484


FOREIGN RELATIONS, 1950, VOLUME I


  I said Stalin was wise and canny, he had created a cohesive nation
and had benefitted the people greatly; therefore, I inclined to the
belief he would not start a war he could not win. On the other hand,
there was the danger that Stalin, flattered by his advisors, might,
like Hitler, be persuaded to seek world domination while still alive.
My measure of the likelihood of war being commenced by the Soviet
Union was perhaps best expressed by the ratio of 3 to 2, against.
  The President said he would like to see me again before I went
back to Moscow.
                                                    ALAN G. KIRK

Department of State Administrative Ffies1
Memorandum of Understanding Between the Departments of State,
  Treasury,   and   Defense   and   the   Economic    Cooperation
  Administration

                                [WASHINGTON, December 19, 1950.]
ORGANIZATIONAL ARRANGEMEENTS WITHIN THE U.S. GOVERNMENT FOR
  PoLIcy FORMULATION AND IMPLEMENTATION WIITH RiESPECT TO IN-
  TERNATIONAL SECURITY MRANGEMENTS AND MILITARY AND ECONOMIC
  ASSISTANCE FOR MUTUAL DEFENSE
  1. The tremendous step-up in our foreign and domestic programs
for increasing our own national security and that of the other free
nations makes it imperative that we carefully examine the organiza-
tional arrangements within the U.S. Government for carrying out these
programs. Certain aspects of these arrangements require urgent
consideration and immnediate decision.
  2. The most urgent organizational problem which we now face
involves the proper framework in which the questions relating to the
North Atlantic Treaty and economic and military assistance programs
can properly be coordinated. With respect to the organization in Wash-
ington, two basic decisions need to be made: (a) the proper relation-
ship among State, Defense, the Economic Cooperation Administra-
tion, and the Treasury, on an interdepartmental basis; and (b) the
adjustments which must be made within each of these agencies as a
basis for an effective and coordinated Government-wide effort. The
following arrangements are agreed to as a first step in resolving these
questions.
  1 Lot 54D291, consolidated administrative files of the Department of State,
1949-1960.