Office of the Historian

S/S–NSC files, lot 63 D 351, NSC 5422

Memorandum by the Director of the Policy Planning Staff (Bowie) to the Secretary of State

top secret
Washington, August 4, 1954.
  • Subject:
  • NSC 5422/1—Guidelines under NSC 162/2 for Fiscal Year 19561

This paper represents the efforts of the Planning Board to reflect the discussions of the NSC on a previous draft. Attached are a number of specific comments from the Bureaus2 which I suggest can be discussed when we go through the paper at your briefing this afternoon.3

The primary purpose of the paper is to set forth budgetary guidance. For this purpose, it seems to me to place proper emphasis upon:

(a)
the maintenance and protection of our retaliatory striking force (see paragraphs 6 and 7);
(b)
appropriate strength (U.S. and indigenous) to defeat local aggression (see paragraph 12);
(c)
greater efforts in the Far East and underdeveloped countries (paragraphs 18 and 21); and
(d)
a more coherent economic approach to world problems (paragraphs 22–25).

I have some doubts about certain premises stated in the paper. As Soviet nuclear power grows, they may not necessarily feel free to take increasingly positive action (see paragraph 4). Also, while the U.S. should certainly seek to convince the Soviets that we are prepared to counter aggression by strategic atomic attack, I am not sure that when nuclear balance is reached, the U.S. will indefinitely be able to base its strategy for fighting a general war on initiating the strategic use of nuclear weapons (see paragraphs 3 and 9).

Although this paper seems to cover a number of subjects not related directly to budget guidance, it does not purport to set the [Page 700] over-all political framework of our national strategy. With this understanding, it seems to me that the parts directed primarily to the subject of relations with our allies (see paragraphs 15, 16, and 20) contain acceptable general principles.

Robert R. Bowie
  1. On July 26, NSC Executive Secretary James S. Lay, Jr., transmitted to the Council a revised statement of policy concerning guidelines under NSC 162/2 for fiscal year 1956. This 19-page statement, together with two appendixes containing financial and budgetary supporting material comprising an additional 10 pages, was designated NSC 5422/1. NSC 5422/1 also contained copious marginalia indicating continued widespread disagreements both between agencies and within bureaus on a number of points. A copy of NSC 5422/1 is in S/P–NSC files, lot 62 D 1, NSC 5422 as well as in S/S–NSC files, lot 63 D 351, NSC 5422 Series.↩
  2. A copy of this memorandum is also in PPS files, lot 65 D 101, NSC 5422 and it contains a four-page attachment of bureau comments. These comments are identical with those found in the margins of NSC 5422/1 in S/S–NSC files, lot 63 D 351.↩
  3. The briefing under reference occurred at 4:10 p.m. and was attended by Bowie, Murphy, Nolting, Howe, and others in addition to the Secretary. (Princeton University, Dulles papers, “Dulles Appointment Book”)↩