(3) Summary of all direct costs of USIS overseas programs

The table shown below summarizes all direct costs of the overseas country programs, including not only the expenses reflected above as USIS mission expenses, but also costs which appear in the budget under the Media Service activities in direct support of specific USIS country and area programs, and administrative support costs reimbursed to the Department of State which, conform to the organizational concept of this budget, appear as a separate activity.

Senator KILGORE. The American Republics program with a request of $4,706,000 is the first activity under the USIS overseas program. The record will show the area justifications and summary tables. (The information referred to follows:)

THE AMERICAN REPUBLICS AREA

Summary of all direct costs of USIS overseas programs

The strategic significance of Latin America is a part of our historical tradition. The United States has shown, by the development of the good-neighbor and the good-partner policies, and by the strengthening of these concepts in the United Nations and the Organization of American States, that no area is more important to us, and that Western Hemisphere solidarity is one of the great bastions of the free world.

This solidarity cannot be taken for granted. The area's 160 million people are, in Dr. Milton Eisenhower's phrase, "on the march." There is a new dynamism among them, and explosive social-economic forces are at work. Their tremendous strides to catch up with the industrialized West, and the pressures to raise standards of living rapidly, are symptoms of these forces. These problems cause many of our neighbors in their impatience to turn for solutions toward paths divergent from our own. It is by no means clear to important sections of the Latin public that the United States understands or is sympathetic to their aspirations.

Moscow-directed Communists were able to subvert the Government of Guatemala and though that nation ejected them the poison remains. In most of the 20 countries communism is hard at work, with sizable parties and an organized apparatus. It wears many faces: exploiting historic anti-United States prejudices, inflaming ultra-nationalist desires and hatreds, infiltrating key labor and intellectual groups. There can be no doubt that the fight between the free world and aggressive international communism has now been joined in Latin America, and is increasing in tempo.

On such a scene, where profound economic and social changes are taking place, it is of fundamental importance that the United States both strengthen its economic relations with the nations of Latin America, and maintain the integrity of its position as leader of the forces that will cause the better nature of man to prevail in the world.

The information effort is now intensifying its anti-Communist campaign by using the positive economic theme of creating the conditions to produce the one thing Latin Americans are most interested in, i. e., a better way of life through raised living standards. This approach, on the social-economic front, is one where we seek directly to oppose and neutralize the strongest Communist activity in the area, which actually makes headway with the outmoded charge that "Wall Street economic imperialism" is enslaving and holding back Latin America. Labor, intellectual groups, Government officials, even businessmen, believe this line in varying degrees; it is easy and attractive for them to blame their woes on Uncle Sam.

Therefore, it is vital to convince Latins on the twin theses that communism is the evil, enslaving force, and that the United States economic policies support their democratic aspirations for progress and self-sufficiency. If public opinion

in the area can be brought to recognize the soundness of these policies, austere though they may seem, and to support similarly sound measures by their own governments, the United States, while proffering real help on several fronts, can, it is fair to say, be saved massive expenditures in the future in "soft" loans and grants. These policies cannot succeed without sympathetic public opinion based on understanding. It is this opinion which must be created.

In summary, the task of the United States Information Agency program in this area is to explain the policies and objectives of the United States, to expound the free enterprise system and economic cooperation, to expose the threat of communism and its influence, and to demonstrate the positive values of democracy as exemplified by American life and culture.

It is proposed to accomplish the above with the use of especially tailored materials directed to all countries in the areas. The mission in each country will develop its own materials to meet specific situations and conditions in the country. Certain basic material will, because 18 of the 20 countries are Spanishlanguage, be developed centrally for economy, either in the United States or in a large field post (Mexico City, Buenos Aires).

Priority is given to programs for key countries, e. g., Argentina, Bolivia, Brazil, Chile, Guatemala, and Mexico. Increases for these six countries will be explained in detail on the following pages.

The estimates for the American Republics area in 1956 provide no increase for American Foreign Service personnel; however, an additional 30 local employee positions are requested to provide technical help with script-writing, editorial writing, motion picture operation and maintenance, and library assistance all of which require an indigenous knowledge of local traditions and attitudes, as well as language.

Program emphasis in the area will be directed toward target groups such as education, labor leaders, government officials, intellectual leaders, and leaders in the press, radio and publications field. It will be carried to these groups through personal contact, radio programs, television programs, editorials in newspapers and magazines, especially prepared magazines or bulletins such as Informaciones in Argentina, Carta Cultural in Chile, Esta Mas in Peru, specially designed motion pictures and newsreels through commercial channels, presentation of carefully selected American books both in English and in translation.

Efforts to reach large segments of the population will be continued through the use of radio programs and transcriptions, pamphlets, press releases, newspaper supplements, posters such as the "wall newspaper" in Bolivia, motion picture showings in remote areas, binational centers, information centers, translated American books in low-cost editions for mass sale through commercial distributors, traveling exhibits, and English teaching materials.

The total estimated requirement for the American Republics area during fiscal year 1956 provides $4,946,000 for direct mission expeneses, $1,821,385 for direct media support and $672,000 for administrative support, for a total of $7,439,385. The total requested is $2,260,790 above the 1955 level.

The increase of $1,132,000 requested for USIS mission expenses will permit: (1) Local production in Brazil of Portuguese-language newsreels and special shorts for distribution through established commercial networks.

(2) Local production in Mexico of Spanish language newsreels and special shorts for commercial distribution in other Spanish-speaking countries in the area as well as Mexico.

(3) Employment under contract of 26 additional teachers and directors of courses for 23 binational centers throughout the area. Since this type of employment is in the form of a personal grant for 1 to 2 years the employees are referred to as grantees.

(4) Expansion of the book translation program to bring selected American books to wider audiences in their own language, through contractual arrangements with indigenous publishers. This is an example of "area programing" where the post in Mexico, for example, arranges for publication of a title in Spanish which will be distributed in various countries.

(5) Greater volume of pamphlets, leaflets, posters, and newspaper supplements with sharper focus on special groups and priority situations, such as labor in Central America, etc.

The increase of $1,101,490 requested for direct media support will provide:

1. Radio

Package programs for radio and television broadcast prepared in the United States in production form which permits local adaptation for such things as voicing, local colloquialisms, settings or commemorations.

2. Press

Supplies and materials for publication at the posts such as pamphlets, leaflets, posters, magazines, and other activities that require paper, newsprint, photographs, and facsimile reproduction equipment.

8. Motion pictures

Motion picture print reels, raw film, and other materials for local production, projectors for replacement and spare parts.

4. Information centers

Books and materials for information centers and binational centers, American books for presentation to educational institutions and other select groups and individuals, exhibits and English teaching materials.

Separate narrative statements and supporting tables follow which explain in more detail the significant changes in certain individual countries and in areawide items.