550.AA1/31

Memorandum by the Chief of the Division of Western European Affairs (Dunn) to the Secretary of State

Mr. Secretary: Referring to Dr. Feis’ memorandum of April 20, I entirely agree with his views toward this Government’s taking the initiative in calling a general international economic conference.

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Of course it is inconceivable that any genuine settlement could be arrived at with regard to economic matters in Europe unless there were a previous political understanding between the important European nations.

I would like to add to Dr. Feis’ memorandum my own view that any international conference called at this time might easily become the forum for justification for their several policies, including their considered necessity for vast rearmament by several of the nations who are now either initiating or carrying out a huge rearmament program. I feel very strongly that it would be inadvisable to call such a conference unless and until we are certain of the positions which would be taken at such a conference by the Governments of Great Britain, Germany, Italy and France at least.

James Clement Dunn