Memorandum of Telephone Conversation with Secretary of State Dean Acheson and Secretary of Defense Louis Johnson
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OCR Page 1 of 2me. Autze has 19
DEPARTMENT OF STATE
one caston.
TOP SECRET
THE SECRETARY
195
July 20, 1950
MEMORANDUM OF TELEPHONE CONVERSATION
Participants: Secretary Johnson
Secretary Acheson
Secretary Acheson called Secretary Johnson this afternoon
to ask that a meeting be arranged following Cabinet meeting
Friday between Secretary Johnson, General Bradley, Mr. Harriman,
Mr. Spofford, and Secretary Acheson. He explained to Secretary
Johnson that this was in connection with instructions for
Mr. Spofford who was leaving Saturday for the NAT Deputy
Meeting.
The Secretary mentioned that they hoped to get the NAT
countries to go forward with a defense program of a magnitude as
decided by the JCS. The Secretary said that he thought if the
Europeans did this, it would be necessary for the United States
to give them direct help on this and economic help to alleviate
maladjustments which would result from diversion of production
from exports to defense products. He would like to have it clear
for Spofford before he left that Spofford should be authorized in
his discussions to assure the Europeans that if they would take
on whatever program was decided on, Spofford would be authorized
to say that a request would be made to the Congress to make up the
difference which the Secretary thought was between 4 and 6 billion
dollars. Secretary Johnson said that he was not certain that
this figure was exactly the right one, but that whatever the figure
was there would have to be
some economic help.
TRUMAN
Secretary Johnson said that Mr. Harriman had talked with
ARCHIVES "NATIONAL SERVICE" RECORDS AND
him about this matter and had convinced him that it would be
SE
necessary for the Europeans to have economic help. However,
he had talked with his Service Secretaries who were quite
disturbed about the proposals for economic help. Johnson said
that the Service Secretaries also thought that the entire program
should be handled at the Pentagon.
Secretary Acheson said that he was firmly of the opinion that,
since it was a matter in the first place of negotiations between
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