112. Minutes of Cabinet Meeting1
Washington, July 10, 1968, 12:10
p.m.
The President opened the meeting of the Cabinet at 12:10 p.m.
He began with a brief summary of the week-end trip to Central America
(see attached outline). After completing his formal report, the
President said:
“I would say there is no problem in Central America that money and
resources cannot cure. But the problems are many, and they are
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great. There is a great deal
to do in education, in health, in housing, in transportation and
communication.
“When all these problems are solved, we can expect to see a better life
for all the people of this hemisphere, and we can expect to see greatly
expanded trade between our country and all these nations.
“The trip was well worth the weekend. Never—not even on the last night of
a campaign, surrounded by my closest friends—have I experienced such a
warm spirit of affection and hospitality.
“Minor incidents—paint throwing and so forth—were really unimportant,
negligible occurrences on this trip. Every place we went, there were
thousands of people applauding the United States and applauding the
President. They appeared to me about as friendly as any people could
be.
“We received the same kind of welcome when we visited each country’s
airport, to drop off their Presidents.
“All in all, it was a good weekend. Now I hope that AID and USIA and the other agencies will follow up this effort, and
help these Central American countries as they have helped other
countries.
“My most vivid impression is that there is so much to do—and so little
time to do it.”
Attachment I
OUTLINE FOR THE PRESIDENT’S REPORT TO THE CABINET ON
HIS RECENT CENTRAL AMERICAN TRIP2
A. Purpose of the Trip
- 1.
- To show United States support for economic integration in
Central America.
- 2.
- To dramatize the success of the Central American Common Market
as an example for other areas of the hemisphere and world of
what can be accomplished through regional cooperation.
- 3.
- To rally increased effort to expand the quantity and quality
of education.
B. Direct Accomplishments
- 1.
- The meeting took place at a critical time when the Central
Americans faced important adjustment problems in the Common
Market; morale was sagging.
- 2.
- My trip to review their achievements and problems with them
and offer increased US support recharged their confidence and
determination.
- 3.
-
Before I arrived, they made a frank
assessment of their accomplishments, which are
impressive:
- —almost 700% increase in intraregional
trade;
- —an average annual growth in GNP of 6%, although it
has slowed down in the past 2 years;
- —a 65% increase in investment;
- —a 50% increase in expenditures for
education;
- —effective regional institutions under dynamic,
young leadership.
But more importantly, they also measured
how much more needs to be done:
- —in education, housing, health and population
control;
- —in diversifying and increasing exports;
- —in linking the countries with better roads and
telecommunications;
- —in perfecting the Common Market
institutions.
- 4.
- They agreed to redouble their efforts in these fields.
- 5.
- They committed themselves to ratify the protocol imposing a
30% surtax on exports—an essential first step.
C. Important Follow-Up
- 1.
- The trip convinced me more than ever before that the road to
peace and progress lies through regionalism and subregionalism
in Central America.
- 2.
- Central America can be made a microcosm for this process which
will be a challenge and stimulus for other areas to
follow.
- 3.
- I am impressed by the material gains I saw and the human
talent available. I saw this particularly in the educational
field symbolized by the LBJ
School in a poor neighborhood and in the San Andres Normal
School which will house the Instructional Television pilot
project for Central America.
- 4.
- But as I drove through the streets and countryside and saw
thousands of children and young people, I realized how much more
needs to be done quickly in schooling, housing, health and
jobs.
I am asking Walt Rostow to work with Secretary
Rusk and Bill Gaud in organizing a working
group to bring together resources in private industry, the
universities and government to spur a major development effort in
Central America.
A Political Side-Benefit
- 1.
- For the past 13 months relations between Honduras and El
Salvador had progressively deteriorated as both sides refused to
exchange prisoners seized in a border dispute area.
- 2.
- The increased bitterness between the two countries was also
poisoning Common Market cooperative relations.
- 3.
- My trip prompted the two sides to work out a quick solution
announced on the eve of my arrival.
