S/ISA files, lot 52–26, D–4/15

The Director of International Security Affairs (Cabot) to the Assistant to the Secretary of Defense for International Security Affairs (Nash)1

top secret

Dear Mr. Nash: I refer to your letter of September 10, 1951,2 relating to the furnishing of supporting information to the United [Page 320] States Deputy Representative to the Standing Group on the financial and economic factors of the United States position on “Closing the Gap”.

The ISAC analysis and conclusions concerning the economic considerations involved in the United States position are contained in ISAC D–4/8, a copy of which is attached for Admiral Wright’s information.3 The conclusions were subject to revision in light of political and military considerations. It is understood that the study was forwarded to the Joint Chiefs of Staff for their consideration in the development of the United States position.

In view of the fact that the study was based on an “initial” United States position on country force contributions to the Medium Term Defense Plan, ISAC recommends that Admiral Wright be advised to reply to inquiries thereto along the following general lines:

a.
The initial United States view on increased force contributions was primarily based on military considerations.
b.
The military allocations were subjected to a rough United States unilateral economic feasibility analysis which indicates that the program was generally possible under certain assumptions which seemed reasonable at the time.
c.
The United States recognized that a detailed feasibility analysis of force contributions should be undertaken in the appropriate NATO bodies. This analysis should be satisfied by the work of the TCC in response to NAC resolution C7–D/9 [C7–D/19].4

Sincerely yours,

Thomas D. Cabot
  1. This document and a cover sheet were circulated as ISAO D–4/15 of October 16, 1951.
  2. Not printed, but see footnote 2 to the memorandum of September 5, p. 264.
  3. ISAC D-4/8, “Economic Analysis of the Allocation of the MTDP ‘Gap’ to European Countries,” June 25, 1951, is not printed. For information concerning this ISAC paper, see the letter from Cabot to Marshall of June 25, p. 205.
  4. For documentation concerning this North Atlantic Council resolution, see telegram Secto 23 from Ottawa, September 19, pp. 677 ff.