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SECRET I. Foreword A. The Nature of the Issue The issue over Berlin, which Khrushchev is now moving toward a crisis to take place, so he says, toward the end of 1961, is far more than an issue over that city. It is broader and deeper than even the German question as a whole. It has become an issue of resolution between the U.S.A. and the U.S.S.R., the outcome of which will go far to determine the confidence of Europe -- indeed, of the world -- in the United States. It is not too much to say that the whole position of the United States is in the balance. Until this conflict of wills is resolved, an attempt to solve the Berlin issue by negotiation is worse than a waste of time and energy. It is dangerous. This is so because what can be accomplished by negotiation depends on the state of mind of Khrushchev and his colleagues. At present, Khrushchev has demonstrated that he believes his will will prevail because the United States and its allies will not do what is necessary to stop him. He cannot be persuaded by eloquence or logic, or cajoled by friendliness. As Sir William Hayter has written, "The only way of changing /the Russians'/ purpose is to demonstrate that what they want to do is not possible." Until that demonstration is made, no negotiation can accomplish more than to cover with face-saving devices sub- mission to Soviet demands. Once the demonstration has been made, negotiation can resolve the issue in a number of ways, from face=saving for a Soviet retreat to mutual concessions on non-vital matters. Solutions of this nature are outlined in Chapter III, below. To offer any concessions now, however, will only result in an appearance of weakness and real impairment of future negotiating position. Ambassador Thompson has stated the principal objectives of the Berlin offensive: 1. To stabilize the regime in East Germany and prepare the way for the eventual recognition of the East German regime; 2. To SECRET