foreign trade and which encourage other countries 
to move in the same direction are, of course, of 
real benefit to the Latin American countries. 

The United States also desires to help the other 
American countries to diversify their economies 
and therefore lessen their dependence on a few 
expoi'ts. It attempts to do this in a number of 
ways. First, it encourages the governments of 
these countries to pursue policies likely to attract 
foreign investors to participate in the work of di- 
versification. It also helps encourage such diver- 
sification itself through governmental loans in 
appropriate cases and through its technical co- 
operation program. 

There were two resolutions adopted by the con- 
ference which directly related to the subject of 
basic products. One of these resolutions called 
for the establishment by the Inter-American 
Economic and Social Council of a permanent 
committee on basic products to study and publi- 
cize information with respect to the production, 
distribution, and prospects for basic commodi- 
ties. The other resolution gives to the committee 
the task of developing international commodity 
agreements, in cases deemed appropriate by the 
committee, for dealing with the problem of price 
instability. The United States voted for the first 
resolution and opposed the second in view of its 



Ocfober 28, 1957 



679 



belief that international commodity agreements 
are not an appropriate or effective means of deal- 
ing with the question of price instability. 

Regional Latin American Market 

Another question discussed at the conference, 
and on which there is not a common viewpoint 
among tlie Latin American countries, relates to 
the question of the development of a regional 
market or regional markets among the American 
countries. There is a general belief that the mar- 
ket provided by individual Latin American coun- 
tries may be too small in the case of some products 
to permit the most efficient scale of production. 
There has accordingly for some time been discus- 
sion by the Latin American countries of the possi- 
bility of developing one or more regional markets 
within the Western Hemisphere. Ideas advanced 
have differed, however, as to the number of coun- 
tries that should be brought within the purview 
of the market. For example, it has been sug- 
gested that there be one market for all of the 
American Eepublics, including the LTnited States. 
It has also been suggested that there be one Latin 
American market which would exclude the United 
States. There have also been proposals that there 
be a nvimber of regional markets within the Latin 
American area, each of which would involve a 
group of countries. Each of these proposals 
raises serious problems. For example, the pro- 
posal that the United States and the Latin Ameri- 
can countries form one common market would 
mean that the infant industries of the Latin 
American countries would be exposed to direct 
competition from well-established United States 
manufacturing concerns. It would also mean that 
United States producers of such agricultural 
products as wool and sugar would be in direct 
competition witli the producers of these products 
in the Latin American countries. 

The establishment of one common market for 
all Latin American countries would mean that 
the whole area would be developed as an economic 
unit in which competitive conditions would pre- 
vail. However, as has recently been pointed out 
in a Pan American Union study entitled Lib- 
eralization of Inter- American Trade, Latin 
America as a whole is not one region economically 
but embraces several distinct regions. The de- 
velopment of a common market among a few 
countries within the region would, however, also 



raise difficult problems in inter-Latin American 
relations. 

No concrete proposals for specific common-mar- 
ket arrangements were before the conference for 
consideration. It was agreed, however, that such 
arrangements, properly devised, could be benefi- 
cial. The United States supported the conference 
resolution on this subject, which declared it to be 
desirable to establish gradually and progressively 
a regional Latin American market, in a multi- 
lateral and competitive form, and recommended 
the continuation of studies designed to provide 
for the development of information essential to 
the establislmient of such a market. 



General Economic Agreement 

The most publicized conference subject was the 
proposed general economic agreement. As you 
know, such an agreement was signed by the 
Amei-ican States at Bogota in 1948, but there were 
so many objections by so many of the states that 
only three of them ultimately ratified it. The 
project was later revived in 1954 at Caracas and 
also at Rio. Consequently, the secretariat of the 
Inter-American Economic and Social Council 
drafted a text of an agreement based on resolu- 
tions and declarations made in the inter- American 
system since 1889. The substance of this draft 
contained all the familiar topics in inter-Ameri- 
can economic relations, including naturally the 
controversial ones. It was not possible to arrange 
for intergoverimiental negotiations on the draft 
text prior to the opening of the conference, and 
at Buenos Aires it became clear to the great ma- 
jority of the governments that negotiation of such 
a document in a period of 3 weeks was manifestly 
impossible. Accordingly there was unanimous 
agreement that the whole problem of an economic 
treaty sliould be referred to the Council of the 
Organization of American States. 

At the same time there was also unanimous 
agreement on an Economic Declaration which was 
drafted by several of the countries and which set 
forth some of the most important principles of 
inter- American economic relations.^ It sets forth 
tlie intention of governments to maintain condi- 
tions that will promote the maximum economic 
growth of each country through the attainment 
of high and stable levels of real income, employ- 



' For text, see ihiil., Sept. 30, 1957, p. 540. 



680 



Department of State Bulletin 



ment, and consumption, in order that all their 
peoples may be adequately fed, housed, and 
clothed and have access to the services necessary 
for health, education, and general well-being. To 
realize tliese objectives it calls on member gov- 
ernments to promote 10 specific courses of action. 
Perhaps the most important of these is that call- 
ing for the intensification of efforts, individually 
and through international financial institutions, 
to expand the flow of public capital to the coun- 
tries of the Americas, by the granting of credits 
for the sound financing of investments considered 
essential for development, and to stimulate private 
investment therein, for the purpose of promoting 
their economic development and strengthening 
mutually beneficial economic relationships among 
the American nations. 

In commenting to the press on the Declaration 
at the conclusion of the conference, Mr. Dillon 
pointed out that it emphasizes tlie need for co- 
operation among the American Republics ; it also 
stresses that economies are developed and living 
standards are improved to the extent that the 
countries succeed in developing their natural and 
human resources and in increasing the flow of 
profitable international trade. In the develop- 
ment of natural resources, the Declaration makes 
clear that botli public and private investment are 
required, linking these two types of investment 
together in a single paragraph. The recognition 
of the close connection between public and private 
financing is welcomed by the United States, as we 
have continued to stress that the volume of public 
financing is directly related to the amount of 
private financing which countries are able to 
attract. 

In conclusion I would say that the delegations 
which attended the Buenos Aires Economic Con- 
ference, and the governments which they repre- 
sented, may be highly gratified at its constructive 
results. The economic problems of the hemis- 
phere were faced squarely and discussed franklj^ 
A measure of agreement was reached hitherto un- 
precedented in economic conferences within the 
inter-American system. The conference was a 
further manifestation of the accuracy of Presi- 
dent Eisenhower's description of the Organization 
of American States as "the most successful sus- 
tained adventure in international living that the 
world has seen."' 
While much remains to be done before we can 

October 28, 1957 

444315—57 3 



fully realize the aspirations expressed in the Eco- 
nomic Declaration of Buenos Aires, encourage- 
ment may be drawn from the fact that Latin 
America constitutes one of the most rapidly pro- 
gressing regions of the world. The average an- 
nual increase of gross national product, in real 
terms, for the area as a whole since the end of 
World War II has been 5.5 percent. This com- 
pares favorably with the rate for Western Europe 
or tlie United States. Far from being an un- 
developed area, Latin America constitutes an eco- 
nomic frontier where the world's most dramatic 
economic development is taking place. 

The Buenos Aires Economic Conference served 
to reaffirm our conviction that the people of the 
Americas will exert themselves to the hard, re- 
sourceful work, the self-discipline, and the will- 
ingness to grapple with difficult problems in sucli 
a way as to achieve their economic goals. The 
conference restated the determination of our peo- 
ples to depend basically on their enterprise to 
create from their own resources the wealth needed 
for their growth. 



Appreciation for U.S. Aid 
to German Sliip "Pamir" 

Press release 563 dated October 7 

Folloioing is the text of a letter from Foreign 
Minister von Brentano of the Federal Republic of 
Germany to Secretary Dulles expressing his 
Government's appreciation for U.S. aid to the 
sailing ship Pamir. The letter was transmitted 
hy the German Embassy at Washington on Octo- 
ber 5. 

Mr. Secretary: The German people, who at 
this time mourn the death of so many gallant 
seamen, in profound gratitude remember the 
valiant men of the United States Navy and Mer- 
chant Marine as well as of the United States Air 
Force who, with the airmen and seamen of other 
nations, came to the aid of the sailing ship 
"Pamir" in distress. The selfless action of these 
men who staked their own life so that they might 
save that of their German comrades, is a shining 
example of high courage, sacrificial spirit and of 
genuine seamanship. My countrymen, above all 
the survivors of the "Pamir" and their kin, will 
always recall this generous and efl'ective assistance 
with deep emotion. 



681 



I should be grateful to you if you would convey 
to all the United States services concerned these 
feelings of respect and of gratitude, especially to 
the ships of the United States Merchant Marine, 
above all the S.S. "Saxon" (Capt. Lars Bjotvedt) ; 
to the Commander- in-Chief of the United States 
Forces on the Azores who directed the I'escue ac- 
tion; to the Air Kescue Service of the United 
States Air Force whose 57th, 53rd, and 67th Air 
Rescue Squadrons took part in the search for the 
"Pamir"; to the United States Navy whose air- 
craft of Squadron WAHM 13 and whose troop- 
ship "Geiger" (Capt. Herman W. Lotz) partici- 
pated in the i-escue operations; to the United 
States Coast Guard whose cutter "Absecon" 
(Capt. Ralph West) also participated in the res- 
cue action, and to all those whose gallantry in the 
search and rescue operations for the "Pamir" or 
whose effective succour for the rescued seamen are 
not known to me in detail. 

At the same time I should like to thank you for 
the kind words of sympathy which Ambassador 
Bruce conveyed to me on behalf of the United 
States Government on tlie occasion of tlie tragic 
loss of the "Pamir." 

Accept, Mr. Secretary, the assurance of my 
highest consideration. 

V. Brentano 



Fingerprint Requirement Waived 



DEPARTMENT ANNOUNCEMENT 

Press release 571 dated October 10 

Tlie Secretary of State and the Attorney Gen- 
eral, acting under the authority conferred upon 
them by section 8 of Public Law 316 of September 
11, 1957, authorized on October 10 the publica- 
tion of regulations wliich will waive the finger- 
print requirement at the time of visa issuance, 
on a basis of reciprocity, in the case of most non- 
immigrant aliens (including visitors, students, ex- 
change visitors) who remain in this country for 
less tlian 1 year. 

American consular officei-s throughout tlie 
world have already been alerted to discontinue 
the fingerprinting of those persons as soon as the 
regulations have been published. 



TEXT OF REGULATIONS 

Waiveb of Finoerpbinting Requirement ' 

Part 41, Chapter I, Title 22 of the Code of Federal Reg- 
ulations Is hereby ameuded in the following respef t : 

Section 41.19 Registration and ftnycrjirintinff of non- 
immigrants, is amended to read as follows : 

§41.19 Registration and fingerprinting of nonimmi- 
grants. The provisions of section 221 (b) of the Immi- 
gration and Nationality Act which require the tinger- 
priutlng of aliens in connection with their applications 
for visas are waived in pursuance of the authority con- 
tained in section 221 (b) of that act for the nonimmi- 
grant classes specified In paragraph (a) of this section, 
and in pursuance of the authority contained in section 
8 of the act of September 11, 1957 (71 Stat. 641) for the 
nonimmigrant classes specified in paragraph (b) of this 
section : 

(a) An alien who is within a class of nonimmigrants 
enumerated in .section 101 (a) (15) (A) and section 101 

(a) (15) (G) of the Immigration and Nationality Act, 
or an alien who Is granted a diplomatic visa on a diplo- 
matic passport or on the equivalent thereof. (See §41.7 

(e).) 

(b) An alien who is a national of a country whose 
government does not require fingerprinting in connec- 
tion with an application for, or the issuance of, a visa 
to a national of the United States who intends to pro- 
ceed to such country for a similar purpose, and who is 
classifiable as a nonimmigrant under the provisions of 
section 101 (a) (15) (B), (O), (D), (E), (F), (H), or 
(I) of the Immigration and Nationality Act, including u 
nonimmigrant alien who is classifiable under the vi.sa 
symbol EX, NATO-1, NATO-2, NATO-3, NATO-4, 
NATO-5, or NATO-6. 

(c) In the case of any nonimmigrant alien who is not 
exempted from the fingerprinting requirement under the 
provisions of this .section, the fingerprints of such alien 
shall be taken in connection with his application for a 
uouinmiigrant visa on Form AR-4 or in such other man- 
ner as may be authorized by the Department. 

( d ) Form FS-257, when duly executed, shall con.stitutc 
the alien's registration record for the purposes of .section 
221 (b) of the act. 

The regulation contained in this order shall become 
effective upon publication in the Fedehal Register. The 
provisions of sectitm 4 of the Administrative Procedure 
Act (60 Stat. 238; 5 U.S.C. 1003) relative to notice of 
proposed rule making and delayed effective date are in- 
applicable to this order because the regulation contained 
therein involves foreign affairs functions of the United 
States. 

Dated: October 10, 1957 

Harris H. Huston, 
Acting Administrator, 

Hin-euii of mccKritii and Consular Affairs 



' 22 Fed. Reg. 8119. 



682 



Department of Sfafe Bulletin 



Meeting of U.S.-Canadian Committee 
on Trade and Economic Affairs 

Following is the teu:t of the U.S.-Canadian 
jaiiit communique issued on October S {press re- 
lease 565) at the close of the third meeting of the 
Joint United States-Canadian Committee on 
Trade and Economic Affairs. 

The third meeting of the Joint United States- 
Canadian Committee on Trade and Economic 
Afl'aii-s took place in Washington yesterday and 
today. The first two meetings were held in March 
1954 and September 1955.^ In the discussions just 
held, the two governments were represented by 
the following cabinet members : 

For Canada : 

Donald Fleming, Minister of Finance {Canadian Chair- 
man) 
Sidney E. Smith, Secretary of State for External Affairs 
Douglas S. Harkness, Minister of Agriculture 
Gordon Churchill, Minister of Trade and Commerce 

For the United States : 

John Foster Dulles, Secretary of State (United States 

Chairman) 
Robert B. Anderson, Secretary of the Treasury 
Ezra Taft Benson, Secretary of Agriculture 
Sinclair Weeks, Secretary of Commerce 

In addition to the members of the Joint Com- 
mittee, senior officials from both governments 
were present. 

The Joint Committee was established to provide 
an opportunity for the Cabinet members primarily 
concerned with economic relations to meet in- 
formally from time to time to exchange views and 
examine developments of mutual interest. The 
purposes of the Committee, as stated in the origi- 
nal terms of reference are : 

(1) To consider matters affecting the harmonious eco- 
nomic relations between the two countries ; 

(2) In particular, to exchange information and views 
on matters which might adversely affect the high level of 
mutually profitable trade which has been built up ; 

(3) To report to the respective Governments on such 
discussions in order that consideration may be friven to 
measures deemed appropriate and necessary to improve 
economic relations and to encourage the flow of trade. 

This meeting was especially valuable as it was 
the first occasion since the Canadian election in 



' For texts of communiques issued following the first 
two meetings, see Bulletin of Apr. .5, 1954, p. ."ill, and 
0^•t. 10, 1955, p. 576. 



June for a group of Cabinet members from the 
two countries to meet together. The meeting, 
which took place in an atmosphere of cordiality 
and neighborliness, provided an opportunity for 
a frank and informative discussion on trade and 
economic subjects of current interest to both 
countries. 

The Committee examined a wide range of sub- 
jects including domestic economic developments 
in the United States and Canada, tlie trade poli- 
cies of the two governments, agricultural policies 
and surplus disposal activities (especially those 
relating to wheat), the trade in agricultural prod- 
\icts between the two countries. United States in- 
vestment in Canada, United States policies affect- 
ing Canadian mineral products and a number of 
other specific questions of special interest to both 
sides. 

In the coui-se of the review of current economic 
conditions it was recognized that the two coun- 
tries have a deep and continuing interest in each 
other's economic stability and strength. In par- 
ticular, representatives of the two Governments 
expressed their full accord on the importance of a 
high level of business activity being maintained 
in their economies, and on the need for growth 
that does not endanger stability, both in their do- 
mestic economies and in the trade of the Free 
World. The recognition of this reciprocal inter- 
est was considered basic to close and effective co- 
operation between the two countries as an integral 
part of their contribution to world peace and se- 
curity, including the common defense of North 
America. 

In the review of general trade policies Canadian 
ministers drew attention to the important impli- 
cations for Canada of the very high proportion of 
its external trade which is taking place with the 
United States. The volume and variety of goods 
entering into this trade made Canada by far the 
most important commercial customer of the 
United States and vice versa. In 1956 well over 
$4 billion worth of United States goods, or ap- 
proximately one-quarter of the total cash exports 
of the United States, were sold in Canada. On 
the other hand Canadian exports to the United 
States amounted to less than $3 billion. In the 
light of these facts Canadian ministers stressed 
the effects on Canada of developments in United 
States commercial policies. 

The United States members for their part 



October 28, 1957 



683 



stressed the dependability of the U.S. economy 
both as a market and as a supply source. They 
drew attention to the strong economic position of 
Canada and pointed out that Canada's trading 
deficit with the United States had been accom- 
panied by an inflow of capital from the United 
States and that the rest of the deficit had been 
covered by Canada's trade sui-plus and investment 
inflows from other parts of the world. In these 
circumstances, the United States members felt 
that the trade and payments relationships between 
the two countries were basically sound and demon- 
strated the effective working of multilateral trad- 
ing policies. 

It was agreed that in formulating its trade 
policies each country should show careful regard 
for the interests of the other. 

There was considerable discussion of means for 
promoting the orderly expansion of world trade. 
In particular the representatives of the two gov- 
ernments were in accord on the need for continued 
support of the General Agreement on Tariffs and 
Trade, to which both the United States and 
Canada are parties. 

Canadian ministers maintained that United 
States surplus disposal operations have adversely 
affected Canadian wheat sales. In particular they 
emphasized the harmful effects barter transactions 
have had on commercial marketings of all export- 
ing countries, including Canada and the United 
States. 

The United States members affirmed to the Ca- 
nadian ministers their intention in all surplus 
disposal activities to avoid, insofar as possible, in- 
terfering with normal commercial marketings. 
They gave assurance that under the present re- 
vised Commodity Credit Corporation barter pro- 
gram each barter contract must result in a net 
increase in exports of the agricultural commodity 
involved, and that interest must be paid until the 
strategic materials are delivered or payment is 
otherwise effected for the agricultural commod- 
ities. 

The members of the Committee were also agreed 
on the value of continuing consultation in order 
to keep to a minimum any harmful effects of 
surplus disposal activities. 

There was a full discussion of agricultural poli- 
cies which affect trade between the two countries. 

The Canadian ministers expressed concern over 
the effect on Canadian producers which would 



result from any future action by the United States 
to raise duties on imported lead and zinc. The 
United States members explained the situation 
confronting their domestic producers. They called 
attention to the continuing need for impoi-ts of 
certain minerals and metals and indicated that any 
United States tariff action that might be taken to 
relieve serious injury to United States producers 
would have the primary objective of maintaining 
a normal relationship between imports and do- 
mestic production. They noted that any such 
action would be applied in accordance with the 
procedures of the General Agreement on Tariffs 
and Trade. 

The Canadian ministers clarified the concern 
frequently expressed in Canada I'egarding the 
nature and extent of United States investment in 
Canadian natural resources and important manu- 
facturing industries. They made it clear that 
Canada welcomed the inflow of capital and rec- 
ognized its important contribution to Canadian 
economic development. It was the hope of the 
Canadian Government that all United States com- 
panies participating in the expansion of the Cana- 
dian economy would develop and maintain closer 
and mutually beneficial relationships with the 
people of Canada. In this connection note was 
taken of the recent supplementary tax convention 
between the United States and Canada ^ which was 
designed to facilitate greater Canadian participa- 
tion in American-owned corporations operating 
in Canada. 

The United States members welcomed this clari- 
fication by the Canadian ministers and pointed out 
that the great confidence which United States 
business feels toward Canada is the result of many 
years of experience and association. 



Baghdad Pact Countries To Study 
Possibility of Free Trade Area 

Following is the text of a final communique is- 
sued at London on September 24 hy the Subcom- 
mittee on Trade of the Economic Committee of the 
Baghdad Pact Organizatioii at the close of the 
first session of the Working Party on Customs 
Union/Common Market/ Free Trade Area. 

The Baghdad Pact Council at its Karachi Ses- 
sion of June tills year approved the recommen- 

' Ihid., Oct. 14, 1!».-7, p. 612. 



684 



Department of State Bulletin 



dation of the Economic Committee to establish a 
Workinfj Party to report on the possibility of 
establishing a Customs Union/Common Market/ 
Free Trade Area in the Baghdad Pact Region.^ 
The tirst session of this Working Party was 
held in London from September 16 to September 
24, 1957. The session was attended by the dele- 
gations from Iran, Iraq, Pakistan, Turkey, the 
United Kingdom and the United States of 
America. Mr. A. D. Azhar of Pakistan was 
elected as chairman. 

2. The Working Party have submitted a unani- 
mous report for the consideration of its superior 
bodies. In the light of the European background 
ha this regard, the rejiort sets out the most im- 
portant issues that require to be studied collec- 
tively as well as at national levels. The Work- 
ing Party has also recommended that for the pres- 
ent, the study of either a Customs Union or an 
Economic Community on the lines envisaged by 
the Treaty of Rome, and commonly described as 
a Common Market, should not be proceeded with, 
and tliat attention henceforth should be confined 
to the possibility of establishing a Free Trade 
Area. 



Salk Vaccine Export Quota 

The Department of Commerce announced on 
October 10 that an export quota of 5 million cubic 
centimeters has been established for poliomye- 
litis (Salk) vaccine in the fourth quarter. 

The new quota is 2 million cc.'s above that set 
for the third quarter 'and reflects the improved 
domestic supply outlook. It will continue to be 
licensed under present criteria which give priority 
to countries most urgently in need of tlie vaccine 
and which maintain adequate immunization pro- 
grams. 

The major portion of the 3-million-cc. quota set 
for the tliird quarter was distributed among the 
following countries: Argentina, 94,000 cc.'s; Bra- 
zil, 270,666 ; Chile, 29,331 ; Cuba, 31,086 ; Hungary, 
399,697; Liberia, 20,880; Mexico, 12,753; Nether- 
lands, 563,057; Netheriands Antilles, 36,450; Pan- 
ama, 7,200; Peru, 18,792; Southern Rhodesia, 38,- 
502; Sweden, 87,750; Uruguay, 180,153; Vene- 
zuela, 57,333 ; and West Germany, 303,606. 

' Bulletin of Aug. 12, 1957, p. 276. 

October 28, 1957 



Treaty of Friendship, Commerce 
and Navigation With Korea 

Press release 561 dated October 7 

Ratifications were exchanged on October 7 of 
the treaty of friendship, commerce and naviga- 
tion between the United States and the Republic 
of Korea.^ The treaty was signed at Seoul on 
November 28 (Seoul time), 1956. It will by its 
terms enter into force 1 month from the date of 
exchange of ratifications. 

The treaty consists of 25 articles and a protocol. 
In these provisions, each of the two Governments 
(1) agrees to accord, within its territories, to 
citizens and corporations of the other country, 
treatment no less favorable than it accords to its 
own citizens and corporations with respect to 
many commercial and industrial pursuits, as well 
as with respect to religious and educational ac- 
tivities; (2) affirms its adherence to the princi- 
ples of nondiscriminatory treatment of trade and 
shipping; (3) formally endorses standards re- 
garding the protection of persons and their prop- 
erty that reflect advanced constitutional princi- 
ples; and (4) recognizes the need for special 
attention to the problems of stimulating the flow 
of private capital investment for economic 
development. 



World Banl< Loan to Austria 
for Hydroelectric Project 

The World Bank announced on October 4 that 
it had approved a loan of 15 million deutsche- 
marks (equivalent to about $3.6 million) to help 
complete a 190,000-kilowatt hydroelectric project 
being built near tlie Lunersee in western Austria. 
Most of the power from Lunersee will be exported 
to the Ruhr and southwest Germany, and the re- 
mainder will be consumed in the Austrian prov- 
inces of Vorarlberg and Tyrol. 

The loan was made to the Vorarlberger 111- 
werke, a public power company with headquarters 
at Bregenz in Vorarlberg. This is the first World 
Bank loan in German marks; the marks to be 
used for the loan will be provided from the Ger- 
man capital subscription to the bank. 

The Dresdner Bank of Frankfurt-am-Main> 
West Germany, is participating in the loan, with- 



' S. Exec. D, 85th Cong., 1st sess. 



685 



out the bank's guaranty, to the extent of DM1,- 
060,200, made up of the first three maturities, 
which fall due on May 1 and November 1, 1960, 
and May 1, 1961. This is the first participation 
by a West German commercial bank in a World 
Bank loan. 

The main purpose of the Lunersee project is to 
supply power for export at periods of peak de- 
mand. The Lunersee is being used as a reservoir; 
a dam is being built across the lower end of the 
lake to raise its capacity. Storage of water will 
be further increased by diverting the runoff of a 
glacier into the lake and by pumping water up 
from a basin located below the new power station. 
Six miles of tunnels, syphons, and penstocks are 
being built to bring water down to the power 
plant and to return pumped water to the lake. 

Five generating and five pumping units are 
being installed in the new powerhouse. The 
pumps, driven by the generators in tlie power- 
house acting as motors and using cheap power im- 
ported from Germany during hours of slack de- 
mand, will pump annually about 60 million cubic 
meters of the 76 million cubic meters of water re- 
quired to fill the lake to its maximum capacity. 

Work began at Lunersee in 1954. In June 1955 
the bank made a loan equivalent to $10 million 
for the project, the total cost of which is now 
expected to be equivalent to $50 million, compared 
with the original estimate of $38.6 million. The 
present loan therefore brings the bank's total in- 
vestment in the project to $13.6 million. The 
plant is expected to go into commercial operation 
in April 1958, a year earlier than was originally 
scheduled. 



Views Invited on Operation 
of Wool Fabric Tariff Quota 



Press release 566 dated October 9 
DEPARTMENT ANNOUNCEMENT 

The Interdepartmental Committee for Keci- 
procity Information on October 9 issued notice 
that a public hearing will be held to obtain in- 
formation from all interested persons witli respect 
to the operation of the U.S. tariff quota on cer- 
tain woolen and worsted fabrics. 

A tariff quota on certain woolen and Morsted 



fabrics was established by a Presidential procla- 
mation of September 28, 1956.' The proclama- 
tion invoked a reservation applying to tariff 
concessions made by the United States on woolen 
and worsted fabrics provided for in items 1108 
and 1109 (a) of Part I of Schedule XX of the 
General Agreement on Tariffs and Trade. 

The proclamation is applicable to most woolen 
and worsted fabrics entering this country and 
provides that, in accordance with the reservation, 
the ad valorem rate of duty applying to these 
fabrics will be increased wlien such imports, in 
any year, exceed an amount determined by the 
President to be not less than 5 percent of the aver- 
age annual United States production of similar 
fabrics for the preceding 3 calendar years. 

For tlie last 3 months of 1956, the tariff quota 
was establislied at 3.5 million pounds, and for 
1957 it was set at 14 million pounds. The tariff 
quota for tlie last quarter of 1956 was not filled. 
The 1957 tariff' quota was filled on July 25, 1957, 
and on that date the ad valorem part of the duty 
was increased from 20 or 25 percent (depending 
on the fabric) to 45 percent.- The specific part 
of the duty remained at 30 or 37i/^ cents a pound 
(depending on the fabric). 

It appears tliat there has been sufficient experi- 
ence under the tariff quota on these fabrics to 
warrant appraisal of the effect of the tariff quota 
at this time. The agencies of the Government 
responsible for making recommendations to the 
President on tliis subject invite, through the Com- 
mittee for Reciprocity Information, the submis- 
sion of information on any aspect of the operation 
of tlie tariff quota. To be of greatest use in the 
appraisal being undertaken, the submissions 
should consist of factual reports, supported by 
specific evidence wherever possible, regarding 
conditions in the industry or actual ti-ade experi- 
ence since tlie tariff quota has been in effect. In 
addition to this information, the agencies con- 
cerned will consider suggestions regarding the 
future operation of the tariff quota. 

The Committee for Reciprocity Information is 
an interagency group which receives views of 
interested persons regarding trade agreements 
matters. The Committee consists of a member of 



' For text, see Bulletin of Oct. 8, 19,56, p. 556. 

^ For a White House announcement and a letter from 
President Eisenhower to the Secretary of the Treasury, 
see ihid., July 8, 1957, p. 84. 



686 



Department of State Bulletin 



the U.S. Tariff Commission and representatives 
from the Departments of Agriculture, Commerce, 
Defense, Interior, Labor, State, and Treasury and 
the Intei'national Cooperation Administration. 

Hearings before the Committee for Reciprocity 
Information open at 10 o'clock on December 9, 
19.57, in tlie hearing room in the Tariff Commis- 
sion Building, Washington, D.C. Applications 
for oral presentation of views and information, 
accompanied by written statements, should be 
submitted to the Committee not later than 12 noon, 
November 22, 1957. Written statements of per- 
sons who do not desire to be heard should also be 
submitted by 12 noon, November 22, 1957. 

Further details concerning the submission of 
statements and applications to be heard are con- 
tained in the attached notice of the Committee for 
Reciprocity Information. 

All communications on this matter should be 
addressed to: The Secretary, Committee for Rec- 
iprocity Information, Tariff Commission Build- 
ing, Washington 25, D.C. 

NOTICE OF PUBLIC HEARING 

COMMITTEE FOR RECIPROCITY INFORMATION 

Notice of Public Heaeing Regakdino Operation of 
Tariff-Rate Quota on Woolen Fabrics 

Submission of Information to the Committee for Reciproc- 
ity Information. 

Closing date for application to be heard, November 22, 
19.57. 

Closing date for submission of briefs by persons desiring 
to be heard, November 22, 19.57. 

Closing date for submission of briefs by persons not de- 
siring to be heard, November 22, 1957. 
Public hearings, open December 9, 1957. 

Notice is hereby given by the Committee for Reciprocity 
Information that a public hearing will be held before the 
Committee in order to obtain the views of interested per- 
sons with regard to the operation of the tariff-rate quota 
on certain woolen fabrics described in items 1108 and 



1109 (a) in Part I of Schedule XX annexed to the Gen- 
eral Agreement on Tariffs and Trade (Gl Stat. (Parts 5 
and 6) A7, All, and A20.j1, and 3 UST (pt. 1) 615, (pt. 2) 
1841), established by Presidential Proclamation No. 3160 
of September 28, 1956 (3 C.F.R., 1956 Supp., p. 44 ; T.D. 
54212). 

All applications for oral presentation of views in re- 
gard to this matter shall lie submitted to the Committee 
for Reciprocity Information not later than 12:00 noon, 
November 22, 1057. Persons who desire to be heard 
shall also submit written statements to the Committee 
not later than 12 : 00 noon, November 22, 1957. Written 
statements of persons who do not desire to be heard 
shall be submitted not later than 12 : 00 noon, November 
22, 1957. Such communications shall be addressed to 
"Committee for Reciprocity Information, Tariff Com- 
mission Building, Washington 25, D.C". Fifteen copies 
of written statements, either typed, printed, or duplicated 
shall be submitted, of which one copy shall be sworn to. 

Written statements submitted to the Committee, ex- 
cept information and business data proffered in confidence 
shall be open to inspection by interested persons. In- 
formation and business data proffered in confidence shall 
be submitted on separate pages clearly marked. For 
official use only of Committee for Reciprocity Information. 

Public hearings will be held before the Committee for 
Reciprocity Information, at which oral statements will 
be heard. The first hearing will be at 10 : 00 a. m. on 
December 9, 1957 in the Hearing Room in the Tariff 
Commission Building, 7th and E Streets, N. W., Wash- 
ington 25, D.C. Witnesses who make application to be 
heard will be advised regarding the time and place of 
their individual appearances. Appearances at hearings 
before the Committee may be made only by or on behalf 
of those persons who have filed written statements and 
who have within the time prescribed made written ap- 
plication for oral presentation of views. Statements made 
at the public hearings shall be under oath. 

All communications regarding this notice, including 
requests for appearance at hearings before the Committee 
for Reciprocity Information, should be addressed to the 
Secretary, Committee for Reciprocity Information, Tariff 
Commission Building, Washington 25, D.C. 

By direction of the Committee for Reciprocity Informa- 
tion this 0th day of October, 1957. 

Edward Tardlet 
Secretary, 
Committee for Reciprocity Information 



October 28, 1957 



687 



Essentials of Social Progress 



Statement hy George Meany 

U.S. Re-presentative to the General Assembly ^ 



Progress and Problems Underscored in Report on 
World Social Situation 

We have before us the report of the Economic 
and Social Council whicli registers tlie efforts of 
the international community to promote and 
measure social progress.- It points up the every- 
day problems which, in the long run, are decisive 
for mankind's well-being. 

This year the Secretariat has provided us with 
the Report on the World Social Situatio7i.^ It 
has done an able job. Especially commendable is 
the effective pooling of effort with other members 
of the family of United Nations agencies : the In- 
ternational Labor Organization, UNESCO, FAO, 
and WHO. It covers many topics which have 
been discussed in other forums. At this time I 
wish to mention only a few. 

The report stresses the problems which are aris- 
ing from rapid urbanization in many parts of the 
world — urbanization which in all too many cases 
takes place without accompanying industrializa- 
tion to provide employment. People in rural 
ai-eas hear of higher wages and of improving 
health and education facilities available in cities. 
This leads them to seek new opportunities. The 
problem of unemployed people crowding together 
in urban slums is then complicated by the dis- 
ruptive impact on their traditional ways of life. 
People who have been used to a rural culture de- 
veloped over centuries suddenly find themselves 



' Made in Committee III ( Social, Humanitarian, and 
Cultural) on Sept. 30 (U.S. delegation press release 
2749). 

' For a statement by Neil H. Jacoby in the Economic 
and Social Council on July 17, see Bulletin of Sept. 23, 
1957, p. 496. 

' U.N. doc. E/CN.5/324 and Add. 1. 



in a new social environment often in conflict with 
their ancient customs. 

This problem is closely tied to another pre- 
sented in the report : the problem of relating eco- 
nomic and social development. But there is an- 
other side to this problem. A stable and healthy 
economy, a growing economy, requires rewards 
and incentives in the form of higher living stand- 
ards. Individual men and women must feel that 
they have a stake in producing more. At tlie same 
time, man is an economic force — a vital economic 
resource. His level of health and education in- 
fluences his capacity to produce. Social progi'ess 
becomes itself a most important means of promot- 
ing economic development. "Wliat we are talking 
about is really two aspects of one process, the effort 
to enrich hiunan lives. There should be no other 
purpose for machines and factories and rising pro- 
ductivity than to provide opportunity for the 
development and enrichment of human beings. 

Significant ideas are implicit in this conception. 
Public policy should not seek economic develop- 
ment at the expense of hmnan well-being. Public 
policy must consider carefully the need to assure 
adequate distribution of the national income 
among the component parts of the community. 
Public policy is unsound and unjust when it pro- 
vides for economic development at a high cost in 
terms of the health, material well-being, and free- 
dom of the citizenry. No economy can be healthy 
when it is excessively expensive in terms of human 
effort. No economy can be sound when it is waste- 
ful of human resources. All economic systems 
have many urgent and valuable lessons to learn 
from the costly mistakes, in hmnnn terms, made 
in the early days of the industrial revolution. 
This is true for those only beginning to develop 



688 



Department of State Bulletin 



modern industry. It is no less true for those seek- 
ing to catch up with and exceed the level of indus- 
trialization already attained by other countries. 

Despite tlie problems arising from rapid urban- 
ization and unbalanced economic and social prog- 
ress, the report as a whole shows progress over the 
last 4 years. It is optimistic, but with qualifica- 
tions. I would like to mention one of these quali- 
fications. It relates to the rapid growth of popu- 
lation in many parts of the world still in early 
stages of modern industrial development. Public 
health programs, programs often carried out in 
part with the assistance of the World Health 
Organization and UNICEF, are producing sub- 
stantial declines in death rates. We in the United 
States will continue to assist this war on diseases 
which destroy and debilitate hmnan resources. 
My Governnaent's support of the worldwide pro- 
gram of malaria eradication as part of the foreign 
aid program is a measure of my country's deter- 
mination in this regard. 

But the implications of our successes must also 
be noted. In promoting economic and social prog- 
ress, one of the elements in realistic planning must 
be to take into account rapidly expanding popula- 
tion pressures. Otherwise, standards of living 
may lag even with a rising volume of industrial 
production. 

Improving Measurement of Social Progress 

At the 24th Session of tlie Council, the repre- 
sentatives of the United States and other repre- 
sentatives proposed to broaden in a positive way 
the measures of social progress. Among the yard- 
sticks of social progress suggested for considera- 
tion were the following : 

1. Increasing personal income and consumer 
wealth, widely shared. 

2. Expanding individual freedom and right of 
mobility for people in a geographic and social 
sense. 

3. Improving health, physical vigor. 

4. Improving level of educational accomplish- 
ment. 

5. Increasing leisure time and possibilities for 
its utilization for cultural development. 

6. Improving conditions of work and standards 
of employment. 

Availability of transportation and communica- 
tion facilities at reasonable cost, more and better 



housing, were among the other measures of social 
progress to be considered in future reports. 

One final yardstick proposed interests me par- 
ticularly as a representative of the United States 
and as the spokesman of the free trade-union move- 
ment in my country. I have in mind the growth 
of voluntary associations through which citizens 
can exercise their own initiative, without govei'n- 
ment supervision or control, in advancing humani- 
tarian objectives. 

In paragraph 434 of the report we find that: 
"It was also observed that the role which volmi- 
tary organizations and the people themselves 
could play in the implementation of the plans 
should not be overlooked." This is good as far 
as it goes. But it does not go far enough. We must 
not only avoid overlooking, but we must empha- 
size the positive role of voluntary organizations. 
In stressing this, we do not overlook or exclude 
the role of the state. The roles of the state and 
voluntary organizations are not necessarily mu- 
tually exclusive. They do not negate each other. 
They often supplement and complement each 
other. 

We find as too rigid and untenable the dogma 
that everywhere and under all conditions "the 
primaiy factor in social progress must be govern- 
ment action, financed by the state." The dogma 
that "the efforts of the people themselves could be 
successful only in so far as they were supported 
by the state" can and does hold true only in states 
which are totalitarian dictatorships, only in states 
which, in practice, deny their people the funda- 
mental rights proclaimed in the charter of the 
United Nations. Voluntary organizations are a 
most vital force for the pursuit and attainment 
of these rights and aims. Thus the extent to 
which any society is truly humanitarian — demo- 
cratic rather than paternalistic — depends in very 
large measure on the initiative and energy dis- 
played by the voluntary organizations in the com- 
munity, on the extent to which the people them- 
selves, through organizations of their own choice 
and direction, mold the domestic and foreign pol- 
icies of their country. 

Human Rights Activities 

Human rights is another major topic in the eco- 
nomic and social report on which my delegation 
would like to comment. Considering the empha- 
sis in the Third Committee on questions relating 



Ocfober 28, J 957 



689 



to human rights, this section of the report is of 
interest to us all. My delegation wishes to call 
attention at this time to two subjects in the section. 

In the field of women's rights the report indi- 
cates a steady extension of the right to vote. In 
the past year four more countries have established 
suffrage rights without distinctions as to sex. 
Sixty-nine of the 81 United Nations members now 
grant women the right to vote while in five more 
countries women vote subject to certain restric- 
tions. We understand that suffrage for women 
is now under consideration in several countries 
where women do not now vote. We can, there- 
fore, look forward to continued progress in this 
field. 

Another important development covered by the 
report has been the progress of the advisory serv- 
ices pi'ogi-am. During the past year tlie program 
has passed certain milestones. The first seminar 
was held in Bangkok this summer. From all re- 
ports, it was a success. Participation was en- 
thusiastic. The discussions attracted widespread 
public attention throughout the area. We con- 
gratulate all those who participated in this im- 
portant event. Other seminars are now in prep- 
aration. Two woi'king parties to plan seminars 
have been held in 1957. As a result, during 1958 
regional seminars will be held in Manila and 
Santiago to discuss protection of human rights 
in the administration of criminal justice. These 
meetings represent new, practical efforts to fur- 
ther respect for human freedom, which is at the 
foundation of world peace. 

U.S. Support of International Action 

The United States is firmly committed to sup- 
porting international action under the United Na- 
tions to improve social conditions of people wher- 
ever possible. In the attitude of the United States 
toward international agencies a great change has 
taken place witliin my own lifetime. Despite the 
important role played by American leaders in tlie 
establishment of the League of Nations and the 
International Labor Organization, the United 
States never joined the League and came into the 
International Labor Organization only in 1934. 
I can remember only too well the attitude of the 
bulk of the American people during the twenties 
and thirties, wlien conditions in the rest of the 
world were viewed as something far away and of 
little consequence for us in the United States. 



We learned by the bitter experience of World AVar 
II that the well-being of our own citizens is linked 
closely with the well-being of people everywhere. 
The contrast in the attitudes of the American peo- 
ple in the 1920's and 1930's with that of the 1940's 
and 1950"s is demonstrated in our participation 
and support of the programs described in the re- 
port which we are considering. 

It is the consistent policy of my Government to 
send outstanding technical and professional peo- 
ple to meetings of groups concerned with social 
questions, for example, the Social Commission, 
the Population Commission, the UNICEF Exec- 
utive Board, the Narcotics Commission, the Com- 
mission on Human Rights, and the Commission 
on the Status of Women, as well as the Economic 
and Social Council. Such experts are provided 
with the fullest possible assistance from technical 
agencies of my Government and from voluntary 
agencies. 

In financial terms, the United States contributes 
more than $100 million annually to programs of 
international organizations affecting social prog- 
ress. From my point of view, however, a more 
important indicator of our support is the interest 
among private associations within the United 
States. Take tlie example I know best, the Amer- 
ican trade unions. Through our international 
afHliation witli tlie International Confederation of 
Free Trade Unions, we follow closely the social 
work of the United Nations. 

Our free trade unions are based on the idea that 
human brotherhood is a practical ideal and the 
only lasting basis for human relations. It was 
labor in the United States which initiated, in- 
spired, and pioneered the worldwide efforts of the 
working people for a shorter workday — tlie in- 
ternational 8-liour-day movement. Gompers, the 
founder of our modern trade-miion movement, 
was among the prime movers for organizing the 
ILO as a means "for securing peace among na- 
tions through the establishment of social justice." 
Thus in the Treaty of Versailles, for the first time 
in history, the rights, interests, and welfare of the 
workers received specific recognition in an inter- 
national peace treaty (1919) . 

After World War I our trade unions helped 
the German workers overcome the ravages of in- 
flation and to save their organizations. Before 
World War II U.S. labor set the pace in helping 
the victims of the Nazi totalitarian dictatorship. 



690 



Department of State Bulletin 



During World War II we did our best to help 
the needy and to reestablish the free trade unions 
among the vanquished and victorious people alike. 
As you know, it was the trade unions of our 
country wliich first placed the problem of slave 
labor before the United Nations. We have ini- 
tiated and supported policies for advancing and 
assisting social progress and human well-being 
among all peoples, regardless of I'ace, color, or 
creed. Only recently we set up a special fund 
for helping the workers of Africa develop their 
own trained trade-union leaders. Through dele- 
gations and publications in various languages we 
have actively sought to promote better under- 
standing and firm friendship among the workers 
and peoples of different lands. 

Social Progress in tlie U.S. 

The subject of social progress in the U.S. is one 
with which I have dealt most of my life. The 
trade-union movement in the United States exists 
to promote the welfare of its members. We seek 
tills objective through collective bargaining to in- 
sure for our membei's a fair share of the wealth 
produced by our economy. It is then up to each 
member to use the money and leisure he has earned 
as he sees fit. This is in keeping with the Ameri- 
can tradition of eacli individual making his own 
choices to the maximmn extent possible. 

In seeking social and human progress in the 
United States, our goal is clear: We seek a free 
and democratic society which emphasizes equality 
of opportunity. We believe that, if individuals 
have full and free access to ideas and the oppor- 
tunity of personal expression, they will make the 
proper choice. There is no better way to true 
human advancement. 

Our expanding cultural life in the United 
States is similarly based on the principle of allow- 
ing individuals free choice. There is no attempt 
by anyone to force upon people "what is good for 
them." Yet there is ample evidence of an expand- 
ing cultural life. This is shown, for example, by 
the tenfold increase of symphony orchestras in the 
last generation : also by the continuous rise in tlie 
number of students in our colleges and miiversi- 
ties, who, today, number 314 million. 

Perhaps even more interesting for this Com- 
mittee is another development in American cul- 
tural life. We are reaching out as never before 
in an attempt to appreciate, understand, and ab- 



sorb other cultures. The performers listed in any 
major metropolitan newspaper demonstrate the 
appreciation by our people of artists from all 
parts of the world. As a nation we realize more 
and more the need for knowing foreign languages. 

In culture, as in all phases of our social life, 
we emphasize freedom of choice. We prefer the 
private and individual efforts of men and women 
held together by conviction. I would refer again 
to the private associations I know best — the Amer- 
ican trade unions. 

In the United States, as in other highly devel- 
ojied industrial countries enjoying democratic 
rights, the free trade unions are the largest volun- 
tary form of organization. It is as a voluntary 
organization that our free trade-union movement 
has grown not only in numbers and influence but 
in service to the people as a whole. 

Our trade unions, along with other voluntary 
organizations, have been in the forefront of the 
efforts to have adequate government assistance 
for the construction of moi-e and better housing — - 
especially for the lower and middle income groups. 
This effort to secure state assistance has not con- 
flicted with or prevented some of our trade unions 
from setting up their own housing projects. Right 
here in New York City, the Amalgamated Cloth- 
ing Workers, the International Brotherhood of 
Electrical Workers, and the International Ladies 
Garment Workers' Union have set up housing 
projects that compare favorably with any gov- 
ernment housing project. 

The same is true in the field of social welfare. 
Basic social insurance and old-age assistance are 
provided by our Government, and of course we are 
in favor of an expanding and ever-improving sys- 
tem of social legislation. But that does not ex- 
clude supplementary effort by voluntary organiza- 
tions in this field. You will be interested to know 
that 14 million out of the 17 million organized 
workers in the United States are now covered by 
welfare plans secured through the voluntary ef- 
forts of collective bargaining over and above pro- 
vision made by the state. Our trade unions have 
negotiated and secured pension plans covering 
more than 7,500,000 of their numbers. Ninety 
percent of all trade-union members, and in some 
cases their dependents, are now entitled to some 
kind of medical, surgical, or hospital care under 
voluntary labor-management agreements. Twen- 
ty-three million of our workers are covered by pen- 



Oc/ofaer 28, J 957 



691 



sion plans set up by employers. ]\Ianagement now 
spends five to six billion dollars a year on various 
health plans for workers. I stress that these bene- 
fits are additions to, and not substitutes for, an 
acceptable level of wages. 

The trade-union interest in social progress is 
shown in other ways. More than 75,000 of our 
union members are serving on various boards and 
committees of voluntary welfare agencies. Over 
40,000 of our trade unionists have completed a 2- 
month counseling course offered by the AFL- 
"CIO Community Services Committee. This 
training qualifies them for serving their respective 
communities as voluntary links between workers 
and public-health and welfare services, social se- 
curity and recreational services, and similar agen- 
cies and programs. 

Social progress among countries is necessarily 
relative, differing because of historical, economic, 
institutional, and other factors. Each nation 
must choose its own path to progress, a path 
adapted to its own tradition and circumstances. 
We in the United States have found free in- 
stitutions to be a powerful force for cultural, 
social, and economic progress. 

We still have a number of basic and critical so- 
cial problems to solve in the United States. 
Among these is the problem of uprooting and 
eliminating every vestige of racial discrimination. 
For a number of reasons intense international at- 
tention has been spotlighted on this problem. 

Discrimination, intolerance, and bigoted social 
customs exist everywhere in some degree. They 
are the weight of past centuries, which to some 
■extent all peoples carry. The important issue is : 
Does there exist a determination to recognize them 
openly, to face up to them, and to make effective 
progress in combating them ? 

In our trade imions we have been fighting and 
shall continue to fight vigorously against race dis- 
crimination and other forms of social corrosion 
and moral corruption. And we have been getting 
results in eliminating such evil elements and anti- 
social practices. Let me assure you, we do not 
hide but fight these evils. 

Tlirough voluntary and governmental efforts 
all over the United States we have been making 
encouraging headway in eliminating racial dis- 
crimination. For instance, restrictive agree- 
ments among property owners for preventing 
members of minority groups from residing in 



particular areas are no longer sanctioned by law. 
Neither is segregation in interstate public trans- 
portation facilities any longer sanctioned by law. 
Discrimination has been eliminated in Federal 
employment and in our armed services. It is 
rapidly disappearing in private employment. 

No statement on this problem would be ade- 
quate witliout reference to the present controversy 
over school integration in certain of our South- 
ern States. This controversy shows there is still 
much to be done. Nevertheless, to put the prob- 
lem into perspective I would like to point out that 
31 of our 48 States now have completely inte- 
grated school systems. In 10 other States inte- 
gration is progressing and in most cases without 
difficulties. This progress has come about largely 
through the influence of millions of Americans 
acting either individually or through voluntary 
associations, such as their labor unions, church 
and other religious groups, universities, colleges, 
and a host of others. This is important in itself. 
But even more important is the fact that the peo- 
ple of the United States and their Government 
have an open and active national policy against 
race discrimination — regardless of the cover or 
label under which it may be hidden. That is the 
meaning of the Supreme Court decision uphold- 
ing the law on school segregation. That is the 
meaning of the Federal Government's action in 
Little Rock, Arkansas, protecting the rights of the 
individual under the decisions of the Court. 

The struggle for equal opportunity is succeed- 
ing. The current controversy over school inte- 
gration is only one episode in a peaceful revolu- 
tion which has been going on in recent years. 
There is no question of the outcome ; the direction 
of events is clear. If one wishes to understand 
the present episode, it must be seen as one phase 
of a great advance. 

In Conclusion 

Mr. Chairman, I wish to state that in these re- 
marks I have tried in behalf of my delegation to 
offer my country's views on certain aspects of the 
report of the Economic and Social Council and 
to touch briefly on social pi'oblems and social 
progress in the United States. As a citizen and 
trade-union member I have drawn in considerable 
measure on my own experiences in the hope that 
certain views put forth might have added mean- 
ing. Nonetheless you will find that in their essen- 



692 



Department of Stale Bulletin 



tials these views and ideals are shared by all the 
people of the United States. These essentials 
are: 

1. There is an urgent need for continuing social 
and humanitarian progress. 

2. Social and human progress must be under- 
stood in the widest possible practical terms, that 
is, in measures that better the everyday conditions 
of life and labor and raise the cultural level of 
the people. 

3. Human and social progress can be effectively 
advanced through international cooperation. 

4. The United Nations through the Economic 
and Social Council and its supporting commis- 
sions, and in conjunction with the specialized 
agencies, is advancing social progress. 

5. The people and Government of the United 
States are dedicated to the support, encourage- 
ment, and further improvement of these United 
Nations activities. 

6. Action by individuals and free, voluntary, 
private organizations is of vital importance for 
social progress. 

Finally, that the rate of social progress in the 
United States justifies our faith in and our dedi- 
cation to free institutions. 



Inscription of Soviet Item 
on Peaceful Coexistence 

Statement hy Hewy Cabot Lodge 

U.S. Representative to the General Assembly ^ 

The United States will vote to recommend in- 
scription of the item which the Soviet delegation 
has proposed calling for a declaration on the prin- 
ciples of peaceful coexistence. 

We do so in spite of the fact that the explanatory 
memorandum is but a repetition of the same old 
attack on the United States and its allies that we 
have here practically every year. 

This year the attack masks itself in five prin- 
ciples which are included in the Soviet draft reso- 
lution — five principles, let me add, which have 
real meaning for millions of people in many free 
countries. These principles, stated in another 
way, are what we are all committed to by our 



adherence to the charter of the United Nations. 
All men of good will approve such ideas. 

It does, to be sure, raise doubt as to the appro- 
priateness of this resolution being introduced by 
the country which seems to us to do the least 
about carrying these principles out, which in fact 
makes no secret, as ISIr. Khrushchev has made 
plain on more than one occasion, of its desire not 
to coexist peacefully with the United States. 

We entertain the hope, however, which may be 
slight — we hope not — that a discussion of the 
words "peaceful coexistence" will bring the Soviet 
Union to a realization of what these words can 
really mean and perhaps result in their following 
the true policy of peaceful coexistence in place of 
the policy of subversion and oppression which, 
alas, they have so often followed. 

For these reasons we shall vote to inscribe.^ 

[In further interventions Mr. Lodge stated:] 

I am just exerting my right of reply. 

The United States is in favor of all countries 
living in peace with each other. I do not know 
whether there is a difference between living in 
peace and coexisting peacefully. We think living 
in peace with your neighbors means that you do 
not gobble them up, as was done in the case of 
Hungary. It seems to me that is a perfectly easy 
position to understand. 

The Soviet representative said that my state- 
ment was highly slanted — I quote those words out 
of the English translation — when I said that Mr. 
Khrushchev made it plain that he did not want to 
coexist peacefully with the United States. Well, 
Mr. President, my basis for saying that was Mr. 
Khrushchev's own remark on November 17, 1956, 
"We will bm-y you." Certainly, under any nor- 
mal definition of the word "bury," it would appear 
that the individual being buried had pretty well 
ceased either to coexist or to exist, whether peace- 
fully or not. 



In that same television interview (referred to 
by the Soviet representative) Mr. Khrushchev 



'Made in the General Committee on Sept. 30 (U.S. 
delegation press release 2747). 



-The General Committee on Sept. 30 recommended in- 
clusion of the Soviet item on peaceful coexistence (U.N. 
doc. A/3G73) and another Soviet item on "suspension of 
the tests of atomic and hydrogen weapons under inter- 
national control" (U.N. doe. A/:3G74). On Oct. 1 in 
plenary session the General Assembly decided without 
objection to include the two additional items in the 
agenda. For the complete agenda, see Bulletin of Oct. 14, 
19.57, p. 619. 



Ocfofaer 28, 1957 



693 



said very clearly that he thought that the way of 
life of the industrial countries should be destroyed. 
Now, that is not jDeacef ul coexistence by any rea- 
sonable definition of the term. 



Intergovernmental Copyright 
Committee To Convene 

Press release 553 dated October 3 

At the invitation of the U.S. Government, the 
Intergovernmental Copyright Committee will 
convene its second session on October 7, 1957, at 
Washington, D.C. Representatives of 12 nations 
will meet to discuss problems regarding world- 
wide copyright protection. 

The Committee was established by the pro- 
visions of the Universal Copyright Convention, 
which came into force on September 16, 1955,^ and 
has now been ratified or acceded to by 27 nations, 
including the United States. 

The Universal Copyright Convention was de- 
veloped under the sponsorship of the United Na- 
tions Educational, Scientific and Cultural Organi- 
zation (UNESCO), which also acts as the secre- 
tariat for the Committee. UNESCO considers 
this document among the most important achieve- 
ments in its 10-j^ear history. 

The convention guarantees that signatory na- 
tions will provide the same approximate protec- 
tion for the works of foreigners that they give the 
works of their own nationals, and it will be an in- 
creasingly important force in preventing inter- 
national copyright piracy and insuring that au- 
thors and creative artists receive just compensa- 
tion for their efforts. 

Currently on the Intergovernmental Copyright 
Committee are representatives of Argentina, Bra- 
zil, France, the Federal Republic of Germany, 
India, Italy, Japan, Mexico, Spain, Switzerland, 
the United Kingdom, and the United States. 
They are responsible for studying problems raised 
by application of the convention, making prepara- 
tions for i^ossible periodic revisions, examining 
otlier copyright problems, and submitting reports 
of the Committee's work to the signatory states. 



•Bulletin of Aug. 22, 1955, p. 320. For text of con- 
vention and i)rotocols, see S. Exec. M, 83d Cong., 1st sess. 



Invitations to send observers to the meeting I 

have been extended to all governments which are \ 

party to the convention and to the member states { 

of UNESCO. In addition, the meeting will be I 

open to all organizations and persons concerned i 

with copyright matters. The deliberations are i 
expected to continue through October 11. 



U.S. Delegations to 
International Conferences 

ILO Iron and Steel Committee 

The Department of State on October 3 (press 
release 551) announced the tripartite U.S. delega- 
tion to the 6th session of the Iron and Steel Com- 
mittee of the International Labor Organization, 
which will meet at Monterrey, Mexico, October 7 
to 19, 1957. Representatives of governments, em- 
ployers, and workex's from 21 coimtries are ex- 
pected to attend the meeting. 

The U.S. delegation is as follows : 

Representing the Government of the United States 
Delegates 

Sheldon W. Homan, Safety Engineer, Bureau of Labor 
Standards, Department of Labor 

Graham W. McGowan, Special Assistant to the Secretary 
on International Labor Matters, Department of Com- 
merce 

Representing the Employers op the United States 
Delegates 

George T. Fonda, Vice President, Weirton Steel Company, 

Weirton, W.Va. 
John A. Stephens, Vice President, U.S. Steel Corporation, 

Pittsburgh, Pa. 

Advisers 

W. G. Caples, Vice President, Inland Steel Company, Chi- 
cago, 111. 

Herman .1. Spoerer, Vice President, Toungstown Sheet 
and Tube Company, Toungstown, Ohio 

Leo Teplow, Industrial Relations Consultant, American 
Iron and Steel Institute, New York, N.Y. 

Col. Merle Thompson, American Iron and Steel Institute, 
New York, N.Y. 

Representing the Workers of the United States 
Delegates 

I. W. Abel, Secretary-Treasurer, United Steelworkers of 

America, Pittsburgh, Pa. 
Frank Burke, Safety Director, United Steelworkers of 

America, Pittsburgh, Pa. 



694 



Department of State Bulletin 



Adviser 

Elmer Cope, International Representative on Economics 
and International Affairs, United Steelworkers of 
America, Washington, D.C. 

The Iron and Steel Committee is one of eight 
tripartite industrial committees of the ILO which 
meet approximately every 2 years to consider and 
report to the Governing Body on industrial prob- 
lems. 

Tlie 6th session will deal primarily with (a) 
consideration of the general report, (b) promo- 
tion of safety in the iron and steel industry, and 
(c) general conditions of work and social prob- 
lems in the iron and steel industry of countries in 
the course of industrialization. 

This is the first time the ILO Iron and Steel 
Committee has been scheduled to meet in Mexico. 

In addition to the United States, the following 
countries have been invited to participate: Aus- 
tralia, Austria, Belgium, Brazil, Canada, Chile, 
Colombia, France, Federal Republic of Germany, 
India, Italy, Japan, Luxembourg, Mexico, Nether- 
lands, Sweden, Union of South Africa, United 
Kingdom, and Yugoslavia. 



Ninth Colombo Plan Meeting 

The Department of State announced on October 
9 (press release 567) that the United States Gov- 
ernment is participating in the ninth meeting of 
the Consultative Committee on Cooperative Eco- 
nomic Development in South and Southeast Asia 
(the Colombo Plan), which opened at Saigon, 
Viet-Nam, October 7, 1957. The deliberations are 
expected to continue until October 24. The Offi- 
cials Meeting, which was convened on October 7 
and continues until October 17, will be followed by 
a IMinisterial Meeting, October 21-24. 

G. Frederick Reinhardt, Counselor of the De- 
partment of State, will be the U.S. representative 
to the Ministerial Meeting. 

Merrill C. Gay, Adviser, Office of Financial 
and Development xVffairs, Department of State, 
is the U.S. representative to the Officials Meeting 
and alternate U.S. representative to the Minis- 
terial Meeting. 

Other members of the delegation, who will serve 
as advisers at both meetings, are : 

Solomon Chafkin, Special Assistant for Regional Pro- 
grams to the Deputy Director, International Coopera- 
tion Administration 



William F. Courtney, International Economist, Economic 
Develoiimeut Division, Department of State 

Wesley C. Haraldson, Counselor of Embassy, American 
Embassy, Saigon 

Ralph Hirschtritt, Assistant Chief, South and Southeast 
Asia Division, Department of the Treasury 

Walter Krause, International Develoi)meut Board, Inter- 
national Cooperation Administration 

Alethea Mitchell, American Embassy, Saigon 

Warren A. Silver, American Embassy, New Delhi 

Leonard S. Tyson, Special Assistant for Economic Affairs, 
Department of State 

The annual meetings of the Colombo Plan Con- 
sultative Committee are held for the purpose of 
exchanging views on problems concerning the eco- 
nomic development of the countries of South and 
Southeast Asia and to provide a framework 
within which an international cooperative effort 
can be promoted to assist the countries of the area 
to accelerate their development. The United 
States became a member of the Consultative Com- 
mittee in 1951 and has since that time partici- 
pated in the annual meetings. 

Countries represented on the Committee are: 
Australia, Burma, Cambodia, Canada, Ceylon, In- 
dia, Indonesia, Japan, Laos, Nepal, New Zealand, 
Pakistan, Philippines, Thailand, United Kingdom 
(together with British Borneo), Malaya and 
Singapore, United States, and Viet-Nam. 

The International Bank for Reconstruction and 
Development, the United Nations Economic 
Coimnission for Asia and the Far East, and the 
LTnited Nations Technical Assistance Board have 
sent observers to past meetings. 



Current U.N. Documents: 
A Selected Bibliography 



Economic and Social Council 

Technical Assistance Committee. Regional and Inter- 
Regional Projects. Report of the Technical Assistance 
Board. E/TAC/6(3, June 24, 1957. 23 pp. mimeo. 

Concentration of Activities of the United Nations and 
the Specialized Agencies in the Economic, Social and 
Human Rights Fields. Report of the Co-ordination 
Committee (Part I). E/302VRev. 1, July 5, 1957. 4 
pp. luimeo. 

Technical Assistance. Report of the Technical Assistance 
Committee. E/3041, July 29, 1957. 35 pp. mimeo. 

European Housing Trends and Policies in 1956. Pre- 
pared by the Secretariat of the Economic Commission 
for Europe. E/ECE/292. 91 pp. mimeo. 

Report on the Position of Natural Gas in the European 
Economy. E/ECE/289, May 1957. 57 pp. mimeo. 

The European Steel Market in 1956. E/ECE/294, July 
1957. 121 pp. mimeo. 



Ocfofaer 28, 1957 



695 



TREATY INFORMATION 



Current Actions 



MULTILATERAL 

Atomic Energy 

Statute of the International Atomic Knergy Agency. Done 
at New York October 26, 1956. Entered into force July 
29, 1957. TIAS 3873. 
Ratification deposited: Haiti, October 7, 1957. 

Cultural Relations 

Convention for the promotion of inter-American cultural 
relations. Signed at Caracas March 28, 1954. Entered 
into force February 18, 1955. 

Ratification deposited: United States, October 3, 1957. 
Entered into force for the United States: October 3, 
1957. 

Customs Tariffs 

Convention creating the international union for the pub- 
lication of customs tariffs, regulations of execution, and 
final declarations. Signed at Brussels July 5, 1890. 
Entered into force April 1, 1S91. 26 Stat. 1518. 
Accession deposited: Jordan, July 10, 19.57. 

Protocol modifying the convention signed at Brussels July 
5, 1890 (26 Stat. 1518), creating an international union 
for the publication of customs tariffs. Done at Brussels 
December 16, 1949. Entered into force May 5, 1950. 
Accession deposited: Jordan, July 10, 1957. 

Telecommunications 

International telecommunication convention and six an- 
nexes. Signed at Buenos Aires December 22, 1952. En- 
tered into force January 1, 1954 (TIAS 3266). 
Accession deposited: Haiti, September 23, 1957. 



BILATERAL 

Cuba 

Research reactor agreement concerning civil uses of 

atomic energy. Signed at Washington June 26, 1956. 

Entered into force: October 10, 1957 (date on which 

each Government received from the other written 

notification that it had complied with statutory and 

constitutional requirements). 

France 

Agreement providing for a facilities assistance program. 
Effected by exchange of notes at Paris September 23, 
1957. Entered into force September 23, 1957. 

Agreement concerning a special program of facilities as- 
sistance. Effected by exchange of letters at Paris May 
31, 1954. Entered into force May 31, 1954 (TIAS 3072) . 
Superseded: September 23, 1957 (by agreement of Sep- 
tember 23, 1957). 

Japan 

Understanding concerning the interpretation of the secu- 
rity treaty (TIAS 2491) and the administrative agree- 
ment (TIAS 2492) as they relate to the United Nations 
Charter (59 Stat. 1031). Effected by exchange of notes 
at Tokyo September 14, 1957. Entered into force 
September 14, 19.57. 



Korea 

Ti-eaty of friend.ship, commerce and navigation, with pro- 
tocol. Signed at Seoul November 28, 1956. 
Ratifications exchanged: October 7, 19.57. 
Enters into force: November 7, 1957. 

Panama 

Agreement extending the agreement of July 7, 1942, re- 
lating to the assignment of a United States Army officer 
to serve as advLser to the Government of Panama (56 
Stat. 1545). Effected by exchange of notes at Washing- 
ton July 25 and October 2, 1957. Entered into force 
October 2, 1957. 

Venezuela 

Agreement providing for a joint program of aerial photog- 
raphy in Venezuela. Effected by exchange of notes at 
Caracas August 23 and September 24, 1957. Entered 
into force September 24, 1957. 



DEPARTMENT AND FOREIGN SERVICE 



Closing of Consulate at Cherbourg 

The American consulate at Cherbourg, France, will be 
closed on October 31, 1957. Three departments in its con- 
sular district — Manche, Calvados, and Orne — will be 
added to tlie area served by the consulate at Le Havre and 
the remaining five included in the Embas.sy's district. 

The establishment of a consular agency at Cherbourg 
has been authorized by the Department. 



PUBLICATIONS 



Public-Private Cooperation 
in Educational Exchange 

The Department of State announced on Octo- 
ber 11 (press release 572) the release of a publica- 
tion devoted to the role played by private 
enterprise in furtherinji; international understand- 
ing through educational exchange programs. Tlie 
50-page pamphlet entitled The Widening Circle 
stresses the increasing need for mutual under- 
standing between peoples as the basis for peace- 
ful relations among governments and cites 
examples and statistics which show how this need 
is being met tlirough the efforts of individuals, 
educational institutions, foundations, business 



696 



Depariment of S/afe Bulletin 



establishments, and organized professional, fra- 
ternal, and religious groups in the United States. 

One section of the publication deals with the 
scope and character of private cooperation in dis- 
cussing the types of services rendered to privately 
sponsored educational exchanges by the U.S. Gov- 
ermnent and ways in which the Department of 
State is assisted in carrying out its International 
Educational Exchange Program. Various proj- 
ects are mentioned to illustrate the kinds of 
assistance which are provided. The contributions 
of other peoples and their governments and ex- 
amples of this form of cooperation are also dis- 
cussed. 

The importance of continued public-private 
cooperation in the widening circle of interna- 
tional educational exchange activities may be 
summed up in the pamphlet's closing words: 
"Private cooperation, complementing and ex- 
panding the Government's program, has justified 
congressional support in legislation and in ap- 
propriation of funds; thus American private en- 
terprise and the U.S. Government together share 
the responsibility for repairing and maintaining 
the roads to peace so often eroded by lack of un- 
derstanding. . . ." 

Copies of the pamphlet (Department of State 
publication 6-142) may be obtained from the U.S. 
Government Printing Office, Washington 25, D.C., 
for 25 cents. 



Recent Releases 

For sale by the Superintendent of Documents, U. S. Oor- 
ernment Rrinting Office, Washington 35, D. C. Address 
requests direct to the Superintendent of Documents, ex- 
cept in the case of free publications, which may be 
obtained from the Department of State. 

American Foreign Policy, 1950-1955, Basic Documents. 

Pub. 6446. General Foreign Policy Series 117. lis, 1,707 
pp. $.5.25. 

Documentary collection requested by the Secretary of 
State. Volume I. 

You . . . and the United Nations. Pub. 6518. Interna- 
tional Organization and Conference Series III, 121. 
40 pp. 200. 

Ambassador Henry Cabot Lodge, U.S. Representative to 
the U.N., answers questions frequently aslied about the 
United Nations. 

United Nations— Meeting Place of 81 Countries. Pub. 
6520. International Organization and Conference Series 
III, 122. 12 pp. 100. 



An informative folder providing facts concerning U.N. 
efforts i)i keeping the peace, lighting for health, building 
world cooperation, protecting human rights, etc. 

The International Educational Exchange Program — 18th 
Semiannual Report to Congress, July 1-December 31, 1956. 

Pub. 0530. International Information and Cultural 
Series 57. 13 pp. Limited distribution. 

A pamphlet containing the report to Congress on the 
activities of the International Educational Exchange 
Program during the period July 1-December 31, 1956. 

Technical Cooperation Program. TIAS 3828. 3 pp. 5^. 

Agreement between the United States of America and 
India, extending agreement of January 5, 1952. Exchange 
of notes— Signed at New Delhi June 29, 1957. Entered 
into force June 29, 1957. 

Surplus Agricultural Commodities. TIAS 3864. 3 pp. 

5(#. 

Agreement between the United States of America and 
Brazil, correcting agreement of December 31, 1956. Ex- 
change of notes — Signed at Washington July 25, 1957. 
Entered into force July 25, 1957 ; operative retroactively 
December 31, 1956. 

Parcel Post. TIAS 3865. 37 pp. 15«?. 

Agreement and regulations of execution between the 
United States of America and Czeehoslovaliia — Signed 
at Praha September 15, 1950, and at Washington Septem- 
ber 29, 1950. Entered into force October 1, 1950. 
Parcel Post. TIAS 3866. 22 pp. X5(f. 

Agreement and regulations of execution between the 
United States of America and Liberia — Signed at Mon- 
rovia March 16, 1957, and at Washington May 9, 1957. 
Entered into force August 1, 1957. 

Economic Assistance. TIAS 3868. 5 pp. 5^. 

Agreement between the United States of America and 
Jordan. Exchange of notes — Signed at Amman April 
29, 1957. Entered into force April 29, 1957. 

Economic Assistance. TIAS 3869. 3 pp. 5^. 

Agreement between the United States of America and 
Jordan. Exchange of notes — Signed at Amman June 29, 
1957. Entered into force June 29, 1957. 

Economic, Technical, and Related Assistance. TIAS 
3870. 10 pp. 100. 

Agreement between the United States of America and 
Jordan. Exchange of notes — Signed at Amman June 25 
and 27, 1957. Entered into force July 1, 1957. 

Uranium Reconnaissance. TIAS 3872. 2 pp. 5^. 

Agreement between the United States of America and 
Brazil, extending agreement of August 3, 1955. Exchange 
or' notes — Dated at Washington August 5, 1957. Entered 
into force August 5, 1957 ; operative retroactively August 
3, 1957. 

Atomic Energy — Cooperation for Civil Uses. TIAS 3874. 
16 pp. 100. 



Ocfober 28, 1957 



697 



Agreement, witli annex, between the United States of 
America and the Federal Republic of Germany on behalf 
of Berlin — Signed at Washington June 28, 1957. Entered 
into force August 1, 1957. 

Military Equipment, Materials, and Services. TIAS 3875. 
3 pp. 50. 

Agreement between the United States of America and 
Austria. Exchange of notes — Signed at Washington 
August 9, 1957. Entered into force August 9, 1957. 

Atomic Energy— Cooperation for Civil Uses. TIAS 3876. 
19 pp. 150. 

Agreement between the United States of America and the 
Netherlands, superseding agreement of July 18, 1955 — 
Signed at Washington June 22, 1956 ; and amending 
agreement — Signed at Washington .July 3, 1957. Entered 
into force August 8, 1957. 

Atomic Energy — Cooperation for Civil Uses. TIAS 3877. 
24 pp. 150. 

Agreement between the United States of America and the 
Federal Republic of Germany, superseding agreement of 
February 13, 19.56, as amended — Signed at Washington 
.July 3, 19.57. Entered into force August 7, 1957. 

Surplus Agricultural Commodities. TIAS 3878. 3 pp. 
5^. 

Agreement between the United States of America and 
Poland, amending agreement of June 7, 1957 — Signed at 
Washington August 14, 1957. Entered into force August 
14, 1957. 

Air Transport Services. TIAS 3880. 5 pp. 5^. 

Agreement between the United States of America and 
Australia, amending agreement of December 3, 1946. 
Exchange of notes — Signed at Washington August 12, 
1957. Entered into force August 12, 1957. 

Atomic Energy — Information for Mutual Defense Pur- 
poses. TIAS 3SS1. 4 pp. u^*. 

Agreement between the United States of America and 
Australia — Signed at Washington July 12, 1957. Entered 
into force August 14, 1957. 

General Agreement on Tariffs and Trade. TIAS 3882. 
11 pp. 100. 

Eighth protocol of supplementary concessions — Done at 
Habana June 20, 1957. Schedules entered into force June 
29, 1957. 

Atomic Energy — Cooperation for Civil Uses. TIAS 3883. 
9 pp. 100. 

Agreement between the United States of America and 
France, amending agreement of June 19, 1956 — Signed at 
Washington July 3, 1957. Entered into force August 19, 
1957. 

Air Transport Services. TIAS 3884. 4 pp. 5(}. 

Agreement between the United States of America and 



Egypt, amending annex to agi-eement of June 15, 1946. 
Exchange of notes — Signed at Cairo June 24 and July 31, 
1957. Entered into force July 31, 1957. 

Atomic Energy — Cooperation for Civil Uses. TIAS 3885. 
10 pp. 100. 

Agreement between the United States of America and the 
Union of South Africa — Signed at Washington July 8, 
1957. Entered into force August 22, 1957. 

Annual and Progressive Reduction in Japanese Expendi- 
tures Under Article XXV 2 (b) of the Administrative 
Agreement of February 28, 1952. TIAS 3886. 9 pp. 10^. 

Agreement between the United States of America and 
Japan, relating to agreement of April 25, 1956. Exchange 
of notes — Signed at Tokyo August 16, 1957. Entered into 
force August 16, 1957. 

Defense— Loan of Vessels or Small Craft. TIAS 3887. 
5 pp. 50. 

Agreement between the United States of America and 
Greece. Exchange of notes — Signed at Athens July 26 
and August 5, 1957. Entered into force August 5, 1957. 

Surplus Agricultural Commodities. TIAS 3888. 3 pp. 
5«J. 

Agreement between the United States of America and 
Peru, amending article I of agreement of May 2, 1957. 
Exchange of notes — Signed at Lima July 10 and August 
1, 1957. Entered into force August 1, 1957. 



Check List of Department of State 
Press Releases: October 7 13 

Releases may be obtained from the News Division, 
Department of State, Wa.shington 25, D.C. 

Press releases issued prior to October 7 which 
appear in this issue of the Bulletin are Nos. 551 
and 553 of October 3. 



No. 

561 

*562 



Date 

10/7 
10/7 



563 10/7 



*564 
565 

566 

567 

*568 

569 
570 

571 



10/8 
10/8 

10/9 

10/9 

10/9 

10/10 
10/10 

10/10 
10/11 



Subject 
Treaty of friendship with Korea. 
U.S.-Canadian Committee on Trade 

and Economic Affairs. 
German appreciation for U.S. aid to 

Pamir. 
Smith sworn in as ICA Director. 
U.S.-Canadian joint communique on 

trade and economic affairs. 
Views invited on wool fabric tariff 

quota. 
Delegation to 9th Colombo Plan meet- 
ing (rewrite). 
Henderson statement on death of 

Chipman. 
Colombia credentials (rewrite). 
Rubottom : "Developments in Latin 

America." 
Fingerprint requirement waived. 
Educational exchange publication. 



♦Not printed. 



698 



Department of State Bulletin 



October 28, 1957 



Index 



Vol. XXXVII, No. 957 



American Republics. Developments in Latin 

.■Vmei'ica (Rubottom) 675 

Asia. Ninth Colombo Plan Meeting (delegation) . 695 

Austria. World Bank Loan to Austria for Hydro- 
electric Project 685 

Canada. Meeting of U.S.-Canadian Committee on 
Trade and Economic Affairs (text of joint 
communique) 



Colombia. Letters of Credence (Gutierrez Gomez) . 

Department and Foreign Service 

Closing of Consulate at Cherbourg 

Fingerprint Requirement Waived (text of regula- 
tions) 

Disarmament. Western Powers Offer Disarma- 
ment Proposals in U.N. General Assembly 
(Lodge) 

Economic Affairs 

Baghdad Pact Countries To Study Possibility of 
Free Trade Area ( text of tinal communique ) . . 

Developments in Latin America (Rubottom) . . 

ILO Iron and Steel Committee (delegation) . . . 

Intergovernmental Copyright Committee To Con- 
vene 

Meeting of TJ.S.-Canadian Committee on Trade and 
Economic Aft'airs (test of joint communique) 

Ninth Colombo Plan Jleeting (delegation) . . . 

Salk Vaccine Export Quota 

Treaty of Friendship, Commerce and Navigation 
With Korea 

Views Invited on Operation of Wool Fabric Tariff 
Quota 

World Bank Loan to Austria for Hydroelectric 
Project 

Educational Exchange. Public-Private Coopera- 
tion in Educational Exchange 



683 
674 



France. Closing of Consulate at Cherbourg . . . 

Germany. Appreciation for U.S. Aid to German 
Ship "Pamir" 

Health, Education, and Welfare. Salk Vaccine Ex- 
port Quota 

Immigration and Naturalization. Fingerprint Re- 
quirement Waived (text of regulations) . . . 



696 
682 

667 

684 
675 
694 

694 

683 
695 

685 

685 
686 

685 

696 
696 

681 

685 

682 



International Organizations and Conferences 

Baghdad Pact Countries To Study Possibility of 
Free Trade Area (text of final communique) . . 

ILO Iron and Steel Committee (delegation) . . . 

Intergovernmental Copyright Committee To Con- 
vene 

Ninth Colombo Plan Meeting (delegation) . . . 

Korea. Treaty of Friendship, Commerce and Navi- 
gation With Korea 



684 
694 

694 



685 



Middle East 

Baghdad Pact Countries To Study Possibility of 

Free Trade Area (text of final communique) . 684 
U.S. Policy in the Middle East (Parker) .... 674 

Presidential Documents. Summary of Important 

Facts in Earth Satellite Program 673 

Publications 

Public-Private Cooperation in Educational Ex- 
change 696 

Recent Releases 697 

Science. Summary of Important Facts in Earth 

Satellite Program (Eisenhower) 673 

Treaty Information 

Current Actions 696 

Treaty of Friendship, Commerce and Navigation 

With Korea 685 

U.S.S.R. 

Inscription of Soviet Item on Peaceful Coexistence 

(Lodge) 693 

Summary of Important Facts in Earth Satellite 
Program (Eisenhower) 673 

United Nations 

Current U.N. Documents 695 

Essentials of Social Progress (Meany) 688 

Inscription of Soviet Item on Peaceful Coexistence 

(Lodge) 693 

Western Powers Offer Disarmament Proposals in 

U.N. General Assembly (Lodge) 667 

Name Index 

Eisenhower, President 673 

Gutierrez Gomez, Jos6 674 

Lodge, Henry Cabot 667, 693 

Meany, George 688 

Parker, Jameson 674 

Rubottom, Roy R., Jr 675 

von Brentano, Heinrich 681 



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OFFICIAL BUSINESS 



American Foreign Policy, 1950-1955 
Basic Documents — Volume I 

This publication is the first of two volumes intended to present in 
convenient reference form the basic published documents regarding 
American foreign relations for the 6-year period of 1950-1955. It 
may be regarded as a sequel to the volume A Decade of American 
Foreign Policy : Basic Doewments, Wl^l-Wlfi^ prepared by the Depart- 
ment and released in 1950 by the Foreign Relations Committee as 
Senate Document No. 123, 81st Congress, 1st Session. The usefulness 
of this publication indicated a need for a supplement that would bring 
the collection closer to currency. 

In some instances the 6-year limit (1950-1955) of the compilation 
has been extended for the sake of continuity by reprinting a few docu- 
ments that appeared in the earlier Decade^ as well as including a few 
additional pre-1950 documents and some 1956 materials. Certain in- 
ternational agreements to which the United States is not a party have 
been included where the effect of such agreements on American policy 
formulation is obvious. 

Despite its size, which reflects the growth of American responsibility 
in international relations, the present collection makes no pretense at 
being exhaustive. In many instances it has proved necessary to print 
summaries of developments and of individual lengthy documents or to 
provide nothing more than the title of a document, indicating where 
its text may be found. A list of the documents, fairly extensive cross- 
references, and an index, will facilitate use of the volume. 

American Foreign Policy, 1950-1955 : Basic Documents, Volume /, 
may be purchased from the Superintendent of Documents, U.S. Gov- 
ernment Printing Office, Washuigton 25, D.C., for $5.25 a copy. 



Order Form 



Publication 6446 



$5.25 



To: Supt. of Documents 

Govt. Printing OflScc 
Washington 25, D.C. 

Please send me ... copies of American Foreign Policy, 1950-1955: Basic 
Documents — Volume I. 

Encloaed And: Name: 

$ Street Address: 

(cash, check, or 
money order). City, Zone, and State: 



THE DEPARTMENT OF STATE 



xm^ 





FICiAL 

EKLY RECORD 

ITED STATES 
\mH POLICY 



/ 
/ 

Vol. XXXVII, No. 958 November 4, 1957 

PRIVATE INVESTMENT AND THE ECONOMIC 

CHALLENGE • Address by Vice President Mxon .... 703 

SECRETARY DULLES' NEWS CONFERENCE OF 

OCTOBER 16 708 

FAITH IN THE INTER-AMERICAN PARTNERSHIP • 

Remarks by President Eisenhower and Secretary Dulles . . . 715 

THE IMPROVEMENT OF RAILROAD FACILITIES 

IN THE AMERICAS • Article by William T. Faricy . . 731 

THE HISTORIC RELATIONSHIP OF CANADA AND 

THE UNITED STATES • by Secretary of the Army 
Wilber M. Brucker 718 

FOREIGN ECONOMIC POLICY AND THE TRADE 

AGREEMENTS PROGRAM • Report by tlie Office of 

the President 723 



For index see inside back cover 



THE DEPARTMENT OF STATE 




Vol. XXXVII. No. 958 • Pdblication 6556 
November 4, 1957 



For sale by the Superintendent of Documents 

U.S. Government Printing OIBce 

Washington 26, D.C. 

Price: 

62 issues, domestic $7.50, foreign $10.25 

Single copy, 20 cents 

The printing of this publication has been 
approved by the Director of the Bureau of 
the Budget (January 19, 1955). 

Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Department 
OF State Bulletin as the source will be 
appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the 
Department of State and the Foreign 
Service. The BULLETIN includes se- 
lected press releases on foreign policy, 
issued by the White House and the 
Department, and statements and ad- 
dresses made by the President and by 
the Secretary of Slate and other 
officers of the Department, as well as 
special articles on various pliases of 
international affairs and tlie func- 
tions of the Department. Informa- 
tion is included concerning treaties 
and international agreements to 
which tlie United Slates is or may 
become a party and treaties of gen- 
eral international interest. 

Publications of the Department, 
United Nations documents, and legis- 
lative material in the field of inter- 
national relations are listed currently. 



Private Investment and the Economic Chalienge 



Address hy Vice President Nixon ■ 



I am honored to bring greetings from the Presi- 
dent of the United States to the representatives 
of 57 nations attending this historic conference. 
And as a Californian, I am proud that you have 
selected the birtliplace of the United Nations, one 
of the world's great centei-s of mternational com- 
merce, the city of San Francisco, as your meeting 
place. 

I join with you in congi-atulating those who 
planned this conference for bringing together 
probably the most outstanding panel of experts 
in the field of international investment ever as- 
sembled for a meeting of this type. In the pres- 
ence of such company, I would not be so presump- 
tuous as to try to speak authoritatively on the tech- 
nical subjects in which I realize you are primai-ily 
interested. Instead, with your permission, I 
would like to report to you toniglit on some of the 
current developments in Washington which may 
affect directly or indirectly the problems which 
you are considering. 

It will be no surprise to you to hear that the 
major topic of discussion in Washington, just as 
in San Francisco, Moscow, and the cities from 
which you come, is the Soviet satellite now circling 
the globe. 

Let us consider first what the launching of this 
satellite means from a military point of view. 

Tliere has been a great deal of loose talk to the 
effect that somehow this one event has changed 
the balance of military power in the world today. 
It is time that the record be set straight. Mili- 
tarily the Soviet Union is not one bit stronger 
today than it was before the satellite was launched. 



' Made before the International Industrial Development 
Conference at San Francisco, Calif., on Oct. 15. 



The free world remains stronger militarily than 
the Communist world. And we can meet and de- 
feat any potential enemy who might dare to launch 
an attack. The only major military significance 
of this event is that the Soviet Union demon- 
strated again what we had known before — that 
they had developed the capacity to fire a missile 
a great number of miles. 

But at the same time we could make no greater 
mistake than to brush off this event 'as a scientific 
stunt of more significance to the man in the moon 
than to men on earth. We have had a grim and 
timely reminder of a truth we must never over- 
look — that the Soviet Union has developed a 
scientific and industrial capacity of great magni- 
tude. 

If the free world is to survive, we cannot rest on 
our past achievements or our present position of 
military superiority. We must constantly push 
forward on all fronts — military, economic, and 
moral — if we are to defeat the very real threat 
which the Ckinamunist empire poses to free men 
everywhere. 

The launching of the satellite wUl have ren- 
dered a signal service to the cause of freedom if 
only we react strongly and intelligently to its im- 
plications. Let us resolve once and for all that the 
absolute necessity of maintaining our superiority 
in militai-y strength must always take priority 
over the understandable desire to reduce our taxes. 

Communist Economic Offensive 

May I now turn to the direct bearing I believe 
this spectacular event has on the specific issues be- 
ing considered by this conference. 

No more dramatic incident could have occurred 



November 4, 1957 



703 



to remind both the Communist and the free world 
of the increasingly terrifying aspects of modern 
warfare. As that realization increases, the lilieli- 
liood that any nation will risk national suicide by 
lamiching aggressive war is reduced. 

But if tlie fearful nature of modern weapons is 
a deterrent against resort to all-out atomic war, it 
is just as cei'tain a stimulant to the cold war. IVIr. 
Khrushchev himself has declared that the Com- 
munists would prefer to gain their objective of 
world domination through methods other than 
military conflict. This does not mean that we 
should ignore the tremendous military threat 
posed by Russian power. It does mean that we 
must be prepared for an all-out Communist eco- 
nomic offensive to win the allegiance of hundreds 
of millions of people in the uncommitted world, 
as well as even some of those in the free world. 

The Kremlin has offered us a direct challenge. 
It proclaims to the world that a slave economy 
can outproduce a free economy. It promises to 
the developing areas of the world that the Com- 
munist system can do more for them in a shorter 
time than the system of private enterprise which 
is the economic basis of the free world. And the 
spectacular success of the satellite project is being 
held up as proof of the superiority of the Com- 
munist system. 

As far as the average citizen is concerned, the 
record fortunately is on our side and not theirs. 
The contrast between the record prosperity of 
Western Germany and the dismal poverty of 
Eastern Germany most eloquently demonstrates 
the superiority of a free society over tlie Com- 
munist system in producing the material well- 
being which the Communists have so long claimed 
as their special province. 

We believe that free men in the long run will 
outplan and outproduce a slave economy. But we 
cannot ignore the fact that a dictator state, as re- 
cent events prove, can in the short run achieve 
spectacular results by concentrating its full power 
in any given direction. That is why the challenge 
we face in the economic field is one which it would 
be folly to underestimate. 

This is particularly true in view of the fact that 
the Communists are concentrating their efforts on 
the newly developing countries of Asia and Afri- 
ca. These people are now in revolution, not a 
political revolt but a world revolution of peojile's 
expectations — the assertion by all peoples of their 



claim to a greater share of the world's goods. The 
spirit of this revolution is evoked by two words, 
"growth" and "industrialization," with the almost 
universal belief that the second is the key to the 
first. 

In the course of this revolution the steel mill 
and the hydroelectric plant have come to seem 
much more than economic needs. They have be- 
come symbols of the pride and hopes of whole 
nations. And for thoughtful men anywhere in 
the free world the question must be faced: How 
may these hopes find reasonable fulfillment? 

Deceptive Communist Promises 

The Communist world is willing to promise that 
it will help fulfill these hopes. It will do this in 
spite of its own desperately low standard of liv- 
ing. It is a known fact that Communist leaders 
will impose any sacrifice upon their own people 
in their quest for world power. And their recent 
scientific triumph shows that, in the short run, 
they have the skill and resources to do what they 
consider important. 

We know, of course, that such aid will be short- 
lived and deceptive. But, if it succeeds in ex- 
tending Communist rule throughout Africa and 
Asia, the Kremlin will have assured its victory in 
the battle for the world. It can use police power 
to keep these peoples in subjection. It will then 
control their immense wealth in oil, uranium, cop- 
per, and many other materials essential for the 
economic life of the free world. Tlie Western 
World will be forced to surrender without the 
firing of a shot. 

Tliis is a real threat — not so dramatic or spec- 
tacular as Sputnik and the ICBM, but in my opin- 
ion potentially more dangerous in the long run. 
We dare not ignore the military threat that these 
events have posed, but it would be equally folly 
to ignore the economic weapons that have been 
mounted against us. The first may never be used ; 
the second certainly will be used. 

I am confident that we can meet and defeat this 
challenge provided we base our policies on the 
fundamental principle which is the generating 
force behind this conference — the recognition that 
tlie most productive source of economic progress is 
private rather than government entei'pi'ise. The 
private initiative, the private responsibility, and 
private capital which you represent are the motors 
of economic progress. The economic growth 



704 



Deparfment of Sfafe Bulletin 



■which you can generate is vital to the future of the 
whole free world. 

I say this fully recognizing that there has been 
and is an important place for government action. 
Ever since the war the U.S. Government has con- 
ducted the most enormous peacetime banking op- 
eration in tlie history of government finance. The 
total of our grants and loans abroad in that period 
is nearly $60 billion. 

Inevitably there was some waste in the handling 
of so huge a sum. But, on balance, it was any- 
thing but wasted. It has protected and raised 
standards of living in a period of costly rearma- 
ment. It laid the basis for the vast expansion of 
trade at a time wlien markets were wrenched from 
their traditional patterns by Commimist violence. 
It has helped to hold the free world together at 
a time wlien communism was doing its best to tear 
us apart. It was and is an achievement of which 
Americans can be proud. 

But government capital is in a sense crisis cap- 
ital. It will have a vital role to play as long as 
the world crisis is witli us. "VVlierever it has an 
opportunity to strengthen free economies against 
the shoddy temptations of Communist trade or 
the menace of Communist siibversion, I believe 
we should use tliis weajjon of government finance 
as boldly as Congress will permit. 

However, we must recognize that government 
aid cannot possibly meet the problem with which 
we are confronted. The total amount of invest- 
ment wliich must flow from capital-surplus areas 
like the United States to capital-deficit areas dur- 
ing the next few years must substantially increase 
rather than decrease. The only source of invest- 
ment funds that can be greatly expanded is pri- 
vate capital. It is consequently the only source 
that can possibly meet the need. 

Merits of Private Capital 

There are limits to what government can do. 
There is partly the limit imposed by budgetary 
problems. But above all there is the limit im- 
posed by our conviction that free private enter- 
prise is the preferable medium for aid for the 
newly developing countries. 

In many nations the pattern of economic de- 
velopment is being shaped for a century ahead. 
If this pattern is statist, then himian freedom will 
be the loser. Concentration of power is one of the 
great problems of our day. 



Freedom is essentially personal. It is exercised 
only with great difficulty through impersonal 
groups. For this reason it is vital that newly 
developing economic systems, so far as possible, 
follow a pattern that fosters rather than limits 
human freedom. 

Private capital has other merits which govern- 
ment capital lacks. It is the kind of money 
which, in the old Roman phrase, has no smell. 
Its home government cannot order it to be spent 
in one country rather than another and cannot at- 
tach political or diplomatic strings to its uses. It 
carries no ideology with it, other than the reason- 
able expectation of safety and profit. But it does 
carry something else with it: brains. The man- 
agerial skills and imagination of private capital 
are the best assurance that it will in fact create the 
new wealth that both lender and borrower are 
aiming at. 

We need a spectacular increase of investment by 
American and other businessmen directed espe- 
cially to the developing nations of the world. 

Wliat should the goal of private capital in the 
United States be in tliis field ? Last year Ameri- 
can new investment abroad totaled almost $4 bil- 
lion. This amount seems large, but if the United 
States were investing abroad the same proportion 
of our national income that Great Britain in- 
vested abi'oad in 1910, we would be investing not 
$4 billion a year but nearly $30 billion. 

I do not suggest that we could recapture the 
world of 1910 even if we wanted to. But cer- 
tainly it is not mireasonable to set as our goal 
doubling or tripling American investment abroad 
in the next 10 years. But we cannot expect this 
to happen automatically. 

There are certain things which the United 
States can do, that the governments of countries 
in which money is to be invested can do, and that 
American businessmen abroad can do to stimulate 
the increase in foreign investment the world 
needs. 

What Capital-Deficit Nations Can Do 

First let us consider what steps the capital- 
deficit nations can take to encourage private in- 
vestment from abroad. There must be at the out- 
set recognition of the fact that the world shortage 
of capital which evidences itself in rising interest 
rates has forced a sharp measure of competition 
for the capital which is available for foreign in- 



November 4, 1957 



705 



vestment. Any government that is serious about 
wanting private capital will necessarily enter this 
competition. It can set the conditions which will 
either induce that capital to flow or stop it cold. 
It can treat foreign capital as something between 
a public enemy and a necessary evil, or it can 
make the kind of rules under which private capi- 
tal can do its best work. 

Let me give an example. Wliatever one may 
think of Premier Nasser's right to "Egyptianize" 
the Suez Canal — and our Government has not dis- 
puted his right — it camiot be denied that he made 
Egypt less attractive to new capital than it was 
before. In contrast we see the results in coun- 
tries like tlie Netherlands, Northern Ireland, 
Mexico, or our own independent Commonwealth 
of Puerto Rico, where the governments have set 
up active and efficient bureaus and hospitable 
policies to promote and welcome foreign capital 
and as a result are getting more of it than ever 
before. 

The Government of the United States would 
never presume to tell any other government what 
its policy should be toward foreign investment, 
but the owners of private capital will inevitably 
take note of the investment climate before mov- 
ing abroad. 

What the U.S. Government Can Do 

Let us now see what the Government of the 
United States can and should do to encourage pri- 
vate investment abroad. I would suggest the 
following as a ininimum program for consid- 
eration : 

The economic sections of our embassies abroad 
should be upgraded and strengthened both in 
quantity and quality. Every American embassy 
should be staffed with qualified personnel who can 
devote an 'adequate amount of their time and 
energy to the active promotion of policies which 
encourage private investment. 

When tax revision becomes feasible, the Con- 
gress should pass a tax reform which the President 
has twice urged. He would extend to investors 
in other parts of the world the 14-point income-tax 
credit for which Western Hemisphere trade cor- 
porations are already eligible. 

The Congress should also consider tlie feasi- 
bility of passing a tax reform similar to one 
adopted by the United Kingdom a few montlis 
ago. Tliis would defer U.S. taxes on income and 



profits earned entirely abroad until they are actu- 
ally paid in dividends to the stockJiolder or the 
parent company. It would give American over- 
seas tradere and investore the same encoui-agement 
some of tliem now seek by incorporating abroad. 
It would immediately increase the funds available 
to sucli companies for additional foreign invest- 
ment, yet in the long run the U.S. Treasury and 
foreign treasuries would also gain by the tax on 
income from a larger investment base. 

We should channel more of our governmental 
financial operations abi'oad through private in- 
vestors and enterprises, U.S. and foreign. Spe- 
cifically Congress could require (instead of fer- 
mitting^ as at present) that at least 25 percent of 
the foreign currencies we now acquire under our 
agricultural aid program be made available for 
loans to U.S. business in those countries. 

The new $300-million developmental fimd 
should be set up in such a way that in its adminis- 
tration and policies it does not become merely a 
pale carbon copy of either the Export-Import 
Bank or the International Cooperation Adminis- 
tration. The administration and the Congress 
intended that this fund fill a function which is 
new and distinct from those being served by ex- 
isting agencies. Its primary purpose should be 
to channel funds into private enterprises which 
cannot satisfy the borrowing requirements of the 
Export-Import Bank. 

We should initiate, through international or- 
ganizations such as the World Bank, studies wliich 
could examine the feasibility of setting up a pri- 
vately operated international investment guar- 
anty fund. Its object would be to protect both 
present and future investments from the hazards 
of expropriation, devaluation, blocked currencies, 
and similar risks. 

Because trade is the great generator and vehicle 
of tlie capital the world so badly needs, the Re- 
ciprocal Trade Agreements Act should be ex- 
tended for at least 5 yeare when it comes up for 
renewal in the next session of Congress. This 
action would demonstrate pemianent and expand- 
ing interest of the U.S. in world trade. Whether 
in order to get paid for our expoi-ts, or to get a re- 
turn on our investments, or simply to assure our- 
selves of the most economical source of raw ma- 
terials, the U.S. must become an ever larger im- 
porter. The Reciprocal Trade Agreements Act 
is our beet assurance that these imports will be 



706 



O&patimeni of Sfafe Bulletin 



accessible to us on a fair and nondiscriminatory 
basis. 

For the same reason we should complete our 
membership in the Organization for Trade Coop- 
eration. This organization, which the U.S. 
helped to found, is a place where the established 
system of multilateral tariff bargaining and the 
rules of trade reciprocity can be recorded and 
systematized. It asks nothing of us that we have 
not already been doing. Not to join it would be 
an act of gross self-deception and would mislead 
the rest of the world as to our real interest and 
policy. 

We should pass legislation, long since recom- 
mended by the President, to simplify certain an- 
tiquated and unjust methods of valuation in our 
customs procedures. 



The choice between these two worlds must be 
made by our own generation. If freedom loses, 
it may be a century before it can be regained. We 
ourselves may be starved for essential raw ma- 
terials and crushed without a single warlike act. 

Americans can never again live in isolation. 
Either we march into the future, together with 
other free nations, into a world of peace and pros- 
perity, or we decline into obscurity and failure, as 
a people who had not the vision to see the world 
as it is or who had not the courage to face up to 
duty. 

The very fact that this conference is being held 
proclaims to the world that the forces of freedom 
have the strength, the vitality, and the determina- 
tion to win the great struggle for the world. 



What Private Investors Can Do 

So much for what governments can do. There 
are also certain obligations that private investors 
should assume if they are to share in the increased 
opportunities of investment abroad. 

Their operations must be based first of all on 
the 20th-century principle that the primary pur- 
pose of foreign investment is to create new wealth 
rather than to exploit a newly developing country. 

American personnel abroad should always be 
trained to be ambassadors of good will as well as 
competent technicians. 

The training of foreign nationals to assiune 
managerial as well as subordinate responsibilities 
should be given top priority. 

I would not suggest that these proposals I have 
recommended are all-inclusive. But the adoption 
of such a program could provide the necessary 
stimulus for a dramatic expansion of private in- 
vestment and trade throughout the world. 

Tlie world of tomorrow is in our hands. 

It can be a world of peace, with political free- 
dom, economic growth, and the steady abolition 
of world poverty. 

But it can also be a world of hatred and suspi- 
cion, perpetually on the verge of war. 

It can be a free world, or it can be poisoned by 
statism or totalitarianism. 

It can produce for the needs of families, or it 
can produce for the needs of armies. 



Prime Minister Macmillan 
To Visit Washington 

statement by President Eisenhower 

White House press release dated October 17 

I welcome the visit of the British Prime Minis- 
ter to Washington next week. It will provide an 
opportmiity for me for useful discussions with an 
old and trusted friend. Mr. Macmillan's visit re- 
flects the practice of free countries to consiilt as 
often as circumstances require. I hope that there 
will soon be occasions when I and my colleagues 
can meet with leaders of other free countries as- 
sociated with us for similar discussions. 

Statement by Prime Minister Macmillan > 

President Eisenhower and I have agreed that I should 
pay a brief visit to Washington next week to discuss 
world problems which are of active concern to both of 
us. The Foreign Secretary, Mr. Selwyn Lloyd, is now 
in the United States, where he has already been meeting 
with the United States Secretary of State, Mr. Foster 
Dulles, and of course they will join the President and 
myself in the talks. 

This meeting will be in the tradition of the many talks 
which have taken place between our two governments. 
I expect the meeting will be one of several which we 
will have with our American friends and with other 
friendly governments in the coming months. 



' Made at London on Oct. 17. 



November 4, J 957 



707 



Secretary Dulles' News Conference of October 16 



Press release 579 dated October 16 

Secretary Dulles : I am sorry there has been an 
interval longer than usual between my press con- 
ferences, due to the United Nations and various 
incidents of the United Nations including the 
visitations here of Foreign Ministers. I suspect 
that the intei-val has allowed a niunber of ques- 
tions to accumulate ; if so, I will be glad to hear 
them. 

Q. Mr. Secretary, relating to one of the things 
that happened in this interval, would you evalu- 
ate the relative power of Russia and the United 
States in the light of the ICBM and satellite suc- 
cesses they have had? 

A. I can give you a ix)ugh approximation, al- 
thougli that, of course, is a question that perliaps 
should be directed primarily to the Department 
of Defense. But also, of course, it is veiy vital 
fixjin the standpoint of the conduct of foreign 
relations. I would say this: The Soviet Union 
started back in 1945 to work intensively on this 
guided-missile program. It took over the assets 
of the Germans at Peenemunde. I recall that, 
when I was in Moscow in 1947 with Secretary 
Marshall, we were impressed at that time with 
the intensity of effort along those lines and the 
VIP treatment being given to the Germans who 
had been taken in from the Peenemunde experi- 
ment. They have been pushing very actively 
along that line and I would think probably liave 
some advance over us in respect to that particular 
area of potential military activity. 

On the otlier hand, I think we have in terms of 
actual militaiy power, and potential military 
power for some yeare to come, a very marked su- 
periority over them, particularly in terms of 
heavy bombers, which are now, and for some years 
to come will be, the preferred and most effective 
means for the delivei-y of missiles. 

I think that this satellite coming along as it 
did is a very useful thing to have happened, so 



as to avoid any possible complacency on our part 
with our present superiority. It arouses the whole 
country, I think, and the Congress, to the impor- 
tance of pushing forward actively in this field, 
which may be the field where superiority will be 
militarily decisive perhaps 5 or 10 years from 
now. 

Q. Mr. Secretary, as a historical note, there has 
heen some confusion in Washington as to tohether 
or not the adininistration anticipated the hind of 
worldtoide reaction which ha^ taken place in the 
light of the launching of the satellite. Can you 
tell us whether at the time in 1955 the Vanguard 
project was decided upon — ichether you were con- 
sulted and considered the problem of xohat might 
happen and its effect upon our foreign relations 
if the Russians were the first to launch this satel- 
lite? And did that play any part in the decisions 
on hoio we handle that program? 

A. I cannot recall that there was any particular 
discussion about the satellite project as such. 
Tliere was considerable discussion about the mis- 
sile program and the importance of not allowing 
tlie Soviet Union to gain any decisive superiority 
in the use of outer space for its missiles. But I 
do not recall a particular discussion about the 
launching of the satellite, although I believe there 
was some discussion at one of the National Se- 
curity Council meetings that I was not present 
at. 

Middle East 

Q. Mr. Secretary, could you size up this Middle 
Eastern situation as of today — the Syrian and 
Turkey situatio7i? 

A. That is a question that is a bit general to 
answer. I would say this: that the Soviet furor 
over Turkey is reminiscent of a number of similar 
furors that have arisen in the past. Turkey has 
been a particularly favorite topic. There was a 



708 



Deparfmenf of Stafe Bullelin 



furor over Turkey back in "45 and '4:6, 1 think, in 
connection with the Soviet demands witli refer- 
ence to the Dardanelles. Of course, Turkey was 
a subject of the so-called Truman Doctrine, whicli 
gave rise to our aid program for Greece and 
Turkey. At the time when Turkey joined the 
North Atlantic Treaty in 1950 [1952]— I think it 
was — there were very bitter threats hurled at 
Turkey. There has been a constant effort by the 
Soviet Union to dominate Turkey through a mix- 
ture mostly of threats; occasionally, the carrot as 
an alternative to the stick. And what is going 
on now I say beai's some resemblance to episodes 
of the past with respect to Turkey. Also, there is 
some resemblance, which I personally perceive, 
to the period of the Korean war. I recall at that 
time I was charged with having started the Ko- 
rean war, and photographs of me in Korea were 
passed around in tlie United Nations Security 
Council to prove that I had started the attack. 
It was supposed to be an attack by South Korea 
on North Korea. That was at least the Com- 
munist allegation. 

I do feel a measure of concern when there are 
charges of this kind which are leveled so wildly 
and indiscriminately around the world. I am al- 
ways fearful that they may be a smokescreen 
behind something more serious which may be 
taking place. That's my general observation. 

Q. Mr. Secretary, u that your inter pr'etation 
of this latest Kremlin tactic of sending letters also 
to the Socialist Parties of Europe? Do you thinl: 
there is something sinister hehind that, or is that 
a diversive rnove, or what? 

A. I would say that that is part of a smoke- 
screen, a diversionary tactic, yes. 

Q. Sir, is there not a danger now arising in the 
Middle East that the smaller powers there are in 
position to commit the prestige and pouter of the 
I great powers — Syria to commit Russia; Lebanon, 
jl Turkey, and other smaller powers on our side to 
commit the United States? Is there not a danger 
there — that ttoo great powers are getting involved 
in the policies of small poxoers in. the area? 

A. I do not feel that there is any danger in that 
respect certainly as regards the countries which 
we would be pledged to assist, either through their 
membership in the North Atlantic Treaty or un- 
der the so-called Eisenhower Doctrine. There 

November 4, 1957 



must be a case of attack and aggression, and, in- 
deed, that is something which we are all pledged 
in principle to react against under the United 
Nations Charter. I do not feel that the U.S. is 
exposed to the kind of danger that you anticipate. 

Q. Mr. Secretary, could you clarify your state- 
ment on this Middle Eastern situation vis-a-vis 
Korea? Are you saying in effect that you fear 
there might he an attack hy Syria or the Soviet 
Union on Turkey? 

A. I think one has always to be on guard 
against that possibility, yes. 

Scientific Cooperation 

Q. Mr. Secretary, Mr. Lloyd and Mr. Sandys 
of Britain have called for a great deal closer 
scientific cooperation between the United States 
and Britain and a lowering of the barriers to the 
exchange of scientific information, especially in 
in'eio of Sputnik. Do you now favor eliminating 
all of these present barriers to a complete exchange 
of cooperation between the two countries on this 
problem? 

A. I have always favored a very large degree 
of cooperation, a larger degree perhaps than has 
actually taken place. We are under certain legal 
restrictions, as you know, which were put on by 
Congress some years ago — I think back in '48 
or '49 [1946] — at a time when it was believed that 
we had a monopoly of knowledge with respect to 
atomic weapons — and, indeed, we did have, I 
think, at the time that original position was taken. 
It was hoped to preserve that monopoly in the 
interests of world peace and so that we could 
carry out our offer at that time to internationalize 
all use of atomic energy. That was the so-called 
Baruch Plan. I think that that legislative point 
of view has become somewhat obsolete with the 
passage of time and that there is a basis for a 
closer cooperation than has existed. 

Some of it can be done, perhaps, under the 
present law, but I think it would be useful to give 
a fresh look at that law at this time because I 
think it may have become obsolete. 

Q. Mr. Secretary, from a foreign-policy point 
of view, do you believe that recent developments 
have called for a new look in our defense policies? 

A. In our defense policies? 

709 



Q. That is right; and I am thinking partic- 
ularly of reductions in our military establishment 
and some cutbacks in scientifiG programs. 

A. Well, I would say that that defense policy 
is constantly getting a new look. Every year the 
budget is very closely examined from the stand- 
point of striking an appropriate balance between 
security on the one hand and budgetary burdens 
on the other hand and the problem of balancing 
the budget. I do not think that any recent de- 
velopments call for any different kind of 
"new look" than occurs every year. 

Q. Mr. Secreta7y, on that point of possible closer 
scientific cooperation, how do you regard this? 
Do you regard this as urgent, or do you regard 
this as a desirable thing that might be worked out 
in time? And could you say whether basically 
you think that the United States, unaided, as it is 
now progressing, can catch up in the missile field 
and indeed move ahead in all the defense fields 
where it is important? 

A. I feel absolutely confident that there is no 
doubt whatsoever of our ability to move ahead 
and, I believe, keep ahead in this field. As I said 
before, I think it is perhaps a good thing that 
this satellite was put up in good time, so that there 
would not be an undue complacency anywhere. I 
do not think that there has been complacency 
within the administration, but there has been a 
certain complacency, I think, felt generally that 
we were almost automatically ahead of the Kus- 
sians in every respect. Well, that is not so, and 
those of us who have been close to the situation 
have, I think, realized that for some time. You 
cannot take a nation of the size of the Soviet 
Union, under the kind of despotic government 
they have, and have it concentrate for now 40 
years upon almost a single objective without get- 
ting some results. Now, the Russians have al- 
ways had good minds. That has been shown by 
the fact that the Russians have over the years 
produced great chess players, champion chess 
I^layers quite frequently, and their artillery in the 
past has been extremely good. Now when you 
take a despotic form of government and you pro- 
vide scientific training — and scientific training is 
almost the only training that is provided- — and 
you pick out all the best brains you have and fim- 
nel them into this scientific course of training, you 
are going to get outstanding results. So it is no 



surprise, I think, to any of us who followed this 
situation closely to know that that is going to 
happen. 

I recall a Cabinet meeting some 2 or 3 years ago 
where this was very fully discussed. The question 
was raised whether we should try to get our peo- 
ple to concentrate more upon scientific work. I 
think we all felt at that time that there was need 
not only for scientists but, for our form of society, 
you had to have ministers and historians, teachers 
and people interested in the humanities, and that 
we did not want to become a lopsided society. If 
you are going to have this great force in a demo- 
cratic form of society, you have to have not only 
the power to use it but you have got to have the 
power to exercise self-restraint and self-control. 
That is inherent in our form of society. 

But I still think that, even though we have a 
balanced society, with balanced teaching and bal- 
anced training, there is still the capacity to do 
that and at the same time, if we handle ourselves 
properly, to keep ahead of the Russians in this 
particular field. 

Q. Mr. Secretaiy, I am confused. Is Sputnik 
a good, thing because it taught the administration 
something or because it taught the American 
people something? 

A. I think it has created a unity of purpose 
and thinking between the administration, the Con- 
gress, and the people which is very desirable at 
this stage. 

Q. Mr. Secretary, when you talked to Mr. Gro- 
myko, did you find occasion to discuss again the 
question of a general arms embargo in the Middle 

East? 

A. Well, I don't think I can go into the details 
of my talks with Mr. Gromyko beyond the commu- 
nique that was issued.^ I would think that it 
would not be unfair for us all to assume that the 
position of the Soviet Foreign Secretary was very 
much the same privately as it has bean portrayed 
publicl}'. Tliere has been this request that was 
referred to in this letter to the Socialists of yester- 
day and which has been referred to several times 
in notes and the like, that there sliould be some 
kind of an agreement dealing with arms for the 
area. Is that what you referred to ? 

Q. Yes, sir. 



'■ Bulletin of Oct. 21, 1957, p. 635. 



710 



Deparfmenf of Sfafe Bullelin 



Q. Mr. Secretary, there is an editorial column 
in a Washington newspaper today ivhich stated 
the fact that the Queen of England''s visit here 
has soine significance. Would you like to com- 
ment an that? 

A. Well, I am quite certain that the visit of the 
Queen here has significance. It will tend to stress 
the close liistorical ties tliat exist between our two 
countries. I recall some foreigner who was here 
some while ago, and he said to Mrs. Dulles, "I 
can't understand why you keep tallving all the 
time about 'colonial' — you have your Colonial 
Club, and your Colonial Dames, and Colonial This 
and Colonial That. I should think you would 
want to forget about the fact that you had ever 
been a colony." Well, the fact of the matter is 
that we take a very proper pride, I think, in what 
was bequeathed us by what was the mother coun- 
try and that the ties between us remain close. 
It is useful to have visits like this which keep those 
ties warm and vigorous and vital, and certainly 
the whole American people welcome most cor- 
dially, indeed enthusiastically, I would say, the 
visit of this very wonderful lady who is the Queen 
of England — she is more than the Queen of Eng- 
land; she is the Queen of the British Common- 
wealth. 

Q. Mr. Secretary, what do you think about the 
Egyptian dispatch of troops into Syria — another 
aspect of the Middle East prohlem? 

A. Well, I could only speculate on the inteipre- 
tation and meaning of that, and I would prefer 
not to indulge in that speculation here today. 

Question of Negotiations With U.S.S.R. 

Q. Mr. Secretai'y, in Khrushchev''s interview 
with Scotty Reston^ you were the principal villain 
of American foreign policy from the Kremlin''s 
view. The hurden of his complaint seems to be 
at least partially that you have always rejected 
the idea of direct Soviet- American negotiations, 
and indeed the President told us last week in dis- 
cussing the Zhukov incident that you had re- 
minded him of our obligations to our allies. 
Against that background, what is your view of 
the efficacy of such negotiations at any time? Is 
it useful for these two countries to talk directly 



' James Reston, Washington correspondent, New York 
Times. 



in any formal ii^ay, or do you consider that that 
is sometJiing tliat is impossible as long as we are 
part of a large alliance of nations? 

A. First., it is nothing new for me to be a 
Soviet target. I refeiTed to the visit I made to 
Moscow m 1947. I recall that when I arrived 
there the New Times had just finished a serial 
article about me which was hardly flattering in 
its tone — {Laughter) — I recall that the Erokodil, 
when I arrived there, showed a little sapling that 
was called the "Tree of Peace," and Churchill and 
I had great axes and we wei-e hewing down this 
beautiful little "Tree of Peace" that was growing. 
So this is a 10-year business for me, and I have 
gotten a bit hardened to these attacks. 

Now, as far as the rest of your question is con- 
cerned, I think that it is useful to have talks, the 
kind of talk that I had with Mr. Gromyko and 
the kind of talk which I have had in the past 
with Mr. Molotov and Mr. Vyshinsky, so that we 
undei-stand each other's point of view and try to 
understand it enough so that there will not be 
serious miscalculations. 

Now, wlien it comes to an agreement, we have 
got a good many problems that confront us. The 
question is first of procedure: whether we work 
alone with the Soviets, which is one of the things 
that they like and have been working for ever 
since the end of the Second World War. They 
have consistently taken the position that there 
were only really two great powers in the world 
that mattered — the Soviet Union and the United 
States — and if we two could get together and 
divide up the world, everything would be hunky- 
dory. Well, the United States has rejected that 
view. We don't consider that we are the only 
other gi"eat power in the world. There is plenty 
of greatness of one kind or another in other coun- 
tries. To assume that kind of an overlordship 
would be, in my opinion, wrong. To be engaged 
in that way would be disastrous because it would 
tend to alienate our friends and we might go down 
a path in the course of which we would have lost 
our friends and allies and tlien find that there 
was nothing but illusion at the end of that path. 

Q. Mr. Secretary — 

A. Now, I'd like to say a bit more, if I may. 

Then you get the question of agreement. Wliat is 
an agreement? An agreement is a meeting of 
minds, and so far I do not know of any agree- 



November 4, 1957 



711 



ment that the Soviet Union lias made wliicli has 
reflected a real meeting of the minds. We may 
have agreed on the same form of words, but there 
has not been a meeting of the minds. 

Now, the most recent example of that pei'haps 
is the agreement tliat was reached at the Summit 
Conference, where it was said that the Four 
Powers recognized tlieir responsibility for the re- 
unification of Germany and they agreed that Ger- 
many should be reunified by means of free elec- 
tions. Now, that looked like an agreement. It 
purported to be an agi'eement. And, actually, we 
now know there was no meeting of minds at all. 
We talk about this Soviet jiroposal, which was re- 
ferred to here a few minutes ago, that we should 
reach an agreement about tlie Middle East — not to 
interfere in internal affairs. All right, what do 
we mean by that? It means one thing to us and 
another tiling to the Russians. Wlien you say to 
the Soviets, "and when you say noninterference in 
internal affairs, you mean that it is all right to do 
what you did with Hungary, and that that is not 
interference in internal affairs?"', they say, "Sure, 
that was not interference in internal affairs at 
all." 

Now, what's the meaning, the real significance, 
of an agreement not to interfere in internal affairs 
if the Soviets mean that they can do anywhere 
what they did in Hungary and that that is not 
interference in internal affairs? There is such a 
total lack of meeting of the minds. 

Then you have got a third aspect to the prob- 
lem, which is, when you negotiate, you negotiate 
with the Soviet Government. But the power 
behind the Soviet Government is the Soviet Com- 
munist Party. It operates as a sort of a super- 
state, not subject to any of the rules and 
regulations that apply to the conduct between 
states. And you make an agreement with the 
Soviet Government, for example, the Litvinov 
agreement [1933], which had tried to be a very 
tight agreement. It was violated right away. But 
it was violated, they say, not by the Soviet Gov- 
ernment but by the Soviet Communist Party, and 
you didn't make the agreement with the Soviet 
Communist Party. Therefore, it was all right. 

I see Khrushchev said here yesterday, "I'm not 
the Government," he says, "I am the head of the 
Communist Party." And lie deals in that capacity 
with the Socialist Party of other countries, by- 
passing the Government. That, he says, is all 

712 



right to do because he isn't acting in that capacity 
for the Soviet Government. So this is a very illu- 
sive business, this question of getting an agreement 
with the Soviet Union which involves not break- 
ing with our allies, which involves a real meeting 
of tiie minds, and which binds not merely the 
Soviet Government but effectively binds the Soviet 
Communist Party. 

Q. Mr. Secretary, there seems to he some com- 
ment about the Vice President's good-xoill tour 
next month. Can you throw some light on that 
and tell us if the State Department wishes him to 
go? 

A. I didn't quite understand the last part of 
your question. 

Q. Does the State Department v)ish the Vice 
President to go on a good -will mission? 

A. Whatever is done in that I'espect by the 
Vice President involves close and intimate co- 
operation between the Vice President, the Wliite 
House, and the State Department. Now, it may 
be that the Vice President, in view of the many 
I'equests he has received and the sliort time he has 
available before he has other engagements which 
he already made here — he may not be able to 
make this trip. That will be laiown more 
definitely in tlie course of the next day or so. 

U.S. Position on Turkey 

Q. Mr. Secretary, we have restated that we will 
stand hy Turkey in an attack. How ivill you do 
that? By attacking the attacker? 

A. Certainly, if there is an attack on Turkey 
by the Soviet Union, it would not mean a purely 
defensive operation by the United States, with the 
Soviet Union a pi'ivileged sanctuary from whicli 
to attack Turkey. 

Q. Mr. Secretary, in your speech at the United 
Nations,^ you loere contemplating some msve 
against subversive Russian activity. Has any de- 
cision been made on this matter since then? 

A. No, no decision has been made on the mat- 
ter. I had originally contemplated, as my speech 
was first drafted, asking for an inquiry by the 
United Nations into wliat I regarded as the 
breaches by the Soviet Union of the "Essentials 



' Bulletin of Oct. 7, 1957, p. 555. 

Department of State Bulletin 



Vice President Nixon Defers 
Trip to Europe 

White House press release dated October 17 

The Vice President had planned to visit various 
countries in Europe in late October and November 
of this year. However, it has not proved practical 
to worlj out such a visit which would be responsive 
to the invitations received and at the same time 
allow him to return to meet commitments in the 
United States later this year. Accordingly, the 
Vice President is deferring his trip to Europe and 
plans to make this visit after the adjournment of 
the next session of Congress. 



of Peace" resolution [1949], which proclaimed the 
principle that the preservation of peace required 
a nation to abstain not merely from direct aggres- 
sion but from indirect aggression.^ It seemed 
that the Arab States preferred to deal with this 
matter on a regional basis, and the charter of the 
United Nations provides that in the event of a 
dispute the nations shall, first of all, deal with it 
by means of their own choosing, including among 
other things a regional approach. 

So I abstained from making that particular 
suggestion at that time. Now, I understand to- 
day that Syria has made a formal proposal in the 
United Nations General Assembly that there 
should be an inquiry. And, in view of that, it 
may be that we will revive the matter of our- 
selves asking for an inquiry which we had 
planned to do on the 19th of September, when I 
made my speech. 

Q. Mr. Secretary, in a comment which you just 
made in response to a question, you said, '■'■If there 
is an attack on Twrkey hy the Soviet Union, it 
would not mean a defensive operation hy the 
United States with the Soviet Union as a priv- 
ileged sanctuary.'''' This relates in my mind to 
something you said earlier about a smokescreen 
being used to cover up perhaps sinister motives. 
Are you suggesting that the Soviet warnings to 
Turkey and the Soviet criticisms of Turkish pol- 
icy might possibly have been devised to afford a 
pretext for some Soviet action agaitist Turkey? 

A. I'm suggesting that it was a possibility, yes. 
That is a well-known technique, particularly well- 
known Communist technique. If you want to at- 

* For text, see ihid., Nov. 28, 1949, p. 807. 
November 4, 1957 



tack anybody, first accuse him of attacking you. 
That was the teclmique that was used in Korea. 

Q. Mr. Secretary, you said earlier that you 
were fearful Russia'' s talk about Turkey was a 
smokescreen for something else. What is it that 
you had in mind? 

A. Well, I think the answer I just made is an 
adequate answer to that question. 

Q. Mr. Secretary, would you say we are on the 
brink now? (Laughter) 

A. I M'ould say that — 

Q. What was the question, Mr. Secretary? 
(Laughter-) 

A. The question was, would I say we are on the 
brink? And my answer to that is that, if any- 
body studies history, they will find that the world 
has been always on the brink of war. There have 
been on an average over the last 300 or 400 years 
three wars every 5 years. Tlie great reason why 
we liave had so many wars is that people take it 
for granted that there isn't going to be any war. 
They get complacent and do not make the neces- 
sary efforts to avoid war. It's only by being 
conscious of the fact that war is an ever-present 
danger that you take adequate and effective steps 
to avoid getting into war. And I think that it is 
a fact not to be deplored that today we are more 
aware than we used to be in the past that war is 
an ever-present possibility. We wage peace, I 
think, more effectively on that account. The days 
have passed, I hope, when we just take peace for 
granted and become complacent during a time 
when there is not actual fighting, because it's dur- 
ing that period, if we don't look out, that the next 
war is in preparation. 

Q. Mr. Secretary, are you suggesting in your 
several references to complacency today that the 
American people have got to make an even 
greater sacrifice in the form perhaps of a larger 
budget and an even larger budget next year and 
no tax cut? 

A. I'm not competent to answer that question. 
We have a total security budget, including our 
mutual security program, of somewhat over $40 
billion. Now, that is quite a chunk of money. I 
do not know, and in my job as Secretary of State 
I cannot take the time to know, how that money 
is being spent, whether it's being spent to give 



713 



us adequate defense or not. That is a job for the 
Secretary of Defense, for the Secretaries of the 
three services, and for the Joint Chiefs of Staff, 
and I cannot sit in judgment over them. If the 
present budget isn't enough to give us adequate 
security, then we should have more. I certainly 
agree with the proposition that our security has 
got to come first. And whether you can get 
adequate security by this budget allocation, I 
don't know. That has got to be judged by some- 
body else, particularly those in the Defense 
Department, and finally by the President. 

Q. Mr. Secretary, in your anstoers on the 
question of reaching an understanding loith the 
Soviets on Sputnik, you implied that this is im- 
possible because it is a hope for a reaching of a 
meeting of minds. It lies in the hope of a meet- 
ing of minds. The question would he probably 
asked if it is completely impossible to reach a 
partial meeting of minds, at least as regards arms? 

A. Well, tliis Soviet proposal, you understand, 
applies not just to what is sometimes called the 
Near East, the Arab States, Israel, and the like. 
It is designed to cover the whole gamut, running 
from Pakistan presumably to Morocco, including 
Turkey, Pakistan, Iran, the neighboring border 
countries to the Soviet Union. Now, if you are 
not going to control Soviet arms, are you going 
to control the arms of the coimtries which border 
on the Soviet Union? That hardly seems a fair 
proposition. And, furthermore, I don't know 
why the Soviet Union and the United States, and 
one or two other powers, should set themselves up 
as a kind of protectorate over the Arab countries. 
Wliat do the Arab countries want? They want 
independence, and they are entitled to have it. 
And that means certainly a right to manage their 
own affairs. And I do not believe that the United 
States and the Soviet Union have any business to 
get together and tell them how they run their 
affairs. 



Q. Mr. Secretary, do you feel, in vieio of de- 
velopments in the Arab countnes lately, that tlie 
Eisenhower Doctrine is still an adequate basis for 
American policy in dealing with those cowntries? 

A. I don't say that it is an adequate measure. 
We have always said that it only dealt with one 
aspect of the problem. Certainly it is important 
and significant with respect to that aspect of the 
problem. We said at the time there are many 
other important aspects of the Middle East prob- 
lem — the relationship between Israel and the 
Arab States and matters of that sort — and we do 
not think that the so-called Eisenhower Doctrine 
is a cure-all for everything in the area. There- 
fore, it does not purport to be, never purported 
to be, an adequate cure-all for the troubles of the 
area. 

Q. Mr. Secretary, Pd like to ask one more 
question on the Middle East relating to the other 
two ansioers again. As of today, how high do you 
rate the danger or the threat of an outbreak of war 
in the Middle East? 

A. I believe that the eyes of the world are suffi- 
ciently focused on what's going on there so that it 
is unlikely that there will be an outbreak of war. 
I think that is one of the great advantages of the 
United Nations, the fact that it is in session, that 
it is a means of assuring that there will be the 
eyes of the world focusing on the area, a quick 
knowledge of what takes place. I believe in that 
resjiect there is a great measure of insurance. 

Q. Mr. Secretary, this does Twt, however, 
change your previous observation, I take it, that 
we must be on guard against the possibility of an 
attack by Syria and the Soviet Union against 
Turkey? 

A. I think certainly we must be on guard, yes. 

Q. Thank you, sir. 



714 



Department of State Bulletin 



Faith in the I titer- American Partnership 



Following are the texts of remarhs made hy 
President Eisenhower on October 16 and hy Secre- 
t-ary Dulles on October 18 before the 13th annual 
meeting of the Inter- American Press Association 
at Washington, D.C. 



REMARKS BY PRESIDENT EISENHOWER 

White House press release dated October 16 

It is a gi-eat opportunity to speak for just a 
moment on the great and constructive work in 
which you people are engaged and which I be- 
lieve can be even expanded and made more fruit- 
ful and effective. 

You carry to the peoples of all the Americas 
n&vrs of tlie world. You jjarticularly cany to 
them news of all the Americas, of our efforts to 
work together, in the field in whicli you are en- 
gaged, m economic and political mattere tliat will 
redound to the benefit of all of us, including the 
raising of living standards in all our countries, 
not in merely a few. 

I think that the work of carrying that mfomia- 
tion is one of the most important parts of a suc- 
cessful campaign for increasing the cooperative 
efforts we make in all fields. To know, to realize, 
to appreciate, on the part of all our peoples — that 
is the necessai-y ingredient to success in the other 
efforts tliat I have so briefly mentioned. 

One phase of the work you do, I think, could 
be well emphasized — ^and I am not talking to oth- 
er's, I am talking to ourselves — and that is this: 
A problem arises — be it in negotiation about fish- 
ing, about a mineral, economic matters, about a 
political situation, whatever it may be — all of us 
are very apt to preach and teach and inform con- 
cerning our own side, not of the other. 

If people are to be true partners, if nations are 
to make partnerships a real success, we must be 
careful to represent to the best of our ability both 



sides of an argument, because in so doing we re- 
move bitterness. We may be disappointed that 
our friend does not see with the same clarity that 
we think we see the particidar elements of a prob- 
lem, but, if we are careful to explain both sides, 
we will always settle them in a spirit of concilia- 
tion and in partnership and not of contestants in 
a lawsuit or any other kind of contest. 

And the more we can do that, the full informa- 
tion of what the particular problem means to both 
sides, by that measure we will advance down the 
true road of partnership. We do know that in the 
partnership of all the Americas rises a mighty 
force for the freedom, the security of the world. 
And that is what we must all achieve. 

And now, my friends, already having made 
more of a speech than I intended, I do say it is 
a great honor for our Capital to have you here. 
We hope that your meeting wUl not only be fruit- 
ful and instructive for all of you and beneficial to 
the comitries that each of you represent, but that 
while here each of you will have an enjoyable and 
fine time. 

Welcome to Washington ! 



REMARKS BY SECRETARY DULLES 

Press release 584 dated October 18 

The first rule of public life, I am told, is to do 
what you're told, particularly by the press. I am 
very happy indeed to be able to find time in a 
pretty busy day to be with this group which 
is concerned particularly with inter-American 
affairs. 

I have a very great and abiding faith in the 
inter-American relationship as being something 
that contributes, perhaps more than anything else, 
to the development and advancement of inter- 
national law and order in the world. I often 
have recalled an opening sentence in The Feder- 
alist papers which says, in effect, it seems to have 



November 4, 1957 



715 



been reserved to the American people to demon- 
strate by their conduct and example the ability to 
develop free societies in the world. Now I sus- 
pect that that word "American" as used in The 
Federalist papers was designed at that time to 
comprehend what we call now the United States 
of America, but it is true in the broader sense 
that it does seem to have been reserved to the 
American peoples, to the American Republics, to 
demonstrate the capacity to organize an interna- 
tional society of justice, law, and order. And I 
have often, as I have visited in Europe and Asia, 
talking to groups such as NATO and SEATO 
and the like, given the example of the Organiza- 
tion of American States as one which demon- 
strates better than has been demonstrated in any 
other way in all history how nations can work to- 
gether to establish security, order, and justice as 
between themselves. 

The Organization of American States is the 
greatest advance that the society of nations has 
made. And its organisms, its arrangements for 
the settlement of disputes between members, go 
far beyond anything that is contained either in 
the United Nations or in the North Atlantic 
Treaty or the Southeast Asia Security Treaty or- 
ganizations. I think we can all take pride in the 
fact that it is the American Republics which are 
taking this forward step which is an example to 
all the world, and I can assure you, ladies and 
gentlemen, that it is an example which has been 
brought to the attention of the rest of the world, 
because I have seen to it myself that it is so 
brought to tlieir attention as an example that they 
ought to follow. 

Availability of Capital 

Now I Imow, to touch on another aspect of our 
relations, that the sister republics are greatly in- 
terested in trade relations and in the availability 
of capital for economic development and not 
merely with political arrangements, as between us. 
I can assure you that that is a matter which con- 
cerns the United States also, although it is dif- 
ferent from the political in that political relations 
between the United States and other countries 
are primarily a matter for government, whereas 
trade and the flow of capital in the United States 
is primarily a matter not for government but for 
the private traders and the investment bankers 
and those who control private capital. And it is 



therefore a fact that the United States Govern- 
ment cannot, as such, move perhaps as rapidly 
as some of our sister republics would like in the 
field of trade and in the flow of capital. Under 
our form of society this is normally not a govern- 
mental matter, and the government operates in 
this field under our society only in exceptional 
and marginal cases. It is the exception rather 
than the rule when government, our Government 
of the United States of America, operates in these 
fields. 

Now that does not mean there is not a great de- 
velopment in both of these fields, because there is. 
Trade between the United States and the other 
American Republics has been growing steadily, 
rapidly, both in volume and in diversification. 
That trade amounts now to about one- fourth of 
all of the trade that the United States has with 
the rest of the world. 

Attracting Private Investment 

Tliere is a large flow of private capital to our 
sister republics, particularly where the climate 
is such as to make that flow attractive. And I 
think that it must be recognized that the trade re- 
lations and capital relations which we of North 
America have with countries to the south is and 
must continue to be primarily a matter for private 
enterprise, and you cannot look to and expect gov- 
ernment to deal with these matters to the same 
extent that you do — and properly — look to gov- 
ernments to deal with political aspects of our re- 
lations, which are confined to the government 
itself. 

We do have, for example, the Export-Import 
Bank, which represents government funds and 
which has been increasingly active in its relations 
with the other American Republics. But, even 
so, I would emphasize that that should not be 
looked upon as a primary source for the develop- 
ment of the republics to the south of us. The cap- 
ital available to the Export-Import Bank is only 
a very small fraction of the total available cap- 
ital of the United States, and that vast reservoir 
of capital is private and must be attracted by in- 
vestment conditions which are attractive to those 
who own that capital. I am glad to say that that 
attraction is occurring and that very large 
amounts of private capital are flowing to Latin 
American countries, and that under our system 
of government must be looked upon as the normal 



716 



Deparfmenf of S/afe Bulletin 



way ill which these things develop and wliat 
is done through governmental resources is the ab- 
normal and marginal way. 

Often I see conn)arisons made between the gov- 
ernmental activities of the Soviet Union and the 
governmental activities of the United States, as 
though those were two matters that can be 
equated. There is no equation possible between 
those two, because in the Soviet Union all activ- 
ities, trade and capital, are governmental, 
whereas in the case of the United States it is only 
the exceptional case when those activities are gov- 
ernmental. Now we are adapting ourselves to 
that fact in this hemisphere, and I am confident 
that given a proper climate there will continue to 
be this increase in the trade between our countries 
of the American Republics and also in the flow 
of capital from the United States, as the most 
highly developed country of the group, to the 
countries which are lesser developed and have 
need of capital to bring into play their vast eco- 
nomic potential and resources. 

Those are the only two thoughts that I want to 
leave with you today in the short time that I have 
been able to set aside for this meeting. I merely 
want to say in conclusion that I share the very 
high appreciation already expressed to you by 
President Eisenliower for the work of your asso- 
ciation and of the various agencies and media of 
communications which you, ladies and gentlemen, 
here represent. Sometimes I know you must feel 
that thei-e is a paucity in our press of news about 
the American Republics. I sometimes recall the 
statement that "happy is that nation which has 
no history." I don't suppose we can say, "Happy 
is tlie newspaper man who has no history to re- 
port.'' I know that wars, rumors of wars, often 
provide material which is interesting for readers 
of newspapere and which perhaps does sell news- 
papers and that there is a dearth of that, perhaps, 
as between the American Republics. As I say, 
that may not be grist to the mill of the news asso- 
ciations, but, after all, we can a:nd should take 



deep satisfaction over the fact that this hemisphere 
has been effectively free from the ravages of war. 
For a great many years we have escaped almost 
unscatlied from the Firet World War and from 
the Second War. There have been no great inter- 
iieciine wars between ourselves such as have 
plagued Europe for so long. That fact, which 
perhaps accounts for the fact that the news from 
the American Republics does not appear as much 
in our press as some would like, must be accepted 
with gratification over the fact that the relations 
between us are so good, that peace and order are 
so stable, that we do not provide sensational news. 
That, I say, is perhaps not the thing that sells 
newspapers, but we are all of us citizens and pa- 
triots of our respective countries before we are 
newspaper people and as sucli we must rejoice at 
this happy relationship. 



Letters of Credence 

Thailand 

The newly appointed Ambassador of Thailand, 
Thanat Khoman, presented his credentials to 
President Eisenhower on October 14. For texts 
of the Ambassador's remarks and the President's 
reply, see Dei^artment of State press release 573. 

Honduras 

The newly appointed Ambassador of Honduras, 
Tiburcio Carias Castillo, presented his credentials 
to President Eisenhower on October 15. For 
texts of the Ambassador's remarks and the Presi- 
dent's reply, see Department of State press re- 
lease 576. 

Malaya 

The newly appointed Ambassador of the Fed- 
eration of Malaya, Dr. Ismail bin Dato' Abdul 
Rahman, presented his credentials to President 
Eisenhower on October 15. For texts of the Am- 
bassador's remarks and the President's reply, see 
Department of State press release 575. 



November 4, 7957 

444973—57 3 



717 



The Historic Relationship of Canada and the United States 



iy Wilher M. Brucker 
Secretary of the Army ^ 



Here, close to the magnificent spectacle of the 
Niagara's mighty cataracts, we are movingly re- 
minded that man's mnndane need for tlie material 
things of life is matched by his spiritual need for 
uplifting beauty. It is the unique character of the 
Niagara Falls Remedial Works, which we dedi- 
cate today, that they are an instrument for the 
fulfillment of both these needs. They will make 
possible the most efficient use of the tremendous 
power of the Niagara River to turn the wheels 
of progress on both sides of the border and thereby 
to enhance the material well-being of our two peo- 
ples. At the same time they will help to preserve 
for future generations one of the world's most 
inspiring examples of God's handiwork in nature. 

The drop of the Niagara River has been utilized 
for tlie production of power for over a century. 
The first diversion of water for this purpose, dat- 
ing back to 1853, was on the American side. The 
early mills it served used mechanical power, but 
in 1881 generators were installed and the elec- 
tricity manufactured ran a few local factories and 
lighted the village of Niagara Falls, New York. 
Twelve years later the first Canadian plant was 
constructed to supply power for an electric rail- 
way connecting Lakes Erie and Ontario. 

From these small beginnings has grown a power 
complex of seven hydroelectric plants — two on the 
American side and five on the Canadian — with a 
total installed capacity of over 2 million kilowatts. 
Although the bulk of the present generating 
capacity is in Canada, the way has recently been 
cleared by congressional action to make possible 
maximum use by the United States of its full share 
of the flow of the Niagara, as apportioned by in- 



ternational agreement. The New York Power 
Authority hopes to break ground veiy shortly for 
another American plant, which will make avail- 
able approximately 2 million additional kilowatts. 

Preserving the Beauty of Niagara 

Many thoughtful people both in Canada and 
the United States have long been troubled by the 
fact that increasing withdrawal of water above 
the falls to produce more and more power to meet 
the inexorable demands of our modern industrial 
civilization would result in reducing the flow over 
the cataracts to such an extent that their beauty 
might eventually be destroyed. Studies of the 
problem conducted by the International Niagara 
Board, established by the Canadian and American 
Governments, led to the signing of the treaty of 
1950,- which provides that no diversion of water 
for power shall be made which reduces the flow 
over tlie falls below certain stipulated volumes. 
The wording of tliis treaty makes it clear that our 
two Governments recognize that it is their primary 
obligation to insure that this great scenic heritage 
of our peoples shall never be sacrificed. At the 
same time the treaty provides for the fullest prac- 
ticable development of one of the North Ameri- 
can Continent's best remaining resources of vital 
water power. 

Engineering studies showed that, if the manifest 
intent of the treaty were to be achieved, extensive 
remedial works supplementing the submerged weir 
constructed at this point during World War II 
were essential. Without such works optimum use 
of the waters of the Niagara River for the pro- 
duction of power now and in the future was in- 



' Remarks made at the dedication ceremonies at the 
Niagara Falls Remedial Works, Niagara Falls, Ontario, 
on Sept. 28. 



' Treaty relating to uses of waters of the Niagara Elver 
(Treaties and Other International Acts Series 2130). 



718 



Department of State Bulletin 



compatible with the maintenance of the prescribed 
flow and the preservation of the beauty of the falls 
and river. It would also tend to lower to an un- 
acceptable degree the level of Lake Erie. Fur- 
thermore, it was determined that the time had 
come when positive action was imperative to mini- 
mize the elfects of erosion, which have caused 
grave concern for many years. Since Father 
Hennepin first beheld Niagara in 1678 and, over- 
whelmed by its magnificence, wrote that "the 
Universe does not afford its parallel," the rim of 
the Horseshoe Falls has been worn back more 
than a fifth of a mile. One of the major purposes 
in yiew in the design of these works was to retard 
the remorseless progress of this deterioration. 

This construction project involved extremely 
complex and hazardous operations and the over- 
coming of monumental obstacles by sheer engi- 
neering genius in coping with the might of the 
Niagara River. Extensive soundings had to be 
made by means of helicopters and captive balloons. 
It was necessary to build two exact hydraulic 
models of the cascades, cataracts, and other por- 
tions of the river — one at Islington, Ontario, and 
the other at Vicksburg, Mississippi — in order to 
develop by exhaustive tests the most practical and 
effective remedial works. Cofferdams had to be 
erected to lay bare the river bed where the velocity 
of the turbulent current approached 12 feet per 
second. A total of more than 88,000 cubic yards 
of solid rock had to be excavated from the bottom 
of the river on the flanks of the Horseshoe Falls 
to spread and equalize the flow, and retaining 
walls and crestline fills had to be built at these 
points. Finally, the ingenious Grass Island Pool 
control structure with its 13 gated sluices, which 
extends 1,550 feet out from this shore and makes 
possible pi'ecise management of the current's direc- 
tion and flow, had to be constructed. 

As a result of this great engineering feat, the 
beauty and majesty of the river and of the Horse- 
shoe and American Falls will be preserved and 
enhanced. Erosion will be effectively reduced dur- 
ing the years to come, and an adequate, uniform 
curtain of water over the falls will be insured 
at all times despite greatly increased development 
of Niagara's power potential. In addition, in- 
creasing diversion of water will have no adverse 
effect upon the level of Lake Erie. 

The successful completion of this extremely dif- 
ficult and important task reflects enormous credit 



upon the International Joint Commission, which 
has directed the project from the very beginning, 
and upon the construction agencies — the Hydro- 
electric Power Commission of Ontario and, I am 
proud to say, the Corps of Engineers of the 
United States Army. I think it is particularly 
noteworthy that the job was done for $4 million 
less than the original estimate of $17 million ! 
The entire cost — shared equally by the United 
States and Canada — will eventually be repaid out 
of the proceeds from power generated. 

What has been accomplished here at Niagara 
Falls is one more impressive example of the won- 
ders man has wrought through the application of 
liis engineering skill and genius in altering the 
physical world to fit the pattern of his expanding 
requirements. He has turned dry and barren 
lands into verdant gardens to provide sustenance 
for millions. He has carved canals from river 
to river and ocean to ocean to speed his commerce. 
He has moved mountains to accommodate his 
highways and railroads. He has haniessed great 
rivers, changed their courses to suit his conven- 
ience, curbed their floods, and set them to the 
task of powering his industry. He has tamed the 
frozen north and conquered the steaming jungle. 
He has drained morasses and pushed back the 
shores of the sea to extend the bounds of his habit- 
able domain. In every sphere man has success- 
fully employed his brilliant talent for physical 
engineering to reshape nature for the greater 
material fulfillment of his desire for a better life. 

Need for Progress in Human Engineering 

How great is the world's need for comparable 
progress in the vital field of human engineering ! 
The most pressing task of our troubled age is the 
reshaping of human relationships to achieve in- 
ternational stability based upon truth, honor, and 
friendship, and thus to pave the way for the 
ultimate attainment of mankind's loftiest goals. 
"VVliat outlet for man's genius could possibly be 
more rewarding than tapping the boundless re- 
sources of the human spirit and developing to the 
full the tremendous power potential of ideals? 

As man has triumphed over his physical en- 
vironment, so must the peoples of the world tri- 
imiph over the moral environment of falsehood, 
fear, envy, hate, and arrogance which exists in so 
many areas of the earth. It is not enough for a 
nation to affirm its belief in liberty, justice, and 



November 4, 1957 



719 



decency. It must make it clearly evident that its 
beliefs constitute the motivatmg force behind 
every element of its everyday conduct and join 
with other nations of like mind to set the pace 
for the world. Upon the patience, spirit of 
sacrifice, and wholehearted cooperative action 
by the nations truly dedicated to the task of 
fasliioning a better world rests the hope of man- 
kind. 

If nations frequently engage in mutual under- 
takings, if they frequently unite their sincerest 
efforts to work out solutions for their common 
problems and have frequent and untrammeled 
contacts in all fields of common concern, the most 
unyielding barriers to understanding and genuine 
peace are in time eroded away. In the final 
analysis the most significant and durable values 
of international organizations such as NATO and 
SEATO— the Southeast Asia Treaty Organiza- 
tion — do not lie in the physical security against 
the threat of aggression provided by their collec- 
tive military strength but rather in the far-reach- 
ing benefits to be derived by the member nations 
through working closely together in the fellow- 
ship of their common interests and developing 
that mutual confidence which is the only firm 
foundation for true peace. 

When we consider the vicious stratagems which 
have been employed consistently by the Soviets 
for decades to advance their evil purposes, the 
importance of developing mutual confidence to 
the utmost among the peoples of the free world 
becomes strikingly evident. The Communist con- 
spiracy seeks to exploit by every means the 
slightest diffei'ence between nations. It cunningly 
attempts to inflate the smallest misunderstanding 
to the proportions of a major conflict of interest. 
It tries with all its might to drive wedges of dis- 
cord between friendly countries and breach the 
free world's ramparts. It employs false propa- 
ganda and terroristic threats to discourage and 
intimidate weaker nations in an effort to impair 
the free world's solidarity. The only defense 
against the Soviet conspiracy is the creation of 
mutual understanding and mutual confidence 
strong enough to withstand any attack. 

Canadian-American Soiidarity 

The historic relationship of Canada and the 
United States furnishes a shining example for all 
mankind. The fruitfulness of Canadian-Ameri- 

720 



can solidarity is nowhere more evident than in 
the management of the water resources to which 
we both have access and upon which we both 
depend for continuing and increasing prosperity. 
We know that narrow straits and inland water- 
ways througliout tlie world have been the causes 
and scenes of countless bitter conflicts because of 
their decisive importance to the destiny of nations. 

How different is the picture here! For 140 
years, since the Rush-Bagot treaty of 1817, de- 
velopment of the vital straits between the Great 
Lakes has been successfully carried on as a co- 
operative undertaking. The International Joint 
Commission was established in 1909 to deal in 
neighborly fashion with problems which might 
arise along the more than 5,000 miles of our 
common boundary. Its accomplishment here at 
Niagara Falls typically reflects the genius of 
Canadians and Americans for tiie effective con- 
duct of mutual enterprises. The St. Lawrence 
Seaway, under construction 300 miles to the east, 
is another splendid illustration of that genius. 

Our unity in continental defense is not only a 
major key to the security of both our nations in 
this age of deadly peril but is a shining example 
to the world. The Alaska Highway, the Haines- 
Fairbanks pipeline, the Distant Early Warning, 
Mid-Continent, and Pinetree lines, cooperative 
military training and maneuvers, and the integra- 
tion of operational control for continental air 
defense which was announced only last month ^ 
are all manifestations of the trust and confidence 
we repose in each other, which have been nurtured 
by constant friendly association and long expe- 
rience in working together in many spheres of 
endeavor. 

Wliat a vivid contrast there is between the 
community of ideals, interests, and effort which 
binds together our two sovereign nations and the 
suspicion, dissension, and conflict which are so 
prevalent in some parts of the world today ! 
Wliat a lesson for all peoples seeking the road 
to real peace ! 

These Niagara Falls Remedial Works which 
we are dedicating today constitute a monument 
to the vision and faith of many distinguished 
citizens of both our nations and to the vigorous 
neighborly spirit which has contributed so 
mightily to the strength of Canada and the United 
States alike. I am confident that through the 



" Bulletin of Aug. 19, 1957, p. 306. 

Department of Slate Bulletin 



years to come we will continue to approach all 
our problems with this same vision, faith, and 
spirit, and go on reaping the bomitiful rewards 
of friendship, understanding, and united effort. 



U.S.-Canada Joint Commission 
Completes Executive Meetings 

Following is the text of an announcement re- 
leased simultaneously at Ottawa and Washing- 
ton on October 7 at the close of the semiannital 
executive meetings of the International Joint 
Commission ( UjS. -Canada) : ^ 

October 4 

Tlie International Joint Commission today com- 
pleted the semi-annual executive meetings, which 
began here last Tuesday. 

The Commission, which was created to imple- 
ment the Boundary Waters Treaty of 1909, con- 
sists of three Coimnissionei's from Canada, and 
three Commissioners from the United States. The 
present Chairmen are General A. G. L. McNaugh- 
ton for Canada and the Honourable Douglas Mc- 
Kay, former Secretary of the Interior of the 
United States and former Governor of the State 
of Oregon, for the United States. Mr. McKay 
was recently appointed to the Commission and 
at the opening session. General McNaughton ad- 
ministered to him the oath of office required by 
the Treaty. The Commission deals with prob- 
lems involving the use and obstruction of waters 
which flow along or across the United States- 
Canadian boundary. 

The Commission issued a Supplementary Or- 
der, which will permit greater flexibility in the 
regulation of the levels of Rainy Lake and the 
Namakan Chain of Lakes within the limits pre- 
scribed in its earlier Order of 8 June 1949. Copies 
of the Order have been filed with the respective 
Govermnents. 

Reports were received from the International 
Saint John River Engineering Board and the In- 
ternational St. Croix River Engineering Board, 
the latter presenting the results of its investiga- 
tions of the water resources of the St. Croix River 
basin, in the Province of New Brunswick and the 



^ For an announcement of a meeting of the Commission 
at Washington in April 1957, see Bulletin of Apr. 29, 
1957, p. 695. 



State of Maine. The Connnission phuis to hold a 
public hearing in the region during the month of 
June 1958. 

Considerable jjrogress was made in reconciling 
the differences of view which have inhibited the 
apportionment of the water of the Souris River 
as between the Provinces of Saskatchewan and 
Manitoba and the State of North Dakota. A 
joint report to the two Governments, recommend- 
ing certain interim measures of apportionment, 
has been drafted and early action thereon is an- 
ticipated. 

The Commission took note of the fact that the 
remedial works for the preservation and enlaance- 
ment of the scenic beauty of Niagara Falls, which 
were recommended by the Commission in 1953, 
have been completed and at a cost of some 
$4,000,000 below the original estimate. The 
Hydro-Electric Power Commission of Ontario 
and the United States Corps of Engineers, who 
constructed the works, and the International Ni- 
agara Board of Control who supervised construc- 
tion, were congratulated upon a job well done. 

The International Lake Ontario Board of En- 
gineers submitted a comprehensive report, of their 
studies relating to the regulation of the levels 
of Lake Ontario. It was decided to forward the 
reports to the two Govermnents and to the In- 
ternational St. Lawrence River Board of Control 
for use in the further studies being carried on 
by that Board. 

Steady progress was reported on the construc- 
tion by Ontario Hydro and New York State 
Power Authority of the works for development 
of power in the International Rapids Section of 
the St. Lawrence River. It is anticipated that 
operation of the works will commence about July 
1, 1958, with regulation of the levels of Lake On- 
tario, the discharge of water from that lake and 
the flow of water through the International Rap- 
ids Section of the St. Lawrence accomplished by 
the control structure located at Iroquois, On- 
tario. 

The Technical Advisory Board on Air Pol- 
lution reported substantial improvement in the 
smoke emission performance of ships plying the 
Detroit river during 1957. The Commission au- 
thorized the continuation of its voluntary control 
progranune for the abatement of vessel smoke on 
the Detroit River. Draft recommendations which 
the Board proposes to incorporate in its final 



November 4, 1957 



721 



report to the Commission were discussed and the 
Commission's plans to conduct public hearings in 
the area after the Board's report has been for- 
mally received. 

The Technical Advisory Board's Report to the 
Commission indicated that steady progress is be- 
ing made by municipalities and industries situated 
on the connecting channels of the Great Lakes 
towards the elimination of pollution of these 
boundary waters. The Commission will hold a 
hearing next February to consider possible solu- 
tions of the problem of pollution discharged from 
ships using these waters. 

The International Columbia River Engineering 
Board presented a progress report to the Commis- 
sion and advised that its final report which is now 
in preparation, will include studies based on three 
alternative plans of development. Tlie Chairman 
of the Canadian Section of the Commission fur- 
nished additional information regarding certain 
components of these plans, which will be studied 
by the Commission and its technical advisers. 

Progress reports received from the Interna- 
tional Passamaquoddy Engineering and Fisheries 
Boards indicated substantial progress in both 
pliase.s of tliis investigation. 



Income-Tax Convention With Austria 
Enters Into Force 

Press release 580 dated October 17 

According to information received by the De- 
pai'tment of State from the American Embassy 
at Vienna, the income-tax convention between the 
United States and Austria was brought into force 
by the exchange of instruments of ratification at 
Vienna on October 10, 1957.^ 

The convention with Austria for the avoidance 
of double taxation with respect to taxes on income 
is effective retroactively beginning January 1, 
1957. 

The provisions of the convention with Austria 
follow, in general, the pattern of income-tax con- 
ventions in force between the United States and 
numerous other countries. It is desigiied to re- 



' S. Exec. A, 85th Cong., 1st sess. ; for an announcement 
of the signing, together with remarks by Secretary Dulles 
and Ambassador Gruber, see Bulletin of Nov. 5, 1956, 
p. 736. 



move an undesirable impediment to international 
trade, investment, and economic development by 
eliminating as far as possible double taxation on 
the same income. It applies, so far as United 
States taxes are concerned, only to the Federal 
income taxes, including surtaxes. It does not ap- 
ply to the imposition or collection of taxes by 
the several States, the District of Columbia, or the 
Territories or possessions of the United States, 
except that it contains a broad national-treatment 
provision similar to a provision customarily found 
in treaties of friendship, commerce, and naviga- 
tion. The Austrian taxes to which the conven- 
tion applies are the income tax, the corporation 
tax, and the housing-reconstruction and family- 
allowance contribution. 



Import Duty on Bicycles 
To Remain Unchanged 

WTilte House press release dated October 11 

The President has concurred with the U.S. 
Tariff Commission's recent finding that no formal 
investigation should be instituted at this time to 
determine whetlier the tariff should be reduced on 
imi^orts of bicycles. The President found, with 
the Tariff' Commission, that there is not sufficient 
reason at this time to reopen the escape-clause 
action which resulted 2 years ago in an increase 
in the duty on imports of bicycles. The Presi- 
dent's decision means that the increased rate of 
duty established in August 1955 ^ as the result of 
escape-clause action will continue to apply with- 
out reduction or other modification. 

The President's action was taken after various 
departments and agencies of the executive branch 
had been consulted. The Tariff Commission's 
study was made pursuant to Executive Order 
10401, which requires periodic review of affirma- 
tive actions taken under the escape clause. This 
was the Tariff' Commission's first such review of 
the 1955 bicycle-tariff increase. The Commission's 
report was submitted to the President on August 
19, 1957.= 



' Bulletin of Sept. 5, 1955, p. 399. 

^ Copies of the report may be obtained from the U.S. 
Tariff Commission, Washington 25, D.C. 



722 



Department of Stale Bulletin 



Foreign Economic Policy and the Trade Agreements Program 



REPORT BY THE OFFICE OF THE PRESIDENT ' 



I. OBJECTIVES OF FOREIGN ECONOMIC 
POLICY 

The broad objective of United States foreign 
economic policy is identical -with that of our gen- 
eral foreign policy and, in fact, of the overall pol- 
icy of the United States Government: to protect 
and advance the national interest, to improve the 
security and well-being of the United States and 
its people. 

This broad objective of our foreign economic 
policy has three major components : 

(a) To Promote the Economic Strength of the 
United States 

This is the traditional objective of foreign eco- 
nomic policy : expanding foreign markets for the 
products of our factories, mines, and farms; in- 
suring ready access to overseas sources of supplies 
needed by our economy ; permitting the Nation to 
take reasonable advantage of the economies which 
flow from specialization in production throughout 
the world; improving conditions for United 
States citizens to invest and do business abroad. 

Foreign trade is one of the most important busi- 
ness activities of the United States. Statistics tell 
an impressive story of the vital role of our inter- 
national commerce. It is estimated, for example, 
that the families of at least 4^/2 million American 
workers, or about 7 percent of our labor force, 
gain their livelihood from foreign trade. A com- 
mensurate share of the profits of American busi- 
ness firms is traceable to foreign-trade activities. 



' Submitted on Sept. 6 for the use of the Subcommittee 
on Foreign Trade Policy of the House Committee on Ways 
and Means; reprinted from Foreign Trade Policy: Com- 
pendium of Papers on United States Foreign Trade Pol- 
icy Collected by the Staff for the Subcommittee on Foreign 
Trade Policy of the Committee on Ways and Means, pp. 
5-14. 



As for exports alone, the value of United States 
goods marketed abroad last year exceeded that of 
all nonfarm home building, or of consumer pur- 
chases of automobiles, or of farmers' gross receipts 
from either crops or livestock. 

Exports comprise about 9 percent of the value 
of our production of movable goods — 8 percent for 
manufactured goods and 11 percent for agricul- 
tural products. For many siiecific commodities, 
the proportions of United States output sold 
abroad run substantially higher than the aver- 
age — for example, according to the latest available 
annual figures in each case, about 19 percent for 
trucks, 40 percent for tracklaying tractors, 11 per- 
cent for machine tools, 26 percent for construction 
and mining equipment, 14 percent for coal, and 
between 25 and 40 percent for cotton, wheat, rice, 
fats and oils, and tobacco. The vital importance 
of exports in such cases is beyond dispute; and 
even among those manufacturing Industries with 
below-average ratios, the great majority depend 
upon foreign markets for at least some significant 
share of their sales, profits, and jobs. 

It should be noted that the available ratios for 
many specific commodities seriously imderstate 
the true importance of export markets for their 
producers, since they cover only exports of an 
industry's products in the form in which they 
leave that country. Much of an industry's out- 
put may be exported only in some other form after 
further processing by other industries, or, even 
though not physically exported, may be utilized 
by other industries in production for export. 
This is particularly true of such primary manu- 
facturing industries as iron and steel or nonfer- 
rous metals. 

Through foreign trade the United States ob- 
tains from abroad a wide range of goods which 
are not otherwise available here at all or not in 



November 4, 1957 



723 



adequate quantities for industrial needs or con- 
sumer demand. Many of these imports are vital 
to keep factory wheels turning and assembly lines 
moving. We obtain from foreign sources about 
one-sixth of our crude petroleum, almost one- 
fourth of our iron ore, one-third of our copper and 
rubber, over one-half of our raw wool, and the 
great bulk of our supplies of tin, nickel, and 
newsprint. Most of our supplies of various fer- 
roalloying ores and metals come from abroad as 
do industrial diamonds, mica, and asbestos. 

Altogether, about one-fifth of the crude and 
semimanufactured goods imported by tlie United 
States in 1956 were officially classified as strategic 
materials for stockpiling purposes, and another 
one-fifth consisted of materials (otlier than those 
in the stockpile grouj:)) obtainable wholly or al- 
most exclusively from foreign soui'ces. Many 
other raw material imports also represent higli 
proportions of United States requirements, and 
still otliers supplement predominantly domestic 
supplies to an important degree. 

Imports of foods and manufactured goods bulk 
smaller in the total than those of industrial mate- 
rials. Nevertheless, every American household 
enjoys the variety contributed to our established 
consumption pattern by imports both of foreign 
foodstuffs and manufactured consumer goods. 

(b) To Promote the Economic Strength of the Rest 
of the Free World 

This objective has become of major importance 
within the past decade. We recognize, first of all, 
that a prosperous world brings economic advan- 
tages to our own country. Furthermore, foreign 
economic growth is necessary for the establish- 
ment and maintenance of stable, peaceful, and 
friendly societies abroad. Economic stagnation 
is a source of uni'est which can threaten political 
stability and, eventually, the peace of the world 
we are so earnestly seeking to make durable and 
just. The moderate leadership groups which are 
in power in most of the less developed countries 
are under tremendous pressui-e to sj^eed millions 
of their countrymen into the 20th century. Fail- 
ure of these leaders to achieve reasonable eco- 
nomic progress would result in these governments 
being replaced by others more extreme, more 
likely to be totalitarian, either of Communist or 
indigenous origin, and more likely to resort to 
violence as a means of achieving their objectives. 



Economic strength abroad also is a prerequisite 
to the building of solid military forces with 
which to deter potential Commmiist subversion or 
aggression. 

(c) To Build and Maintain Cohesion in the Free 
World 

Our present foreign policy is built upon a web 
of relations among virtually all of tlie free na- 
tions. Through the North Atlantic Treaty Or- 
ganization and the Baghdad Pact, through the 
Organization of American States, through a va- 
riety of other organizations and treaties, we have 
undertaken to work with friendly countries in 
building our common strength and in defending 
ourselves against Communist aggression. 

Tliese ties have not been and could not be purely 
political or military. Without adequate economic 
support they would be weak and unreliable. Mod- 
ern power depends upon the basic economic 
strength of the nations involved. This in turn de- 
pends upon the efficient use of domestic and for- 
eign resources, and is reduced when each nation 
tries to build on its own resources alone. 

Moreover, economic disputes can weaken or de- 
stroy political and military alliances. For most 
countries, it is vital to have easy access to foreign 
markets and foreign sources of basic materials 
and capital. The jobs and well-being of their 
people depend on it. Most of our allies are par- 
ticularly sensitive to this because they depend 
much more on foreign trade than does the United 
States. 

Countries of the free world are muler external 
and internal pressure to aline themselves with the 
Communist bloc or at least to become neutral in 
the great power struggle between communism and 
the way of life represented by the democracies. 
To oppose this pressure the United States has used 
its economic resources and political leadership. 

The most difficult problems are posed in the de- 
veloping countries, particularly those in Asia and 
Africa. Between our counti-y and those countries 
today are vast differences in culture, language, and 
social tradition as well as economic attainment. 
Mutual confidence must be established. This can- 
not be acliieved by words alone. 

By working together with the free-world coun- 
tries for their and our economic advancement and 
for the building of a durable and just interna- 
tional economic order, we can do much to achieve 



724 



Departmenf of Sfafe Bulletin 



our broad aspirations as a nation. We can dem- 
onstrate the community of interest of the peoples 
of the free world. We can encourage the growth 
of the idea of democratic and limited government 
and the basic values on which this rests. 



II. THE ROLE OF ECONOMIC POLICIES 

To achieve these objectives the United States 
Government has followed three basic economic 
policies: the expansion of trade, in both goods 
and services, through the gradual and reciprocal 
reduction of unjustifiable governmental and pri- 
vate barriere; the promotion of private invest- 
ment; and the provision of mutual assistance. 
These policies and their roles are discussed below. 

These three policy subjects, however, do not be- 
gin to exhaust the immense range of economic 
matters that are dealt with in our international 
relations. There is the complex and difficult field 
of aviation policy. There are problems of ship- 
ping, telecommunications, agricultural surplus 
disposal, currency exchange, east-west trade, and 
special problems surrounding key commodities 
such as petroleum, cotton, wheat, and rubber. 
Our participation in United Nations economic 
programs is a subject in itself. Foreign policy 
today is pervaded by economics, and in all these 
activities the Government seeks closer cooperation 
with other peoples to the mutual advantage of 
them and us. 

These various components of foreign economic 
policy are inextricably interrelated. Actions 
taken with respect to one have a bearing on one or 
several other components. None can be treated in 
isolation. They form an integrated whole. 

(a) Expansion of Trade 

The trade and financial policies of the United 
States Government are designed to help to achieve 
all three basic objectives of foreign economic pol- 
icy; to increase the economic strength of the 
United States, to increase the strength of other 
countries and to promote the unity of the free 
world. To the fullest practicable degree they call 
for the gradual and reciprocal reduction of un- 
justifiable public and private barriers to trade and 
payments. 

Government restrictions have in the past throt- 
tled mutually profitable world commerce to the 



detriment of the United States and of every other 
nation. To remove unjustifiable barriers and to 
promote the productive interchange of goods and 
services is a major task of United States policy. 

This task is undertaken primarily through the 
trade agreements program including the General 
Agreement on Tariffs and Trade (GATT) and 
through the International Monetary Fund 
(IMF). Through the trade agreements program 
we seek the gradual, selective, and reciprocal re- 
duction of tariifs and the elimination of quantita- 
tive restrictions on imports and of other govern- 
niental barriers to trade. Through the fund, we 
seek the promotion of a sound financial basis for 
the development of international economic rela- 
tions, including the maintenance of equitable, sta- 
ble exchange rates, the provision of short-term 
financial resources to countries short of foreign 
exchange, and the elimination of governmental re- 
strictions on international payments. Experience 
through the years has demonstrated clearly the 
superiority of multilateral discussions and nego- 
tiations over bilaterals in achieving the objectives 
of United States policy in these fields. 

By i-emoving or reducing barriers to foreign 
trade, the United States contributes materially to 
its own economic advancement and, simultane- 
ously, to that of other countries. Wlien foreign 
nations reciprocate in tariff reduction, as they 
must do, and remove restrictions on international 
payments, the stimulus to our and their economies 
is increased. 

The United States over the years has taken the 
lead in this program. We have undertaken this 
task not only because our foreign commerce is 
greater than that of any other country, but also be- 
cause of our basic philosophical attitude toward 
the role of government in economic life. The 
general philosophy underlying the GATT and the 
IMF is a practical application of the emphasis in 
our political thought on the importance of limit- 
inc the role of government in economic life and 
expanding, the opportunities for individual 
choice, initiative, and experimentation. 

GATT and the IMF are important forums for 
considering differences which now frequently 
arise between friendly nations in the area of trade 
and payments. These differences are lai-gely cre- 
ated as governments, attempting to protect the in- 
dustrial, agricultural, or financial resources of 
their countries, adopt measures which come in 



November 4, J 957 



725 



conflict with the objectives of other nations. 
Finally, there are United States Government 
policies designed to reduce or eliminate abroad 
nongovernmental barriers to trade, that is, private 
restrictive business arrangements, and to encour- 
age free competitive enterprise. Policies in these 
fields are designed to aid American businessmen 
to operate more freely in foreign commerce and 
to strengthen the economies of the free world 
countries. 

(b) Private Foreign Investment 

In the interest of United States economic 
growth — the development of foreign markets and 
sources of supply — and in the interest of assisting 
foreign economic growth, the United States has 
encouraged the outflow of private capital. Pri- 
vate investment not only provides financing but it 
also takes with it the managerial, entrepreneurial 
and technical talents which are essential for suc- 
cessful enterprise but are seriously lacking in the 
less developed countries. 

Some of the measures employed, such as treaties 
of friendship, commerce, and navigation, are de- 
signed to improve the investment climate abroad. 
Others, such as loans to business from the Inter- 
national Finance Corporation and the Export- 
Import Bank, and the removal of tax impedi- 
ments, offer a direct stimulus to United States 
private capital to go abroad. 

As the less developed countries achieve a sub- 
stantial degree of economic growth and as they 
achieve a greater degree of trust in us and confi- 
dence in themselves, the opportunities for private 
capital will grow. The opportunities are already 
large in much of Latin America. In the long run, 
private capital can reduce the demands on the 
United States Government for financial assist- 
ance to foreign countries. 

Cc) Foreign Economic and Technical Assistance 

The Marshall plan, the United States economic 
assistance programs for the underdeveloped coun- 
tries of the free world, the technical cooperation 
programs, the Export-Import Bank, and the In- 
ternational Bank for Keconstruction and Develop- 
ment have been major factors in the gi'owth of 
both economic strength and a sense of community 
in the free world. 

The success of the Marshall plan in Western 
Euroi3e was striking. Economic output quickly 



reached and exceeded prewar levels. Economic 
nationalism, which in the prewar and immediate 
postwar periods dominated European govern- 
mental policy, has had serious setbacks. Quanti- 
tative restrictions upon European trade have been 
substantially reduced. Limitations on the use of 
the major European currencies, particularly in 
the nondollar world, have been virtually elimi- 
nated. United States economic aid there, of course, 
has ceased. 

The problems of the less developed countries are 
much more difficult than those of Western Europe. 
Many of the former are already overpopulated in 
relation to tlieir low levels of production. More- 
over, tlie populations are growing rapidly as death 
rates fall sharply with the introduction of low- 
cost health measures. Capital is lacking and do- 
mestic savings are low. The labor force needs to 
acquire the basic skills required for a modern econ- 
omy; tliese requirements vary from learning to 
read simple instructions to the strengthening of 
high-level manpower resources, especially mana- 
gerial, supervisory, technical, and scientific tal- 
ents. A business or entrejsreneurial class must be 
created or enlarged. In general, basic changes in 
attitudes and institutions are necessary. Many of 
these problems can only be resolved slowly and 
require long-term and persistent measures for 
their solution. 



III. THE TRADE AGREEMENTS PROGRAM 

Modern United States trade policy has its roots 
in the Trade Agreements Act of 1934. Our trade 
policy rests on the doctrine of reducing unjusti- 
fiable Government interference to allow interna- 
tional trade to expand in response to market forces. 
Foreign trade allows nations to take advantage of 
the specialization of production which is the dis- 
tinguishing feature of modern economic life. It 
is the international counterpart of the domestic 
specialization of function which has been one of 
the foundations of United States national strength, 1 

As discussed above, foreign trade is of great I 
importance to the American people both as con- ji 
sumers and producers. Tlie world's largest eco- ■ 
nomic power, tlie United States, is also the world's i 
largest foreign trader. We have a large stake in j 
a healthy, expanding international trade. 

As important as foreign trade is to United 
States employment, production, and consumption, 



726 



Department of Sfafe Bulletin 



it is of even gi'eater importance to most of the 
nations of the free world which cannot match the 
size and diversity of United States natural and 
human resources. For the major industrial coun- 
tries such as the United Kingdom, West Germany, 
and France, the ratio of exports to gi'oss national 
production is 3 to 4 times as great as for the United 
States. For smaller advanced nations, such as 
Belgium, the Netherlands, Sweden, and Switzer- 
land, it is 5 to 9 times as great. For many of the 
underdeveloped countries, exports are the single 
largest component of the market part of their 
economy. 

In fact, trade with the United States alone is 
of significant proportions for many countries. 
Over two-thirds of total exports of Colombia, 
Mexico, and Cuba go to the United States. For 
Canada the ratio amounts to 60 percent, while 
for Brazil and the Philippines it is at least 50 
percent. 

For many particular commodities the United 
States is the dominant market. For example, 
Chile sends two-thirds of her total copper produc- 
tion to the United States; Cuba sells us half of 
her sugar; Indonesia sells one-quarter of her rub- 
ber; Bolivia, one-third of her tin; Brazil, over 
one-half of her coffee production. 

Even western European countries with rela- 
tively large markets on the Continent depend to 
an important extent on exports to the United 
States. Specific industries depend heavily upon 
the American market. For example, Switzerland 
exports to the United States over half of her total 
production of Emmenthaler and Gruyere cheese 
and over one-third of her production of watches 
and watch movements; United Kingdom sends 
about one-third of her total production of Scotch 
whisky to America; Portugal exports about 40 
percent of her cork production to this country. 

These facts suggest the extent to which the 
United States has come to occupy a dominant role 
in critical segments of the economies of many for- 
eign countries. A decline in sales to the United 
States fundamentally affects income and savings 
abroad. The availability and growth of the 
American market is of vital importance to them. 

The trade agreements program is designed to 
contribute to the development of mutually bene- 
ficial international trade. In so doing it plays an 
important role in the achievement of our foreign 
economic policy objectives. Experience with the 



program since 1934 demonstrates this conclusively. 
The executive branch strongly favors continua- 
tion of the trade agreements program including 
the extension of the Trade Agreements Act. The 
life of the progi-am should be extended by the 
Congress for a sufficient period to provide the 
essential stability to the program and adequate 
authority to vouchsafe and expand the gains that 
have been made in world trade. 

The trade agreements progi-am is designed to 
be realistic and practical. It is recognized that 
abrupt lowering of barriers to trade can create 
serious problems in our own as well as foreign 
economies. Some United States industries are 
particularly sensitive to import competition. A 
sudden increase in imports may have relatively 
important effects on their output, profits, and em- 
ployment. The fact that these industries tend 
to be localized in particular areas of the country 
increases the magnitude and seriousness of the 
problem. Thus, the policy of the United States 
Government has been one of gradual and selective 
tariff reduction, one which gives public considera- 
tion to each item before any reduction in tariffs 
is made, and which provides opportunity for re- 
consideration when serious injury occurs or is 
threatened. 

The case-by-case approach to tariff reductions 
permits the executive branch to administer the 
program in a way to provide reasonable assurance 
that serious injury will not be threatened any in- 
dustry as a result of a tariff' negotiation. The peril 
point findings of the United States Tariff Com- 
mission, as required by the trade agi'eements legis- 
lation, play an important role to this end. Like- 
wise, provision for reconsideration of a tariff re- 
duction when serious injury does occur or is 
threatened makes possible the use of appropriate 
measures for the removal of such threat or serious 
injury. The executive branch subscribes fully to 
the principles underlying both the peril point and 
the escape-clause provisions of the Trade Agi'ee- 
ments Act. 

The special consideration given in the act to 
protecting essential defense industries has the full 
support of the executive branch. So also do the 
limitations on imports of agricultural products 
as provided for within the trade agreements pro- 
gram, and in the controlling legislation, in those 
instances in which this country has a policy of 
supporting domestic prices and as a result limits 



November 4, J 957 



727 



the production or sale of the domestic products. 

The GATT has been the instrument by which 
35 nations, accounting for 80 percent of world 
trade, have agreed to reduce tariffs and to elimi- 
nate quantitative restrictions and other harmful 
discriminatory practices. It has provided a forum 
where governments can discuss their trade prob- 
lems and submit complaints. In this forum dif- 
ferences of policies can be discussed and discord 
among friendly countries can be reduced. The ef- 
fectiveness of the GATT can be greatly increased 
by establishment of an administrative unit, the 
Organization for Trade Cooperation. The execu- 
tive branch will again urge the Congress to au- 
thorize membership in the OTC. 

The results of the trade agreements program 
have been gratifying in terms of reductions in 
unjustifiable trade barriers, the expansion of world 
trade, the economic growth of the entire free 
world, and the develojiment of closer, friendlier 
international relations. Continuation of this rec- 
ord of achievement depends on the ability of the 
United States to carry on a constructive program. 
This is in our own interest as well as that of the 
entire free world. 

Much has been accomplished but much remains 
to be done. Moreover, there is always the danger 
that if momentum is lost there will be a lapse 
into economic nationalism around the free world. 
This lapse may be confined to individual countries 
or may be expanded to gi'oups of nations which 
would have as a major objective discrimination 
against Ajnerican goods. 

Regional trading plans of all sorts are being 
proposed throughout the world. Whether such 
plans, particularly the European common market 
and free-trade area, will contribute their full po- 
tential to the development of world trade or be- 
come restrictive depends veiy largely on the at- 
titudes and outlook toward trade adopted by the 
member countries. In part, this depends on the 
example the United States sets in its own trade 
policy. 



World Metallurgical Congress 

A PROCLAMATION' 

Whereas the Congress of the United States, by joint 
resolution approved August 31, 1957, has extended its 
oflScial welcome to the overseas metal scientists who will 
attend the Second World Metallurgical Congress to be 
held at Chicago, Illinois, from November 2 to November 8, 
1957, under the sponsorship of the American Society for 
Metals; and 

Whekeas the world's growing demand for metal empha- 
sizes the need for the conservation of our present re- 
sources and for the discovery and development of new 
sources of supply ; and 

Whereas the meeting of the Second World Metallur- 
gical Congress will encourage the free exchange of scien- 
tific information among the metallurgists of the world 
and stimulate the search for minerals and for improved 
techniques in the field of metallurgy ; and 

Whereas the joint resolution requests the President to 
grant recognition to the World Metallurgical Congress 
and to the American Society for Metals for its sponsorship 
of this world gathering of metallurgical scientists, and to 
call upon officials and agencies of the Government to 
assist and cooperate with such congress : 

Now, THEREFORE, I, DwiGHT D. EISENHOWER. President 
of the United States of America, do hereby extend recog- 
nition to the Second World Metallurgical Congress and 
commend the American Society for Metals for initiating 
and sponsoring this meeting. I also extend the welcome 
of this Government to the Congi-ess and to the scientists 
attending its proceedings, and I request that all Federal 
departments and agencies assist and cooperate with the 
Second World Metallurgical Congress as occasion may 
warrant. 

In witness whereof, I have hereunto set my hand and 
caused the Seal of the United States of America to be 
affixed. 

Done at the City of Washington this tenth day of Octo- 
ber in the year of our Lord nineteen hundred 
[seal] and fifty-seven, and of the Independence of the 
United States of America the one hundred and 
eighty-second . 

By the President : 

Christian A. Herter 

Acting Secretary of State 



' No. 3207 ; 22 Fed. Reg. 8133. 



728 



Department of State Bulletin 



INTERNATIONAL ORGANIZATIONS AND CONFERENCES 



Calendar of International Conferences and Meetings ' 



Adjourned During October 1957 

Universal Postal Union: 14th Congress 

7th British Commonwealth Forestry Conference 

International Atomic Energy Agency Preparatory Commission . . 

ICAO Communications Division: 6th Session 

4th FAO/WHO Conference on Nutrition Problems in Latin 

America. 

WMO Executive Committee: 9th Session 

ICEM Executive Committee; 9th Session 

2d Latin American Conference of Rural Youth Leaders 

U.N. ECE Inland Transport Committee: Group of Experts on 

Technical Questions (Rail). 
Consultative Committee on Cooperative Economic Development 

in South and Southeast Asia (Colombo Plan): Preliminary 

Working Group. 
International Council for the Exploration of the Sea: 45th 

Meeting. 

Diplomatic Conference on Maritime Law 

International Atomic Energy Agency: 1st General Conference and 

1st Session. 
ILO Meeting of Experts on Fires and Electricity in Coal Mines . . 

ANZUS Council: 5th Meeting 

lA-ECOSOC: Inter-American Seminar on Rural Electrification 

Cooperatives. 
ICAO Preparatory Meeting on Air Traffic Control Problems in the 

European-Mediterranean Region. 
UNESCO Intergovernmental Copyright Committee: 2d Session . 
U.N. ECE Electric Power Committee (and Related Meetings) . . 

FAO International Fishing Gear Congress 

ICEM Council: 7th Session 

Consultative Committee on Cooperative Economic Development in 

South and Southeast Asia (Colombo Plan): Officials Meeting. 

ILO Iron and Steel Committee: 6th Session 

8th U.N. Technical Assistance Conference 

U.N. ECE/FAO Timber Committee: 15th Session 

U.N. ECAFE Highway Subcommittee: 4th Session 

WMO Commission for Synoptic Meteorology: 1st Session of 

Working Group on Telecommunications. 

GATT Intersessional Committee 

FAO Study Group on Grains: 2d Meeting 

Consultative Committee on Cooperative Economic Development 

in South and Southeast Asia (Colombo Plan): Ministerial 

Meeting. 
UNESCO Meeting of Governmental Experts on Agreement on 

Importation of Educational, Scientific, and Cultural Ma- 
terials. 
International Fisheries Convention 1946: 6th Meeting of the 

Permanent Commission. 
FAO Committee on Commodity Problems: 29th Session .... 
U.N. ECAFE Inland Transport Committee: 4th Session of Inland 

Waterways Subcommittee. 



Ottawa Aug. 14-Oct. 3 

Australia and New Zealand . Aug. 26-Oct. 10 

Vienna Sept. 9-Oct. 1 

Montreal Sept. 10-Oct. 12 

Guatemala City Sept. 23-Oct. 1 

Geneva Sept. 24-Oct. 14 

Geneva Sept. 26-Oct. 12 

San Joa6 Sept. 29-Oct. 12 

Geneva Sept. 30-Oct. 4 

Saigon Sept. 30-Oct. 5 

Bergen, Norway Sept. 30-Oct. 8 

Brussels Sept. 30-Oct. 10 

Vienna Oct. 1-23 

Geneva Oct. 2-18 

Washington Oct. 4 (1 day) 

Recife City, Brazil Oct. 5-11 

Lisbon Oct. 7-18 

Washington Oct. 7-11 

Geneva Oct. 7-12 

Hamburg Oct. 7-12 

Geneva Oct. 7-12 

Saigon Oct. 7-17 

Monterrey, Mexico .... Oct. 7-19 

New York Oct. 10 (1 day) 

Geneva Oct. 14-18 

Bangkok Oct. 14-21 

Paris Oct. 14-26 

Geneva Oct. 16 (1 day) 

Rome Oct. 17-23 

Saigon Oct. 21-24 

Geneva Oct. 21-30 

London Oct. 22-26 

Rome Oct. 24-29 

Jogjakarta Oct. 24-31 



In Session as of October 31, 1957 

U.N. General Assembly: 12th Ses.sion New York Sept. 17- 

GATT Article XXVIII Tariff Negotiations Geneva Oct. 1- 

' Prepared in the Office of International Conferences, Oct. 17, 1957. Asterisks indicate tentative dates. Following is 
a fist of abbreviations: ICAO, International Civil Aviation Organization; FAO, Food and Agriculture Organization; 
WHO, World Health Organization; WMO, World Meteorological Organization; ICEM, Intergovernmental Committee 
for European Migration; U.N., United Nations; ECE, Economic Commission for Europe; ILO, International Labor 
Organization; ANZUS, Australia-New Zealand-United States; lA-ECOSOC, Inter-American Economic and Social 
Council; UNESCO, United Nations Educational, Scientific and Cultural Organization; ECAFE, Economic Commission 
for Asia and the Far East; GATT, General Agreement on Tariffs and Trade; ECOSOC.jEconomic^and Social Council ; 
NATO, North Atlantic Treaty Organization. 



November 4, 1957 



729 



In Session as of October 31, 1957 — Continued 

GATT Balance-of-Payments Consultations Geneva Oct. 7- 

GATT Contracting Parties: 12th Session Geneva Oct. 17- 

South Pacific Commission: 17th Session Noumea Oct. 18- 

ILO Governing Body: 137th Session (and Committees) Geneva Oct. 21- 

U.N. ECE Committee on Development of Trade and East-West Geneva Oct. 21- 

Trade Consultations. 

ICAO Airworthiness Committee: 1st Meeting Montreal Oct. 22- 

19th International Red Cross Conference New Delhi Oct. 24- 

GATT Ministerial Meeting Geneva Oct. 28- 

International North Pacific Fisheries Commission: Committee on Vancouver Oct. 28- 

Biology and Research. 

International Wheat Council: 23d Session London Oct. 30- 

FAO Council: 27th Session Rome Oct. 31- 



Scheduled November 1, 1957-January 31, 1958 



International Union of OiBcial Travel Organizations: Executive Washington Nov. 1- 

Committee. 

U.N. Advisory Committee on Peaceful Uses of Atomic Energy: 7th New York Nov. 1- 

Session. 

FAO Conference: 9th Session Rome Nov. 2- 

International Union of Official Travel Organizations: 12th General Washington Nov. 3- 

Assembly. 

International North Pacific Fisheries Commission: 5th Meeting . . Vancouver Nov. 4- 

Workshop on the Inter-American Rural Education Center .... Rubio, Venezuela Nov. 4- 

U.N. ECAFE Working Party of Senior Geologists on the Prepara- Calcutta Nov. 4- 

tion of a Regional Geological Map for Asia and the Far East: 3d 

Meeting. 

WMO Commission for Bibliography and Publications: 2d Session . Paris Nov. 5- 

Seminar for Development of Agricultural Credit in Latin America . Panamd Nov. 11- 

Caribbean Commission: 7th Session of West Indian Conference . . Curagao Nov. 11- 

U.N. ECAFE Industry and Trade Committee: 3d Session of Sub- Calcutta Nov. 11- 

committee on Minerals Resources. 

4th ILO Asian Regional Conference New Delhi Nov. 13- 

Inter-American Statistical Institute: 5th Session of Committee on Washington Nov. 14- 

Improvement of National Statistics (COINS). 

9th Pacific Science Congress Bangkok Nov. 18- 

U.N. ECE Housing Committee: 15th Session(and Working Parties) . Geneva Nov. 18- 

UNESCO Executive Board: 49th Session Paris Nov. 18- 

FAO Study Group on Coconut and Coconut Products Rome Nov. 22- 

FAO Council: 28th Session Rome Nov. 23*- 

Caribbean Commission: 25th Meeting Curagao Nov. 25- 

Customs Cooperation Council: 11th Session Brussels Nov. 25- 

ILO Tripartite Meeting on Mines Other Than Coal Mines Geneva Nov. 25- 

International Sugar Council: Statistical Committee London Nov. 25- 

ILO Meeting of Experts on Radiation Protection Geneva Nov. 25- 

U.N. ECE Steel Committee and Working Parties Geneva Nov. 25- 

U.N. ECAFE Inland Transport Committee: 5th Session of Railway Bangkok Nov. 25- 

Subcommittee. 

U.N. ECOSOC Technical Assistance Committee New York Nov. 25- 

International Sugar Council: Executive Committee London Nov. 26- 

International Sugar Council: 14th Session London Nov. 28- 

FAO Plant Protection Committee for Southeast Asia and Pacific Peradenya, Ceylon Dec. 2- 

Region: 2d Meeting. 

WMO Regional Association III (South America): 2d Session . . . Caracas Dec. 4— 

3d U.N. ECAFE Regional Technical Conference on Water Re- Manila Dec. 4- 

sources Development. 

ILO Committee of Experts on Social Policy in Nonmetropolitan Geneva Dec. 9- 

Territories: 6th Session. 

ILO Meeting of Experts on Workers' Education Geneva Dec. 9- 

NATO Council: Ministerial Session Paris Dec. 16- 

U.N. ECE Agricultural Problems Committee: 9th Meeting . . . Geneva Dec. 16- 

American International Institute for the Protection of Childhood: Montevideo December 

Meeting of Directing Council. 

U.N. ECOSOC 24th Session (Resumed) New York December 

U.N. ECAFE Subcommittee on Electric Power: 6th Session . . . Bangkok Jan. 6- 

Inter-American Travel Congresses: Meeting of Technical Com- Washington Jan. 13- 

mittee of Experts on Travel Plant. 

U.N. ECOSOC Subcommission on the Prevention of Discrimina- New York Jan. 13- 

tion and Protection of Minorities: 10th Session. 

U.N. ECAFE Committee on Trade: 1st Session Bangkok Jan. 20- 

WMO Commission for Synoptic Meteorology: 2d Session .... New Delhi Jan. 21- 

WHO Standing Committee on Administration and Finance . . . Geneva January 

WHO Executive Board: 21st Session Geneva January 

ILO Governing Body: 138th Session Geneva January 

730 Department of State Bulletin 



The Improvement of Railroad Facilities in the Americas 



NINTH PAN AMERICAN RAILWAY CONGRESS, AUGUST 30-SEPTEMBER 13, 1957 



iy William T. Fai^y 



Approximately 400 representatives of partici- 
pating countries attended the Ninth Pan American 
Railway Congress at Buenos Aires, Argentina, 
from August 30 through September 13, 1957. The 
U.S. delegation consisted of four delegates, three 
govermnent advisers, and 13 technical advisers.^ 
In addition to the official group, others from this 
country attending the Congress, mainly from the 
railroad supply industi-y, brought the total U.S. 
representation to about 40, 

Besides the exchange of valuable information 
relating to railroads and railroading and the cre- 
ation of more binding friendship among the par- 
ticipating nations of the Western Hemisphere, 
perhaps the most important accomplishment of the 
Congress was the modernization and streamlining 
of the charter of the 50-year-old Pan American 
Railway Congress Association (PARCA). 

The primary concern of the Association is the 
establishment and development of more extensive 
and more efficient railroad facilities in the Ameri- 
cas, along with the promotion of international ar- 
rangements to facilitate communication and travel 
among the nations of the Americas. 

The Association had its beginning as the South 
American Railway Congress of 1907 in connec- 
tion with the celebration of the 50th amiiversary 
of the first railway built in Argentina. In 1910 
the first formal meeting of the organization was 
held at Buenos Aires. Other meetings followed 
at Rio de Janeiro in 1922, Santiago in 1929, and 
Bogota in 1941, when the name was changed to 
the Pan American Railway Congress Association. 
Invitations to become membere of the Association 



were extended to countries of Central and North 
America. After World War II, congresses were 
held at Montevideo in 1946, Habana in 1948, 
Mexico City in 1950, and at Washington and At- 
lantic City in 1953. 

U.S. membership in the Association was author- 
ized by the United States Congress by a joint 
resolution of June 23, 1948. 

Charter Revision 

As early as the Sixth Congress at Habana in 
1948, the desirability of modifying the PARCA 
charter was given some attention. The matter 
was considered again at the Seventh Congi'ess in 
1950, at which time the United States was a mem- 
ber. During the Eighth Congress at Washington 
in 1953 a formal resolution was unanimously 
adopted to the effect that "it is desirable to bring 
up to date the statutes in the light of the experi- 
ence gained since the Sixth Congress in Havana." 

As a i-esult of this action the Permanent Com- 
mission proceeded with a study to revise the 
charter, and each National Commission was in- 
vited to propose changes. The United States Na- 
tional Commission accordingly set up a task force 
for this purpose and submitted its proposed 
changes to the Permanent Commission. 



' For an announcement of the U.S. delegation, see Bul- 
letin of Sept. 30, 1957, p. 54.5. 



• Mr. Faricy, author of the above article., 
is chairman of the hoard of the Association of 
American Railroads and chaimnan of the 
U.S. National Commission of the Pan Ameri- 
can Railway Congress Association. He was 
chairman of the U.S. delegation to the Ninth 
Pan American Railway Congress. 



November 4, 1957 



731 



Voting in the Permanent Commission 

Heretofore tlie statutes under which the organi- 
zation fiuictions provided that each member of a 
National Commission attending a meeting of the 
Permanent Commission had one vote. As Buenos 
Aii-es is the site of all meetings of the Pemianent 
Commission, Argentina was in the obvious posi- 
tion of being able to outvote any other nation and, 
on occasion, all nations represented. While no 
specific instance is know2i where this had been 
done to the detriment of the United States, never- 
theless it did not seem to be in accord with modern 
concepts of a truly intemutional organization. 

Prior to tlie recent Ninth Congress, the re- 
visions submitted by the U.S. National Commis- 
sion had received the endoreement of the Pemia- 
nent Commission. With some minor amendments 
of a clarifying nature, these suggested changes 
in the charter were adopted unanimously by the 
Ninth Congress and were put into effect immedi- 
ately. This action now enables each member na- 
tion to have one vote at meetings of the Pennanent 
Commission irrespective of the size of the country 
or the extent of its participation iii the Associa- 
tion. Tlie United States is customarily repre- 
sented at meetings of the Permanent Commission 
by a member of the American Embassy at Buenos 
Aires. 

In addition to this change there were other re- 
visions of the charter, dealing with the composi- 
tion and responsibilities of the Permanent 
Commission and with the Executive Committee, 
particularly in regard to the definition of a 
quorum. 

Organization of the Ninth Congress 

The Ninth Congress got under way on August 
30 with a preliminary or organizing session. En- 
gineer Dante A. Ardigo, president of the Or- 
ganizing Committee of the Congress, was elected 
president of the Congress, and Engineer Joaquin 
Nunez Brian, general secretary of tlie Permanent 
Commission of PAKCA, and Jose A. Fontanella, 
general secretary of the Organizing Committee, 
were chosen as secretaries of the Congress. 

To make for more efficient conduct of its work, 
the Congress was divided into five sections as fol- 
lows: Section A — Way and structures; Section 
B — Equipment and power; Section C — Opera- 
ation; Section D — Accounting, statistics, tariffs, 
coordination, and administration; and Section 



E — Legislation, personnel, and general subjects. \ 
James G. Lyne of the U.S. delegation was selected 
as chairman of section C, and the other U.S. par- ' 
ticipants in the Congress were divided among the ] 
sections. | 

Following this organizing session the Congress i 
was officially opened with an address by Gen. 
Pedro Eugenio Ai-amburu, Provisional President 
of Argentina. Other addresses were made during j 
the opening ceremonies by Engineer Eduardo M. ' 
Huergo, president of the Permanent Commission 
of PARCA; Engineer Ardigo; and Engineer j 
Gustavo Roclia Sagaon, head of the Mexican dele- ' 
gatioii. 

Technical Papers 

About 200 technical papers on a variety of rail- 
road subjects, .51 of wliicli were prepared by U.S. 
authors, were considered by the sections at the 
daily meetings. These papers fell into two classi- 
fications — communications and pi'oposals. They 
had been examined and reported on by relatore 
before being taken up by the sections. The rec- 
ommendations of the sections were submitted 
during plenary sessions, at which time they were 
either ordered published in the proceedings of the 
Congress or the PARCA BulJetin, or they were 
simply accepted and the author thanked for his 
contribution. Papers of particular merit were 
later coTisidered by an international jury charged 
with the responsibility of making a number of 
awards. 

U.S. authors won 5 of the 15 cash awards for 
the best technical papers. For papers in the cate- 
gory of legislation, personnel, and general sub- 
jects. Commissioner Anthony F. Arpaia of the 
Interstate Commerce Commission received the 
U.S. award for his contribution on "The Philoso- 
phy of Transportation,'' and Howard E. Simpson, 
president of the Baltimore and Ohio Railroad, was 
given the second Argentine award for his work 
entitled "Training and Selection of Railway Per- 
sonnel." 

Two U.S. papers on subjects dealing with rail- 
road operations received awards. The U.S. award 
went to A.J. Greenough, vice president of trans- 
portation and maintenance of the Pennsylvania 
Railroad, for his presentation on "Reduction of 
Terminal Delays in Train Operation"; and the 
first Argentine award was given to J.M. Finch, 
superintendent of car service of the New Haven 



732 



Department of Slate Bulletin 



Eailroail, for his paper entitled "Arrangement 
and Control in Yard Operation." 

Lovd J. Kiernan, former executive vice presi- 
dent of the Boston and Maine Kailroad, received 
the first Argentine award in the equipment and 
power classification for his contribution on "Ap- 
plication of Modern Scientific Research on Rail- 
roads of the United States." 

Other Activities 

In addition to the business sessions there were 
other events in connection with the Congress. 
These included the observance of the 100th an- 
niversary of the founding of the Argentine rail- 
roads; visits to President Aramburu, Vice Presi- 
dent Isaac Rojas, and Minister of Transport Sadi 
E. Bonnet of the Argentine Government ; and the 
laying of a wreath on the statue of General Jose 
de San Martin. 

An exhibition of the latest in I'ailroad equip- 
ment, in which a number of U.S. supply com- 
panies participated, was held in connection with 
the Congress and bore fruitful results. The track 
exhibit was one of the finest ever seen in this 
hemisphere and attracted considerable attention. 
In order that the general public might have an 
opportunity to see these latest and newest im- 
provements, it was decided to continue the exhibit 
beyond the end of the Congress. 

On the invitation of the Brazilian Government 
the delegates voted unanimously to hold the Tenth 
Pan American Railway Congress in Brazil in 
1960, the city and exact dates to be determined 
later by that country. 



Regulation, Limitation and Balanced Reduction of All 
Armed Forces and All Armaments; Conclusion of an 
International Convention (Treaty) on the Reduction 
of Armaments and the I'rohibition of Atomic, Hydrogen 
and Other Weapons of Mass Destruction. Letter dated 
20 -September I'JoT from the Head of the Delegation of 
the Union of Soviet Socialist Republics Addressed to 
the President of the General Assembly. A/C. 1/793, 
September 23, 1957. 13 pp. mimeo. 

The Future of Togoland Under French Administration. 
Special Report of the Trusteeship Council. A/3676, 
September 24, 1957. 43 pp. mimeo. 

The Future of Togoland Under French Administration. 
Note by the Secretary-General. A/3677, September 25, 
1957. 290 pp. mimeo. 

Scientific Committee on the Effects of Atomic Radiation. 
Draft of the Report to be Transmitted by the Scientific 
Committee on the Effects of Atomic Radiation to the 
General Assembly In 1958. Prepared in the Secretariat 
in Co-operation With Groups of Delegates Nominated 
by the Committee. A/AO.S2/R.61, October 1, 1957 68 
pp. mimeo. 

Information From Non-Self-Goveming Territories 
Offers of Study and Training Facilities Under Resolu- 
tion 845 (IX) of 22 November 1954. Report of the 
Secretary-General. A/3618/Add.l, October 2, 1957 11 
pp. mimeo. 

Assistance to Palestine Refugees. Statement by the 
Director of the United Nations Relief and Works 
Agency for Palestine Refugees in the Near East to the 
I ledging Conference for Extra-Budgetary Funds (Ad 

?957 T/qfiQ.^'V^f ^u^ Whole Assembly) on 4 October 
1957. A/3693, October 7, 1957. 9 pp. mimeo 

United Nations Emergency Force. Report of the Secre- 
tary-General. A/3694, October 9, 1957. 50 pp. mimeo. 

Report of the Agent General of the United Nations 
Korean Reconstruction Agency. Letter dated 1 Octo- 
ber 1957 from the President of the Republic of Korea 
wocnl^^^ *° ^^^ Presitlent of the General Assembly. 
A/3697, October 11, 1957. 2 pp. mimeo. 

Security Council 

Report by the Acting Chief of Staff of the United Nations 
Truce Supervision Organization in Palestine, Colonel 
B. V. Leary, Dated 23 September 1957, Relating to the 
Area Between the Lines (Neutral Zone) Around Gov- 
ernment House Area. S/3892, September 24, 1957. 21 
pp. mimeo. 



Current U.N. Documents: 
A Selected Bibliography 

General Assembly 

Budget Estimates for the Financial Year 1958. System 
of Honoraria and Special Allowances to Members of 
Commissions, Committees and Other Subsidiary Bodies 
of the General Assembly or Other Organs of the 
United Nations. Report of the Secretary-General. 
.V/C.5/713, September 20, 1957. 19 pp. mimeo. 



' Printed materials may be secured in the United 
States from the International Documents Service, Co- 
lumbia University Press, 2960 Broadway, New York 
-7, X.Y. Other materials (mimeographed or processed 
documents) may be consulted at certain designated 
libraries in the United States. 



Economic and Social Council 

Human Rights. Report of the Social Committee. Re- 
vised Statement of Financial Implications by the 
Secretary-General. E/3027/Add.l, July 22, 1957. 8 
pp. mimeo. 

Report of the Commission on the Status of Women. 
Report of the Social Committee. E/3030, July 22, 1957. 
8 pp. mimeo. 

World Social Situation. Report of the Social Committee 
E/3035, July 24, 1957. 9 pp. mimeo. 

World Economic Situation. Survey of the World Eco- 
nomic Situation. Report of the Economic Committee. 
E/3036, July 25, 1957. 7 pp. mimeo. 

Development and Co-ordination of the Economic, Social 
and Human Rights Programmes and Activities of the 
United Nations and the Specialized Agencies as a 
Whole. Report of the Co-ordination Committee. 
E/3039, July 26, 1957. 6 pp. mimeo. 

Financial Implications of Actions of the Council. Note 
by the Secretary-General. E/3044, July 30, 1957. 14 
pp. mimeo. 



iNovemfaer 4, 1957 



733 



TREATY INFORMATION 



Current Actions 



Notification rcceii^ed that it considers itself bound: 
Sudan, September 9, 1957. 

Trade and Commerce 

International convention to facilitate the importation of 
commercial samples and advertising material. Dated 
at Geneva November 7, 1952. Entered into force 
November 20, 1955; for the United States October 17, 
1957. 
Proclaimed iy the President: October 9, 1957. 



MULTILATERAL 

Atomic Energy 

Statute of the International Atomic Energy Agency. 
Done at New York October 26, 1956. Entered into 
force July 29, 1957. TIAS 3873. 

Ratifications deposited: Tunisia, October 14, 1957; 
Thailand, October 15, 1957. 

Automotive Traffic 

Convention on temporary importation of private road 
vehicles. Done at New York June 4, 1954. Enters 
into force December 15, 1957. 
Accession deposited: Hungary, July 23, 1957. 

Fur Seals 

Interim convention on conservation of North Pacific fur 
seals. Signed at Washington February 9, 1957. 
Ratifications deposited: Japan, September 20, 1957; 
Union of Soviet Socialist Republics, October 14, 1957. 
Entered into force: October 14, 1957. 

International Court of Justice 

Statute of the International Court of Justice (59 Stat. 
1055). 

Declaration recognizing compulsory jurisdiction depos- 
ited: Cambodia, September 19, 1957.' Effective for 
10 years from September 19, 1957, and thereafter 
until terminated. 

Postal Services 

Universal po.stal convention, with final protocol, annex, 
regulations of execution, and provisions regarding air- 
mail and final protocol thereto. Signed at Brussels July 
11, 1952. Entered into force July 1, 1953. TIAS 
2800. 
Ratification deposited: Honduras, September 9, 1957. 

Convention of the Postal Union of the Americas and 
Spain, final protocol, and regulations of execution. 
Signed at BogotA November 9, 1955. Entered into 
force March 1, 1956. TIAS 3653. 
Ratification deposited: Dominican Republic, September 
20, 1957. 

Agreement relative to parcel post, final protocol, and 
regulations of execution of the Postal Union of the 
Americas and Spain. Signed at Bogotd November 9, 
1955. Entered into force March 1, 19.56. TIAS 3654. 
Ratification deposited: Dominican Republic, September 
20, 1957. 

Safety at Sea 

Regulations for preventing collisions at sea. Done at 
London June 10, 1948. Entered into force January 1, 
1954. TIAS 2899. 
Acceptance deposited: Switzerland, January 11, 1957. 

Slavery 

Slavery convention signed at Geneva September 25, 1926 
(46 Stat. 2183), as amended by the protocol of Decem- 
ber 7, 1953 (TIAS 3532). 



' With conditions. 
734 



BILATERAL 
Canada 

Convention further modifying and supplementing the con- 
vention and accompanying protocol of March 4, 1942 
(56 Stat. 1399), as modified June 12, 1950 (TIAS 2347), 
for the avoidance of double taxation and the prevention 
of fiscal evasion in the case of income taxes. Signed 
at Ottawa August 8, 1956. Entered into force September 
26, 1957. 
Proclaimed Ity the President: October 10, 1957. 

Chile 

Agreement for a cooperative program of geological and 
mineralogical investigations of the uranium resources 
of Chile. Effected by exchange of notes at Santiago 
April 10 and 20. 19.56. 
Entered into force: September 26, 1957 (date of receipt 

by the United States of Chilean notification of its [i 

ratification). 

Colombia { 

Agreement further amending the memorandum of under- | 
standing attached to the agricultural commodities |i 
agreement of April 16, 1957, as amended (TIAS 3817 |i 
and 3904). Effected by exchange of notes at Bogotd 
September 6 and 30, 1957. Entered into force September 
30, 1957. 

Pakistan 

Agreement amending the agreement of September 23, 
1950 (TIAS 2116) for financing certain educational 
exchange programs. Effected by exchange of notes at 
Karachi September 16 and October 5, 1957. Entered 
into force October 5, 1957. 

Turkey 

Agreement concerning lira deposits under the agricultural 
commodities agreements of March 12, 1956, as amended, 
and November 12, 1956 (TIAS 3517, 3566, and 3097). 
Effected by exchange of notes at Ankara November 
23, 1956. Entered into force November 23, 1956. 



DEPARTMENT AND FOREIGN SERVICE 



Designations 

Harry Conover as Deputy Director, Office of Inter- 
American Regional Economic Affairs, effective October 6. 

Richard M. Service as Deputy Director, Office of West- 
ern European Affairs, effective October 20. 

Horace G. Torbert, Jr., as Director, Office of Western 
European Affairs, effective October 20. 



Department of State Bulletin 

f 



li 



November 4, 1957 



Ind 



ex 



Vol. XXXVII, No. 958 



American Republics 

Faith in the Inter-American Partnership (Eisen- 
hower, Dulles) 715 

TSie Improvement of Railroad Facilities in the 

Americas (Faricy) 731 

Austria. Income-Tax Convention With Austria En- 
ters Into Force 722 

Canada 

The Historic Relationship of Canada and the United 

States (Brucker) 718 

U.S.-Canada Joint Commission Completes Execu- 
tive Meetings (text of announcement) .... 721 

Department and Foreign Service. Designations 

(Conover, Service, Torbert) 734 

Economic Affairs 

Foreign Economic Policy and the Trade Agreements 

Program (report by the Oflice of the President . 723 

Import Duty on Bicycles To Remain Unchanged . 722 

The Improvement of Railroad Facilities in the 

Americas (Faricy) 731 

Income-Tax Convention With Austria Enters Into 
Force 722 

Private Investment and the Economic Challenge 

(Nixon) 703 

U.S.-Canada Joint Commission Completes Execu- 
tive Meetings (text of announcement) .... 721 

Europe. Vice President Nixon Defers Trip to 
Europe 713 

Honduras. Letters of Credence (Carias Castillo) . 717 

International Organizations and Conferences 

Calendar of International Conferences and Meet- 
ings 729 

T^e Improvement of Railroad Facilities in the 

Americas (Faricy) 731 

World Metallurgical Congress (text of proclama- 
tion) 728 

Malaya. Letters of Credence (Ismail) .... 717 

Middle East. Secretary DuUes' News Conference of 

October 16 708 

Presidential Documents 

Prime Minister Macmillan To Visit Washington . 707 

World Metallurgical Congress 728 

Science 

Secretary Dulles' News Conference of October 16 . 708 

World Metallurgical Congress (text of proclama- 
tion) 728 



Thailand. Letters of Credence (Khoman) . . . 717 
Treaty Information 

Current Actions 734 

Income-Tax Convention With Austria Enters Into 

Force 722 

U.S.S.R. Secretary Dulles' News Conference of 

October 16 708 

United Kingdom. Prime Minister Macmillan To 

Visit Washington (Eisenhower, Macmillan) . . 707 

United Nations. Current U.N. Documents . . . 733 

Name Index 

Brucker, Wilber M 718 

Carias Castillo, Tiburcio 717 

Conover, Harry 734 

Dulles, Secretary 70S, 715 

Eisenhower, President 707, 715, 728 

Faricy, William T 731 

Ismail bin Dato' Abdul Rahman 717 

Khoman, Thanat 717 

Macmillan, Harold 707 

Nixon, Richard M 703,713 

Service, Richard M 734 

Torbert, Horace G., Jr 734 



Check List of Department of State 
Press Releases: October 14-20 

Releases may be obtained from the News Divi- 
sion, Department of State, Washington 25, D.C. 

Subject 

Thailand credentials (rewrite). 

Educational exchange. 

Malaya credentials (rewrite). 

Honduras credentials (rewrite). 

Conventions on maritime law. 

Advisory Committee on the Arts. 

Dulles : news conference. 

Tax convention with Austria. 

Delegation to 12th session of GATT 
(I'ontracting Parties ( rewrite) . 

Advisers to U.S. delegation to GATT 
(biographic details). 

Correction on Lodge and Buchanan 
absences. 

Dulles : Inter-American Press Asso- 
ciation. 

*Not printed. 

tHeld for a later issue of the Buixetin. 



No. 


Date 


573 


10/14 


♦574 


10/14 


575 


10/15 


576 


10/15 


t577 


10/15 


1578 


10/16 


579 


10/16 


580 


10/17 


t5Sl 


10/17 


*582 


10/17 


*583 


10/18 


584 


10/18 



D. S. SOVERNUENT PRINTING OFFICE: 1957 




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American Foreign Policy, 1950-1955 
Basic Documents — Volume I 



This publication is the first of two volumes intended to present in 
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American foreign relations for the 6-year period of 1950-1955. It 
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In some instances the 6-year limit (1950-1955) of the compilation 
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Despite its size, which reflects the gi'owth of American responsibility 
in international relations, the present collection makes no pretense at 
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THE DEPARTMENT OF STATE 





Vol. XXXVII, No. 959 



November 11, 1957 



FFICiAL 

EEKLY RECORD 

F 

NITED STATES 

}REIGN POLICY 



PRESIDENT EISENHOWER AND PRIME MINISTER 
MACMILLAN AGREE ON CLOSER U.S.-U.K. CO- 
OPERATION • Declaration of Common Purpose, Joint 
Statement, and Exchange of Greetings 739 

QUEEN ELIZABETH VISITS THE UNITED STATES . . 742 
INTERNATIONAL ORGANIZATIONS: AID TO WORLD 

TRADE AND PROSPERITY • by Assistant Secretary 

Wilcox 749 

U.S. ROLE IN ECONOMIC DEVELOPMENT OF CO- 
LOMBO PLAN AREA • by G. Frederick Reinhardt, 
Counselor 755 

COOPERATION IN SCIENCE, CULTURE, AND EDUCA- 
TION • Statement by George Meany 764 

MARITIME CONVENTIONS SIGNED AT BRUSSELS 
CONFERENCE 

International Convention Relating to the Limitation of tlie 

Liability of Owners of Seagoing Ships (text) 759 

International Convention Relating to Stowau:ays (text) , , . 762 

For index see inside back cover 



THE DEPARTIVIENT OF STATE 




Vol. XXXVII. No. 959 • Publication 6557 
November 11, 1957 



For sale by the Superintendent of Documents 

U.S. Government Printing Office 

Washington 25, D.C. 

Price: 

62 Issues, domestic $7.60, foreign $10.23 

Single copy, 20 cents 

The printing of this publication has been 
approved by the Director of the Bureau of 
the Budget (January 19, 1955). 

Note: Contents of tins publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of tlie Department 
OF State BnLLETiNi,as the source will be 
appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the 
Department of State and the Foreign 
Service. The BULLETIN includes se- 
lected press releases on foreign policy, 
issued by the White House and the 
Department, and statements and ad- 
dresses made by the President and by 
the Secretary of State and other 
officers of the Department, as well as 
special articles on various phases of 
international affairs and the func- 
tions of the Department. Informa- 
tion is included concerning treaties 
and international agreements to 
which the United States is or may 
become a party and treaties of gen- 
eral international interest. 

Publications of the Department, 
United Nations documents, and legis- 
lative material in the field of inter- 
national relations are listed currently. 



President Eisenhower and Prime iVIinister Macmilian 
Agree on Closer U.S.-U.K. Cooperation 



FoUoioing is the text of a Declaration of Com- 
mon Purpose released at Washington on October 
26 at the conchi^on of a 3-day meeting between 
President Eisenhower and British Prime Minis- 
ter Harold Macmilian, together with a joint state- 
Tnent released on October £4- o-i^d the exchange of 
greetings between Secretary DuUes and Mr. Mac- 
milian at the Washington National Airjyort on 
October 23. 



DECLARATION OF COMMON PURPOSE' 

The President of the United States and the 
Prime Minister of the United Kingdom, at the 
end of three days of meetings at which they were 
assisted by the Secretary of State and the Foreign 
Secretary and other advisers, issued the follow- 
ing statement : 

I. 

We have met together as trusted friends of 
many years who have come to head the govern- 
ments of our respective countries. These two 
countries have close and historic ties, just as each 
has intimate and unbreakable ties with other free 
countries. 

Kecognizing that only in the establishment of 
a just peace can the deepest aspirations of free 
peoples be realized, the guiding purj^ose of our 
deliberations has been the determination of how 
best to utilize the moral, intellectual and material 
strengtli of our two nations in the performance 
of our full share of those tasks that will more 
surely and promptly bring about conditions in 
which peace can prosper. One of these tasks is 
to provide adequate security for the free world. 



'Released on Oct. 25 by James C. Hagerty, press sec- 
retary to the President, and C. Peter Hope, head of the 
News Department of the British Foreign Office. 



The free nations possess vast assets, both ma- 
terial and moral. These in the aggregate are far 
greater than those of the Communist world. We 
do not ignore the fact that the Soviet rulers can 
achieve formidable material accomplishments by 
concentrating upon selected developments and 
scientific applications, and by yoking their people 
to this effort. Despotisms have often been able to 
produce spectacular monuments. But the price 
has been heavy. For all peoples yearn for intel- 
lectual and economic freedom, the more so if from 
their bondage they see others manifest the glory 
of freedom. Even despots are forced to permit 
freedom to grow by an evolutionary process, or 
in time there will be violent revolution. This 
principle is inexorable in its operation. Already 
it has begun to be noticeable even within the So- 
viet orbit. If the free nations are steadfast, and 
if they utilize their resources in harmonious co- 
operation the totalitarian menace that now con- 
fronts them will in good time recede. 

In order, however, that freedom may be secure 
and show its good fruits, it is necessary first that 
the collective military strength of the free nations 
should be adequate to meet the tlireat against 
them. At the same time, the aggregate of the 
free world's military expenditure must be kept 
within limits compatible with individual freedom. 
Otherwise we risk losing the very liberties which 
we seek to defend. 

These ideas have been the central theme of our 
conversations which, in part., were participated in 
by Mr. Spaak, the Secretary-General of NATO. 

In application of these ideas, and as an example 
which we believe can and should spread among 
the nations of the free world, we reached the fol- 
lowing understanding: 

II. 

1. The arrangements which the nations of the 
free world have made for collective defense and 



November ?I, J 957 



739 



mutual lielp are based on the recognition that the 
concept of national self-sufficiency is now out of 
date. The countries of the free world are inter- 
dependent and only in genuine partnership, by 
combining their resources and sharing tasks in 
many fields, can progress and safety be found. 
For our part, we have agreed that our two coun- 
tries will henceforth act in accordance with this 
principle. 

2. Our representatives to the Nortli Atlantic 
Council will urge an enlarged Atlantic effort in 
scientific research and development in support of 
greater collective security and the expansion of 
current activities of the Task Force working in 
this field under the Council's decision of last 
December.^ 

3. The President of tlie United States will re- 
quest tlio Congress to amend the Atomic Energy 
Act as may be necessary and desirable to permit 
of close and fruitful collaboration of scientists 
and engineers of Great Britain, the United States, 
and other friendly countries. 

4. The disarmament proposals made by the 
Western representatives on the Disarmament 
Subcommittee in London^ and approved by all 
members of NATO are a sound and fair basis for 
an agreement whicli would reduce the threat of 
war and the burden of armaments. The indefinite 
accumulation of nuclear weapons and the indis- 
criminate spreading of the capacity to produce 
them should be prevented. Effective and reliable 
inspection must be an integral part of initial steps 
in the control and reduction of armaments. 

5. In the absence of such disarmament as we are 
seeking, international security now depends, not 
merely on local defensive shields, but upon re- 
inforcing them with the deterrent and retaliatory 
power of nuclear weapons. So long as the threat 
of International Communism persists, the free 
nations must be prepared to provide for tlieir 
own security. Because the free-world measures 
are purely defensive and for security against out- 
side threat, the period for which they must be 
maintained cannot be foreseen. It is not within 
the capacity of each nation acting alone to make 
itself fully secure. Only collective measures will 
suffice. These should preferably be found by im- 
plementing tlie provisions of the United Nations 



' Bulletin of Jan. 7, 19.57, p. 17. 
• Ibid., Sept. 16, 1957, p. 451. 



Cliarter for forces at the disposal of the Security 
Council. But if the Soviet Union persists in nul- 
lifying these provisions by veto, there must other- 
wise be developed a greater sense of community 
security. Tlie framework for this exists in col- 
lective defense arrangements now participated in 
by nearly 50 free nations, as autliorized by the 
Charter. All members of this community, and 
other free nations which so desire, should possess 
more knowledge of the total capabilities of secu- 
rity that are in being and in prospect. There 
should also be provided greater opportunity to 
assure tliat this power will in fact be available 
in case of need for their common security, and 
that it will not be misused by any nation for pur- 
poses other than individual and collective self- 
defense, as authorized by the Charter of the 
United Nations. 

For our part we regard our possession of nu- 
clear weapons power as a trust for the defense 
of the free world. 

6. Our two countries plan to discuss these ideas 
with all of their security partners. So far as the 
North Atlantic Alliance is concerned, the Decem- 
ber meeting of tlie North Atlantic Council may, 
perhaps, be given a special character in this re- 
spect. Tliis has been discussed with the Secre- 
tary-General of NATO, Mr. Spaak. 

7. In addition to the North Atlantic Treaty, 
the Southeast Asia Collective Defense Treaty, 
tlie Baglidad Pact and otlier security arrange- 
ments constitute a strong bulwark against ag- 
gression in tlie various treaty areas. There are 
also vitally important relationsliips of a some- 
what different cliaracter. There is tlie Common- 
wealth; and in the Western hemisphere the 
Organization of American States. There are 
individual mutual defense agreements to which 
the United States is a party. 

8. We recognize that our collective security ef- 
forts must be supported and reinforced by coop- 
erative economic action. The present offers a 
challenging opportvmity for improvement of 
trading conditions and the exiiansion of trade 
throughout the free world. It is encouraging 
that plans are developing for a European Free 
Trade Area in association with tlie European 
Common Market. We recognize that especially 
in the less developed countries there should be a 
steady and significant increase in standards of 
living and economic development. 



740 



Department of State Bulletin 



9. We took note of specific factors in the ideo- 
logical struggle in wliich we are engaged. In par- 
ticular, we were in full agreement that : 

Soviet threats directed against Turkey give sol- 
emn significance to the obligation, under Article 5 
of the North Atlantic Treaty, to consider an armed 
attack against any member of the Alliance as an 
attack against all ; 

The reunification of Germany by free elections is 
essential. At the Geneva Conference of 1955 
Jfessrs. Khnishchev and Bulganin agreed to this 
witli us and our French allies. Continued repudi- 
ation of that agreement and continued suppression 
of freedom in Eastern Europe undermine interna- 
tional confidence and perpetuate an injustice, a 
folly and a danger. 



and Donald Quarles, Deputy Secretary, De- 
partment of Defense. 

The Strauss-Plowden group was assigned the 
duties of making recommendations in the field of 
nuclear relationship and cooperation. 

The Powell-Quarles group was asked to make 
recommendations in the field of military defense, 
particularly those problems dealing with missiles 
and rocketry. 

Under the directive of the President and the 
Prime Minister it was emphasized that the work 
of these two groups should be guided by the under- 
lying principle of the meeting — namely, how our 
two countries can be of greater service to the free 
world. 



III. 

Tlie President and the Prime Minister believe 
that the understandings they have reached will be 
increasingly effective as they become more wide- 
spread between the free nations. By coordinating 
the strength of all free peoples, safety can be as- 
sured, the danger of Communist despotism will 
in due course be dissipated, and a just and lasting 
peace will be achieved. 



JOINT STATEMENT OF OCTOBER 24< 

At the meeting this morning the President, the 
Prime Minister, the Secretary of State and the 
Foreign Secretary reported briefly the general 
sense of their private discussions of last night. 

All four stressed the fact that this meeting was 
being held to study ways in which our two coun- 
tries can be of greater service to the free world, 
and towards that end how our joint resources can 
be pooled and utilized to maximum efficiency. 

In this connection, at this morning's meeting the 
President and the Prime Minister set up two study 
groups. These are : 

1. A group headed by Lewis L. Strauss, Chair- 
man of the Atomic Energy Commission and Sir 
Edwin Plowden, Chairman of the Atomic En- 
ergy Authority. 

2. A group headed by Sir Eichard Powell, Per- 
manent Secretary of the Ministry of Defense 



* Released on Oct. 24 by Mr. Hagerty and Mr. Hope. 
November 71, 7957 



EXCHANGE OF GREETINGS, OCTOBER 23 

Press release 591 dated October 23 

Secretary Dulles: 

It is a very great pleasure on behalf of Presi- 
dent Eisenhower to welcome here a good and 
longstanding friend of his and a friend of mine, 
Mr. Harold Macmillan, the Prime Minister of tlie 
United Kingdom. His coming here in this way 
for an informal chat of 2 or 3 days with the Presi- 
dent illustrates the possibility of modern travel 
and I hope will set a precedent as to how these 
things can be done with less formality than has 
been tlie custom in the past. That is a good thing 
to practice as between countries of the free world. 
We know the Communist world is held together 
by force. The free world is held together by 
understanding, and it is never wise to take these 
understandings for granted. They need con- 
stantly to be renewed, strengthened, and vitalized. 

We have just had here the wonderful visit of 
Her Majesty the Queen, the Head of the British 
Commonwealth of Nations. That has given us an 
opportunity to demonstrate the warmth and affec- 
tion which the American people feel for that 
wonderful personality. 

That, now followed by the visit of the Prime 
Minister, will give us an additional opportunity 
to tie together not just the United States and the 
Commonwealth nations but all free nations who 
need to cooperate and work together if we are to 
demonstrate the fruits of freedom and to wage 
successfully the struggle which is imposed upon 
us. 



741 



Prime Minister Macmiilan: 

Mr. Secretary, it is a great honor to be here 
and to be received by you here today. Just a few 
hours ago I saw Her Majesty the Queen, upon 
her return. I need hardly tell you the delight, 
pleasure, that she expressed at the wonderful 
reception which she received from you all. I have 
now come once more to a country with which 
I have many ties, links, and many friends. And 
it is an opportunity, as Secretary Dulles has 
said — we'll have a quiet talk among friends. 

It is not very long since the Pi'esident and Mr. 
Dulles, with me and our Foreign Secretary, Mr. 
Selwyn Lloyd, were in Bermuda.^ But a good 



deal has happened since then, and we all felt that 
it was time for another meeting. 

There really is no substitute for the sort of per- 
sonal talks that we can have in the next few days. 
Our meetings will be working meetings, and you 
will not expect me to guess at what will come 
out of them. But they certamly only have one 
purpose — to improve the friendship and extend 
the cooperation between our two countries. In all 
those fields, and there are many, where we work 
together with all our allies and friends, our 
purpose — our common purpose — is to preserve the 
freedom of all peoples of the world and to give 
all peoples a chance to a full and peaceful life. 



Queen Elizabeth II Visits the United States 



Her Majesty Queen Elisabeth II and His Royal 
Highness The Prince Philip, Duhe of Edin- 
iu7'gh, arrived in the United States on October 
16 for a 6-day visit to Williamsburg and James- 
town, Fa., Washington, D. C, and New York, 
N. Y. Following are texts of toasts offered at 
various official functions, together with the ex- 
change of greetings at the airport and a list of 
the members of the Queen^s official party. 



STATE DINNER AT THE WHITE HOUSE, 
OCTOBER 17 

Toast of President Eisenhower: 

White House press release dated October 17 

Your Majesty, Your Royal Highness, my 
friends: There have been a few times in my life 
when I have wished that the gift of eloquence 
might have been conferred ujion me. This eve- 
ning is one of those times. More than this, I 
Iniow that each guest at this table fervently 
would pray that I could have had that gift, 
because through me each of us would like to say 
what we Iniow is in America's heart: Welcome 
to our distinguished royal couple that have come 



5 Bulletin of Apr. 8, 1957, p. 561. 
742 



to us to this country, making their first visit 
in the old Commonwealth of Virginia. 

Very fittingly they have done so. There was 
the first colony that Britain established on these 
shores, and thei-e were established those ties, that 
commingling of customs and of practices and a 
way of life that became so much one that when 
we finally became independent it was difficult to 
tell where one custom left off and another began. 

And through the succeeding century Britain 
was a great influence in the world, a great influ- 
ence for peace. Wherever her flag was shown, 
there peo]>le felt that justice could prevail. 

And then there came two great wars, and in 
those Avars Britain's sons and ours marched side 
by side with a courage that matclied that of those 
settlers that came here in the lone wilderness and 
fought the weather and the climate and the In- 
dians and began establishing this nation. In 
those wars the courage of England again was as 
fully manifested. 

To me was given the great privilege of serving 
with the people of that nation for almost 4 years. 
From the royal family to the liumblest citizen 
tliey so conducted themselves that they enlisted 
the admiration, the liking, and the respect of ev- 
ery American who came in contact with them. 

Those great days are not over. The free world 

Deparfmenf of Sfafe BuWeiin 



is engaged in a great struggle, and the total of 
the free world's assets are so much gieater than 
those of our potential enemy, should we say, that 
it is ridiculous to compare their brains, their abil- 
ities in science, in philosophical thought, or in any 
phase of culture or of the arts with the combined 
total of the free world. 

But I say "combined total" advisedly. We are 
too much separated by things that concern us 
locally. This is a struggle of ideologies, of a 
religious way of life against atheism, of freedom 
against dictatorship. 

But we have the power. The only thing to do 
is to put it together. 

Our scientists must work together. NATO 
should not be thought of merely as a military al- 
liance. NATO is a way of grouping ability — of 
our manhood, our resources, of our industries and 
our factories. 

At the heart and foundation of all of this the 
English-speaking people march forward together, 
to stand steadfast behind the principles that have 
made the two nations great — of the same faith in 
their God, and in themselves — a belief in the 
rights of man. 

That is the way we will go forward. That 
courage — the respect we have for Britain — is 
epitomized in the affection we have for the royal 
family, who have honored us so much by making 
this visit to our shores. 

And before I ask you to rise with me, I want 
to make a toast to the Queen. I want again to 
say that my faith in the future of these two great 
countries and the whole Commonwealth of the 
British nations — indeed of the whole free world 
— is absolutely unimpeachable. I know we can 
do it. 

And at the bottom of it, the example of Britain, 
of xVmerica, of Canada, and the rest of the 
Commonwealth, marching forward, carrying the 
flag of unity and cooperation, will be the keynote 
to that great successful future tliat will be ours, 
that will belong to our children and our grand- 
children. 

Ladies and gentlemen, will you please rise with 
me and drink a toast to the Queen. 

Response by the Queen: 

Mr. President: May I express our thanks for 
the generosity of your words of welcome and the 
Lrracious way in which they have been received. 



I am most grateful to you for the kind invita- 
tion to visit the United States at a time when so 
many are celebrating the 350th anniversary of 
the first English-speaking settlement in North 
America. 

In Virginia I was reminded of the early be- 
ginnings of the United States and of the British 
Commonwealth of Nations. Here in Washing- 
ton, so often a focus for the aspirations of the 
free world, our thoughts turn naturally to the 
future. 

The Jamestown Festival commemorates an age 
of discovery and exploration in which Europeans 
set out to start a new life and find new frontiers. 
It may be, Mr. President, that in terms of geog- 
raphy that age is over and that there are now no 
"new worlds" left to be exjalored and developed. 
But surely there are many indications today that 
we are at the beginning of a new age of discovery 
and exploration in the world of human knowl- 
edge and technology. I at least know that in the 
countries of the Commonwealth there is a great 
surge of discoveries, inventions, and new ways of 
demonstrating the possibilities of man's partner- 
ship with nature. 

Only a short time ago these unexplored areas 
of human knowledge seemed as impenetrable as 
the forests of this continent to the settlers 350 
years ago. But they were not deterred; their 
faith, their ideals, and their determination sus- 
tained them in their darkest moments. 

Your forefathers found, as we are finding to- 
day, that new discoveries bring with them new 
problems as well as new opportunities. They 
knew doubts and difficulties just as well as we do. 
Their example can help us to build another "new 
world" of which our children and descendants 
will speak proudly 350 years from now. 

Eighteen years ago my father, at the White 
House on just such an occasion as this, proposed 
the toast which I am going to propose tonight. A 
few months later a terrible war was brutally 
forced upon the world. For many perilous 
months you, Mr. President, were stationed in 
Britain itself as Supreme Commander of the Al- 
lied Forces in Europe. There you shared the 
hopes and fears, the triumphs and the tribulations 
of the British people and of the men from all over 
the Commonwealth who served under your com- 
mand. We learnt in a period of great trial the 



November II, 1957 



743 



value of your friendship and support. In par- 
ticular, we shall never forget the courage of your 
decision on Jime 5th, lOii, to launch the operation 
"Overlord." 

We feel therefore, Mr. President, that we know 
you much better than we are able to know many 
world leaders. 

In commending this toast, I pray that the an- 
cient ties of friendship between the people of the 
United States and of my peoples may long endure, 
and I wish you, Mr. President, every possible 
health and happinessu 



VICE PRESIDENT'S LUNCHEON AT THE 
CAPITOL, OCTOBER 18 

Toast of Vice President Nixon: 

It is a great lionor for me to speak for our guests 
in welcoming you and the distinguislied members 
of your party to our Capitol building. I only 
wish I had words which could adequately express 
the esteem and affection we all have for you. 
This room in which we meet symbolizes better 
than any words I could use the greatness of the 
Britisli people whom you represent and the proud 
heritage which we, the English-speaking peoples 
throughout the world, share. 

May I explain what I mean. It has been my 
privilege over the past 5 years to visit, with Mrs. 
Nixon, English-speaking nations in all parts of 
the world — New Zealand and Australia, the col- 
onies of Hong Kong and Singapore, Malaya, 
Pakistan, India, Ceylon, Ghana, and Canada. 
We found wide differences in these coimtries in 
race, religion, food, clothing, and custom. But we 
also found that these people, so different in these 
respects, were bound together by three great in- 
stitutions — the Parliament, tlie common law, and 
the English language. 

We see those three institutions reflected in tliis 
room, which has so much historical significance 
for the people of the United States. Here for 40 
years the Senate of our country met ; for 75 years 
after that the Supreme Court of the United States 
handed down its decisions from this very rostrum 
on which we are seated, and here the English 
language lias been spoken, as it is spoken in other 
nations throughout the world. Here in this room 
men like Webster and Clay are the American 



counterparts of the great legislators of English 
history — Pitt, Burke, Fox, Gladstone, and Dis- 
raeli. Hughes, Stone, Cardozo, and Brandeis 
handed down in this very room decisions based on 
the same cases and the same principles of the com- 
mon law which guided great Englisli jurors and 
writers like Blackstone and Coke. 

And, while Professor Higgins has insisted that 
"in America, English hasn't been spoken for 
years," I can assure our guests that today in this 
room, which has known so much of eloquence in 
the past, the English language will be spoken 
better than it has ever been spoken before. 

In mentioning these three institutions, the Par- 
liament, the common law, and the English lan- 
guage, which bind us together, I have left to the 
last another great unifying force. Some of the 
English-speaking nations have remained in the 
Commonwealth; others, like the United States, 
have chosen to follow a more independent course. 
But all of us, wherever we are, are united in our 
affection and admiration for our guest of honor 
today, whose simple dignity and grace represent, 
in our opinion, the very best the English nation 
has produced. 

Ladies and gentlemen, I ask you to rise with 
nie and drink to the health of Her Majesty The 
Queen. 

Response by the Queen: 

I am very grateful to you, Mr. Vice President, 
for what you have just said and for the oppor- 
tunity wliicli you have given us to meet so many 
distinguished Members of Congress. 

Here in the Capitol, which is in many ways a 
microcosm of the people of the United States, I 
am reminded of the many very different and 
widely separated regions you represent. I find 
it diflicult to realize that many of your constit- 
uents are as far from Washington as I am now 
from Ix)ndon. 

I have one favor to ask of you and your col- 
leagues in tlie House and in the Senate. It is that 
you should convey to your people at home the 
profound regrets of my husband and of myself 
that time and space have made it impossible for 
us to see more of your great country and meet 
more of your people from coast to coast. Please 
give them all our warm and friendly good wishes. 



744 



Department of State Bulletin 



STATE DINNER AT THE PAN AMERICAN UNION, 
OCTOBER 18 

Toast of Secretary Dulles: 

Your Majesty, Your Royal Higluiess, Excellen- 
cies, ladies and gentlemen : It is my high honor and 
also my very great pleasure to welcome here to- 
night Her Majesty Queen Elizabeth II and His 
Eoyal Highness The Prince Philip, Duke of Edin- 
burgh. 

We rejoice that Her Majesty, who had previ- 
ously been with us as a Princess, now visits us 
again, this time as a reigning sovereign. She re- 
minds us, by her very presence and the historic 
name she bears, of the English heritage which we 
have between the years so largely shared, the lan- 
guage, the literature, the law, the love of indi- 
vidual freedom, of sport, adventure, and the sea. 

Xow this reminder is not merely pleasant, which 
it surely is. It is more than that. It is extremely 
useful. It tells us that the United Kingdom and 
the United States have much in common, much 
more than the fact that both our names begin with 
the word "United." We have so much substance 
in common that it shows that we could do more 
in common. There exists here between us, be- 
tween the United Kingdom and the United States, 
a solid foundation upon which to mount new ef- 
forts, which we are indeed doing, if we are to cope 
successfully with the new problems of the future. 

We can be grateful to Her Majesty for a visit 
which I think will prove to be historical if it leads, 
as I hope and believe it will, to our using more 
fully the great potentials which we jointly possess. 
Now, of course, we think not merely in terms of 
our two countries. We have cherished ties with 
many countries. But none of these other ties need 
be or would be prejudiced by increasing exchange 
and contacts and cooperation as between the 
United States and the United Kingdom. And, in- 
deed, our close association would enable us better 
to serve a cause which is common to all of those 
who having freedom will preserve it, who not 
having freedom as yet would achieve it, and who 
having lost freedom would retrieve it. 

Ladies and gentlemen, we have with us one who 
serves proudly and well a great and noble cause. 
I ask you to rise to Her Majesty, Queen Elizabeth 
II. 



Response by the Queen: 

Air. Secretary, thank you for those kind words 
and the generous way in which you have received 
them. 

It has been a great pleasure for ns to have this 
chance to meet so many eminent Americans here 
tonight. I do not believe that there is any field 
of human activity in which exchanges and contacts 
between leading men of our countries have not at 
one time or another played the major role in the 
building of our common civilization. Unfettered 
exchanges between men of ideas are essential to 
the maintenance of freedom. And they are also 
one of the greatest boons that world freedom has 
to offer. I hope that the practice of free and 
friendly cooperation will never cease. 

Thank j'ou again, Mr. Secretary, for your hos- 
pitality and for a very pleasant evening. 



EXCHANGE OF GREETINGS AT AIRPORT, 
OCTOBER 17 

Remarks by President Eisenhower: 

White House press release dated October 17 

Your Majesty, I know that I speak for every 
citizen of this country when I bid you and the 
Prince Philip a warm welcome to this country and 
to its Capital. 

We have eagerly looked forward to your visit. 
We hope that you will find it agreeable and en- 
joyable, just as we will take great pleasure in it. 

But even more than the j)leasure that your visit 
brings us, we are conscious of its importance be- 
cause of its effect on strengthening the ties of 
friendship that bind our two countries together. 
Those ties have grown up in periods of tranquil- 
lity and peace. They have been tested in the cruci- 
ble of war when we have fought side by side to 
defend the values we hold dear. 

So you can imderstand that this visit, which 
camiot fail to strengthen those ties, is to us some- 
thing of the most tremendous importance because 
we thoroughly believe that in the warmer, closer, 
stronger cooperation between your country and 
ours lies the best hope for the security and peace 
of the world. 

Thank you very much for coming to us. 



November J I, 1957 



745 



Response by the Queen; 

Thank you for this kind and generous welcome. 
We are delighted to be here in Washington 
again. 

I have come to the United States from Canada, 
and it is as Queen of Canada that I bring you 
the warm greetings of a friendly neighbor and a 
stanch ally. I express to you the friendship and 
respect felt by my peoples of every race and creed 
in the British Commonwealth of Nations. 

It has been a moving experience for us to visit 
Jamestown, the site of the first English-speaking 
settlement in North America, and the old colonial 
capital of Williamsburg. 

We are both looking forward greatly to our 
visit to Washington and to New York. It is 
going to be a memorable experience for us. I am 
very sorry that we cannot visit other parts of this 
great continent on this occasion, but I would like 
the whole American people — north, south, east, 
and west — to know how happy we are to be here, 
and I send them all my warmest good wishes. 



Comdr. Richard Colville, C. V. O., D. S. C, R. N., Press 

Secretary 
Brig. J. Aird Nesbitt, Canadian Army, Equerry 
Col. E. H. Ainslie, C. D., Royal Canadian Army Medical 

Corps, Medical Officer 
Capt. The Lord Plunket, M. V. O., Equerry 
D. R. C. Bedson, Private Secretary to Mr. Diefenbaker 
Denis Laskey, C.M.G., Private Secretary to Mr. Lloyd 

Wiley T. Buchanan, Jr., Chief of Protocol of the United 
States, and Mrs. Buchanan 

John Hay Whitney, American Ambassador to Great 
Britain, and Mrs. Whitney 

Lt. Gen. Lemuel Mathewson, U.S.A., American Military 
Aide to Her Majesty Queen Elizabeth II 

Victor Purse, Deputy Chief of Protocol, Department of 
State 

Clement E. Conger, Assistant Chief of Protocol, Depart- 
ment of ■State 

Col. John Norton, U.S.A., American Military Aide to His 
Royal Highness The Prince Philip, Duke of Edinburgh 

Joseph W. Reap, Press Officer, Department of State 



NATO Secretary General 
To Visit U.S. 



MEMBERS OF OFFICIAL PARTY 

Following is a list of the members of the official 
party accompanying Queen Elizabeth II and 
Prince Philip on their visit to the United States. 

John G. Diefenbaker, Q. C, M. P., Prime Minister of 

Canada, Minister-in-Attendance, and Mrs. Diefenbaker 
Selwyn Lloyd, C. B. E., T. D., Q. C, M. P., Secretary 

of State for Foreign Affairs of the United Kingdom, 

Minister-in-Attendance 
The Countess of Leicester, Lady-in-Waiting 
The Countess of Euston, Lady-in-Waiting 
Lt. Col. Sir Michael Adeane, K. C. B., K. C. V. O., Private 

Secretary to the Queen 
The Lady Rose Baring, Lady-in-Waiting 
Lt. Gen. Sir Frederick Browning, K. C. V. O., K. B. E., 

C. B., D. S. O., Comptroller to the Duke of Edinburgh 
Air Commodore Sir Edward Fielden, K. C. V. O., C. B., 

D. F. C, A. F. C, Captain of the Queen's Flight 
James Orr, Private Secretary to the Duke of Edinburgh 
Lt. Col. Martin Charteris, M. V. O., O. B. E., Assistant 

Private Secretary to the Queen 



The Department of State announced on Octo- 
ber 22 (press release 587) that Paul-Henri Spaak, 
Secretary General of the North Atlantic Treaty 
Organization, would arrive at Washington on 
October 24 to participate in discussions on NATO 
matters with President Eisenhower and with offi- 
cials of the State and Defense Departments. On 
October 26 Mr. Spaak will leave for a week's tour 
of the United States, witli stops at Norfolk and 
Williamsburg, Va. ; Philadelphia, Pa.; Omaha, 
Nebr. ; El Paso, Tex. ; San Francisco and Stanford, 
Calif. ; and Colorado Springs, Colo. He will ar- 
rive at New York on November 1 and will leave for 
a visit to the United Kingdom on November 4. 

Members of the party are as follows : 

Paul-Henri Spaak, Secretary General of the North 

Atlantic Treaty Organization 
Aubrey Casardi, Assistant Secretary General 
Andr(5 St. MIeux, Assistant to the Secretary General 
Edward Key, press officer, NATO International StiifC 



746 



Department of State Bulletin 



People-to-People Program 

Remarks by President Eisenhower^ 

With 32 countries here represented from all 
over "Western Europe and indeed from many otlier 
parts of the world, I would be, m my own opinion, 
almost remiss if I had not come before you to say, 
first of all, welcome to this Capital City of this 
country and to the Nation itself, and to assure you 
that I speak for all the people. I know I do, when 
in expressing the hope that you find here some- 
thing of value that you may take back and with 
your new understanding help promote a better, 
common approach to the problems that all the 
world must face — if we are to continue t o 
prosper — and, indeed, to continue to give employ- 
ment to actuaries! This thing can be very per- 
sonal, you know, just as well as national and 
international in its scope. 

In line with this idea that I am so roughly try- 
ing to exjjress, I have supported a number of pro- 
grams for the interchange of students. The only 
organization to which I have lent my name since 
becoming President has been the Eisenhower 
Fellowships, under which system people from your 
countries and from this country — young execu- 
tives, business executives — are exchanged. That 
is one little corner of the whole problem that is 
dealt with by private philanthropy in this country. 

But I have supported also the broader thing 
called the people-to-people program. Now there 
are many people-to-people programs going on in 
other coimtries and this one. Here different 
foundations support different types of exchange 
of students and professors. The Fulbright system 
encourages more exchanges. But the people-to- 
people program is our hope for supporting all of 
these and enlarging them so that you as an actuary 
can get to know what the one out in Chicago does, 
or in New York, or in Philadelphia, or Hartford, 
or wherever our great insurance companies are in 
this country, and to know him — and not only in 
his office but in his home, how he lives, how his 
children go to school — what are their ideals, their 
aspirations, just as we need to know that about you. 

Because, my friends, we may differ about a 
problem very seriously, but if you understand 



' Made to delegates to the International Congress of 
Actuaries in the lose garden at the White House on Oct. 21 
(White House press release). 



that I have a side to the problem and I understand 
that you have a side to the problem, the bitterness 
is removed from our conversations and our dis- 
cussions. That is the important thing. It is not 
that we differ. If we don't differ, there is no prog- 
ress, because we would all be satisfied exactly as 
things are and we would want to go no further. We 
can never be wholly regimented and believe every- 
thing in every way the same, but we can under- 
stand the other side and therefore take the bitter- 
ness out of our discussions that leads to stagnation, 
antagonisms, which will defeat our purpose of 
living as free peoples, each developing its own 
resources to the utmost. 

So that is the reason that I have felt it a duty 
as well as a great privilege to appear before you, 
to say welcome again, and to say I hope that 
through your meeting and others like it we will yet 
bring all the free world to closer and closer com- 
munion. In so doing we will give an example to 
others that finally the whole world, no matter be- 
hind what curtains it is now located, will finally, 
with all the rest, enjoy a just and lasting peace. 

Thank you very much. 



Secretary Dulles Appoints 
Advisory Committee on Arts 

Press release 578 dated October 18 

The Secretary of State announced on October 
16 the appointment of the members of the Ad- 
visory Committee on the Arts created by the In- 
ternational Cultural Exchange and Trade Fair 
Participation Act of 1956 (Public Law 860, 84th 
Congress) . The provisions of this act call for a 
chairman to be selected by the U.S. Advisory Com- 
mission on Educational Exchange from among 
its membership and nine other members to be ap- 
pointed by the Secretary of State. 

The U.S. Advisory Commission on Educational 
Exchange has designated its chairman, Rufus H. 
Fitzgerald, Chancellor Emeritus of the University 
of Pittsburgh, as chairman of the Advisory Com- 
mittee on the Arts. The nine other members of 
the committee were selected for their experience or 
interest in, and knowledge of, one or more of the 
arts. They are : 

Gilmore Clark, landscape architect, New York, N.Y. 
Sumner McKnight Crosby, art historian, curator, Yale 

University 
Lamar Dodd, artist, art educator, University of Georgia 



November 71, 1957 



747 



Thor Johnson, musician, orchestra conductor, Cincinnati, 
Ohio 

James Albert Michener, author, Tinlcum, Pa. 

Robert Montgomery, actor, television executive, Neve 
York, N.Y. 

George Lloyd Murphy, actor, motion picture executive, 
Beverly Hills, Calif. 

Charles Nagel, art museum director, St. Louis, Mo. 

Helen Crocker Russell, civic leader, art patron, San Fran- 
cisco, Calif. 

In making these appointments due consideration 
was given to recommendations submitted by lead- 
ing national organizations in the major art fields. 

This committee was created by Congress to ad- 
vise and assist the President and Government de- 
partments and agencies in the conduct of the 
cultural program authorized by Public Law 860, 
84th Congress, and — with special reference to the 
role of the arts — in other international cultural 
activities and exchanges. 



independence because the Soviet Army moved in 
in great strength to overwhelm them. But that 
does not diminish in any way the importance of 
what they did. 

The fact that, after years of occupation, the 
Soviet Communists had not been able to sell their 
doctrine to the youth of Hungary is, in itself, a 
most encouraging sign that the love of freedom is 
born in every human being and that, even though 
these young people had never known anything else, 
yet they did not accept the slave doctrine of Soviet 
communism. 

The action of the Hungarian people has been an 
inspiration to liberty lovers all over the world. It 
has also shown the true nature of Soviet commu- 
nism in a pitilessly realistic light. Let us give 
thanks to these brave men and women that the love 
of liberty is still strong, and let us go on with 
hope for the future. 



Hungarian Freedom Day, October 23 



WHITE HOUSE STATEMENT 

White House press release dated October 23 

A year ago today tlie Hungarian people at- 
tempted to establish a free government of their 
own choice. Their attempt was ruthlessly and 
brutally crushed by the armed forces of their Com- 
munist oppressors. 

All Americans as well as free people the world 
over will remember this historic event not only 
with sorrow for the sacrifices of the Hungarian 
people but with feelings of deep respect for their 
outstanding courage. 



STATEMENT BY HENRY CABOT LODGE > 

A year ago, on October 23 to be exact, tlie people 
of Hungary certainly lived one of the finest mo- 
ments in their history. That was when the Hun- 
garian revolution broke out against the secret 
police and the iron dictatorship of the Communist 
rule. 

Tlie woi'ld knows the tragedy of those events. 
The world knows that, in spite of their braveiy, 
the Hungarians did not succeed in achieving their 



^Released to the press on Oct. 22 (U.S./U.N. press re- 
lease 2777 (luted Oct. 21). Ambassador Lodge is U.S. 
Representative to the United Nations. 



Polish Specialists To Observe 
Food and Clothing Industries 

Press release 589 dated October 22 

Jozef Kutin, Under Secretary of State in the 
Polish Ministry of Internal Trade, arrived in the 
United States October 17 to observe the American 
food and clothing industries. He is accompanied 
by Tadeusz Skowronski, Deputy Director for 
Organization and Administration in the Polish 
Central Bureau of Food Wholesaler, who will 
make the tour of the food industry with him. Mr. 
Kutin will be joined later by Stanislaw 
Pawelczak, Director of the Polish Central Bui'eau 
of the Clothing Trade, who will accompany him 
on liis tour of the American clothing industry. 

The exchange of delegations was arranged 
between the Polish and American Governments 
and is sponsored by the National Association of 
Food Chains and by the Singer Manufacturing 
Company, who are expected to send representa- 
tives to Poland for reciprocal visits. 

The Polish delegation will travel through the 
Mideast and Middle Atlantic States in the course 
of their tour, which lasts until December G. The 
visitors are currently in Washington, D. C, 
attending the 24th annual meeting of the National 
Association of Food Chains and the Conference 
of the International Committee of Chain Stores. 



748 



Department of State Bulletin 



International Organizations: Aid to World Trade and Prosperity 



hy Francis 0. 'Wilcox 

Assistant Secretary for International Organization Affairs ^ 



I know of no city more appropriate for a dis- 
cussion of world trade than Boston. A Boston 
ship, the Columbia, was the first American vessel 
to sail aromid the world. By 1805 enterprising 
Boston merchants were even shipping ice to 
Jamaica. By 1850 stately clipper ships were en- 
gaged in a thriving trade in all four corners of 
the world. 

Today Boston is the nerve center of New Eng- 
land's business, financial, and industrial complex. 
It also is one of the great seaports of our country. 
Swift engine-driven merchantmen and huge 
silvery aircraft have supplanted the clipper ships 
in carrying the products and ideas of American 
ingenuity and enterprise throughout the world. 

The development of trade between nations, to 
which this city has contributed so generously, has 
been a driving force in world progress. The urge 
of one nation to trade with another has spurred 
man's search for centuries for new lands and new 
materials. It has shaped the destinies of both 
large and small nations, including our own. 
Today the economic stability of many countries 
depends almost entirely on their ability to trade 
with one another on an increasing scale. 

Moreover, international trade is to a large 
extent responsible for the exchange of ideas and 
teclmical know-how between nations. This ex- 
change has helped to make us great. And the 
export of our technical know-how, whether it 
be through international trade or foreign aid, is 
helping the newly developing countries, on whose 
friendship and cooperation we depend, to make 
their way too. I am convinced that it is one 



"Address made before the Boston Conference on Dis- 
tribution at Boston, Mass., on Oct. 21 (press release 585). 



of the most effective ways of helpmg them to 
resist the phony promises and the harsh pressures 
of world conmiunism. 

Today I would like to discuss with you the role 
of international organizations in helping us all 
to meet the problems which have grown out of 
the complex of present-day world trade. But 
before doing so, let us first consider the vital 
importance of foreign trade to tlie United States. 

Importance of World Trade to the United States 

It is an incontrovertible fact that international 
trade is essential to the progress and prosperity 
of this country. President Eisenhower made this 
clear last April in a message to Congress when he 
declared : - 

Foreign trade is a major economic activity in the 
United States. In 1956 our merchandise exports . . . 
amounted to over 17 billion dollars. ... In the field of 
agriculture alone exports provide the market for the 
product of about 40 million acres of land. 

Those who advocate ever higher tariffs should 
remember that earnings from these exports exert 
a powerful influence on the American economy. 
Millions of Americans make their living through 
foreign trade. Exports, as you well know, stimu- 
late production and contribute to lower unit pro- 
duction costs. This, in turn, results in lower 
prices and higher living standards for all Ameri- 
cans. Then, too, our export trade is of vital im- 
portance to any business which depends for its 
prosperity on a strong domestic market, whether 
it produces for export or not. 

But we must never lose sight of the fact that 
international trade is a two-way street. We need 



' Bulletin of Apr. 22, 1957, p. 657. 



November 11, 7957 



749 



imports as well as exports. There are few in- 
dustries, including those producing for our na- 
tional defense, which do not depend on imports 
from abroad. Our industries need tin, natural 
rubber, industrial diamonds, various ores, jute, 
and sisal in addition to certain manufactured 
products to keep their factories busy. They are 
essential in order to insure a constant improve- 
ment of our standard of living by increasing the 
variety and quality of consumers' goods available 
to the American people. 

But there is the other side of the coin. And 
this we should always keep in mind. Other coun- 
tries need the earnings from our imports to pay 
for the products we sell to them. Now it is cer- 
tainly true that the $1.5 billion which American 
tourists spend on their vacations abroad each year 
is a big help in this respect. So are American in- 
vestments, which are another source of hard cash 
which these nations must have to pay for our ex- 
ports to them. But in the last analysis these coun- 
tries must pay for most of the things they buy 
from us with dollars earned by selling their own 
wares to this coimtry. It is a truism that a nation 
can sell abroad only as it is willing to buy abroad. 

Consequently it is only common sense that, in 
our own economic interest and quite apart from 
our other very worthy objectives such as insuring 
a prosperous and peaceful world, we must keep 
open the channels of our import trade. Any other 
course would be national suicide. 

The Need for International Organizations in World 
Trade 

Since World War II trade relations between 
nations have grown increasingly complicated. 
When hostilities ended, many nations, as you re- 
member, had almost exhausted their reserves of 
dollars and other hard currencies. But their 
need for products from hard-currency countries 
continued. To halt the drain on their hard-cur- 
rency reserves these countries drastically cur- 
tailed imports, put strict controls on foreign ex- 
change, and entered into discriminatory bilateral 
trade agreements with one another. The result 
was a strict government control over the foreign 
trade of many of these nations. 

Consequently it has been necessary for the 
United States to meet with other nations of the 
world in international forums in persistent eiforts 



to untangle the problems arising from these re- 
strictive practices. 

General Agreen^ent on Tariffs and Trade 

To meet these problems the United States and 
35 other nations =* have negotiated a broad agree- 
ment for the reduction of tariffs and a set of basic 
principles designed to prevent discriminatory 
trade practices and gradually relax trade bar- 
riers of all kinds. These arrangements were 
packaged in a multilateral trade pact called the 
General Agreement on Tariffs and Trade, more 
commonly known as GATT. And what has 
GATT accomplished, you may ask. 

Well, let's take a look at the record. Its mem- 
ber states have agreed to approximately 60,000 
tariff concessions. The United States through 
its participation in GATT has obtained conces- 
sions covering about 50 jjercent of the value of 
its exports — concessions which it would have been 
difficult or even impossible to obtain otherwise. 
Of course, we have had to make concessions too. 
But the high levels of American exports, quite 
apart from foreign-aid shipments, are a clear 
indication that we have bargained well and effec- 
tively. I believe this is a pretty impressive 
record. 

Organization for Trade Cooperation 

GATT paved the way for obtaining important 
tariff' cuts for our export trade. This, however, 
was only part of its job. Tariff cuts may be de- 
sirable, but without an accompanying relaxation 
of exchange controls, import licensing, and other 
restrictive practices they are, in many cases, al- 
most meaningless. The General Agreement does 
contain provisions designed to eliminate these 
bottlenecks to world trade. And we have made 
a great deal of progress in eliminating restrictive 
trade practices in recent years. But the plain 
fact is that we are not moving fast enough. 

Consequently a new mechanism has been de- 
signed to achieve this goal. I refer to the pro- 
posed Organization for Trade Cooperation. The 
OTC, once established, would take over the job 
of administering GATT. It would provide an 
international forum where member states could 



3 Malaya became the 37tli Contracting Party to GATT | 
on Oft. 24, 1957. 



750 



Department of State Bulletin i 



more effectively apply the ground rules estab- 
lished under GATT to their mutual benefit. As 
President Eisenhower, in urging approval of 
OTC, declared:* 

It would open the way to major benefits for American 
trade by providing day to day review and consultation 
on administration of our trade agreements .... It 
would enable us more effectively to encourage the open- 
ing of new opportunities for our exports to compete in 
the world market on their commercial merit. 

The proposal for the establishment of OTC is 
awaiting approval by the Congress. Without 
such approval by the world's greatest trading 
power, the OTC cannot come into existence. I 
submit that this is a grave responsibility which 
we camiot take lightly. 

The Broader Approach: The United Nations and 
Specialized Agencies 

However, it is not enough just to open up exist- 
ing markets. New markets have to be created and 
old ones strengthened. To me this simply means 
that we must raise our sights. Greater purchas- 
ing power must be created in areas wliere per 
capita income is often below $100 per year. It 
means better working conditions, including decent 
wages and a measure of social security. It means 
greater productivity, improved agriculture, and 
new industries — all the way from Latin America 
to Asia, the Middle East, and Africa. Health 
standards must be raised, for sick people produce 
relatively little. Literacy must be increased 
throughout the world; in this connection bear in 
mind that over half of the people of tlie world 
above 15 are still unable to read and write. And, 
of course, better transportation facilities must be 
established both within underdeveloped countries 
and between them and the more highly developed 
areas. 

These objectives are a matter of vital concern to 
governments throughout the free world. Tliey are 
among the chief targets of a group of intergov- 
ernmental organizations. I refer specifically to 
the United Nations and its 11 specialized agencies. 
Their efforts in the economic and social fields are 
carried on witliout a great deal of fanfare. Tliey 
seldom make the headlines. But tliere is no doubt 
in my mind that they have achieved the greatest 
degree of international economic and social co- 



operation that the world has ever known. 
Througli their programs they are helping to raise 
the standards of living of peoples throughout the 
world and thereby creating new opportunities for 
trade and commerce. They are laying the basis 
for a more lasting peace in the political field. Let 
us take a look at what some of them are doing. 

Economic Activities of the United Nations 

Each year the United Nations Secretariat fur- 
nishes the Economic and Social Council with a 
comprehensive report on world economic condi- 
tions.^ I suggest that you as businessmen have a 
look at it. This report provides an opportunity 
for the Council to review in some detail the prog- 
ress made in economic development throughout 
the world. 

Some critics will argue that this exercise seems 
to produce nothing more than reports, studies, and 
perliaps more talk. Often overlooked by the crit- 
ics, however, is the fact that nations of the world 
and their governments are learning to ask the 
right questions. Economic thought, particularly 
in some of the newly developing countries, is grad- 
ually emerging from the realm of wishful thinking 
and visionary dreams into a more realistic ap- 
praisal of their real needs and potentials. Right 
after World War II a great many countries of the 
world, large and small alike, wanted their own 
steel mills and other similar industrial equipment. 
But this unrealistic attitude has been rejjlaced by 
a more practical search for new agricultural and 
industrial opportunities more in keeping with the 
natural resources of the various countries. 

This growing sense of realism which I have 
referred to is becoming increasingly apparent in 
the three regional commissions established by the 
Economic and Social Council — the Economic 
Commission for Europe (ECE), the Economic 
Commission for Latin America (ECLA), and the 
Economic Commission for Asia and the Far East 
(ECAFE). The ECE in the early years of its 
existence contributed substantially to the revival 
of Europe's economy by helping to eliminate 
bottlenecks in transportation and the production 
of key raw materials necessary for industrial re- 
covery. More recently the Commission has been 
focusing its attention on trade between Eastern 
and Western Europe. In this respect, however, 



* Bulletin of Apr. 22, 1957, p. 657. 
November J I, J 957 



^ For the latest report, see U.N. publication 1957. 
C. 1 (U.N. doc. E/29S2). 



II. 



751 



the results, as was to be anticipated, have not been 
breathtaking. 

By contrast, the Economic Commissions in Asia 
and Latin America have gi-own stronger and are 
proving their worth by stimulating economic de- 
velopment in their respective areas. They have 
promoted helpful surveys of resources ranging 
from timber and minerals to manpower. They 
have directly assisted trade through training and 
expert advice on modern marketing methods such 
as standardization, trade fairs, and other trade- 
promotion activities. They have helped build up 
transport facilities — roads, railways, and rivers. 

Financing Economic Development 

Increasing attention has been given to the prob- 
lems of financing economic development. Un- 
fortunately no one has been able to devise a magic 
formula by which a nation can be developed with- 
out a certain amount of capital. Our own repre- 
sentatives have persistently pointed up the need 
for promoting national savings and encouraging 
the flow of private investment. Partly as a result 
of this a substantial number of countries have 
sought to improve the climate for private invest- 
ment, thus establishing a counterforce to the trend 
toward state socialism. This is particularly im- 
portant at a time when the U.S.S.R. is going all 
out to impose economic totalitarianism upon the 
world. 

Other problems of international financing exist 
which I cannot do more than touch on. For 
example, we expect heated debates in the current 
General Assembly over the establishment of a 
Special United Nations Fund for Economic De- 
velopment, more commonly known as SUNFED. 
This debate has been going on for several years. 
Wliile we are sympathetic to tlie very natural 
desires of the underdeveloped countries to move 
ahead with their development programs, we 
believe that the fund ought not be established 
until we have made a sufficient start on interna- 
tionally controlled disarmament.' 

Meanwhile powerful financial aid already is 
being provided to the newly developing countries 
through our bilateral programs, certain regional 
organizations like the Colombo Plan, and the 



' For a statement by Neil II. Jacoby, U.S. Repre.seuta- 
tive on the U.N. Economic and Social Council, on financ- 
ing economic development, see Bulletin of Sept. 23, 
10.57, p. 502. 



International Bank. The latter, I might point 
out, has approved loans to 45 member countries 
and territories amounting to a total of $3,108 bil- 
lion since it was first established. This assistance 
from the bank has been supported by the Interna- 
tional Monetary Fund, whose loans and standby 
credits have contributed to the achievement of 
financial stability and the removal of exchange 
restrictions. This in itself is a major contribu- 
tion to world trade. 

Other specialized agencies are not so directly 
concerned with economic or financial develop- 
ment. But their work is essential to the building 
of a more prosperous world. 

World Health Organization 

Take first the World Health Organization. 
The "WlIO is not only protecting the health and 
welfai'e of our own people by its services in re- 
porting epidemics and its work in the standardi- 
zation of drugs. It also is in the forefront of the 
battle against debilitating diseases which reduce 
or destroy productivity and mean poverty and 
despair to millions of people. 

In this respect the WHO is indirectly helping 
us as well. A good example is its fight against 
malaria. The United States draws 60 percent of 
its imports from countries plagued by that dis- 
ease. Money spent on efforts to combat malaria 
among the workers who turn out the products 
purchased by the United States adds on the aver- 
age at least 5 percent to the cost of these items. 
This amounts to an additional cost to the Ameri- 
can importer of more than $3.50 million a year. 

As a result of tlie lead taken by tlie WHO and 
other agencies in the elimination of malaria, mil- 
lions of people have already been saved from 
that scourge. Given continued support for the 
work of the WHO, malaria can be wiped from 
the face of the eartli within our lifetime. The 
same is true of otlier man-destroying diseases such 
as yaws, traclioma, leprosy, and other tropical 
plagues. 

Food and Agriculture Organization 

Spearheading tlie effort to raise food produc- 
tion and to improve the diet of peoples tlirough 
better methods of agriculture is the Food and 
Agriculture Organization. FAO experts and 
training teams work with the governments of the 



752 



Department of State Bulletin 



less developed countries to help bring about a sub- 
stantial increase in food production. The yield 
of rice per acre has doubled and even tripled in 
several parts of Asia. Overall food production 
in the world in 1956 increased by 3 percent over 
the previous year, while world population in- 
creased only by 1.7 percent. Thus, for the first 
time in recent history, food production out- 
stripped the increase in population, thereby open- 
ing to question the validity of the Malthusian 
doctrine. The FAO is now able to give increased 
attention to the promotion of selective produc- 
tion to assure a larger supply of protein-rich 
food, the lack of which until recently has caused 
the death of millions of people, particularly chil- 
dren, in Africa and elsewhere. 

Obviously, better health and more and adequate 
food help to create new markets in which to trade. 
As the newly developed countries improve their 
methods of agriculture, they move on toward in- 
dustrialization. This, in turn, means increased 
imports of capital equipment from the more 
highly developed countries such as the United 
States. 

UNESCO 

Food, clothing, and shelter ai'e necessai-y to life. 
But a civilized society needs something more. It 
needs education. Education furnishes the mental 
tools without which substantial progress in eco- 
nomic, social, and human development is impos- 
sible. Indeed, in developing the underdeveloped 
countries, the A B C's, in many ways, are more 
important than tractors or diesel engines. 

The United Nations Educational, Scientific and 
Cultural Organization is helping to provide these 
tools on an increasing scale. In Mexico, in Egypt, 
and in other newly developing nations UNESCO 
is making a substantial contribution to the elimi- 
nation of illiteracy and to the improvement of 
standards of living through fundamental educa- 
tion. The schools of Afghanistan, Libya, Thai- 
land, and others have been improved through 
assistance from UNESCO experts. 

The Soviet Union formerly accused UNESCO 
of being "an agent of American imperialism." As 
communism thrives on poverty and poverty 
flourishes on ignorance, the accusation of the 
Soviet Union, false as it is, can be regarded as a 
tribute to the effectiveness of UNESCO's efforts. 

November 7 7, 7957 

445657—57 3 



International Labor Organization 

Last but not least, let nie say a few words about 
the International Labor Organization. American 
industry has long complained of the competition 
from imported products turned out by underpaid 
foreign labor. The ILO is the most effective in- 
strument we have to raise the standards of labor 
and thus eliminate this type of competition. 
Through international conventions and other 
means the ILO has been instrumental in setting 
higher standards in wages and working condi- 
tions in many foreign countries. ILO activity 
i-elating to working conditions in the merchant- 
shipping industry has gone a long way in placing 
our own shipping industry on a more fully com- 
petitive basis by eliminating substandard wages 
and working conditions in foreign shipping 
enterprises. 

In recent years the ILO has developed a world- 
wide manpower program. Under this program 
ILO productivity teams and training centers are 
helping to increase the national product of a sub- 
stantial number of countries. 

Finally, ILO experts have an enviable record in 
assisting governments in the development of more 
efficient social-security systems. All this makes 
for higher standards of living, more production, 
stronger and more stable markets. 

Concluding Comments 

It would be foolish of me to pretend that all 
these activities, on which the United Nations and 
the specialized agencies spent some $144 million in 
1956 (not counting the loans of the International 
Bank and the Monetary Fund), will usher in the 
millennium. But I do submit that they are vital 
to our own well-being and the economic and po- 
litical future of the world. 

If any further proof is needed for this state- 
ment, it has been furnished by recent changes in 
Soviet policies. When we drafted the charter of 
the United Nations, the U.S.S.R. yielded only re- 
luctantly to our demand that there be included in 
the objectives of the United Nations the better- 
ment of economic and social conditions. Through- 
out the Stalin era it was Soviet policy to boycott 
and undermine the work of the specialized agen- 
cies. Moscow's leaders remained aloof from mem- 
bership in the International Bank and the 
Monetary Fund, the FAO and UNESCO. In 
1949 they withdrew even from the WHO. In 



753 



those days the Soviets seemed to take great delight 
in launching bitter attacks on the specialized 
agencies such as the ILO, which they described as 
"an instrument of capitalist employers to enslave 
the workers of the world." 

But now the picture has changed. Since 1954 
the U.S.S.R. has joined or rejoined UNESCO, the 
ILO, and the WHO. Beginning in 1954 they con- 
tributed the equivalent of $1 million annually to 
tlie United Nations Technical Assistance Pro- 
gram. Within the United Nations and in these 
agencies they are presently making an all-out 
effort to assume the role of self-appointed cham- 
pions of economic and social development. 

What caused this radical change ? The answer 
is simple and self-evident. No doubt Mr. Khrush- 
chev and company realized that the economic and 
social services performed, largely under United 
States leadership, by the United Nations and the 
specialized agencies threatened Communist plans 
in the world. They were impressed and fright- 
ened by the impact made upon the underdeveloped 
countries by free-world aid. Production was in- 
creasing even in the most backward countries. 
New markets were opening up, and, above all, free- 
world methods were helping to achieve higher 
standards of living for hundreds of millions of 
people in Asia, Africa, and elsewhere. All this 
was being achieved without paying the appalling 
cost in loss of lives and of freedom, one of the chief 
characteristics of economic development in the 
Communist-controlled countries. In other words, 
the great design for the Communist conquest of 
the world was failing. 

No wonder the Soviet leaders responded to the 
maxim "if you can't lick 'em, join 'em." And now, 
having decided to participate in these various 
United Nations programs, we can be sure that they 
will make every effort to use them for their own 
devious purposes. 

Thus the struggle between Soviet communism 
and the free world has entered upon a new and 
broader stage. It calls for ever more initiative, 
for ever more effective participation on our part 
and on the part of other free nations in the United 
Nations and its specialized agencies. This is the 
only way we can meet this new Soviet offensive. 

Admittedly the U.S.S.R. has made great prog- 
ress in science and technology. They have built 
up a formidable industrial complex. On the other 

754 



hand, standards of living in the Soviet world have 
remained low and their trade remains a fraction 
of that of the free world. Above all, they have 
sacrificed the happiness and freedom of the many 
to buttress tlie power of the few. This may prove 
to be the fatal error of Soviet communism. 

By contrast, our road is the road of increased 
prosperity for all. More important still, it is the 
road of prosperity with freedom. If we continue 
to move ahead on that road, mankind will one day 
reach the goal to which he has always aspired. 

French-American Conversations 
on 1946 Air Agreement 

Press release 593 dated October 25 

F olio IV in g French-American conversations 
tohich have just taken place at Paris on the func- 
tioning of the Franco-American Air Agreement 
of 19Jf6, a communique was issued jointly hy the 
two delegations on October 25. The text of the 
communique foUoios. 

For some time France has felt that the Civil 
Air Agreement concluded with the United States 
in 1946 ^ has increasingly favored the growth of 
United States airlines at the expense of those of 
France. This belief has been sti'ongly reinforced 
by a unilateral expansion of United States air- 
lines service from new points in the United States 
to France. 

Accordingly, the Government of France, under 
Article VIII of the Air Transport Agreement of 
March 27, 1946, has requested that the present 
consultations, initially undertaken on a limited 
basis, be expanded to include a broader exchange 
of views on the questions pending in the field 
of civil aviation between the United States and 
France. 

In accordance with the requirements of the 
Agreement, although not considering that there 
is favor to the United States airlines or disad- 
vantage to those of France, the United States has 
agreed to the French request for broader consul- 
tations and that such consultations be undertaken 
as soon as possible. 

Accordingly, additional discussions will be 
held in Washington beffinnina; December 10. 



' Treaties and other International Acts 'Series 1679, 
2106, 2257, and 2258. 

Department of State Bulletin 



li 



U.S. Role in Economic Development of Colombo Plan Area 



hy G. Frederick Reinhardt 
Counselor ^ 



The United States delegation is jileased and 
honored to participate in the Consultative Com- 
mittee meetings. We join in expressing apprecia- 
tion and admiration for the splendid arrangements 
made by our hosts for the effective pursuit of our 
business and for our personal comfort. We are 
honored to join in the welcome extended to the 
Federation of Malaya. It is a particular pleasure 
for me to represent my country at the meeting in 
Saigon since it gives the opportunity to see again 
many of the friends I made during my 2 years in 
Viet-Nam.^ 

My country attaches great importance to the 
Colombo Plan's contribution to cooperative eco- 
nomic development in South and Southeast Asia. 
The United States appreciates its membership in 
such a distinguished forum, where old and new 
friends meet to exchange ideas and experiences on 
current economic problems and face together the 
crucial tasks ahead. We meet again in the infor- 
mal, friendly atmosphere of the Colombo Plan 
to discuss the problems and progress of develop- 
ment in free Asia. 

The United States continually seeks to under- 
stand the real problems of economic development 
and cooperation in South and Southeast Asia as 
the leaders and people in this area see them. We 



' Address made at the Ministerial Meeting of the Con- 
sultative Committee on Cooperative Economic Develop- 
ment in South and Southeast Asia (the Colombo Plan) at 
Saigon, Viet-Nam, on Oct. 22 (press release 590 dated 
Oct. 2.3). Mr. Reinhardt was U.S. representative to the 
Ministerial Meeting. For names of other members of the 
U.S. delegation, see Bulletin of Oct. 28, 1957, p. 695. 
For a communique issued at the conclusion of the eighth 
meeting of the Committee, see ibid., Jan. 7, 1957, p. 30. 

^ Mr. Reinhardt was Ambassador to the Republic of 
Viet-Nam from April 1955 to March 1957. 



are aware of the tremendous energy in Asia which, 
if suitably channeled, can make good use of Asia's 
resources and talents. 

Each annual meeting of this Committee gives 
us an opportunity to take stock and express our 
understanding of future significant problems in 
South and Southeast Asia. The vast area of the 
Colombo Plan includes many newly independent 
nations representing some of the world's oldest 
surviving cultures. New governments in Asia 
are responding, to use the words of the President 
of Viet-Nam in his inspiring welcoming speech, 



U.S. To Host 1958 Meeting 
of Colombo Plan Committee 

Press release 592 dated October 20 

The 18-uation Colombo Plan Consultative Com- 
mittee will hold its 1958 meeting in the United 
States. The invitation was extended on behalf of 
the Government by G. Frederick Reinhardt, Coun- 
selor of the Department of State, in his capacity 
of U.S. Ministerial Representative to the 1957 Con- 
sultative Committee meeting, which ended on Octo- 
ber 24 at Saigon, Viet-Nam. 

The 19.j8 meeting in the United States will be the 
10th session of the Committee. Previous meetings 
have been held in Australia, the United Kingdom, 
Ce.vlon, Pakistan, India, Canada, Singapore, New 
Zealand, and Viet-Xnm. 

The Consultative Committee consists of Aus- 
tralia, Burma, Cambodia, Canada, Ceylon, India, 
Indonesia, .lapan, Laos, Mala.va, Nepal, New Zea- 
land, Pakistan, the Philippines, Thailand, the 
United Kingdom together with Singapore and 
British Borneo, the United States, and Viet-Nam. 

The exact time of the meeting and its location 
in the United States will be announced at a later 
date. 



November ?J, 1957 



755 



to "the revolution of rising expectations of the 
people." 

Review of progress over the last decade indi- 
cates that the countries of South and Southeast 
Asia are moving along the road of accelerated 
economic development. During the past years 
many of the overriding internal political and 
economic problems have been partially solved. 
Many countries newly independent have been 
engrossed in urgent, immediate national problems 
of consolidation and pacification. As indicated 
by the reports of this Committee over the years, 
there is a growing awareness of tlie nature and 
dimension of the principal factors limiting the 
rate of economic growth and the need for flexi- 
bility in implementing development programs. 

It is in this setting that I comment on my Gov- 
ernment's efforts to assist in stimulating economic 
development in South and Southeast Asia. The 
problem of financing economic development has 
been the subject of constant study and discussion 
in my country during the past year as attention 
was focused on the many aspects of our aid 
legislation and programs. 

The Development Loan Fund 

Both our executive branch and our Congress, 
as well as many private foundations and citizens, 
studied and recommended measures by means of 
which the United States might help stimulate 
and support economic growth in the lesser devel- 
oped countries. These deliberations resulted in 
a new program designed to help accelerate eco- 
nomic development — tlie Development Loan 
Fund. I should like to describe how we hope that 
this new fund as well as our other existing pro- 
grams can supplement domestic efforts in meet- 
ing some of the financial, technical, and physical 
problems which confront the Colombo Plan 
countries. 

At its last session our Congress established this 
Development Loan Fund and appropriated $300 
million for its initial operations. We believe that 
the fund will help in the financing of economic 
development on a sound and businesslike basis. 
The Development Fund is now being organized 
and will be administered by a manager as a part of 
the International Cooperation Administration. 
The fund will have a staff to process loan appli- 
cations. 



The Development Fund is now ready to con- 
sider proposals for projects in the less developed 
countries of the free world. These projects, to be 
eligible for fund financing, must meet certain 
criteria : 

First, the project must be technically feasible 
and economically sound and must contribute to 
tlie economic development of the country. 

Second, the loan must offer reasonable prospect 
of repayment in either dollars or local currency. 

Third, a project that can be financed from 
other free-world sources, including private invest- 
ment, the Exj^ort-Import Bank, the World Bank, 
and the International Finance Corporation, will 
not be eligible. 

The Development Fund will consider not only 
projects that might contribute directly to in- 
creased production in the fields of agriculture, 
manufacturing, extractive industries, irrigation, 
and transportation but also projects which would 
make an indirect contribution. Cases might arise, 
for example, where a training school or health 
facility was vitally needed to expand agricultural 
or industrial output. 

The fund's loans will generally be extended on 
more flexible terms than those of existing lending 
institutions. This might mean that a fund loan 
is repayable over a longer t«rm or that its repay- 
ment will be accepted in either local currency or 
in dollars, depending on the circumstances. 

The fund will make a particular effort to stimu- 
late increased financing from other sources. The 
fund will, for this reason, welcome proposals for 
projects that would stimulate local and foreign 
private investment. To help promote such invest- 
ment the fund has the authority to guarantee 
loans from private investment sources for devel- 
opment purposes. The fund may sometimes 
associate itself with private investors in financ- 
ing specific projects or related groups of projects. 
It may also help to finance local development 
banks which would make loans to private enter- 
prises. 

The fund will work closely with the U.S. 
Export-Import Bank and the World Bank to 
make possible or facilitate their increased partici- 
pation in meeting financial needs. On occasion 
one of these banks might find that it could meet 
part of the external financing requirement of a 
sound project if it was assured that the remainder 



756 



Department of State Bulletin 



would be forthcoming from some other source. 
In such cases the fund might provide the addi- 
tional resources needed. Also, one of the banks 
might decide that it could finance a given project 
if some other closely related project which it 
coidd not finance were undertaken first. The 
fund might then make a loan which would permit 
the first project to be executed. 

Future Activities of the Fund 

In view of its initially limited resources the 
fund will only be able to undertake this year a few 
of these new activities. But, as it must begin now 
to plan for the future activities, the fund is ready 
to receive proposals for projects which could not 
be undertaken until the next fiscal year. This will 
permit careful advance consideration of such proj- 
ects. Governments or private entities wisliing to 
submit proposals may approach the fund directly 
in "Washington, or they may submit proposals 
through United States missions in the countries 
concerned. 

The following kinds of information would be 
helpful to the fund in connection with such proj- 
ect proposals : 

First, a description of the project. 

Second, its expected local-currency and foreign- 
exchange costs and the proposed method of 
financing. 

Third, prospective ownership and management. 

Fourth, availability of necessary materials, la- 
bor, and transportation, and a market for the fm- 
ished product. 

Fifth, expected effect on the country's produc- 
tion, foreign-exchange position, and economic de- 
velopment. 

If the project seems promising for fund financ- 
ing, a formal application will be invited and addi- 
tional information requested if necessary. 

The future of the fund will depend on the exist- 
ence of sound pi'ojects for which other sources of 
financing are not available. Its resources will 
only be committed, of course, as and when sound 
projects are forthcoming. More importantly, 
Congress may appropriate additional resources 
only if concrete, sound opportunities for their pro- 
ductive use are apparent. 

It is, of course, a borrower's responsibility to 
conceive the projects and carry forward the pro- 



grams which will reveal these op))ortunities. The 
fund cannot share this responsibility. 

The Development I^an Fund is a new element 
in our program of economic assistance. Its estab- 
lishment is an outgrowth of the experience ac- 
quired in administering earlier programs designed 
to assist economic development endeavors abroad. 
It is hoped that it will become the principal means 
of United States govermnental aid for fostering 
specific sound economic development projects 
which cannot otherwise be financed. It is to be 
noted that there is no allocation of funds on a 
country-by-country basis as has been typical of 
previous United States programs. However, as- 
sistance for maintaining the economy under cer- 
tain conditions will continue to be required in some 
countries. Congress has authorized and appro- 
priated funds for such aid (defense support) for 
the next fiscal year. 

Other Elements of U.S. Economic Assistance 

Other elements of the United States economic 
assistance program which continue to be available 
are technical-cooperation funds, the local-currency 
proceeds accruing from programs for the sale of 
agriculture surpluses under the Agricultural 
Trade Development and Assistance Act, and loans 
from the Export-Import Bank of Washington. 

It is generally agreed that technical coopera- 
tion meets an important need of countries of the 
Colombo Plan area. Asian members of the Co- 
lombo Plan have repeatedly caused attention to 
be focused on the problem of acquiring the mana- 
gerial, engineering, and other technical skills nec- 
essary to explore, plan, develop, and maintain eco- 
nomic activity in the region. As has been noted 
in this forum, vocational and on-tlie-job training, 
know-how, and managerial skill form the key to 
the solution of many of the problems confronting 
developing countries. To meet this need will re- 
quire a continuing intensified effort to mobilize 
the best available human resources. 

The United States program for the orderly dis- 
posal of agricultural surpluses, instituted 3 years 
ago, continues to play a role in the economic 
development of countries of the area. Of the 
$850 million of sales agreements concluded with 
countries of South and Southeast Asia, about one- 
half billion dollars in local-currency proceeds 
were programed for loans for economic-develop- 



Novemfaer 17, 7957 



757 



ment purposes. We will continue to work closely 
with the governments concerned to make the best 
possible use of these funds. These funds are in- 
struments for promoting specific kinds of devel- 
opmental endeavor, including the stimulation of 
small enterprises resting on individual initiative. 
The United States Congress lias authorized an 
additional $1 billion to continue sales programs 
under the Agricultural Trade Development and 
Assistance Act. The utilization of the local-cur- 
rency proceeds accruing from sales under this 
authority will also make a contribution to the 
development of the area. 

Since 1950 United States resources made availa- 
ble to the countries of the Colombo Plan area have 
totaled about $3 billion. Tliese resources repre- 
sent governmental funds and do not include addi- 
tional sums coming into the area through private 
investment channels. Such private resources, of- 
ten quietly and witliout fanfare, carry with them 
technical know-liow and experience whicli is 
shared witli people of the area, resulting in in- 
creased output, more efficient production, and 
other important contributions to the economic 
advancement of this region. 

The years of Colombo Plan experience indicate 
increasing recognition of tlie need for a better bal- 
ance between the public and jDrivate sectors. 
Tliroughout free Asia private enterprise predomi- 
nates in tlie fields of agriculture and small busi- 
ness. Private entrepreneurs are also prevalent in 
the extractive and the medium and heavy indus- 
tries of Asia. We realize that the lack of entre- 
preneurial skill and domestic capital often makes 
it difficult to start private ventures in some areas 
of Asia. Our sympathy with this problem is 
borne out by assistance to governmental indus- 
trial production efforts where not to have done 
so would liave deprived a country of facilities 
necessary for subsequent development. We be- 
lieve there are tremendous possibilities in Asia 
which require the initiative, skills, and ingenuity 
of private business, both domestic and foreign. 

Encouragement of Private Enterprise 

Therefore we seek through appropriate means 
to strengthen the resources of Asian private enter- 
prise, to encourage countries to improve tlie cli- 
mate for foreign private investment in Asia and 
expand the contribution of industry and technol- 
ogy to economic development in Asia. For in 



758 



the fields of industrial production and marketing 
we believe private enterprise can obtain results 
more quickly and more satisfactorily than can 
tlie processes of govermnent. About this I believe 
tliere can be no misunderstanding. This point 
of view is not new in the United States, nor is it 
strange to our Asian friends. 

As development in the area progresses, there 
will undoubtedly be increasing opportunities for 
furthering the contribution tliat private initiative 
can make to economic growth. Similarly, we 
believe that increasing cooperation among the 
countries represented here could contribute sub- 
stantially to the development of each country as 
well as to tlie region as a whole. The exchange 
of experience, teclmical skills, and goods and serv- 
ices within the Colombo Plan area is of mutual 
benefit. The time may have been reached when 
the scope of cooperative economic development 
may be expanded. National economic programs 
and policies might usefully be examined in the 
light of regional needs and developments. The 
United States is interested in possible projects 
whicli could benefit two or more countries to pro- 
mote economic growth in this great area. We 
welcome suggestions from our Asian colleagues 
for such projects. 

The purpose of United States policies and pro- 
grams in this area is to help our Asian friends 
preserve and foster their independence, freedom, 
and progress. We have come to understand each 
other's problems better through the exchange of 
ideas and experiences. We are all participants in 
a fast-clianging contemporary world. In such a 
situation an atmosphere of friendliness, the ex- 
pression of trust, and a community of purpose are 
indispensable. The meetings of tlie Consultative 
Committee, the Colombo Plan itself, symbolize 
and strengthen these priceless assets of coopera- 
tive economic endeavor. 



Immigration Quota for Malaya 

A PROCLAMATION' 

Whereas under the provisions of section 202 (a) of 
the Immigration and Nationality Act, eacli Independent 
country, self-governing dominion, mandated territory, and 
territory under the international trusteeship system of 
the United Nations, other than independent countries of 
North, Central, and South America, is entitled to be 



' No. 3206 ; 22 Fed. Reg. 8133. 

Department of State Bulletin 



treated as a separate quota area when aiiproved by the 
Secretary of State ; and 

Whereas under the provisions of section 201 (b) of the 
Immigration and Nationality Act, the Secretary of State, 
tlie Secretary of Commerce, and tlie Attorney General, 
jointly, are required to determine the annual quota of 
any quota area established pursuant to the provisions of 
section 202 (a) of the said Act, and to report to the 
President the quota of each quota area so determined; 
and 

Whereas the Federation of Malaya was on August 31, 
1937, granted independence by the Government of the 
United Kingdom within the British Commonwealth of 
Nations ; and 

Whereas the Secretary of State, the Secretary of Com- 
merce, and the Attorney General have reported to the 
President that in accordance with the duty imposed and 
the authority conferred upon them by section 201 (b) of 
the Immigration and Nationality Act, they jointly have 
made the determination provided for and computed under 
the provisions of section 201 (a) of the said Act, and 
have fixed, in accordance therewith, an immigration 
quota for the Federation of Malaya as hereinafter set 
forth : 

Now, therefore, I, DwioHT D. Eisenhower, President 
of the United States of America, acting under and by 
virtue of the authority vested in me by the aforesaid 
act of Congress, do hereby proclaim and make known 
that the annual quota of the quota area hereinafter des- 
ignated has been determined in accordance with the law 
to be, and shall be, as follows : 



Area No. 


Quota area 


Quota 


89 


Federation of Malaya 


100 



The establishment of an immigration quota for any 
quota area is solely for the purpose of compliance with 
the pertinent provisions of the Immigration and Nation- 
ality Act and is not to be considered as having any signifi- 
cance extraneous to such purpose. 

Proclamation No. 2980 of June 30, 1952, entitled "Immi- 
gration Quotas",^ is amended by the addition of the 
immigration quota for the Federation of Malaya as set 
forth in this proclamation. 

In witness whereof, I have hereunto set my hand and 
caused the Seal of the United States of America to be 
affixed. 

Done at the City of Washington this tenth day of Octo- 
ber in the year of our Lord nineteen hundred 
[seal] and fifty-seven and of the Independence of the 
United States of America the one hundred and 
eighty-second. 



By the President : 

Christian A. Hertee 

Acting Secretary of State 



^_J C O" y LJ~ZuU-<.ju^ A»»o^^ 



' Bulletin of July 14, 1952, p. 83. 



IVIaritime Conventions Signed 
at Brussels Conference 

Press release 577 dated October 15 

The Department of State on October 15 re- 
leased the text of the two conventions signed at 
the Diplomatic Conference on Maritime Law, held 
at Brussels September 30-October 10, 1957, in- 
clusive. Tliese conventions relate to the limitation 
of tlie liability of owners of seagoing ships and 
to stowaways, respectively. 

The conference was convened by tlie Belgian 
Government to consider, at governmental level, 
draft conventions developed by the International 
Maritune Commititee (Ckimite Maritime Inter- 
national) at its Madrid conference in 1955. That 
Committee is an international coalition of national 
law associations of various countries. The Mari- 
time Law Association of the United States is a 
member. The Belgian Government and the 
Comite have taken the lead since 1910 in the de- 
velopment of private international maritime law, 
the Comite drafting conventions for submission to 
diplomatic conferences convened by the Belgian 
Government. As a well-known example, the so- 
called Hague Rules, 1922, embodied in our Ameri- 
can Carriage of Goods by Sea Act, were developed 
in this manner. 

Thirty-two governments, including the United 
States, were represented by delegations at the 1957 
Brussels conference, and six others sent observers. 

The U.S. delegation consisted of Clarence G. 
Morse-, Maritime xidministrator and Chairman of 
the Federal Maritime Board (chainnan of dele- 
gation), John W. Maiui, Department of State 
(vice chairman), Oscar Houston, of Bigham, 
Englar, Jones and Houston, and E. Robert Seaver, 
General Counsel of the Maritime Administration. 

The decision as to whether the conventions will 
be signed on behalf of the U.S. will not be made 
until there has been consultation between the De- 
partments of State, Commerce, Justice, and Navy 
and with the admiralty bar and shipping industry. 



TEXT OF CONVENTIONS 

InternationaS Convention Relating to the Limita- 
tion of the Liability of Owners of Seagoing Ships 

Article 1. 
(1) The owner of a seagoing ship may limit his liability 
in accordance with Article 3 of this Convention in respect 



Uo\GTnh&t I J, 1957 



759 



of claims arising from any of the following occurrences, 
unless the occurrence giving rise to the claim resulted 
from the actual fault or privity of the owner : 

(a) Loss of life of, or personal injury to, any person 
being carried in the ship, and loss of, or damage to, any 
property on board the ship. 

(b) Loss of life of, or personal Injury to, any other 
person whether on land or on water, loss of or damage to 
any other property or infringement of any rights caused 
by the act, neglect or default of any person on board the 
ship for whose act, neglect or default the owner is re- 
sponsible or any person not on board the ship for whose 
act, neglect or default the owner is responsible : Provided 
however that in regard to the act, neglect or default of 
this last class of person, the owner shall only be en- 
titled to limit his liability when the act, neglect or de- 
fault is one which occurs in the navigation or the man- 
agement of the ship or in the loading, carriage or dis- 
charge of its cargo or in the embarkation, carriage or 
disembarkation of its passengers. 

(c) Any obligation or liability imposed by any law re- 
lating to the removal of wreck and arising from or in 
connection with the raising, removal or destruction of any 
.ship which is sunk, stranded or abandoned (including 
anything which may be on board such ship) and any obli- 
gation or liability arising out of damage caused to harbour 
works, basins and navigable waterways. 

(2) In the present Convention the expression "personal 
claim.s" means claims resulting from loss of life and per- 
sonal injury : the expression "property claims" means 
all other claims set out in paragraph (1) of this Article. 

(3) An owner shall be entitled to limit his liability in 
the cases set out in paragraph (1) of this Article even 
in cases where his liability arises, without proof of negli- 
gence on the part of the owner or of persons for whose 
conduct he is responsible, by reason of his ownership, 
possession, custody or control of the ship. 

(4) Nothing in this Article shall apply : 

(a) to claims for salvage or to claims for contribution 
in general average. 

(b) To claims by the Master, by members of the crew, 
by any servants of the owner on board the ship or by 
servants of the owner whose duties are connected with 
the ship, including the claims of their heirs, personal 
representatives or dependents, if under the law govern- 
ing the contract of service between the owner and such 
servants the owner is not entitled to limit his liability in 
respect of such claims or if he is by such law only per- 
mitted to limit his liability to an amount greater than that 
provided for in Article 3 of this Convention. 

(5) If the owner of a ship is entitled to make a claim 
against a claimant arising out of the same occurrence, 
their respective claims shall be set off against each other 
and the provisions of this Convention shall only apply to 
the balance, if any. 

(6) The question upon whom lies the burden of prov- 
ing whether or not the occurrence giving rise to the claim 
resulted from the actual fault of privity of the owner 
shall be determined by the lex fori. 



(7) The act of invoking limitation of liability shall 
not constitute an admission of liability. 

Abticle 2. 

(1) The limit of liability prescribed by Article 3 of 
this Convention shall apply to the aggregate of personal 
claims and property claims which arise on any distinct 
occasion without regard to any claims which have arisen 
or may arise on any other distinct occasion. 

(2) When the aggregate of the claims which arise on 
any distinct occasion exceeds the limits of liability pro- 
vided for by Article 3, the total sum representing such 
limits of liability may be constituted as one distinct 
limitation fund. 

(3) The fund thus constituted shall be available only 
for the payment of claims in respect of which limitation 
of liability can be invoked. 

(4) After the fund has been constituted, no claimant 
against the fund shall be entitled to exercise any right 
against any other assets of the shipovv'ner in respect 
of his claim against the fund, if the limitation fund is 
actually available for the benefit of the claimant. 

Article 3. 

(1) The amounts to which the owner of a ship may 
limit his liability under Article 1 shall be : 

(a) Where the occurrence has only given rise to prop- 
erty claims, an aggregate amount of 1000 francs for each 
ton of the ship's tonnage ; 

(b) Where the occurrence has only given rise to per- 
sonal claims an aggregate amount of 3100 francs for 
each ton of the ship's tonnage ; 

(c) Where the occurrence has given rise both to per- 
sonal claims and property claims an aggregate amount 
of 3100 francs for each ton of the ship's tonnage, of 
which a first portion amounting to 2100 francs for each 
ton of the ship's tonnage shall be exclusively appropri- 
ated to the payment of personal claims and of which a 
second portion amounting to 1000 francs for each ton 
of the ship's tonnage shall be appropriated to the pay- 
ment of property claims, provided however that in cases 
where the first portion is insufficient to pay the personal 
claims in full, the unpaid balance of such claims shall 
rank rateably with the liroperty claims for payment 
against the second portion of the fund. 

(2) In each portion of the limitation fund the dis- 
tribution among the claimants shall be made in pro- 
portion to the amounts of their established claims. 

(3) If before the fund is distributed the owner has 
paid in whole or in part any of the claims set out in 
Article 1 paragraph (1) he shall pro tanto be placed in 
the same position in relation to the fund as the claim- 
ant whose claim he has paid, but only to the extent 
that the claimant whose claim he has paid would have 
had a right of recovery against him under the national 
law of the State where the fund has been constituted. 

(4) Where the shipowner establishes that he may at 
a later date be compelled to pay in whole or in part any 
of the claims set out in Article 1 paragraph (1) the 
Court or other competent authority of the country where 
the fund has been constituted may order that a sufficient 



760 



Deparfment of State Bulletin 



sum shall be provisioually set aside to enable the ship- 
owner at such later date to enforce his claim against 
the fund in the manner set out in the preceding 
paragraph. 

(5) For the i)urpose of ascertaining the limit of an 
owner's liability in accordance with the provisions of 
this Article the tonnage of a ship of less than 300 tons 
shall be deemed to be 300 tons. 

(6) The franc mentioned in this article shall be 
deemed to refer to a unit consisting of sixty-five and a 
half uiilligrauis of gold of millesimal fineness nine hun- 
dred. The amounts mentioned in paragraph (1) of this 
Article shall be converted into the national currency of 
the State in which limitation is sought on the basis of the 
value of that currency by reference to the unit defined 
above at the date on which the shipowner shall have con- 
stituted the limitation fund, made the payment or given 
a guarantee which under the law of that state is equiva- 
lent to such payment. 

(7) For the purpose of this convention tonnage shall 
be calculated as follows : 

— In the case of steamships or other mechanically pro- 
pelled ships there shall be taken the net tonnage with 
the addition of the amount deducted from the gross 
tonnage on account of engine room space for the purpose 
of ascertaining the net tonnage. 

— In the case of all other ships there shall be taken 
the net tonnage. 

Akticle 4. 

Without prejudice to the provisions of Article 3, para- 
graph (2) of this Convention, the rules relating to the 
constitution and distribution of the limitation fund, 
If any, and all rules of procedure shall be governed by 
the national law of the State in which the fund is 
constituted. 

Abticle 5. 

(1) Whenever a shipowner Is entitled to limit his lia- 
bility under this Convention, aad the ship or another 
ship or other property in the same ownership has been 
arrested within the jurisdiction of a contracting State or 
bail or other security has been given to avoid arrest, the 
Court or other competent authority of such State may 
order the release of the ship or other property or of the 
security given if it is established that the shipowner has 
already given satisfactory bail or security in a sum equal 
to the full limit of his liability under this Convention 
and that the bail or other security so given is actually 
available for the benefit of the claimant in accordance 
with his rights. 

(2) Where, in circumstances mentioned in paragraph 
(1) of this article, bail or other security has already been 
given : 

(a) at the port where the accident giving rise to the 
claim occurred ; 

(b) at the first port of call after the accident if the 
accident did not occur in a port ; 

(c) at the port of disembarkation or discharge if the 
claim is a personal claim or relates to damage to cargo ; 



the Court or other competent authority shall order the 
release of the ship, bail or other security given, subject 
to the conditions set forth in paragraph (1) of this 
Article. 

(3) The provisions of paragraphs (1) and (2) of this 
Article shall apply likewise if the bail or other security 
already given is in a sum less than the full limit of lia- 
bility under this Convention, provided that satisfactory 
bail or other security is given for the balance. 

(4) When the shipowner has given bail or other se- 
curity in a sum equal to the full limit of his liability 
under this Convention such bail or other security shall be 
available for the payment of all claims arising on a dis- 
tinct occasion and in respect of which the shipowner may 
limit his liability. 

(5) Questions of procedure relating to actions brought 
under the provisions of this Convention and also the time 
limit within which such actions shall be brought or prose- 
cuted shall be decided in accordance with the national law 
of the Contracting State in which the action takes place. 

Aeticle 6. 

(1) In this Convention the liability of the shipowner 
includes the liability of the ship herself. 

(2) Subject to paragraph (3) of this Article, the pro- 
visions of this Convention shall apply to the charterer, 
manager and operator of the ship, and to the master, 
members of the crew and other servants of the owner, 
charterer, manager or operator acting in the course of 
their employment, in the same way as they apply to an 
owner himself : Provided that the total limits of liability 
of the owner and all such other persons in respect of per- 
sonal claims and property claims arising on a distinct 
occasion shall not exceed the amounts determined in 
accordance with Article 3 of this Convention. 

(3) When actions are brought against the master or 
against members of the crew such persons may limit their 
liability even if the occurrence which gives rise to the 
claims resulted from the actual fault or privity of one or 
more of such persons. If, however, the master or member 
of the crew is at the same time the owner, co-owner, char- 
terer, manager or operator of the ship, the provisions of 
this paragraph shall only apply where the act, neglect or 
default in question is an act, neglect or default committed 
by the person In question in his capacity as master or as 
member of the crew of the ship. 

Article 7. 

This Convention shall apply whenever the owner of a 
ship, or any other person having by virtue of the pro- 
visions of Article 6 hereof the same rights as an owner of 
a ship, limits or seeks to limit his liability before the 
Court of a Contracting State or seeks to procure the re- 
lease of a ship or other property arrested or the bail or 
other security given within the jurisdiction of any such 
State. 

Nevertheless, each Contracting State .shall have the 
right to exclude, wholly or partially, from the benefits of 
this Convention any non-Contracting State, or any per- 
son who, at the time when he seelvs to limit his liability 
or to secure the release of a ship or other property arrest- 



November 7 J, 1957 



761 



ed or the bail or other security in accordance with the 
provisions of Article 5 hereof, is not ordinarily resident 
in a Contracting State, or does not have his principal 
place of business in a Contracting State, or any ship in 
respect of which limitation of liability or release is 
sought which does not at the time specified above fly the 
flag of a Contracting State. 

Abticle 8. 

Each Contracting State reserves the right to decide 
what other classes of ship shall be treated in the same 
manner as sea-going ships for the purposes of this 
Convention. 

Article 9. 

This Convention shall be open for signature by the 
States represented at the tenth session of the Diplomatic 
Conference on Maritime Law. 

Article 10. 

This Convention shall be ratified and the instruments 
of ratification shall be deposited with the Belgian Gov- 
ernment which shall notify through diplomatic channels 
all signatory and acceding States of their deposit. 

Article 11. 

(1) This Convention shall come into force six months 
after the date of deposit of at least ten instruments of 
ratification, of which at least five by States that have 
each a tonnage equal or superior to one million gross 
tons of tonnage. 

(2) For each signatory State which ratifies the Con- 
vention after the date of deposit of the instrument of 
ratification determining the coming into force such as is 
stipulated in para. (1) of this article, this Convention 
shall come into force six months after the deposit of 
their instrument of ratification. 

Article 12. 

Any State not represented at the tenth session of the 
Diplomatic Conference on Maritime Law may accede to 
this Convention. 

The instruments of accession shall be deposited with 
the Belgian Government which shall inform through 
diplomatic channels all signatory and acceding States of 
the deposit of any such instruments. 

The Convention shall come into force in respect of the 
acceding State six months after the date of the deposit 
of the instrument of accession of that State, but not 
before the date of entry into force of the Convention as 
established by Article 11 (1). 

Article 13. 

Each High Contracting Party shall have the right to 
denounce this Convention at any time after the coming 
into force thereof in respect of such High Contracting 
Party. Nevertheless, this denunciation shall only take 
effect one year after the date on which notification 
thereof has been received by the Belgian Government 
which shall inform through diplomatic channels all sig- 
natory and acceding States of such notification. 



Article 14. 

(1) Any High Contracting Party may at the time of 
its ratification of or accession to this Convention or at 
any time thereafter declare by written notification to the 
Belgian Government that the Convention shall extend to 
any of the territories for whose international relations it 
is responsible. The Convention shall six months after 
the date of the receipt of such notification by the Belgian 
Government extend to the territories named therein, but 
not before the date of the coming into force of the Con- 
vention in respect of such High Contracting Party ; 

(2) A High Contracting Party which has made a 
declaration under paragraph (1) of this article extending 
the Convention to any territory for whose international 
relations it is responsible may at any time thereafter de- 
clare by notification given to the Belgian Government that 
the Convention shall cease to extend to such territory. 
This denunciation shall take effect one year after the 
date on which notification thereof has been received by 
the Belgian Government ; 

(3) The Belgian Goveinment shall inform through 
diplomatic channels all signatory and acceding States of 
any notification i-eceived by it under this article. 

Article 1.5. 

Any High Contracting Party may three years after 
the coming into force of this Convention in respect of 
such High Contracting Party or at any time thereafter 
request that a conference be convened in order to con- 
sider amendments to the Convention. 

Any High Contracting Party proposing to avail itself 
of this right shall notify the Belgian Government which 
shall convene the conference within six months there- 
after. 

Article 16. 

In respect of the relations between States which ratify 
this Convention or accede to it, this Convention shall re- 
place and abrogate the International Convention for the 
unification of certain rules concerning the limitation of 
the liability of the owners of seagoing ships, signed at 
Brussels on the 25th of August 1924. 

In Witness whereof the Plenipotentiaries, duly author- 
ized, have signed this Convention. 

Done at Brussels, this tenth day of October 1957, in the 
French and English languages, the two tests being equally 
authentic, in a single copy, which shall remain deposited 
in the archives of the Belgian Government, which shall 
issue certified copies. 



International Convention Relating to Stowaways 

The High Contracting Parties, 

Having recognized the desirability of determining by 
agreement certain uniform rules relating to stowaways, 
have decided to conclude a Convention for this purpose, 
and thereto have agreed as follows : 

Article 1. 

In this Convention the following expressions shall have 
the meanings specified hereunder : 



762 



Department of State Bulletin 



"Stowaway" means a person who, at any port or place 
in tlie vu-iuity thereof, secretes himself In a ship without 
the consent of the shipowner or Master or any other per- 
son in charge of the ship and who is on board after the 
ship has left that port or place. 

"Port of Embarkation" means the port or place in the 
vicinity thereof at which a stowaway boards the ship on 
which he is found. 

"Port of Disembarkation" means the port at which the 
stowaway is delivered to the appropriate authority in 
accordance with the provisions of this Convention. 

"Appropriate authority" means the body or person at 
the port of disembarkation authorized by the Govern- 
ment of the State in which that port is situated to re- 
ceive and deal with stowaways in accordance with the 
provisions of this Convention. 

"Owner" includes any charterer to whom the ship is 
demised. 

Article 2. 

(1) If on any voyage of a ship registered in or bearing 
the flag of a Contracting State a stowaway is found in 
a port or at sea, the Master of the ship may, subject to 
the provisions of paragraph 3, deliver the stowaway to 
the appropriate authority at the first port in a Contract- 
ing State at which the ship calls after the stowaway is 
found, and at which he considers that the stowaway will 
be dealt with in accordance with the provisions of this 
Convention. 

(2) Upon delivery of the stowaway to the appropriate 
authority, the Master of the ship shall give to that au- 
thority a signed statement containing all information in 
his possession relating to that stowaway including his 
nationality or nationalities, his port of embarkation and 
the date, time and geographical position of the ship 
when the stowaway was found, as well as the port of 
departure of the shiij and the subsequent ports of call 
with dates of arrival and departure. 

(3) Unless the stowaway is under a previous individual 
order of deportation or prohibition from entry, the ap- 
propriate authority of a Contracting State shall receive 
any stowaway delivered to it in accordance with the 
foregoing provisions of this Article and deal with him 
in accordance with the provisions of this Convention. 

Article 3. 

When a stowaway is delivered to the appropriate au- 
thority at the port of disembarkation : 

(1) This authority may return him to any State of 
which it considers that he is a national and is admitted 
as such by that State. 

(2) When, however, the State or States of which the 
appropriate authority consider the stowaway to be a 
national refuses or refuse to accept his return, or when 
the appropriate authority is satisfied that the stowaway 
possesses no nationality or that, for reasons mentioned 
In Article 5 (2), he should not be returned to his own 
country, then the said authority may subject to the pro- 
visions of Article 5 (2), return the stowaway to the 
State in which the port which they consider to have been 
his port of embarkation is situated. 



(3) However, if the stowaway cannot be returned as 
provided under paragraph (1) or (2) of this article, the 
iippi'opriate authority may, subject to the provisions of 
Article 5 (2), return him to the State in which the last 
port at which the ship called prior to his being found 
is situated. 

(4) Finally, when the stowaway cannot be returned 
as provided under paragraph (1), (2) or (3) of this 
article, the appropriate authority may return him to 
the Contracting State whose flag was flown by the ship 
in which he was found. 

The State to which the stowaway is accordingly re- 
turned, shall be bound to accept the stowaway, subject 
to the provisions of Article 2(3). 

Article 4. 

The costs of maintenance of a stowaway at his port 
of disembarkation as well as those for returning him to 
the country of which he is a national shall be defrayed 
by the shipowner, without prejudice to the right of re- 
covery, if any, from the State of which the stowaway is 
a national. 

In all other cases the shipowner shall defray the costs 
of returning the stowaway but he will not be liable to 
defray maintenance costs for a period exceeding three 
months from the time when the stowaway is delivered to 
the appropriate authority. 

Any obligation to provide a deposit or ball as a guaran- 
tee for payment of the above costs shall be determined 
by the law of the port of disembarkation. 

Article 5. 

(1) The powers conferred by this Convention on the 
Master of a ship and on an appropriate authority, with 
respect to the disposal of a stowaway, shall be in addi- 
tion to and not in derogation of any other powers or obli- 
gations which he or they may have in that respect. 

(2) As regards the application of the provisions of 
this Convention, the Master and the appropriate au- 
thorities of the port of disembarkation will take into 
account the reasons which may be put forward by the 
stowaway for not being disembarked at or returned to 
those ports or States mentioned in this Convention. 

(3) The provisions of this Convention shall not in any 
way affect the power or obligation of a Contracting 
State to grant political asylum. 

Article 6. 

This Convention shall be open for signature by the 
States represented at the tenth session of the Diplomatic 
Conference on Maritime Law. 

Article 7. 

This Convention shall be ratified and the instruments 
of ratification shall be deposited with the Belgian Govern- 
ment which shall notify through diplomatic channels all 
signatory and acceding States of their deposit. 

Article 8. 

(1) This Convention shall come into force between the 
ten States which first ratify it, six months after the date 
of the deposit of the tenth instrument of ratification. 



November II, 1957 



763 



(2) This Convention shall come into force in respect 
of each signatory State which ratifies it after the deposit 
of the tenth instrument of ratification, six months after 
the date of the deposit of the instrument of ratification 
of that State. 

Akticle 9. 

Any State not represented at the tenth session of the 
Diplomatic Conference on Maritime Law may accede to 
this Convention. 

The instruments of accession shall be deposited with 
the Belgian Government which shall inform through 
diplomatic channels all signatory and acceding States of 
the deposit of any such instruments. 

The Convention shall come into force in respect of the 
acceding State six months after the date of the deposit 
of the instrument of accession of that State, but not 
before the date of entry into force of the Convention as 
established by Article 8 (1). 

Article 10. 

Each High Contracting Party shall have the right to 
denounce this Convention at any time after the coming 
into force thereof in respect of such High Contracting 
Party. Neverthele-ss, this denunciation shall only take 
effect one year after the date on which notification there- 
of has been received by the Belgian Government which 
shall inform through diplomatic channels all signatory 
and acceding States of such notification. 

Abticle 11. 

(1) Any High Contracting Party may at the time of 
its ratification of or accession to this Convention or at 
any time thereafter declare by written notification to the 
Belgian Government that the Convention shall extend to 
any of the territories for whose international relations 
it is responsible. The Convention shall six months after 
the date of the receipt of such notification by the Belgian 
Government extend to the territories named therein, but 
not before the date of the coming into force of the Con- 
vention in respect of such High Contracting Party. 

(2) Any High Contracting Party which has made a 
declaration under paragraph (1) of this article extending 
the Convention to any territory for whose international 
relations it is responsible may at any time thereafter 
declare by notification given to the Belgian Government 
that the Convention .shall cease to extend to such ter- 
ritory. This denunciation shall take effect one year after 
the date on which notification thereof has been received 
by the Belgian Government. 

(3) The Belgian Government shall inform through 
diplomatic channels all signatory and acceding States of 
any notification received by it under this article. 

Article 12. 

Any High Contracting Party may three j-ears after 
the coming into force of this Convention in respect of 
such High Contracting Party or at any time thereafter 
request that a Conference be convened in order to con- 
sider amendments to the Convention. 

Any High Contracting Party proposing to avail itself 
of this right shall notify the Belgian Government which 



shall convene the Conference within six months there- 
after. 

In Witness whereof the Plenipotentiaries, duly au- 
thorized, have signed this Convention. 

Done at Brussels, this tenth day of October 1957, in 
the French and English languages, the two texts being 
equally authentic, in a single copy, which shall remain 
deposited in the archives of the Belgian Government, 
which shall issue certified copies. 



INTERNATIONAL ORGANIZATIONS 
AND CONFERENCES 



Cooperation in Science, Culture 
and Education 

Statement iy George Meany 

U.S. EepreseJitaiive to the General Assembly ^ 

My delegation is glad to join with others who 
sincerely seek international cooperation in the 
field of culture, science, and education. We re- 
alize tlie importance of this subject. The United 
States has been promoting international coopera- 
tion in these fields in many ways. We have done 
so because Ave see in genuine cultural exchange a 
valuable means of fostering peace, democracy, and 
human fulfillment. 

Before I go into a discussion of certain basic 
features of tliis problem, let me note that tlie 
amendments which we are cosponsoring ' are in- 
tended to make the Czechoslovak resolution con- 
sistent with United Nations practices and pro- 
cedures. 

The subject of international cooperation in edu- 
cation, science, and culture is appropriately before 
this Committee. The United States has attached 
great value to sincere international exchanges in 
these fields. We prize such cooperation as an 
important contribution to the promotion of mu- 
tual understanding among the peoples of the 
world. But the adoption of a resolution calling 



'Made in Committee III (Social, Humanitarian and 
Cultural) on Oct. 8 (U.S. delegation press release 2759) 
during debate on a Czechoslovak draft resolution (U.N. 
doc. A/C..3/L.610/Rev. 1) concerning "further develop- 
ment of international cooperation in the field of science, 
culture and education." 

' U.N. doc. A/C.3/L.614. 



764 



Department of State Bulletin 



for such cooperation is not enoiigh. It must be 
related to facts and deeds. We must promote the 
atmosphere and conditions whicli will give tliis 
resolution flesh and blood. As it is, this resolu- 
tion could be meaningless. Though made in the 
name of governments, it might have no real value. 

International cultural cooperation can be of two 
types: (1) cooperation between governments ; (2) 
contacts and cooperation between peoples through 
their own organizations which are independent of 
and not controlled by governments. I draw tliis 
distinction between the two types not because they 
are necessarily mutually exclusive. They can 
supplement and complement each other. It is 
then that international cultural cooperation is at 
its best. Likewise, when I distinguish between 
governments and peoples, I do not mean to say 
that governments and peoples cannot have an 
identity of interests. In fact, in many instances 
they do have a community of interests. But there 
are also totalitarian governments, based on a 
single-party system uncliallengeable in its com- 
plete monopoly of power over every walk of life — • 
cultural and scientific, religious and economic. 
In such cases, it is especially urgent to draw a 
sharp line of distinction between the governments 
and the peoples over whom they wield total power. 
I am sure we all agree on this. 

Underetanding and friendship between govern- 
ments require neighborly association and full and 
free exchange of infonnation between them. Un- 
derstanding and friendship between the various 
peoples can never be effectively advanced imless 
they enjoj' the right of free exchange of ideas and 
information within their own respective countries. 
Freedom of expression and excliange of ideas in- 
side any country is the very first requirement for 
its people being able to acliieve genuine cultural 
cooperation with other peoples outside its borders. 
By denying the people of their own country the 
right to freedom of exjjression and exchange of 
ideas, totalitarian regimes place enormous road- 
blocks on the patli to true and effective inter- 
national cultural exchange. 

This is not to say that scientific and technical 
progress is impossible in countries with totali- 
tarian governments. For example, Nazi Germany, 
under totalitarian rule, could boast enormous tech- 
nical genius and progress. But the ability to make 
such technical progress does not necessarily spell 
better life and moi"e cultural opportunities for the 



people. Furthermore, tlie capacity for such tecli- 
nical progi'ess has notliing to do witli the advance- 
ment of cultural cooperation between peoples or 
governments. 

Some Urgent Prerequisites 

I would like to translate tlie resolution before 
us into life. I would like to give it some real 
meaning. This requires, first of all, that certain 
conditions be met by all cooperating member 
states. I^et me cite some of the conditions I be- 
lieve are essential to effective international cul- 
tural cooperation. 

1. Cultural exchange agreements between coun- 
tries should be on a reciprocal basis, with a view 
of assuring their respective citizens equal and 
maximum access to information. 

2. Governments should encourage their people 
to have full and genuine cultural cooperation with 
the people of other countries. 

3. Cultural exchanges should be entered into 
and organized only if and when they genuinely 
seek to promote understanding and friendship be- 
tween the participating countries. Cultural ex- 
clianges should not be entered into when they 
are undertaken to bolster and enhance the domes- 
tic authority and international prestige of gov- 
ernments which impose political-party control and 
limitations of freedom on artists and scientists 
and deny their own peoj^le the rights specified in 
the cliarter of the United Nations. 

How can artists, writers, and intellectuals ex- 
press their talents and thoughts fully and freely 
when they are prisoners of a political-party line? 
How can there be any real cultural exchanges 
where writers and intellectuals fear to express 
themselves freely lest they be ostracized and 
punished by the dominant ruling party clique for 
violating the so-called party line on literature, 
biology, medicine, music, history, or philosophy ? 
I am sui"e you all agree with me when I say, the 
prospect of spending years in prison or exile — or 
even of being executed — is no source of encourage- 
ment or reward to freedom of thought. Such 
prospects do not serve to enrich the culture of 
any country. Such treatment of courageous and 
constructive thinking is a barbaix)us blow against 
national culture. Such treatment is an insuper- 
able obstacle to international cultural cooperation 
and exchange. 



November J I, 1957 



765 



I just cannot see how any political-party boss 
helps culture at home or promotes conditions es- 
sential to international cultural cooperation by ap- 
pointing himself as the supreme judge of what 
music or what foreign news is good or bad for the 
great mass of people to hear. 

4. International cultural cooperation should be 
something living. The best way to find out 
whether any cultural excliange is justified or 
wortli wliile is to find out wliat effect it has on the 
peoples involved. What does it do to their liopes 
and yeanimgs for full and free exijression of their 
talents and capacities? 

In this connection you will be mterested to learn 
how another world organization looks upon this 
problem. Tlie International Confederation of 
Free Trade Unions, with more than 54 million 
members, has given much consideration to this 
exchange question. This great world body of 
free labor, with affiliates in scores of countries in 
every part of tlie world, rejects, as a matter of 
principle, the idea of free labor sending delega- 
tions to any country which prohibits free trade 
unions, outlaws free trade-union activities, and 
penalizes worlvers for advocating free trade un- 
ionism. The ICFTU refuses to exchange delega- 
tions with any country which denies its people 
the right of freedom of association and its work- 
ers the right of genuine collective bargaining and 
the right to strike. 

5. Tlie people of every member state in the 
United Nations can and sliould contribute to the 
development of international cultural coopera- 
tion. It is, I think, appropriate here to recall the 
proposal advanced in liis speech before tlie Gen- 
eral Assembly by the distinguished Foi-eign Min- 
ister of Italy, Signer Pella. He stressed the fact 
that there is one contribution that every member 
state must make if the United Nations is to serve 
effectively and if such resolutions as the one 
before us are to play any part at all in promoting 
international cooperation in the cultural realm. 
The United States Government associates itself 
completely with the idea that every member state 
should popularize among its own people the 
United Nations, its activities, publications and re- 
ports, and tlie work of its specialized agencies. 
Every member state should obligate itself to per- 
mit and encourage the widest circulation of all 
reports and documents issued by the United 
Nations, by its special committees, and by its spe- 



cialized agencies. One cannot speak seriously of 
the United Nations serving to promote cultural 
relations and exchanges between and ainong its 
member states as long as any of them put 
any obstacles to their people having full access 
to its studies, surveys, reports, and other vital 
documents. 

In addition, each member state should permit, 
encourage, and assist representatives of the var- 
ious specialized agencies of the United Nations 
in connection with the furtherance of their 
designated assignments and tasks. 

Everybody here certainly realizes tlie poten- 
tially great role of the United Nations in the pro- 
motion of international cultural cooperation. 
Each government should permit its own people 
to have full opportunity to acquaint themselves 
M-itli and render help to the United Nations and 
its undertakings. I think this is a good way to 
show regard and respect for the United Nations. 

United States Progress in Cultural Cooperation 

The United States has many exchange pro- 
grams with other comitries. Some of them are 
Government-financed. Many are not. Tlie De- 
partment of State program, initiated in 1939, has 
spent some $190 million on educational exchange 
activities designed to increase mutual understand- 
ing with other countries. 

The Institute of International Education, with 
lieadquarters hei-e in New York, lias recently pro- 
vided us with very interesting figures on the 
scope of the exchange program between the 
United States and other countries. Its report 
deals only with the exchange of students, faculty 
members, and physicians. Allow me to cite some 
important data from a recent issue of Open Doors, 
issued by the Institute of International Education. 

During the academic year 1956-57 there were 
40,666 foreign students in tlie United States. 
They came from 136 nations and political areas 
of the world — from the Far East, Latin America, 
Europe, North America, the Near and Middle 
East, Africa, and Oceania. These students were 
reported in all 48 states in our country, as well as 
in the District of Columbia, Alaska, Hawaii, and 
Puerto Rico. There were also 1,153 foreign teacli- 
ers and researchers wlio had received appoint- 
ments to American faculties. There were 6,741 
foreign physicians in American hospitals. 1,492 
faculty members from 340 United States colleges 



766 



Deparfmenf of Sfofe Bo//ef/n 



and universities worked on teaching or research 
projects in Europe, tlie Far East, the Near and 
Middle East, and Latin America. During tlie 
academic year 1955-56, 9,887 American students 
studied abroad — in 387 institutions of 54 foreign 
countries. 

The 1,153 visiting foreign scholars in this coun- 
try include professors, instructors, lecturers, and 
advanced researchers who served on the faculties 
of United States colleges and universities. Sixty- 
one nations were repi-esented. They were in col- 
leges and universities in 43 of our States and in 
the District of Columbia, Hawaii, and Puerto 
Kico. 

In the field of cultural exchanges with other 
countries, I might also cite the recent tours of the 
New Orleans Sj'mphony Orchestra in Latin 
America, the Mimieapolis and Los Angeles Sym- 
phony Orchestras in the Far East, the Robert 
Shaw Chorale in the Near East, and the Boston 
and New York Philharmonic Symphony Orches- 
tras in Europe. I should mention the perform- 
ances by other American groups abroad. Among 
these are Porgy and Bess and the Ballet Theater. 

The pages of our daily press here in New York 
are filled with accounts of performances by artists 
from many areas of the world. Other parts of 
the United States are similarly fortunate to en- 
joy the cultural accomplislunents of foreign guests 
in this country. It is our view that there is much 
to be learned by all peoples and all nations 
through increased exchange programs between 
countries. 

The International Educational Exchange Pro- 
gram, initiated in the United States in 1946 under 
the Fulbright act, is truly a plan to turn the im- 
plements of war into the instruments of peace 
and understanding. At the end of World War 
II there were many millions of dollars worth of 
American military equipment in warehouses all 
over the world. These included bulldozers, ma- 
chine tools, locomotives, food, and clothing. Such 
supplies could be very useful in rebuilding the 
war-devastated comitries. But these countries did 
not have the dollars with which to purchase this 
much-needed equipment. Accordingly, the 
United States Congress enacted legislation to en- 
able these countries to purchase this equipment 
with their own currency and on credit. A part 
of these funds was then set aside, through special 



agreements, for educational exchange purposes. 
Both the United States and the other countries 
have profited thereby. 

Last year President Eisenhower launched a 
people-to-people program to increase contacts and 
activities among individuals around the world 
and to further international understanding and 
friendship. This program, private in character, 
is in addition to official Government activity in 
this field. In launching this program the United 
States has emphasized the importance of people — - 
as private citizens — getting together "to work out 
not one method but thousands of methods by 
which people can gradually learn a little bit more 
of each other." 

Some Practical Proposals 

In this spirit let me make some suggestions 
which govermnents might consider in order to give 
meanmg to United Nations resolutions for dealing 
with international cultural, educational, and 
scientific cooperation : 

1. All internal censorship of press and publica- 
tions should be progressively eliminated in order 
to facilitate and foster freer exchange of informa- 
tion and ideas. 

2. Immediate steps should be taken to put an 
end to the censorsliip of outgoing press dispatches 
and to eliminate all barriers to the normal sources 
of information and the free circulation of ideas. 

3. Information centers should be opened, on a 
recipi'ocal basis, in the various member states. All 
rules and regulations hampermg or limiting the 
possibility of the fullest free use of these centers 
by the people at large should be eliminated. 

4. Eliminate all barriers to the free publication, 
circulation, and distribution of official periodicals 
among public agencies and private individuals. 

5. Books, periodicals, and newspapers of vari- 
ous member states should not only be freely ex- 
changed by universities, professional bodies, and 
scientific institutes but also publicly sold to the 
people. 

6. Arrange for exchange of uncensored broad- 
casts on world developments. 

7. Discontinue all jamming of radio services. 

On the basis I have outlined, Mr. Chairman, it 
is the belief of my delegation that cultural, scien- 



November I J, 1957 



767 



tific, and educational exchanges between all 
peoples can be enhanced and developed in the in- 
terest of a better and more peaceful world.^ 



12th Anniversary of United Nations 

Statement hy Henry Cabot Lodge 

U.S. Representative to the United Nations ^ 

The twelfth anniversary of the United Nations 
calls to mind what a source of strength the United 
Nations has proved to be in our search for peace 
v.'ith justice. 

In the past year the United Nations helped us 
in dealing with two great crises — in the Suez 
area and in Hungary. 

In the Middle East area as a whole the situa- 
tion is still dangerous, but in the Suez crisis last 
year the United Nations achieved a cease-fire and 
withdrawal of attacking forces. It then created 
an unprecedented United Nations Emergency 
Force to police the troubled areas in Gaza and 
the Gulf of Aqaba. It also cleared the canal. As 
a result, conditions are quieter in those two places 
than they were a year ago. The world took a 
turn away from war. This could not have been 
achieved by any nation acting alone. 

In the Hungarian crisis nothing short of war 
could have j^revented the Soviet Union from once 
again crushing Hungary's freedom. But the 
United Nations exposed this Soviet brutality in 
all its details and twice condemned it by over- 
whelming votes. Thereby it struck a powerful 
blow against the reputation of communism 
throughout the world. 

The United Nations deals with more than war 
and conflict. It helped in the creation of the new 
International Atomic Energy Agency, which re- 
sulted from President Eisenhower's proposal to 
put the power of the atom at tlie peaceful service 
of mankind. It has continued through tlie Chil- 
dren's Fund, the refugee programs, and the small 
but efficient Technical Assistance Program to 
help millions of people in many countries toward 
a better life. Thus it proves daily that nations 
need not tight each other and can, in the words 



"Committee III on Oct. 9 adopted the Czechoslovak 
draft resolution, as amended (U.N. doc. A/C.3/L.610/ 
Rev. 2) by a vote of 67-0-2. 

' Released on the occasion of United Nations Day, Oct. 
24 (U.S. /U.N. press release 27&1 dated Oct. 2.3). 



of tlie charter, "live together in peace with one 
another as good neighbors." 

To carry out our own foreign policies under 
the aegis of the United Nations helps America 
directly, as we then get credit for practicing al- 
truism instead of power politics. To take steps 
toward peace and justice in the world helps 
America in the largest sense. 

Almost every day the United Nations is the 
scene of impoiiant events which play a big part 
in American foreign relations — events on wliich 
the peace and liberty of future generations will 
largely depend. It deserves the support and un- 
derstanding of all our citizens. 



U.S. Delegations to 
International Conferences 

12th Session, Contracting Parties to GATT 

The Department of State announced on October 
17 (press release 581) that Thomas C. Maim, 
Assistant Secretary for Economic Affairs, had 
been named chairman of the U.S. delegation to 
the 12th session of the Contracting Parties to the 
General Agreement on Tariffs and Trade begin- 
ning that day at Geneva, Switzerland. 

Negotiated in 1947, the GATT is a multi- 
lateral agreement on trade rules to which 37 coun- 
tries are now parties. These countries account for 
more than SO percent of international trade, and 
the annual sessions of their representatives consti- 
tute the principal world trade forum. 

The 12th session is expected to last about 6 
weeks. It will be concerned with problems that 
liave arisen under the agreement since the last 
meeting of its adherents, which was held October 
11-November 16, 1956.^ 

A meeting of high-level officials concerned with 
trade policy will be a feature of the 12th session. 
At tliis meeting, whicli will open on October 28, 
high-ranking officials having responsibilities in 
the trade-policy field will present tlie views of 
their governments on tlie prospects for continued 
expansion of world trade under the GATT and 
discuss the European market integration projects, 
trends in commodity trade, and international 
trade cooperation. 

The delegations will also consider the relation- 



' For a review of the 11th session, see Buixetin of I 
Dec. 3, 19.'56, p. 803. ' 



768 



Department of State Bulletin 



ships between the trade obligations provided for 
in the General Agreement on Tariffs and Trade, 
on the one hand, and, on the other hand, the new 
common-market arrangements among the six 
European signatories of the treaty establishing 
tlie European Economic Community. 

There will also be a report on tlie negotiations 
which have been taking place in the Organization 
for European Economic Cooperation (OEEC) be- 
tween the six common-market countries and the 
United Kingdom and other OEEC countries to 
establish a European free-trade area in relation- 
ship with the common market. 

Ghana and Malaya, which achieved independ- 
ence this year, have become Contracting Parties 
to the GATT under the sponsorship of the United 
Kingdom. Tlie addition of these countries brings 
the total number of GATT parties to 37. 

During the past few months consultations, 
originally proposed by the United States, have 
been held under the GATT with a number of 
countries looking toward the removal of quan- 
titative import restrictions as balance-of-pay- 
ments conditions permit.^ Consultations with cer- 
tain countries will continue during the 12th ses- 
sion. There will be a report to the Contracting 
Parties on the results of these consultations. 

Though not a part of the 12th session, multilat- 
eral renegotiations of certain tariff concessions 
granted by Austria, Canada, Ceylon, Greece, and 
the Union of South Africa to the other GATT 
countries are also taking place in Geneva.^ These 
talks, in which the United States is participating, 
will continue during and after the session. 

Other matters to come before the Contracting 
Parties include annual reports under certain 
decisions taken in previous years, customs admin- 
istration matters, comments on trends and de- 
velopments in trade in primary commodities, and 
an exchange of views on the related issue of dis- 
posal of agricultural surpluses. 

The U.S. delegation is as follows : 
Chairman 

Thomas C. Mann, Assistant Secretary of State for Eco- 
nomic Affairs 

Vice Chairmen 

Carl D. Corse, Department of State 
Cliarles W. Adair, Jr., Department of State 



U.S. Representative 
Geneva 

Franklin Gowen 



to International Organizations at 



Congressional and Nongovernmental Advisers 

Representative Charles E. Chamberlain * 

Representative Frank M. Karsten 

Andrew J. Biemiller, director, legislation department, 

AFI/-CIO 
Arthur B. Evans, member. National Agricultural Advisory 

Council 
H. J. Heinz II, president, H. J. Heinz Co. 

Advisers 

Henry Kearns, Assistant Secretary of Commerce 

W. Walton Butterworth, U.S. Representative to the Euro- 
pean Coal and Steel Comimmity, Luxembourg 

Saul Baran, Department of Commerce 

Louis Boochever, U.S. Mission to the European Coal and 
Steel Community, Luxembourg 

Stanley M. Cleveland, Department of State 

A. Richard DeFelice, Department of Agriculture 

Ethel Dietrich, U.S. Mission to NATO and European Re- 
gional Organizations, Paris 

Morris J. Fields, Department of the Treasury 

C. Edward Galbreath, Executive Office of the President 

Mortimer D. Goldstein, Department of State 

Joseph A. Greenwald, Department of State 

Walter HoUis, Department of State 

Dallas L. Jones, Department of State 

John M. Leddy, Department of State 

.Toe A. Robinson, American Consulate General, Geneva 

Stephen H. Rogers, Department of State 

Murray Ryss, Department of State 

Robert E. Simpson, Department of Commerce 

Oscar Zaglits, Department of Agriculture 



TREATY INFORMATION 



Current Actions 



MULTILATERAL 



Atomic Energy 

Statute of the International Atomic Energy Agency. 
Done at New York October 26, 1956. Entered into force 
July 29, 1957. TIAS 3S73. 
Ratification deposited: Burma, October 18, 1957. 

Niitionality 

Convention on the nationality of women. Done at Monte- 
video December 26, 1933. Entered into force August 29, 



= Hid., July 22, 19.57, p. 153. 
' Ibid., Oct. 7, 1957, p. 581. 



* See Department of State press release 588 dated Oct. 



November J J, 7957 



769 



1934. 49 Stat. 2957. 
Ratification deposited: 



Argentina, October 2, 1957. 



Political Rights of Women 

Inter-Americ.'m conveution on granting of political rights 
to women. Done at Bogota May 2, 1948. Entered into 
force April 22, 1949.' 
Ratification deposited: Argentina, October 2, 1957. 

Postal Services 

Universal postal convention, with final protocol, annex, 
regulations of execution, and provisions regarding air- 
mail and final protocol thereto. Signed at Brussels July 
11, 1952. Entered into force July 1, 1953. TIAS 2800. 
Adherence: Ghana, October 10, 1957. 

Sugar 

Protocol amending the International sugar agreement 
(TIAS 3177), with annex. Done at London December 
1, 1956. Entered into force January 1, 1957 ; for the 
United States September 25, 1957. 
Signatures: 

Australia, December 14, 1956 

Belgium, December 13, 1956 

Canada, December 15, 1956 

China, December 14, 1956 ' 

Cuba, December 13, 1956 

Czechoslovakia, December 14, 1956 ^ 

Dominican Republic, December 14, 1956 

France, December 13, 1956 

Germany, Federal Republic of, December 14, 1956 

Greece, December 14, 1956 

Haiti, December 12, 19.56 

Japan, December 11, 1956 

Lebanon, December 14, 1956 

Mexico, December 14, 1956 

Netherlands, December 14, 1956 

Nicaragua, December 14, 1956 

Poland, December 13, 19.56 

Portugal, December 14, 1956 

Union of South Africa, December 12, 1956 

Union of Soviet Socialist Republics, December 15, 
1956* 

United Kingdom, December 13, 1956 ' 
Ratifications deposited: 

Australia, June 26, 1957 

Belgium, July 3, 1957 

Canada, June 25, 1957 

China, June 19, 1957 

Cuba, June 28, 1957 

Czechoslovakia, May 27, 1957 

Dominican Republic, July 1, 1957 

Japan, June 24, 1957 

Netherlands, June 27, 1957 

Poland, August 14, 1957 

Portugal, July 1, 1957 

Union of South Africa, April 10, 1957 

Union of Soviet Socialist Republics, July 18, 1957 

United Kingdom, May 15, 1957 
Accessions deposited: 

United States, September 25, 1957 ° 

Hungary, March 29, 1957° 

Panama, Maicb 1, 1957 

Philippines, June 7, 1957 



' Not in force for the United States. 

' With a declaration. 

' With a reservation and a statement. 

* With a statement. 

^ Extended to all territories for the international rela- 
tions of which the United States is responsible. 

° Upheld reservations made on the occasion of their 
accession to the international sugar agreement of 1953. 



Territorial application: 

Extended to the following British territories on May 15, 
1957: 

Aden (Colony and Protectorate) 

Bahamas 

Barbados 

Bermuda 

British Guiana 

British Honduras 

Brunei (Protected State) 

Cyprus 

Falkland Islands (Colony and Dependencies) 

Fiji 

Gambia (Colony and Protectorate) 

Gibraltar 

Hong Kong 

Jamaica (including Turks and Caicos Islands, and the 
Cayman Islands) 

Kenya ( Colony and Protectorate) 

Leeward Islands : Antigua ; Montserrat ; St. Christo- 
pher, Nevis, and Anguilla ; Virgin Islands 

Mauritius 

Federation of Nigeria : Lagos, Northern, Eastern, and 
Western Regions of Nigeria ; Southern Cameroons 

St. Helena (including Ascension Island and Tristan 
da Cunha) 

Sarawak 

Seychelles 

Sierra Leone (Colony and Protectorate) 

Somaliland Protectorate 

Tanganyika (under U.K. Trusteeship) 

Trinidad and Tobago 

Uganda Protectorate 

Western Pacific Pligb Commission Territories : British 
Solomon Islands Protectorate, Gilbert and Ellice 
Islands Colony, Central and Southern Line Islands 

Windward Islands : Dominica, Grenada, St. Lucia, St. 
Vincent 

Zanzibar Protectorate 



BILATERAL 

Ecuador 

Agreement amending the agricultural commodities agree- 
ment of February 15, 3957 (TIAS 3768). Effected by 
exchange of notes at Washington September 9 and 10, 
1957. Entered into force September 10, 1957. 



DEPARTMENT AND FOREIGN SERVICE 



Designations 

Philip J. Farley as Special Assistant to the Secretary 
for Atomic Energy Affairs, effective October 18. 

John A. Calhoun as Deputy Director of the Executive 
Secretariat, effective October 21. 

Joseph N. Greene, Jr., as Special Assistant to the Secre- 
tary, effective October 21. 

Woodbury Willougbby as Director, OiBce of Interna- 
tional Trade, Bureau of Economic Affairs, effective Oc- 
tober 23. 



770 



Department of State Bulletin 



November 11, 1957 



Ind 



ex 



Vol. XXXVII, No. 959 



Asia 

U.S. Eole In Econoiiiic Development of Colombo Plan 

Area (Reinbardt) 755 

U.S. To Host 1958 Meeting of Colombo Plan Committee . 755 

Atomic Energy. President Eisenhower and Prime Minister 
Macniillan Agree on Closer U.S.-U.K. Cooperation (Eis- 
enhower, Macmillan, Dulles) 739 

ATJation. French-American Conversations on 1946 Air 

Agreement (text of communique) 754 

Department and Foreign Service 

Designations (Calhoun, Farley. Greene, Willoughby) . . 770 
Secretar.v Dulles Appoints Advisory Committee on Arts . 747 
Disarmament. President Eisenhower and Prime Minister 
Macmillan Agree on Closer U.S.-U.K. Cooperation (Eis- 
enhower, Macmillan, Dulles) 739 

Economic Affairs 

International Organizations: Aid to World Trade and 

Prosperity (Wilcox) 749 

Maritime Conventions Signed at Brussels Conference . . 759 

Polish Specialists To Observe Food and Clothing Indus- 
tries 748 

12th Session Contracting Parties to GATT (delegation) . 768 

U.S. Role in Economic Development of Colombo Plan Area 

(Reinbardt) 755. 

U.S. To Host 1958 Meeting of Colombo Plan Committee . 755 

Educational Exchange 

Cooperation in Science, Culture, and Education (Meany) . 764 

People-to-People Program (Eisenhower) 747 

France. French-American Conversations on 1946 Air 

Agreement (text of communique) 754 

Hnngary. Hungarian Freedom Day, October 23 (Lodge) . 748 
Immigration and Nataralization. Immigration Quota for 

Malaya (text of proclamation) 758 

International Information. Cooperation in Science, Culture, 

and Education (Meany) 764 

International Organizations and Conferences 

Maritime Conventions Signed at Brussels Conference . . 759 

12th Session Contracting Parties to GATT (delegation) . 768 
U.S. Role in Economic Development of Colombo Plan Area 

(Reinbardt) 755 

U.S. To Host 1958 Meeting of Colombo Plan Committee . 755 

Malaya. Immigration Quota for Malaya (text of proclama- 
tion) 758 

Military Affairs. President Eisenhower and Prime Minis- 
ter Macmillan Agree on Closer U.S.-U.K. Cooperation 
(Eisenhower, Macmillan, Dulles) 739 

Mutual Security. President Eisenhower and Prime Minis- 
ter Macmillan Agree on Closer U.S.-U.K Cooperation 
(Eisenhower, Macmillan, Dulles) 739 

North Atlantic Treaty Organization 

NATO Secretary General To Visit U.S 746 

President Eisenhower and Prime Minister Macmillan Agree 
on Closer U.S.-U.K. Cooperation (Eisenhower, Macmil- 
lan, Dulles) 739 

Poland. Polish Specialists To Observe Food and Clothing 

Industries 748 

Presidential Documents 

Immigration Quota for Malaya 758 

People-to-People Program 747 

President Eisenhower and Prime Minister Macmillan Agree 

on Closer U.S.-U.K. Cooperation 739 



Treaty Information 

Current Actions 769 

French-.\merican Conversations on 1946 Air Agreement 

(text of communique) 754 

United Kingdom 

President Eisenhower and Prime Minister Macmillan Agree 
on Clo.ser U.S.-U.K. Cooperation (Eisenhower. Macmil- 
lan, Dulles) 739 

Queen Elizabeth II Visits the United States (Eisenhower, 

Elizabeth II, Dulles, Nixon) 742 

United Nations 

Cooperation in Science, Culture, and Education (Meany) . 764 

International Organizations : Aid to World Trade and 

Prosperity (Wilcox) 749 

12th Anniversary of United Nations (Lodge) 768 

Name Index 

Calhoun, John A 770 

Dulles, Secretary 741, 745 

Elsenhower, President 739, 742, 745, 747, 758 

Elizabeth II 743 

Farley, Philip J 770 

Greene, Joseph N., Jr 770 

Lodge, Henry Cabot 748, 768 

Macmillan, Harold 739 

Meany, George 764 

Nixon, Richard M 744 

Reinbardt, G. Frederick 755 

Spaak, Paul-Henri 746 

Wilcox, Francis 749 

Willoughby, Woodbury 770 



Check List of Department of State 
Press Releases: October 2127 

Releases may be obtained from the News Division, 
Department of State, Wa.sliington 25, D. C. 

Releases issued prior to October 21 which appear 
in this issue of the Bulletin are Nos. 577 of October 
15, 578 of October 16, and 581 of October 17. 



No. Date 
585 10/21 

t586 10/21 



587 
*588 



10/22 
10/22 



589 10/22 



590 
.591 

592 

593 

t594 



10/23 
10/23 

10/25 

10/25 

10/25 



Subject 

Wilcox : "International Organiza- 
tions: Aid to World Trade and 
Prosperity." 

Delegation to ILO Governing Body 
(rewrite). 

Itinerary for Sjjaak visit (rewrite). 

Adviser to GATT delegation (bio- 
graphic details). 

Exchange with Poland of food and 
clothing specialists. 

Reinbardt : Colombo Plan meeting. 

DuUes-Macmillan : exchange of greet- 
ings. 

1958 Colombo Plan Consultative Com- 
mittee meeting. 

U.S.-French air agreement conversa- 
tions. 

U.S.-U.S.S.R. meetings on exchanges. 



* Not printed. 

t Held for a later issue of the Bulletin. 



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American Foreign Policy, 1950-1955 
Basic Documents — Volume I 



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in international i-elations, the present collection makes no pretense at 
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summaries of developments and of individual lengthy documents or to 
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HE 

'FICIAL 

EEKLY RECORD 



November 18, 1957 



THE SYRIAN QUESTION IN THE U.N. GENERAL 

ASSEMBLY • Statements by Ambassador Henry Cabot 
Lodge 773 

SECRETARY DULLES' NEWS CONFERENCE OF 

OCTOBER 29 783 

THE UNITED NATIONS: FORCE FOR A BETTER 

WORLD • by Assistant Secretary Wilcox 792 

SOME UNITED STATES PRACTICES IN INTERNA- 
TIONAL JUDICIAL ASSISTANCE • Article by Paul 
D. McCiisker 808 



PITED STATES 
.(EiGN POLICY 



For index see inside back cover 






THE DEPARTMENT OF STATE 




Vol. XXXVII, No. 960 • Publication 6560 
November 18, 1957 



For sale by tbe Superintendent of Documents 

U.S. Qoverament Printing Office 

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Price: 

(2 Issues, domestic $7.60, foreign $10.2S 
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approved by tbe Director of the Bureau of 
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Note: Contents of this publication are not 
copyrighted and items contained herein may 
be reprinted. Citation of the Depabtment 
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appreciated. 



The Department of State BULLETIN, 
a weekly publication issued by the 
Public Services Division, provides the 
public and interested agencies of 
the Government with information on 
developments in the field of foreign 
relations and on the work of the 
Department of State and the Foreign 
Service. The BULLETIN includes se- 
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Department, and statements and ad- 
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The Syrian Question in the U.N. General Assembly 



Statements iy Henry Cabot Lodge 

U.S. Representative to the General Assembly 



STATEMENT OF OCTOBER Igi 

We have been called to consider the request of 
the Syrian Government that an item, entitled 
"Complaint about threats to the security of Syria 
and to international peace," ^ be inscribed on the 
agenda of the General Assembly. The Syrian ex- 
planatory memorandum accompanying the request 
has asked that a commission be set up by the Gen- 
eral Assembly to investigate the situation on the 
Syrian-Turkish border and to report to the As- 
sembly. 

The United States has been concerned over re- 
cent developments stemming from Soviet infiltra- 
tion into the Middle East. In his address of Sep- 
tember 19,^ Secretary Dulles reserved the right to 
make concrete proposals. The United States has 
particularly in mind the problem of indirect ag- 
gression and possible violation of the "Essentials 
of Peace" resolution.* However, as Mr. Dulles 
stated last Wednesday,^ the United States has de- 
ferred to the apparent preference of the Arab 
States to deal with this matter on a regional basis. 

Now that Syria has raised this matter, we, of 
course, welcome discussion in the broader forum 
of the United Nations. We do welcome the oppor- 
tunity for a full airmg of the Soviet allegations 
in particular. I am confident that the United Na- 
tions discussion and investigation will show not 
only the absurdity of the charges against the 



' Made in the General Committee during debate on the 
inscription of the Syrian item (U.S. delegation press re- 
lease 2776). 

" U.N. doc. A/3699. 

' Bulletin of Oct. 7, 1957, p. 555. 

* lUd, Nov. 28, 1949, p. 807. 

° Hid., Nov. 4, 1957, p. 712. 



United States and Turkey but will also reveal the 
true source of tension in the entire area. 

The Soviet charges against us in the letter which 
Mr. Gromyko submitted a few days ago * are, of 
course, clumsy and flagrant fabrications. They 
cannot prove one of these charges. But, of course, 
these charges are not to be judged at face value 
but in the light of some ulterior motive, such as, 
for example, the expansion of Soviet influence and 
the general desire to keep the world stirred up, to 
keep the world excited. 

This, I think, Mr. Chairman, makes the present 
a particularly good time for us all to keep calm. 
Unlike some members here, the United States has 
never feared General Assembly discussion and we 
have never failed to heed General Assembly rec- 
ommendations. We are ready, as always, to take 
any steps to strengthen the peace and security of 
the Middle East. The United States, therefore, 
supports inscription of the Syrian item and be- 
lieves that it should be considered by the General 
Assembly in plenary session on an urgent basis. 
We hope that this will contribute to the peace and 
security of the Middle East and of the world. 

Let me utter this reassuring note and do so by 
reaffirming the pledge regarding the Middle East 
contained in the White House statement of April 
9,1956:' 

The United States, in accordance with its responsibil- 
ities under the charter of the United Nations, will observe 
its commitments within constitutional means to oppose 
any aggression in the area. The United States is liljewise 
determined to support and assist any nation which might 
be subjected to such aggression. The United States is 



' U.N. doc. A/3700. 

' Bulletin of Apr. 23, 1956, p. 668. 



November 78, 7957 



775 



confident that other nations will act similarly in the cause 
of peace. 

As I finish, Mr. Chairman, let me say that I 
note that tlie exphinatory memorandum accom- 
panying the Syrian request for this agenda item 
refers to threats botli to the independence and to 
the security of Syria. I assume, tlierefore, that 
tliere would be no objection if the agenda item 
read, as the Syrian letter does, that is, "Threats 
to the independence and security of Syria and to 
international peace." I ask the representative of 
Syria whether he objects to such a change. 

[lu a further intervention Mr. Lodge said :] 
Let me say that, if the representative of Syria 
is not interested in including the word "independ- 
ence," then of course I shall not press it, particu- 
larly as the language in the title of the item not 
only refers to "threats to the security of Syria" 
but also to "threats to international peace." This 
phraseology, I think, is broad enough to permit 
the Assembly enough latitude to do whatever it 
wants to in considering this item. I was just try- 
ing to be helpful.^ 



STATEMENT OF OCTOBER 22« 

I dislike saying what I am going to say about 
any member of the United Nations, but the time 
has come for a little plain speaking and the need 
for plain speaking compels me to say this : "VVliat 
has been said here this afternoon by the Soviet 
representative makes it all too clear that the con- 
tention of urgency which he has made does not 
really ring true at all. If there were in fact an 
urgent threat to the peace, the place to go under 
the charter is clearly the Security Council. It is 
there for that purpose, and the world knows that 
that is why it is there. 

The moment, therefore, that the decision was 
made not to go to the Security Council, notice in 
effect was served on the whole world that the 
situation was in truth not urgent and that some 
kind of game was being played here, with regard 
to which the rest of us were not being treated with 



' On Oct. 18 the General Committee, without objection, 
recommended that the Syrian item be inscribed in the 
current agenda and that it be taljen up directly by the 
plenary of the General Assembly. 

' Made in plenary session (U.S. delegation press release 
2782). 



complete frankness and with complete candor. 
Tliis fact alone, Mr. President, shows the hollow- 
ness and, if I may say so, the insincerity of the 
Soviet contention. 

Now, Mr. President, the United States not only 
does not deny that the matter is important. We 
contend that it is very important. But its very 
importance makes it imperative that we take time 
for reflection and contemplation and particularly 
that we not brush lightly aside the offer of King 
Saud to mediate this dispute. 

"Wlien the General Committee met to consider 
the Syrian complaint "about threats to the se- 
curity of Syria and to international peace," the 
United States joined in voting for the inclusion 
of the item on the agenda of the General As- 
sembly. In explanation, I pointed out that the 
United States had deferred its original intent to 
bring before the United Nations recent develop- 
ments stemming from Soviet infiltration into the 
Middle East, in view of the apparent preference 
of the Arab States to deal with the matter on a 
regional basis. 

We now have received information that sub- 
stantial efforts at mediation are under way, under 
the lead of His Majesty King Saud. We welcome 
the efforts of this great leader. 

The Chief of State of the Turkish Government 
has agreed to the principle of mediation. The 
Assembly has now also just been informed that 
Mr. Zorlu, Turkish Minister of State, left for 
Riyadh this morning. These acts of good faith 
of the Turkish Government sliould be matched by 
Syria. 

Let me say that I followed carefully the Syrian 
statement. I am referring to the one by Mr. 
Zeineddine. He stated that no mediation exists. 
Of course that is true, Mr. President. But what is 
equally true is that an offer of mediation has 
been made and mediation can take place the mo- 
ment Syria says "yes." 

We trust, therefore, that Syria will reconsider 
its position during the course of the next few 
days. Surely the response made here this after- 
noon by the Syrian representative cannot be taken 
as final. 

The initiative of His Majesty King Saud is 
entirely in line with the purposes and principles 
of the United Nations and in particular article 33 
of the charter, which states that parties to any dis- 
pute shall first of all seek a solution through other 



776 



Department of State Bulletin 



peaceful means of their own choice. We sincerely 
hope that through joint efi'orts this matter will 
be solved. 

In the existing circumstances the couree whicli 
tlie General Assembly can best follow seems clear. 
We think that the General Assembly should wish 
the governments concerned success in their worth- 
while endeavor and defer any further considera- 
tion here pending the outcome of the mediation 
efforts. 

The United States considers mediation between 
the Governments of Syria and Turkey a very con- 
stnictive move, particularly in view of Turkish 
assurances of good will and friendship toward her 
neighbor Syria. It will be recalled that on Sep- 
tenilier 27, during the general debate of this body, 
the representative of Turkey said : 

We In Turkey have affection and respect for the people 
of Syria with whom, as with all Arab nations, we are 
linked by cultural, relisious and historic ties. We value 
the independence, sovereignty and territorial integrity 
of Syria and consider a strong, prosperous and independ- 
ent Syria on our southern border as an additional guaran- 
tee of our own security. 

As I conclude, Mr. President, let me say that in 
striking contrast with this attitude stands the 
contrived bluster of the Soviet Government, which, 
judging from official pronouncements of its 
leaders over the past days and judging by the 
grist of its propaganda mill, is not seeking a 
peaceful solution to this problem btit rather to 
stir up excitement and emotion in a part of the 
world which, as all students of recent history 
know, has been the traditional object of Soviet 
expansionist aims. 

I shall pass over the old and unfoinided charges 
of wrongdoing which the Soviet Union has di- 
rected against the United States as well as against 
Turkey and which I presume are brought up as a 
screen to its expansionist plans. The speecli of 
Mr. Gromyko was certainly in the most violent 
traditions of the late Mr. Stalin, the late Mr. 
Vyshinsky, and Mr. Molotov. Of course, none of 
these charges are true. Mr. Gromyko cannot prove 
one single one. He does not say them because he 
thinks they are true but for some ulterior motive. 
And we can all imagine what that is. 

I do not suppose that there is anything that a 
Soviet speaker can say any more that can surprise 
me, no matter how extreme it is. But, when I first 
came here in 1953, I was astounded to hear the 
North Atlantic Treaty Organization described as 



an ofl'ensive alliance. Since then that charge has 
been made almost every day, and again repeated 
by Mr. Gromyko. 

So, merely for the record, I will say that tlie 
heart of the North Atlantic Treaty is the state- 
ment that an attack on one is an attack on all. 
In other words, we stay where we are unless we 
are attacked. 

Can there be anything more defensive than 
that? 

Kemember that the North Atlantic Treaty was 
only evolved after the Soviet Union had gobbled 
up Lithuania, Latvia, Estonia, Poland, Czecho- 
slovakia, Hungary, Bidgaria, Rumania, and Al- 
bania. I am not sure that I mentioned them all. 

I presume they are annoyed because we just did 
not lie down and let them just gobble up every- 
thing else. But we in the North Atlantic Treaty 
Organization decided to get together for our own 
defense. 

Mr. President, in the midst of all these attempts 
to use words and fabrications to stir up excitement, 
let us remember that actions speak louder than 
words. United States actions here in the General 
Assembly a year ago — and no amount of oratory 
today can erase our actions then — prove how 
deeply we desire peace in the Middle East and 
how far we will go to uphold the charter. And, 
while we were working for peace last j'ear, the 
Soviet Union was butchering Hungary. Is it any 
wonder that everyday citizens all over the world 
today are asking themselves: "Last year it was 
Hungary. This year is it Syria?" 

I do not wish to take your time with recrimina- 
tions. Gentlemen, let us keep this thing in peace- 
ful channels. Let us give King Saud's offer a 
chance. 



STATEMENT OF OCTOBER 25 •» 

Three days ago we heard a speech by the Soviet 
representative [Andrei Gromyko]. It was calum- 
nious. It was provocative. It was totally con- 
trary to the ideals of peaceful settlement, of 
truth, and of integrity to which this Assembly is 
devoted. In the few remarks which I made after 
his speech I tried briefly to give it the response 
which it deserved. I really thought I had said 
enouo-h. 



'"Made in plenary session (U.S. delegation press re- 
lease 2787). 



November 18, J 957 



777 



But many members have asked me to reply cate- 
gorically to this speech, and out of respect for 
these requests I shall now take about 20 minutes 
under the right of reply, which each member has 
here, to refute these charges of the Soviet Union 
and to state very bluntly just exactly what the 
situation is as a result of this attempt of theirs 
to bully the world into submission. 

I warn the Soviet Union now that they will 
not like what I am going to say, and I repeat 
now what I have told them many times in tlie 4 
years that I have been here — that, while I shall 
never begin an altercation with the Soviet Union, 
and I never have, I shall always reply when 
charges are made against the Government which 
I have the honor to represent. In this case I shall 
do so not merely in a defensive spirit, but I shall 
go further and reveal the true motivation of the 
Soviet attack and then say what the United 
States stands for affirmatively and constructively 
in the Middle East. There is not a representative 
of a government here in this hall — that is, of a 
free government — who would not feel the same 
obligation to reply if his country were attacked 
as mine has been. 

I, therefore, make this refutation partly out of 
respect for the opinions of the members of tlie 
Assembly but also because I believe that the chal- 
lenge which we face has grown clear and that this 
is a moment when plain speaking — which possibly 
sometimes should be avoided in a diplomatic 
forum — will actually strengthen peace and tran- 
quillity in the Middle East and will, in truth, 
preserve and promote the well-being, security, and 
independence of the countries of this vital region. 
That is what the United States wants, and that 
is the basic motive underlying what I am about 
to say. 

Campaign of Vilification Against U.S. 

Some time ago the Soviet Union decided to 
carry on and inspire a campaign of vilification 
against the United States in relation to the Mid- 
dle East. At press conferences and in propa- 
ganda originating in Moscow, in a letter to the 
Secretary-General,^^ in corridor conversations, 
and in speeches in the United Nations, allegations 
were made that the United States, of all things, is 
seeking to promote war in the Middle East. All 



this was very carefully done in a way that does 
not require the Soviet Union to prove one of its 
charges, which, of course, they could not do. 

You have all heard these charges. The United 
States, it is alleged, attempted to overthrow the 
present government of Syria. Having failed in 
these efforts, according to Soviet spokesmen, the 
United States sought to persuade Turkey to 
launch an attack upon Syria late in October. 
There have, of course, been variations of this tale 
since it was first spun by Mr. Gromyko on Septem- 
ber 10." The claim has been made that Iraq, 
Jordan, and Lebanon were to commit aggression, 
together with Turkey. You have heard that 
story. However, in all cases the story was essen- 
tially the same. This was an American "plot." 

We have heard of American "plots" from Soviet 
representatives on previous occasions. There was 
the alleged "plot" against Hungary. There was 
an alleged "plot" against North Korea, which was 
used as a smokescreen to cover the aggression 
against the Republic of Korea. The United 
States was even accused, believe it or not, of hav- 
ing "plotted" against the Soviet Union, with the 
aid of the late head — I might say, unlamented 
head — of the Soviet secret police, Lavrenti Beria. 
Only last winter the General Assembly rejected by 
an overwhelming majority the Soviet charge that 
the United States was subverting the governments 
of the Soviet satellites.^^ Every one of these 
American "plots" was invented in Moscow — and 
usually just after the Soviet Union had been over- 
whelmingly rebuked and repudiated here in the 
United Nations. 

Now what are the known facts in this case? 
Let me review the actions of various countries, be- 
ginning with Syria. 

On August 12 the Syrian officials announced 
that they had uncovered still another American 
"plot" — this time to overthrow the Syrian Govern- 
ment. This announcement was followed by politi- 
cal and command changes in Damascus which the 
Soviet Union has clearly revealed are pleasing to 
it. 

The Soviet Government has been sending large 
quantities of arms to Syria, including jet air- 
craft, tanks, armored vehicles, etc. There is no 
question whatever of challenging any country's 
right to acquire arms. Let me make that clear. 



" U.N. doc. A/3700 dated Oct. 17. 
778 



^ For background see Bulletin of Sept. 30, 1957, p. 525. 
'^Ihid., Mar. 18, 1957, p. 463. 

Depatiment of Stafe Bullefin 



But we are entitled to inquire regarding the 
motives behind sending sucli Lirge quantities of 
arms into a potentially explosive area at a par- 
ticularly tense moment, because such shipments 
in such circumstances inevitably heighten ten- 
sions. That is common sense. 

In this connection, I cannot refrain from point- 
ing out the dangers involved in a policy of indis- 
criminate distribution of arms to nonmilitary 
groups of the population of a country at a time 
■when deliberate efforts are being made to incite 
the people of that country to hostile acts against 
a neighbor. In such circumstances, no one can 
guarantee that an incident will not occur which 
could have grave consequences. 

Steps Taken by U.S. Government 

I come now to the steps taken by the United 
States Government. Mr. Loy Henderson, one of 
our most experienced diplomats, was asked to ex- 
pedite a trip to the Middle East which had been 
planned some time before.^* He was asked to 
consult with United States and foreign officials 
and to obtain a firsthand impression of current 
developments. This was the substance of his in- 
structions, and this was the purpose of the trip. 

We are curious to know why the sensibilities of 
the Soviet Government should have been so in- 
jured by Mr. Henderson's trip. Could it have 
something to fear, something to hide? 

Steps Taken by Turkish Government 

The Turkish Government also took certain steps. 
It proceeded to strengthen its defenses along the 
Syrian border in the light of these Soviet ac- 
tivities in Syria — in particular, the possible estab- 
lishment of a Soviet arms depot on Turkey's 
southern border. This Turkish action, I submit, 
was perfectly reasonable. In no manner has Syria 
been endangered. The Govenunent of Turkey 
has repeatedly given its solemn assurances that 
this move was a purely defensive precaution and 
that it has absolutely no intention of attacking 
Syria or of intervening in Syria's domestic affairs. 

Turkey has a distinguished record in the work 
of the United Nations. It has ably performed its 
duties on the Security Comicil and on the Eco- 
nomic and Social Council. It has done whatever 
was requested of it in supporting the United 



" lUd., Sept. 23, 1957, p. 487. 
November 18, 1957 



Nations in action. The United States bows to 
none in its admiration for the courageous service 
of the Turkish soldiers who fought under the imi- 
fied connnand of the United Nations in repelling 
Communist aggression in Korea. Turkey stood 
fii-mly with the overwhelming majoidty of the 
United Nations during the Communist crushing 
of Hungary last year, despite the fact that it was 
the next-door neighbor of the government which 
was committing this crime. 

The United Nations can be proud of Turkey, 
which has firmly supported it and which has com- 
plied with its charter obligations and the resolu- 
tions of the United Nations. One need but ask, in 
passing, whether the record of its accusers is as 
good. 

I would like to point out several additional facts 
in this connection. The Soviet representative al- 
leges that "the Turkish General Staff together 
with American advisers has elaborated detailed 
plans for an attack by Turkey on Syria." I 
wonder whether he is aware that the four mem- 
bers of the Turkish Joint Chiefs of Staff recently 
resigned in order to be candidates for election to 
the Turkish Parliament. Certainly this could not 
happen in a country which was "vigorously pre- 
paring" a military attack. I can speak from ex- 
perience that rimning for office takes all your 
time. 

The Govenunent of Turkey has also, as we 
know, accepted the offer of good offices extended 
by His Majesty King Saud. A country willing to 
seek an amicable settlement of differences is not 
a country bent on war. 

Soviet War of Nerves 

Finally, I come to the heart of the matter — 
the behavior of the Soviet Union, and particidarly 
its war of nerves against Turkey. Along with its 
propaganda charges of a Turkish plot against 
Syria, the Soviet Union has been openly threaten- 
ing Turkey with annihilation and extinction. Mr. 
Gromyko on September 10 warned Turkey that 
it "may land in an abyss" and that "a great dis- 
aster awaits it." Premier Bulganin in his mes- 
sage of September 11 to Premier Menderes of 
Turkey warned indirectly of a Soviet attack and 
asserted that "great calamities" awaited Turkey 
if it did not heed these waiTiings. These state- 
ments were played up in the usual manner by the 
Soviet press. 



779 



A remarkable fact is that these accusations 
against Turkey were first hiunched not in Damas- 
cus but in Moscow — even though Syria was sup- 
posed to be the intended victim of the imaginary 
conspiracy. Tliere is significance in tliat, Mr. 
President. 

On October 7, Mr. Khi-ushchev continued this 
Soviet war of nerves in an interview with a New 
York Times correspondent. He said, "If war 
breaks out in the Middle East, we are here and 
you" — meaning the United States — "are not." 
"Wlien the guns begin firing, the rockets can be- 
gin flying." That, may I say, is a statement which 
is both offensive and, insofar as its insinuation of 
United States impotence is concerned, is also un- 
true. Let's get that clear. In another statement 
on the same day Mr. Khrushchev cautioned Tur- 
key that Turkey had few troops with which to 
defend its border with the Soviet Union, and he 
again threatened to bombard Turkey with rocket 
missiles. These very same threats were repeated 
by Mr. Gromyko on Tuesday [October 22]. 

Finally, the Communist leaders of the Soviet 
Union actually went so far in their rather breath- 
less eagerness as to send letters to political parties 
in other countries, which presented the Soviet 
propaganda line on developments in the Middle 
East and exhorted these parties to support Soviet 
policies in this region. Is this the noninterference 
which Mr. Gromyko had in mind in the resolution 
on "peaceful coexistence" which he introduced on 
September 28 ? >= 

Through all these maneuvers the Soviet Union 
set what it believed to be the proper stage for the 
charges it was engineering to bring before the 
United Nations. 

Soviet Middle East Policies 

All these actions of the Soviet Union should be 
seen against the background of Soviet Middle 
East policies and actions during the past two 
decades. 

Soviet ambitions in the Middle East entered an 
active phase in 19.39 when Nazi Germany and 
Communist Russia formed an alliance in the 
Ribbentrop-Molotov pact of unfragrant memory. 
The Soviet Union in 1940 sought to use this 



" For a statement by Ambassador Lodge on the Soviet 
item on "peaceful coexistence," see iMd., Oct. 28, 1057, 
p. 09.3. 



alliance to establish a sphere of influence in the 
Persian Gulf and Black Sea regions and proposed 
to Hitler's foreign minister, Mr. liibbentrop, that 
this area be "recognized as the center of the aspira- 
tions of the Soviet Union." 

These ambitions came to nothing, but the Soviet 
Union nevertheless pressed forward toward the 
same goals after World "War II. It sought 
trusteeship over Libya. It demanded that Turkey 
cede to it the districts of Kars and Ardahan and 
grant the Soviet Union a naval base at the 
Dardanelles. That is what the Soviet Union de- 
manded. It occupied northern Iran in opposition 
of international agreements, and only the stanch 
stand taken by the United Nations and the will 
of free countries caused Soviet forces to be with- 
drawn from that region. 

The year 1955 was mai'ked by renewed Soviet 
efforts. It seems clear that the Soviet Union then 
reached the decision to concentrate its attention 
on the Middle East and the free countries of Asia. 
Its tactics are clear. First it seeks to expand its 
influence by psychological exploitation of legiti- 
mate national aspirations, even if this requires the 
temporary repudiation of local Communist 
parties. Then it resorts to subversion as gains are 
registered. And, finally, it hopes to seize and con- 
solidate power through indirect aggression. 

Now the Soviet Government pretends to believe 
that the United States is "prodding" Turkey to 
attack Syria. While it does not really believe 
this charge, it has spread it across the world and 
into this forum. I therefore reaffirm to you all: 
The United States is pushing no country into war; 
we are steadfastly against aggression in any fonn 
and from any quarter. 

What we are entitled to ask is the real explana- 
tion for the behavior of the Soviet Union. All the 
evidence shows what its true aims are : 

1. By creating the appearance of threat to 
Syria's security and then pretending to remove 
the threat, they want to pose before the world as 
the savior of the Arabs. 

2. They want to bully Turkey with threats of 
extinction and frighten the rest of us, if you please, 
into doing nothing. 

3. Tl:iey evidently believe that their agents and 
sympathizers inside Syria will make political 
trains from the artificial threat of war which has 
been generated. 



780 



Depatimeni of S/a/e Bulletin 



4r. They want to blacken the name of the United 
States and to destroy the friendship which has 
existed historically between the people of the 
Middle East and the United States. 

5. Finally, by creating an artificial war scare 
the Soviet Government hopes to further its ex- 
pansionist purposes and, in accordance with its 
historic aim, reduce the Middle East to the status 
of the captive nations of Eastern Europe. 

Record of Soviet Behavior 

So there, Mr. President, are the facts and the 
conclusions about Soviet intentions which flow 
inescapably from the facts and from what they 
themselves have said, because none of this is my 
rhetoric. This is all taken from the record. It is 
this same Soviet Government, the author of this 
unlovely record, which now seeks to accuse the 
great peace-loving majority of non-Communist 
nations in the world of being warmongers. That 
is what is happening. 

Here is a government which has been con- 
demned by the United Nations three times in the 
past year for its actions in Hungary; which has 
violated the expressed wishes of the United Na- 
tions more than 30 times in the j^ast 8 years ; which 
has abused its United Nations veto power 82 
times — accusing the overwhelming majority of 
the human race of wanting war. 

Plere is the government most often defeated in 
the United Nations operating on the maxim of the 
old political boss who says: "Claim everything; 
concede nothing; and if defeated allege fraud." 
Here is the chronic lawbreaker, not only seeking 
to be regarded as a good citizen, but actually trying 
to sit in the judge's seat and sentence the whole 
law-abiding community to jail. 

Here is the arsonist, trying his best to start an- 
other fire and demanding the right to lead the fire 
brigade. 

Here is the man in the parade who cannot ever 
keep step, exclaiming, "Everybody is out of step 
but me." 

Remember that it was one year ago to this day 
that Soviet tanks were shootinjr down Hunsrarian 
freedom fighters in the streets of Budapest. Com- 
pare the Soviet defiance of the demands of this 
Assembly that it desist from its butchery of 
Hungary with the actions which many other mem- 
bers of the United Nations, including my own 



country, took a few years earlier when they shed 
their blood in defense of the principles of the 
charter in Korea, shed their blood while the Soviet 
Union was actively directing and aiding the ag- 
gressor. As one speaker said here in tlie Assembly 
at that time, the Soviets were fighting to the last 
Chinese. 

Remember, too, the complaints of Iran in 1946 
and of Greece in 1947. 

Remember the so-called "charges" which the 
Soviet Union has brought before the General As- 
sembly year after year and which have been dis- 
missed by overwhelming votes — what we call here 
"the Soviet item." 

Remember the recent assassination by a Com- 
munist fanatic of President Carlos Castillo Armas 
of Guatemala, a man who once addressed the As- 
sembly from this very rostrum, and remember the 
terroristic Communist bombing of Saigon only 
tlie other day. These acts remind us of the meth- 
ods the Soviet Union is prepared to use. 

What a tragedy it is that the Soviet Govern- 
ment pursues a policy so unworthy of the gi'eat 
creative abilities of its people ! The distinguished 
achievements of Soviet scientists, which deserve 
and receive our hearty congratulations, prove 
how much the Soviet Union could contribute to 
humanity if the policies of its government were 
truly directed toward peace and cooperation. Let 
us hope that we here in this room, within our 
lifetime, will see an advance in Soviet policies 
which will reflect the fundamental decency of the 
people in the Soviet Union. 

Aspirations of Arab Nations 

Mr. President, the matters which we are dis- 
cussing here today, while of concern to all those 
devoted to freedom, are of direct importance to 
the Arab States and to the Arab peoples. The 
Arab peoples aspire for closer relationships with 
one another. This aspiration for unity is ac- 
companied by an equally strong desire for equal- 
ity within the family of nations. 

The United States, which was formed by tlie 
voluntary union of individual States, recognizes 
and respects the aspirations of the Arab nations. 
To Americans there is a grandeur in freedom and 
in unity. We respect that nation that is truly 
free and independent. We respect those who, of 
their own free will, join together for their com- 
mon good. In our relationships with other na- 



November 18, J 957 



781 



tions we believe sincerely that our interests and 
their interests are best served when we meet as 
equals. We want this for ourselves; we want it 
for all others. With the same fervor we shall 
stand witli our Arab friends to oppose those who 
would seek to rob them of their liberty and twist 
their hopes of progress to serve the aims of a new 
imperialism. 

On January 5, 1957, President Eisenhower 
stated to the Congress of the United States : ^^ 

We have shown, so that none can doubt, our dedica- 
tion to the principle that force shall not be used interna- 
tionally for any aggressive purpose and that the in- 
tegrity and independence of the nations of the Middle 
East should be inviolate. . . . There is general recog- 
nition in the Middle East, as elsewhere, that the United 
States does not seek either political or economic domi- 
nation over any other people. Our desire is a world 
environment of freedom, not servitude. 

Mr. President, as I conclude, let me say this: 
The United States will not be stopped by threats 
or by defamation from continuing to oif er its un- 
derstanding and support to those nations of the 
Middle East which are being threatened by the 
Soviet Union and whose independence the Soviet 
Union seeks to destroy. Let there be no question 
about our capacity to offer this support. We are 
strong, and our allies are strong. And let us not 
forget here, in this room, that the charter of the 
U.N. is a most powerful "grand alliance" against 
aggression. It could well become the most pow- 
erful alliance that the world has ever seen. 

The United Nations has played a big part in 
thwarting the many Soviet power grabs since the 
end of the Second World War. We should not 
be discouraged; we must be optimistic. Just look 
at what I refer to : 

I have in mind the failure of the Soviet Union 
to gain its demand that Turkey cede the districts 
of Kars and Ardahan to the Soviet Union. 

I have in mind the withdrawal of Soviet troops 
from northern Iran. 

I have in mind the ending of the Coimnunist 
encroachment on Greece. 

I have in mind the Communist attempt to con- 
quer Korea by force of arms. 

I have in mind the thwarting of the Commu- 
nist attempt to expand all through Central 
America, using Guatemala as a base. 



Thus the true facts, and the motives behind 
these charges, are perfectly clear for all who wish 
to see. The United States welcomes examination 
by the Assembly of this situation. The United 
States is confident that such consideration will be 
most helpful in placing developments in proper 
perspective and in reducing the tensions which 
the enemies of peace and tranquillity in the Mid- 
dle East have sought to build up around this 
matter. 

Mr. President, we will uphold the charter and 
have faith in God." 



Department Views on Expulsion 
of Marslial Zhukov 

Following is the text of a Department state- 
ment read to news correspondents on November 
2 by Lincoln White, Chief of the News Division. 

The Central Committee of the Soviet Com- 
munist Party, after what appears to have been 
extended debate, has reported the expulsion of 
former Defense Minister Zhukov from the par- 
ty's Presidiiun and Central Committee. As ear- 
lier speculation had indicated, the announcement 
states that issues involved were party controls 
over the army and Zhukov's pursuit of a personal 
"cult of personality." The announcement goes on 
to accuse Zhukov of a disposition to "adventur- 
ism" in foreign policy. 

Tliere has no doubt been adventurism in for- 
eign policy as witness the recent Soviet threats 
to Turkey and the fabricated charges dissemi- 
nated by Soviet spokesmen regarding the Middle 
East. However, the placing of responsibility for 
this adventurism upon Zhukov is difficult to re- 
concile with the recently expressed desire of Mr. 
Khrushchev to entrust Marshal Zhukov with a 
mission of high trust and confidence to the United 
States. 

This ouster and attempt to disgrace a distin- 
guished military leader, so quickly following the 
similar actions against Malenkov, Molotov, Ka- 
ganovich, and Shepilov, is evidence of the strains 
and stresses that must be present within the So- 
viet bloc. 



" lUd., Jan. 21, 1957, p. 83. 
782 



" On Nov. 1 the General Assembly agreed to close the 
debate on the Syrian complaint without taking any 
action. 

Department of State Butletin 



Secretary Dulles' News Conference of October 29 



Press release 601 dated October 29 

Secretary Dulles: Any questions, ladies and 
gentlemen ? 

Q. Mr. Secretary, what can you give us in the 
way of factual information on the Zhukov mys- 
tery, and what interpretation do you make about 
this development in relation to Soviet foreign 
policy? 

Issues To Be Resolved in U.S.S.R. 

A. I am not going to make any predictions as 
to what is going to be the outcome of what is 
going on in the Soviet Union at the present time. 
I think that the prolonged sessions of the Central 
Committee, which presumably is still in session, 
indicate that there must be issues of very con- 
siderable importance that are sought to be re- 
solved by that meeting. I think that it is 
possible to see perhaps some of the background 
which probably leads to the sharp issues that are 
undoubtedly being dealt with there, and I would 
be glad to comment a moment or two about that 
aspect of the matter. 

You have, first of all, a duality in the political 
system within the Soviet Union which is prone to 
pulling and hauling in different directions. You 
have the party system, and you have the govern- 
mental system. The top position, of course, of 
authority within the Soviet Union is the head of 
the Soviet Communist Party. That position is 
now held by Khrushchev. Then you have the head 
of the state, the Chairman of the Supreme Soviet. 
In general, as Stalin said, no important decision is 
taken by the Soviet, that is, the state, except un- 
der the guiding direction of the party. But the 
degree of control, and in what detail the party 
exercises its authority over the state, that is con- 
stantly a shifting problem, except when you have 
one man who holds both positions, as was the case 
when Stalin held both positions. Then you have 



the secret police, and then you have the army. 
There is a constant tugging and hauling as be- 
tween them. Of course, Stalin also had control 
of the secret police through Beria, and the in- 
fluence of the army was depressed during that 
period. 

Now, that led to what was called the "cult of 
personality." Ostensibly they have been trying 
to get rid of that. But as they try to get rid of 
that unification of all this influence in one man, 
then inevitably pulling and hauling takes its 
place. 

Then you also have as background the fact that 
undoubtedly there are extremely serious domestic 
issues to be resolved. The scrapping of the cur- 
rent Five Year Plan is probably, certainly from 
the domestic standpoint, the most serious step that 
has been taken within the Soviet Union for a long, 
long time. That step could not have been taken 
except under the impact of very powerful eco- 
nomic forces which made it impossible even to 
pretend to carry on this Five Year Plan, and 
those plans are almost sacred symbols within the 
Soviet Union. 

You have the problem of decentralization of 
industry, which raises very great problems indeed. 

Then you surely have the problem of the 
claimants from different sources upon available 
resources. There is the need now to help bolster 
up the satellites, give aid to Commimist China. 
There is a sort of so-called Soviet foreign aid 
program. You have the claimants for better liv- 
ing conditions within Russia. Certainly you have 
claimants from the militaiy. Undoubtedly there 
are the same issues that are present in this coun- 
try, whether you are going to have a big bomber 
program, whether you are going to go in for 
guided missiles, whether you are going to go to 
these long-range new weapons in replacement to 
some extent of your standing army. 



November ?8, J957 



783 



All of these issues are inherent hi the situation. 
So, while these dictatorships always, or usually, 
seem to present a hard, calm exterior, there go on 
within them terrific convulsions. There are in- 
herent the same kinds of problems that we deal 
with openly. Often, in fact, those problems be- 
come exaggerated within a despotism as they are 
tried to be sealed off. Well, that is a rather long 
statement for background, but I don't want to go 
much further than that. 

Q. Mr. Secretary^ are you suggesting that there 
is a terrifiG convulsion under way now at this time, 
that perhaps the secret police is coming hack into 
more authority than it has had? 

A. No. I don't want to have my remarks in- 
terpreted as going beyond what I have said. I 
have tried to point out what are the underlying 
problems that are faced within the Soviet Union 
and that probably these problems, or some of 
them, are coming to a head at the present time, 
and I don't know what the solution is going to be. 
I do think that probably the problems that are 
up for resolution relate more to domestic issues 
than they do to international problems. 

Q. Mr. Secretary, continuing that thought that 
you just left, toould it he possihle for you to 
analyze, or at least conjecture, \ohether doinestic 
prohlems are so severe that they shape Russia''s 
approach to international prohlems more than 
not, or if the converse is true? If I make my 
question clear? 

A. I would think that the dominant charac- 
teristic at the present time is tlie domestic prob- 
lem. As I say, tlio dual problem of the scrapping 
of the current Five Year Plan, and the decen- 
tralization of industry and moving its control 
away from Moscow into the provinces, and so 
forth — that undoubtedly creates tremendous 
problems. Also you undoubtedly have, as I say, 
the claimants — which, in part, represent the mili- 
tary — to resources which are inadequate to meet 
all of the needs. Now, I wouldn't ever disguise or 
ignore the possibility that you cannot make a 
sharp line of distinction between internal troubles 
and external troubles, and sometimes, as we know, 
external policies are stiffened and become provoca- 
tive in an effort to divert attention away from 
domestic troubles. That is always a possibility 
which we must constantly be alert to. 



Q. Mr. Secretary, there has heen a general im- 
pression since the Russians launched their earth 
satellite that they were in pretty good shape. 
Now, from what you have given as hackground in 
answer to the fiist question, are you suggesting 
that they are not in as good shape as is popularly 
supposed? 

A. Well, they are in good shape from the stand- 
point of having pushed science rapidly. Their 
body of learning and their knowledge about appli- 
cations of that learning are undoubtedly of a very 
high order, and nothing that I have said should be 
considered in derogation of their scientific and 
military achievements, which are very great. But 
launching a satellite, while it demonstrates great 
scientific skill, doesn't give you the answer as to 
how you make your income go around or as to 
whether or not you can maintain a Five Year 
Plan. It doesn't solve any of the problems that 
I have talked about and which we have known for 
some time were causing a great deal of hauling 
and pulling within the Soviet Union. Mr. Allen 
Dulles made a talk about that in San Francisco 
a few weeks ago,' in which he developed all these 
angles, I think, quite adequately. 

Q. Mr. Secretary, in the Eisenhower-Maximil- 
ian communique'^ there was a reference to what 
is called the inexorahle law of evolutionary proc- 
ess in totalitarian countries. Do you helieve that 
this ivill go on if, as it loould appear, Khrushchev 
manages to get all the power elements under his 
control? 

A. Yes, I feel so. We pointed out that there 
are two ways in which the law works — one is 
through peaceful evolution and the other is 
through violent revolution, and I do not think 
that the working of that law in one way or another, 
perhaps a combination of the two, can be stayed 
by merely reshuflling the internal authority. You 
may be able to cope better with some manifesta- 
tions, but, as you repress in one place, you are apt 
to have an outburst in another place. 

Now, of course, we did not suggest by that 
statement that this law was going to work over- 
night. On the contrary, our statement made per- 
fectly clear that we considered that we had to gird 
ourselves for what might be a very long struggle. 



1 For text, see Bulletin of Oct. 21, 1957, p. 639. 
= For text, see ibid., Nov. 11, 1957, p. 739. 



784 



Department of Sfafe Bulletin 



I liave at times talked about this decade as a 
period within wliicli we could see some material 
progress made. Perhaps that is overoptiraistic. 
Maybe a generation. I don't know. But tliis is 
not something that is going to happen overnight, 
nor is it anythmg in my opuiion that can be 
stopped merely by personnel changes within the 
Soviet Union. 

Q. Mr. Secretary, from what you know, can you 
tell «s whether tJiere is a power struggle now going 
on in Moscow and, if so, who is 07i top as of tlie 
moment? 

A. No. I cannot answer those questions. 

Q. Mr. Secretary, do you share the thesis on 
lohich President Tito seems to hose his policy, that 
Mr. Khrushchev is still the paramount exponent 
of the liberal trend in the Soviet hierarchy at this 
moment? 

A. I wouldn't want to comment on President 
Tito's views because I don't know them with suf- 
ficient intimacy and I don't know just what his 
statement is that you allude to. I would say 
that, from where we sit here at least, we have 
not felt any great liberality, although there has 
been a measure of tolerance — of some tolerance 
at least within Poland — perhaps a greater meas- 
ure of tolerance than would have existed under 
Stalin. But in the main we do not see any great 
evidence of liberalization. Certainly, the con- 
duct of the Hungarian affair was not character- 
ized by any willingness to see liberty exercised by 
the Hungarian people. 

Situation in the Middle East 

Q. Mr. Secretary, could you relate these events 
in Moscow with our position now vis-a-vis the 
Middle East? Are things worse, better, or what? 

A. I'm not quite sure that I get the import of 
your question. Would you repeat it? 

Q. Well, I mean the Russians have been mak- 
ing moves into the Middle East, have, in fact, 
moved in economically into Syria through a 
treaty. That is happening while there has been 
an internal struggle in Moscow. Meamohile they 
have been very busy outside, in the United Na- 
tions and down here too. 1 just wondered if you 
had noted any toughening of their position in 
these diplomatic excursions, or do they seem more 



amenable to talk? Row do you balance, for ex- 
ample, the Zarouhin talks and offer of 52 points 
of contact ^ with Convmunist forces starting a war 
in the Middle East? I mean it doesn't seem to 
make much sense nght now. 

A. Well, Soviet propaganda has never been 
characterized by consistency, you know, and they 
say one thing in one part of the world and at the 
same time they say something quite contradictory 
in another part of the world, and they can carry 
on what would appear to be contrary policies at 
one and the same time. The Soviet desire to get 
into the IMiddle East is, of course, nothing new. 
The degree of influence that they now exert in 
Syria is a new development. I would say, in the 
main, the impression we have is that the Soviets 
have been talking, at least, much more toughly 
than has been customary in recent years. And the 
kind of charges that the Soviet Union has made at 
the United Nations and that Gromyko made in 
his press conference before he came to the United 
Nations — that is characterized by very tough 
language indeed. 

Q. Is the adm,inistration considering a vast eco- 
nomic aid program in the Middle East to counter- 
balance Communist influence in that area and 
prevent further Soviet domination there? 

A. We have no vast program of economic assist- 
ance to the Middle East in contemplation. I said 
at the United Nations in my speech up there * 
that, if there could be in sight a solution of some 
of these political problems, concurrently we would 
contribute through an economic aid program of 
various kinds. I have repeatedly said that I stood 
by the principles expressed in my August 1955 
speech on that subject,' which would involve ex- 
penditures running into a lot of money. But I 
would not say that there is at the moment any 
concrete project of the kind that you allude to. 

Q. Mr. Secretary, in connection with Soviet in- 
fluence in Syria there were reports the other day 
that the Soviet Ambassador in Damascus had in- 
fluenced the Syrians to change their minds about 
having King Saud mediate. Do you have any 
comment on that? 



' See p. SOO. 

' Bulletin of Oct. 7, 1957, p. 

' Ibid., Sept. 5, 1955, p. 378. 



555. 



November 78, 1957 



785 



A. I would give very considerable credence to 
that report. 

Allied Defense Policy 

Q. Mr. Secretary, in the Eisetihoioer-Macmil- 
lan oovimunique it was stated that the very fun- 
dcwnental hasis of our allied defense policy is out 
of date, and at your last press conference you sug- 
gested that it iecame out of date when Russia 
proved that we no longer had a monopoly of the 
atomic homl). Can you tell us why it is that, when 
that event took place some years ago, the admin- 
istration delayed some 4- years before initiating 
or taking the initiative to initiate the new look 
that we have now ju^t seemed to agree on 
starting? 

A. The tendency to be secretive is a very deep 
one and is held, I think, by the Congress, and the 
problem of getting changes there has been one of 
considerable difficulty, and I am not sure, even 
now, it will be possible to get all the changes that 
seem required. But I think that the demonstra- 
tion that the Soviet Union has made such great 
progress may lead to a feelmg that we take more 
risks by not sharing with our allies than the risks 
that we take in keeping, trying to keep, all these 
things to ourselves. 

You have to find the climate in which to do 
these things. There are a lot of things tliat are 
theoretically desirable, and recognized as such, 
but the climate is not such so that you can actually 
do them. In these matters timing is an essential 
ingredient in any course of action. 

Q. Are you suggesting, Mr. Secretary, that the 
secrecy was all on the part of Congress — the 
impulse toward secrecy? Our xmderstanding 
has heen that the Chairman of the Atomic 
Energy Commission, Mr. Strauss, is the man who 
favors secrecy more than any other person con- 
nected with atomic-energy matters. 

A. Well, I would say that there were, perhaps, 
some nuances of difference within the adminis- 
tration itself on this question of secrecy. 
(Laughter) 

Q. Mr. Secretary, to pursue it just a bit fur- 
ther. We are talking about timing here, but I 
rroean this policy could very well mean the dif- 
ference between life and death of the Atlantic 
Alliance, if it is, indeed, a fundamental part of 



our defense policy. The question arises, why 
wouldnH the administration have taken the lead- 
ership and fought doggedly on the Hill, where- 
ever it was necessary to take the steps, instead 
of waiting for a propitious time or instead of 
waiting for Russia to kind of propel us into this 
particular course of action? 

A. Well, there hadn't been complete unanimity 
of agreement. I recall that as late as in the 
spring of '53 former President Triunan said that 
he still did not believe that the Soviet Union had 
atomic bombs, and — 

Q. He wasrCt President then? 

A. I beg pardon ? 

Q. '53? 

A. Yes. I tliink the statement he made — I 
think in January 1953 — was that he did not 
believe, in fact, that the Soviet Union yet had the 
atomic bomb, and that what had been exploded 
up to that time was merely a so-called atomic 
device but they had not yet found the way to use 
atomic energy in terms of a weapon. 

Essentials of Interdependence 

Q. Mr. Secretary, in the cormnunique with 
Macmillam, — the talk of sharing tasks and bur- 
dens — sometijne ago you told us that you expected 
to have, I believe before this date, a report on 
overseas bases and manpower overseas — Amer- 
ican. Are those two things related, and has that 
report cottie to a head? 

A. The report is, I think, in the final stages of 
preparation at the present time, and I already 
liave a rough forecast as to what probably the 
findings will be; that is, just in terms of its gen- 
eral scope. I would not say that there was any 
interconnection really between the two things. 
The timing — the fact that the timing comes 
together is just a coincidence. I think that as we 
face — each of us, each of our allies — this problem 
of defense and the cost of defense and the prob- 
lem of bearing it in a way which is compatible 
with the maintenance of sound economy and 
sound currency, over a period of years, we are 
more and more driven to accept the view that we 
must be more interdependent and not each try 
for an independence which would force each 



786 



Department of State Bulletin 



country to do itself everything, in terms of 
ground forces, air, navy, modern weapons, mis- 
siles, bombers, and the like. Now we just cannot 
each of us do that; even a nation as powerful as 
the United States cannot successfully do it alone 
and lielp our allies to be doing the same thing. I 
think we have got to accept the implications of 
an era of interdependence. 

Now you cannot practice interdependence with- 
out having a greater degree of knowledge and 
confidence and political closeness with each other. 
The concept of interdependence means that you 
depend upon somebody else for at least some part 
of your defense. And as soon as you get to have 
to depend upon somebody else, you want to be 
quite sure that that other person is dependable 
and, in fact, is doing his part and will make the 
correct political decisions at the right time, so 
that the parts of this thing will all move together. 

Now that is really the problem that we con- 
front and probably will be a principal issue dealt 
with at the December meeting of the North 
Atlantic Council, and, of course, it affects other 
security arrangements besides the North Atlantic 
Council. 

You will recall that in the communique it 
speaks of the necessity of our cooperating and 
working together and then points out that, in 
order that this shall actually work, there must be 
three ingredients that are mentioned there, and 
which I consider extremely important: First, 
there must be more knowledge on the part of 
each of what the other is doing in terms of his 
sector of responsibility. Secondly, there must be 
confidence that the element of defense which each 
is responsible for will, in fact, be used when the 
critical moment comes. Thirdly, there must be 
confidence that it will not be misused, so as 
perhaps, unnecessarily, to get us all embroiled in a 
war without adequate reasons. 

I do not think that our existing political-mili- 
tary mechanisms are adequate to cover those three 
points at the present time. If you are going to 
have interdependence, different sectors are going 
to be assumed by different countries. You will 
have to bring about as a supplement to that these 
three things: greater knowledge; greater confi- 
dence of use at the right time; and increased in- 
surance against misuse at the wrong time. 

Now that is the thing we are going to have to 
try to work out and I think that will be one of 



the important matters dealt with at the next 
NATO meeting, and, of course, the pattern we 
work out there would always, I supjaose, be one 
which we would consider with relation to the 
SEATO and other security arrangements. 

Q. Mr. Secretanj, hoiv do you believe this might 
1)6 worked out? Do you need some new mechan- 
ism., something to he superimposed on each or all? 

A. I don't care to make any forecast at this 
time as to what conclusions we would come to as 
to how to work these matters out. They are being 
studied; in fact, they have been studied for some 
little time within our own Government. They will 
have to be studied with our allies on a vei-y tenta- 
tive basis, and I doubt whether we will have any 
concrete thoughts on this matter to make public 
until we have had an opportunity to develop our 
owm thinking somewhat more and to exchange 
views with some of our principal allies. 

Q. Mr. Secretary, can I change the subject? I 
would like to know if you see, roith respect to gifts 
to American officiah, any difference in kind be- 
tween a wri^t watch, an automobile, and a deep 
freeze? {Laughter) 

A. Yes, lean. 

Q. I mean in '■'■kind^'' not degree. 

A. I can see considerable differences. 

Q. In kind? 

A. Well, I don't know what you mean. 

Q. There are gifts from people who have an 
interest in good relatione loith the important peo- 
ple in the United States Government. 

A. I think this question of gifts is a very diffi- 
cult one and it is one on which it is very difficult to 
generalize. 

Q. There has been a great deal of generalization 
about it from time to time in ecoch administration. 
There is nothing peculiar about this. 

A. I don't recall that I have ever generalized 
about it, and I would just like to say this: I do 
not think there is any problem of greater difficulty 
and delicacy than the problem of knowing how to 
handle gifts. There are some gifts where you can 
handle them very easily, where you can detect in 
the gift a desire to gain an improjier influence ; in 



November 18, 1957 



767 



such a case, you return the gift, and I have fre- 
quently myself done that. In most cases gifts are 
an act of courtesy — an act of friendliness — and a 
rejection of the gift would involve ill will, would 
be a discourteous thing to do. Some gifts I myself 
compensate for by personally giving gifts in re- 
turn of somewhat comparable value ; some I turn 
over to the State Department — I turn over a lot. 
Practically anything that comes to Mrs. Dulles 
or me comes to the State Department to use if, as 
we hope, in the new building we may have sort of 
a museum there. Others are received and kept be- 
cause there doesn't seem to be any other good so- 
lution to the problem. Anybody who thinks that 
this question of gifts is a simple one doesn't under- 
stand the problem. 

The United States itself gives gifts. If we 
thought all giving of gifts was an evil practice, 
then the first place to stop would be to stop our- 
selves. But whenever important persons come 
here, or whenever we make visits of importance, 
we take gifts along because that is the courteous, 
decent, nice thing to do. And to draw the line 
as to when a gift is properly given, and properly 
received, and it isn't, is something which nobody 
can determine in advance by some rigid rule. It 
largely is a question of the judgment, delicacy of 
judgment, of the persons involved. 

Q. Do you think that it might he helpful to have 
gifts puhlicly announced or listed or categorized 
at the time? 

A. I doubt very much 

Q. Because how is the puhlic to know whether 
people are exercising what I ielieve you would 
regard as good taste. You put it on a basis of 
good taste and motive, which are very, very nebu- 
lous characteristics^they are very itnportant, hut 
nebulous. 

A. I don't think the nebulosity would be dis- 
pelled by a list. (Laughter) 

Q. People would know what had been offered 
and what had been received, and then the person 
who took it would be in the position of justifying 
it. Isn't that true? 

A. Let me ask, would you put a valuation on 
these gifts ? 

Q. Well, I am not Secretary of State, sir. 

A. No, but you are making a proposal. 



Q. For your opinion. 

Q. Mr. Secretary, could I return to Russia for 
a moment and ask this question? Is this tugging 
and hauling that is going on in the Russian hier- 
archy, is that good news or bad neivs to the West, 
and does it increase the probability of war? 

A. I don't think I can answer that question. I 
don't know whether it is good news or bad news 
because so far there isn't any news on this particu- 
lar affair. It's all so far in the realm of specula- 
tion. After the outcome is known, then we may be 
able to judge it. But, in anticipation, I wouldn't 
want to make a guess on that matter. 

Division of Responsibilities 

Q. Mr. Secretary, going back to NATO, are we 
proposing that the allies furnish the men and we 
will furnish the money and the weapons? 

A. No. The division will not be along any 
hard and fast line of that sort. Broadly speak- 
ing, we believe that the forward position should 
in the main be held by local manpower. But 
not exclusively so. And there is no suggestion at 
all, for example, that American forces should be 
pulled out of forward positions in Europe. 

Q. How about Asia, sir? 

A. Or in Asia, for that matter. The only 
place there where we have manpower in forward 
positions at the present time is in Korea, where I 
think we have about two divisions. And there is 
no thought of denuding Korea of American divi- 
sions. 

Q. Mr. Secretary, what effect do you see the 
Eisenhower-Macmillan agreements having on de- 
fense spending in this country? 

A. I do not think that it will involve any re- 
duction in the defense spending. But I think it 
may mean the releasing of some funds for pur- 
poses which we can carry forward with greater 
efficiency and more in the common good, and pos- 
sibly the assumption of specific responsibility by 
the British, the French, or the Germans, or others 
in certain other areas, so that we sort of dovetail 
together. 

Now, the result of that should be, when it gets 
going, to relieve us of certain burdens and to re- 
lieve them of certain burdens. Whether the re- 



788 



Department of State Bulletin 



lief will reflect itself in a reduced budget or 
whether it will mean that the money will go into 
other forms of military activity or not, I can't 
foresee at the moment. I do not contemplate 
that it would affect any reduction of our budget 
for the next year. 

Q. Mr. Secretary, there have been reports that 
President Eisenhawer may attend the NATO 
meeting in Decemher. From your vantage 
point, sir, do you think it would be unlikely for 
him to attend? 

A. Well, I think, if he were invited, he would 
certainly give it sympathetic consideration. 

Q. Mr. Secretary, would this involve any 
change in the plans of Pi'esident del Campo, 
[President Ibanez del Gam,po of Chile~\ who is to 
come here I believe on December 11th or 12th? 
If the President should go to Pains on December 
15, would that require any change in the status 
of the official visit of Del Campo? 

A. I feel quite confident that, if the President 
went, he would go under conditions where it 
would fit in with such existing engagements and 
would not involve dislodging any of those. 

Q. Mr. Secretary, what was the real reason for 
the transfer of Mr. Purse, the Deputy Chief of 
the Protocol Division? 

A. I think there was a statement given out 
on that matter yesterday.* I have nothing to 
add to that. 

Q. Mr. Secretary, in mentioning the NATO De- 
cember meeting, you referred also to application 
to SEATO and other alliances. 

A. Yes. 

Q. Do you feel that arrangements made at the 
December meeting will also apply to other defense 
arrangements? 

A. There will be no automatic application to 
other alliances of what is agreed upon at NATO. 
Each of these alliances is independent of the other. 
But if we work out a solution, an application, of 
certain principles which are of universal applica- 
bility, then the experience we gain in that way 
may enable us to apply those principles also more 
readily in the other areas. 



' Press release 599 dated Oct. 28 ; not printed here. 
November 18, 1957 

446377—57 3 



Q. Mr. Secretary, would you loelcome the ap- 
pointment of Marshal Zhukov as Ambassador to 
Washington? {Laughter) 

A. Well, you know the practice is that, before an 
ambassador is appointed, we are asked for an 
agrement and that request for an agrement goes 
to the President and the President makes the 
decision. 

Q. Mr. Secretary, when West Germany broke 
relations with Yugoslavia sOTue time ago over the 
Yugoslav recognition of the East Germany regime, 
there was fear expressed in some quarters that the 
Yugoslav action toould start a sort of chain re- 
action in other countries, especially the neutral 
nations, in recognizing the de facto government. 
How do you feel about the chain reaction, and 
xohat if anything can we do about it? 

A. I haven't seen any evidence of a chain reac- 
tion. I doubt if there will be a chain reaction. 
I think possibly the action that the Federal Re- 
public took may tend to slow down any such 
reaction. 

Q. Mr. Secretary, is it your view that this neio 
effort at cooperation among the allied nations is 
essentially a political problem, or is it a military 
problem? You seem to be stressing the political 
side, where you foresee no real change in our de- 
ployment overseas. 

A. I think it, like most of these problems, has 
both political and military aspects. I suppose 
from a military aspect the first thing to do would 
be to sort of divide up the task more clearly than 
is the case today and to allocate the military re- 
sponsibilities. Then, having done that, you need, 
in order to make it effective, some new political 
understandings or arrangements so that that will 
be acceptable and will work. Now, just to give 
a concrete illustration: 

It is logical that the United States should do 
the primary work in terms of nuclear weapons 
and the means of their delivery at long range. 
We have a great advance over any other allied 
country in that respect, and it would seem to 
be an improvident concept of the common fund 
to have duplications attempted. On the other 
hand, if that is not going to be attempted, I think 
there has to be a greater knowledge, first, as to 
what those capabilities are; secondly, as I said, 
the confidence that in time of emergency, of 



789 



armed attack, they would in fact be used; and, 
thirdly, confidence that they will not be misused. 
In other words, we should try to get as closely 
as we can to the concept which is referred to in 
our Constitution as the creation as between the 
states of a "common defense." It involves all of 
those elements. It's a joint political-military 
problem, as I see it. 

The Concept of Collective Security 

Q. Mr. Secretary^ you yourself, sir, have reem- 
phasized on many occasions the importance and 
the value of the military pacts that we have 
made with our allies — notably SEATO, NATO, 
and the Baghdad Pact. Do not the Macmillan- 
Eisenhower talks boil down — if you will permit 
the phrase — to an agonizing reappraised of the 
entire validity of this kind of system? And if 
that is so, how do you equate the implication that 
was attributed to you at your last news confer- 
ence about the complacency of the American pub- 
lic contrasted with the alertness of the adminis- 
tration? 

A. That is a pretty long question. I'm not 
quite sure where to pick it up. Certainly noth- 
ing that has been said in the Eisenhower-Mac- 
millan communique leads, I think, to the conclu- 
sion that we regard our mutual security arrange- 
ments as obsolete. Indeed, the implication 
sought to be given, and I hope given, is that they 
are more than ever indispensable. But I have 
talked here repeatedly, here and elsewhere, of the 
fact that we need in the society of nations to 
move constantly ever closer to tlie concept of 
collective security that we have within the na- 
tion. I have repeatedly talked about the fact 
that within a nation you give up very quickly the 
idea of the frontier, where every man protects his 
own house with his own gun and his own dog, 
and you move forward toward a concept of where 
there is a central police authority and that is ac- 
cepted because it gives better security than any- 
thing else. 

Now, in the society of nations we have never 
gotten toward that. As the communique said, 
the theoretically ideal way to move toward it 
would be through the United Nations. That was 
originally the concept of the United Nations 
that is expressed in article 43, that the Security 
Council have available these forces which it 
would use to help to maintain order and to give 

790 



a confidence of security in the world. That has ' 
always been vitiated by the Soviet veto. So you 
have to move toward it as best you can with those \ 
who accept that concept. 

And you need more and more to have the con- 
cept that this force is, as the communique says in J 
reference to nuclear weapons, a sort of a trust '•■ 
to be used for the benefit of all of those who share J 
in the program. I 

Now, tliere are other elements which also must \ 
be a trust, created by other nations. We are try- 
ing to build this as near as we can to the concept I 
of a really central security force which exists for 
the benefit of all, to which all contribute fairly, 
and in which all can have equal confidence. ] 

Q. Mr, Secretary, are you suggesting that the \ 
United States will accept supemational authonty i 
over the armed forces to a greater extent than it 
does 71010 in NATO? 

A. No. I am not arguing for any supema- 
tional authority. That is, perhaps you might say, 
theoretically a correct answer to the problem. It 
is not practical at the present time, and I do not 
think it is necessary to move in that direction. I 
think that we can build through relations of trust 
and confidence where there is knowledge about 
what goes on. We can build up these essential in- 
gredients that I have pointed out: first, knowl- 
edge; second, confidence of proper use; thirdly, 
confidence that there will be no improper use. I 
do not think that requires any siipernational au- 
thority. I think we can achieve needed coopera- 
tion, will achieve it, without that. 

Q. Mr. Macmillan has talked about the even- 
tuality possibly of a world government resulting 
out of this draiving together. Do you see any- 
thing like that in the ultimate future? 

A. I was not aware that he said that. 

Q. Mr. Secretary, did I understand you to say 
that the United States must be alert to possible 
inteimational developments as a result of the cur- 
rent tugging and hauling in Moscow? 

A. I said that, whenever a great nation seems 
to be having internal troubles, one has to bear in 
mind the historical fact that sometimes those in- 
ternal troubles lead to external acts which are de- 
signed to solidify the situation at home or divert 
attention. We are always on the alert mider those 
conditions. 

liGpat\m<in\ of ^ta\e Bulletin 



Q. Are you suggesting, sir, that we have some 
diplomatic or m,ilitary alert noto in effect lohile 
this problem is under way in Moscow at the 
present time? 

A. I think there is nothing special in that re- 
spect that requires that. I tliink that all of our 
people in tlie top echelon of Government, military 
and political, are quite aware of the fact that 
situations like this sometimes have external mani- 
festations. But I don't want to give you the im- 
pression that we think there is war around the 
comer, because we don't think it is. 

Q. Sir, are you issuing any new rules or re- 
minders to the State Department as a result of 
the Purse incident? 

A. Not that I am aware of. I have not fol- 
lowed that particularly. 

Q. Thank you, Mr. Secretary. 

Mutual Security, a Common Defense 
of Freedom 

Remarks hy Secretary Dulles ^ 

Press release 608 dated November 1 

You have been liearing about one important 
part of our foreign policy, the mutual security 
program. Its purpose, like all of our foreign pol- 
icy, is to serve the American people, to make us 
more secure and to help to realize our aspirations. 

We face, and indeed every generation faces, 
grave problems. Today the dominant problem is 
that created by international communism. It 
already controls one-third of the world's people, 
and it seeks to extend that control over all the 
world. It is prepared to use any means which it 
thinks will serve that purpose. 

This Communist effort may seem to fluctuate 
in its intensity from time to time. But I can 
assure you that the pressure is always on to take 
advantage of any weakness or any relaxing on 
the part of the fi-ee world. 



' Made on the initial program of "Camera on Washing- 
ton," a special television series on the functions of the 
executive branch of the Government. The series began 
on Nov. 1 and is being carried by the National Broadcast- 
ing Co. in cooperation with the Educational Television 
and Radio Center at Ann Arbor, Mich. 



The best, indeed the only, answer to that threat 
is increased unity of the free nations. Our 13 
colonies, when they sought freedom, adopted the 
principle of collective security. As Benjamin 
Franklin said at the time of the signing of the 
Declaration of Independence, "We must all hang 
together, or assuredly we shall all hang sepa- 
rately." 

If we look even farther back, we recall the 
frontier days when a family achieved security by 
always having a gun handy and maybe a faithful 
dog. But this idea of each defending himself 
has long since given way to the practice of col- 
lective security. 

We must have that collective security within 
that society of free nations. As President Eisen- 
hower and Prime Minister Macmillan said just a 
few days ago,^ "The concept of national self- 
sufficiency is now out of date. The countries of 
the free world are interdependent." 

And so it is we work together, each contrib- 
uting to a common defense. That is one part of 
our mutual security program. 

There is another part. That involves bring- 
ing the gospel of freedom to the hundreds of mil- 
lions of people who have just achieved political 
independence and who are wondering whether 
ways of freedom can lift their people out of the 
age-old morass of hopeless poverty. The Com- 
mimists claim that they can do this if only the 
people will accept the dictatorship of a Commu- 
nist state. We believe that economic uplift can 
be achieved in freedom. But words alone carry 
little conviction. We must demonstrate our 
faith by works. 

To do this is part of the great American tra- 
dition. I recall that Abraham Lincoln said of 
our Declaration of Independence that it prom- 
ised "liberty not alone to the people of this coun- 
try, but hope to all the world, for all future 
time." It was that which gave promise that in 
due time the weights should be lifted from the 
shoulders of all men. 

We believe that our mutual security program, 
by providing a common defense of freedom and 
by spreading abroad the gospel of freedom, meets 
the needs and the aspirations of the American 
people. 



' Bulletin of Nov. 11, 1957, p. 739. 



November 78, 7957 



791 



The United Nations: Force for a Better World 



hy Francis 0. Wilcox 

Assistant Secretary for International Organisation Affairs ' 



Very likely most of us here today gi-ew up dur- 
ing an era of American isolationism. We studied 
history and geography at school and perhaps at 
college. But, by and large, we were not overly 
concerned with international problems. There 
was too much to do at home, and the issues con- 
fronting countries thousands of miles away 
seemed remote, to say the least. 

But that was before World War II and the era 
of the jet plane and the hydrogen bomb. It was 
before we assumed, albeit reluctantly, our role of 
leadership in world affairs. It was before the 
United States and 50 other nations gathered in 
San Francisco to adopt the United Nations Char- 
ter, which was framed to enable them to work 
together to achieve just and lasting peace. 

Today I am filled with a deep sense of appre- 
ciation for the opportunity to participate in 
Iowa's United Nations celebration. For it is my 
firm belief that the United Nations represents the 
greatest effort in history to achieve peace and 
progress for all mankind. It is the only world 
forum where, in time of crisis, nations can dis- 
cuss, debate, and mediate conflicts arising among 
them. 

This is of supreme importance in a world where 
overwhelming power has confronted man with a 
desperate choice between progress and annihila- 
tion, a choice between cooperation on behalf of 
peace or facing inevitable destruction in a nuclear 
war. 

But we must always bear in mind the fact that 
the effectiveness of the United Nations depends 
almost entirely on public understanding and sup- 



' Address made before the Iowa Association for the 
United Nations at Des Moines, Iowa, on Oct. 28 (press 
release 596). 



port for its efforts. Many of you here have done 
much to encourage the development of this imder- 
standing and support. I congratulate you on 
your contribution to this important effort. 

The United Nations Record 

Your celebration today marks the 12th anni- 
versary of the United Nations. Twelve years ago 
there was a great hope that the United Nations 
would usher in a new era of peace and tranquil- 
lity. However, this hope was rudely shattered 
with the advent of the cold war and the growing 
cleavage between the Soviet Union and the West. 
The Soviet Union soon made it clear that it had 
no intention of cooperating in building the kind 
of peace envisaged by the charter. This struck 
at the heart of the United Nations system and 
tended to undermine the very foundation on 
which collective security was built. 

But in spite of the cold war and the bad faith 
on the part of the Soviet Union tlie United Na- 
tions can look back on a record of solid accom- 
plishment both as a major force in keeping the 
peace and in removing the causes of war. What 
has this parliament of nations achieved ? Let me 
remind you of some of its major accomplishments. 

By its action, the United Nations: 

— played a major role in the withdrawal of 
Soviet troops from Iran in 1946. 

— helped bring to an end the Commimist war in 
Greece. 

• — condemned the Chinese Communists as ag- 
gressors in Korea and fought to roll back aggres- 
sion there. 

— brought about a truce between India and 
Pakistan in Kashmir. 



792 



Department of Stale Bulletin 



— avoided a major war in the Suez crisis by 
bringing the pressure of world opinion to bear for 
a quick end to hostilities. 

— condemned the Soviet Union's invasion of 
Hungary and revealed its brutal repression of the 
Hungarian people's effoi-ts to achieve freedom. 

— cleared the Suez Canal and reopened it to the 
commerce of the world. 

— created an International Atomic Energy 
Agency for the peaceful development of the atom. 

— has fought poverty, hunger, disease, and ig- 
norance in many lands in order to improve the 
general well-being of mankind and remove some 
of the basic causes of war. 

Criticisms of the United Nations 

In spite of this record of achievement the 
United Nations is sometimes subject to pretty 
severe criticisms for its shortcomings. I should 
like to deal with some of those criticisms, for we 
Americans ought to be perfectly aware of the lim- 
itations of the organization upon which the world 
has placed so much hope. 

At the outset, however, let me remind you that 
a good many of these criticisms are misdirected. 
The United Nations remains an organization of 
sovereign states. And it can do only what its 
members are willing to liave it do. Let us not fall 
into the trap, therefore, of blaming the United 
Nations for the weaknesses and shortcomings of 
its member states. 

The Veto 

The principal criticism relates to the excessive 
use of the veto by the Soviet Union. Wlierever 
one goes in the United States, our people seem to 
agree that this is the chief defect of the United 
Nations. 

It is obvious that the Soviet Union, with 82 
vetoes to its discredit, has shockingly abused its 
privilege as one of the pennanent members of the 
Security Council. Soviet vetoes have blocked the 
admission of new members. They have prevented 
the peaceful settlement of disputes. They have 
frustrated, and in some cases completely ham- 
strung, the work of the Security Council. 

But this does not mean that the United Nations 
has withered on the vine. Two important ways 
have been fovmd to bypass the veto and make 
United Nations peace machinery work in spite of 
Soviet intransigence. 



In the first place, many free-world countries 
have entered into collective security pacts like the 
Rio Treaty and the North Atlantic Pact. These 
pacts, concluded under article 51 of the charter, 
have served as a constant deterrent to potential 
aggressors and have added new wings to the 
United Nations structure. 

In the second place, increased emphasis has been 
placed upon the role of the General Assembly, 
where the veto does not apply. The prompt and 
vigorous action which the Assembly took last year 
with respect to the Middle East and Hungary 
demonstrates the vitality of that organ as an in- 
strumentality of world peace. 

It is clear to me that no single nation should be 
in a position to block the admission of new mem- 
bers or prevent the peaceful settlement of disputes 
before the Council. I hope the day may come, 
therefore, when we can do away with the veto 
with respect to these matters. 

But we should not delude ourselves that the 
abolition of the veto, even if it could be accom- 
plished, would remedy the ills that beset the 
United Nations. For the veto is merely a symp- 
tom of the cold-war fever that has racked the 
organization from the beginning. A change in 
the wording of the charter would not necessarily 
reduce the fever. 

May I make one final point in this connection. 
I am confident that the American people, no mat- 
ter how much they deplore the abuse of the veto, 
would hesitate to give it up with respect to the 
use of American troops and planes for United 
Nations enforcement action. 

Bloc Voting 

This leads us to the second criticism. Some 
people have expressed the fear that the Gfeneral 
Assembly, swollen in size to 82 nations, may act 
irresponsibly, thus placing in jeopardy the ex- 
istence of the United Nations. They complain 
that many of the new states are from Asia and 
Africa and that they tend to vote together as a 
bloc, sometimes against the interests of the West- 
ern nations. 

In a recent speech in London, Sir Winston 
Churchill called attention to the new role of the 
General Assembly. "It is certain," he said, "that 
if the Assembly continues to take its decision on 
grounds of enmity, opportunism, or merely 
jealousy and petulance, the whole structure may 
be brought to nothing." 



November 78, 1957 



793 



The facts do not bear out this concern. There 
is only one bloc of states that consistently vote 
together; that is the Soviet Union and its satel- 
lites. A careful examination of the record will 
disprove the existence of any Afro-Asian voting 
bloc. To be sure, the 27 states from Africa and 
Asia consult together on problems of mutual in- 
terest. Sometimes, as might be expected, they 
vote the same way. But by and large there are 
many more differences in language, tradition, and 
culture among the Afro-Asian states than there 
are similarities. 

A survey of the voting record of the 11th Gen- 
eral Assembly will illustrate my point. On the 
question of Chinese representation in the United 
Nations, 10 of the Afro- Asian states — other than 
China — voted with the United States, 10 voted 
against us, and 6 abstained. On the resolution 
condemning Russian intervention in Hungary, 15 
voted as we did, none voted against our position, 
and 11 abstained. On the later resolution pro- 
viding for the creation of a Special United Na- 
tions Committee on Hungary, 19 voted with us, 
none against us, and 7 abstained. 

One other point should be made in this con- 
nection. The little states, many of which have 
only recently won their independence, lean heavily 
on the United Nations. They look to it for pro- 
tection and support. They realize, I am sure, that 
it would be unwise for them to act irresponsibly 
in any way that would do harm to the organiza- 
tion that is designed to preserve their independ- 
ence and their integrity. 

We should, of course, expect nations with 
similar views to vote together. Thus far, how- 
ever, the United States and the rest of the free- 
world countries have always been able to win 
Assembly support for important political issues. 
We can continue to do so if we will do our best 
to make sure that logic and justice are on our side. 

Financing the United Nations 

There is a third criticism which deserves far 
more attention than it has received thus far. 
That is the inability or the unwillingness of the 
members of the United Nations to assume their 
fair share of the financial obligations of tlie or- 
ganization. They show up for the votes, the 
critics argue, but they are inclined to look the 
other way when the collection plate is passed. 

The task of financing the United Nations has, 
m fact, become increasingly difficult. It may be- 



come as serious an obstacle to the successful func- 
tioning of the United Nations as the Soviet abuse 
of the veto power. 

Take the challenge presented by the Palestine 
refugee problem as a case in point. The United 
Nations desperately needs $40 million to meet the 
basic needs of the 947,000 refugees in the Middle 
East for the next year. That is the equivalent of 
about 7(4 per refugee per day. But so far only 
21 states have pledged a total of $25i/2 million. 
The United States will pay about 70 percent of 
the bill. 

It is true that many states are desperately 
short of dollars and find even a token contribu- 
tion difficult. Moreover, some members are thou- 
sands of miles from the Middle East and are un- 
able to understand why they should contribute to 
the upkeep of Palestine refugees wlien they have 
thousands of destitute people within their own 
borders. 

But the bald fact remains that, unless the mem- 
bers of the United Nations demonstrate a greater 
willingness to accept their share of the financial 
burden involved, this important program could 
collapse and the cause of world peace would suffer 
a serious blow. 

The future status of the United Nations Emer- 
gency Force is in a somewhat similar precarious 
financial position. That force, which is made up 
of troops from nine different countries, has done 
an outstanding job in maintaining peaceful con- 
ditions in the Gaza Strip and in the Sharm el- 
Sheik area. Border incidents between Egypt and 
Israel have been kept at a minimum, and the re- 
newal of hostilities has been averted. 

Although UNEF is one of the clieapest insur- 
ance policies for peace the United Nations ever 
bought, funds for the force have not been forth- 
coming. As a result its future does not look 
bright unless governments in capitals all over the 
world loosen their purse strings within the next 
few months. 

I hope very much the members of the United 
Nations will respond to the recent call of the 
Secretary-General for funds. We cannot afford 
to put a price tag on world peace. 

Lack of Enforcement Machinery 

Still a fourth criticism of the United Nations 
relates to its lack of enforcement machinery. An 



794 



Depattmen\ of Sfa/e Bulletin 



organization like the United Nations should be 
endowed with sufficient strength to cope with any 
crisis that confronts it. 

The framers of the charter recognized this need 
and provided for armed forces to be placed at the 
disposal of the Security Council. But we have 
never been able to get agreement with the Soviet 
Union on the nature of the armed forces to be 
made available, where they should be stationed, 
and who should command them. As a result the 
organization lacks the power to enforce its 
decision. 

How can this be remedied? There are many 
who argue that we will never have an effective 
collective-defense system unless a truly interna- 
tional police force is created. Others point out 
that our regional defense pacts, like NATO, have 
worked with considerable success and that we 
should move now to develop them into one inte- 
grated system. Still others see our best hope in 
improving the role of the General Assembly in 
the maintenance of peace. 

I do not know for sure where the answer lies. 
But I do know that the problem is an extremely 
important one for the future of the United Na- 
tions and we must give serious thought to any 
steps that can be taken to strengthen its enforce- 
ment machinery. 

The Necessity for the United Nations 

Admittedly the United Nations has its short- 
comings. We must recognize these shortcomings 
and do our best to correct them. In doing so, how- 
ever, we must be careful not to lose sight of the 
forest because of the trees. 

Suppose the nations of the world had at- 
tempted to live without a common meetingplace 
during the past 12 years. Suppose they had no 
basic charter by which they should conduct them- 
selves. Suppose they had no world machinery 
for the peaceful settlement of their differences. 
Suppose they had no truly international forum 
to air disputes and seek agreements. 

If the United Nations had not provided these 
essentials for peace, then in my judgment the 
world might not have survived these 12 critical 
years. The stresses of a divided world have been 
so intense, the clash of ideologies so sharp, and 
the destructive power of nuclear weapons so com- 
plete that without the unifying force of an inter- 



national organization mankind might have 
destroyed himself. 

Let us turn to look now, in some detail, at a 
few of the more recent achievements of the United 
Nations. 

The Middle East 

Nowhere in the world has the United Nations 
been more effective recently than in the Suez crisis. 
It was almost exactly a year ago that Egypt was 
attacked and the organization was faced with its 
gravest test since the Korean war. 

By swift and effective action the United Nations 
prevented the conflict from mushrooming into a 
major war. It brought an end to hostilities and 
the withdrawal of foreign forces from Egypt. It 
cleared the Suez Canal. And peace, however 
uneasy, was restored to the area. 

In my opinion one of the most important results 
of the United Nations action in the Middle East 
was the creation of the United Nations Emergency 
Force.^ To this first truly international police 
force goes the real credit for maintaining peace in 
the area. It is not in the limelight these days; in 
fact, I venture to say that few people know much 
about it. However, because of its vital impor- 
tance to peace in the Middle East, I would like 
to review with you its achievements and its 
possibilities for the future. 

The first job in Egypt was to bring about a 
cessation of hostilities. The second was to see 
that the cease-fire was maintained. The creation 
of the United Nations Emergency Force helped 
to carry out both of these formidable tasks. 

I suggest that no one had a right to be optimistic 
about setting up a United Nations force at that 
time. Both Israel and Egypt were wary of the 
political and strategic imi^lications of the presence 
of such a force. Fortunately, however, the plan- 
ners who designed UNEF were aware of this. 
For the plan developed by Secretary-General 
Hammarskjold made it abundantly clear that the 
force was in no way designed "to influence the 
military balance in the present conflict, and 
thereby, the political balance affecting efforts to 
settle the conflict." 

Only a few hours after Mr. Hammarskj old's 
plan was announced, the shooting stopped and 



" For the resolutions setting up the U.N. Emergency 
Force, see Bulletin of Nov. 19, 1956, p. 793. 



November 18, 7957 



795 



UNEF was established. In order to get the force 
into the area the country concerned had to give 
its consent. Thus, UNEF is not a true military 
force. It lias never sought to impose its will on 
any of the nations concerned. It is present on the 
territory of Egypt only at the sufferance of the 
Egyptian Government. Its main function has 
been to interpose itself and serve as a buffer be- 
tween two armies. 

Perhaps this limited mission has been a dis- 
appointment to those who would like to see the 
United Nations armed with power to enforce its 
resolutions even against the will of states against 
whom the resolutions are directed. I do not be- 
lieve that UNEF should be regarded as a disap- 
pointment in any sense. Its mission was to help 
maintain quiet during and after the withdrawal 
of troops and to see that the terms of the cease-fire 
arrangement were observed. It has accomplished 
this mission. 

Indeed, UNEF has accomplished more than 
this. It has given living proof that men of dif- 
ferent nationalities, backgrounds, and religions 
can work together in harmony to bring about 
peaceful conditions in a grievously troubled area 
of the world. It has given proof that, if enough 
nations of the world will accept a responsibility 
to keep the peace, machinery can be established 
to translate individual responsibility into swift 
collective action. 

The success of UNEF has fired the imagination 
and hopes of those who would like to see a perma- 
nent international police force created. We in tlie 
Government have given much thought to this pos- 
sibility. Mr. Hammarskjold and his staff are 
also studying the problem. However, the success 
which UNEF has enjoyed should not be allowed 
to delude us into thinking that raising another 
force to meet a future crisis would be an easy 
job. 

One of the chief problems would be the makeup 
of such a force. In the case of UNEF there was 
no difScidty in obtaining contributions in the at- 
mosphere of crisis that existed a year ago. A 
score of countries immediately came forward 
with offers of troops. The result is a strangely 
polyglot but remarkably well integi-ated body of 
men. There are differences in language, military 
discipline, and organization. Tliere are, of 
course, other problems as well. One of the most 



difficult to solve is the feeding of the troops. For 
example, the menu of the Indian battalion in- 
cludes meat on the hoof and many exotic spices. 
The joint Danish and Norwegian battalion re- 
quires quantities of smoked salami, sardines, and 
a special issue of blue cheese. 

With all these differences the troops have de- 
veloped a remarkable esprit de corps and a sense 
of being jiart of an important and essential oper- 
ation. Their morale is high. 

Tlie United Nations is not often able to point 
to results as concrete as those which it achieved 
in the Middle East. The General Assembly 
achieved these results only through the genera- 
tion of tremendous moral force. It was that 
moral force symbolized by a blue United Nations 
armband worn by ih^ UNEF troops that made 
its mission successful. 

The U.N. and Hungary 

I come now to the question of Hungary. I do 
not propose to review the well-known events 
beginning with the spontaneous thrust for free- 
dom of the Hungarian people almost a year ago. 

What I want to do here is to assess the signifi- 
cance of these historic events and the role of the 
United Nations in them. The brutal tactics em- 
ployed by the Soviet Union remain deeply en- 
graved in tlie minds of us all. Nevertheless I am 
convinced that the United Nations, acting as the 
conscience of the free world, has advanced the 
cause of peace and freedom by its actions on this 
matter. 

How can this conclusion be justified? First of 
all, the United Nations was able to take certain 
actions to improve the situation in Hungary and 
the lot of the Hungarian people. I mention in 
this connection the flow of supplies of medicines 
and food to the beleaguered populace of Hungary 
and the humanitarian care for the flood of re- 
fugees who poured across the frontiers. More- 
over, wlien the General Assembly called for an 
end to mass deportations from Hungary, many 
who had been deported were returned to their 
liomes and the wave of deportation substantially 
diminished. 

In the second place, the effect on the United 
Nations as an organization devoted to human 
freedom was enormous. The Hungarian episode 
has shown the readiness of representatives of 



796 



Deparfmenf of State Bulletin 



small countries to inquire fearlessly into an im- 
portant issue despite the fact that they were chal- 
lenging a ruthless great power on a matter con- 
sidered vital to its own security. The overwhelm- 
ing endorsement by the General Assembly of the 
report of the Special Committee on Hungary,' in- 
cluding a condemnation of the Soviet Union, 
strengthened the moral liber of the United 
Nations. 

Finally, we must consider the effects of Hun- 
gary on the Soviet Union itself and the power 
complex and the party apparatus which it con- 
trols. Here I can say without reservation that 
the United Nations actions on Hungary have 
dealt a body blow to the Soviet Union and its 
satellite system. Consider the crippling effect on 
Communist parties in Western Europe. In 
France, Italy, and elsewhere, individuals who had 
faithfully served the Commmiist machine for 
years were unable to stomach the brutal suppres- 
sion of Hungarian freedom. They could not re- 
concile this brutality with principles which their 
culture and heritage had instilled in them. 

Nor has the lesson of Hungary been lost upon 
tlie leaders of the Kremlin. Where must they 
now anticipate a new Hungary? Wliere in the 
satellite areas subject to their control can they 
be sure that Communist doctrine has been able to 
make a people truly subservient to them ? Above 
all, can they rely with any degree of certainty on 
the loyalty and the support of military forces 
within the satellite states? These are questions 
which must keep the men in the Kremlin awake 
at night. 

To nie the most significant result of the Hun- 
garian revolution is that it revealed to the world 
with unmistakable clarity that Soviet Commu- 
nist domination cannot be indefinitely imposed on 
a people and any attempt to do so must be but- 
tressed by force. 

Nor has the United Nations forgotten the plight 
of Hungai-y. It has appointed Prince Wan of 
Thailand as its Special Representative to continue 
effoils to achieve the objectives of the U. N. in 
that unhappy land. Thus far his repeated re- 
quests to visit Hungary in pursuit of these U.N. 
objectives have met with blunt refusals. We con- 
tinue to hope that Prince Wan will be given the 
opportimity to accomplish his mission. 



' U.N. doc. A/3592 dated June 12. 
November 18, 7957 



This is my evaluation of the meaning of Hun- 
gary to the United Nations. In this matter I con- 
clude that the United Nations has well served the 
cause of peace. 

The Picture on Disarmament 

Another problem which has consumed a great 
deal of United Nations time and energy is the 
search for disarmament. This is the most im- 
portant problem which faces us in the field of in- 
ternational relations today. 

It is true that the pi'oduction of nuclear weap- 
ons goes on and the terrible threat of nuclear war- 
fare casts a deep shadow over mankind. It is also 
true that we have not yet succeeded in agreeing 
on a workable disarmament plan. But this is no 
reason to give up hope or slacken our efforts. On 
the contrary, if we can only inch ahead, that is 
still progress. We must seize every opportimity 
for genuine accord with the Soviet Union. But 
we must not be trapped into confusing tempting 
promises with genuine proposals. 

Our position in the General Assembly is basi- 
cally this : We are willing and even anxious to take 
steps toward arms control. But it is absolutely 
necessary that any agreement reached include an 
adequate system of inspection for the purpose of 
verifying that obligations are fulfilled. We can- 
not rely on mere promises. 

We believe that, with the access of inspectors to 
the territoi'ies of nations, it would be extremely 
dilficxilt if not impossible for a nation to launch a 
major surprise attack. Potential aggressors 
usually count on being able to deliver a quick 
knockout blow. If this could be pi-evented, the 
danger of war would be greatly reduced. 

We also believe the spread of nuclear weapons 
to other countries can be controlled. 

Finally, we believe that the heavy burden of 
armament in the world can be safely reduced 
once the threat of surprise attack has been dimin- 
ished. 

To achieve these objectives we have proposed 
that both the United States and the Soviet Union 
throw their territories open to inspection. If that 
is not acceptable — and it does not appear to be — • 
then we would be willing to start with a more 
limited zone, such as the area within the Arctic 
Circle, an additional part of Eastern Siberia, 
Kamchatka, and Alaska. We have also expressed 



797 



our willingness to stop the production of fission- 
able materials for nuclear weapons and to reduce 
existing stockpiles by gradually transferring nu- 
clear materials to peaceful purposes. These, to- 
gether with offers to reduce our armed forces, are 
practical proposals toward effective disarmament. 

The nub of the problem remains tlie question 
of establishing an effective inspection and con- 
trol mechanism. We have contended that any 
disarmament plan is a sham and a delusion unless 
it is accompanied by some means of verifying that 
the parties are living up to their promises. But 
so far, at least, the Soviet Union has been inclined 
to shy away from any effective system of inspec- 
tion and control. Mr. Khrushchev put tlie Soviet 
position clearly when he suggested that the 
United States should not try to look in every- 
body's bedroom and everybody's garden. 

Meanwhile the Soviet Union does its best to 
capitalize on the fear that people have of nuclear 
war by advancing propaganda proposals. They 
talk about outlawing the atomic and hydrogen 
bombs. They propose to halt the testing of nu- 
clear weapons but are unwilling to stop their 
manufacture. They talk of drastic reduction in 
the levels of armed forces but shy away from 
measures needed to verify those reductions. 
There is a great deal of talk but relatively little 
in the way of workable, good-faith proposals. 

More recently the U.S.S.R. seems prepared to 
accept the idea of ioth an aerial and a ground in- 
spection system. Theoretically, at least, this is 
progress. But we have not reached agreement 
as to where such inspection should be inaugurated 
or hoiD it is to be carried out. 

The U.S.S.R. loudly proclaims its desire to stop 
nuclear testing. On our part, we do not believe 
the testing problem should be settled witliout ref- 
erence to the other sides of the disarmament prob- 
lem. That is why we have proposed a tentative 
suspension of testing for a certain period of time. 
During this period real progress could be made 
in setting up an inspection system which would 
enable us to go ahead witli some assurance that 
the U.S.S.R. really means business. 

For, until we have proof that the Soviet Union 
is serious about disarmament, we must safeguard 
our security by producing the best weapons we 
can develop. This calls for continued testing. It 
is only through continued testing that smaller 
weapons can be improved and the radioactive fall- 
out of larger weapons reduced. 



What are the chances of agreement ? While the 
Soviet Union has given the appearance of want- 
ing to seriously negotiate, I would not want to 
predict that the present discussions in New York * 
will terminate in an agreement. I do believe that 
significant progress has been made. Furthermore, 
we must go on the assumption that what is neces- 
sary is possible, that what must be can be. Tlie 
halting steps that are b