501.BB Palestine (E)/8–2449

Memorandum by the Acting Secretary of State to the President

Mr. Gordon R. Clapp, Chairman of the Board of Directors of the Tennessee Valley Authority, today accepted appointment as Chairman of the Economic Survey Mission which was recently set up by the Palestine Conciliation Commission. In order to stress the importance which we attach to this Mission, it is proposed that you should make a statement following the announcement of Mr. Clapp’s appointment by the Secretary-General of the United Nations.

The purposes of this Mission will be to examine the economic situation in the countries affected by the recent hostilities in Palestine, and to make recommendations which will enable the governments concerned to further such measures and development programs as are required to overcome the economic dislocations created by the hostilities; to reintegrate the refugees into the economic life of the area on a self-sustaining basis within a minimum period of time; and to promote economic conditions conducive to the maintenance of peace and stability in the area.

The attached statement1 not only emphasizes the importance which we attach to the Survey Mission but also generally outlines United States policy towards the Near East. It is hoped that such a statement of policy will be helpful to both the Israelis and the Arabs in reaching agreement which will permit a return of normal conditions to the area.

James E. Webb
  1. For the statement as actually released by the White House on August 26, see Department of State Bulletin, September 5, 1949, p. 333.