Evening star., 1948-06-16
Kennedy Asserts Row
Over ERP Cut Has
No Real Meaning
By Robert S. Allen
North American Newspaper Alliance

Kennedy, United States Ambassa-
dor to Britain during the Roosevelt
administration, says there is NJ
real meaning to the controversy be-
tween the Senate and the House
over the action of the House in
slashing more than 81 ,000, 600, ,00C
from the ERP appropriation bill.
Just returned from visit to Eu-
rope, where he made an extensive
survey Of economic and political
conditions, Mr.. Kennedy declared
in an interview that the Marshall
Plan offered no necessarily sound
or permanent solution for the many
complex problems Of the war
wrecked continent.
From my observations in Eu-
rope" he said, II have concluded
that no one has the right to say
that any single plan is the answer
to the numerous and great diff
culties over there. No, one can
rightfully say that 5000, ,000, 900 is
the exact amount of money that
is needed for the so-called recovery
program. No one can rightfully
say, as Is being done, that a smaller
sum would be disastrous.
Imitation Dangers.
II make this statement on the
basis of my extensive personal OBJ
servations in Europe and on the
plain and simple facts of condi-
tions there. The underlying weak
ness and danger of the ERP is that
1t can easily further increase and
accelerate imitation in Europe as
well as here in the United States.
That is fundamental danger the
Importance of which cannot be
exaggerated.
"No one disputes the contention
that we must help Europe. That
is necessary. But, at the same
time, we are only laying ourselves
open to a lot of trouble both over
there and here at home to 60 on
the basis that any single plan or
a certain sum of money is the an
swer to the problem. That's a de-
lusion and snare. Because, when
we stop sending billions to Europe,
as we will have to do sooner or lat
er, they will hold 1t against us and
resentment will be greater against
us than if we hadn't done anything"
The American business leader and
former diplomat, who conferred
with British, French, Italian and
other European chiefs during his
recent visit. laid great stress on the
danger of incurring European hos
tility.
Personal With Europeans.
He pointed out that Europeans
have only the sketchiest idea Of
what is going on in the United
States and in Congress. They en-
vision this country as fabulously
rich and prosperous, and have been
told now for many months that the
United States is going to put them
back on their feet. The European,
Mr.. Kennedy warned, translates all
this in strictly personal terms; what
It will mean personally to him In
more food and other commodities.
LAS a result" he declared, when
the time comes that we can't give
them what they think they should
have, they will be very sore and
hold it bitterly against us. That's
the reality about which very little
is said, but which Is a very impor-
tant factor"
The growth and strength Of Com
munism among the masses in Eu-
rope, Mr.. Kennedy asserted, is due
basically to the underlying economic
"imbalance" there-the spread that
exists for the masses between their
wants and their means of satisfying
them. Official statistics superficial
ly deny this. Everywhere he went,
Mr.. Kennedy continued, he was
shown reams of government statis-
tics and charts proving that pro-
duction was steadily getting better.
But actually conditions are a diff
ferent story. and they are not i'm
proving for the great mass OF Euro
peans.
Mr.. Kennedy vigorously criticized
the failure of United States foreign
policy makers to build up the de-
lenses of the western hemisphere
to meet the menace of world Com
munism. He contended that
plan for the western hemisphere
is as vital for the security Of the
United States as the Marshall Plan
is for Europe. Mr.. Kennedy as
serted that concentrating all our
attention and resources on Europe
amounted to putting "all our eggs
In q very uncertain basket"
Plan May Not Succeed.
European recovery can be only
one phase of our planning" Mr.
Kennedy declared. 1T Is a begin
ming, not an end; and beginning
that cannot be free from doubts
The Marshall Plan may or may not
succeed, and we must accustom our
selves to think in terms of failure
or partial failure as well as success
We must therefore look elsewhere,
especially at problems that are close
at hand
THE answer in my judgment lies
in great measure in our own hemi-
sphere. Can We make this hemi-
sphere self-sufficient and so eco
nomically strong that as a whole it
can support the armament program
we must have and s4l provide for
all Of us reasonably decent stand
ard of living? An answer to that
question has an urgency that is
highlighted by the recent events In
Bogota.
ITO sink billions of dollars into
countries which can produce moth
ing that matters to us or that in
the end turn Communist" Mr.. Ken
nedy went on, is merely to waste
our strength. Even rehabilitated
Europe cannot provide us with stra-
tegic materials, oil. tin, mica. etc
Europe's main effort for years will
be limited to merely trying to keep
alive. and for years it will continue
to ask more of us than it can pos
sibly give U.S."
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