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CIA-RDP75-00149R000200940023-5
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May 21, 1999
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August 21, 1961
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STATINTL Approved For Release 1999/09/17 : CIA-RDP75-00149R0002009400 :15356 CONGRESSIONAL RECORD - SENATE as good as gold because they can be turned into gold on demand. Holdings of such other currencies arise through normal trade: A French manufac- turer sells ties here, gets paid with a check on a U.S. bank, and turns in the check to the :French central bank in exchange for francs. The central bank then may buy gold from our Treasury, or it may prefer to leave the money here, perhaps invested in U.S. Treas- ury securities, thus earning interest on it. The "bug" that is causing the current -debate is that this practice means some of the very same gold, that continues to be used as backing for U.S. currency, is also now used as backing for the French currency. This double usage begins to take on serious proportions when the Nation with the good- as-gold currency (including both citizens and Government) persistently spends more abroad than it takes in. As a result of a decade of deficits in the U.S. balance of pay- ments, foreigners (not just central banks) have accumulated here $21 billion of po- tential calls on our gold supply. But our gold stock totals only $17.6 billion. Exag- gerating somewhat, it may be said that our whole gold supply is now subject to double usage. Obviously, a halt has to be called some- where, or some day the good-as-gold cur- rency will become no better than wallpaper. In that case it would cease to be of any use as a reserve currency. The cures being pro- posed to obviate such a disaster run along four main lines. The first recommended cure is for the United States to do all in its power to elim- inate the constant excess of its outpayments will work. - With it, almost anything will work. A second proposed cure is a joint interna- tional boost in the price of gold, to twice or more the present $35 an ounce. That would, for instance, make our $17.5 billion gold reserve worth $35 billion or more, sub- stantially overshadowing the $21 billion of potential foreign claims upon it. But, aside from the inherent dishonesty of such a writ- ing down of our debts, it seems unlikely that a cut in the value of our currency in terms of one commodity, gold, could be achieved without a corresponding fall in the cur- rency's value in terms of all other commodi- ties. That is, all other prices would prob- ably rise too, and we'd soon be back where we started. A third proposed cure is the abandonment of the gold-exchange standard, through re- payment of the debts, such as the billions we owe to foreign central banks, over a long pe- riod of years. Under this scheme, the world would thereafter return to a strict regime of settlement of all international debts in gold. Doubtless that would work, but it would be a very long and very painful process, so painful that it would be politically impos- sible. One might as well ask for the aban- donment of the banking and paper money system of the United States and a return to payments in nothing but coin. The fourth proposed cure is a sort of in- ternationalization of the problem. The functions of the International Monetary Fund would be expanded, somewhat as our Federal Reserve System was set up to ease and equalize banking stresses between vari- ous regions of the United States. Actually, this would amount to a further extension of the international paper money system. The idea, with many possible variations, will be given consideration at the IMF meeting in September. But whether it or some other scheme is payments doesn't fall out of line too far an too long. GEORGE SHEA. ATOR FULBRIGHT Mr. MANSFIELD. Mr. President, the sponsorship by military personnel of public distinguished chairman of the Senate meetings primarily devoted to highly con- Committee on Foreign Relations, Sena- troversial political issues. I have been more tor J. W. FULBRIGHT, of Arkansas, today than a little surprised that this private memorandum has aroused such animated delivered an address to the opening sea- arguments about the involvement of the sion of the National War College and the military in politics and above all has brought Industrial College of the Armed Forces. into question the principle of civilian con- tary Responsibility." As my colleagues in the Senate know, this subject has been discussed on a number of occassions on the floor of the Senate in recent weeks. The Senator from Arkansas has raised some very fundamental questions about the rela- tionship between military forces in the United States and civilian government. I commend his speech to my colleagues. His remarks are broader even than the title of his speech suggests, because he discusses some of the events of recent years which have tended to influence our thinking, not only on domestic policy but on foreign policy as well. Because of the importance of these remarks, I ask unanimous consent that they be printed in the body of the RECORD. There 1&ilig no objection, the &&dress OPENING SESSION OF THE NATIONAL WAR COLLEGE AND THE INDUSTRIAL COLLEGE OF THE ARMED FORCES-PUBLIC POLICY AND MILITARY RESPONSIBILITY, AUGUST 21, 1961 The extreme difficulty of defining the proper relationship between military and civilian authorities in a democracy derives basically from the stubborn refusal of the world of reality to accommodate itself to the tidy compartments of theoretical logic. It has always been difficult, and in the mod- ern world of nuclear weapons and cold war it is all but impossible, to separate military problems from general policy; to designate one neat area labeled "questions of military policy to be decided by generals" and an al- together separate area of "questions of pol- itics to be left to the politicians." David Lloyd George once declared "there is no greater fatuity than a political judg- ment dressed in a military uniform." The reply might well have been: "No, except a military judgment dressed in civilian clothes." The real answer, if not in Lloyd George's time then certainly in our own, is that the problems of national security are so inseparably related to problems of diplo- macy, economics, and technology that lines cannot be drawn and decisions must be made jointly. The politician must acquire knowl- edge and sensitivity to every aspect of na- tional security, including the military, while military officers are under a heavy obligation to bring to the performance of their tasks much of the wisdom of history and state- craft. The military profession is now involved ings. They are therefore doing a disservice intimately in national policy processes. both to the American people and to the lend their support hen the i d y serv ces w This involvement is not the result of any arme conscious quest for political power on the to any groups or organizations which es- part of the military but rather the in.. pouse policies that run counter to those of evitable product of the new worldwide com- the Commander in Chief of the Armed mitments of the United States and of the Forces and which have the effect of gen- revolution in military technology. Power crating distrust and suspicion among our in a democracy is inseparable from respon- people. sibility. Accordingly, the Military Estab- The memorandum contained a specific lishment is under the most compelling ob- recommendation that the Defense Depart- ligation to exercise the power which has ment issue general directives to bring under been thrust upon it with wisdom and overall control the activities of military of- restraint. ficers in lending the weight of their official There has been considerable public and status to organized expressions of extremist Approved For Release 1999/6f/17 : CIA-RDP75-00149R000200940023-5 August 21 rather vitriolic discussion and controversy in recent weeks regarding a memorandum which I submitted to the President and to stitution and in many centuries of Anglo- Saxon tradition, has served the Republic well. It is indispensable to the preserva- tion of democratic government, and it is equally indispensable to the preservation of the professional integrity and effectiveness of the military. As President Kennedy pointed out in his press conference on Au- gust 10, nothing would do more grave damage to the prestige and integrity of the Armed Forces than their embroilment in transitory partisan controversies. The memorandum which I submitted to the Secretary of Defense was based upon my strong belief in these principles. Its purpose was certainly not to silence mili- tary officers who choose to express their own views in public and who are subject to the discipline of their superiors and their own sense of duty and propriety. Nor was the memorandum prepared for the purpose of criticizing private individuals or organiza- tions for holding or promulgating any opin- ions whatsoever. There is no question of the right of groups of private citizens, such as chambers of commerce, to organize pro- grams of any character, to select speakers freely, and to discuss any topics they choose. The memorandum was directed solely at the impropriety of officers of the armed services permitting their prestige and official status to be exploited by persons with extreme views on highly controversial political issues. The memorandum set forth instances of military sponsorship of attacks by radical extremists on the policies of our Govern- ment. The point cannot be overstressed that it is not these verbal attacks which are at issue, but their sponsorship by military authorities. These acts of official sponsor- ship are far more significant than the few cases in which military officers-often re- tired or Reserve officers-took the platform themselves. Nor does it matter whether the extremist views expressed were those of the left or of the right. The instances cited in the memorandum happened to be cases which reflect the extremism of the right. I would have been equally concerned had I known of military participation in attacks from the extreme left. Nor was I concerned with discipling indi- viduals or groups. It is the constitutional right of all Americans, civilian and military, to hold whatever political views they are led to by conviction and conscience, be they moderate or extreme. Military men in their official status, however, are committing not only themselves as individuals but the pres- tige of the armed services when they promote Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5 1961 CONGRESSIONAL RECORD -? SENATE Ae you may be aware we purchased, yes- terday, $6.836,000 Anchorage city and school district bonds and we have been making good progress in the distribution of this is- sue. The prices for the long bonds repre- sented a decrease in yield and therefore an Improved price of about one-fourth of 1 percent over the sale of a year ago. This again is a reflection of added( confidnece in our new State. I was very happy to see the reply you made to the unfortunate article which ap- leared in the Wall Street Journal. It's too b..d that an uninformed. writer is permitted at ch prominence. PROPOSED CLOSING OF SHIPYARDS Mr. WILLIAMS of Delaware. Mr. President, in today's issue of the Wash- ington Daily News appears a very in- teresting article entitled "Don't Give Up the Shipyard-Naval Maneuver Gets J.. , .K. Off Hook." It now read the article: lFrom the Washington Daily News, Aug. 21, 19611 DON'T GIVE: UP THE SHIPYARD-NAVAL MANEU- TEE GETS J.F.K. OFF HOOK What does a President do when his De- fense Secretary decides to close down a big defense installation in his own home State? ,ike many lesser men, he calls for help. 'chat's what President; Kennedy did last week when he learned that Defense Secre- taxy Robert S. McNamara had decided to phase out the Boston Naval Shipyard, along wi ;h the Philadelphia and San Francisco shpyards. leir. Kennedy apparently was bothered by the decision to shut down the shipyard in ide very own bailiwick. But he remained ob aiously reluctant to reverse the decision. Looking around for help, he finally landed on Representative JOHN F. SHELLEY, a tough but personable 55-year-old onetime labor leader, wartime Coast Guard officer and long- 1;!.nle Democratic Representative from San t rancisco. CORNERED 1;Tr. SHELLEY, cornered by Mr. Kennedy dudn, a tour of the White House with his wile and children, was told of the planned c:oling from what he later was to describe as as "unmistakably reliable sou:rce." "But, Mr. President, they can't do that." Mr. Shelley exploded. "Well, why don't you go to work on it," Mr Kennedy reportedly answered. The onetime truckdriver did exactly that. 3ie crossed party lines to get the help of Sel;ator THOMAS H. KUCHEL, the effective Republican whip from California, and Rep- resentative WILLIAM S. IYIAILLEARD, his Re- publican colleague from Sari Francisco. He also was assisted by California's razor- tongued Democratic Senator, C:LAI.E ENGLE. Mr. Shelley and his staff got on the phone anc. alerted San Francisco leaders to the danger of losing the shipyard which, with its more than 7,000 employees, is the city's big- gee; employer. PROTESTS Within hours, Defense Secretary McNamara was deluged with telegrams and telephone calls protesting the planned closure. 11 the past all such protests resulting from "rumors" that a military installation was to be closed have been answered with a denial that any such action was under con- sideration "at this time." The denial, how- always has been qualified with the weaning that all military bases are "con- stantly under study" as to the importance to the defense effort. Last week, however, the White House chose not to deny the report but to declare that the recommendation to close the three ship- yards had been rejected by the President himself because of the Berlin crisis. The statement made it clear that Mr. SHELLEY's fears were real and his protest against the planned closure was based on actual recommendation. Once the word of the President's decision was out, a jubilant Mr. SHELLEY sat back in his office as congratulatory calls poured in from his colleagues and from San Francisco. His greatest moment came, however, when Mr. McNamara called and said laughingly: "Next time I'd like to have you on my side." Mr. President, I most respectfully sug- gestt that the President of the United States has set a very poor example of fiscal responsibility when he overrides a decision of his own Secretary of Defense to close certain shipyards in Massachu- setts and California, especially when his intervention is based not on their need, but, rather, because one of the ship- yards which the Secretary of Defense proposed to close happened to be in his State of Massachusetts. This method of the President of the United States undercutting his own Sec- retary of Defense by generating the sup- port of the California delegation fools no one. It merely demonstrates that when the President in his inaugural ad- dress suggested that we "Ask not what our country can do for us, but rather what we can do for our country," he for- got another popular maxim, "What is sauce for the goose is also sauce for the gander." MONEY SYSTEMS Mr. BUSH. Mr. President, I ask unanimous consent that the article which I held in my hand may be printed following my remarks in the body of the RECORD. The ACTING PRESIDENT pro tem- pore. Without objection, it is so or- dered. (See exhibit 1.) Mr. BUSH. Mr. President, I call at- tention particularly to this article from the Nall Street Journal today because it deals with a situation which is growing very rapidly in importance. The article starts off by saying: The world is seeing these (lays the develop- ment of an International paper money sys- tem resembling the paper money systems long since developed within nations. , The article states that they will be the subject of debate at the annual meeting of the International Monetary Fund in Vienna next month. :I may say parenthetically I intend to go to that meeting as an observer from the Senate, because I think this subject particularly, and other subjects which will be discussed there relevant to this subject, will be of vital importance to the United States. The article points out that: Almost every commercial crisis of the past couple of centuries has been accompanied by a deep slash in the amount of paper money outstanding In the nation affected, and most such crises were caused at least in part by the excess issuance of paper money during the boom phases that preceded the crises. 15355 We have seen this happen in so many countries in our lifetime. We saw it in Germany after World War I. We saw it in China, where, in a short period of 12 years, from 1936 to 1948, the value of the Chinese dollar went from 4 Chinese to 1 American dollar down to 5 million Chi- nese dollars to 1 American dollar, due to the issuance of paper money. In a period of a few years, before Fron- d:isi came iiito office and bravely stemmed the tide, we saw the Argentine peso under the Peron regime go from 4 pesos to a dollar to 72 pesos to a dollar. We have seen the same thing happen in France and other countries. So I seriously commend the reading of this article to Members of the Senate and the House of Representatives. I hope it may help us to appreciate the importance of the whole question, which involves our balance of payment prob- lems, and likewise the balance of our own income and outgo, which we call the budget of the Government of the United States. [Exhibit 11 THE OUTLOOK: APPRAISAL OF CURRENT TRENDS IN BUSINESS AND FINANCE The world is seeing these days the devel- opment of an international paper-money system resembling the paper-money systems long since developed within nations. And, as in the case of the national systems, the new machinery has developed "bugs." These will be theSpubject of debate at the annual meeting of the International. Monetary Fund in Vienna next month. Paper-money systems are always In danger of being abused, in the form of issuance of too much paper. Such excess issuance gen- erally results, in one way or another, from loans made to finance speculation at rising prices in one or many commodities, or in stocks, rather than from loans that finance production-though even production loans can grow excessively. Almost every commer- cial crisis of the past couple of centuries has been accompanied by a deep slash in the amount of paper money outstanding in the nation affected, and most such crises were caused at least in part by the excess issu- ance of paper money during the boom phases that preceded the crises. Nevertheless, in spite of these recurrent breakdowns, people have always refused to abandon the use of paper money once they goat accustomed to it.. They always found it too convenient to give up. Instead, after each crisis they tried to write new safeguards against excessive use of paper. Some of the safeguards worked, some didn't. Generally speaking, the most dependable safeguards lay in education of sellers and lenders on how to make loans or sales on reasonable terms, and how to enforce their claims if trouble arose. In the past 30 years, for example, lenders have increasingly re- quired that loans of all kinds (except those of only a few months' duration) be repaid gradually through regular amortization, rather than waiting until maturity to en- force the whole claim. This method has proved both workable and highly successful. The extension of the paper-money idea into the international fle'fd-aside frcrn credits to finance exports, which are very old-has taken the form of adoption, mostly since World War II, of the so-called gold- exchange standard. Whereas central banks used to depend on nothing but some pro- portion of gold as backing for their national currencies, they now count, as part of their reserves, their holdings of other currencies, such as the U.S. dollar, which are considered Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5 Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5 15357 CONGRESSIONAL RECORD - SENATE opposition to the policies of our Govern- politics flexibility is title iiico ?'?l `"" Lions in declarations about foreign- ment. No disciplinary action against indi- ambiguity an essential instrument." g g viduals was called for. The primary objec- In considerations such as these lie the wis- ers and rooting out the disloyal at home. tive of my recommendation was to insure dom and justification for civilian supremacy And those who disagree with them, they say, that military personnel adhere to the obli- and military professionalism. As long as are "soft on communism." gation, which is inherent in their duty as democratic government is honest and ef- It seems to me that it is these extremists soldiers, to refrain from public expressions ficient and as long as the military adhere to who are advocating a soft approach. s reflections anand d their ir b seless of criticism of the overall political policies, nonpolitical professionalism there can be Theirralizationsoversimplificat as distinguished from the technical military no impairment either of democratic institu- geness bear to face policies, of the Government and of their tions or of the integrity of the military those co who Cann struggle against the poburden werfus a Commander in Chief. establishment. and resourceful enemy. A truly tough ap- bility re is power there is the pr The problem of maintaining military bility that hat it will be e used and the danger obedience to civilian authority y is is fortunately ely proach, in my judgment, is one which ac- that it will be misused. This assumption, not one which in any basic sense threatens cepts the challenge of communism with the expressed in Lord Action's maxim that such settled communities as the United courage and determination to meet it with "power corrupts, and absolute power cor- States or Great Britain. Nonetheless, by every instrumentality of foreign policy- rupts absolutely," is common to all effective reason of the differences in training and out- political and economic as well as military, and with tha willingness to see the struggle democracies. This principle is one of in- look between the soldier and the politician, through t ear in the to seer the may be stinctive distrust-of power itself wherever it the possibility of mutual distrust or even as into as to to mevadeeet t the the exists. It has nothing to do with the motives hostility is ever present in a time of grave necessary. . Those se who ty, seek of any group or individual who may wield it. threats to the national security. Our mill- bchallenge-or, in re old adventures abroad and waunty softness s It has been directed against big business, big tary leaders are experts in the complex tech- at home are res real abroad and witch labor, and big government, and now, in- nical questions of national defense. Their the softness of seeking escape from panul evitably, it is directed against our big Milt- counsel, with its admirable qualities of ex- realities resort illusory from pa. by to tary Establishment. pedition and decisiveness, is indispensable most astonishing of the propositions of the ostal right ghofr contention that There are powerful barriers in the United to political leaders. Politicians, on the The mos States to the rise of a political military es- other hand, must concern themselves with a of internal Co gat Is unist menace contention the prat tablishment-the country's long history of wide variety of nontechnical factors, includ- rheas problem of the cold wThey thus the recruitment system ing the interplay of diverse interests in a many a wretched handful of war. r They is s Comm in which creates a corps of officers nurtured in pluralistic society. This involves intermi- the United States with greater power and this history; the officer rotation system; the nable bargaining and compromise-a process hfluen it d St the Soviet ea Union r and Cond i than strong bonds of our professional soldiers to which may often strike military experts as mist China with their vast military and the political and social values of the demo- inefficient or even dangerous to national political power. I think that this viewpoint cratic; society from which they are drawn; security. In the higher reaches of the de- is strati absurd. It reflects an amazing and, finally, the longstanding tradition, fence hierarchy, the expert who knows what p y should be done finds himself at the mercy lack of confidence in the wisdom and good which tightly woven into the whole fabric sense of the American people and their co American military custom, that the office of the politician who knows what can be ability to identify and reject Communist corps should none done. propaganda. If this proposition were true, The roots of f the American military tra- Under these circumstances, it can readily we would be wasting billions of dollars on dition lie deep in the history of the Western be understood that dedicated and patriotic the Armed Forces hemselves, funds whin World, particularly' that of the English- soldiers are subjected at times to a great instead should be transferred to the FBI to speaking countries. Since the emergence of temptation to descend into the arena of po- fight isubversion. In fact, the to years received all of the funds the FBI the modern state system in Europe, and per- litical conflict. Few of our military leaders has for internal haps even further back in the Middle Ages, have done so-a fact which evidences their requested of ee Congress. The s It has the military, like the church, in most West- wisdom as well as their restraint. The few danger exists and requires constant vigilance, ern countries has enjoyed special status, who have raised their voices in public par- but it would be a tragic irony if in false and prestige, and perquisites. With its special tisan controversy have inadvertently done a panic-stricken mistrust of our own free so- privileges went special responsibilities. Like disservice both to the American people and we were to mistrust the overriding dan- States, church, the military, in the United to the Military Establishment itself. clety States, Great Britain, and other countries, The effectiveness of our armed serv gar-that of worldwide Sino-Soviet impe- ices rialism. gradually discovered that the retention of Its depends upon the maintenance of their Implicit in much of the propaganda of the special status and its effectiveness in per- unique prestige and integrity. These will radical right is the assumption that our free r ts mission were best served by remain intact only so long as the services rigorous s pwith corruption and onpolitical decay. It permeated rigous absention from the controversies adhere to their tradition of n society said, for example, that the a trad io pof dianp There smergon professionalism. No group or institution can schools and churches of this country are in- and u intrigu thus a tradition of disciplined abstention participate in political debate without itself filtrated with Communists. I recently re- in political activity. In the few instances becoming an object of partisan attack. It eetal a with propaganda sheet s. recently - in the modern history of the West in which is precisely because of its status as a non- ceiv which cals self t f romran erg iZa- this tradition did break down, the military, political institution that the military in the dtion eclared among other tthat reign like the church in similar circumstances, past has enjoyed the virtually unanimous declared of Congress who things ng s for Yo "Any found itself beset by hostile reactions and support of the American people and has thus Member should C gre s who for te for f a in the weakening of public confidence. been beyond partisan assault. It will be aid be The military remains in accord with the recalled that the late Senator McCarthy, an act of treason," I do not understand how an organization can be regarded as conserva- cvalves d aour so eats, There asare no who repd a in or frgroups and individuals, tive that in effect charges the majority of the fun a fl in France, , for example, , between n the p prof cc- in ct, such r t t groups and ing Members of every Congress since World War e cs- took omany a ny fatal l step p toward his own undoing II and three Presidents with treason. sional soldier and the rest of society with when he directed his irresponsible charges Extremist and Irresponsible pronounce- the to the written and unwritten rules- against the U.S. Army. The prestige of the s being r heard in oho land general political consensus-of our so- Army was such that the people rallied to its meats are widely heard in the land. ciety. Generally the military profession is a defense. It is my hope that the armed In a n speech at gh, sponsored fair representation of all of the major ale- services will never yield to misguided Warfare rn Pittsburgh, of Greater merits of American society. The principle of temptations which can only shatter the high by in bar of with various local civilian supremacy thus remains intact even esteem in which they are held. The pres- Pittsburgh Chamber Seminar Pitts ceopoopefaotion retired rear admiral in the face of an enormous expansion in the ervation of that esteem is essential to the militared the organizations, theme that retired rear power and influence of the Armed Forces. success of the Armed Forces in fulfilling policy developed World War tI has can foreign rny In the most democratic of societies, how- their assigned mission and essential also, pia played into Soviet hands, that the United ever, there are differences in spirit and mood therefore, to the defense of the Republic. plates is militarily incapable of the Uiey between the professional soldier and the The appeal of certain ideas espoused by surprise and that of surviving negotiations politician or statesman. The politician the radicals of the right is not difficult to with the tee Soviet Russians for disarmament ae in must move tentatively in an atmosphere in understand. To a nation beset by onerous wet appeasement. In a speech last week a which goals and means often become mixed. challenges and responsibilities, they offer prominent elected n a official denounced a Mr. Only in the most general terms does he have deceptively quick and simple solutions. prom n bunch of muddle-minded advisers. predefined objectives, and excessive preci- They tell us that we have only to proclaim Kennedy's pro- that sion will only make movement difficult. The our dedication to total victory over world Contending t e Cour fore t casei stance assailed soldier works differently. His objectives are communism and to root out subversives- gram defined clearly in advance; he will then state real and imaginary-at home and our prob- as irresponsible elements those who favor his requirements and dispose his forces so as lems will be solved. They tell us that our the independence of the emergent nations of to gain the object. As one student of mill- system of alliances and our military and the world. And he declared that it was tary affairs recently expressed it: "In mill- economic commitments abroad are unneces- fatuous nonsense for American foreign policy tart' arrangements flexibility Is a necessary ary and dangerous, that they somehow to take cognizance of some nebulous thing evil and ambiguity may easily cost lives; in "play into the hands of the Communists." we call world opinion. Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5 Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5 1308 CONGRESSIONAL RECORD - SENATE August 2' The extremists of the right call themselves postwar France and Italy. It is illuminat- must be used, not independently and consec- conservative. In my judgment their views ing to note that th W ' the i emar Republic in utively, but terdependently and consists not conservative, but radical-radical be.. Germany was destroyed by Nazis and Co:m- ously. Realismn i in world politics consists in cause they fail to distinguish between demo- mwsists acting in league for their common knowing how and when to shuffie the various cratic social progress and totalitarian. com- purpose of destroying the democratic re- factors in the face of changing dangers and munism, regarding the former as a step publ'.ic. The experience of these countries opportunities. toward the latter. The true conservative is reveals that the totalitarianism of the left No one understood the subtleties and com- one who wishes to conserve the historic and the totalitarianism of the right have plexities of foreign policy better than Win- values of our society. Ile recognizes that the a single common bond; their shared hos- ston Churchill, who wrote: "Those who are world does not stand still and that, because tility to democracy and freedom. it does not, we must at times modify and The United States has been virtually free sharp clear cut solutions of di~fficultr and oh- reform traditional practices through orderly throughout its history of the destructive scure problems, who are ready to fight when- processes of change in order to adapt them presence of a powerful disloyal opposition. ever some challenge comes from a foreign to new conditions. Social progress is thus With the exception of a few marginal groups, power, have not always been right. On the seen to be the indispensable means of pare- our political parties and our people have other hand, those whose inclination is to serving traditional values in a changing shared a virtually unanimous faith in con- bow their heads, to seek patiently and faith- world. stitutional Government and free institu- fully for peaceful compromise, are not always Far from being a step toward commu- tions. We have enjoyed the immense bene- wrong. On the contrary, in a majority of nism, social progress through orderly arid fits of political consensus among a people instances, they may be right, not only moral- constitutional procedures is one of the best who were born free and who never in their ly but from a practical standpoint. How defenses against communism. The reforms history have had a serious or prolonged many wars have been averted by patience which were undertaken in the United States flirtation with any form of absolutism. and persisting good will. How many wars in the 1930's are believed by many to have It is this incontestable fact of history that have been precipitated by firebrands. How thwarted the Communist movement which reduces the shrill charges of the radical many misunderstandings which, led to wars might have thrived on the mass suffering right, and of the radical left as well, to pal- could have been removed by temporizing." caused by the depression. Governmental pable nonsense. The realities of American foreign policy lie action, for example, in the creation of the Now as in the past the success of our na- in the fact that the world has undergone TVA, or the Arkansas River development tional policies must be rooted in the basic revolutionary changes since World War II program, is not, in my opinion, a step to- unity and consensus of the American people. and that the end of this historical upheaval ward communism. We are now encourag- This consensus, in a time of overriding is not yet in sight. To live in a world of ing the nations of Asia, Africa, and :Latin danger, must of necessity consist in unified revolution, arid to attempt to shape the America to undertake basic economic and national support of our elected leaders, and forces of change toward constructive pur- soctal reforms because experience has shown especially the President of the United States, poses requires patience, discipline, and sus- that social progress is the key to stability the Commander in Chief of our Armed tained effort. Only by the cultivation of and popular support for governments, and Forces. "Although the rod of fire may be these qualities can the American living in that these in turn form the most solid bar- passed about," wrote the historian Herbert the 1960's hope to escape the defeatism and viers to Communist penetration. Fens, "it comes back to him. It is his `yes' despair that arise when initial efforts fail Those who have faith in our free people or 'no' that settles history," The President to produce total victory. and our free institutions must dismiss the alone, in his role as teacher and moral The basic principles of American foreign wild charges of extremists as malicious and leader, can arouse the American people from policy for a world in permanent revolution absurd. Only if our society is in an ad- apathy and indifference and inspire them to were shaped in the years immediately fol- vanced state of distintegration is it as sus- the ell'orts and sacrifices that must be made lowing World War II, or more specifically, in ceptible to Communist infiltration as the if we are to survive in this century of peril. the spring of 1947 in what has been called radicals of the right contend. I, for one, f believe that our free society is strong and stable, and that it is strong because it Is free. Because this is so, we need not be fearful of Communist propaganda. The American people can be counted upon to reject it as they have always rejected totalitarian doctrines. Those who contend that our free society is permeated with corruption and sub- version are in fact espousing a line that the Communists themselves would be the first to applaud. Indeed, the radicals of the right, whose avowed intent is to save our society from destruction, are painting the same picture of ineptitude and decay that the Com:mu?. fists, whose aim is the destruction of our society, would want the American people to believe. There is a tendency in the history of democratic nations for overly emotional groups and individuals to react to threats from foreign totalitarian powers by per- mitting themselves to entertain illusions regarding totalitarian :forms of an opposite tendency. Thus, for example, when we were threatened by the right-wing totalitarian-. Ism of Nazi Germany, a few Americans sud- denly professed to see democratic virtues in the Communist absolution of the left.. Now that we are endangered by Communist imperialism instead, a few Americans have fallen prey to the delusion that the radical- ism of the right is not totalitarian at all but is in reality the true philosophy of freedom. It is my belief that all forms of radical extremism, left or right, are anathema to failed to unite behind their chosen leaders to overcome external dangers. By their wreckless charges that the evils that threat- en our survival are not external but are within our society, the extreme rightwingers generate distrust and suspicion and, in so doing, threaten to shatter the basic unity of the American people and to undermine the consensus in which vigorous and suc- cessful national policies must be rooted. The problem was admirably expressed in a recent editorial which appeared in the con- servative Arizona Daily Star of Tucson, Ariz. "It is one of the unfortunate characteristics: of American life" the editorial pointed out historic principles of American foreign policy were radically overhauled. The land- marks of that transformation were the Tru- man doctrine and the Marshall pian. Through these instruments the United States acknowledged its permanent Involve- ment in the affairs of the world. The re- sponsibilities of the United States were now extended beyond the con"nes of the Western Hemisphere to the far outposts of the free world. The revolution in American foreign policy was expressed in the policy of containment, which implied the permanent commitment of American resources around the perimeter "that too many of our good citizens and gov-? of the Soviet, empire. The Marshall plan ernmeat officials have a definite inclination implied the involvement of the United States to think in terms of reckless absolutes, when. in world affairs in an even more intimate it comes to foreign policy. Americans like way. The United States now recognized its to think in terms of freedom and democracy? responsibility to help nations which were as if they were something that could be be- threatened with economic disaster and, be- queathed automatically by us to all nations yond that, its responsibility to help develop of the world. Similarly, we are prone to a viable international economic and politi- boast and threaten and talk in terms of total cal order. war. If it is not that, we must have total These were days of imagination and in- peace. Tragically, we think that by total novation in our foreign policy. The crisis war we can bequeath to the world total of the 1960's derives from our failure to adapt peace." The editorial further pointed out the now classic policy forms of 1947 to new that "There is a vast difference between tell- conditions and new challenges. ing the masters of the Kremlin that we will The conditions of the world have been stand by our rights in Berlin with all of the greatly altered since the immediate post- might and power our country can mobilize, war period. Four fundamental changes have and in making irresponsible threats. It is occurred. one thiing to make war to defend our rights First. The balance of military power has it is quite another thing to go out on another changed radically. In the years following .futile crusade, and expect total victory to the war we forged a system of alliances give us what we want." which, with our monopoly of atomic power, Americans, unfortunately, tend to take a provided substantial protection for the p e ?~ ? ~o to worm War it, we thought of inter- That protection has now diminished and it have far more in common with each other national relations too much in moral and has been replaced by a highly unstable nu- than either does with genuine democracy. legal terms. Since 1946 we have Increasingly clear stalemate, which Winston Churchill has The unholy alliance of left and right is shifted our thoughts to the terms of military called the "balance of terror." an old combination in certain countries of strength and balance-of-power alliances. The second great transformation of recent continental Europe. Together they have Actually, a successful foreign policy has many years is the impressive recovery of Western formed the "disloyal oppositions" which facets-military, political, economic, cul- Europe to booming economic well-being and ve beleaguered the democratic center in tural, moral, and ideological. All of these substantial political stability as well. The Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5 Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5 ESSIONAL RECORD - SENATE 1 G 1 CONGR military dependence of Western Europe on any arid collection of predetermined for- the United States remains, while in the polit- mulas and prescriptions, that will determine ical field it has diminished and economic our capacity to meet the Communist chal- dependence has all but ended. lenge. The third significant change has been a The overriding question is whether this fundamental alteration in Soviet foreign Nation is prepared to accept the permanent policy. Ten years ago, one of the greatest and inescapable responsibilities of having assets of our own foreign policy war the become ia ?nvnoth as a Nation, during which -- - VV GAI.Gi is ~??v.w -.------- cracked, Stalin could be counted upon to take some drastic action which would galva- nize the West to renewed efforts and unity. Khrushchev's foreign policy is of a quite different nature. His tactics are far more varied. Besides using diplomatic and mili- tary pressures wherever these seem prom- ising from his point of view, Khrushchev seeks to subvert the entire non-Communist world through the impact of Soviet power and economic and technological accomplish- ments. The Khrushchev approach is more skillful, more insidious, more subtle, and, therefore, far more challenging to the nerves, the patience, the resourcefulness, and the dedication of the West. The fourth overriding change of our time is the rise of the former colonial and semi- colonial nations of Asia, Africa, and Latin America, These nations, most of which are uncommitted and all of which are caught up in the emotional fervor of nationalism, be- are now the great prize in the struggle tween East and West. Their political and economic stability, and their continuing free- dom from Communist subversion and domi- nation, are now among the foremost objec- tives of our foreign policy. It is against the background of these great transformations that we must reassess the foreign policy of the United States for the decade ahead. The crisis of our foreign pol- icy at present derives from the failure to devise adequate responses to these four great changes in the world situation. The policies devised in 1947 have been largely successful. With only a few excep- tions the power of the Soviet Union and of Communist China have been militarily con- tained. Such losses as have been suffered are counterbalanced, and perhaps more than counterbalanced, by the growing uni- fication of the resurgent nations of West- ern Europe and by the gradual development of a broader Atlantic community consist- ing of nations which possess a great pre- ponderance of world resources and industrial productivity. We must now focus our efforts on the in- sidious challenges of psychological penetra- tion, of political subversion, of economic conquest, of the use of foreign aid and trade as political weapons. To meet these threats we have already begun to devise, and we must now go on to perfect, new and varied instruments of foreign policy that go far beyond containment and military alliances. Foreign policy in our time is inseparable from domestic policy. It is more accurate to think of every aspect of public activity as How we conduct li cy. part of national po ourselves in Cuba, Laos, Berlin, or Monte- the governments of the world. AdvY nce- video are indicative of our maturity or lack ment toward this objective will require per- of maturity as a nation. But our neglect sistent effort in the face of inevitable frus- of education, our tolerance of criminal ac- trations. More fundamentally it will re- tivity, our impulsive reactions to the crimi- quire the cultivation of qualities that are nal hijacking of an airplane are also indica- associated with maturity rather than youth tive of our maturity or lack of it, of the trust- -qualities of wisdom as well as resource- worthiness of our national-or foreign- fulness, persevering determination as well as policy, and of the integrity of our "national righteous all, dedi agon, and, place perhaps mosteof style."' We must view the nation not as a set of bravado. compartments in which foreign and domestic The purpose of our foreign policy is the affairs are neatly divided but rather as a very gradual improvement of human life on unified. whole. And in this view of things, earth. Our success is not guaranteed and if we must understand that it is only as we our efforts are to be coherent and sustained, are ready to sacrifice many of our personal we must accept this fact with sobriety and and group interests and predilections that we serenity. Besides patient and continuous have a chance of surviving as a society, not effort we must bring to the task a little of a b it is luck ut by our own character as a people, srather s than consumingimessianiem l will surely lead little. to emphasize -- our iw oa'- s"-'-',, --------- exhilarating and successful adventres. Our history-from the Minutemen to the Alamo, from the conquest of the West to the charge up San Juan Hill-was an unbroken chroni- cle of victory and success. But that was in the days of our youth and we live now in a far more difficult and more dangerous world-a world in which we must come of age. Neither God nor nature has preordained the triumph of our free society and it would be a tragic mistake to assume the inevitabil- ity of our survival. History plays cruel tricks. It allowed us to believe that the triumphs of our past were the product of or vigor and resource- fulness alone. What we failed to perceive in our past was the presence of another ele- ment-the element of an improbable run of luck-the luck of a rich and unspoiled con- tinent far removed from the centers of power politics and world conflict. That immunity from the conflicts and af- flictions of the Old World ended 50 years ago. Woodrow Wilson knew it. He perceived the ultimate fact of this century of Ameri- can history-not that America must come out into the world but that the world had come in on America. "There can be no ques- tion," he said in his address to the Senate of July 10, 1919, "of our ceasing to be a world power. The only question is whether we can refuse the moral leadership that is offered us, whether we shall accept the moral lead- ership that is offered us, whether we shall accept or reject the confidence of the world." America rejected the confidence of the 15359 false hopes and frustration, while action without purpose is action without meaning or hope. But a little of a sense of mission can guide us-unencumbered by either ex- travagant hopes or unwarranted despair- toward worthy and attainable objectives. These are not easy counsels. But they are, I think, counsels of reality. We must learn, among other things, that there are limits to foreign policy and limits to the objectives which a nation can hope to realize in the world-even so powerful a nation as the United States. One of the principal lessons of the two World Wars of the 20th century is that wars, even when they end in total victory, generate more problems than they solve. We must come to grips with the fact that there are no final and complete im- mediate solutions, that while some problems can be solved, others can only be alleviated or deferred while we wait for deeply rooted trends and gradually changing circumstances to reduce present tensions and to foster the conditions for solutions and accommodations that cannot now be foreseen. Our national purpose is a process to be advanced rather than a victory to be won. That process if the defense and expansion of our democratic values, the furtherance of which rest ultimately on the wisdom, the maturity of judgment, and the moral fiber of a society of free individuals. The culti- vation of these qualities and the advance- ment of the democratic process, both in our own internal affairs and in interna- tional relations, are the responsibility of every individual in a free society. If we are to meet the challenges of our time, we must reject the false and simple solutions of irresponsible extremists who cannot, or will not, accept the world as it is. We must instead dedicate ourselves to the national purpose with fortitude and dis- cipline. These are the imperatives of mil- CALENDAR world in 1919. We preferred to count on a continuation of the good luck that had never before failed us. It was a thoughtless and unsuccessful gamble for which both we and the world have already paid an incalculable price. Nonetheless, there are those among us who are still bemused with the dazzling illusions of our lost youth. since rospects have narrowed greatly O ur p the lost opportunity of 40 years ago. I do not know how long it will be before they finally dim into darkness if we do not finally reconcile ourselves to the burden of con- tinuing and onerous responsibility in a harsh and dangerous world. Our power is inseparable from continuing trusteeship, and this trusteeship, as Wilson perceived, derives not from choice but from inescapable com- pulsions-"the compulsion of honor, the compulsion of interest, and the compulsion of humanity. * * ?" Our proper objective as a nation must be, as it was to Woodrow Wilson, "to make a Mr. MUSKIE. Mr. President, I move that the Senate proceed to consider the measures on the calendar beginning with Calendar No. 682, Senate bill 2000. The ACTING PRESIDENT pro tem- pore. The question is on agreeing to the motion of the Senator from Main. The motion was agreed to. The ACTING PRESIDENT pro tem- pore. The measures on the calendar, beginning with Calendar No. 682, will be stated. BILL PASSED OVER The bill (S. 2000) to provide for a Peace Corps to help the peoples of in- terested countries and areas in meeting their needs for skilled manpower was announced as first in order. Mr. MUSKIE. I ask that the bill go over, inasmuch as it is not properly a calendar item. The ACTING PRESIDENT pro tem-- pore. Objection is heard, and the bill will be passed over. EMERGENCY EVACUATION PAY AD- VANCES TO MILITARY DEPEND- ENTS FROM OVERSEAS The bill (H.R. 7724) to provide for advances of pay to members of the armed services in cases of emergency evacuation of military dependents from oversea_pf"eas, and for other purposes, Approved For Release 1999/09/17 : CIA-RDP75-00149R200940023-5 Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5 15360 CONGRESSIONAL RECORD - SENATE Auustl was considered, ordered to a third read- ing, was read the third time, and passed. PAYMENTS FOR DAMAGE; DUE TO AIRCRAFT OR MISSILE ACCIDENTS The Senate proceeded to consider the bill (H.R. 7934) to authorize the Secre- taries of the military departments to make emergency payments to persons who are injured or whose property is damaged as a result of aircraft or mis- sile accidents, and for other purposes, which had been reported from the Com- mittee on Armed Services with an amendment, on page 2, line 2, after the word "of", where it appears the first time, to strike out "$2,000" and insert $1,000". The amendment was agreed to. The amendment was ordered to be engrossed, and the bill to be read a third time. The bill was read the third time, and passed. BILLS PASSED OVER The bill (H.R. 4785) relating to with- holding for State employee retirement disability, and death benefit system pur- poses, on the compensation of certain civilian employees of the National Guard, was announced as next in order. Mr. KEATING. Mr. President, I re- quest that this bill go over. The ACTING PRESIDENT pro tem- pare. The bill will go over. The bill (H.R. 6103) for the relief of the Stella Reorganized School R-I, Mis- souri, was announced as next in order. Mr. MUSKIE. Over, by request. The ACTING PRESIDENT pro teln- pore. The bill will be passed over. ELWOOD BRUNKEN The bill (S. 631.) for the relief of El- wood Brunken was considered, ordered to be engrossed for a third reading, read the third time, and passed, as follows: Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of the Treasury is authorized and directed to pay, out of any money in the 'rroasury not otherwise appropriated, to El- wood Brunken of Tripp, South Dakota, such sum as the Secretary of Agriculture deter- mines the said Elwood Brunken would have been entitled to receive under his crop in- surance policy with the Federal Crop In- surance Corporation for crop losses sustained by him in 1959 had the croplands on which such losses were sustained not been deter- mined (after such losses were sustained) to be noninsurable by the Federal Crop In- surance Corporation. In determining the amount the said Elwood Brunken would have been entitled to receive, the Secretary of Agriculture shall subtract an amount equal to the amount refunded to the said Elwood Brunken by the Federal Crop Insur- ance Corporation on ;account of insurance premiums paid by him for the years 1958 and 1959. HOWARD B. SCEIMUTZ The bill (S. 651) for the :relief of Howard B. Schmutz was considered, ordered to be engrossed for a third read- ing, read the third time, and passed, as follows: Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of the Treasury is authorized and directed to pay, out of any money in the Treasury not otherwise appropriated, to Howard B. Schmutz, of Salt Lake City, Utah, the sum of $1,242.50. The payment of such sum shall be in full satisfaction of all claims of the said Howard B. Schmutz against the United States for reimbursement of one-half of the costs incurred by him in constructing two reservoirs on federally owned land in reliance upon the approval by the Agricul- tural Stabilization Committee of Mohave County, Arizona, of his application for Fed- eral sharing of the costs of constructing such reservoirs under the agricultural conserva- tion program for 1959: Provided. That no port of the amount appropriated in this Act in excess of :10 per centum thereof shall be paid or delivered to or received by any agent or attorney on account of services rendered in. connection with this claim, and the same shall be unlawful, any contract to the con- trary notwithstanding. Any person violating the provisions of this Act shall be deemed guilty of a misdemeanor and upon convic- tion thereof shall be fined in any sum not exceeding $1,000. GIOVANNA VITIELLO The bill (S. 1787) for the relief of Gi.ovanna Vitiello was considered, or- dered to be engrossed for a third reading, read the third time, and passed, as fol- lows: Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That, for the purposes of sections 101(a) (27) (A) and 2011 of the Immigration and Nationality Act, the minor child, Giovanna Vitiello, shall be held and considered to be the natural-born alien child of Antonio Vitiello, a citizen of the United States: Provided, That the nat- ural parents of the said Giovanna Vitiello shall not, by virtue of such parentage, be accorded any right, privilege, or status under the Immigration and Nationality Act. JOHANN CZERNOPOLSKY The bill (S. 1880) for the relief of Johann Czernopoisky was considered, or- dered to be engrossed for a third reading, read the third time, and passed, as fol- lows: Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That, not- withstanding the provision of section 212(a) (6) of the Immigration and Nationality Act, Johann Czernopolsky may be issued a visa. and admitted to the United States for permanent residence if he is found to be otherwise admissible under the provisions of such Act, under such conditions and con- trols which the Attorney General, after con- sultation with the Surgeon General of the United States Public Health Service, Depart- ment of Health, Education, and Welfare, may deem necessary to impose: Provided, That unless the beneficiary is entitled to care under chapter 55, title 10, United States Code, a suitable and proper bond or under- taking, approved by the Attorney General, be deposited as prescribed by section 213 of the Immigration and Nationality Act: Pro- vided further, That this exemption shall apply only to a ground for exclusion of which the Department of State or the Department of Justice had knowledge prior to the enact- ment of this Act. FARES SALEM SALMAN HAMARNEH The bill (S. 1906) for the relief of Fares Salem Salman Hamarneh was consid- ered, ordered to be engrossed for a third reading, read the third time, and passed, as follows: Be it enacted by the Senate and Ilou: r of Representatives of the United States of America in Congress assembled, That, for the purposes of sections 101 (a) (27) (A) and 205 of the Immigration and Nationality Act, the minor child, Fares Salem Salman Hamarneh, shall be held and considered to be the natu- ral-born alien child of Mr. and Mrs. Sarni Khalaf Hamarneh, citizens of the United States: Provided, That the natural parents of the said Fares Salem Salman Hamarneh shall not, by virtue of such parentage, be ac- corded any right, privilege, or status under the Immigration and Nationality Act. SONJA DOLATA The Senate proceeded to consider the bill (S. 233) for the relief of Sonja Dolata, which had been reported from the Com- mittee on the Judiciary, with an amend- ment on page 1, line 11, after the word "Act," to insert a colon and "And pro- vided further, That unless the benefi- ciary is entitled to care under the De- pendents' Medical Care Act (70 Stat. 250), a suitable and proper bond or un- dertaking, approved by the Attorney General, be deposited as prescribed by section 213 of the Immigration and Na- tionality Act," so as to make the bill read: Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That, not- withstanding the provisions of paragraph (1) of section 212(a) of the Immigration and Nationality Act, Sonja Dolata may be issued an immigrant visa, and admitted to the United States for permanent residence if she is found to be otherwise admissible under the provisions of such Act: Provided, That this Act shall apply only to grounds for ex- clusion under such paragraph known to the, Secretary of State or the Attorney General prior to the date of the enactment of this Act: And provided further, That unless the beneficiary is entitled to care under the De- pendents' Medical Care Act (70 Stat. 250), a suitable and proper bond or undertaking, approved by the Attorney General, be de- posited as prescribed by section 213 of the Immigration and Nationality Act. The amendment was agreed to. The bill was ordered to be engrossed for a third reading, was read the third time, and passed. YOUNG JEI OH AND SOON NEE LEE The Senate proceeded to consider the bill (S. 547) for the relief of Young, Jei Oh and Soon Nee Lee, which had been reported from the Committee on till Judiciary, with an amendment, in line 8, after the word "the", to strike out "beneficiary" and insert "beneficiaries", so as to make the bill read: Be it enacted by the Senate and House of Representatives of the United Stales of America in Congress assembled, That, for the purposes of sections 101(a) (27) (A) and 205 of the Immigration and Nationality Act, the minor children, Young Jei Oh and Soon Nee Lee, shall be held and considered to be the minor alien children of Mr. and Mrs. Robert J. Riddell, citizens of the United Approved For Release 1999/09/17 : CIA-RDP75-00149R000200940023-5