CAPTIVE NATIONS WEEK
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CONGRESSIONAL RECORD ? SENATE
fflwoiid permit social so-
,tarissasto earn more money
'',,..andaStill be able to draw
liov. n nelson may not
.aijiS;lahrtil $1 SY, a year and still
, S, /1 '011 iv benefit.
iffintil purpose of the social se -
l'PTYAtAr'; WAS to facilitate the with-
.i1 t( a 0; keis from the labor
,f1:1A.-?',t;iTiriS law was written in depres-
ii 1tie ,Young perpie, hungry for
, I An. iriaseelatito th. urking force when
?r seniors retired.
The so-colled ea re iters test, the ceiling
ontside inconie wss one way of ac-
. this in in of discom aging
eSier Workers from continuing in their
iot,sa,(::aaaa
stlearifsAhe emphasis of our social se-
curityiregrams has chauged since those
The bills I introduce today would ac-
'..c09149441i- these purr.)til
. Firsts . Raise from $1,200 a year to
$1,900 the amount whiali can be earned
aSineOme without reduction of the bene-
ficiary's religibility for full old age and
stirviSors' -insurance retiroment benefits.
Secsand. Permit v orkers who postpone
retaannent to accumuls..e extra nerlaion
ereditsifon use when they finally do re-
tires :sAt present, the average age of
entitlement to old-age insurance
:benefinaajs , about 68 to 69 years. In-
':Crett$:1S3gjienefits for person.s who delay
, retirement after 65 would provide an
incentive for older workers to continue
In productive employment as long as
they are useful. Presently, these indi-
viduals simply lose the benefits to which
their years of employment under the
'stem would have noimally entitled
t..em. My bill proposes an increase of
csa-feurth of 1 percent for each month
tb.layed retirement, or 3 percent a
(ear.
[bird. Prevent :11 t us I loss of income as
ri result of staying on 1:.e ;oh past Lire-
rio 't Und.- esit law, it is pos-
sis5,, to lose more in su milts deducted
s result of eat side income than is
y aned from the onnide emplovm. nt it-
,
8511i Con; it's" took is has' n 4' Still
0,0 51.1 retnovine the discrunnattion
t older workers created by the in-
entable earnin test in the mini-
s-, social security bill passed last yes r,
isess raised from Su. to J leo the
siontfily limit on outside (anilines whirh
s :se:officiary inske t?ithutit. losing
a inonth's benefits. 1 has, a bill which
I sSong with others, had previously of-
f. was ??isicted into law.
bat this was a minor chanee, inneed,
and further Mill sveirs at oueht be
remits The Senate Finance Committee,
a iter thorough censidera Lion of the
e isnings test, in 1954, made this report
to ;he Senate:
stouthiy benefits tmder, the old-ace and
virvivors insurance system are paid upon
tile retirement or death of the family earner.
Conequently, the law provides that beneCts
are not payable to persona otherwise eligible
for 'benefits if they have substantial em-
ployment or self-employment earnings, as
oete.rmined under the retirement test set
4,:it in the act.
lO3?
Yet
zornmittes seeks to maintain this
print. ale, but has determined that certsm
amendments should be made to increase the
tOil of the retirement test and to
wester opportunities to retired imilvirnihis
Ii' supplement theLr benefits through earn-
ings 1,..m part-time or intermittent *,/k.
I believe we should move toward these
reasonable goals now.
Thu VICE PRESIDE:NT The bills
be received and appropriately re-
ferred
The bills, introduced by Mr. ens! of
New Jersey, were received, read twice by
their titles, and referred to the Com-
mittee on Finance, as follows:
8 2226 A bill to amend section 203 of
the Skdal Security Act to increase the
amount of earnings Individuals arr. per-
mit?ed to earn without suffering deductions
from benefits;
S 2228 A bill to amend title It of the
Socliti Security Act to provide extra credit
for rsataoned retirement; and
S. 22','7. A bill to amend section 203 of the
Social Security Act so as to prevent tss of
income by beneficiaries because of dedoc-
nuns from benefits on account of the
charging of earnings.
CAPTIVE NATIONS WEEK
Mr. DOUGLAS. Mr. President, or.
behalf of the senior Senator from New
York [Mr. Jsvrrsl and myself, I intro-
duce, for appropriate reference, a joint
resolution to provide for the designation
of the week following the Foin(li of
July as "Captive Nations Week."
I ask unanimous consent that the
joint resolution may lie on the table
until Friday. June 28. to eril,W.e any
Senators who may wish to join as spon-
sors of the joint resolution to do so.
The VICE PRESIDENT. The joint
resolution will be received and appropri-
ately referred; and, without objection,
the joint resolution will lie on the desk,
as requested by the Senator from Illi-
nois
The joint resolution IS .1 Res 111)
providing for the designation of the
seek following the Fourth of -July as
' eSsetive Nations Week", inn odor, d by
ti Doucass (for himself and Mr
Jsvirs I , WaS received, read twice by its
title, and referred to the Committee on
the Judiciary.
Mr DOUGLAS, Mr. Presidont des-
pite all the talk about more ta'kati.ons,
whether at Geneva, the summit, or else-
a hese, sober minds throughout the world
cannot escape the cOntemplat in of basic
1...-(les that divide the a oi Id. Mere
symptoms considered at Gffievii or at a
summit will not assure us the basis of
pease with justice. This concentistion
on symptoms?today Berlin. tomorrow
something else?plays more and more
into the poker hands of Moscow. To our
own advantage, not to say in behalf of
toith, at these conferences we should be
relating these symptoms to their basic
causes. This. unfortunately, we are not
doing, and the impression created by us
throughout the world are not favorable
to us.
'The most basic Of issues is the con?
tinned enslavement of the captive na-
tions. It is this issue that underlies the
so-called Berlin crisis. It is this issue
10359
that will be at, the foundation of sub-
sequent crises manufactured by Moscow. -
Berlin issue is an inseparable part
of the larger issue of a free and reunified
Germany and this larger issue Is but a.
part of the general problem if the cap-
tive nations. Yet at Geneva and in offi-
cial smaters little if anytIntig is heard
about the captive nations. The very
cause of our International crises and
tensions is perilously overlooked. This
situation has developed so that count-
less thoughtful minds in this country
and elsewhere are beginning to ask: "Is
this the preliminary stage to 'or eventual
asgoieseence in the permanent captivny
of nations in the vast Communist
empire)"
Careful analysts know that ever since
the launchmg of the sputniks, the Rus-
sian colonialist, Khrusnchev. has sought
a summit conference to eke out such
Western s.cquioscence. The Berlin crisis
was created as a means to obtain a sum-
mit conference. And at a summit con-
ference the very omission of a serious
discussion about the liberation of cap-
tive nations, both in Europe and Asia,
would be tantamount?or so construed
by Communist propaganda-to Western
submission on this basic issue.
Such an outcome would undoubtedly
be the greatest victory of itussoan cold
war diplomacy since the very beginnings
of the CommunLst Empire in 1918. It
would irreparably damage our most
powerful deterrent against further Com-
munist aggression and. quite likely, a
global hot war. This deterrent is made
up of the national loyalties and freedom
aspirations of the captive millions in
Europe and Asia.
This clever and diabolical scheme con-
trived by the wily Khrushchev mast be
thwarted. The process of substituting
symptoms for their causes cannot be
allowed to go too far. Realism must be
Injected soon in our negotiat.ons with
the Kremlin tyrants. As we Americans
approach our own forthcoming Incle-
pendenee Day celebrations. the time has
come for some sober thinking and re-
fleetent.
Our society, to be sure, Ls not perfect.
But by all evidence it is unquestionably
one that has given so much in so ninny
ways to so many within a snort span in
the history of man. It is one which has
made this Nation powerful, exemplary
and widely respected. Contrary to some
rinse notions, we do possess a rich and
articulate ideology which inspires our
continued growth as a strong-willed na-
tion and affords us the sucsessful means
to rope with the tig-rags of the interna-
tional Communist conspiricy. This
Ideology is niainly and concretely spelled
out in our own Declaration of Independ-
ence.
With this approaching Independence
Day it is therefore timely that we reflect
upon the moral and political principles
embodied in our Declaration of Inde-
pendence. Even more important is the
application of these perennial principles
to other nations and Peoples. In our
own basic security interest, these prin-
ciples must be steadfastly held out to all
the nations which have been raped and
exploited by imperial BelObCOW since 1918.
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CONGRESSIONAL RECORD ? SENATE
For our own national freedom we cannot
.fiord to dissipate this greatest deter.
rent against Russian Commtmisi en.
Pansionism and a global hot war.
I believe that it is most fitting said
proper for us as freemen to express our
moral conunitment to the freedom and
'c11-determtnation of the peoples Cl the
captive nations on the etTe of our I.
do.pendence Day. I therefore tritroduce
a joint resolution which provides for a
Presidential proclamation designating
the week following the Irtnirth at Jul1
Captive Nations Week." I am con.
/Went that this resolution reflects the
tnoughts and sentiments not only of the
American people, not Only of the peoples
Iii the ft ee world, but also Of the captive
millions behind the Iron and Bamboo
Curtains.
Mr. President. I ask unanimous con.
sent that the text Cl the resolution 1*
printed in the Bram at this point for
the information of Senators, together
with the ftrst chapter from Mr. Harry
Welton's recent, thought-provoking book
"The Third World War: Trade and In-
dustry?The New Battleground." This
chapter, entitled "The Struggle for the
World." with penetrating insight sum-
marizes the Communist actions subju.
eating the captive nations and their
latest tactics and maneuvers reaching
out to dominate the rest of the free
world. IL is a sober reminder of the
f'rave dangers we face.
There being no objection, the joint
resolution and chapter were ordered to
be printed in the Itecotte, as follows:
8614 ATE JOINT REMIOLITTICII 111
Joint resolution providing for the designs-
t1011 of the week following the Fourth of
July as "Captive Nations Week"
Whereas the greatness of the United
States is in large part attributable to its
having been able. through the democratic
pmema, to achieve a harmonious national
unity of its people, even though they stem
from the most diverse of racial, religious,
and ethnic backgrounds; and
Whereas this harmonious uniecatiost of
the diverge elements of our tree society has
it'd the people of the United !States to pos-
ses, a warm understanding and sympathy
tor the aspirations of peoples everywhere
and to recognize the natural Interdepend-
ency of the peoples and nations et the world:
and
Whereas the enslavement of a substantial
part of the worlds population by Commu-
nist imperialism makes a mockery of the
ides of peaceful coexistence between nations
and constitutes a detriment le the natural
bonds of understanding between the people
of the United States and other peoples; and
Wheresa since 1918 ths imperialistic and
aggressive policies of Ruesliva eemmunisni
have resulted in the creation *I a vast em-
pire which poses a dire throat to the wit-
rity of the United States and sif all the
free peoples of the world; and
Whereas the imperialistic pollees of Com-
munist Russia have led, through direct and
indirect aggression, IS the sulefogation eC
the national Independence et Poland. Rini.
gory, Lithuania. moraine, aneelsemovalle.
Latvia. Ifetenia, White Ruthenia. normals.
East Germany, Bulgaria. mainland China,
Armenia, Azerbaijan. Ouargla, Bards Bores.
Albania, Mei-Ursl, Mee Cosseckia. Turk*.
Stan. North Vietnam, and others; and
Whereas throe submerged noetene look IS
the United states, Seth. ettedel of human
freedom, for leadership in bringing about
their liberation and independence and in re-
stela( so this ift, enjoyment of their Chris.
ttaa, a.wMerasto. Buddhist, and other
reileicons freedoms. and of their individual
Ithertlea; and
Whams it is vital to the national men.
rity at the Balboa Mates that the desire
for liberty and todepoodence on the part et
the peoples of this. conquered tuitions
should be steadfastly kept alive: and
Whereas the deem for liberty and inde-
pendence by the overwhelming majority of
the people if these submerged nations con-
stitutes ? powerfel deterrent to war and one
if the beet Mimi for a just and tasting
peace; and -
Whoreas it Is dieing that we clearly mani-
fest to sash peoples through an appropriate
and cisl mesas the historic fact that the
people Cl the Visited States share with them
their sepirations for the recovery ot their
freedom and ladepeadants: Now, therefore,
belt
Smeteed by thoi Stasi. *ad louse of Nee-
repeehgehle el the Vatted States Is Clowns
emeetblet. 'That the President Is autherima
end requeeeed te Wee a proclamation on
the !mirth id MC declaring the week
foilowing Mesh day ea "Captive Nations
Week" sat inviting the people of the United
Melee le observe such week with appropri-
ate esrenentos mad activities. The President
is further authorised and requested to Issas
a ohniter potoolemattest on each succeeding
Fourth at Any until such time as freedom
and initommedeoce *an ban been achieved
far all the captive nations of the world.
The chipter from the book pronged
by MY. Downes Is as follows:
Toe Twee Wane Was: Twat AND Deg-
ear ?Tel Pew Itairrtaxiammts
(By Barry Welton)
CWANIFIS5. TON INNITOWN TOD 1112 WORLD
In every inhabited part of the world the
forms Cl DoenenunleND and democracy are
locked together In combat. In this druggle
there are no seutral territories. In acme
countries, the Communists are firmly en-
trenched; in others. such as the United States
and the British Commonwealth. the fees peo-
puss bold positions of immense strength.
There is, however, a vast o man's laid
composed re cations in which the lams is
in the balance, wizens probably within the
nest two decades the supremacy of one aids
or another will doede the fate of mankind
for Centuries to cocoa.
This Is not an all-out military struggle,
and it is unlikely to develop into one. fought
even with oceiventiond weapon,. A nueleer
war. with whole elites being blasted out el
eaten?, in a matter of seconds, is even
more anilkody. Ouch events would be the
predates Cl madnue- thesis do hot exist
among the leaders arid potential feeders of
the free 'rations. Nor dose Ithrushchev, even
when he is in We cups, show the slightest
thellnation to *Mk the destruct-kr of what
be and hie foreruanare have taken such pains
to build. The evidence of the Berlin block.
ads, tom& and the Middle East thaw be-
yond *Rift that armed conflict on a &Axil
bade is not pert of floret strategy.
Indeed there Is no reason why It rhould
be. The Ituaslien leaders ars neonate. They
knot/ that the third world war is weedy
In Isteilles, and believe that they are via-
shag It Thu great end deoleve struggle
for lielgrallabag Is Mai *voila, aye beams&
sputniks In mine space, but between eft.
nomie spotome on forth.
-
'The tomptes we marketable ermintatitties
mob as tors, tatectors, ioduetrial equipeema.
power Menem, and escuntroor goods et ell
WP The main armlet are sot effitnere,
but salmons who, operating as a dleollellsod
fates, bove been leed In gee Into weffid lasr.
Ms and arm m out the pectioste Cl the mob
era donaocemien
Jurus 22
That la Ilia neer Mir. Is based upon the
elingee Oldie that Britate?etn1 regarded as
the male helmet (wettest the spread a
econnuunemo--ie either a great trading no-
lion or is not a great station. Deprived of
our trade we become a comparatively unim-
patent Island fa the Werth Ilea. We would
be Incapable el defending ourselves, of main-
tain", oar paptnation, or playing our fun
part in world ante, Without ? constant
and indlleitni supply if food and raw ma-
terials from magmas we Are doomed. We
know that, and so do the Russians.
ty? sire oleo the hart of a great COM-
moinvealtb, ited the mainspring of the
sterling ante'. Break this country through
deetroyisq its economy, and the dream of
world cesthumists somas much nearer to
reside.
Ude type of warfare is the more danger-
ous bemuse of Its subtlety. We may not
awaken before it is too late. Por this res.
00113 the Soviet Bolan rune the most efficient
and meet male propaganda machine in
the wend. Day In and day out it conducts
? barrage agninat the wands Cl the free
seepage ay lies, half-trutha, and thou-
Is ends to meekest our morale, un-
de? nntne faith *near way of life, and sbore
an to direst out attention away hum the
rail danger. ,
leot the Deese porlant part of the Soviet
teed.-war amehline exists Inside Britain's
key enporting industries. There, under the
guise of militant trade unionism, a constant
beetle is gobs( is against the productive
efacioney unbent istleh we cannot In the
long run meet the Beene challenge.
Those Soviet splits, many a whom hold
Inapcetent positions in the trade-union
movement. have caused concern among such
men as all Carron, president of the Amal-
gamated engineering Union, who has de-
scribed them as subversives "acting under
the dictates of a foreign power with the de-
clued purpose of wrecking Britain's 'con-
nay."
TI is in this Vight that the metnitire of
Cenderanists everywimee Trust be assessed.
They are pert of a plan, which has been
avowed by all Ittnislan leaders from Lenin to
liktrueltchev, to satablish comatu.lbtan on a
world basis. Wm Hitler, these men, and the
theoreticians before them, have frankly de-
eared both their alms and the methods
through which they hope to achieve them.
Milk* Bluer they have relentlessly pursued
these aims without uunecesealy risk of armed
ocritiet. They am not Ellen in $ hurry.
there la ? further similarity Whoa Ritter
was proclaiming his tuten,inns from the
housetops. many people either dismissed him
as a crank, or in any event refused to bee-d
the warning. du It is today. Leaders of
British public opinion. perhapo Influenced
by the day-to-day propaganda utterances of
the Soviet leaders. are retie:dant to accept
Communist amen at their true value.
We cannot complain that they have not
been constantly and concisely expressed.
Over a eentury ago, for example. the Oota-
rannlet Manifesto, the first fundaments/
dominant of motion DONIMALDIAM was elm.
? straightforward, and to Lbs point. It
stated:
"The Commlinists disdain to conceal their
vim and aims. they openly deciers that
their and. can be attained only by the forci-
ble overtiniew of all erring social condi-
lido& ' Let the ruling classes tremble at a
Communist resolution. In it the proletari-
ans lave amities to lom but their cleans.
lbw bow a merit to ens. Working men of
eamisies, unite.*
? vs? given reality by the Bolshevik
mimeo eC power in nuesla In 3017. Tbe
wait movement ashleved a base from which
is salad reach out late the farthest corners
el Or glabf? Adherents In all countries
3 lfraphe Nara. Sept.", INIT.
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June 22
-
oseethen consciously accepted the
ee the ta.SS R. is the Communist
ral that its riders are the peter).-
'el all mankind.
`eirculated through hosts of sub-
ainzations Wive since poured out
el,,k Bremen. and been accepted and
eiacianileout queatton by party mem-
,.
ti ?eti expert era to every country. These
iikatinseetraddle the earth, ready to
oetreeittoeverythleg, their ccuntry. their
trade 'unions, their ternIlies. and even them-
oieveteeeei tile Usk ot ensuring Soviet dome-
heir duty Imo in spite ef the heavy
Ito xist ';argon, never otten ni,ne clearly ex-
po-sod than by P. E VishInsky. the Soviet
leeireticlan who stated In 1948:
At present the only determining criterion
of revolutionary proletee:An In iernationwilsza
Is. ti,e you for or ag,t1tist the 1.113.8 It., the
teAoheriand of the wood et:tiles...Hat? An
eeternotiouelost le not one who verbally rec-
. ,
Internationaki solidarity or sympa-
titilets iith It A real internationalist Is one
wee britt;' his sympathy and recognition up
the point of practical and maximal help
to the V.5,8 ft in eupport and defense of
he S.S R. by every weenie end in every
pcweible form. Actual cooperation with the
los SR.. the readineas of the workers of any
couLtry to subject all their aims to the basic
problent of strengthening the U.S.S.R. in
their struggle?this is the manifestation of
revolutienary proletarian Internationalism
on the part of workmen in foreign countries.
?'s ? The defense of the U.S.S.R. as of the
eocialist motherland of the world prole-
. ist is the holy duty of every honest man
?eerywhers and not only of the citizens of
the 1T 13.8 ft."
Ttli, welding of international Communist
fooee into one mighty army directed and
rout:A...Vied, by Russia. and owing unqualified
?),Iyh'tnee to thole in power iii that country,
t te r'en is prime teak of party members
eeeeN where since 1917, Any lege of devia-
te 1, r moVernent toward national commu-
ntsr.1 has been ruthlecely seepreased, either
by mites executions where Communists rule,
exotesieri from the party where dissident
e .trit.ecies are fortunate enough to live in ?
(it.tn,)cracy.
this army could be used to achieve
w;teie cenqueet was outlined by Lenin many
t 'I ago, and Incorporated volume V. page
141. of his 'Selected Works' It. so impressed
Stalin that be repeated the general theme
le a major speech in 1924. and It has since
1,,,en Included in every edition of his works
the moat recent being In English in 1043
and in Russian in 2941)!.
This important directive bolls down to four
is Is .
I. building Up the strength of the Soviet
1; ; ion
2 Organizing kubversion in the Indus-
trielized capitalist states.
3 The fomenting of revolt in colonial
ceuntrles.
4. A final onslaught using whatever meth-
ego, are most sulnible in the light of prevail-
ing conditions in the country or countries
concerned.
The essential aim was summarized in the
fol ,o wing statement:
'The victory of Socialism In one country is
net a self -sufficient ta-k. The revolution
ehich has 'been victorious in one country
must regard Itself not as a self -eunicient
entity, but se' tnaid, a means for hastening
the victory:, or, the proletariat in all ?omi-
tted:S.; .For the victory of the revolution in
one country, In the present case Ruesia
? .? ? Is the beginning of and the ground-
Work for the World revolution.' a
CONGRESSIONAL RECORD ? SENATE
"Problen? Of Philosophy," Poreign Lan-
guages Publishing House. Moorhen, Inin
"Problems of Leninism." Piz pff?nitha d
gl :ages Publishing House, Moechilleelhelele
114.
These are the words of linattn, taken from
"Problems of Leninism" pablished in 1941.
They declare the blunt truth?that Soviet
foreign policy Is one a worldwtde expansion.
The example of Hungary shows exactly the
smooditions under which the Soviet leaders
will go to war. They Will do so when the
victim is helpless to retaliate, when they feel
they are secure from armed Intervention by
other nations, and when the me of Soviet
armed strength is necessary to obtain or
retain complete and absolute control.
Korea and Malaya are Instances of at, at-
tempt to achieve conquest by proxo al-
though in each ease, the immediate aim was
almost certainly more Noonan:tic than mili-
tary. The importance of Malayan rubber to
the economies of Western Europe and to the
stabile y of the sterling area is as evident to
the Russians as it is be us..
The Korean War, apart from sparking off a
propaganda campaign in which the Rusalsns
out-Cioebbeled Goebbels, also osueed the
British Labour Government to embark upon
an arms program in which, by diverting men
and materials from badly needed schemes for
capital development, and the manufacture
of products for export. struck a severe blow
against our economy. It also paved the way
for many of the Industrial troubles from
which we have since sufrered. Those who
doubt the ability of Russia to exert inunerue
influence in this country might ponder over
the fact that from 1950 onwards our whole
buoireUu-y structure was conditioned by the
Soviet military adventure in Korea.
The shift of sambeate from military con-
flict to trade wee was foreshadowed by Stalin
in a treatise published Just before his death,
fteferraig to the economic integration ot the
Communist bloc, he stated:
"The result is a fast pace of industrial
development in these countries. It may be
confidently said that, with this pace of in-
dustrial development, it will soon come to
puss that these cou.ntries irLU not only be In
no need of imparts from capitalist coun-
tries. bet will themselves feel the necesaity
of finding an outside market for their sur-
plus products.
"But it follows from this that the sphere
Cd exploitation of the world's resources by
the major capitalist countries will not ex-
pand, but contract: that their opportunities
for sale in the world market will deteriorate,
and that their industries will be operating
more and mom below eafacity." ?
Since then this bre beetome the spearhead
of the Rusian attack. It has dominated life
behind the Iron Curtain, where the interests
of workers, particularly in the satellites, have,
as we shall see In ensuing chapters, been
sacrificed to achiever capital formation in
enema of that hisillied by existing produc-
tive capacity. Indeed, It Le Important to re-
emphasize that the drive for trade mastery
has little in common With normal commer-
cial rivalries between emspetitor countries.
Inside the Communise countries It 1s
planned. conducted sad financed as a mili-
tary operation to be successfully concluded
without regard for met. Ihnther, the attack
has been launched with the active assistance
of Coenzauniata working in every democraUe
country.
By 1966 the waver already made justified
the Soviet announoement that "communism
has become a world system which Is in eco-
nomic eompeUtion with capitalism."
Khruinchev was men more specific when,
at a reception held at the Norwegian Em-
bassy In Moscow, be told a leritlah reporter
that "Your system will eoLlapse through eco-
nomic competitien with Communism.",
The Commeniste, then, have made no se-
cret of their alma or their Methods. Political
penetration. UM liettlielty Or threat of Mill-
Stalin: "FoonOnile Problems of Sesc
FbilZgliettge'204114006/43stretAtiMP
Ing louse, !cocotte 1952, p. 36.
a Sunday Times, November 19, 1955.
tary attack, and the trade war Si" tee
avowed weapons to be used to achieve cu
avowed aim.
Yet in eptte of warnings, and the lessons
of postwar history, there are still people in
high places who believe that the Kremlin
Is peopled by men and women donanated by
fear of "eneirclement by hoejile capitalist
powers," and who only have 'to be given a
little encouragement to become ("nod neleh-
bors with whom schemes "ee the .71tItIlel
edvaneement of all countries er . be worked
Coll L.
In other worsts, they belltoe that she nue-
&Lts11/1 are taking lit* VI toward world demi-
nation with great reluenince, not because It
Is an integral part of the Communist creed,
but in selfolefenee against 1.1,e machinations
of the democratic powers.
When Mr. Aneurism Bevan then Britain's
'shadow' Foreign Minister, visited Moscow In
195'7, be returned to express the view that
the utterances of Soviet leaders could be
dismissed as "ritualistic exercises" These
deserve to be categorised as famous last
words. Seldom has such a dangerous state-
ment been made by such sua important man.
There was nothing ritualistic about
Kierushchers reaction when Hungary at-
tempted to break away from the Soviet
empire. New was It provoked by a neigh-
borly desire to safeguard Hungarian democ-
racy. Hie action was provoked by fear that
if Hungary succeeded in achieving Its free-
doms the other satellites in which a great
deal of restlessness existed would quickly
follow snit.
Anyone who believes that the Communists
are playing theoretical games must have
slumbered sines the Hitler-Stalin Poch in
August 1939, made the Second World War
Inevitable, This began ? Pertied of open
expansion. Of the three main powers ulti-
mately engaged In the war against Nazi Ger.
many, only the Soviet Union gained terri-
tory.
Poland was invaded. This was followed
by the attack on lenience the annexation of
Bessarabia and Bukovina, said forcible in-
corporation of Estonia. Latvia. and Lithu-
ania Into the Soviet Union. These who be-
lieve that there is an easy way to peaceful
coexistence with cortununto . should note
that Russia had freely negotieted nonage
'newton pacts with all these o,untries
This expansionist phase, reminiscent of
imperialism at Its worst, receleed a setback
when Hitler bounded on hi x.11y and In-
vaded the Soviet Union.
Once victory in Europa Lad been achieved.
however, Muslim imperialtsoe sent on with
renewed impeture
What makes this postwar period one of
the great watersheds of hit tot), Is that the
extension of Russian oontre. 'o other coun-
tries coincided with an turn greater move-
ment of withdrawal and nercoinmitment on
the part of the democraeo ; At each sue-
ceselve stage, barrier* agstnxt Communist
penetration were weakened over huge areas
Inhabited by milliom ot people. Russia
herself became enriched by the addition of
Estonia, Latvia, Lithuania, the eastern
provinces of Poland, Bessarabia and Buko-
vials hoax Rumania. the Carpathian-Ru-
thenia province of Caectoslovakia. half of
East Prunes. from Germany, slices of Finland.
Tannu Ttn Dairen and Port Arthur from
China. and the KUM* Islands and Sakhalin
from Japan. Quite an impressive record for
a power said to be the forefront of the
nght against imperialism."
Further, Is wee Russia who provided aid to
thu CnInmtitileia in China and helped to
achieve the Overthrow of the Nationalist
Government Which. Incidentally, had been
recostilleed by Stalin and Molotov in words
oddly reminiscent eit Mees solinen promisee
9PtleQQtic Sino.
Soviet bloc th-t Is now in the process a be-
coaling one !lure Industrial unit. from
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which, sooner or later. goodie erUl Sow into _
world nut:note IA seer-increasing quantities.
Once In power, the Chinese Oeseinunithe
followed the example of their Ilovist nines.
Tibet wits invaded and occupied. North
Korea and north Vietnam wens subjugated.
It ia instructive to examine the methods
used by the Soviet rulers to extend the Com-
monist bare. (leorgia provides ? very early
example of double dealing. In March MO,
the Soviet 0,,verninent signed a treaty
which it unre.4ervedly acknowledged the "In-
dependence ii,11 sovereignty of lbs Georgian
state. and re 1),14/11.od voluntarily all the sov-
ereign rig h ta which had appertained to
Russia with regard to the people and terri-
tory of Georgia.' It alio pledged itself not
to interfere in any way in Georgia's internal
affairs
In February 1921 Soviet troops invaded
Georgia. and =la, the capital, fell to the
Bolan/inks. On the day this happened
Georgia W RS proclaimed a Soviet republic.
The annexation at eastern Poland is ea-
other instance of Communist duplicity. hp
the spring ot 1939. while Britain. Prance. and
Poland were negotiating with the LTAS.11.
to form an alliance against Nen Gerramoy,
Stalin's agents were secretly in oonsultatket
with Hitler himself. The moult was a non.
aggression pact between the two Gauntries,
under which the eastern hen of Poised was
recognised as ? Soviet sphere of Interest.
The Nana invaded Poland on September 1.
1939, and thus sparked off the most deetruo-
tive war In the history of man. By pre-
arrangement, the Soviet Army marched In
from the east.
Soviet Foreign Minister, Molotov, spook-
ing on October 31. 1939. boasted:
"One swift blow to Poland, first by the
German Army, and then by the Red army,
and nothing remained of this ugly cffiepreme
of the Versailles Treaty." ?
Bessarabia and the northern province of
Bukovina were acquired by the simple pro-
cedure of massing Red Army troops on the
Rumanian frontier, and delivering an ulti-
matum that the Rumanian forme move out
of these areas and be repliseed by Soviet mili-
tary units, and that all railways, bridges, air-
fields, factories, arid powerplants he handed
over in good order.
The Russians moved In on June 20. 1940.
and by a combination of force and bullying.
seized these territories.
Another classic example of Soviet foreign
policy In action occurred in !inland. In
the autumn of 1939 Russia demanded terri-
torial concessions and attempted to obtain
them by diplomatic bullying and threata of
force. When these maneuvers failed, the
Soviet Government decided to Invade.
In defiance of the Russo-Pin/11th Neon
Aggression Pact of 1934. an armed attack
was launched on November 50. 1999. Fin-
land promptly appealed to the League of
Nations. and as a result Russia suffered en-
pulsion from that body. The ?Inns held out
until March of the following year, when they
were compelled to surrender large areas in-
eluding Kareila, In which was situate'
Vlipuri. their second-largest town.
Further hostilities broke out in June 1931.
and when an armistice was signed years
later. the Soviet Union had, by armed Or.
gression. acquired nearly 15,000 square
miles?about one-eighth of Finland's total
territory?arid a population of nearly 030.000
people Two-thirds of these chose to be re.
settled in other parts of tiler country rathrE
than remain under Soviet rule.
The fats of the Baltic Matas, !Ike that at
Eastern Poland. wee settled by the north
Pact agreed by Hitler and Malta la 1111111,,
All three, Estonia. Latvia. and Lithuania, had
signed nonaggrendon pacts with the 1111.11.X.
..t'` When the war broke out they gave Way aveseeenteellea,
.110 were dipiceneth pressure and reluctant:,
aerepta4 paste et mutual theistanos which
here the florist armies the right of admit-
banes late their territoiy.
Molotov, surety one of the most cynical
thatesnath hi history. gave his aasurance that
them agreements "strictly stipulate the
lavionibWey at the sovereignty of the eggs
notary States. end the principle of non-
interference in each other's affairs. They
are bared upon mutual respect for the pin
social, and economic strueturs of
the contracting parties. and ars (knitted to
strengthen the foundatioas for psseetUI,
neighbourly ceoperstban between our peo-
ples."'
Wielakov saki this when be knew that
thelin. by agreement with Bitter. bad el-
reedy decided to annex these countries.
When the Baltic States were finally oiseu-
pMil by Red army In HOW the peoples
did l'ot surrender without ? struggle. Russia
enihsited upon ? campaign of terror, memo.
OM nod lames deportation which lasted for
several years. Thousands of astonlans. Liten
and Landing were dispatched In
alhato. and Wiegman& more lied to West
Cthrinsar and Britain. One in the most
pathetic theidente reported was that 90,000
illehmians art out for Sweden in an armada
in Mail basis, a venture whish was sett-
Malied to have cost nearly 10.003
The ithithade used in all three caw. fan
leered the familiar pattern?broken treaties,
duplicity, and ultimatum backed by force.
With the tete of Finland staling them in the
taco, the three tiny countries, with a total
population of ises than 4 million. bad no
alternative but to yield.
lagged electioos on the usual Oomenuniet
Nees took piths. and the grisly Wee was
payed eat le the end when at their own
requith Setoina. Latvia. and Lithuania. their
peoples, oulterre. traditions, and way et lUe,
vanished behind the Iron Curtain.
- With the war over, Russia was not content
to rest on her very considerable territorlid
gains. Ithe began to export revoledion to
earnest. Trained Communist cadres, 110.101
troops. and political police armed With an
estabibised technique for rigging electiods,
poured into eseptern European countries.
The Panatelas of Potsdam and Yalta hen
speedily Oittisoned, and many Sonoma*
statesmen had their first practical *epsilons*
of Communist double talk and double think.
Clauses in the agreements were distorted
beyond reconnitton. "Democratic elements,"
for instance wee so twisted that referred
any to Oomniunists and their sympathizer&
?Traeciate* and "reactionaries" became terms
at abase applied to everyone. even democratic
tiodaltsth who resisted the encroachment of
the Soviet Union. The Red army, which was
deployed across eastern Buropo, became the
aomminattng factor. Its ranks were *named
by Moseew-trained Communed leaders of ell
nationalities, together with units of political
pollee. Before the dust of oonnict had time
to settee they began the task of systemeti-
sally destroying national resistance to Chin-
on:Met tale.
One by one the eastern European countries
were caught in the Soviet net. The iSICh?
maps In each mos followed the earns breed
Linea: "united front" governments were
formed in widen Communists held the key
=R and opponents who could not be
were promptly dealt with either
try eiterratien, deportation, or tenprimonment.
1111.1d sheathe weft held to sive the process
? appearance el heathy.
Whether than teethe would bave we-
? en their as their own le doubtful. In tacit.
? Red army without
terwr ot '4,4(?
The oelillatialste themeless have open!),
admitted that Soviet array backing inn" an
einential Ingredient in the early postwar pre-
Seriph= for ?evolution. '
Marsh 11156 &Cron Constantine/6mi;
Ann Deputy Chairman of the Rumenith
Council of Ministers. saki:
? 'Vise painful developineut the revolu-
tion was factiketcd py-the fact that, at that
period the fioviet army was stationed on
ilenneatian territory snit ? ? by Its mere
mosso, paraliffisd 0.40A of the reaction-
ary toroth." *
? The Cominform Jotirttat of March 15th.
Mak oersted the interesting admission that
"one of the prerequisites of setting up the
peopeole poster in Poland was the liberation
of Peiand by such a revolutionary force as
the Soviet Army."
So the tide of Soviet Communism swept
throes Eterope towards the western nations,
then impoverished by the dislocation and
destritetthit of war, and, In the view of Soviet
eletholaistes an the verge of sconemate eel-
In 1MT Melia bad reaffirmed his aims with
eomplete frankness. The tasks of the Com-
munist Party, be said, were:
(a) To snake um of all the contradictions
and etnatiote among capitalist groups and
governments which surrounded our muntrn,
with the object of destroying im.pertallam.
(b) Mee all their strength and resources
10 Mast the workers' revolutton in the west.
(s) lb take all aseduntree to strengthen the
national liberation movement In the east.
(d) To Mrengthen the Red Army.'
Among the factors which prevented the
further immediate extension of Communist
rills the Seed to cousolidath their bold
an arms -already 4acaamaao0 by Russian
amps. Stalin as OM stage *am in no posi-
tion le ahem* military invasion cd terri-
tories compled by Allied tomes.
Another neportant point was that Stalin's
thusonith withers were over optimistic.
The threshold collapse of the Western
ilinamenelea ablibough perilously close dur-
ing Ins whiter of 1147, did not materialise.
Nor did the distoomsful revolutionary upris-
ings which Stalin confidently expected to
take piers la Prance and Italy, although
there lithe pelltkei disturbances on a large
wale.
The United States. quick to lee the danger.
rained in with mann, economic aid through
the Marshall plan and the liorepean recov-
ery program which, tor cartons reasons, was
bitterly opposed by Communists everywhere.
This was a serious blow to Soviet ambi-
tions. So was the speedy United Nations
reaction to the Invasion of Booth Korea in
IMO, and the building up of defensive
alliances designed to prevent further Soviet
attempts to annex other countries by force
Faced with more formidable obstacles, the
most potent of which was the American pos-
session of the atomic bomb, the Soviet Gov-
ernment paused both to consolidate and
strengthen Weir base. and to consider fu-
ture strategy. So far great strides toward
world domination had been made through
a planned policy a bullying and repression.
By use of mUltary tore* and diplomatic pres-
sure, aided by a willing fifth column In the
Victim countries. communist rule was estab-
lished over one-third of the world.
Could them some weapons be used to con -
rarithe ratialndert Not. the Communist
deckled. without the risk of provok-
ing a major conflict. Tactics were therefore
II/paged. As George Dimikon then Seem-
Min-Osialtel 01 the COninintlist raterna-
theft MOIL no Mks. Xe knew Oat wit*
Mumps la ha weir-wenry hate be MGM Inn
rit.,riatem le we. saute" fame wawa mdk -**Cominforiet joilrnal, March 111, ON.
Pah, Saha and Mier Mr
Speech to the PM (Rstraorennory) See- ' Salair. at Feasr. Worts. tamear. 1041. Vol
Mon of the 13uptisse ticelee. Cot. U.1150 ? X. p. iii.,
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tonal. and later dictator of Bulgaria. had
.put It:
"We are 'sometimes accused of departing
"IrOM Our Communist principles. What stu-
pidity, what blinduen. We should not be
,Merrist and Leninist revolutionaries, nor
eisciples of Marx. Engels, Lenin. and Stalin,
we were not capable of completely altering
treactica and our mode of action as circum-
enees may dictate But all the deviations,
ul all the Ins and outs of our tactics are
;meted to a single end?the world revolu-
tien."
leorn this reappreleal of the position two
clearly defined lines emerged. It was de-
ceded to harness the fear ot war instead of
war itself to the Communist mow. So the
peace campaign, always an essential part of
Soviet strategy, assumed even greater im-
p... uoice The worldelde propaganda ma-
chine went into action eith the simple In-
struction?everything Russia does must be
depicted as a great magnanimous gesture for
peace. By contrast, the policies or the United
States, Britain, Prance, and Western Clew-
Many must always be denounced as war-
mongering Imperialism.
.e
In this way Stalin, after his death ad-
hinted by Ithrushehey and the whole Rum-
sten Communist Party to have been a
bloodthirsty tyrant, beceme the leader of
peace lovers throughout the world. Through
subsidiary or !tont organizations operating
inside the democracies. the Soviet leaders
repeatedly appealed to the peoples of these
countries over the heads of their govern-
ments. One Mut was to lead the free na-
tions Into a false sense of security. Thus.
while... propagandists were attacking the
western manufacture of atomic and hydro-
gen weapons, glowing accounts were given of
progress in Russia, where the concentration
was said to be entirely on the peaceful use
of nuclear fission. Events have proved Just
how much truth there was In this version of
Soviet policy.
The propaganda machine, together with
the industrial and trade attack, were deemed
by the Soviet leaders to be the swiftest and
surest way of continuing the struggle for
power that began even before the war
against Germany and Japan was finished
This new emphasis becomes even more
Intelligible when it. Is appreciated that while
communism was engulfing and enslaving a
third of the earth, the Western Powers set
about liberating millions of subject peoples.
Freedom and independence were granted to
India. Pakistan, Ceylon, Burma, Malaya, the
Philippines, Vietnam. Laos, Cambodia, Syria,
Lebanon, Jordan. Libya, the Sudan. Tunisia,
Morocco, Ghana, and the West Indian Fed-
enttexi
Some of these pie, as are now trouble
spots which have been Infiltrated by Soviet
agents and tecluilcians. They are also areas
svhieh, because of their economic impo:--
twice. can be decielve in the struggles which
Ile ahead
As Spotlight, the monthly bulletin of the
International Confederation of Free Trade
Unions, to which our own TUC is affiliated,
summarized it In November 1087:
"Looking at the facts, we we that only
Conuntulist powers suce as the Soviet Union
and China are now engageti In an aggreselVe
campaign to enslave nations and even whole
continents behind a onokescreen of anti-
eolonlalism and antioniperiallem. Indeed,
during the time when the western colonial
poWera granted freedom and independence
? let .900 million people, the Communists have
? enralayed 900 million people and deprived
ihrmaef their freedom and independence."
.II indicative of the help given to Russia
well-meaning but foolish people, that in
Speech to Seventh Congers of Commu-
nist International, Verbatim Report No. 39,
p..111140.
spite of three facts Prof. A. J. P. Taylor could,
even at the time of the Hungarian uprising.
be heard on television bracketing the Soviet
euppreesiott of Hungary with the colonialism
of the British Government. -
The unfortunate truth is that these will-
ingly granted entenzions of the democratic
principle of government have in themselves
strengthened the liberty-deetroying forces of
totalitarianism. Every one of the nations
now in or approaching new manhood had Its
own particular ferment. Each came Into be-
ing infected with a touchy, easily wounded
pride, quick to resent and suspect even the
friendliest gesture on the pert of the former
colonial power. Each had the. ravages of war,
and admittedly in some cases the neglect o/
peace. to remedy. Each was the victim of
years of unscrupulous Corm:ramie propa-
gelid& which attributed every problem to the
singed rapacity of the previous overlords.
Stress was laid upon what the Imperialista
had taken out of thee. lands; very little was
said about what bad been put in?ths vast
capital sums, the technical know-how, and
the dedicated efforta of thousands of Euro-
peans who had fought with blood, sweat, and
tears the poverty, Ignorance, and disease
which were, and would have remained, an
insoluble obstacle to program.
With their newly won freedom these na-
tions are battling against their own indi-
vidual problems and their political. racial,
and religious rivalries. To keep on the crest
of the 20th century wave of expanalott In
Africa, Asia, and South America, all of them
need more capital, more technicians, more
trade credits, better education, better health
services, and an adequate supply of consumer
goods. It the tainisiana of the Kremlin
could ham wished into existence favorable
condition. in which to apply their own blue-
print for power, they could scarcely have
thought of anything better than this new
postwar world.
Countries such as these are the natural
victims of Soviet infiltration. Unskilled in
the arta of government, they are crying out
for help and sympathy. These things they
are getting, and will continue to get, on a
huge scale from Russia. Small wonder that
Soviet trade ntheions and financial advisers
are swarming into Smith America and the
Fur and Middle East, offering prices anA
terms with which the democracies will find
It difficult, if not impossible, to compete.
Some oommentatcvs, while fully alive to
Soviet intentions and tactics, allow their Mis-
givings to take refuge behind the economic
difficulties now apparent inside Iron Cur-
tain countries. These, it is said, set a severe
Omit on the ability of Russia and her sat-
ellites to meet the commitments which, for
political reasons, they are cheerfully accept-
ing. So they do?toe the moment. But
Russian strategy is not based on this year
or next; it is the ultimate strength of the
Soviet bloc that must be considered.
At the moment the trade wa: is being
waged with an abandon that w..uld be ruin-
ous If judged by normal commercial con-
siderations. Only an empire built on indus-
trial slavery can consistently market its
products at less-than-cost price. Only a
system in which political oppeeition and
ordinary trade-union functions have been
obliterated can ac.hleve such concentration
on heavy industry that immense production
Increases take place without a proportionate
Increase in living standards Yet that is
what is happening !beide the Communist
eountress. The workers are paying heavily
for their leaders' ruthless determination to
undermine the fres world.
- Became of the great advantage enjoyed by
totalitarianism. It is possible for Commu-
nist %reds to be eunducted on other than
a 000K12.4111111 basis. A surprisingly frank
admission of present objectives was made
by the CesobOdovak Statistical Institution
10363
wbich. In a referenies to the Soviet trade
campaign in Southeast Asia end the Middle
Rent, stated: '
"Osechosiorak participation in this expan-
sion of trade is not guided by purely prac-
tical considerations. ? ? ? It follows a plan
carefully drawn up In accordance with po-
litical considerstion." u
We would be exteetne:y unwise to under-
rate the potential sire' et It of . geeul. of
powers with subservie., e t,t one e 4 tided
by political and Ineeortal s eete abroad
who are constantly pouudiee AN at the
economic stability ot the ? re. I wits.
Under these circumse nces tur? I,- ? .1 too
important. The rulers of tr.. iiree ,.(7%
afford to wait for their ovule to 0 clot "-rate
before delivering the knock- e
1.1 the decision was 'minim U , '4 mid
be some justification for complr,c Itoy . t.ait
the result. The truth, is hove:1,st , that this
new form of warfare will to .411;i na for
years ahesd. It i.e nicety that ue Puseian
leaders are thinking in twins ut .) or 20
years. but they know what they ale doing.
and wily they are doing It. I wish the de-
mocracies could say the same.
As we shall see In ensuing chapters, the
Communists are laying their foundations
well. By 1076 they hope to have ac.hleven the
complete coordination of all Commenist
countries. including China, into a single
workshop directed and fed from the Soviet
Union. rivislon of labor will be extended
so as to ensure that each country Is con-
centrating on the type of product to which
It la best suited. /f and when this reaches
fulfilment, the ability of this group to
swamp selected markets with cheap indus-
trial products will he frightening.
Even now Ramis is in a position to indict
considerable damage In some areas and on
certain a our industries. This is dear from
the testimony of many business men who
have penetrated the Iron Curtain, and who
have toured the uncommitted countries,
They have miaowed grave concern, not only
St the Soviet trade potential, but at the
immense' strides already being made in
Britain's traditional markets. Goods are
eonstantly offered at below emit of produc-
tion prices in order to get or keep a foothold.
While this battle is Oa, the air will con-
tinue to be thick with slogans designed to
mislead the Innocent. "Peaceful coexistence"
and "friendly competition" will figure In al-
most every Communist propaganda tract.
Offers of economic aid, technical, and
financial assistance without strings and, of
course, armaments be help 'preserve the in-
dependence of the peoples struggling against
Ito perialiame will be made.
lehrushchey himself can be relied upon to
assure the world repeatedly, as he did in No-
vember 1968, that:
"We are often accused of trying to export
Communist Ideas to other countries; many
other stupid things are said about us. ? ? ?
But we have never forced on anyone, nor do
we now force, our views on reforming
society." la
To deduce that such statements indicate
that Rurria's new rulers are content to go
their own way and allow other countries to
work out thole own loa would be
criminal folly. The Soviet reione export of
ideas has not eon over aey nation to her
side, but her export a revolutionary force
has gained her the whole eictelilte empire.
Now that has, for the rnor tnt at least, out-
lived It. usefulness. The other weapons in
the Communist arrenal are being used.
Some of Chimp are old and trusted, others are
of more reofht date. leeeti include the ex-
ploitation of nationalism in such areas, vital
to the leartern emetomies, as the Middle East,
Offers at technical aseLtamee to backward
II The Observer. Dee. 11, 1958.
Is Comfit:WM journal. November 23, len.
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1036-i CONGRESSIONAL RECORD ? SENATE
s and eooiioinlC mlosicrua dedenad to
.,tahlish what are now called 'Wiens
- -countries which beooehe eo de-
(orient upon trade with Russia that they
,,ot break away without risk of Industrial
A hard task cronfronts the nation' of Ito
I ree world. For 40 years eoerununlsrn has
pTogreased. One thing that must be done
now in the new 'nations beat upon building
'heir future la to tell the truth about flarlet
/money and Its present methods and baton-
'ions. We oureelres must know more about
what is going on both behind the Iron Cur-
tain and Inside the vital industrial concerns
of ,?tir own (Sall ntry
rhe trade war is the kind of conflict to
which we ought to be well salted. We ham
he-n tackling world markets for the last 900
v, are with a great measure of messes. We
ha% e a wealth Of experience belated es which
should stand us in good stead.
Further, together with other democracies.
we can, if we will, present a solid economic
front which the Soviet empire will Ilnd it
fnmossIble to break. All those things we can
we hare determination based upon
cound knowledge of the threat under which
we are living and working.
This book Is what in army terms would be
detcribed as ''an appreciation of the situa-
tion" Bow strong is Russia's present posi-
tion and what is her potential power? Who
are her agenta in the democratic countries
and how do they operate? What are their
weakest points? Whet forces are at our dib-
sod how should they be used? In an-
swering three questions I shall draw on au-
,!.entic at.ci documented reports front Iron
Curtain countries, and on a great deal of
personal knowledge of Communist subver-
s!on inside Industry and the trade union
xr.ovement
In the following chapters we shall see how
the Communist forces swung into action in
places as far apart as Sores., the London
A?ks and the British motor industry. 1
al lad show how a meeting in Canada resulted
In almost complete paralysis La Britain,
0,ce.1.tnds. and how riots outside Parliament
were directed from Prague.
iAre are Li the throes of a war which we
dare not lose. yet lose It we will unless free
peoples everywhere awaken to the danger.
And unite in defense of the freedoms which
hate Mken centuries to build hat which ean
fie destroyed Almost overnight.
MANAGEMENT OF THE PUBLIC
DEBT
Mr. McNAMARA. Mr. Presidert, I
submit a concurrent resolution and ask
ftat it be appropriately referred.
This concurrent resolution. I believe.
Is ottO alternative to the demand by the
a Aniin(stration that Congre:s remove ti.e
stautory ceiling of 41,:i percent interest
in Trout-toy bonds.
Tile concurrent resolution would In-
struct the Federal Reserve Systent to
"assist the Treasury Department in the
economical and efficient management of
the public debt "
The effect of this language would be
to require the Federal Reserve to enter
the Government security market, if nec-
essary, to help hold down the uiteleet
rt. i.e.
This is one answer to the problem. It
is my belief that It Is a sound approach
to clearing up the fantastically expen-
sive fiscal mess into which this adminis-
tration has plunged the Nation_
Removing the statutory 4 Y4-percent
ceiling would provide, at best, only tem-
porary relief to the Treasury.
It would provide no relief to the tax-
payers. Interest charges on the na-
tional debt already total about 88.5 bil-
lion annually.
Under the administration's proposal.
this figure would go still higher and
interest rates on cars, homes, and other
commercial loans would follow right
along.
Instead Of this new giveaway, the Fed-
eral Reserve Should be required to step
in and do its duty.
The Federal Reserve is an agency of
the U.S. Governtnent, and as such. it is
bound by the policy declarations of the
EnielaYment Mt of tete. The attain-
ment of the goals of that act, maximum
employment. ge-oduction. and purchas-
ing power, makes effective coordinatioa
of our monetary. credit, and fiscal poli-
cies absolutely neceseary.
It seems absurd that we should be re-
quired to twee the Federal Reserve Sys-
tem, an arm of our Govern/tient, to co-
operate with another arm, the Treasure'
Department, in providing a sound mone-
tary policy. But it now appears noose-
sary Ice Coogreea to knock their heads
together. We cannot permit the ruinous
Policies of this administration to con-
tinue.
The economy of this country Is being
slowly strangled by the tight-money
noose.
The VICE PRESIDENT. The con-
current resolution will be received and
appropriately referred.
The eonotu-rent resolution (S. Con.
Res. 50) was referred to the Committee
on Finance. as follows:
Whereas the Treasury Department Is
charged with the responsibility of mutest:4
a national debt at over 4385,000.000,000:
Whereof, under the existing circumstances,
Lb. Treasury Department le unable to num-
age the debt except by paying progreenvely
higher interest rates on matt sun:feeding
Lague of Its securities:
Whereas the Interest charge on the cu.-
debt has grown progreeeively higher
and now stands at more than ts.ace.00ti,om
annually:
Whereas outstanding Government secu-
rities are selling on the market at cliacou_ute
up to 15 percent and more:
Whereas the ranaoval of the 411 percent
ceiling on long-term Government securities
would bring at beet ternpofary relief to the
Treasury Department;
Whereas any further rise in the Interest
rate level could be very harmful for the na-
tional economy as a whole;
Whereas the present difficulties of the
Treasury Department are dui. to s very
great extent, to a lack of sufficient coordina-
tion of the vartoua components of our mone-
tary. credit, and fiscal policies:
Whereas the Federal Reserve System is an
agency of the United States Government,
and as such, It Is bound by the policy dec-
larations of the lImplorment Act of 1940;
Whereas a much more affective coordtna.
tiOn
of our monetary, crect,*b and fiscal po/-
Wee is absolutely necentar, for the attain-
ment of We goals of 4.uch At. and
Wberese maintaining orderly conditions
is all sectors or the Government esciarity
market would be an essential first step to.
ward a snore effective coordination of such
pandas: Nov. therefore, be it
Jedwolood
by thi Scoots (dis douse of
lopr000statfoor ocotourrino). That the red-,
eral Reserve System while pursuing Its pri-
mary mission of administering a sound
monetary policy, should be guided in its
June 22
astibas by a batment interpretation of lb.
policy objectives of the 'employment Let of
1944 (thaludin( maziza(mi possible price sta-
bility): and that to the maximum extent
consietent with lbe requirements of ? sound
monetary eteley, It should at all tUnas Util-
ise the monetary Means and tools that will
bast theist the TreasUry Department in the
economical and allitaent management at the
public debt.
AlifENIYMENT OP COMMUNICATIONS
ACT 0F 1934. RELATING TO COM-
MUNITY ANTENNA TELEVISION
SYSTS168--AMENDMENT
Mr. MOSS Mr. President. on May 7
of this year I Introduced Senate bill 1886,
a measure designed to Include in one,
integrated bill the proposals of the Fed-
eral 0001Munleations Commission with
respect to emamunity antenna television
systems and teleon booster stetiona
Sines I introduced the Original bill,
I have spent considerable time studying
the problem, and I have also received
many letters from citizens of Utah and
other States who will be directly affected
by the provisions of the bilL I have like-
wise reviewed the staff report submitted
by the Special Counsel of the Inter-
state and Foreign Commerce Committee
on December 26, 1958.
I have now come to the conclusion
that the Commission's proposals, meri-
torious as they are, must be strength-
ened if the CoalltilASIOn ie to be given
the twig to encourage the development
and maintenance of free local television
in our smaller communities. I am sure
everyone will agree that this Is a highly
desired objective.
Also. I feel it is unfair to impose com-
prehensive governmental regulations on
television stations while community an-
tenna television systems are not required
to adhere to any Federal standard of
public resPonsibUltY.
Therefore, un behalf of myself, and
the Senator from Montana Mir. Mus-
sel'', I submit, for appropriate reference,
an amendment to S. 1886, which I be-
lieve will maks It possible for the Fed-
eral Communications Commikton to
foster truly local, free television systems,
and at the same time allow for the de-
velopment of community antenna tele-
vision systems, or boasters, when local
services are not established.
The amendment provides that the
FCC shall be required to deny licenses
to community antennas or boosters?
and microwave lacilities whcse primary
purpose Ls to Se ? "): or n'i ,t y a.n ten n
or boosters---..n Si uat.,e.q wnere the
grant of the authori;rtrion would ad-
versely affect the c Ai or raain..-c-
name of a regular lor 1 t,?,,svision sta-
tion which a ould ori,;.na'e television
PrOdrama
'The VICE PRESIDE:INIT. The amend-
ment will be received. Prined and re-
ferred to the CoMrnitqct on Interstate
and Foreign Comniece
DEPARTMENT OP DEFENSE APPRO-
PRIATION BILL. 1960?AMENDMENT
Mr. SPARKMAN submitted an amend-
ment. intended to be proposed by him,
to the bill (11R. 7454) making appro-
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