Foreign Relations of the United States, 1952–1954, The American Republics, Volume IV

820.00 TA/3–1353

Memorandum by Norman M. Pearson of the Bureau of Inter-American Affairs to the Assistant Secretary of State for Inter-American Affairs ( Cabot )

confidential

[ Washington ,] March 13, 1953.

Subject:

• A More Positive Policy of Assistance

Over the past two years there has been a rather active controversy between ARA and the IIAA regarding the extent to which technical assistance should be “promoted” in Latin America. The Institute, perhaps without saying so, believes that we should not base technical assistance solely on self-generated requests for projects. They think we should go further and (1) develop plans for each country showing the fields in which they need assistance and (2) encourage countries to request needed projects even if they don’t take the initiative. ARA, on the other hand, has been inclined, though not consistently, to hold that we should consider projects only on the basis of bona fide self-generated government requests, and that we should avoid promoting or selling projects even if they are badly needed. The moderately expanding program thus far evolved tends to be a compromise between these two positions since the former leads to an expanding program and the other to a more restricted activity. (I hold no brief whatever for a number of ill-advised and clumsy actions on projects and personnel which the Institute has taken and to which ARA has objected. My comments are directed to general attitude or policy.)

One striking departure from the ARA policy has been the Joint Commission approach to Brazil. It will be alleged that the Brazilians “desired” the aid, but the actual “projects” put forth for loan purposes are the product of joint efforts by Brazilian and American technical experts. All of the Latin American countries have the general desires for economic development and technical assistance, but they frequently need help in crystallizing these desires into specific workable projects. If we look back to the state of Brazilian frustrations before the Abbink Mission¹ and the period after that but before the Joint Comission,² we have a better perspective for assessing the importance of our very intimate participation in the technical development of loan projects.

If we maintain, as we do, that Latin America is vital to us in the free world struggle against the Soviet bloc, we must also recognize that that vitality of Latin America is proportionate to its economic and political strength. In cooperation with them, we must do everything in our power to help them to become strong. Since the world struggle is tremendously urgent, we cannot truly afford an approach which relies completely upon the initiative of our Latin American friends. We are the leaders of the free world and must carry leadership responsibilities. We have abundant evidence that the Latin Americans do not realize the urgency of the world struggle (many Americans also do not), and their “relaxed” attitude in this respect is understandable. Fortunately, they have a driving urge toward economic development, quite apart from the world struggle, with which we can cooperate to achieve our common ends.

The suggestion I make below is more one of method and approach than substance. Yet, I think it makes considerable difference in the achievement of our objectives and the time required to achieve them. Other forces are working against us in Latin America and time may not be in our favor.

Recommendation:

1. I would urge, therefore, that, in the interest of our own basic objective of a strong free world, we look beyond the requests of Latin American governments to us for technical or other assistance and judiciously encourage and even promote those projects which will strengthen them.

2. In stating this recommendation I hasten to add that

(a) obviously we should not force aid upon them,

(b) all aid should be applied in accordance with the many criteria which will ensure lasting success.

1. Reference is to the mission of John Abbink, who was appointed Chairman of the United States Section and Cochairman of the Joint Brazil–United States Technical Commission by President Truman in July 1948; for documentation on the subject, see Foreign Relations, 1948, vol. ix, pp. 364–375.
2. Apparent reference to the Joint Brazil–United States Economic Development Commission, which initiated its activities on July 19, 1951. For documentation concerning the work of the commission, see pp. 570 ff.