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    "label": "\"History of the Technical Assistance Programs of the Marshall Plan and Successor Agencies, 1948-1961\"",
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    "title": "\"History of the Technical Assistance Programs of the Marshall Plan and Successor Agencies, 1948-1961\"",
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    "ocrText": "- 27 -\n4.15\nWith the Productivity Drive programs of sector Productivity Teams and the network of U.S.\nTechnical services well established by late 1951, both the Marshall Plan staff and the participating European\nnations were prepared to relate in a more formal manner the productivity results achieved by the Productivity\nDrives to an equitable distribution of the productivity derived benefits between industry, labor, and the\nconsumer. It had long been recognized that restrictive production, wage, and price policies in Europe as well\nas cartel protection for the weakest producer would hamper the objectives of the National Productivity\nProgram.\n4.16\nBy early 1950, the scope of the European Productivity Drive programs may be reflected in\npart in the U.S. technical assistance expenditures shown in Table 2. It is estimated that the local currency\ncosts of the programs in each country exceeded those of the U.S.\n4.17\nThere was a substantial expansion in European Productivity Drive program activity in the\nfollowing year, which again is indicated in part by the U.S. funds committed for the productivity programs by\nJune 30, 1951, as seen in Table 3. Again it is estimated that all local currency costs of the programs exceeded\nthe dollar costs.\nB.\nExpansion of Marshall Plan Technical Assistance Program\n4.18\nA new Marshall Plan policy took effect in 1952 which tied an expansion in U.S. funding for\nthe program of Productivity Teams and the network of technical services to pre-agreed arrangements for the\ndistribution of financial benefits from productivity gains among owners, labor, and the consumer.14 The new\npolicy assumed that the ultimate aims of the Productivity Drives were both to sustain the civilian economies\nand to gain substantial improvements in living standards. The new policy incorporated the following OEEC\nobjectives: \"to expand total production in Western Europe by 25% over the next five years\" and \"increasing\nproductivity is the most essential element in expanding production.\"\n4.19\nTo realize these policy objectives, the Marshall Plan now termed Economic Cooperation\nAdministration (ECA), in a policy statement encouraged new negotiated bi-lateral program agreements geared\nto national conditions in which European nations could call on \"substantial\" U.S. fund increases for each\nEuropean Productivity Drive. The declared objective was intensive development of shared-out productivity\nimprovement attained by national productivity agencies and their Advisory Boards. The new program\nagreements were to contain specific provisions for the equitable sharing of achieved productivity gains with\nindustry, labor, and the consuming public. Governments were to take appropriate actions to prevent\ninterference of the share-out principle by restrictive business practices, and assure the adequate flow of\nnecessary raw materials, equipment, and capital.' In addition, share-out agreements were to be made by\nProductivity Centers with plants participating in this intensified program. In turn local funding of all technical\nassistance to the participating plants and industries would be waived.\n14/\nECA, Circular Communication A-716 of October 25, 1951, Washington, D.C.\nTRUMAN NARA"
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