Administrative expense estimates for other Federal Agencies under the Economic Cooperation Administration

[These estimates cover only activities in the United States. Services in foreign areas are included under ECA overseas budget.]

Justice.

Treasury

Export-Import Bank..

State Department..

Commerce.

Agriculture..

Labor

Army..

Federal Trade Commission.

Interior.

Federal Power Commission.

FBI investigation of prospective personnel for loyalty
and security as required by the act (sec. 110c).
Staff services on balance of payments and other finan-
cial problems for the National Advisory Council.
Under the Act, the NAC is to advise the Adminis-
trator as to the division of aid between loans and
grants and the terms on loans (sec. 111c (1) and (2)).
Services in the making and administering of loans as
required by the act (sec. 111c (2)).

To provide economic and political information and
translating, communication, legal, and administra-
tive services under the act.

To furnish data on ERP exports from the United
States, on supplies of United States manufactured
goods in the ERP program, and on United States
foreign transactions.

To screen and analyze requirements for farm products
and machinery, to make allocations, and to advise
on agricultural conditions abroad.

To make studies of labor conditions and productivity
in ERP countries and to furnish statistical and
technical assistance in the fields.
Administrative and procurement services in the
United States for occupied areas portion of ERP.
Aid in planning for the reduction of barriers to intra-
European trade. (Under sec. 115b (2) of the act
bilateral agreements are to include provisions for
cooperation to reduce these barriers.)

To advise on kinds and quantities of mineral resources
and production equipment available from United
States and on their distribution to ERP countries,
as well as to furnish aid in power, irrigation, and
other fields of Interior's activities.

To advise on European power needs and review
programs for construction of power facilities.

Total...

VEHICLES

The CHAIRMAN. I think we are pretty well through with the machinery picture. If there are no further questions on that, we will move on to the next number, and that will be "Vehicles", No. 46, n. e. s. Do you have any documents for us on vehicles?

Mr. BRAMBLE. Yes, sir. I might say passenger automobiles constitute a fairly large percentage of these vehicles "not elsewhere specified" from the United States.

75408-48-pt. 1—52

(The following table was submitted for the record:)

United States exports of vehicles to participating countries, estimated 1937, 1947,

and 1948-49

Includes passenger automobiles, parts for assembly, repair parts, locomotives, commercial aircraft, motorcycles, bicycles, street railway cars, and other vehicles except trucks, tractors, and freight cars. (Does not include ships.)

The CHAIRMAN. Where are the passenger automobiles shown in the table you are giving us?

Mr. BRAMBLE. The passenger automobiles are in the two columns on the right.

The CHAIRMAN. What does "Vehicles n. e. s." mean? Are there any trucks?

Mr. BRAMBLE. There are no trucks in that. It includes passenger automobiles, vehicle parts for assembly, including repair parts, locomotives, commercial aircraft, motorcycles, bicycles, street railway cars, and any other wagons or extra vehicles, but it excludes trucks, tractors, and freight cars and does not include ships, which the Department of Commerce statistics do.

The CHAIRMAN. I thought we had testimony before on locomotives. Mr. BRAMBLE. I do not believe so.

Mr. NITZE. We did on special types of locomotives for steel plants. Mr. BRAMBLE. Which is in steel equipment.

Mr. CAWLEY. Also, there were some special types of locomotives in timber equipment, I believe.

Mr. BRAMBLE. That could easily be.

Mr. CAWLEY. For narrow-gage track.

Mr. NITZE. I did not recollect that the narrow-gage equipment

had any locomotives.

The CHAIRMAN. What is the unit here?

Mr. BRAMBLE. The unit here is in millions of dollars. They are reported that way in the statistics; so it is difficult to find any numbers of units for these heterogeneous items. One reason for classifying them this way is that it is the classification in the Department of Commerce statistics which lumps vehicles together, and we simply cannot break them out without a great deal of clerical research.

The CHAIRMAN. There is nothing here on this passenger automobile business?

Mr. BRAMBLE. No, sir; there is nothing on passenger automobiles. You can see from the columns marked "1947" and "1937" what the exports from the United States were in 1947 prices. This 1937 volume of exports has been raised to the 1947 prices.

AUTOMOBILES

The CHAIRMAN. We will take up automobiles first. Do you know to what that total runs?

Mr. BRAMBLE. No, sir; but I will insert that.

(The information may be found on p. 813.)

The CHAIRMAN. That runs to a good deal larger figure than the prewar figure in every instance of any size, with the exception of the United Kingdom and Denmark.

Mr. BRAMBLE. You mean the 1947 figures are larger than the 1937 figures?

The CHAIRMAN. Yes.

Mr. BRAMBLE. That is right.

The CHAIRMAN. And the 1948-49 figures

Mr. BRAMBLE. Are not automobiles alone.

The CHAIRMAN. They include something else?

Mr. BRAMBLE. Yes, sir.

The CHAIRMAN. But they run quite considerably above the 1947 figure.

Mr. BRAMBLE. No; considerably less than the 1947 figure. The CHAIRMAN. I would not think so from looking this over. Mr. BRAMBLE. There are only two that are larger that I can see. The CHAIRMAN. Well, there is Belgium-Luxemburg, and there is Denmark.

Mr. BRAMBLE. Belgium-Luxemburg is less than 1947. It is 41.6 million for 1948-49 compared with 46.2 million for 1947.

The CHAIRMAN. That is in the over-all figure?

Mr. BRAMBLE. Yes.

The CHAIRMAN. The Netherlands is larger.

Mr. BRAMBLE. The Netherlands is a little bit larger; that is right. I have some figures here on passenger automobile registrations in these countries, if you would like to see those. We have the 1939 registrations and the 1947 registrations, and in all cases except that of Denmark I think you will find the 1947 figure runs considerably below the prewar registration, and you would expect that, since they have had no replacements for a number of years.

(The matter above referred to is as follows:)

Passenger-automobile registrations in participating countries, 1939 and 1947

The CHAIRMAN. For the United Kingdom, it does not-perhaps a hair below, but that is all.

If

Mr. BRAMBLE. That is right.

The CHAIRMAN. And Switzerland does not.

Mr. BRAMBLE. You are right there again. Switzerland, of course, we are not supplying anything for, and I had not considered them. you will notice the countries where the items of vehicles, n. e. s., is large, you will find the difference in registrations in 1939 and 1947 is considerable. For instance, Belgium-Luxemburg had 114,000 passenger vehicles in 1939 and only 88,000 in 1947. Netherlands had 93,000 vehicles in 1939 and 58,000 in 1947.

The CHAIRMAN. How much of this is automobiles?

Mr. BRAMBLE. I do not know exactly how many automobiles.
The CHAIRMAN. You mean it has not been figured?

Mr. BRAMBLE. We expect the proportion of automobiles in 1948-49 will be somewhat like that in 1947, but they might not be available. You know how difficult it is to get delivery on automobiles.

The CHAIRMAN. Well, if we have a strike or two, you won't get

any.

Mr. BRAMBLE. That is right.

The CHAIRMAN. We will just have more inflation; that is all.

Mr. BRAMBLE. Of course, the use of automobiles in Europe is somewhat different from what it is in the United States. Since they control the dollar exchange that can be used for the purchase of things like this, there, is in effect, a rationing system of automobiles. For that reason and because of the fact the number of automobiles per capita is so very much less in Europe than here, they are mostly used for the more essential requirements than they are here.

I might also say that perhaps 50 percent of these figures represent replacement parts to keep the present cars on the road rather than to add to the number of cars that are involved.

The CHAIRMAN. Now, you have in here an over-all figure of $251,000,000 from the Western Hemisphere. That all comes out of the United States, does it not?

Mr. BRAMBLE. Yes, sir; practically all.

The CHAIRMAN. There is no other place from which it could come? Mr. BRAMBLE. There is a small amount from Canada.

The CHAIRMAN. A little bit of it. About one-fifth or 20 percent of it is supposed to be regular trade, and $70,000,000, or about a little over 25 percent, is supposed to be loans and credits. That means from us?

Mr. BRAMBLE. I am sorry. I do not have those figures before me. The CHAIRMAN. Can you tell me about that?

Mr. NITZE. I am afraid I cannot give you the details as to what loans that would be against.

The CHAIRMAN. It would come out of the United States.

Mr. NITZE. No, it would not come out of the United States; it would come either out of the Export-Import Bank credits already on the books

Mr. BRAMBLE. You are talking about the 70.8 figure?

Mr. NITZE. Yes.

Mr. BRAMBLE. Yes. A large part of that, not all, is to come from the automobile manufacturers themselves, who have assembly plants in foreign countries and who send the majority of their supplies on credit, in order to maintain their markets in those areas, and they are able to get dollars out as dividends or profits made by the corporation. The CHAIRMAN. The ECA obligations are set up as $88,600,000. Mr. BRAMBLE. Yes. I understand it is thought that a larger part of that although I do not know what proportion, and perhaps someone can enlighten me-of that ECA obligation would be of the loan type of obligation, because of the nature of the commodity that was being sent. For instance it was thought that possibly-although this is a determination for the Administrator to make-that the vehicles that are sent to Great Britain, most of which are replacement parts, might be on a loan basis rather than a grant basis.

The CHAIRMAN. You do not know how many automobiles are involved in this picture?

Mr. BRAMBLE. Not exactly.

The CHAIRMAN. What would be your best guess?

Mr. BRAMBLE. Our exports of automobiles in 1947 to these countries ran at a rate of about 3 percent of our production, and the total exports ran about 8 percent of our production.

The CHAIRMAN. The automobiles would probably run about 3 percent of our production?

Mr. BRAMBLE. It would be somewhat less; we expect the production to be greater, and the exports would be somewhat less.

LOCOMOTIVES

The CHAIRMAN. How many locomotives do you anticipate will be exported?

Mr. BRAMBLE. I do not know about that. Some of these figures were worked up by the country specialists, and I am not a specialist on these various types of machinery, and I could not give you the exact figures.

The CHAIRMAN. Does any one here know about that?

Mr. BRAMBLE. Locomotives are built to order.

The CHAIRMAN. I know that.

Mr. BRAMBLE. And I do not know how many that would be.

The CHAIRMAN. Does any one know about it?

Mr. NITZE. We can supply you further information.