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(Synopsis A, page 11)
ARCHIVES S. 'NATIONAL AND
November US aid, both military and economic, to the Republic of
ALCORDS
Cs
SERVICE'
Korea has been predicated upon the existence and growth of democratic
institutions within the Republic. Free, popular elections, in
accordance with the Constitution and other basic laws of the Republic,
are the foundation of those democratic institutions. The holding of
the elections as scheduled and provided for by the basic laws of the
Republic appears to this Government as equally urgent with the taking
of necessary measures for the countering of the inflationary forces
alreayly discussed. 11
On April 7th Rhee urged the National Assembly to adopt a balanced
budget, as required by the terms of the American aid agreement, in
time to permit the holding of elections between May 25 and 30. On
the 10th the Assembly approved a revised election law and began con-
sideration of three tax measures. The Ministry of Home Affairs
announced on the following day that the general election probably
would be held on May 30.
On the 22nd of April the Assembly approved a balanced budget calling
for the expenditure of approximately $111.5 million, an amount nearly
four times the 1949 income from taxes. To offset this, other bills
were passed, increasing taxes and doubling the prices of postgge,
tobacco, and other governmental monopolies and services.
On April 26th a State Department spokesman said that the ROK, by
adopting anti-inflation measures and by scheduling general elections
for May 30th, had met the requirements recommended in the US aide-
memoire of April 3rd. The spokesman said thewarning had been
accepted by the Koreens with good vill and that although the
situation in Korea was not completely satisfactory, it was much
better than had been expected.
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"ocrText": "(Synopsis A, page 11)\nARCHIVES S. 'NATIONAL AND\nNovember US aid, both military and economic, to the Republic of\nALCORDS\nCs\nSERVICE'\nKorea has been predicated upon the existence and growth of democratic\ninstitutions within the Republic. Free, popular elections, in\naccordance with the Constitution and other basic laws of the Republic,\nare the foundation of those democratic institutions. The holding of\nthe elections as scheduled and provided for by the basic laws of the\nRepublic appears to this Government as equally urgent with the taking\nof necessary measures for the countering of the inflationary forces\nalreayly discussed. 11\nOn April 7th Rhee urged the National Assembly to adopt a balanced\nbudget, as required by the terms of the American aid agreement, in\ntime to permit the holding of elections between May 25 and 30. On\nthe 10th the Assembly approved a revised election law and began con-\nsideration of three tax measures. The Ministry of Home Affairs\nannounced on the following day that the general election probably\nwould be held on May 30.\nOn the 22nd of April the Assembly approved a balanced budget calling\nfor the expenditure of approximately $111.5 million, an amount nearly\nfour times the 1949 income from taxes. To offset this, other bills\nwere passed, increasing taxes and doubling the prices of postgge,\ntobacco, and other governmental monopolies and services.\nOn April 26th a State Department spokesman said that the ROK, by\nadopting anti-inflation measures and by scheduling general elections\nfor May 30th, had met the requirements recommended in the US aide-\nmemoire of April 3rd. The spokesman said thewarning had been\naccepted by the Koreens with good vill and that although the\nsituation in Korea was not completely satisfactory, it was much\nbetter than had been expected."
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