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Executive Registry 0-5413 411957 3 CENTRAL INTELLIGENCE AGENCY 11 July 1949 INTELLIGENCE MEMORANDUM NO. 189 SUBJECT: Popular reactions to Soviet Propaganda on the Current Economic Recession in the US 1. There is in general a lack of positive evidence which would indicate beyond reasonable doubt the popular reaction abroad to Soviet propaganda concerning the current economic recession in the US. In certain countries, however, an examination of economic conditions and past reactions to Soviet propagande permits a reasoned estimate of the impact of this particular campaign. This is especially true of Western Europe, Northern Europe, and the United Kingdom, and, to some extent, of Eastern Europe as we'll. 20 A study of press reports and editorial expressions, as well as the monitoring of radio broadcasts, reveals an almost universal re- action to the slow-down in the economy of the US. It is difficult, however, if not impossible, to discern a connection between this re- action and the increased stress laid upon the theme by Soviet propaganda. 3. In such sensitive areas as Western Germany and Scandinavia, the propaganda may be said to have some effect in stimulating latent fears of the longer-range effects of a US recession upon the local economies. Fox the most part, however, it is possible to say that those areas which, for other reasons, are particularly susceptible to Soviet propaganda, have been notably influenced by this line, and, con- versely, that in those areas (e.go, Italy) in which sensitivity to Soviet propaganda has been dulled by surfeit, the effect has been negligible 40 The attached Appendix presents the situation as estimated with respect to individual countries. Note: This memorandum has not been coordinated with the intelligence organizations of the Departments of State, Army, Navy, and the Air Force. DECLASSIFIED E.O. 12065, Sec. 3-402 CIA LIST AND NND MEMO 6-5-to State Dept. Guideline, June 12, 1979 By NLT- He NARS, Date 10-9-41