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The International Origins of Dwight D. Eisenhower’s Political Economy

Published online by Cambridge University Press:  14 September 2012

Grant Madsen
Grant Madsen*
Affiliation:
Brigham Young University
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Journal of Policy History , Volume 24 , Issue 4 , October 2012 , pp. 675 - 708
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Copyright © Donald Critchlow and Cambridge University Press 2012

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References

Notes

1. Eisenhower, Dwight D., Mandate for Change, 1953–1956: The White House Years (Garden City, N.Y., 1963), 8–9.Google Scholar

2. Childs, Marquis W., Eisenhower, Captive Hero: A Critical Study of the General and the President (New York, 1958), 291, 86Google Scholar; Neustadt, Richard E., Presidential Power: The Politics of Leadership (New York, 1960), 120Google Scholar. See also Rovere, Richard Halworth, The Eisenhower Years: Affairs of State (New York, 1956)Google Scholar; Rossiter, Clinton, The American Presidency (New York, 1960)Google Scholar. Consider also the often-noted poll of seventy-five historians by Arthur M. Schlesinger (in 1962) asking where Eisenhower ranked among presidents. He finished twenty-second, between Andrew Johnson and Chester A. Arthur; Schlesinger, , “Our Presidents: A Rating by 75 Historians,” New York Times Magazine, 29 July 1962, 12, 40–41.Google Scholar

3. Greenstein, Fred I., The Hidden-Hand Presidency: Eisenhower as Leader (New York, 1982), viiiGoogle Scholar; Ambrose, Stephen E., Eisenhower: Soldier and President (New York, 1990).Google Scholar

4. For a summary of revisionist depictions of the Eisenhower presidency, see Warshaw, Shirley Anne, Reexamining the Eisenhower Presidency (Westport, Conn., 1993)Google Scholar. More recently, scholars have set aside Eisenhower’s leadership style and investigated specific aspects of his presidency, considering his Third World policy, use of rhetoric, and efforts to rebuild the Republican Party. See, for example, Yaqub, Salim, Containing Arab Nationalism: The Eisenhower Doctrine and the Middle East (Chapel Hill, 2004)Google Scholar; Osgood, Kenneth Alan, Total Cold War: Eisenhower’s Secret Propaganda Battle at Home and Abroad (Lawrence, Kans., 2006)Google Scholar; Statler, Kathryn C. et al. ., The Eisenhower Administration, the Third World, and the Globalization of the Cold War (Lanham, Md., 2006)Google Scholar; Allen, Craig, Eisenhower and the Mass Media: Peace, Prosperity, and Prime-Time TV (Chapel Hill, 1993)Google Scholar; Tudda, Chris, The Truth Is Our Weapon: The Rhetorical Diplomacy of Dwight D. Eisenhower and John Foster Dulles (Baton Rouge, 2006).Google Scholar

5. “To George Arthur Sloan, March 1, 1952,” The Papers of Dwight David Eisenhower: NATO and the Campaign of 1952, vol. 13 (Baltimore, 1989), 1038 (hereafter PDDE); “To Albert A. Volk, June 8, 1949,” PDDE, vol. 10, 613.

6. “To Amon Giles Carter, June 27, 1949,” ibid., 666.

7. Griffith, Robert, “Dwight D. Eisenhower and the Corporate Commonwealth,” American Historical Review 87 (February 1982): 88CrossRefGoogle Scholar, 100, 121, and 93. The italics are mine. For a discussion of corporate liberals, see Hawley, Ellis W., “The Discovery and Study of a ‘Corporate Liberalism,’” Business History Review 52 (1978)CrossRefGoogle Scholar; and Klein, Jennifer, For All These Rights: Business, Labor, and the Shaping of America’s Public-Private Welfare State (Princeton, 2003)Google Scholar. On the organizational synthesis generally, see (among many) Galambos, Louis, “The Emerging Organizational Synthesis in Modern American History,” Business History Review 44 (1970)CrossRefGoogle Scholar; and Galambos, et al. ., The Rise of the Corporate Commonwealth: U.S. Business and Public Policy in the Twentieth Century (New York, 1988).Google Scholar

8. Clarfield, Gerard H., Security with Solvency: Dwight D. Eisenhower and the Shaping of the American Military Establishment (Westport, Conn., 1999), xiGoogle Scholar; Parmet, Herbert S., Eisenhower and the American Crusades (New Brunswick, 1999), xGoogle Scholar. See also Tom Wicker, Dwight D. Eisenhowe(New York, 2002), 3.

9. Ambrose, Eisenhower, 575, 6; Perret, Geoffrey, Eisenhower (New York, 1999), 507Google Scholar. See also Wagner, Steven, Eisenhower Republicanism: Pursuing the Middle Way (DeKalb, Ill., 2006).Google Scholar

10. Griffith is among many to do this.

11. Sloan, John W., Eisenhower and the Management of Prosperity (Lawrence, Kans., 1991), 11, 102Google Scholar. See also Larson, Arthur, Eisenhower: The President Nobody Knew (New York, 1968), 141, 43.Google Scholar

12. Morgan, Iwan W., Eisenhower Versus “The Spenders”: The Eisenhower Administration, the Democrats, and the Budget, 1953–1960 (New York, 1990), 89Google Scholar, 80–93; and Weatherford, M. Stephen, “Presidential Leadership and Ideological Consistency: Were There ‘Two Eisenhowers’ in Economic Policy?” Studies in American Political Development 16 (2002): 116–17.CrossRefGoogle Scholar

13. Greenstein, Hidden-Hand Presidency, 50.

14. An important exception is Kerry E. Irish, “Apt Pupil: Dwight Eisenhower and the 1930 Industrial Mobilization Plan,” Journal of Military History70, no. 1 (2006).

15. Baruch, Bernard M., Baruch: The Public Years (New York, 1960).Google Scholar

16. See, among many, Engelbrecht, Helmut Carol and Hanighen, Frank Cleary, Merchants of Death: A Study of the International Armament Industry (New York, 1934)Google Scholar; and Hearings Before the Special Committee Investigating the Munitions Industry(Washington, D.C., 1934).

17. Dwight D. Eisenhower, “Course at the Army War College, 1927–1928: War Plans—Industrial Mobilization,” 23 December 1928, Pre-Presidential Papers (Miscellaneous), box 20, Army War College Papers (4) (Dwight D. Eisenhower Presidential Library (hereafter DDEPL).

18. Eisenhower, , Crusade in Europe (New York, 1948), 19.Google Scholar

19. Ibid. See also Weigley, Russell Frank, History of the United States Army (New York, 1967), 410Google Scholar; Holland, Matthew F., Eisenhower Between the Wars: The Making of a General and Statesman (Westport, Conn., 2001), 82.Google Scholar

20. Eisenhower, Dwight D., At Ease: Stories I Tell to Friends (Garden City, N.Y., 1967), 211.Google Scholar

21. Ibid.

22. Dwight D. Eisenhower, Plan for Industrial Mobilization, December 1930, Pre-Presidential Papers (Miscellaneous), box 23, Plan for Industrial Mobilization, DDEPL. The plan developed from a commission Hoover had convened and Eisenhower summarized much of the commission’s findings in his report. Eisenhower also wrote an accompanying article (published in the Cavalry Journal) summarizing the debates within the commission (see “War Policies [November, 1931],” Prewar Diaries). The subsequent analysis draws from both documents.

23. Eisenhower, Plan for Industrial Mobilization; see also “Course at the Army War College, 1927–1928: War Plans—Industrial Mobilization,” DDEPL.

24. Eisenhower, Plan for Industrial Mobilization, DDEPL.

25. Ibid.

26. One intriguing option came from Eugene Meyer, chairman of the Federal Reserve Board, who suggested simply abolishing the dollar as currency during wartime. He reasoned that “war depends upon resources in man power, supplies, and morale, and . . . finance is only incidental to these.” He then argued that since “money is only a medium of exchange,” just about anything could fill the coordinating function it provided. Within a “system of universal conscription” that the mobilization plan contemplated, “this medium could scarcely be anything else than government orders” (“War Policies [November 1931],” Prewar Diaries, 196).

27. During World War I, procurement worked on a “cost-plus” basis—the military paid a firm’s production costs plus a set percentage as profit. This tended to feed inflation since it did nothing to slow the rise of the initial cost and guaranteed a profit above that. In its place, senior army officials wanted long-term contracts signed before any conflict erupted, with rates set at their peace-time level. Thus, the firm would have no opportunity to profiteer and would have a large incentive to keep costs down. See Irish, “Apt Pupil,” 48–49.

28. “War Policies (November, 1931),” Prewar Diaries,197.

29. Eisenhower, At Ease, 211.

30. “February 28, 1933,” Prewar Diaries, 248–49.

31. “March 10, 1933,” Prewar Diaries, 249. It’s worth noting that Eisenhower supported Roosevelt’s austerity measures even though it meant that “my own salary will be cut some more if these things come to pass. I cannot afford it. . . . Nevertheless he should do it—and if he doesn’t I will be disappointed in him” (emphasis in original).

32. “June 15, 1932,” Prewar Diaries(Eisenhower clearly misdated this entry since the NRA did not exist in 1932. See 231 n. 1).

33. Emphasis in original. “October 29, 1933,” Prewar Diaries, 253–54.

34. See Brinkley, Alan, The End of Reform: New Deal Liberalism in Recession and War (New York, 1995), 35–37Google Scholar; Hawley, Ellis Wayne, The New Deal and the Problem of Monopoly: A Study in Economic Ambivalence (Princeton, 1966), 23–25CrossRefGoogle Scholar; Schlesinger, Arthur M., The Age of Roosevelt: The Coming of the New Deal, vol. 2 (Boston, 1957), 176.Google Scholar

35. Prewar Diaries, 252.

36. See, among many, Clemens, Diane Shaver, Yalta (New York, 1970).Google Scholar

37. Eisenhower, Crusade in Europe,136, 218.

38. Ibid., 76–80.

39. “Interview with General Lucius Clay: Interview #17, DDEPL: “I think that General Eisenhower regarded me and I certainly regarded him as one of my really close friends.” See also Smith, Jean Edward, Lucius D. Clay: An American Life (New York, 1990)Google Scholar, esp. chap. 28; and Pickett, William B., Eisenhower Decides to Run: Presidential Politics and Cold War Strategy (Chicago, 2000).Google Scholar

40. As quoted in Smith, An American Life, 615.

41. “Secretary of State to the Secretary of the Treasury (Morgenthau), July 31, 1942,” U.S. Department of State, Foreign Relations of the United States. 1943. General, vol. 1 (Washington, D.C., 1972), 1029 (hereafter FRUS).

42. “Memorandum Regarding Invasion and Occupation Currencies, March 30, 1943,” FRUS, 1034.

43. “Memorandum for the Files Regarding A. M. mark currency and Plates for the U.S.S.R., Signed by W.H. Taylor and L.C. Aarons,” U.S. Congress, Occupation Currency Transactions: Hearings Before the Committees on Appropriations, Armed Services and Banking and Currency, United States Senate (Washington, D.C., 1947), 184–85.Google Scholar

44. “Testimony of Howard C. Petersen,” ibid., 19.

45. “Redemption of Reichsmarks(From: ETOUSA Signed Eisenhower, To: AGWAR) 24 May 1945,” ibid.

46. “Minutes of Meeting Held in Office of the Assistant Secretary, May 30, 1945,” ibid., 343.

47. “October 21, 1945,” German Assignment, box 2, “Correspondence,” Joseph M. Dodge Papers, Detroit Public Library (hereafter JDP).

48. “Four Million Dollars Sent Home by 33,000 Berlin Yanks in July,” Stars and Stripes, 1 August 1945.

49. “To Walter Bedell Smith,” Currency Transaction Hearings, 366; See also PDDE, vol. 6, document 230.

50. Ibid.

51. “Currency Exchange Control,” ibid., 400.

52. “Military Payment Certificates, Circular No. 256,” ibid., 637.

53. “Testimony of Howard C. Petersen,” ibid., 3. See also Zink, Harold, The United States in Germany, 1944–1955 (New York, 1957), 269–70Google Scholar. For the basis of the inflation-adjusted figure, see “Consumer Price Index,” U.S. Department of Labor, Bureau of Labor Statistics, http://www.bls.gov/data/inflation_calculator.htm.

54. “Interview with General Lucius Clay: Interview #21,” 700, DDEPL.

55. “To John Sheldon Doud Eisenhower, July 1, 1946,” PDDE, vol. 7, 1165.

56. “November 12, 1946,” The Eisenhower Diaries(New York, 1981), 137.

57. Ibid.

58. Ambrose, Eisenhower, 204–8.

59. Eisenhower, Crusade in Europe,444.

60. “The Top Command,” New York Times, 21 November 1945, 20.

61. Eisenhower Diaries, 138.

62. Neu, Charles, “The Rise of the National Security Bureaucracy,” in The New American State: Bureaucracies and Policies Since World War II, ed. Galambos, Louis (Baltimore, 1987), 86Google Scholar; Leffler, Melvyn P., A Preponderance of Power: National Security, the Truman Administration, and the Cold War (Stanford, 1992), 104–5.CrossRefGoogle Scholar

63. Of the enormous literature on this transformation within the New Deal’s economic thought, I rely most on Brinkley, End of Reform, and Rosenof, Theodore, Economics in the Long Run: New Deal Theorists and Their Legacies, 1933–1993 (Chapel Hill, 1997).Google Scholar

64. This tendency came to be called the “paradox of thrift”: see Samuelson, Paul Anthony, Economics (New York, 1948), 284Google Scholar. See Keynes, John Maynard, The General Theory of Employment, Interest, and Money (New York, 1936), 21–34Google Scholar, 150–62. The literature on Keynes is vast. I found most helpful Backhouse, Roger E., “The Keynesian Revolution,” in The Cambridge Companion to Keynes, ed. Backhouse, Roger et al. . (New York, 2006)CrossRefGoogle Scholar; Laidler, David E. W., “Keynes and the Birth of Modern Macroeconomics,” in The Cambridge Companion to Keynes, ed. Backhouse, et al. . (New York, 2006).Google Scholar

65. 15 U.S.C. §1021. See also Bailey, Stephen Kemp, Congress Makes a Law: The Story Behind the Employment Act of 1946 (New York, 1950).CrossRefGoogle Scholar

66. George Gallup, “High Cost of Living Found Chief Worry of U.S. Families,” Washington Post, 11 May 1951. See also Gallup, “High Prices, Housing Remain Top U.S. Family Problems,” Washington Post, 1 February 1947; “Family of Four Needs at Least $50–$60 a Week ‘to Get Along’ Today,” Washington Post (1952); “Korean War Paramount in U.S. Mind,” Washington Post, 14 December 1952.

67. “Fight or Court Inflation?” New York Times, 24 August, 1945, 18.

68. Alvin H. Hansen, “Inflation,” Yale Review35 (June 1946): 699, 703, 709.

69. I borrow here from Goodwin, Craufurd D. W., Exhortation and Controls: The Search for a Wage-Price Policy, 1945–1971 (Washington, D.C., 1975).Google Scholar

70. Gerhard Colm, “Postwar Employment: Goals and Guiding Principles, October 9, 1944,” Papers of Gerhard Colm, Subject File: box 1, Employment Act Symposium, Harry S. Truman Presidential Library (hereafter HSTPL).

71. “Address at the Gilmore Stadium in Los Angeles (September 23, 1948),” in Public Papers of the Presidents of the United States: Harry S. Truman(Washington, D.C., 1948), 62.

72. As quoted in Nourse, Edwin G., Economics in the Public Service: Administrative Aspects of the Employment Act (New York, 1953), 127.Google Scholar

73. “November 12, 1946,” Eisenhower Diaries, 138.

74. “May 15, 1947,” ibid., 141.

75. “To Arthur Krock,” PDDE, vol. 9, 2133 n. 1.

76. Ibid., 2132–33.

77. See Eisenberg, Drawing the Line; Gramer, “From Decartelization to Reconcentration.”

78. Buchheim, Christoph, “The Establishment of the Bank Deutscher Länder and the West German Currency Reform,” in Fifty Years of the Deutsche Mark: Central Bank and the Currency in Germany Since 1948, ed. Baltensperger, Ernst et al. . (Oxford, 1998), 63.Google Scholar

79. “The Honorable Joseph M. Dodge: resume,” and “Dynamic Detroiter,” Biography, JDP.

80. See Ernst Baltensperger and “Deutsche Bundesbank,” in Fifty Years of the Deutsche Mark, 41–42.

81. Colm, Gerhard et al. ., “A Plan for the Liquidation of War Finance and the Financial Rehabilitation of Germany,” Zeitschrift für die gesamte Staatswissenschaft 111 (1955): 207.Google Scholar

82. “September 17, 1945,” German Assignment, Correspondence, JDP.

83. “Interview with General Lucius Clay: Interview #21,” 682–83, DDEPL.

84. “November 13, 1945,” German Assignment, Correspondence, JDP.

85. The plan’s official title was “A Plan for the Liquidation of War Finance and the Financial Rehabilitation of Germany.” It is often referred to as the “Colm-Dodge-Goldsmith Plan” after Gerhard Colm, Dodge, and Raymond Goldsmith (see note 81 above). In later years (after it became declassified), it was referred to as Dodge’s plan. See, for example, “Letter to Joseph M. Dodge, February 25, 1947,” German Assignment, Correspondence, JDP.

86. “Plan for the Liquidation of War Finance,” 222: “The ratio of liquid funds in 1935 to national income in that year was approximately .60. If this ratio, which was a normal one for most pre-war years, were to be re-established in 1946, it would be necessary to reduce the sum of currency and deposits to about 20 billion DM. This represents a reduction of more than 90 percent in the present total of currency and deposits; it is an important reason for the recommendation in the present report that new currency be exchanged for old, in the ratio of 10 RM == 1 DM.”

87. See Buchheim, Christoph, “Die Währungsreform 1948 in Westdeutschland,” Viertel-jahrshefte für Zeitgeschichte 36 (1988): 189–232Google Scholar; Kindleberger, Charles P. et al. ., “The 1948 Monetary Reform in Western Germany,” in International Financial History in the Twentieth Century, ed. Flandreau, Marc, Holtfrerich, Carl-Ludwig, and James, Harold (Cambridge, 2003)Google Scholar; Buchheim, “From Enlightened Hegemony to Partnership.”

88. “122. Conditions in Germany, 26 May 1946, From Clay for Chief of Staff [Eisenhower], May 26, 1946,” Papers of General Lucius D. Clay, 214.

89. Clay, Decision in Germany, 210.

90. “Currency Reform (From Clay Personal for Noce), January 17, 1947,” Papers of General Lucius D. Clay, 303: “Soviet representatives have now offered as a compromise to place the proposed printing in Leipzig under a quadripartite committee composed of one representative of each of occupying powers. In theory, it is difficult to argue against this proposal as printing in Leipzig would simplify and expedite the entire printing problem. However, our experience with Allied military marks makes me doubt the advisability of accepting Soviet proposal. In spite of Allied Control Council agreements, we have never received any information as to the total amount of Allied military marks printed and/or issued in the Soviet zone.”

91. The German finance minister Ludwig Erhard is often given credit for pushing the currency reform through. In fact, as Charles Kindleberger and others have shown, Erhard decided to take credit for a reform largely crafted by Dodge and made inevitable by Clay. See Kindleberger et al., “The 1948 Monetary Reform in Western Germany.”

92. For the results of the currency reform, see Clay, Decision in Germany, chap. 10; Brackmann, Michael, Vom totalen Krieg zum Wirtschaftswunder: Die Vorgeschichte der westdeutschen Währungsreform, 1948, 1. Aufl. ed. (Essen, 1993)Google Scholar; Kindleberger et al., “The 1948 Monetary Reform in Western Germany.”

93. Brown, Lewis H., A Report on Germany: How to Get Germany Eventually Off the Backs of the American Taxpayers (New York, 1947)Google Scholar. Clay had asked Brown to research and then publish a report on Germany, hoping it might move public opinion closer to the view that the German economy needed to be rehabilitated (and away from the last vestiges of the Morgenthau doctrine to pastoralize the nation). This report and subsequent documents I cite came not only from Brown but also from an economist working for Brown at Johns Manville named William C. Bober. For simplicity’s sake, I have attributed this and the subsequent documents to Brown alone. While not all of the analysis originated with Brown, he clearly concurred and passed along Bober’s views to Eisenhower as consistent with his own. As it turned out, Clay felt Brown acted too boldly, creating a backlash against (instead of support for) Clay’s efforts. As Clay mentioned to William Draper in August 1948, “Lewis Brown damn near ruined us politically in Germany,” Papers of General Lucius D. Clay, 756–57.

94. Ibid., 41.

95. Ibid., 46.

96. Ibid., 49, 48.

97. Ibid., 48.

98. PDDE, vol 9, 1878 n. 3. Brown sent the report to Clay, Eisenhower, and other members of the military establishment at the end of 1947. See PDDE, vol. 9, 1878, 993. See also “Lewis Brown Reports on Germany; Asks Marshall Plan Support; Says War, Communism Alternative,” Wall Street Journal,23 October 1947, 2.

99. “The President’s ‘State of the Union’ Message shows complete guidance by Keynsian economics, January 6, 1949,” Pre-Presidential Papers, Principle File, box 14, Brown, Lewis H., DDEPL.

100. “To Lewis Harold Brown, January 18, 1949,” PDDE, vol. 10, 440.

101. “To Lewis Herold Brown, February 7, 1949,” ibid., 477.

102. “To Bernard Mannes Baruch, June 8, 1949,” ibid., 617.

103. Hyman, Sidney, Marriner S. Eccles, Private Entrepreneur and Public Servant (Palo Alto, 1976).Google Scholar

104. Marriner Eccles, “Statement for the Press by Chairman Eccles, January 17, 1946,” Papers of Gerhard Colm, Student File: Economic Growth, folder 7, HSTPL.

105. U.S. Joint Committee on the Economic Report, Anti-Inflation Program as Recommended in the President’s Message of November 17, 1947, 25 November 1947, 135.

106. For accounts of the Fed-Treasury conflict, see Hetzel, Robert L. and Leach, Ralph F., “The Treasury-Fed Accord: A New Narrative Account,” Economic Quarterly (Federal Reserve Bank of Richmond) 87 (Winter 2001)Google Scholar; Meltzer, Allan H., A History of the Federal Reserve, 1913–1951, vol. 1 (Chicago, 2003)Google Scholar, chap. 7.

107. See, among many, “Gambling with Inflation,” New York Times, 26 January 1951; “Defense Financed by Taxes Is Urged,” New York Times, 23 January 1951; Paul Heffernan, “New Debate Looms over Money Rate: Treasury and Reserve System Renew Row over Effect of Low Fixed Interest, Eccles Again Attacks, Sees Bank by-passed by Fiscal Agency Despite its duty to fix Monetary Policy,” New York Times; Heffernan, “Rebuke Discerned in U.S. Money Move: Snyder’s Financing Program at Odds with Top Opinion in the Banking World,” New York Times; John D. Morris, “Eccles for Curb on Pay, Not Prices,” New York Times, 26 January 1951.

108. Most of this account comes from Ewald, William Bragg, Eisenhower the President: Crucial Days, 1951–1960 (Englewood Cliffs, N.J., 1981), 192.Google Scholar

109. Robert B. Anderson, “The Money and Credit System of the United States and How It Works,” 19 September 1957, Administration Series, box 2, Anderson (4), pp. 2 and 6, DDEPL.

110. “Remarks by Robert B. Anderson, Secretary of the Treasury, at Dinner of Republican Finance Committee, Detroit, Michigan, 7:00 P.M., Thursday, October 31, 1957,” ibid., DDEPL.

111. As quoted in Leach, “The Treasury-Fed Accord,” 45.

112. Hamby, Alonzo L., Man of the People: A Life of Harry S. Truman (New York, 1995), 583.Google Scholar

113. “Letter to Eisenhower, March 20, 1951,” Pre-Presidential Papers, box 123, George Whitney, DDEPL.

114. See “To Clifford Roberts, March 6, 1951,” PDDE, vol. 12, 100.

115. “Letter to Eisenhower, March 13, 1951,” Pre-Presidential Papers, box 98, Clifford Roberts (6), DDEPL.

116. “To William E. Robinson, March 6, 1951,” PDDE, vol. 13, 1–2.

117. “To Martin Withington Clement, December 4, 1951,” ibid., 754.

118. Hamby, Man of the People, 500–501; Hogan, Michael J., A Cross of Iron: Harry S. Truman and the Origins of the National Security State, 1945–1954 (Cambridge, 1998), 277, 93.CrossRefGoogle Scholar

119. “Edwin G. Nourse, Memorandum: August 9, 1949,” Student File: Economic Growth, box 1, 4, HSTPL.

120. Keyserling, “Wage-Price-Profit Relationships in Economic Growth,” 14 March l950, Speech and Article File, 1923–1989, Leon H. Keyserling Papers, HSTPL.

121. Leffler, A Preponderance of Power,356. For the history of NSC-68, see May, Ernest R. et al. ., American Cold War Strategy: Interpreting NSC 68 (Boston, 1993).Google Scholar

122. “NSC 68: United States Objectives and Programs for National Security,” FRUS(1950), vol. 1, 258.

123. See, in particular, Hogan, Cross of Iron, chap. 7.

124. “January 22, 1952,” Eisenhower Diaries, 209.

125. Ibid.

126. Ibid., 212.

127. Ibid., 210, 214, 209.

128. For a broader discussion of Eisenhower’s decision to run for president, see Pickett,Eisenhower Decides to Run.

129. “January 22, 1952,” ibid., 212.

130. “To William E. Robinson, February 12, 1952,” PDDE, vol. 12, 989–90.

131. “The Transcript of General Eisenhower’s First Press Conference, Giving His Political Views,” New York Times,6 June 1952, 10.

132. “Telephone Message for General Eisenhower (Bob Schulz), June 25, 1952,” Papers as President, 1952, box 5, Bernard M. Baruch (6), DDEPL.

133. “To Bernard Mannes Baruch, June 31, 1952,” PDDE, vol. 12, 1263.

134. “Text of General Eisenhower’s Address on Inflation, September 23, 1952,” Papers as President, Speech Series, box 2, DDEPL. Eisenhower had originally planned to deliver this speech in Cleveland on 23 September. But that happened to be the same night as Nixon’s famous “Checkers” speech, in which he defended himself against charges of financial impropriety. That night in Cleveland, Eisenhower discarded his prepared remarks in order to speak to Nixon’s televised appearance and to affirm his faith in Nixon. He then released the speech as a policy statement to the press. Parts of it came from his regular stump speech. See “General’s Speech Stands: Discarded Text on Inflation to Be His Official Views,” New York Times,24 September 1952, 15.

135. “Address by Dwight D. Eisenhower, Republican Nominee for President, delivered at Peoria, Illinois, Thursday night, Oct. 2, 1952,” Papers as President, Speech Series, box 2, DDEPL.

136. Dwight D. Eisenhower, “The Washington Mess,” Vital Speeches of the Day, 30 September 1952.

137. “Interview with General Lucius D. Clay, by Ed Edwin, March 16, 1967,” Oral History Research Office, Columbia University.

138. “Undated memo, circa October 1952,” Biography, box 1, folder 2, JDP. “One of the specific jobs that [we] felt was so very important,” explained Clay, “was the Director of the Budget” (“Interview with General Lucius D. Clay by Ed Edwin, March 16, 1967,” 50).

139. Duncan Norton-Taylor, “The Banker in the Budget Bureau,” Fortune, March 1953, 135.

140. “Letter to Sherman Adams: January 18, 1954,” Bureau of the Budget, box 13, “Resignations,” PJD.

141. “Mount Rushmore Address,” New York Times, 12 June 1953, 12. See also Eisenhower, Mandate for Change,121.

142. George Bookman Papers, box 1, DDEPL.