Evening star., 1947-10-19
Report to President
Suggests Spreading
Help Over 5 Years
(Tert OF Krug Report ForeWdrd,
Page A-5.)
By Joseph A. Fox

Presidents Truman was told
last night by Government ad-
visers that American production
can support a $4,000. 100000 for
eign aid program, spread over
a period of five years. without
impairing the national economy,
Presenting an inter-departmental
report designed to show the impact
of contemplated relief for Western
Europe on domestic resources. Sec
retary of the Interior Krug said that
shortages in such commodities as
wheat, STEEL, coal and nitrogen fer
tilizers, and in certain items of in
dustrial equipment, would be inten-
sified.
But against backdrop of a rec
breaking s225 ,00O, 100000 annual
output of field and factory, Mr.. Krug
told reporters, the prospective diver
sion from home channels lust isn't
consequential" in relation to total
resources.
Truman Issues Statement.
The report was accompanied by a
statement from President Truman.
1t said "the fact that our natural
resources are adequate to permit
sharing is heartening"
But other vitality important fac
tors must be weighed before we can
determine the extent to which these
resources can, be shared" Mr.. Tru-
man added.
The President recalled that related
studies are being made by the Coun-
Gil Of Economic Advisers and by
non-partisan group headed by Sec
retary of Commerce Hartman.
Aided by these three studies and
by information assembled by the
State Department concerning the
needs of other countries and the
measures of self-help and mutual
help being taken by these coun-
tries. I shall prepare recommended
tions to the Congress on the nature
and extent of a balanced foreign
aid program" the President said.
Public to Get Reports.
Explaining. that the two other re-
ports would be made public as soon
as completed, Mr.. Truman expressed
hope that all three will. receive
full discussion by members of the
Congress, and by business, labor,
agriculture and the general public"
"A program of foreign aid will
serve not only humanitarian in
terest in preventing hardship and
starvation for millions of people"
Mr.. Krug said in a foreword to his
report. cit can also provide the
basis for getting the world economy
off dead center and creating the
circumstances under which all areas
of the world may be fully produc-
tive and wisely exchanging their
products with each othre.
effectively geared to this specific
object, 1t will pay for itself in as
suring us an opportunity to import
the things we urgently need from
others in order to develop and con-
serve our own natural wealth and
to maintain our standard of living"
But with or without foreign
aid program" he warned, this
country faces pressing urgency
for expanding its conservation
practices such as those for pre-
serving the fertility of its soil and
the future of it's forests and for ex-
tending it's efforts to discover and
develop new sources of supply for
many of its basic raw materials.
Figures Revealed.
While the report itself went no
further than to say that American
resources would permit consider
able" foreign aid over the flve-year
period, Secretary Krug, pressed by
his news conference for dollar
and-cents definition, said that those
concerned with the study had been
thinking in terms of $4,000 S00,-
600 program.
This compares with the figure of
$22, ,44O, 100000 set for outside aid by
the 16-nation Paris conference
bovcotted by Russia-for a four
year program under the Marshall
plan, to be financed primarily by
the United States.
The Krug report explains, how
ever, that at the time the data 1t
Incorporates was being assembled,
no estimates of either the levels
or the patterns of foreign aid re-
ouirements were available
Secretary Krug told reporters
that the most serious domestic
hE1