ECA Telegram Files, FRC Acc. No. 53A278, Paris Toeca: Telegram
The Acting Chief of the ECA Mission in France ( Reed ) to the Administrator for Economic Cooperation ( Hoffman )
Toeca 860. (Section 1 of 2.) Please deliver immediately to Harriman and David Bruce. Following translation of article from Le Monde special correspondent in US published Le Monde April 27:
“Washington, April 26. During four days he spent in Washington, Mr. Paul Reynaud had important conversations with various officials on political, economic and ‘parliamentary’ matters.
During his conversation with Mr. Truman, Mr. Paul Reynaud drew up for his host a complete picture of France’s recovery, and emphasized that need for developing spirit of free enterprise in Europe should be accompanied by effort towards giving Europe feeling of absolute security. Moreover, in this connection, Mr. Reynaud talked with [Page 642] the President and with Mr. Acheson on project of peacetime lend-lease which is already referred to here under letters MAP (military aid program).
The former President of the Council explained to the ‘Big Boss’ of ECA the dangers that in his (Reynaud’s) opinion would be entailed in excessive deflation, at times ‘counseled’ by his Paris representatives, whereas US itself at this very moment is seriously applying brakes to such deflation at home. Mr. Hoffman, it appears, was inclined to recognize the exactness of such reasoning and agreed that one should not ‘go too fast’. With Mr. Snyder, Secretary of the Treasury, it was likewise a question of deflation, although conversation especially concerned present monetary problems.
Finally, on parliamentary level, Mr. Reynaud exposed before the die-hards, the isolationists and, in particular, Senator Taft, the absolute necessity for total safeguarding of the integrity of Western Europe. Did the former President succeed in convincing them of need for supporting military assistance with their authority? The coming work of the Foreign Affairs Committee and the debates on the floors of Congress will soon give us the answer,”
Pass to State and Treasury.