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As I have already said, we have used fiscal and monetary policy to keep our domestic economy in an attitude of sustainable growth. We are prepared to do more-as and when needed. The President has made this very clear. We already have adopted some restraints on capital and tightened our assistance policies to minimize the balance-of-payments cost of this assistance.

My point is a simple one.

We want, and intend, to attain balance; we do not intend in the future to meet the world reserve needs by an American deficit. The costs of Viet-Nam have made the task more difficult, to be sure.

The question is, therefore, not "whether" but "how" to attain both our interim and longer term objectives.

Under present circumstances there are three broad possibilities.

We can apply general and selective measures that shrink the net flow of dollars to the rest of the world without any conscious geographical selection; that is, wherever these measures happen to impinge. This course, we suspect, is likely to mean that in the first instance a number of developing countries and deficit countries would feel the first impact in a shrinkage of their dollar receipts or their ability to command real resources, or both. Only at a later stage I would the needed adjustment of the persistent surplus countries take place, as a result of the effect of this shrinkage in the purchasing power of the intermediate countries on the hard core of the world's imbalances in these surplus countries.

The second course would be to tailor our measures to the maximum extent possible to concentrate the adjustment on surplus countries. Measures that affect capital outflow could in large degree be so directed.

Indeed, our voluntary restraints on capital represented a first, albeit cautious, step in this direction, as did the interest equalization tax. But as economic as this course would seem to be, it is not without problems, as you well know.

Finally, there is the possibility that the burden of adjustment might be shared in a more positive way with the surplus countries. By this I mean that the surplus countries would follow more active, instead of passive, policies in their pursuit of equilibrium. I say this although quite aware that such a course is not without difficulty for the major surplus countries. But I say this nevertheless because it is clear to me that this course is the most efficient, if not the only, means of taking into full account all aspects of the relationship of the pursuit of equilibrium to the total objectives of a rational world economic order.

The answer to this question as to how the objectives are to be attained is not one for the United States alone to answer. How it will be answered depends on the composite result of our own efforts and the policies of other countries, particularly the countries in persistent surplus. Measures taken by the deficit countries might have to be quite drastic if surplus countries follow, whether by design or otherwise, policies that tend to preserve these surpluses.

Here, as elsewhere, it is our hope that we can continue to seek solutions through close and rational cooperation, both in the interim period and in the longer run. We seek a world in which nations work and consult together, understand each other's capacities for action, and allow their policies to fit together. A combined forward thrust is the desideratumindeed it is a necessity-if our combined resources and efforts are to meet the impressive demands of the years and decade ahead.

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Ninety-seven member countries of the ITU attended the 11th Plenary Assembly of the CCIR at Oslo in July 1966. An American, J. W. Herbstreit, was elected Director of the CCIR for a 6-year term beginning September 1966. Mr. Herbstreit was formerly Deputy Director of the Institute for Telecommunication Science and Aeronomy of the Environmental Science Services Administration, Department of Commerce.

One of the most important questions discussed at Oslo was the adoption of a worldwide standard for color television. The United States pressed for adoption of one system; France and the U.S.S.R. supported a different system; and Western European countries generally favored a third system. It proved impossible to arrive at an agreement.

1 U.S. Participation in the UN, 1966, pp. 176-178.

See American Foreign Policy: Current Documents, 1965, p. 251, footnote 51.

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CONSIDERING that the free exchange of ideas and knowledge and, in general, the widest possible dissemination of the diverse forms of self-expression used by civilizations are vitally important both for intellectual progress and international understanding, and consequently for the maintenance of world peace;

CONSIDERING that this interchange is accomplished primarily by means of books, publications and educational, scientific and cultural materials;

CONSIDERING that the Constitution of the United Nations Educational,

53 TIAS 6129; 17 UST 1835; 131 UNTS 25. The United States signed this Agreement, June 24, 1959. See also infra.

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the importation of educational, scientific or cultural materials, which are imported exclusively for showing at a public exhibition approved by the competent authorities of the importing country and for subsequent reexportation. These facilities shall include the granting of the necessary licenses and exemption from customs duties and internal taxes and charges of all kinds payable on importation, other than fees and charges corresponding to the approximate cost of services rendered.

2. Nothing in this article shall prevent the authorities of an importing country from taking such steps as may be necessary to ensure that the materials in question shall be re-exported at the close of their exhibition.

ARTICLE IV

The contracting States undertake that they will as far as possible:

(a) Continue their common efforts to promote by every means the free circulation of educational, scientific or cultural materials, and abolish or reduce any restrictions to that free circulation which are not referred to in this Agreement;

(b) Simplify the administrative procedure governing the importation of educational, scientific or cultural materials;

(c) Facilitate the expeditious and safe customs clearance of educational, scientific or cultural materials.

ARTICLE V

Nothing in this Agreement shall affect the right of contracting States to take measures, in conformity with their legislation, to prohibit or limit the importation, or the circulation after importation, of articles on grounds relating directly to national security, public order or public morals.

ARTICLE VI

This Agreement shall not modify or affect the laws and regulations of any contracting State or any of its international treaties, conventions, agreements or proclamations, with respect to copyright, trademarks or patents.

contracting States may have subscribed for the settlement of disputes, the contracting States undertake to have recourse to negotiations or conciliation, with a view to settlement of any disputes regarding the interpretation or the application of this Agreement.

ARTICLE VIII

In case of a dispute between contracting States relating to the educational, scientific or cultural character of imported materials, the interested Parties may, by common agreement, refer it to the Director-General of the United Nations Educational, Scientific and Cultural Organization for an advisory opinion.

ARTICLE IX

1. This Agreement, of which the English and French texts are equally authentic, shall bear today's date and remain open for signature by all Member States of the United Nations Educational, Scientific and Cultural Organization, all Member States of the United Nations and any nonmember State to which an invitation may have been addressed by the Executive Board of the United Nations Educational, Scientific and Cultural Organization.

2. The Agreement shall be ratified on behalf of the signatory States in accordance with their respective constitutional procedure.

3. The instruments of ratification shall be deposited with the SecretaryGeneral of the United Nations.

ARTICLE X

The States referred to in paragraph 1 of article IX may accept this Agreement from 22 November 1950. Acceptance shall become effective on the deposit of a formal instrument with the Secretary-General of the United Nations.

ARTICLE XI

This Agreement shall come into force on the date on which the Secretary-General of the United Nations receives instruments of ratification or acceptance from ten States.

ARTICLE XII

1. The States Parties to this Agreement on the date of its coming into force shall each take all the necessary measures for its fully effective opera

ARTICLE VII

Subject to the provisions of any previous conventions to which the

tion within a period of six months after that date.

2. For States which may deposit their instruments of ratification or acceptance after the date of the Agreement coming into force, these measures shall be taken within a period of three months from the date of deposit.

3. Within one month of the expiration of the periods mentioned in paragraphs 1 and 2 of this article, the contracting States to this Agreement shall submit a report to the United Nations Educational, Scientific and Cultural Organization of the measures which they have taken for such fully effective operation.

4. The United Nations Educational, Scientific and Cultural Organization shall transmit this report to all signatory States to this Agreement and to the International Trade Organization (provisionally, to its Interim Commission).

ARTICLE XIII

Any contracting State may, at the time of signature or the deposit of its instrument of ratification or acceptance, or at any time thereafter, declare by notification addressed to the Secretary-General of the United Nations that this Agreement shall extend to all or any of the territories for the conduct of whose foreign relations that contracting State is responsible.

ARTICLE XIV

1. Two years after the date of the coming into force of this Agreement, any contracting State may, on its own behalf or on behalf of any of the territories for the conduct of whose foreign relations that contracting State is responsible, denounce this Agreement by an instrument in writing deposited with the SecretaryGeneral of the United Nations.

2. The denunciation shall take effect one year after the receipt of the instrument of denunciation.

ARTICLE XV

The Secretary-General of the United Nations shall inform the States referred to in paragraph 1 of article IX, as well as the United Nations Educational, Scientific and Cultural Organization, and the International Trade Organization (provisionally, its Interim Commission), of the deposit

of all the instruments of ratification and acceptance provided for in articles IX and X, as well as of the notifications and denunciations provided for respectively in articles XIII and XIV.

ARTICLE XVI

At the request of one-third of the contracting States to this Agreement, the Director-General of the United Nations Educational, Scientific and Cultural Organization shall place on the agenda of the next session of the General Conference of that Organization, the question of convoking a meeting for the revision of this Agreement.

ARTICLE XVII

Annexes A, B, C, D and E, as well as the Protocol annexed to this Agreement are hereby made an integral part of this Agreement.

ARTICLE XVIII

1. In accordance with Article 102 of the Charter of the United Nations, this Agreement shall be registered by the Secretary-General of the United Nations on the date of its coming into force.

2. IN FAITH WHEREOF the undersigned, duly authorized, have signed this Agreement on behalf of their respective Governments.

DONE at Lake Success, New York, this twenty-second day of November one thousand nine hundred and fifty in a single copy, which shall remain deposited in the archives of the United Nations, and certified true copies of which shall be delivered to all the States referred to in paragraph 1 of article IX, as well as to the United Nations Educational, Scientific and Cultural Organization and to the International Trade Organization (provisionally, to its Interim Commission). PROTOCOL ANNEXED TO THE AGREEMENT ON THE IMPORTATION OF EDUCATIONAL, SCIENTIFIC AND CULTURAL MATERIALS

The contracting States,

IN THE INTEREST of facilitating the participation of the United States of America in the Agreement on the Im

58 Text in American Foreign Policy, 19501955: Basic Documents, vol. I, pp. 134-161.

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