Oldal 3 [3]
XoAol3e N ovember 52e
ee
- page three ¬
1956, in order to assure them the homination of Senator Estes Kefauwer
of Tennessye
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While these intra-party struggles go on in the Democratic fold,
the Republicans are actively preparing for the taking over of the smal
There are two sectors especially in which &km radical decisions can
be expected in the non too far distant future.
lhe first of these will be a decision as to the exact assessment
of the over-all political and military trend. It is cbear that in the
last year, Truman's administration has been paififully driftirg. The
War Department has always demanded from the President and the State
Department a clear-cut decision as to the future policy towards Rhussia,
sinee the whole problem of American armaments will have to be planned
accordim to the views as to what Russia will do next. The srentagon
believes that Russia's armament will reach such a great stage by 1955,
that a decision will have to be taken. According to this estimate,
Russia's atomic industry will be sufficiently developed by then. The
naval developments, the building program of Soviet submarines will havé
reached its maximum efficiency. China will have become a first class
military power. In the air, the Soviet Union will be for the best the
equal, but probably vastly superior to America, if the country does not
considerably speed up its defense program. In other words, it is the
cinsiderate Opinion of the war Department, that a great danger of war
will exist by 1955, which in its opinion, can only be met in two ways: ©
a policy of decision now using the temporary American atomic superiority;
or a completely new American armament program abmeaxkxumebiinexkeexx
greatly upping the present expenditures and leading to the virtual
taking over of large branches of American industry, coupled with a
Lowering of civilian standards of living. Since the beginning of this
year, the War Department has been underlining these points, but Trumeh,
with regards to the elections, consistently refused to make a deéisions
Th situation now is such that General Kkisenhower will be compebled to
make a decision ató oncee It will be one which may have the most far"
reaching consequencese
In another field too a major change of policy is to be
expected. The nepublic uns will take over the administration with a
completely nev approach on the economic veh&tions with the world, and
especially in relations to Luropés They ars well aware, that the
present MSA program has utterly failede It has ereated bad will anda
tensionse Unu-r these conditions, a complete reshaping is plannede
Leading Republicans are now suggesting the following approach:
1.- Direct cash aides and credits, given by the US government, will
be reduced to the absolutely indispensable minimume
2,- A vast program of encouragement for international trade will be
launched, coupled with a lowering of American trade barriers.
3.- A bold approach will be taken to encourage a vast move of American
private capital towards foreign countries. In certain areas, the example
of the Golombo Plan will be followed. In order to encourage American
private capital to invest profitable in new foreign ventures, the
following moves are planned: a) American diplomatic channels will try
to pursuade other countries to give new American Corporations a standing
similar to their own domestic ones in legal and economic matterSe Ae.