4FOREIGN :RELATIONS, 1950, 0 VOLUME I


  Also attached for infornation are the :following appendices:
        Appendix A-Tabulation of Approximate Costs of
                       the Programs;
        Appendix B-The Economic Implications of the
                       Proposed Programs, prepared by the
                       "Chairman of the Council of Eco-
                       nomic. Advisers.
  There is also being circulated separately, for information in con-
nection with this report, a set of seven related annexes,3 prepared by
the respective departments and agencies as indicated in each annex
  It is recommended that, if the enclosed report is adopted, that it be
submitted to the President for consideration with the recommendation
that he approve it as a working guide and direct its -mplementation by
all appropriate departments and lagencies of the U.S. Government.
  It is requested that this report be handled with special security pre-
cautions, in accordance with the President's desire that no publicity be
given the NSC 68 series without his approval, and that the information
contained therein be disclosed only to the minimum number of ofcials
of the Executive Branch who need to-know.
                                                 JAxEs S. LAY, JR.
   [Here follows a draft report by the National Security Council on
United States Objectives and Programs for National Security. For the
text, as amended, see NSC 68/4, December 14, the report to the Presi-
dent by the NSC, page 467.]


                            Appendix A
        Tabulation of Approximate Costs of the Programs

TOP SECRET                       [WAsHINGTo0, December 8, 1950.]
  The following tabulation of the approximate costs of the programs
required .to implement the policies outlined in NSC 68/3 over a five
year period, is ,wholly tentative both with respect to the magnitude
of the sums involved, and the rate of their expenditure. It is inserted
solely to convey an idea of the general magnitudes likely to be required
for the NSC 68 program according to current estimates of require-
ments. The four year projections tfor certain of the programs are sub-
ject to review in the light of the decision to accelerate the military
program as rapidly as possible, and are currently being reappraised.

   See extracts, p. 432.


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