Evening star., 1947-11-11
MorshoIIlTeI|s Senate
Committee Of Need
To Restore Germany
By J. 4. O'Leory.

propriate s2e57, 100000 for aid
to all parts of the world between
now and June 80, 194S, the Senate
Foreign. Relations Committee
was to.d today by State Depart
men officials.
THIS total bill" was developed by
Chairman Vandenberg in question:
ing Secretary of State Marshall and
bis staff as the committee began
hearing administration officials On
the foreign laid program.
After the figure for overall for
eign aid was established, Secretary
Marshall told the committee it is
vital that Germany's economy be
restored to the point where its peo-
pie can become self-supporting and
contribute to Europes economy.
He also said he has no doubt that
propaganda attempts will be made
to convince the people of Europe
that any such rebuilding of Ger
many threatens France and Italy.
Would Curb War Potential.
But he expressed confidence that
the United States, in administering
a proposed long-range recovery pro-
gram will be able to overcome this
'perversion of facts
The Secretary indicated his be-
lief that Germany Is the heart OF
European economic life. but fastened
to add that the United States wants
to make it certain there is to be no
reversal or building Of the German
war potential. one of the fears OF
France and other nations currently
being played up by the Russians.
At II am, the hour at which
firing ceased % years ago in World
War I, the committee stood in two
minutes of silence. The Armistlce
Day observance was suggested by
Senator Vandenberg.
Undersecretary OF State LoVett
disclosed. in reply to Senator Van
denberg's request for figure even
though it be only "a long shot, that
S60,000,000 of additional aid to China
is under consideration.
Other figures making up the total
bill which Congress must approprl-
ate for aid this year are:
$597 100000 of stop-gap aid to
France, Italy and Austria, asked by
Secretary Marshall yesterday;
$500, 10000 additional Army funds
for Germany and s200000, GOO Army
funds for Japan, Korea and other
occupied areas;
$1,000, ,00000 for the first three
months of the long-term Marshall
plan program for 16 European ma
tions, beginning April /, 1s48.
During his 45-minute testimony,
Ben. Marshall also declared that an
agency now exists in the State De-
partment competent to handle the
emergency short-range program.
He referred to the setup handling
the Greek Turkish aid program and
said it is "a going concern, which re-
quires very small amplif1cation."
When the committee recessed for
lunch, Chairman Vandenberg said
Ambassador to Great Britain Lewis
Douglas would be invited to testify
this afternoon.
Reluctant on China Plan.
Secretary Marshall was reluctant
to 90 into details on the China aid
program, saying the situation there
is tremendously intricate" He said
he believes the State Department
has found "a possibly successful ap-
proach" and that it should be mot
In large but in continuing way,
Aid for China should be put on
a parity with that for Europe" Sen
ator Brewster, Republican of Maine,
said in commenting on Gen. Mar
shalls statement. adding:
"Ope dollar spent in China is
worth $40 spent in Europe for our
objectives, which are to preserve
free men, .--
The Senator said s60,OOO,oOO for
China Indicates merely the pre-
liminary need out there. What the
overall need will be is not yet clear.
China needs food and things, not
money"
Senator Smith, Republican, of
New Jersey asked the Secretary If
he considered the emergency in
France, Italy and Austria more
critical" than the situation in China.
Secretary Marshall replied that the
great difference is that in Western
Europe we have basis for action
which we do not possess in the case
OF China" He apparently referred
to the cooperative effort of the 16
Western European nations to help
themselves along with American aid.
The Secretary stressed the inf1a-
ton problem in China. and attrlb-
uted it in large part to heavy mill
tary costs. He said these expendi-
lures now consume between IS and
80 per cent of the Chinese budget.
European Need Imperative
In discussing the relative needs
of Europe and China, Secretary
Marshall said he felt it ''impera-
tive" to 20 ahead with the European
program. The Chinese aid would
be at the rate of $40, ,000,0 900 month
both during the last three months
of the current fiscal year and dur
ing the next fiscal year, beginning
July /. 194S. Neither he nor Under
secretary Lovett indicated the ex-
tent of aid to China other than to
say 1t should be continuing"
Two Senators asked the Secretary
about plans to make certain the
European recipients of aid know
that 1t Is coming from the United
States.
Secretary Marshall agreed with
Senator Smith that the United
States should strengthen the Voice
(see FOREIGN AID, Page A-5o