Report, Annex 3 to Council of Foreign Ministers Report 3, Land Reform, Public Ownership and Deconcentration and Decartelization

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DECLASSIFIED E. o. 11652, Sec. 3(E) and 5(D) or (E) By NLT-HC : NARS Date 4.22.75 Dept. of State letter, Aug. 9, 1973 Annes 3 to CFM 35. AND RECORDS us LAND REBORM. PUBLIC OWNERSHIP AND DECONCENTRATION AND DECARTELIZATION The Problem To discover a basia for agreement on econouic institutional reforma am particularly in the spheres of land reform, decoscentration and decartelisation of industry and public ownership de in Germany as a vhole which will insure the necessary demooratisation and at the asme time will not adversel'y affect the production of commodities in critically short $ Aply. Discusaion: It is the basic polioy of this Government to offect a democratization of German economic life while at the same time enabling that economy to partici pate in the rehabilitation of Europs. This policy, which was laid down at Potadan and in JCS 1067, contemplates a program of Gand reform and the elimination of exceasive concentrations of sconomic power thereby subjecting such institutions to nore democratic atructure. Land Reform A land reform program for the brealing up of large estates and the resettlement of refugees was introduced into the American Zous in September 1946 and is now being implemented. This program, which is in accordance with the CEM decision at Moscow to conclude the desocratization program, is now at the stage whore land sattlement commissions have been established in the Laender in the American Zone. Thus far there have been no exproe priations of estates which the law envisages but such action, 11 is hoped, will