INVASION OF LAOS

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP73B00296R000300090045-1
Release Decision: 
RIFPUB
Original Classification: 
K
Document Page Count: 
17
Document Creation Date: 
December 12, 2016
Document Release Date: 
December 17, 2001
Sequence Number: 
45
Case Number: 
Publication Date: 
March 9, 1971
Content Type: 
OPEN
File: 
AttachmentSize
PDF icon CIA-RDP73B00296R000300090045-1.pdf2.99 MB
Body: 
- E1644 Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 CONGRESSIONAL RECORD - Extensions of Remarks Mar h 9, 1971 School-and elected to the New Jersey State Senate from our Passaic County district in 1967 and concurrently con- tinued to serve out his term as mayor of Wayne to which he had. been,elected in 1964. He was named delegate to the State Constitutional Convention in 1966 and was nearing the end of his initial term as State senator at the time of his demise. A stanch Republican, Senator Sisco joined the Wayne organization in 1958 and was party leader before being elected Wayne's Sixth Ward Councilman in 1962. He also became the first council president that year under a new form of government, and served two terms. A member of the Wayne Planning Board and the Wayne Library Board, he was also past president of the Lions Club and past public relations director of District 16A Lions International. He was an active member of the Elks, the Wayne Post of the American Legion, Passaic County Republican Organiza- tion, Black Oak Ridge Homeowners As- sociation, Pica Club, Wayne Township PTA, and the Wayne :Musical Theatre group. He served as Passaic County spe- cial deputy sheriff, and treasurer of the Quad-City Incinerator Solid Waite Dis- posal Committee. if Senator Sisco was a former employee of the Erie Railroad Co. and served 5 years as a labor representative of the Order of Railroad Telegraphers. He was a representative with the Maryland Glass Co. and president of the Lor Mark Packaging Co. and T-Bowl Interna- tional. He was director and member of the executive committee of the Ramape Bank. The Wayne Elks Lodge, of which Sen- ator Sisco was a member, conducted, services at the Moore's Home for Fu nerals, Wayne Chapel, and with State policemen as honorary pallbearers and Reverend Robert Grant of Embury United Methodist Church of Paterson, where Senator Sisco had served on the board of trustees, officiating, the Senator was laid to rest this morning in Laurel Grove Cemetery, Totowa, N.J. I ask my colleagues to join with me in a moment of silent prayer to the memory of a distinguished American, Senator Edward M. Sisco from the Township of Wayne, County of Passaic, State of New Jersey. May his wife and children soon find abiding comfort in the faith that God has given them and the knowledge that Ed is now under His eternal care. HON. WILLIAM J. SCHERLE OF IOWA IN THE HOUSE OF REPRESENTATIVES Tuesday, March 9, 1971 Mr. SCHERLE. Mr. Speaker, a child asks: "Where is daddy?" A mother asks: "How is my son?" A wife asks: "Is my husband alive or dead?" Communist North Vietnam is sadis- tically practicing spiritual and mental genocide on over 1,600 American prison- ers of war and their families. How long? INVASION OF LAOS repealed and indeed the rep( ti-r was signed b President Nixon himself T),ere is there- HON. ROBERT F. DRINAN OF MASSACHUSETTS IN THE HOUSE OF REPRESENTATIVES Tuesday, March 9, 1971 Mr. DRINAN. Mr. Speaker, I attach herewith an excellent document pre- pared by the Lawyers Committee on American Policy Towards Vietnam. This committee of which Mr. William L. Standard and Joseph H. Crown are co- chairman has an advisory council made up of distinguished scholars such as Pro- fessor Stanley Hoffman of Harvard Uni- versity, Professor Hans J. Morgenthau of the University of Chicago, and Professor Richard A. Falk, Milbank Professor of International Law at Princeton Univer- sity. The statement below is a clear, cogent and compelling statement on the errors and evils of the invasion of Laos by the Nixon administration. I "Include the statement as follows: LAWYERS COMMITTEE ON AMERICAN POLICY TOWARD VIETNAM The Administration's argument that Con- gressional restrictions on the use of Ameri- can ground combat troops in Laos and Cam- bodia authorize, by implication, the air war in those countries is sheer sophistry. War, under our Constitution, cannot be author- ized by implication; military operations are valid only by affirmative action by Congress. In the present constitutional crisis, members of Congress have seemingly overlooked the National Commitments Resolution over- whelmingly adopted (70 to 16) by the Senate on June 25, 1969. This Resolution states (so far as here pertinent) : "Resolved. That (1) a national commit- ment for the purpose of this resolution means the use of the armed forces of the United States on foreign territory, * * * and (2) it is the some of the Senate that a national commitment by the United States results only from affirmative action taken by the executive and legislative branches of the United States Government by means of a treaty, statute, or concurrent resol- tion of both houses of Congress specifically provid- ing for such commitment." It is indisputable that the President's use of American armed forces (warplanes, heli- copter gunships, etc.) in Laos and Cambodia has not been authorized by any treaty, statute or concurrent resolution (specifically providing for such use). Indeed, our Govern- ment has solemnly signed the 1962 Geneva Accords, agreeing to respect the neutrality and territorial integrity of the Kingdom of Laos. The President's actions In ordering American armed forces into Laos and Cam- bodia flagrantly contravenes the National Commitments Resolution which was adopted to preclude such ]'residential unilateral ac- tion. In the absence of affirmative action taken by Congress specifically authorizing military y fore not a vestige of Congrc s oval author- ization for committing Am( At an forces to hostilities on foreign territc v (Laos, Cam- bodia). The national commitment > esolution re- flected an accurate descript::;r of the con- stitutional responsibilltties c he President and Congress, adopted tow:-rv the end of restoring the proper constiustional balance. We believe the Foreign Rela' to, is Committee should take all measures nec ?s=ary to assure compliance with the nation .1 ommitments resolution and to bring to c h:tlt the viola- tion thereof. Since Congress has not e.: ithorized mili- tary hostilities in Southeast Asia, President Nixon, in continuing to wa e war in Indo- china, has been violating t: ,e Constitution. President Nixon's constitut. mal powers, as Commander-in-chief, to pro o(, the lives of American troops do not ai il orize him to wage war, but are limited c c restricted to measures necessary to the if and expedi- tious withdrawal of these troops. Two years are far too long a period c ithin which to have fulfilled that constity .ional responsi- bility. The best way to pro ec L the lives of American troops is to remove them from Vietnam-not to retain th-riT to continue military operations. Madame Binh, Foreign ai lister of the Provisional Revolutionary G+.vernment of South Vietnam, has officiallg p ?-oposed at the Paris Conference that if 'resident Nixon will establish and abide bl a date for the complete withdrawal of all US. troops, the P.R.G. will assure the saf, 'withdrawal of our troops as well as immrrli (te discussion for the release of prisoners . f war, President Nikon has failed to explain a by he rejects this offer and prefers inste::d a policy that jeopardizes the lives of our roops and post- pones indefinitely the rele se of American prisoners of war. President a ixon's refusal to establish a timetable far complete U.S. withdrawal makes continuiAA">n of the war inevitable-as does his persi teat support for Thieu and Ky, who have em ibatically stated their opposition to the with -Ir iwal of Amer- ican military support. Thee 'vish to retain their present position as herd: of a narrowly constituted military regim- maintained by a massive foreign presence Put as Ambas- sador Harriman has so poir redly said, "Why should we give Thieu the ri :ht to dictate American policy? I can't conceive why any- body should give a veto to :a foreign poten- tate no matter who he is. Look, Novem- ber 17, p. 39). Congress, in enacting th ('ooper-Church amendments, made clear tl?:it, whatever the asserted powers of the President as Com- mander-in-chief, no grounc troops or advis- ers were to be sent into L- of or Cambodia. The Cooper-Church amen ?n tints were in- tended to restrict America involvement in Indo-China not to exacerb, e it. The air war being waged in Laos and ('ambodia is con- trary to the intent and srirct of Congres- sional restrictions as point( -3 ut by Senator Mansfield in the T.V.-Radi program, "Face the Nation" (Jan. 4). powers under the commander-in-chief clause gress should act to halt .u -h unconsiRtu- do not authorize him to wage war. The tional activities. If the Pr( silent persists In Founding Fathers vested in Congress alone violating the Constitution. t is Congress' re- the sole power to commit our armed forces sponsibility to institute it Ipeachment pro- to hostilities abroad-to safeguard our na- ceedings. Andrew Jonson v is impeached for tion against unchecked executive decisions acts much less iniquitous. to commit our country to a trial of force. We have been told. that -v( are defending The commander-in-chief clause merely American honor; but mar :Americans and placed the President at the top of the most of the world's nati( is feel that the pyramid of military command-making him, spectacle of the enormous) ; destructive U.S. in Alexander Hamilton's words, "first general military arsenal, especially 'a the case of the and admiral of the Confederacy." virtually unchallengeable cower of the U.S. President Nixon cannot even rely on the Air Force, arrayed against p .usant soldiers, Tonkin Gulf Resolution on which President has defiled American hon(- (s never before Johnson relied as a legal basis for waging in our history. war in Vietnam for that Resolution has been We urge the Foreign Re tons Committee Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 March 9, 1971 CONGRESSIONAL RECORD - Extensions of Remarks It changes an open ear and mind to a closed, clenched fist. The Boston Massacre and Kent State both look interesting in the history books, but they are complete dead ends. Perhaps the heritage of those before us is like a ship's log: It reminds us of where the ship has gone and how the men who sailed the ship before us got her through other storms and shoals and kept the ship free. Like any ship, she is not steered by the hand at the wheel alone. A single lonely man, free In his courage and defiance, pull- ing a sheetline, can alter the course of the ship, and of history. His actions can be called mutiny and treason, but he is in his own right and he is free. In his freedom, that one man can guide the ship on to clearer waters. EDITORIAL COMMENT ON REVENUE SHARING HON. DAVID R. OBEY OF WISCONSIN IN THE HOUSE OF REPRESENTATIVES Tuesday, March 9, 1971 Mr. OBEY. Mr. Speaker, the Milwaukee Journal took a recent editorial look at some revenue sharing proposals and found merit in the one proposed by Congressman HENRY REUSS and Senator HUBERT HUMPHREY. Their proposal differs from others by requiring Governors in the second year of revenue sharing to come forward with plans for modernizing State and local governments. How to improve the financial prospects of State and local governments is of more than passing interest to residents of Wisconsin, which supplies 1.98 percent of Federal tax revenues-excluding social security and other trust fund receipts- while receiving only 1.58 percent of cate- gorical Federal grants paid to States. The text of the editorial of February 25 follows: REVENUE SHARING ON THE MOVE The way appears to be opening for a com- promise on President Nixon's far reaching revenue sharing proposals, with the adminis- tration backing down on its "no strings at- tached" grants to state and local govern- ments. in Congress, too, there seems to be recognition that in the face of the need for revenue sharing of some sort it would be fatal to have a knock down, drag out battle over how to get the job done. Secretary of the Treasury John Connally, in the first interview he has granted, told David Broder of the Washington Post that the president's goals could be accomplished by broadening present federal grant in aid programs should Congress reject the con- plan. Murray L. Weidenbaum, an assistant secre- tary of the Treasury, indicated to the Joint if there were any compromise it would have to come from the White House. Reuss and Humphrey have indicated that they want to find accommodation with the administration on the matter of revenue sharing. The Reuss-Humphrey measure would not place any more restrictions than the ad- ministration would on how state and local governments spend any new money. But it would impose significant new requirements and restrictions in other ways. They would require governors, in the second year -,f revenue sharing, to come forward with plans for modernizing state and local governments. They recommend such reforms as annual leg- islative sessions. eased restrictions on bor- rowing and taxing powers of local govern- ments, elimination of small units of govern- ment, formation of regional government) bodies. Reuss and Humphrey would also offer in- centives for states to enact more "progres;- sive" tax systems under which wealthy peo- ple would carry a higher share of the burden. This would entail instituting income tax systems in states that do not have them and raising such taxes in states that do. And, ultimately, the Reuss-Humphrey plan con- templates a federal takeover of welfare costs. Revenue sharing on an increased basis seems inevitable. The administration and Congress seem to be moving toward a system mutually agreeable. No system. that does not carry some restrictions or does not give incentives for better local management is desirable. It Is here that compromise must come. HON. JAMES V. STANTON OF OHIO IN THE HOUSE OF REPRESENTATIVES Tuesday, March 9, 1971 Mr. JAMES V. STANTON. Mr. Speak- er, the following editorial, which ap- peared in the Cleveland Plain Dealer on March 7, raises questions about the proposed SST project that its supporters have never completely answered. I be- lieve this editorial will be of considerable interest to my colleagues in the House who also question the priority of the- SST: CONGRESS SHOULD VETO THE SST The SST debate is on again In Congress Supporters of the supersonic transport, In- cluding President Nixon, are back for more federal funds to continue development of two prototypes. We- think Congress should say "no." The arguments for continuing the devel- opment of this plane now, when so many questions remain unanswered, are not strong. The proponents say the work must go on to preserve jobs In the aviation industry. Cutting off federal support would cost 150,- 000 jobs, they say- We agree it Is Important to maintain em- ployment, but we think the capital, the de- sign talent the en ineerin i , g g gen us and the Economic Committee of Congress that the work skills involved in the SST program administration might accept a revenue shar- would be better directed at other goals than ing program of a different size than it has production of an aircraft that could cut the proposed and with some new restrictions. trans-Atlantic flight time In half for the Asked about an alternative plan proposed by benefit of a relatively few jet-satters and two Democrats, Sen. Hubert Humphrey of busines:;men. Minnesota and Rep. Henry Reuss of Wiscon- Would it not serve a far greater public sin, he said: "They have introduced a good interest to put aviation experts at work de- bill, and I will not attack it." However, signing short take-off aircraft that could Weidenbaum said later that he hoped the ad- help solve urban flight problems? Couldn't ministration bill would be adopted and that some of the managerial talent In the avia- Lion industry be used to solve mass trans- portation problems on the ground? Couldn't engine designers make a far more valuable contribution to society by fashioning a pol- lution-free auto engine? We are sure America would earn the world's gratitude for halting the SST if It turns out, as some scientists suspect, that flights in the stratosphere could alter the world's climate or disturb the ozone layer that screens out harmful radiation from outer space. No country should permit large-scale fights at SST altitudes until these environ- mental questions are answered. And It does not take two SST prototypes to find the an- swers. Existing supersonic military aircraft could be used for research. A third argument advanced, weakest of the lot, is that the nation has already sunk more than $90 million into the SST, and should continue funding the plane to protect the investment. Many a poker player has lost a bundle following that philosophy. Sticking with a bad hand is not a good investment, but just the opposite. And the SST is a bad hand, a plane that very likely cannot be flown at a profit. British and French airline experts have the same doubts about their SST, the Concorde.. The Senate last year asked 16 leading economists-such men as Paul Samuelson, Walter Heller and Milton Friedman-what should be done about the SST. Fifteen of them said the U.S. should cut its losses and get out. We think W. T. Baumo:i, one of the econ- omists, put it well. "Neither the govern.- ment nor private enterprise should be tempted to throw in good money after bad,"he said. "Everything necessary should be done to facilitate the transfer of the capital and labor tied up in the development of the SST to other activities that do serve the public interest." IN MEMORIAM TO NEW JERSEY STATE SENATOR, THE HONORA- BLE EDWARD M. SISCO HON.- ROBERT A. ROE OF NEW JERSEY IN THE HOUSE OF REPRESENTATIVES Tuesday, March 9, 1971 Mr. ROE. Mr. Speaker, during this past weekend the residents of my con- gressional district and the State of New Jersey were shocked and saddened by the sudden untimely death of one of our outstanding and distinguished states- men and my dear personal friend, the Honorable Edward M. Sisco of Wayne, N.J. Our condolences are extended to his wife Evelyn; his daughters, Nancy and Lori; and his son Mark. Senator Sisco suffered a stroke on February 26, 1971, and passed away on March 6, 1971, at the height of his public service career at the young age of 47 years. Let the history of his service to his fellowman, his dedication, devotion, and sincerity of purpose be forever remem- bered through this historical journal of the House of Representatives of the U.S. Congress. He was born in Paterson, N.J., and was a resident of my hometown, Wayne, for almost 19 years. He was a graduate of the Paterson public school system- Paterson School 5 and Central High Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 `%i arch 9, 1971 CONGRESSIONAL RECORD - Extensions of Remarks E 1645 to forthwith endorse legislation prohibiting employment has been translated in real life The insufficiency of budge- xr: stimulus and all offensive military action in Southeast into 6 per cent unemployment and consumer the implausibility of consu zi' r and invest- Asia and setting an early deadline in 1971 fo:r price inflation of approximately the same ment revival, compel me to ;l are the wide- the withdrawal of all American forces. figure. The tale is as familiar as it is dis- spread skepticism in my trac, i bout the abil- We believe it would be a mistake to adopt piriting. ity of the economy to travai within hailing the Javits bill designed to "regulate unde- I intend today to identify the reasons why distance of the President's t-:rre 1971 targets, Glared war" for under the guise of "protect.- Nixon economic policy Mark II is only mar- GNP of $1,065 billion, infla is it tapering to Ing American lives" it could be construed to ginally superior to its discredited predeces- 3 per cent by year's end, an unemployment place a stamp of approval upon the military sor. Here the President's cerebrated remark, obediantly declining by the a:ae date to be- operations in Laos and Cambodia. In our "I am now a Keynesian in economics", ought low 5 per cent. Unless Cong 'e:.s, as I believe view, it detracts from the force of the na-? to be evaluated within the context of the and hope it will do, suppli, he additional tional commitments resolution. present adequacy of Keynesian policy. Keynes budgetary stimulus, there it n )where visible Lamentably, too many members of Con?? himself had an opinion worth recalling about the expansionary forces upo -which the Ad- gress have accepted as valid the insidious the durability of economic ideas and the re- ministration rather mysteric..siy is counting. false notion projected by the Administration lationship between such ideas and political Here I come to the major >igas of decrepi- that the President is authorized under the action. In the closing paragraph of "The tude in the Administration }rind of simple- Commander-in-chief clause to do "anything, General Theory of Employment, Interest and minded Keynesianism. If by :o tie chance the anywhere" merely by pronouncing the magic Money," published in England at the end of rate of economic expansion flicks up speed, words-"f wors-"for r the protection of our troops."^In 1935, he had this to say: In dutiful accord with the p 'o ections of the rejected similar claims made by the Execu- tive as to the scope of power conferred by the Commander-in-chief clause. The Admin- istration's claims would confer upon the President unlimited executive power to wage war-an evil which the Founding Fathers de- cided to exorcise when they vested the war making power In the Congress-in the body most broadly representative of the people. The tragedy in Southeast Asia bespeaks the calamitous price we have paid for the Pres- idential transgression of our Constitution. We urge this Committee to take the action we have proposed. Respectfully, WILLIAM L. STANDARD, Cochairmen. PROFESSOR ROBERT LEKACHMAN'S INCOMES POLICY RECOMMENDA- TIONS - HON. WILLIAM F. RYAN OF NEW YORK IN THE HOUSE OF REPRESENTATIVES Tuesday, March 9, 1971 Mr. RYAN. Mr. Speaker, fashioning a sound economic policy which would con- trol inflation without increasing unem- ployment constitutes one of our most critical problems. Robert Lekachman, professor of economics, State University of New York at Stony Brook, in testi- mony before the Joint Economic Com- mittee on February 25, 1971, and the House Committee on Banking and Cur- rency on February 26, 1971, showed his usual perspicacity and incisive analytical powers in examining this issue. In outlining his proposed incomes pol- icy, Professor Lekachman commented: when they are wrong, are more powerful than Is commonly understood. Indeed the world is ruled by little else. Practical men, who be- lieve themselves to be quite exempt from all intellectual influences, are usually the slaves of some defunct economist." It would not have shocked Keynes, the owner of one of the century's most agile minds, to observe that after a third of a cen- tury his theories of economic behavior and economic policy required drastic revision. Were he still alive, he would no doubt be leading the revisionists. Certainly this Administration's Keynesian- ism is timid at least even by the criteria of 1935. The Administration now estimates a budget deficit of $18.6 billion in fiscal 1971. Obviously this substantial sum was too small to overcome the forces of recession, as the unemployment and output statistics demon- strate. Hence it is not intuitively' obvious .why a substantially smaller deficit of $11.6 billion for fiscal 1972 should be the salvation of the economy. The difficulties in the path of aspiring true believers are accentuated by the refusal of both the Council of Economic Advisers and the Office of Budget and Man- agement to make the detailed sectoral fore- oasts upon which administration economists have in the past relied. One explanation. of the emission might be the presence in the White House of a power- ful surrogate for Dr. Milton Friedman, the puissant Dr. George Schultz. An alternative explanation is the pessimism which such de- tailed inquiry is highly likely to instill. The respected University of Michigan continuing -survey of consumer attitudes and intentions identifies few signs that ordinary Americans, afflicted by uncertainties about prices and jobs, are about to turn cheerful, run to the stores, and happily increase their burden of debt. Indeed wistful expectations that con- sumers will save less and spend more appear to be based on little more than the histori- cal observation that in most years consumers have saved smaller percentages of their dis- posable income than lately they have been Wherever private economic power threat- doing. ens public policy, Congress and the President Will business investment be the answer? must take pains to regulate the people and According to recent surveys, business spend- the organizations which exert the power. sus ton capital goods, wi increase only in any The more concentrated the power is, the erately during ng the expansion. of 1971. . If, mod- greater is the menace to public purpose and e rest of as is now the more immediate is the necessity of pub- anticipated, dollar expenditures on capital cent despite 11 per cent ,r employment lic intervention. goods rise by under 2 per cent, real invest- among building trades work, -s ment will of course shrink, possibly by as Both cases are almost ra. id ;m illustra- I include in the CONGRESSIONAL RECORD much as 3-4 per cent. Nor are the revised tions of the realities Of marl si power. The the full text of Professor Lekachman's depreciation rules a panacea. At Harvard, concentration of this power ema?fed Bethle- testimonies, which I commend to my col- Professor Dale Jorgenson's econometric in- hem to choose higher prices at d -mailer sales leagu s: quiries lead to the conclusion that In the in preference to lower prices a d larger sales. short run the new rules will have little im- The same circumstance, pern t- ed the con- TESTIMONY BEFORE THE JOINT ECONOMIC COM- pact. I might observe parenthetically that struction unions tacitly to ba iin for fewer MITTEE OF ROBERT LEKACHMAN, PROFESSOR this new $2.5 billion boon to corporations de- jobs at higher pay rather t] :its more jobs OF ECONOMICS, STATE UNIVERSITY OF NEW serves inclusion in the next compilation of at lower wage rates. As Adar ' inith wrote YORK AT STONY BROOK, FEBRUARY 25, 1971 tax expenditures made by the Treasury. Al- In 1776, what renders the gre. :-1 of business- There is no need here to reiterate the fail- though the tax expenditure notion was .a men harmless and even social 1 beneficial is ures of the initial Administration game plan. parting Democratic gift by Stanley Surrey to the pressure of competitive -n,:rkets upon Mr. Nixon's original promise to control in- the incoming Administration, its usefulness costs and prices. Where this ' -sure is ab- flation without significantly increasing un- transcends partisan considerations, sent for want of competitive r Markets, the in the Office of Budget and I-la-iagement, the White House will collide wih a major un- certainty, the willingness o -)r. Arthur F. Burns and his Federal Ret.r"re Board col- leagues to underwrite a new ;nriationary im- petus by expanding the moo'y supply at the minimum 6 per cent rate fa. at ad by Dr. Mc- Cracken and his colleagues a- i he Council of Economic Advisers. What is +r-happily quite possible is a scenario of the f, 114 -wing variety: an acceleration of price infla to i, a reduction by the Federal Reserve in tie ate at which it creates new money, and :ii pally either a replay of the Treasury-Fede.:at Reserve con- frontations of the Truman -~ri. or a retreat by the White House from i meal expansion. Either outcome is guaranieii to nip an emerging recovery long be major unions which face them across collet-i"e bargaining tables, and the AMA-teachin;, hospital com- plex which determines the 5trrc_ure of medi- cal costs. The potentates who 'u ti these orga- nizations are of course influe ic,-d by market forces. Nevertheless, typically the : xercise con- siderable discretion fit thei - responses to market exigencies. Thus it w s that Bethle- hem Steel, in the middle of a pull of flagging sales and fierce competitive . rom foreign steelmakers, could propose o raise many of its prices over 12 per cent :t was securely protected from any unseemly price competi- tion from its rivals in the American industry and certain that these rivals ,v":uld speedily follow Bethlehem's price 1 'aF i. Although Presidential intervention ha v, d the pro- jected price escalation, there renains some- thing odd about increasing pi c( ; in the face of declining sales, Equally ca from the standpoint of competitive t.l ecy has been the ability of construction n ons to bar- Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 E 1646 CONGRESSIONAL RECORD - Extensions of Remarks March 9,49711- argument is compelling either for militant it would cope with a component of unem- wages and prices, it is equally certain that the anti-trust enforcement and consequently ployment peculiarly intractable to mono- public utilities and much of manufacturing fragmenting of large corporations or for tary and. fiscal policies. are organized as monopolies or oligopolies. vigorous incomes policy. Since I take public III And there are services, notably medicine, support for radical anti-trust to be imper- Briefly to recapitulate my four recoil- whose cost and fee structure has been de- ceptible but public approval of wage and mendations, I begin with the identification cisively shaped by the. professions capacity price control to be substantial, I find eco- of a need for substantially more fiscal stimu- to regulate the training and inflow of new nomic logic and political feasibility in har- lus from the federal budget than the Presi- entrants, influence the running of hospitals, mony, contemplates. At a guess, a full-em- and determine the character of the medical Effective incomes policy in 1971 implies dent dent ployment budget deficit of 810 billion would marketplace. a good deal more than a revival of jawboning Free markets produce socially tolerable re- make a proper target. After Congress has or even a combination of jawboning with salts not because businessmen are ?particu- the resurrection of the wage-price guide- done its work. I hope that Paul Samuelson will be moved to repeal the praise of your larly astute or exceptionally altruistic but posts. Although there is growing evidence because the pressure of rivalry curbs avar'.ce body which he expressed last year in the and promotes efficiency. Such was the wis- that the guideposts did have a perceptible wake of Congressional additions to White d of Adam Smith Such is much political om their best in an era different from ours, a period which trailed after eight years of slow economic growth, three recessions, and high average rates of unemployment. Al- though the social costs of Eisenhower eco- nomic policy were to high to encourage re- petition of the experience, it must be con- ceded that eight years of frugality certainly did rid Americans of inflationary expecta- tions. However, inflationary expectations remain a fact of life In the present. The need arises, therefore, for stronger medicine, in the shape of mandatory controls. My own preference combines a dash of Robert Roosa with a dram of J. K. Galbraith. Which is to say that to me it makes sense to freeze wages and prices for six months and employ the time to design a set of selective wage and price controls a la Galbraith. I share Gal- braith's view that the place to impose. the controls is where the markets are least free. This is of course administratively conven- ient: it is far easier to regulate Fortune's elite list of the top 500 industrial corpora- tions and the unions with which they deal than it Is supervise -myriads of small busi- nessmen and merchants. if the economy in 1971 is to move into a vigorous recovery, monetary and fiscal policy must march in step. It is almost certain that the prerequisite for such disciplined har- mony of movement is administrative re- straint of the key wage and price decisions. Such restraint will allay the Inflationary fears of the central bankers and encourage the White House to persevere in its promise of budgetary stimulation. The final component of successful post- Keynesian economic policy focuses upon em- ployment. My co-panelist Dr. George Perry has recently conducted an important inquiry into recent changes in the Phillips curve trade-off between unemployment and in- flation. The labor force is now composed of a growing percentage of female and young ork rs Both oups suffer from higher than wegr House budget requests. and economic wisdom in 1971. A logical corol- The rate of monetary expansion should lary is not always emphasized: in the many rise to something over 6 per cent, possibly as instances where markets are not competi- high as 8 per cent. tive, the checks to avarice and the stimuli i h t An incomes policy fully equipped w sharp teeth is essential partly to mollify the monetary authorities, but still more to miti- gate the inequities which attend continued inflation. Finally, the assault upon unemployment must contain structural as well as. aggrega- tive elements, notably manpower training and public sector employment. As a Demo- crat I recall with a certain pleasure that the 1968 platform of my party incorporated a pledge to move toward a condition in which the federal government would. become the employer of last resort. Even though the 1968 presidential race turned out badly, the voters were prudent enough to retain Democratic majorities in both houses. It is something, I suppose, that that prac- tical man, Mr. Nixon, has attached himself to an economic policy which was quite up- to-date two or three decade ago. This is not enough. The post-Keynesian universe de- mands attention to the facts of economic power and the circumstances of groups un- able to protect themselves in markets partly free and partly privately dominated. TESTIMONY OF ROBERT LEKACHMAN, PROFESSOR OF ECONOMICS, STATE UNIVERSITY OF NEW YORK AT STONY BROOK BEFORE THE HOUSE COMMITTEE ON BANKING AND CURRENCY, FEBRUARY 26. 1971 In preparation for my appearance before this Committee, I took the sensible precau- tion of examining the record of your Hear- ings on June and July of last year. As I sus- pected, I discovered that I was in the sligitiy embarrassing situation for an academic econ- omist of finding myself in substantial agree- ment with two of your earlier witnesses, Dr. Robert Roosa and Professor J. K. Galbraith. I am consoled by the reflection that they are two of the wisest and most ingenious mem- average unemployment rates. An implica- hers of my profession. package of lower prices and larger tonnage. nden- Like them I judge that the beat feasible The construction unions exert similar pow- th t if i s e e t f this demographic sh tion ocy of prices to stir menacingly at overall incomes policy commences with a freeze of er to select fewer jobs at higher wage rates rates of unemployment which are unaccept- wages, prices, and, I would add, dividends. In preference to more jobs at lower wages. ably high, on the order of 5 per cent. A dec- While the freeze is in force, the President, One could very readily argue-indeed I do ade or so ago, the danger point was 1 or even in consultation with leaders of the major so, that neither steel nor construction sup- 1 1Z per cent lower. private interests involved, should design a ports a public interest which is much bet- What follows is not the counsel of despair workable scheme of wage, price, and divi- ter promoted by lower prices, larger output, that we should give up on either employ- dend regulation. The President shall be re- higher employment, and greater economic ment or inflation. The moral is different. So- quired to present his proposed plan of op- activity. phisticated policy which successfully recon- eration to Congress for approval. After such I draw a simple moral. Wherever private cites low rates of unemployment with suc- approval is registered, the President will be economic power threatens public policy, Con- cessful price strategy requires attention to empowered to release from the freeze the gress and the President must take pains to manpower as well as to incomes. Unfortu- vast majority of enterprises which operate regulate the people and the organizations nately the President vetoed a promising Con- in competitive markets. Remaining ur:der which exert the power. The more concen- gressional initiative, last session's attempt to control will be prices, wages, and dividends trated the power is, the greater is the men- authorize a modest number of public serv- in industries dominated by large corpora- ace to public purpose and the more immedi- ice jobs in hospitals, parks, museums, law tions engaged in bargaining with national ate is the necessity oi' plublic intervention. enforcement agencies, and schools. Only a trade unions. n Lew years ago, President Johnson's automa- Although I bring no new wisdom in sup- tion commission estimated that there were port of these conclusions, old arguments rI- For the reasons that immediately follow, over 5 million unfilled jobs in the public main persuasive. It is a hobby of conse-*va- I believe 1971 economic -policy to be threat- sector at existing levels of staffing and ad- tive politicians and a majority of my pro- coed by the probable exercise of private eco- ministration. In 1971 the number is unlikely fessional brethren to exaggerate the ex":ent nomic power. to be smaller. A good public employment to which the American economy is direeted Let us consider the character of 1971 needs program would serve two desirable ends. It by free market forces. Although there is ad- and the responses to them by the Admin- would alleviate the chronic manpower short- mittedly a sphere in which competition or- istration. In one of the more remarkable a es to which public agencies are prey and ganizes economic activity and generates conversions of our day, Mr. Nixon has de- to efficiency operate with varying degrees of imperfection. It follows also that the price and wage policies which private market power allow are notnecessarily in the pub- lic interest. The Nixon Administrations al- most theological reverence for free markets leads its members to overlook the scarcity of such markets and the determination of many wage and prices by a comparatively short list of quite identifiable corporations, trade unions, and professional societies such as the American Medical Association. Although the men of power who manage the affairs of such entities are less than to- tally insulated from demand and supply conditions in the markets where they hawk their wares, it is simple common sense to note that the price setters and the wage negotiators enjoy considerable discretion in the ways they choose to respond to their economic environment. Two illustrations un- derline the generalization. Bethlehem could rationally propose to raise structural steel prices over 12 per cent because it was pro- tected by the knowledge that, faithful to ancient practice, the remainder of the in- dustry would follow the price leader. Al- though the White House in what some sus- pect to have been a Charade talked the in- crease clown to 6 per cent or so, there re- mains something odd about any increase at all for an industry whose sales have been :fiaggin and whose domestic markets have been invaded by agile foreigners, from whom the industry's leaderscry for protection. On the wage side, there are as usual the con- struction unions which, undeterred by 11 per cent unemployment among their mem-' bers, have negotiated wage settlements in the 25 per cent range. Such behavior is not wicked. Market power enables the steel in- dustry to choose a combination of higher prices and lower tonnage rather than a Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 March 9, 1971 CONGRESSIONAL RECORD - SENATE WHY WE FIGHT Inunist ag- gression. There will be no mor S. combat troops commitment in our figb r . CoLLINGwooD. General Tri, n you think that you'll ever see in your In- , ii -.ary region a resumption of the big war, rr_'in force ele- ments making another threat t - .i-aizon? General Tax. Never it will ha'p=-n, because I keep the enemy main forces u away now from our border. How can th' Nome back again once they have to fig] against us where they are? COLLINGWOOD. You mean you :cep them in Cambodia? General TeI. Quite sure. COLalnewoOD. In any disci=s-on of the widening war in Indochina, I., a and Cam- bodia are now run together :r-ost as one word. They're very different c. to itries with different problems, but it was r senxilar mili- tary logic which converted then :xto battle- fields. At the beginning, the Cam os ian opera- tion was oversold as a brief s nrrical stroke which would solve the problem ` 1 lie sanctu- aries once and for all. Well, nnr rronths later it's still going on. The South -V e! aamese are back in Cambodia, scouring ti ?' sanctuaries and keeping roads open. The: ire actually more deeply involved in Cat b dia today than they are in Laos. Nevertl - I -is, there is no, doubt that the Cambodian ?n -uirsion did greatly relieve the military pr ,ro:ire on the southern part of South Vietna t. permitting dramatic progress in ext.endin?7 overnment control. It is hoped that Laos --p ,ration will do the same thing for the cent:,-,l and north- ern provinces. But whatever it alutary ef- fects in South Vietnam, the w' "e-ling of the war has made a shambles of C , o bodia. The most important thing a out Cam- bodia is that it has survived. It in 11 months now since the overthrow of Sipe.s uk brought the war to what was surely on : .f the most unprepared countries on ear a. But with American and South Vietnan.s.- help, the Government of Lon Nol, hov 'cor precari- ously, stayed in power under :c, easing en- emy pressure. And there is ,o reason to think, even in the light of is illness and replacement by Sirik Mat ak, tL t niis govern- ment will fall now. But the pr; e of survival has been heavy. Phnom Penh, once the nips agreeable of Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 S 2170 Approved For Re~ZMKEAQ(3!`J-ALEBRI3BOgi~?AR,g0300090045-1 March 1, 1971 Southeast Asia capitals, now bears all the familiar signs of a city under siege. Sand- bags and barbed wire abound. Patriotic slo- gans are flaunted to catch the eye and charge the spirit. There is a prevalence of uniforms, not only for those actually in the Army, but for civilians as well, to whom even a quest- uniform is worn as a sign of solidarity in the struggle against the enemy. If the fate of a peaceful people were not at stake. some of the preparations for the defense of the fatherland would be touch- ingly funny. As it is, there is a certain air of hasty improvisation about Cambodia's defense preparations. The roadblocks that ring the capital are even less effective than they look. The Communists showed how easily they could penetrate Phnom Penh's defense perimeter by their devastating raid on the capital's airport in which they blew up most of Cambodia's fledging air force and got away scot free. They also hit brutally at a barracks compound. These, and similar acts of terrorism are reminiscent of the way the Viet Cong was operating in Vietnam in the early 1960's. I asked the U.S. Ambassador to Cambodia, Emory Swank, about that. SWANK, I'm not familiar with - all of the situation in Vietnam in the early '60's, but I can think off-hand of a very important dif- ference. and that Is that this country really is not in a state of civil war. This Is outside aggression, unmistakably, from North Viet- nam and from the Viet Cong. COLLINGwooD. Are the people of Cambodia behind the present government? SWANK. My impression, certainly, from the time that I've been here, since last Septem- ber, is that the government enjoys the sup- port of most of the important element of the urban population. Quite frankly, concerning the countryside, the returns are inconclu- sive, and I don't think we have enough in- formation to make a valid judgment. COLLINGWOOD. How do you foresee the ene- my's intentions toward Cambodia? Do they want to take over the country? SWANK. This is, of course, a very interest- ing and difficult queston to answer, because we can't probe the enemy's thinking, com- pletely. But my own personal judgment is that the enemy's prihcipal object of interest remains South Vietnam, and that Laos and Cambodia are both way stations along that road. COLLINGWOOD. Were the present govern- ment in Cambodia to be seriously threatened, could the United States really just stand idly by? SWANK. This is a bridge that I would rather not cross right now, Mr. Collingwood. ' COLLINGWOOD. One of the ways In which the enemy can easily produce a critical sit- nation in Cambodia is to cut the main ar- eries linking Phnom Penh with the rest of the country. A regular object of his at- tention is Route 4, which connects Phnom Penh with its seaport of Kompong Som. Last month the enemy closed the highway and it took the Cambodians, plus a large South Vietnamese task force, plus powerful U.S. air support, to open it again. Th Cambodians aren't cowards. They fight and they take casualties, but compared to .fie South Vietnamese, let alone the vet- eransfrom North Vietnam, they are not im- pressive soldiers and they are having to learn the hard way. While they are learning, Cam- bodia is clearly vulnerable to-a major North Vietnamese attack with all the repercussions that would have on the situation In South Vietnam. I asked Fred Ladd, the U.S. official charged with guiding the Cambodian Army, how the enemy with only 6,000 effective fight- ing troops could blow up the airfield, close the roads and rivers, and what would hap- pen if he poured more troops in? L,kDD. Well, I think if he were to commit more troops at that kind of an objective, the airfield, or a road, or the river, it would be easier for the Cambodians and their Viet- namese allies to deal him rather severe blows. And I feel that his strategy is to do these attacks rather spectacularly, but do them with very few people, and cause a sensational environment, when really the military situa- tion as such is not that critical. COLLINGWOOD. To what degree hm the Cambodian Army Improved? LADD. Well, I think it's-I'm glad you asked. It's one of those points that isn't brought forward very often. They started in June or July with about 30,000-40,000 men in the army. This army was a rather make- shift affair, poorly led. It wasn't a very in- spired group of people. And in the eight - to nine months that have passed since then, the army has grown to about the strength of 200.000. So I think that, although It's still an amateur army, it gets better every day, and it Isn't evident unless you sit and watch it over a period of months. But I do think: they're much more effective today than they were in Mai. COLLINGWOOD. If the enemy did mount a major attack against Cambodia, would the United States, in its own interest, be able to Just let it collapse? LADD.-I really don't know, because I as- sume, and I have-the guidance I have re- ceived is that we would like a non-Commu- nist government maintained in Cambodia. And it would depend on when It would be, I think. If it were right now, no. They want the Vietnamization program and the troop withdrawal--the United States does, in its interests, to continue. And if Cambodia were were to fall today, I think that this would seriously jeopardize both the troop with- drawals and the Vietnamization program. COLLINGwooD_ The goal is for Cambodia eventually to be able to defend itself by it- se1f, a Cambodianization program, If you will. To that end, thousands of Cambodians are being trained in South Vietnam Don Webster reports. WEBSTER. The program began last July, if not secretly, at least very quietly. It's esti- mated 16,000 Cambodians will be trained here this year. In the midst of a war which is winding down, this program Is escalating rapidly. The Cooper-Church amendment prohibits any American ground troops or ad- visers in Cambodia, but it doesn't prevent Americans from advising the Cambodians by bringing them across the border. However, the Americans here deny that's happening. They say they are merely advising the Viet- namese. who in turn are Instructing the Cambodians. Vietnamese instructors here work through interpreters to get their points across. Some of thetCambodian pupils are just 15 years old. Presumably, the young Cambodians are learning more about Vietnam than just a few words . "mot hat, sat sat" . . . "one, two: kill, kill." There's plenty of discussion whether the Vietnamese Army is ready to fight alone, but there seems general agreement the Cam- bodian Army Is not ready. How much longer do you think Cambodian troops will come to Vietnam for training? Major SALAT. I think it will be one or two years more, sir. WEBSTER. How long do you think it will take the Cambodian Army to become as good as the South Vietnamese is now? Colonel BETTS. Well, by making a compari- son with the Vietnamese Army, I would say in the neighborhood of eight to ten years. COLLINGWOOD. Despite all. the multina- tional efforts to train and equip the Cam- bodian forces, one thing is perfectly clear- Cambodia cannot yet survive without some- body's help. Right'now it is militarily de- pendent upon South Vietnam. There are more South Vietnamese troops fighting in Cambodia now than there are in Laos- 16.000 going over the old sanctuary areas of the Parrot's Beak and the Fishhook. The South Vietnamese Economic Minister is budgeting for a constant level of 20,000 troops operating across the border in Cam- bodia. The Cambodians wish it were other- wise. They have an ancient antipathy for the Vietnamese, North and South alike, but they are willing to take help where they can get it now and are surprisingly confident that they will be able to hold off the North Vietnamese and still retain their independ- ence and identity. I asked Urn Sim, Cambodia's Minister of Communications, if the enemy had any suc- cess recruiting the people to their side. UM Sim. It all depends upon the defini- tion of the word "success." I think to a cer- tain extent they succeed in recruiting some of the Cambodian people, But this most mainly is done by force, not by persuasion or any other peaceful means. COLLINGWOOD. Mr. Minister, is Cambodia receiving the amount and degree of assist- ance from the United States that is neces- sary to permit it to continue the fight on its own? Use Sim. I think the American government has helped Cambodia to survive by moving into the sanctuary of the Viet Cong, North Vietnamese and by clearing up all the area. And later we have got some aid, but usually the aid has not coin as fast as the situation was getting-you know, worse. COLLINGWOOD. Mr. Minister, do you foresee any circumstances in which Cambodia might ask the United States once again to intro- duce ground forces. into the war here? Us's Sim. This I am positively sure that the Cambodian government never asked for, the ground troops from the United States to help in fighting this war. I'm positively sure. COLLINGWOOD. DO you hope that the South Vietnamese military operations in Cambodia would be able to be decreased In the future rather than increased? Use Sim. I do hope-so, because as the num- ber of our well-trained troops is increasing. we will do our best in order to replace the South Vietnamese troops in here. And both parties agree to do so, because the presence of South Vietnamese troops in Cambodia 1s not doing any good to our policy. CO:LLINGWOOD. Before Illness struck him down last week, Cambodia's Prime Minister. General Lon Not, was supremely optimistic, many Americans thought too much so. He even dismissed the blow at Phnom Penh's airport as a mere incident and a sign of the enemy's desperation. What he wanted most was more American aid and equipment be- fore his countrymen face the full brunt of a North Vietnamese attack. Low Not (through interpreter). I have re- quested that delivery should be speeded up in the program. As for the aid covered by the program, we are holding meetings with our American friends: in order to formulate an effective program. with regard to both planning and execution. We hope that this will be done quickly'. Cor,LiNOwooD. What do you think of the enemy's intentions? LoN Not, I think the intention for the long run is as follows : The enemy, being un- able to go straight into South Vietnam and also because they row lack bases and sanc- tuaries, is directing the whole effort against us-the whole effort. COLLINGWOOD. General, is there anything that you would like to say to the American people? Low NOL. It gives us great moral encour- agement to know that in the United States of America thepeople are learning to under- stand our problems more and more. (Announcement). COLLINGWOOD. It must have come as a re- lief to the Administration, If not a surprise, that the invasion of Laos did not provoke the same public outcries and disturbances which followed last year's entry into Cam- bodia. The cynical say it's because the pub- Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090045-1 March 1, 1971 Approved Fc(5ig1i1 Wt@&WP-7?f~MPR000300090045-1 lie-even the young-have become so numb about Indochina they won't get exercised unless American ground troops are directly engaged. Anyway, the kids stayed in school this time and the protests have been muted. Nevertheless, what is happening in Laos is, in a real sense, only an extension of what already happened in Cambodia-minus Americans on the ground. The same basic arguments pertain, for and against, and the same arguments are being made. In Wash- ington, Bob Schaeffer spoke to Secretary of Defense Melvin Laird, and Marvin Kalb talked with Senator Frank Church, still a strong Administration critic. KALB. Senator, its claimed by the Admin- istration that the war has been fought in this part of Laos for five years now, so it really hasn't been widened, and that's what they're saying. CHURCH. It hasn't been fought with Amer- ican helicopters in close tactical support, hovering above the tree-tops and firing into any enemy target of opportunity. It hasn't been fought in the middle of Cambodia and the western reaches of Cambodia. No, of course the war has been widened. Why fool the people? KALB. Senator, why do you. feel that there has been so little public outcry? There was public outrage last year at the time of Cam- bodia. CHURCH. Because now we don't have an American army on the ground. We don't have thousands of American. troops moving in on the ground to engage the enemy in hand-to-hand combat. And I'm glad that we were able to enact the Cooper-Church Amendment, which restricts the introduc- tion of American ground forces in Laos and Cambodia. Otherwise, I think we'd have an American army in there, just as we had an American army in Cambodia eight or nine months ago. KALB. Is the difference in Climate, in your judgment, limited solely to that one reason, that there is not an American army in Laos? CHURCH. No, The difference in climate is partly due to the fact that this Is just more bombing. And the country has long since become accustomed to the bombing. Its been one of the brutalizing effects of this war. But there's another reason for the change of climate. The President seems to be saying that he's winding down the war and he has withdrawn substantial -numbers of Ameri- can troops. I give him credit for that. I don't think that in that sense, his Vietnamization program is a token program. If he continues his present pace, if this is all the faster he feels he can go, I'd be willing to settle for that, as long as I knew that we're going to continue to come out ... That we're not go- ing to stop in May or August or In December of this year, and leave a large American military force. In Vietnam Indefinitely. KALB. Come out lock, stock and barrel? CHURCH. Come. out. The time has come. We've equipped the Vietnamese, they have the capability. After all, we didn't promise to make that country the 51st American state, or use American men indefinitely to defend a government that South Vietnamese men should be willing to defend. And now that they have the capability the overriding: objective in American policy should be to come out. KALB. Senator, have you heard about any time limit on the use of American air power in support of South Vietnamese units in Cambodia or Laos? CHURCH. No. No time limit at all. This is part of the reason why long-time critics of the war grow cynical when they hear about Vietnamization. They're fearful that rather than bringing us out of the war, it's just a method for changing our method of warfare, for converting our participation from ground warfare to air warfare, logistical support and artillery support, and that this Is just going to go on endlessly. There's going to come a time at the end of the summer, or the fall of this year, when the President will have to face :his moment of truth on Vietnamization, when he's going to have to take his chances with the Viet- namese being able to do their job in their country ... when he's going to have to turn back the risk of the war. and the eventual outcome of the war, to them. SCHEIFFER. When the United States moved into Cambodia, there was a great public out- cry. And yet when the details of this opera- tion into Laos became known there was not really very much public criticism. Why do you suppose that is? LAIRD. Because the South Vietnamese are handling this operation themselves as far as the ground combat is concerned, not only in the Cambodian situation but also in Laos. If there's been any escalation in this war, it's been the escalation in South Vietnam, giv- ing South Vietnam a capability to defend it- self and to carry on these combat respon- sibilities. SCHEIFFER. But the fact is that U.S. heli- copters are going in there, ferrying the troops directly into battle, as it were. They're -land- ing, they're on the ground. Is that cutting the line a little bit thin, by using this air power for this close troop-lift as it's being used? LAIRD. Air support has not been prohibited by the Congress. This was discussed at some length, but air support is perfectly within the letter of the law as well as the intent of Congress. SCHEIFFER. The question I think that many critics are asking is this: How do you shorten the war by widening It? Is that a fair question? LAIRD. Well, the important thing here is to disrupt the supply routes that are going to Cambodia and into South Vietnam from the Cambodian sanctuaries. By any kind of criteria you want to use on the success of this operation, even if we were to withdraw air support and the South Vietnamese were to leave Laos at the present time, this opera- tion is to disrupt the logistic supply route so that we can reduce American casualties as we withdraw American troops. We will be withdrawing additional thousands of Amer- icans, as a matter of fact while these opera- tions are going on. SCHEIFFER. Mr. Secretary, there will be an- other dry season next year, just like there's one this year. Will that require another South Vietnamese operation into Laos to interdict supplies? LAIRD. Well, that would be a matter that would certainly be up to the South Vietnam- ese. I would-to be very frank with you they will even have a greater capability to carry on those kind of operations next year than they have this year. SCHEIFFER. AS I understand it there's no plan now to train or equip the South Viet- namese to handle this bombing of the. Ho Chi Minh Trail in Laos once the United States stops that. What do you do about that? Does the United States just stay there? Will we be required to stay there and bomb as long as the North Vietnamese send sup- plies- LAIRD. I don't know whose plans you're looking at. Our plans do give them very im- portant gunship capability which is needed and necessary to interdict supplies and logis- tics on the Ho Chi Minh Trail. I don't know where you got your information that they weren't being prepared in this area, but we are turning over the gunships, we also are using the A-is and other types of aircraft that can carry on a very effective interdic- tion campaign as far as the South Viet- namese are concerned. SCHEIFFER. You're telling me that that plan is already underway? LAIRD. The plan is underway to give the South Vietnamese Air Force an interdiction capability. (Announcement). 52171 COLLINGWOOD. Today Secret;.:; -y Laird told the President the Laos opera o , Is "going well." But even if it is a tnilita s .uccess this time, it may have started son. _-C,ing we are not prepared to finish. A precadait has now been established which wou d allow the South Vietnamese to push b evond their borders whenever necessary :,c keep the enemy off balance. But will ti _y he capable of doing so, even ifit were de:.ar:_ble? This time, the massive operai ton was heav- ily dependent on U.S. air. S, .Ir ,,tary Laird indicates that, in the future, e 'uth Vietnam will be able to furnish its ow ;sir support. But his air commander for In oa-hina, Gen- eral Clay, indicated we are not te_Aving them that kind of force. Three hundred U.S. helicol ? e?s, just for starters, are being used for th : I aos attack. The entire projected South Vietn amese heli- copter fleet is five hundred. : ,n