511.90/3–650

Paper Prepared in the Bureau of Far Eastern Affairs1

confidential

Possibilities for the Effective Use of Private U.S. Funds To Support and Supplement Point–4 Type of Operations in the Far East

Until it is known how much money may be made available on an annual basis and the limitations which may be attached to the use of those funds by the private sources providing them, it is difficult to work out a comprehensive practical program for effective utilization of such funds in the Far East. The program should of course be drawn up in such a manner as to supplement and extend at points the existing Point–4 type of operations now underway or contemplated. Moreover to be psychologically most effective the governments and/or private individuals and institutions in each country should be consulted. There follows below a list of suggestive uses to which such funds might well be devoted.

Philippines

1.
The Japanese during their occupation either destroyed or removed most of the libraries in the Philippines. Practically nothing has been done since the end of the war to restore these libraries. As a result, books are desperately needed and anything which can be done to assist in this process would be most useful.
2.
If the proposed Far Eastern University goes through, its need for books and scientific equipment will be practically unlimited. From an educational standpoint this one is probably the most desirable of any which could be proposed.
3.
General Smith of the Public Health Service has done a remarkable job in the Philippines. His principal interest has been to set up demonstration stations for problems in health and food which can be handled within the limited resources of the Philippines, and at the same time contribute to public welfare. For example, by inducing rice distributors to put one grain of enriched rice in every 200 grains [Page 38] of non-treated rice, he has in certain areas completely eliminated beri beri. He has also demonstrated that by the use of elevated concrete tanks for ordinary oil drums in which water can be purified by simple means, that he could eliminate disease arising from polluted water. This one demonstration has made the construction of expensive water systems which the Philippines cannot afford unnecessary. It is probable that his projects have made greater contributions to Philippine welfare, with less money, than anything else which the United States has done in the Islands. There is no longer any money available for his projects, but a continuation of his experiments and demonstrations would be most useful.

Indonesia

1.
Fellowships in public health, especially for senior doctors and sanitary engineers in such universities as Johns Hopkins.
2.
Books in English for libraries of (a) faculties in Jogja in medicine, dentistry, pharmacy, and veterinary, (b) pediatrics and midwife centers.
3.
Laboratory equipment including microscopes and other laboratory materials and sets.
4.
Hospital equipment including X-ray apparatus and sets of surgical and gynecological instruments.
5.
Phot and film apparatus including autos and trucks as means communication, for service of medical-hygiene propaganda and rural hygiene.

Formosa

1.
The Rockefeller Foundation withdrew its malaria control program in panic some months ago. It could and should be continued.
2.
ECA is conducting an animal disease program. Much can be done further in the animal husbandry line—and would be welcome.
3.
The Taiwan University would, I am sure, under the current president, welcome interest and aid in the expansion of its English Department. So would other schools throughout the island.
4.
There is a great need for a small American Grammar School. Parents who are returned American students want their children prepared for U.S. universities. This requires an American style education. The Consulate General in Taipei has received many inquiries on this. It could best be related to the USIS Library there. Thus children could be taught to rely on American reference books at that early stage when they are first learning to use reference books. To delay education guidance until university level results in need to win over a scholar already formed in procedures.
5.
In almost every technical field the Taiwan Provincial Government [Page 39] is anxious to have U.S. technical advice and guidance. J. G. White, Inc. is supplying much of this at present time under ECA grants.
6.
There is no American University Club despite the presence of hundreds of returned U.S. students. A grant and support for something along this line would be welcome.

Japan and Korea

The data for compiling a list of projects will have to be secured from the field in the case of Korea and through the Army in the case of Japan.

China

Insofar as the Chinese Communist regime permits private U.S. funds to enter China to support hospitals, schools, provide needed books, arrange for Chinese scholars to study here or for U.S. scholars to study or teach in China it would be advantageous from the long-range viewpoint for this Government to encourage such relationships to continue. Few Chinese as yet read Russian and the longer we can continue to keep English the medium of transmission of Western science and learning the better it will be.

In this connection the needs of many American educational institutions should especially be borne in mind at this time. These institutions have generally succeeded in maintaining a considerable measure of independence notwithstanding Communist pressure and financial stringencies. They have played an important role in fostering pro-American feeling among educated Chinese. Their continued functioning, as long as this is possible without substantially complete Communist regimentation and control, is increasingly important to U.S. long-range interests. It is believed that in some cases at least these institutions are encountering increasing financial difficulties and that their support during this difficult period would be desirable.

Research Projects

In order to increase our knowledge of the grass-roots socio-economic conditions in the Far East it would be extremely useful if private funds could finance competently trained U.S. personnel to undertake relatively long-term regional and local surveys within all of the Far Eastern countries to which such personnel can be sent. Likewise comprehensive politico-economic appraisal of each country undertaken by non-official personnel are of use as they can be published and have wide and beneficial circulation not only in this country but in the countries concerned. Any private funds used to support individuals or groups undertaking such surveys could be most helpful. The type [Page 40] of information gathered would be of wide use within the Government in determining and appraising the utilization of Government funds for Point-4 and economic developmental projects.

  1. On March 6, Livingston T. Merchant, Deputy Assistant Secretary of State for Far Eastern Affairs, transmitted this study to Dean Rusk, Deputy Under Secretary for Political Affairs, who had requested that it be prepared.