Foreign Relations of the United States, 1955–1957, Foreign Aid and Economic Defense Policy, Volume X

19. Memorandum From the Deputy Director of Operations, International Cooperation Administration (FitzGerald), to the Director (Hollister)¹

Washington, July 16, 1956.

SUBJECT

• CFEP Meeting—July 13, 1956

CFEP met briefly on the afternoon of July 13 with its new Chairman, Mr. Clarence Randall.² No formal business was conducted. Mr. Randall indicated in vigorous terms what he believed to be the primary assignment of the Council under his leadership; namely to review and overhaul from stem to stern U.S. foreign economic policy, including the entire Mutual Security Program. He indicated his belief that our foreign aid program was a heterogenous combination of outmoded activities based in many instances on outmoded policies; that we needed first to define explicitly what was the basic objective of our foreign economic policy which he did not believe was “milk for every Hottentot” but rather military security. Secretary Humphrey doubted whether the Chairman meant military security in the narrow sense and suggested that all of our foreign economic policies should be determined on the basis of “what was good for the United States”.

Mr. Randall indicated that he expected during the next few months to talk with anybody who would listen or who believed he had ideas and indicated his intention to visit at least Paris and Tokyo to talk with U.S. representatives at those capitals.³ He indicated in passing that in his recent conversations in Paris he had been impressed by the unanimous opinion of all Americans he talked to that the United States should follow a more multilateral approach than it had in the past. This did not necessarily mean a United Nations approach.

Finally, Mr. Randall indicated that he hoped to be able to organize some sort of a public group to work with him in this field. He was not sure whether he would finally recommend a Presidential Commission or the appointment by ICA either at his or the President’s request of a group of consultants whom Randall could use as a sounding board for ideas and proposals as he developed them. He expressed his intention to complete this review and revamping by January 1, 1957, and he bespoke the support of the entire committee in getting the job done.

With that the meeting adjourned.

1. Source: Washington National Records Center, ICA Director’s Files: FRC 61 A 32, Box 314, Randall. Official Use Only.
2. Randall replaced former Council Chairman Joseph Dodge on July 10.
3. Randall undertook field trips to Europe in September and to Asia in December 1956; see vol. IX, pp. 22 ff.