Alfred
Mendes looks at the historical origins of the European Union
Any
research into the subject of the Common Market is immediately
confronted by a
veil of confusing acronyms: E-this, E-that and E-the other.
True, the Common Market
- or the EEC, or the EC, or the EU (it transpires that they
are all the same
at different stages of evolution) - must be one of the most
complex, if not
the most complex bureaucracy ever created. That complexity,
and the constant political
bickering over its very raison d'etre has tended to distract
public attention
away from a proper understanding of it - and to achieve thisunderstanding,
it is essential to recapitulate the events leading to its
birth - viewed
from within the context of the political/economic situation
of the post-World
War 2 period.
The
political situation was one of ideological confrontation between
the West and
the USSR: between Capitalism and Marxism (the question as
to whether the USSR
was a Marxist state or not is irrelevant here inasmuch as
the West - and particularly
America - perceived it to be such). Again, the term 'confrontation'
may
at first seem to be an overstatement as the West and the USSR
had just emerged
from a war in which they had been allies, but it must be recalled
that this
alliance had been one of circumstance and convenience, as
events in the immediate
pre-war period clearly demonstrated. The French and the British
had favoured
a policy of appeasement towards Germany, whereas the USSR
- well aware that
it was Hitler's target (see 'Mein Kampf') - favoured a policy
of confrontation
backed by an alliance with France and Britain. As disclosed
in the Alger
Hiss trial in 1949, the US Ambassador to France, William Bullitt,
in January
1938, had reported to his State Department that the French
Foreign Minister,
Yvon Delbos, had told him that the Soviet Ambassador had just
informed him
(Delbos) that "..if France should begin serious negotiations
with Germany, the
Soviet Union would come to terms with Germany at once".
That France and Britain
did not heed that warning until Germany had invaded Czechoslovakia
when
by then it was too late - can only be explained by the fact
that their policy
of appeasement was governed by the anti-communist bias they
shared with Germany.
They were certainly in no position to claim that they had
not been warned
when, in August 1939, the Soviet-German non-aggression Pact
was signed! It
is necessary at this point to recall that the intellectual
dichotomy between Capitalism
and Marxism of the late nineteenth century had become political
confrontation
with the advent of the Bolshevik Revolution in 1917. This
invalidates
the popularised view of the Cold War as being a post-World
War 2 phenomenon.
Another
popular misconception is that at the end of the war it was
the USSR that had
reneged on decisions reached by the Allies (The Big Three)
at the Yalta Conference
in February 1945 - particularly over the question of the future
of Poland.
Indeed, this was precisely the reason given, more than once,
by the West for
the subsequent policy of 'going their own way' - one of the
results being the
Common Market. It therefore calls for a closer look. The American
Secretary of
State, Edward Stettinius (FDR's right-hand man at Yalta) later
records: "The Soviet
Union made more concessions to the United States and Great
Britain than were
made to the Soviet Union.". Again, on the 27th of February
1945 Churchill, in
his speech to the House of Commons, stated: "I know of
no government which stands
to its obligations, even in its own despite, more solidly
that the Soviet Government.".
Given this background, it is extraordinary that on the 23rd
of April
1945, a fortnight after Roosevelt's death and while Molotov
was in America en
route to the Founding Conference of the UN, Truman summoned
him (Molotov) to the
White House and berated him (in Missouri mule-driver's language,
to quote the
columnist Drew Pearson), accusing the Soviets of failing to
adhere to the Yalta
agreements, agreements that had been reached only two months
previously and
the war was still being fought! (It is not difficult to imagine
what Truman's
response to the Soviets would have been had the roles of the
protagonists
in this situation been reversed: mule-driver's language would
most certainly
have been used!). Furthermore, the following month, immediately
after VE
Day, Truman cancelled Lend-Lease aid to the USSR, a country
that had pledged at
Yalta to declare war against Japan 3 months after Germany's
defeat - namely, on
the 8th of August...on the 6th of August the Americans dropped
the atomic bomb
on Hiroshima, without previously notifying their Soviet ally
of their intention
so to do.
So
why this public switch in America's attitude? It must be appreciated
that the US
was then (as it still is) a corporate state. In his first
two years in office,
of the 125 administrative posts appointed by Truman: 49 were
bankers, industrialists
and financiers; 17 were corporate lawyers; and 31 were high-ranking
military officers. True, he had inherited a similarly oriented
administration
from Roosevelt, but the war had been profitable enough to
sedate the
latter's corporate cohorts - and Roosevelt an excellent diplomat.
Now, the European
war was over, Roosevelt dead, and a successfully tested atomic
bomb to hand.
And when it is recalled that in July 1941, Truman, on learning
of the German
invasion of the USSR, had stated that "if we see that
Germany is winning
the war we ought to help Russia; and if Russia is winning
we ought to help
Germany and in that way let them kill as many as possible.'
(as reported in the
New York Times on the 24th of July 1941), then the Americans'
actions noted above
are comprehensible. There would certainly be no more co-operation
with the Red
Enemy!
Talk
of international unity was relegated to the posturing of diplomats
and officials
within the halls of the UN - much as it had been under the
League of Nations
between the wars. European integration was the call heard
more frequently
in the world outside. This call was by no means a new one,
but before 1939
it had been of an amorphous nature with religious (mainly
Catholic) overtones
- hardly surprising given the Vatican's centuries-long dominion
over Europe
under the banner of the Holy Roman Empire which, in an historical
sense, had
not long ended. The Pan-European Union (Pan Europa) formed
by the Habsburgian
Count Richard Coudenhove-Kalergi in 1923 was such a one. During
the war
there had been other instances of movement towards European
unity or federation
which, because of their common aim, contributed something
towards the eventual
birth of the Common Market - even though it may not have been
of a direct
nature. After all, there would be the inevitable intermingling
of ideas of
those participating within the various groups formed. The
call by Andre Malraux
and Georges Bidault in 1941 for a post-war federal style European
New Deal
- excluding the Soviet Union - was such a one. There were
others, but there was
no possibility of fulfilment before war's end, anyway.
At
war's end, the West European nations emerged economically
bankrupted; the USSR
with its infrastructure decimated; and America with three-quarters
of the world's
invested capital and two-thirds of the world's industrial
capacity (thanks
in no small measure to the war). On the one hand, a group
of nations in desperate
need of reconstruction - and on the other hand a rich nation
with the capacity
to satisfy that need. On the face of it, the problem so posited
carried within
it a built-in solution - but there was one main obstacle to
such a resolution:
namely, one of those nations was the USSR. The problem here
for corporate
America was that, although it had no intention of acceding
to the Soviet's
request for assistance, both countries were still part of
the Big Three Alliance.
Indeed, at the Potsdam Conference in mid-July 1945, the USSR
had acceded
to the Americans call for the establishment of a Council
of Ministers which
was duly set up, and although relations between West and East
became more strained
with each subsequent Foreign ministerial meeting, peace treaties
with the
ex-Nazi satellite nations (Italy, Bulgaria, Finland, Hungary
and Romania) were
signed by the Big-Three in October 1946
To
appreciate more fully the events that followed, it must be
recalled that Britain
at the end of the war had, by military intervention, supplanted
the popular
left-wing Greek movement EAM with the right-wing dictatorship
of Tsaldaris
- and had thereby found itself enmeshed in a civil war it
could no longer
afford to finance. On the 24th of February 1947 it notified
America of its
intention to withdraw from Greece, and Truman immediately
told Clark Clifford,
a corporate lawyer (later to be special attorney to Du Pont,
GE, Standard
Oil, TWA and RCA), to draft what was subsequently known as
the Truman Doctrine
Speech.
The
next Foreign ministers meeting in Moscow, beginning on the
10th of March 1947,
turned out to be a critical one in East-West relations. In
the afterglow of
the Satellite Peace Treaties signed some 5 months previously,
the negotiators and
staff met in Moscow in a hopeful mood to discuss such questions
as German unity,
disarmament, and an end to the Soviet occupation of Austria.
As eye-witness
correspondent Howard K. Smith wrote: "Molotov proved
uncommonly conciliatory
in the opening discussion on rules and procedure and yielded
his own
suggestions first to those of Marshall, then to those of Bevin.
The Russians had
undoubtedly assumed that all was well and that things would
go according to prescription.
Stalin even told Secretary of State Marshall that ..'these
were only
the first skirmishes and brushes of reconnaisance forces'
..Then, right on top
of the Conference - two days after it had opened - burst the
bombshell of the
Truman doctrine speech in which President Truman had said
that nearly every nation
must choose between the two worlds. It sounded like an ultimatum
to the rest
of Europe to be with us or be counted against us. That wiped
the smiles off the
Russians faces. " That
had, indeed, been Truman's message to his Congress - and the
USSR. Now the main
obstacle to the flow of American capital investment into Europe
had been removed
and was now to be activated by means of the Marshall Plan
as proclaimed by
Marshall at Harvard University 3 months later on the 5th of
June 1947. This speech
called upon the Europeans to draw up plans for economic recovery
which the
Americans would then finance. He had also stated in his speech
that: "our policy
is not directed against any country or doctrine, but against
hunger, poverty,
desperation and chaos". But in saying this had he forgotten
that two months
before, he had stated, as later revealed by Walt Rostrow (Special
Assistant to the Executive
Secretary of the Economic Commission for Europe from 1947
to 1949), he had told Secretary Marshall to instruct the Policy
Planning Staff to prepare a general plan for American aid
in the reconstruction of Western Europe. No mention here of
Eastern Europe or the USSR. But in any case, had not the United
Nations been created with just such a scenario in mind? So
why by-pass it?
Again,Walt Rostow: "..there was even in being an organisation
dedicated to European
economic co-operation - the Economic Commission for Europe
- the ECE was,
however, an organisation of the United Nations, with Soviet
and Eastern European
countries as members. Its very existence posed a basic question.
Should an
effort be made to embrace all of Europe in a new enterprise
of reconstruction,
or should the lesson of the Moscow Conference be read as indicating
that the only realistic alternative was for the West to accept
the split
and to strengthen the area outside Stalin's grip? ".(Remember,
Rostow had served
in the ECE). This decision to by-pass the UN aroused the suspicions
of the
Soviets, suspicions that were confirmed at the Paris Conference
of the Committee
of European Economic Co-operation (CEEC) called in July 1947
to discuss
the administration of Marshall aid. Molotov walked out after
two days attendance.
A
closer look at Marshall's planning staff is revealing. The
committee charged with
formulating the Marshall Plan was as follows: Chairman - Henry
Stimson (ex-Sec.
of State & war; Wall st. lawyer; Dir. of Council on Foreign
Relations); Exec.
C'tte. Chm. - Robert Patterson (ex-Sec. of War); Exec. C'tte.
- Dean Acheson
(Under Sec. of State; corporate lawyer of Covington &
Burling); WinthropAldrich
(Banker & uncle of Rockefeller bros.); James Carey (CIO
Sec. Treasurer);Herbert
Lehman (Lehman Bros. Investment); Philip Reed (GE Exec.);
Herbert Bayard Swope
(ex-Editor & brother of ex-Pres. GE); David Dubinsky (Labor
Leader). The composition
of this planning group confirms what has already been referred
to: that
the American executive administration had, since the mid-thirties
been heavily
staffed with corporate executives - men who, because they
were unaccountable
to the democratic processes of the country, could more readily
act in
their own corporate interests. Interests, moreover, that were
co-ordinated to a
high degree by inter-linked membership of numerous advisory
councils,Foundations
and other forms of quangoes whose common affinity was obeisance
to Profit.
Here,
two points need to be emphasised: the importance that America
attached to the
Marshall Plan, and the fact that the Common Market could not
have evolved into
the form it subsequently adopted without the Marshall aid.
The US Congress duly
authorised this aid by passing the Economic Co-operation Act
(ECA) on the 3rd
of April 1948, and Paul Hoffman (Studebaker, Ford Foundation
& co-founder of the
Committee for Economic Development in 1942) was subsequently
appointed Administrator
of the aid program - and since ECA approval was required before
such
aid funds could be supplied, this allowed US planners to influence
directly the
direction of economic change in Europe.
Meanwhile,
as a result of the above-mentioned CEEC Conference in Paris,
the Organisation
for European Economic Co-operation (OEEC) was formed in order
to determine
the allocation of Marshall aid. The American desire was for
a more integrated
organisation than the Europeans were prepared to accept. As
Paul Hoffman
put it: "The substance of such integration would be the
formation of a large
single market within such quantitative restrictions of movement
of goods, monetary
barriers to the flow of payments and eventually all tariffs
are permanently
swept away". This was a scenario within which corporate
America could
move its capital at will, and, as such, a statement reflecting
blatant self
interest. Indeed, this message was further driven home by
another ECA official,
Richard Bissel, at whose instigation the OEEC set up the European
Payments
Union (EPU) in September 1950 in order to facilitate intra-European
trade,
and provide a basis for European integration and monetary
union. (One interesting
point here: good economist he may have been, in1950, Bissel
was no military
strategist when, in 1961, as CIA Deputy Director of Planning,
he oversaw
the Cuban Bay-of-Pigs fiasco!). The Europeans, some of whom
were still in
the time-warp of Empire, and reluctant to relinquish any of
their individual sovereign
rights, opposed further integration. This not only meant that
the aid became
a scramble for dollars, but, more crucially , posed an obstacle
to the American's
aim as laid out by Hoffman. This called for a change of mind
on the part
of the dissedent Europeans, which would eventually be accomplished
primarily
through economic necessity - but also by alittle-help-from-my-friends.
This help would, initially, be of a non-governmental
nature, given the already noted opposition of governments
whose hands,
in any case, would be full coping with their day-to-day, short-term
problems.
Use would be made of the numerous lobbying groups formed in
the aftermath
of the war as a result of earlier calls for European Union.
The
earliest of these groups, and one which was to play a significant
role in alleviating
any discord among the Europeans, was the Independent League
for Economic
Co-operation (ILEC) - still in existence today, but now known
as the European
League for Economic Co-operation). This lobby group, ostensibly
motivated
by its desire to find an economic solution to Europes
problems - as implied
by its title - was responsible for the subsequent establishment
in May1949
of the Council of Europe (COE) which, contrary to the aspirations
of those who
had laid the foundation for it at the Congress for Europe
the previous year,ended
up as a purely consultative body with no economic mandate,
due primarily to
the reluctance of Britain and the Scandinavians (as noted
above). Be that as it
may, the COE was established in Strasbourg with all the key
Europeans onboard -
and is still in existence today. Indeed, it is often referred
to as the Mother of
the Common Market - with some justification: was not its flag
adopted by the EC
in May 1986? To gain a clearer understanding of the above,
it is necessary to take
a closer look at the means by which the ILEC evolved into
the COE. ILEC was the
brainchild of a 60-year-old Pole, Dr. Josef Hieronym Retinger,
a man with a history
intriguing enough to warrant a biography. Suffice it to say
here that,as
a result of comprehensive political dealings in both Europe
and the New World stretching
from pre-WW 1 to post-WW 2, he had become the archetypal broker
- an eminence
grise. In Sir Edward Beddington-Behren's words: "I remember
in the UShis
picking up the telephone and immediately making an appointment
with the President
; and in Europe he had complete entry in every political circle
as a kind
of right". Having set up the ILEC with the assistance
of Paul Van Zeeland (Belgian
Prime Minister-to be), Retinger went to America at the end
of 1946 seeking
financial backing for the group. In his own words ( as reported
by his biographer
and Personal Assistant, John Pomian): "At that time I
found in America
a unanimous approval for our ideas among financiers, businessmen
and politicians:
Mr. Leffingwell, senior partner in J.P.Morgan's; Nelson and
David Rockefeller;
Alfred Sloan, Director of the Dodge Motor Company...(et al)...and
especially
my old friend Adolph Berle Jnr. were all in favour, and Berle
agreed to
lead the American section". (Berle was a prestigious
corporate lawyer).In
March 1947, ILEC was established at a meeting in New York,
with Van Zeeland as
President of the Central Council and Retinger as General Secretary.
In December
1947, as a result of Retinger's approaches to a number of
other groups of
similar aims of European unity - either of a co-operative
or federalist nature
(Churchill's UEM; Coudenhove-Kalergi's IPU; the Catholic NEI;
the CFEU and
the UEF), the International Committee of the Movement for
European Unity (ICMEU)
was formed, with Duncan-Sandys (Churchill's son-in-law) as
Chairman and Retinger
as Honorary Secretary. This Committee, more commonly known
as the European
Movement (EM), convened the Congress of Europe in the Hague
in May 1948 which,
in turn, established the Council of Europe (COE) by the Treaty
of Westminster
in May 1949 (as already noted).
In
July 1948 Retinger and Duncan-Sandys went to America to seek
financial backing
for the EM, accompanied by Winston Churchill and Paul Henri
Spaak, the Belgian
Prime Minister. This resulted in the launching of the American
Committee on
a United Europe (ACUE) at a luncheon in honour of Churchill
on the 29th of March
1949. The significance of ACUE lay in its stewardship: Chairman:
William Donovan
(ex-Director of the OSS); Vice-Chairman: Allen Dulles (then
Deputy Director
of the CIA); Secretary: George Franklin (Director of the Council
for Foreign
Relations); and Executive Director: Thomas Braden (Head of
CIA Division on
International Organisations). Funds for the EM (by now transformed
into the COE)
were soon flowing into the COE's headquarters in Brussels
- most of it from State
Department's secret funds. ACUE was also the channel subsequently
used to fund
the Youth Campaign for European Unity, formed in1950 by Retinger
and Duncan-Sandys
as a result of a deal they had made with John McCloy US High
Commissioner
for Germany (later Chairman of Chase Manhattan Bank), and
Robert Murphy,
US Ambassador in Brussels (later consultant on Foreign Intelligence
Advisory
Board). Between 1951 and 1959 this group received approximately
1.5 million
pounds.
Perhaps
the most intriguing of Retinger's contacts during this period
was Dr. Hermann
Josef Abs, who then set up the German section of ILEC. Abs,
as Director of
the Deutsche Bank during the Third Reich, had been responsible
for laying out the
economic base the Nazis would adopt on attaining hegemony
over Europe and the
USSR. Arrested for war crimes in January 1946, he was released
three months later
on the intervention of the British - who then appointed him
economic advisor
in their zone! More pertinently, in March 1948 Abs was appointed
Deputy Head
of the Loan Corporation as well as President of Bank Deutsche
Lander, and, as
such, was in charge of the allocation of Marshall aid to German
industry. Another
fascinating link was that, among the 40-or-so Directorships
Abs had held,
one was in the I.G.Farben conglomerate which had been a client
of the corporate
law firm Sullivan & Cromwell - whose senior partners were
the Dulles brothers.
The
end result of the foregoing was the Council of Europe which,
although it had failed
to create an economic climate in Europe amenable to the free
flow of American
capital, was nonetheless the first post-war organisation of
European unity,
and, as such, was of political importance. From now on, in
order to create
the necessary economic climate, the dissident British and
Scandavians would
be by-passed. This was accomplished by the formation of the
European Coal &
Steel Community (ECSC) in April 1951, the result of the French
Prime Minister Paul
Schuman's call the previous year for the placing of French
and German coal &
steel production under the control of a supranational body,
by which means the French
hoped to gain some control over the future of Germany, and
thus, at the very
least, hinder the American's plan to re-arm the latter. Schuman,
born in the
Alsace region, served in the German army in WW 1 and subsequently
adopted French
nationality. He later joined the right-wing group Energie
of professor Louis
de Fur - who was later to serve under Petain during the Vichy
regime.In
July 1967 the six ECSC members, Belgium, France, Germany,
Italy, Luxembourg and
Holland, formed two more analagous bodies: the European Economic
Community (EEC
- or Common Market), and the European Atomic Energy Committee
(EURATOM). Thus,
in spite of the non-membership of Britain and the Scandinavians,
the Common
Market was born - later to evolve into the European Community
(EC) in 1986,
and finally into the European Union (EU) in 1992.
The
ECSC (or Schuman Plan), which entailed a close Franco-German
relationship, exemplified
on the one hand the important role played by the coal and
steel industries
in their respective countries, and on the other hand the role
played by
post-war American aid in the resurrection of those industries.
But it must be kept
in mind that aid was being distributed as early as 1946, primarily
in the form
of grants, and prior to the distribution of Marshall aid.
The popular conception
of this aid is that it was primarily for the reconstruction
of West European
democracies ravaged by war. This was not so. From 1946 to
1951 five right-wing
dictatorships (Greece, Turkey, South Vietnam, South Korea
and Formosa),
with a total population of 75 million, received more American
economic aid
in grants than Western Europe, which had a larger population.
Again, the five
dictatorships received 7.9 billion dollars in military aid
(this excludes such
aid to South Korea during the war there) - whereas Europe
received 7.5 billion
dollars in military aid, of which 4 billion dollars went to
France (2.5 billion
dollars of which was for her war in Indochina), and 0.5 billion
dollars for
fascist Spain (which had received 1 billion dollars in economic
aid). From 1946
to 1953 West Germany received 3.6 billion dollars in economic
aid. It is thus
hardly surprising that it was debtor France who formulated
the idea leading to
the ECSC (an organisation whose federalist structure conformed
to America's wishes),
and that fellow-debtor Germany was a willing accomplice.
The
aid so allocated reflected corporate America's political orientation
in a nutshell,
and a further example was the warning given by Secretary of
State Marshall
- aimed primarily at France and Italy - that no aid would
be forthcoming
if communists gained any positions of political power. Result:
the Italian
communists lost the general election in 1948 (which they were
expected to
win); and French communists were removed from cabinet posts
they already held.
Then, one year after the implementation of the Marshall Plan,
NATO was created,
ostensibly to act as a shield against Soviet expansion westwards.
However,
the Americans were well aware that the Soviets posed no serious
military
threat in the post-war period: had they not for the last three
years of the
war been supplying the USSR, under the Lend-Lease program,
with military equipment
that the latter lacked? Moreover it is inconceivable that
they were not
aware of the devastation caused by the strategy of Total War
waged by the German
army on Soviet soil. A cursory glance at the statistics of
thatdevastation
would have been enough to convince them of the improbability
of any military
aggression from that quarter. The passage of time has proved
that NATO's
purpose was primarily political, not military. Had it been
the latter, it would
have been made redundant on the collapse of the USSR. Its
political role assumed
two functions: primarily to ensure the hegemony of American
capital (or American
Leadership as propounded by all post-war US Presidents - and
most recently
by Secretary of State, Madeleine Albright, in her address
to the House);
and secondarily, to satisfy the more immediate need (at the
time of its foundation)
for an organisation that would embrace all the key European
nations, including
Germany and the then dissident Britain.
The
Truman doctrine of containment of the USSR having struck a
sympathetic chord among
some European governments, and Marshall Aid having bolstered
that sympathy with
the added sense of indebtedness, NATO was the logical outcome.
As noted above,
this would be an ostensibly military organisation with a command
structure
fenced with statutory clauses which ensured American control
- to say nothing
of the financial largesse that would accompany it - but the
American's plan
to induct Germany into the organisation and thereby re-arm
her met with stiff
European resistance. And the setting up by the French of the
ECSC and its supplementary
European Defence Community (EDC) did not help matters. Enter
Josef Hieronym
Retinger - once again. As a result of his approaches in the
early 1950's
to the most influential West European leaders, he and Prince
Bernhard of Holland
went to Washington in 1953 to lobby support from Walter Bedell
Smith (Dir.
of the CIA) and Charles Jackson (National Security Advisor
to Eisenhower) for
a group that would serve as a forum for lobbying at the highest
political level
in order to ensure that consensual policies would be adopted
by the members
of NATO in particular. A US committee was formed: John Coleman
(Chm. Burroughs
Corp.), David Rockefeller (Chase Manhattan Bank), Dean Rusk
(Rockefeller
Foundation), Henry Heinz II, Joseph Johnson (Pres. Carnegie
Endowment
for International Peace), and George Ball (Corporate lawyer
& partner of
Lehman Bros.). This committee, in turn, resulted in the formation
of the Bilberberg
Group in May 1954. Since that date, all doors to the seats
of power in
the West have been accessible to the Bilderberg. According
to George McGhee (ex-US
Ambassador to West Germany), who attended all Bilderberg meetings
from 1955
to 1967: " The Treaty of Rome which brought the Common
Market into being, as
nutrured at the Bilderberg meetings.".. Germany Joined
NATO on the 6th of May
1955. The movement of American capital could now be facilitated.
This
calls for the posing of a very common-sense question: who
benefited most
from the Common Market?. The answer to this question was spelt
out clearly by
the French newspaper owner Jean-Jacques Servan-Schreiber in
his well-researched
book The American Challenge of 1967. (In fairness,
it should be noted
here that the message of the book was the somewhat naive one
that Europe should
copy the American way of doing-business!). The following are
taken from that
book, and, unless otherwise noted, are as of the year 1967:
[1]
America had invested 14 billion dollars in fixed assets in
Europe - working capital
being as much again (US Dept. of Commerce).
(2)
From 1958 to 1957 " American corporations have invested
10 billion dollars in
Western Europe - more than a third of their total
investment abroad. Of the 6000
new businesses started
overseas by Americans during that period, half were
in Europe."
(3)
" The US Department of Commerce finds it 'striking' that
from1965 to 1966 American investment
rose by 17 percent in the US, 21 percent in the rest
of the
world, and 40 percent in the Common Market".
(4)
By1963 "American firms in France controlled 40 percent
of the petroleum market,
65 percent of films & photographic paper,
65 percent of farm machinery,
65 percent of telecommunications
equipment, and 45 percent of synthetic
rubber. (quoted from Foreign
Investment in France by Giles Bertain)."
(5)
"As early as 1965 the Commerzbank estimated American-controlled
investments in Germany at 2 billion dollars, while the gross
capital of all firms quoted on
the German stock exchange was only 3.5 billion dollars".
(6)
"More than half of the US subsidiaries in Europe belong
to the 340 American firms appearing on the list of the 500 largest corporations
in the world. Three
American giants are
responsible for 40 percent of direct American investment
in France, Germany andBritain.
(7)
"During 1965 the Americans invested 4 billion dollars
in Europe. This is where
the money came from:
1.
Loans from the European capital market (Euro-issues) and direct
credits from European countries - 55 percent.
2.
Subsidies from European governments and internal financing
from local earnings
- 35 percent.
3.Direct
dollar transfers from the United States - 10 percent. Thus,
nine-tenths of American investment in Europe is financed from
European sources. In other words,
we pay them to buy us".
(8)
"In the words of M. Boyer de la Giroday of the Brussels
Commission: 'American investment in Europe has its own special nature.
When we set up the European
Economic committee (EEC) we did something useful, but
simple and still
incomplete. So far its
major result has been to speed our economic prosperity
by creating the most favourable
climate for a growing invasion of American
industries. They are the only ones to have acted on the logic
of the Common
Market'".
Implicit
in the truism that the child is the product of its parents
is theequally
valid truism that in order to know the child well, one must
know its parents.
In the case of the Common Market, in view of the incestuous
nature of its
parentage (to say nothing of the strange midwives attending
its birth), it is
hardly surprising that it turned out to be a most uncommon
market.
Alfred
Mendes was born in Trinidad in 1920 and is of Portuguese extraction.
His varied career included
wartime service both at sea and in the British Army
and work as a coal miner and oil driller in several parts
of the world. He has been retired for twenty years. If you
want to read more on this and related subjects, he recommends
the following:
C.William
Domhoff : Higher Circles (Vintage Books 1971)
Robert
Eringer: The Global Manipulators (Pentacle Books 1980)
David
Horowitz: The Free World Colossus (Hill & Wang 1965)
John
Pomian: Joseph Retinger (Sussex University Press 1972)
W.W.Rostow:
The US in the World Arena (Harper 1960)
J-J
Servan-Schreiber: The American Challenge (Hamish Hamilton
1968)
John
Chabot Smith: Alger Hiss (Penguin Books 1977)
H.K.Smith:
The State of Europe (Knopf 1949)
Alexander
Werth: Russia at War (Pan Books 1965)
Pasymowski
& Gilbert: Bilderberg, Rockefeller & the CIA (Temple
Free Press 1968)
Statistical
Abstract of the US 1996 - 116th Edition (The National Data
Book)