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J. 333305-M N O-State Galley 192 UNCORRECTED GALLEY PROOF ought to keep in the linings of their hats. (1) That in the Economic Treatment of Germany we should let her come back industrially to meet her own needs, but not to do any exporting for sometime and we know better how things are going to work out. (2) We are against reparations. (3) We do want restitution of looted property of all kinds. 2 Supra. Matthews Files Memorandum From the Department of the Treasury 1 1 Unsigned carbon copy bearing the notation in pencil: "Treasury memo". [WASHINGTON], January 19, 1945. MEMORANDUM Re: Long Range Program for Germany. 1. The single objective of any long range program towards Ger- many is that of doing all that we can now to prevent Germany from starting a third World War in the next generation. To accomplish this objective, the following principles are clear: (a) Germany must be rendered weak politically, militarily and eco- nomically and must be kept weak for many years to come. (b) Any program which has as its purpose the building up of Ger- many as a bulwark against Russia and communism will inevitably lead to a third World War. (c) It is impossible to devise a program for Germany today which will guarantee peace in the years to come. We can not expect to find a panacea. There are certain minimum steps which we must take now. Developments in the next five or ten years may require that we take additional steps at that time. So long as the German people retain the will to wage war, we must be ever vigilant to see to it that they do not obtain the means to exercise this will. (d) Since the stakes are so high, our goal must be that of seeing how far we can go in making certain that Germany is unable to embark upon another war rather than trying to find a minimum program which would convince most people that we had solved the problem. 2. There are many essential facets to a long range program for Germany. Without intending at all to exclude from consideration the other essential elements of the program, it is desired at this time to emphasize the importance of dealing effectively with German heavy industry because industry represents an indispensable means by which Germany can exercise her will to wage war again. Although political, military and economic controls over Germany in the post-war period are essential, they afford no reasonable assurance that a strong in- dustrial Germany could not within twenty to thirty years again plunge the world into war. In order to make reasonably sure that we have deprived Germany of the ability to make war again within the next generation, it is absolutely essential that she be deprived of her chemical, metallurgical and electrical industries. Although this does not mean that other measures are unnecessary, the elimination of heavy industry is one of the essential steps we must take now. At the same time that German heavy industry is eliminated in Ger- many every effort should be made to build up heavy industry in the lib- erated countries surrounding Germany. The industrial equipment

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    "ocrText": "J. 333305-M N O-State\nGalley\n192\nUNCORRECTED GALLEY PROOF\nought to keep in the linings of their hats. (1) That in the Economic\nTreatment of Germany we should let her come back industrially to\nmeet her own needs, but not to do any exporting for sometime and we\nknow better how things are going to work out.\n(2) We are against reparations.\n(3) We do want restitution of looted property of all kinds.\n2 Supra.\nMatthews Files\nMemorandum From the Department of the Treasury 1\n1 Unsigned carbon copy bearing the notation in pencil: \"Treasury memo\".\n[WASHINGTON], January 19, 1945.\nMEMORANDUM\nRe: Long Range Program for Germany.\n1. The single objective of any long range program towards Ger-\nmany is that of doing all that we can now to prevent Germany from\nstarting a third World War in the next generation. To accomplish\nthis objective, the following principles are clear:\n(a) Germany must be rendered weak politically, militarily and eco-\nnomically and must be kept weak for many years to come.\n(b) Any program which has as its purpose the building up of Ger-\nmany as a bulwark against Russia and communism will inevitably\nlead to a third World War.\n(c) It is impossible to devise a program for Germany today which\nwill guarantee peace in the years to come. We can not expect to find\na panacea. There are certain minimum steps which we must take\nnow. Developments in the next five or ten years may require that\nwe take additional steps at that time. So long as the German people\nretain the will to wage war, we must be ever vigilant to see to it that\nthey do not obtain the means to exercise this will.\n(d) Since the stakes are so high, our goal must be that of seeing how\nfar we can go in making certain that Germany is unable to embark\nupon another war rather than trying to find a minimum program\nwhich would convince most people that we had solved the problem.\n2. There are many essential facets to a long range program for\nGermany. Without intending at all to exclude from consideration\nthe other essential elements of the program, it is desired at this time\nto emphasize the importance of dealing effectively with German heavy\nindustry because industry represents an indispensable means by which\nGermany can exercise her will to wage war again. Although political,\nmilitary and economic controls over Germany in the post-war period\nare essential, they afford no reasonable assurance that a strong in-\ndustrial Germany could not within twenty to thirty years again\nplunge the world into war. In order to make reasonably sure that we\nhave deprived Germany of the ability to make war again within the\nnext generation, it is absolutely essential that she be deprived of her\nchemical, metallurgical and electrical industries. Although this does\nnot mean that other measures are unnecessary, the elimination of\nheavy industry is one of the essential steps we must take now.\nAt the same time that German heavy industry is eliminated in Ger-\nmany every effort should be made to build up heavy industry in the lib-\nerated countries surrounding Germany. The industrial equipment"
}