Neither a carrot nor a stick: American foreign aid and economic policymaking in Spain during the 1950s

Diplomatic History

Volumn 30, Issue 3, 2006, Pages 409-438

  Calvo Gonzalez, Oscar ^a  

^a NONE

Author keywords

[No Author keywords available]

Indexed keywords

EID: 33646402926     PISSN: 01452096     EISSN: 14677709     Source Type: Journal    
DOI: 10.1111/j.1467-7709.2006.00561.x     Document Type: Article

References (159)

1. D. D. Eisenhower, "Special Message to Congress on Foreign Economic Policy, March 30, 1954," in Public Papers of the Presidents of the United States: Dwight D. Eisenhower (Washington, DC, 1954), 352-64.
2. These were the conclusions of the Randall Commission Report, which were to serve as the basis of foreign economic policy from 1954 onward. See K. C. Pearce, Rostow, Kennedy, and the Rhetoric of Foreign Aid (East Lansing, MI, 2001).
3. See, e.g., D. B. Kunz, Butter and Guns: America's ColdWar Economic Diplomacy (New York, 1997)
4. and F. J. Gavin, Gold, Dollars, and Power: The Politics of International Monetary Relations, 1958-1971 (Chapel Hill, NC, 2004). The question of American ability to influence the economic policymaking ofMarshall Plan aid recipients has been at center stage of the literature on the Marshall Plan for at least two decades.
5. See, e.g., A. Milward, The Reconstruction of Western Europe, 1947-1951 (London, 1987 [1984]), 469. Case studies of American attempts at exercising pressure to influence domestic policies in the United Kingdom, France, and Italy have shown that the United States enjoyed very limited bargaining power.
6. See P. Burnham, The Political Economy of Postwar Reconstruction (London/ New York, 1990)
7. and C. Esposito, America's Feeble Weapon: Funding the Marshall Plan in France and Italy, 1948-1950 (Westport, CT, 1994).
8. An exception to the scarcity of monographs on U.S. foreign assistance programs during the 1950s is J. B. Alterman, Egypt and American Foreign Assistance, 1952-1956: Hopes Dashed (New York, 2002).
9. J. L. Gaddis, "On Starting All Over Again: A Naïve Approach to the Study of the Cold War," in Reviewing the Cold War: Approaches, Interpretations, Theory, ed. O. A.Westad (London, 2000), 31.
10. United States Agency for International Development, U.S. Overseas Loans and Grants and Assistance from International Organizations (Washington, DC, 1978). Turkey, which is included by USAID in the Western Europe category, received in the period 1953-1961 a total of $2.6 billion, while Greece received $1.2 billion. Spain's neighbors Morocco and Portugal received $300 million and $174 million, respectively.
11. L. Fernsworth, "Spain in Western Defense," 31 Foreign Affairs (July 1953): 648-62, analyzes in detail Spain's strategic importance.
12. Joint Strategic Survey Committee, April 29, 1947, Foreign Relations of the United States (hereafter FRUS), 1947 1:747.
13. The Drumbeat report of August 1947, formally "The Soviet Threat against the Iberian Peninsula and the Means to Meet It," is discussed by J. Edwards, "Circumventing NATO: Spain, Drumbeat and NATO," in Securing Peace in Europe, 1945-1962: Thoughts for the Post Cold War Era, eds. B. Heuser and R. O'Neil (London, 1992), 164.
14. A. Kasten Nelson, ed., The State Department Policy Planning Staff Papers, 1947-1949 (New York, 1983), 1:124-28.
15. Minutes of the fourth meeting of the National Security Council (NSC), December 17, 1947, reproduced in Documentary History of the Truman Presidency, ed. D. Merril (Bethesda, MD, 1998), 23:248.
16. Acheson, in his memoirs, mentions precisely Truman's dislike of Franco as an example of the president's deep-seated beliefs. D. Acheson, Present at the Creation (London, 1970), 169.
17. As recalled by Paul Nitze, as late as 1952 Truman still had outbursts when he appeared determined to veto the new U.S. policy toward Spain. P. H. Nitze, From Hiroshima to Glasnost: At the Center of Decision: A Memoir (New York, 1989), 83.
18. Culbertson to the Secretary of State, Madrid, December 26, 1947, FRUS, 1947 III:1098.
19. Culbertson to Acheson, Madrid, February 17, 1949, FRUS, 1949 IV:730.
20. G. Tortella and S. Houpt, "From Autarky to the European Union: Nationalist Economic Policies in Twentieth-Century Spain," in Economic Change and the National Question in Twentieth-Century Europe, eds. A. Teichova, H. Matis, and J. Pátek (Cambridge, England, 2000), 127-49.
21. Biddle to Secretary of State Dean Rusk, Madrid, August 31, 1961, in "folder 500 US Aid to Spain," Spain, Madrid Embassy, Classified General Records 1953-1963, Foreign Service Post Files (hereafter FSPF), Record Group (hereafter RG) 84 (entry 3167B, box 11), National Archives at College Park (hereafter NACP), Maryland.
22. B. N. Liedtke, "Spain and the United States, 1945-1975," in Spain and the Great Powers in the Twentieth Century, eds. S. Balfour and P. Preston (New York, 1999), 229-44
23. B. N. Liedtke, Embracing a Dictatorship (London/New York, 1998)
24. and A. Jarque Iñiguez, Q«ueremos esas bases.» El acercamiento de Estados Unidos a la España de Franco (Alcalá, 1998).
25. See, e.g., C. R. Halstead, "Spanish Foreign Policy, 1936-1978," in Spain in the Twentieth-Century World, ed. J. W. Cortada (Westport, CT, 1980), 41-96
26. M. Espadas Burgos, Franquismo y política exterior (Madrid, 1988), 197-200.
27. J. Clavera et al., Capitalismo español: De la autarquía a la estabilización (1939-1959) (Madrid, 1973), 256.
28. These detect no significant pressure from the United States to change Spanish policymaking. M. J. González, La economía política del franquismo (1940-1970): Dirigismo, mercado y planificación (Madrid, 1979), arguably the most authoritative text on the political economy of Spain during the Franco years, is silent on this issue.
29. F. Portero and R. Pardo, "Las relaciones exteriores como factor condicionante del franquismo," Ayer no. 33 (1999): 216-17.
30. R. Pardo, "La política exterior del franquismo: Aislamiento y alineación internacional," in El Franquismo. Visiones y balances, eds. R. Moreno Fonseret and F. Sevillano Calero (Alicante, 1999), 109.
31. In particular, A. Viñas et al., Política comercial exterior en España (1931-1975) (Madrid, 1980), vol. 2, especially pp. 830-68
32. and F. Guirao, "Spain and European Economic Cooperation, 1945-1955. A Case Study in Spanish Foreign Economic Policy" (Ph.D. diss., European University Institute, 1993), 330-40.
33. See also F. Guirao, "The United States, Franco, and the Integration of Europe," in The United States and the Integration of Europe, eds. F. H. Heller and J. R. Gillingham (New York, 1996), 79-102.
34. Guirao, "The United States, Franco, and the Integration of Europe," 92.
35. Viñas et al., Política comercial exterior, 2:849.
36. Viñas et al., still without access to American documentation, suggest that "when the government of Washington will release the documentation of the period we could know with precision the internal arguments of the American administration." Viñas et al., Política comercial exterior, 2:854.
37. The classic study is A. Viñas, Los pactos secretos de Franco con Estados Unidos. Bases, ayuda económica, recortes de soberanía (Barcelona, 1981).
38. See also A. Viñas, En las garras del águila. Los pactos con Estados Unidos, de Francisco Franco a Felipe González (Barcelona, 2003).
39. Declarations made on July 18, 1954, as quoted in J. Durá, U.S. Policy toward Dictatorship and Democracy in Spain, 1931-1953.
40. A Test Case in Policy Formation (Sevilla, 1985), 344.
41. The text of the agreements was published in U.S. Department of State, Department of State Bulletin, October 5, 1953 (Washington, DC, 1953), 435-42.
42. R. Rubottom and J. C. Murphy, Spain and the United States since World War II (New York, 1984), 32.
43. Resumen de la situación actual de la ayuda de los Estados Unidos, undated, in Spanish Ministry of Foreign Affairs Renovated Series (hereafter MAE), Legajo (hereafter Leg.) 3172, Expediente (hereafter Exp.), 10.
44. See Viñas, Los pactos, 268.
45. Franco to Eisenhower, San Sebastian, August 22, 1953, FRUS, 1952-1954 VI(pt 2):1950.
46. U.S. Ambassador in Spain, James Dunn, to the Spanish Minister of Foreign Affairs, Alberto Martín Artajo, Madrid, September 24, 1953, FRUS, 1952-1954 VI(pt 2):1957.
47. "Program descriptions for Spain," S. H. Van Dyke to D. A. FitzGerald, Washington, June 17, 1955, in Geographic Files of the Director, 1948-55; Office of Director; RG469 (entry 181, box 26), NACP.
48. The bases would indeed provide significant cost reductions, particularly for the U.S. Navy. J.W. Cortada, Two Nations over Time: Spain and the United States, 1776-1977 (Westport, CT, 1978), 222.
49. See also S. S. Kaplan, "American Military Bases in Spain," 22 Public Policy (Fall 1974):91-108 for an assessment of the military value of the facilities on Spanish soil.
50. Spain was accepted into the United Nations in December 1955 as part of a package deal in which some states of the Soviet bloc were included. Memorandum of conversation Franco-Dulles, Madrid, November 5, 1955, FRUS, 1955-1957 XXVII:547.
51. Dulles to Embassy in Madrid, October 25, 1954, Washington, in Geographic Files, 1953-54; Office of European Operations, Office of the Director; RG469 (entry 337, box 141), NACP.
52. B. I. Kaufman, Trade and Aid: Eisenhower's Economic Policy, 1953-1961 (Baltimore, 1982), 7.
53. Joseph Dodge (president's special assistant and head of the Council on Foreign Economic Policy) was determined, in December 1954, to avoid leading "foreign countries to expect a great deal more from us than we could or would provide," as quoted inW.W. Rostow, Eisenhower, Kennedy, and Foreign Aid (Austin, TX, 1985), 106.
54. As reported in the New York Times, November 16, 1955.
55. Van Dyke to FitzGerald, Washington, June 17, 1955, in Geographic Files of the Director, 1948-55; Office of Director; RG469 (entry 181, box 26), NACP.
56. This was the position of Eisenhower himself, "Memorandum of Discussion at the 248th Meeting of the National Security Council," Washington, May 12, 1955, FRUS, 1955-1957 XXVII:537.
57. "United States Policy toward Spain," Acting Secretary of State to Dodge, Washington, October 7, 1955, FRUS, 1955-1957 XXVII:544.
58. Stassen to H. Struve Hensel [assistant secretary of Defense], Washington, December 29, 1954, in folder 1954 OCB [Operations Coordinating Board], Records of the Spanish and Portuguese Desk Officers, 1942-1955, Lot Files Europe (II), RG59 (entry 1400, box 3), NACP.
59. Van Dyke to FitzGerald, Washington, June 17, 1955, in Geographic Files of the Director, 1948-55; Office of Director; RG469 (entry 181, box 26), NACP.
60. Van Dyke to Hollister, Washington, April 10, 1956, in Geographic Files of the Director, 1948-55; Office of Director; Records of U.S. Foreign Assistance Agencies (hereafter RFAA), RG469 (entry 181, box 26), NACP.
61. For a report on Hollister's meetings with Spanish authorities, Lodge to Dulles, Madrid, July 24, 1956, in Geographic Files of the Director, 1948-55; Office of Director; RFAA, RG469 (entry 181, box 26), NACP.
62. Hollister, a reputed "trade-not-aid" proponent, had been appointed to direct the foreign aid program because he was seen as much more conservative than his predecessor Harold Stassen, a member of the Republican party's liberal wing. Kaufman, Trade and Aid, 24, 52.
63. "Spain," by MacGillivray, May 21, 1954, Bank of England Archive, OV61/ 5.
64. Airgram by Rubottom, Madrid, March 15, 1954, in Geographic Files, 1953-54; Office of European Operations, Office of the Director; RFAA, RG469 (entry 337, box 141), NACP.
65. Dunn to Dulles, Madrid, March 29, 1954, in Geographic Files, 1953-54; Office of European Operations, Office of the Director; RFAA, RG469 (entry 337, box 141), NACP.
66. As reported in the Economist, October 9, 1954, 137.
67. "The lack of assistance postponed Spain's full incorporation into those [OEEC/EPU] despite the Spanish government's intention to move towards freer and multilateral trade"; Guirao, "Spain and European Economic Cooperation," 344.
68. Similar argument in Guirao, "The United States, Franco, and the Integration of Europe," 92
69. and F. Guirao, Spain and the Reconstruction of Western Europe, 1945-1957 (London/New York, 1998), 183.
70. "Discussion of Spanish Minister of Commerce with U.S. officials," by Gulik, April 1954, Washington, in FRUS, 1952-1954 VI(pt 2):1973-76.
71. Memorandum of conversation Stassen-Arburúa, April 20, 1954, Washington, in FRUS, 1952-1954 VI(pt 2):1976-77. Much the same can be said about the meeting between Arburúa and Stassen in the autumn of 1956, which concentrated on the programming of aid disbursements.
72. FitzGerald to the Director of Foreign Operations Administration (FOA) [Stassen], Washington, February 4, 1955, in Geographic Files of the Director, 1948-55; Office of Director; RFAA, RG469 (entry 181, box 17), NACP.
73. Argüelles to Rubottom, Madrid, December 2, 1955, in MAE Leg. 4615, Exp. 15.
74. Congressional Record, Senate, August 14, 1954, 13778.
75. Unsigned note, February 11, 1955; MAE, Leg. 4615, Exp. 15.
76. Martín Artajo at Fordham University, New York, April 16, 1956, argued that the aid was insufficient. Quoted in J. L. Shneidman, Spain & Franco, 1949-59 (New York, 1973), 123, 167.
77. For example, Martín Artajo's meetings with American officials at the very time of his Fordham speech reveal that he did not make official reguests for more aid. See Memorandum of conversation, Washington, April 10, 1956, FRUS, 1955-1957 XXVII:563-67.
78. José Antonio Giménez-Arnau (director-general of economic cooperation at Spanish Ministry of Foreign Affairs) complained about Lequerica's view that further lobbying of Congress would be counterproductive in achieving a higher FY1955 appropriation, J. A. Giménez-Arnau to Arburúa, Madrid, August 16, 1954; MAE, Leg. 4615, Exp. 4.
79. National Security Council Discussion, Washington, May 3, 1956, FRUS, 1955-1957 XXVII:569-71.
80. J. L. Shneidman, Spain & Franco, 1949-59 (New York, 1973), 141-70.
81. Lodge to Dulles, Madrid, November 11, 1955, General Records of the U.S. Department of State (hereafter GRDS) (RG59), Decimal File, 711.56352/ 11-1155, NACP.
82. As pointed out to Hollister by Spanish Ministers Martín Artajo, Arburúa, Planell (industry), and Cavestany (agriculture); Hollister to FitzGerald, Madrid, July 22, 1956, in Subject Files, 1948-57; Office of African and European Operations; RFAA, RG469 (entry 379, box 98), NACP.
83. Lodge to Martín Artajo, October 5, 1956; MAE, Leg. 7741, Exp. 3.
84. "Inflation in Spain: Magnitude and Significance," R. Holben, Madrid, December 27, 1956, in Subject Files, 1948-57; Office of African and European Operations; RFAA, RG469 (entry 379, box 98), NACP.
85. Van Dyke to FitzGerald, Washington, June 17, 1955, in Geographic Files of the Director, 1948-55; Office of Director; RFAA, RG469 (entry 181, box 26), NACP.
86. Fitz Gerald to Hollister, Washington, November 16, 1956, in Geographic Files of the Director, 1948-55; Office of Director; RFAA, RG469 (entry 181, box 26), NACP.
87. Lodge to Martín Artajo, Madrid, November 23, 1956; MAE, Leg. 7741, Exp. 3.
88. As recalled in H. Byngton (chargé of American embassy in Madrid) to Dulles, Madrid, March 30, 1957, GRDS (RG59), Decimal File, 852.00/ 3-3057, NACP. Spanish Admiral Luis Carrero Blanco had also sent a letter to Lodge, dated November 13, 1956, in which he pleaded for the "urgent need . . . that the U.S. reconsiders its aid policy towards Spain." The significance of the fact that the letter was written by Carrero Blanco, de facto number two of the Franco regime, has been underlined by Viñas, En las garras del águila, 297.
89. Summary of note in Lodge to Dulles, Madrid, April 8, 1957, GRDS (RG59), Decimal File, 852.00/4-857, NACP.
90. Embassy despatch by Richard S. Aldrich (counselor of embassy for economic affairs and director of United States Operations Mission), Madrid, December 12, 1956, in Subject Files, 1948-57; Office of African and European Operations; RFAA, RG469 (entry 379, box 98), NACP.
91. C. W. Anderson, The Political Economy of Modern Spain (Madison, WI, 1970), 91-92. Anderson points to October 1956 as the point of highest intensity of American calls for reform. However, without access to internal sources, he cannot elaborate on the reasons for why American public expressions of concern subsided thereafter.
92. Martín Artajo to Byngton, January 7, 1957; MAE, Leg. 7741, Exp. 3. Martín Artajo pledges that reduction in fiscal expenditures and increases in discount interest rates were being studied.
93. Viñas et al., Política comercial exterior, 2:849-54.
94. A. Viñas, "Franco's Dreams of Autarky Shattered," in Spain in an International Context, 1936-1959, eds. C. Leitz and D. J. Dunthorn (Oxford, 1999), 302.
95. The American embassy in Madrid, for example, when discussing the economic developments in retrospect of the entire year of 1956 does not mention this. "Spain - Economic and Financial Review for the 4th Quarter, 1956," American Embassy in Madrid, February 14, 1957, GRDS (RG59), Decimal File, 852.00/2-1457, NACP.
96. Martín Artajo to Areilza, Madrid, February 23, 1957; MAE, Leg. 5883, Exp. 4.
97. "In the conversation that took place inWashington last April we referred to our request for structural aid to enter the OEEC only by the way and without specifying at any rate, as the minutes of the meetings reflect. I take good note of your instructions to bring up the issue now." Areilza to Martín Artajo, Washington, February 25, 1957; MAE, Leg. 5883, Exp. 4.
98. It is not unheard of that the Spanish prepare a note for the Americans and this is never delivered. Lodge reported F. Castiella (Spanish minister of foreign affairs) as saying how "the Cabinet wished him to deliver to me [a note]. He had [the] note before him but said he had convinced Cabinet that he should not deliver this note." Lodge to State Department, Madrid, February 11, 1958, in FRUS, 1958-1960 VII:700.
99. Aldrich to ICA, Madrid,May 24, 1956, in Subject Files, 1948-57; Office of African and European Operations; RFAA, RG469 (entry 379, box 98), NACP.
100. C. Burke Elbrick (assistant secretary of state) to Hollister, Washington, May 28, 1956, in Geographic Files of the Director, 1948-55; Office of Director; RG469 (entry 181, box 26), NACP.
101. Perkins to ICA, Paris, June 21, 1956, in Subject Files, 1948-57; Office of African and European Operations; RFAA, RG469 (entry 379, box 98), NACP.
102. Madrid Embassy to State Department, February 14, 1957, GRDS (RG59), Decimal File, 852.00/2-1557 HBS, NACP.
103. Report on Consultation Madrid, Lisbon, and Paris, February 7-22, 1957, H. K. Lennon, in Geographic Files of the Director, 1948-55; Office of Director; RG469 (entry 181, box 26), NACP.
104. "Spanish Foreign Relations in 1956," by R. A. Johnson (counselor of embassy), Madrid, January 4, 1957, in Spain, Madrid Embassy, Classified General Records 1953-1963, FSPF, RG84 (entry 3167B, box 5), NACP.
105. Byington to Dulles, Madrid, January 17, 1957, in Subject Files, 1948-57; Office of African and European Operations; RG469 (entry 379, box 99), NACP.
106. Hollister to Eisenhower, Washington, June 27, 1957, in Geographic Files of the Director, 1948-55; Office of Director; RFAA, RG469 (entry 181, box 26), NACP.
107. Barall to Armstrong, Madrid, December 11, 1957, in folder 1957 General Economic, Records of the Spanish and Portuguese Desk Officers, 1942-1955, Lot Files Europe (II), RG59 (entry 1400, box 9), NACP.
108. As put by Ullastres and Castiella; Lodge to Dulles, Madrid, August 29, 1957, GRDS (RG59), Decimal File, 711.56352/8-2957, NACP.
109. Report on a Conversation with Minister of Commerce Ullastres, Milton Barall (counselor of U.S. embassy), Madrid, October 24, 1957, GRDS (RG59), Decimal File, 852.00/10-2457, NACP.
110. Lodge to Dulles, Madrid, August 29, 1957; GRDS (RG59), Decimal File, 711.56352/8-2957, NACP.
111. Lodge to Dulles, Madrid, August 7, 1957; GRDS (RG59), Decimal File, 852.00/8-757, NACP.
112. Lodge to Dulles, Madrid, May 4, 1957; GRDS (RG59), Decimal File, 852.00/ 8-757, NACP.
113. Lodge to State Department, Madrid, January 31, 1958, FRUS, 1958-1969 VII:697.
114. Brundage to Dulles, Washington, June 25, 1957, FRUS, 1955-1957 XXVII:582. Brundage managed to reduce the amount requested by Dulles from $25 to $20 million.
115. "Additional FY1957 Aid for Spain - Political and Economic Implications," Elbrick to Murphy, January 18, 1957, in Records of the Spanish and Portuguese Desk Officers, 1942-1955, Lot Files Europe (II), RG59 (entry 1400, box 7), NACP.
116. Despatch by Aldrich, Madrid, December 12, 1956, in Subject Files, 1948-57; Office of African and European Operations; RG469 (entry 379, box 98), NACP.
117. Byington to Dulles, Madrid, January 17, 1957, in Subject Files, 1948-57; Office of African and European Operations; RG469 (entry 379, box 99), NACP.
118. Lodge to Dulles, Madrid, April 4, 1957; GRDS (RG59), Decimal File, 852.00/4-957, NACP.
119. Corry to ICA, Madrid, April 17, 1957, in Subject Files, 1948-57; Office of African and European Operations; RG469 (entry 379, box 99), NACP.
120. Lodge to Dulles, Madrid, April 22, 1957; GRDS (RG59), Decimal File, 711.56352/4-2257, NACP.
121. Hollister to Eisenhower, Washington, June 27, 1957, in Geographic Files of the Director, 1948-55; Office of Director; RFAA, RG469 (entry 181, box 26), NACP.
122. Briefing book for Dulles's visit to Spain on December 20, 1957, in folder visits, Records relating to Spain 1956-1966, Lot Files, Europe (I), Bureau of European Affairs, Country Director for Spain and Portugal, RG59 (entry 5295, box 6), NACP.
123. Memorandum of conversation Dulles-Franco, Madrid, December 20, 1957, FRUS, 1955-1957 XXVII:596.
124. As manifested by Spain's purchases in pesetas through the Commodity Credit Corporation. Williams to FOA, October 26, 1954, in Geographic Files, 1953-54; Office of European Operations, Office of the Director; RG469 (entry 337, box 141), NACP.
125. "United States Economic Aid," by Thompson, March 25, 1958; GRDS (RG59), Decimal File, 852.00/3-2558. Lodge to State Department, Madrid, February 11, 1958, FRUS, 1958-1960 VII:704.
126. Corry to ICA, Madrid, April 17, 1957, in Subject Files, 1948-57; Office of African and European Operations; RG469 (entry 379, box 99), NACP.
127. Intelligence Report, August 7, 1958, in FRUS, 1958-1960 VII:718-19.
128. Including PL 480 sales. "Progress Report on Spain by OCB," Washington, October 3, 1957, FRUS, 1955-1957 XXVII:586.
129. Though Congress eventually extended those figures by $55 million for FY1955 (McCarran amendment) and by $22 million for FY1956. Acting Secretary of State to Dodge, Washington, October 7, 1955, FRUS, 1955-1957 XXVII:544.
130. O. Calvo-González, "!Bienvenido, Míster Marshall! La Ayuda Económica Americana y la Economía Española en la Década de 1950," Revista de Historia Económica 19 (special issue 2001):253-75.
131. Barall to Lodge, November 7, 1957, in folder Briefing Books, Records of the Spanish and Portuguese Desk Officers, 1942-1955, Lot Files Europe (II), RG59 (entry 1400, box 8), NACP.
132. E. Conteh-Morgan, American Foreign Aid and Global Power Projection (Aldershot, England, 1990), 162
133. and R. Edgerton, Sub-Cabinet Politics and Policy Commitment: The Birth of the Development Loan Fund (Syracuse, NY, 1970).
134. These were words addressed to José M. de Areilza (Spanish ambassador in Washington), "United States Economic Aid," Thompson, March 25, 1958, GRDS (RG59), Decimal File, 852.00/3-2558.
135. Emphasis in the original. The ultimate goal was nevertheless unchanged: "Greater stability would contribute to the security of U.S. military bases." "Spain in the OEEC," Perkins to ICA, September 3, 1957, in Subject Files, 1948-57; Office of African and European Operations; RG469 (entry 379, box 99), NACP.
136. Dulles to Embassy in Madrid, Washington, September 12, 1957, in Subject Files, 1948-57; Office of African and European Operations; RG469 (entry 379, box 99), NACP.
137. "U.S. Mutual Security Program for Spain, FY1961," Lodge, Madrid, October 16, 1959, in folder OCB working file October-December 1959, Records relating to Spain 1956-1966, Lot Files, Europe (I), Bureau of European Affairs, Country Director for Spain and Portugal, RG59 (entry 5295, box 5), NACP.
138. Memorandum of conversation, November 28, 1958, in FRUS, 1958-1960 VII:720.
139. Memorandum of conversation between Christian A. Herter (U.S. secretary of state) and Selwyn Lloyd (British foreign secretary), Paris, April 29, 1959, in "OEEC 1959-1961," Spain, Madrid Embassy, Classified General Records 1953-1963, FSPF, RG84 (entry 3167B, box 11), NACP.
140. "It was surprising that the State Department appeared not to be willing to support financially the [1959 Stabilization] program." Viñas et al., Política comercial exterior, 2:1106-7 and also pp. 953, 1067, 1114.
141. "[It is] essential that sufficient time be taken to obtain satisfactory results [in the] Madrid negotiations. But once this substantive stage [is] passed, [we] suggest [the] U.S. [to] exert all necessary influence to minimize [the] time needed for [the] mechanics and politics of OEEC processing." Armstrong to Herter, June 15, 1959, in "OEEC 1959-1961," Spain, Madrid Embassy, Classified General Records 1953-1963, FSPF, RG84 (entry 3167B, box 11), NACP.
142. Per Jacobsson (managing director of the IMF in 1956-1962) Diary (hereafter PJ Diary), Entry for June 21, 1959: "It was agreed that we should wait for the U.S. telegram"; June 22, 1959: "We waited for a telegram fromWashington"; June 23, 1959: "No wire yet from the U.S.A."
143. PJ Diary, Entry June 24, 1959.
144. F. Romero, "U.S. Attitudes towards Integration and Interdependence: The 1950s," in The United States and the Integration of Europe, eds. F.H. Heller and J. R. Gillingham (New York, 1996), 105.
145. J. Muns, Historia de las relaciones entre España y el Fondo Monetario Internacional, 1958-1982 (Madrid, 1986), 36-51.
146. Lodge to Herter,Madrid, September 23, 1959, GRDS (RG59), Decimal File, 852.00/9-2359
147. "Views of Spanish Bankers on Implementation of the Stabilization Plan," by Barall, Madrid, August 17, 1959, GRDS (RG59), Decimal File, 852.00/8-1759
148. and "Current Public Reaction to Spanish Stabilization Plan," by E. Shearer (USOM-Spain), Madrid, October 9, 1959, GRDS (RG59), Decimal File, 852.00/10-959.
149. "U.S. Mutual Security Program for Spain, FY1961," Lodge, Madrid, October 16, 1959, in folder OCB working file October-December 1959, Records relating to Spain 1956-1966, Lot Files, Europe (I), RG59 (entry 5295, box 5), NACP.
150. Dillon (acting secretary of state) to Eisenhower, June 4, 1959, in FRUS, 1958-1960 VII:728.
151. "United States Loans and the Stabilization Plan," Barall, Madrid, October 23, 1959, GRDS (RG59), Decimal File, 852.00/10-2359, NACP.
152. A. Viñas, "Franco's Dreams of Autarky Shattered," 312.
153. Viñas et al., Política comercial exterior, 2:992 et seq. Franco's personal papers are still not accessible to researchers.
154. Editorial of magazine SP. By 1959 the proreformers were already in a position of enough power to order the seizure of the publication by the censorship. E. Tertsch (Spanish EconomicNews Service) to Per Jacobsson, Madrid, July 6, 1959, in Archive of the International Monetary Fund, Central Files, C/Spain/810 Mission, Jacobsson, Ferras, and Staff, June 1959.
155. Biddle to Rusk, "Spain: Transition to International Development," Madrid, July 20, 1961, in "folder 500 US Aid to Spain," Spain, Madrid Embassy, Classified General Records 1953-1963, FSPF, RG84 (entry 3167B, box 11), NACP.
156. "Conversation with Propper de Callejon [new chargé in Washington]," Dunham, September 22, 1949, in Top Secret file, Records of the Spanish and Portuguese Desk Officers, 1942-1955, Lot Files Europe (II), RG59 (entry 1400, box 10), NACP.
157. Memorandum of conversation Rusk-Yturralde (new Spanish ambassador in Washington), Washington, February 7, 1961, in FRUS, 1961-1963 XIII:990.
158. C. J. Pach, Arming the Free World: The Origins of the United States Military Assistance Program, 1945-1950 (Chapel Hill, NC, 1991), 230-32.
159. Z. Karabell, Architects of Intervention: The United States, the Third World, and the Cold War, 1946-1962 (Baton Rouge, LA, 1999), examines the cases of Italy, Greece, Cuba, Guatemala, Lebanon, Iran, and Laos.