XVII. Summary Conclusions Intragovernmental relationships are so broad, comprehensive, and complex that some oversimplification is necessary to isolate and define the areas in which clarification of function and improvement in organization can most usefully be attempted. The following observations are subject to this qualification. Foreign Aid Overlapping With Other Government Functions The foreign aid programs in their totality have gone through so many changes in 6 years of operation that their relationships with functions and operations of existing Government agencies are especially complex. Following are some of the functional areas in which some improvement appears possible. 1. Original functions largely fulfilled. In the initial stages our foreign aid programs, while large, had fairly simple and well defined objectives—namely, emergency personal relief and rehabilitation, and physical reconstruction of war damaged or destroyed production facilities. In addition, the programs involved the purchase and shipment, as an interim measure, of large quantities of raw materials and foodstuffs. The operations were principally in Europe. These operations have been completed and it would appear appropriate and timely to consider whether the organization overseas and at home which had been charged with them should not only be disbanded (already provided for by Congress) but not replaced. 2. Original functions enlarged and extended.-Although the original program involved little or no material duplication with existing Government agencies, the program actually carried out involved a wide measure of duplication. Some examples are: (a) trade promotion, duplicating the operations of the Departments of State and Commerce; (b) economic reporting, also a function of the Departments of State and Commerce; (c) liberalization of international trade-a concern of several agencies, particularly the Department of State; (d) promotion of private investment overseas-a duplication of the responsibilities of the Departments of Commerce and Treasury; (e) various incursions in the areas of military assistance, obviously the responsibility of the Department of Defense; (f) administration of export controls, a primary responsibility of the Department of Commerce; (g) various services on behalf of small business, already the concern of the Small Business Administration and the Department of Commerce; (h) numerous activities in the field of labor relationships, obviously the responsibility of the Department of Labor; (i) various technical services impinging on the established functions of the Departments of the Interior, Agriculture, Commerce and others; and doubtless a good many more. 3. Functions effectively discharged by international or other agencies. Still retained at least nominally and organizationally among FOA functions are a number which are effectively the responsibilities of other agencies. Examples include contributions to the United Nations for assistance to refugees and migrants, children's welfare, etc. There would appear to be room for considerable improvement in this area. 4. Technical assistance.-This program function is being discussed in detail in a separate study. It is sufficient here merely to note that very substantial overlapping and confusion exists in numerous functions included in the program-for example with the Department of State in connection with the exchange of persons. For technical services, FOA has carried out Presidential instructions to utilize the facilities available from other government agencies so far as practicable. At the same time, it has set up its own technical staffs in some fields which would appear to constitute a measure of duplication. 5. Shift of emphasis from economic to political objectives.—At the outset, the foreign aid objectives were primarily, if not wholly, economic. Reconstruction of the physical, commercial, agricultural, and financial damage and dislocation resulting from the war was the overall purpose. Political objectives were distinctly subordinate-indeed were on occasion vigorously and indignantly denied. Subsequently, however, more and more emphasis was placed on political aspects, and the aid program as a whole has now developed into an acknowledged instrument of political as well as economic foreign policy. This automatically brings the program more and more closely within the purview of the Department of State. 6. Shift of emphasis to defense objectives.—The objectives of the foreign aid program, in large measure, have also shifted from primarily economic goals to the present point where military or defense objectives play a major role. In general, this shift in objective has resulted in a major shift of responsibility to the Department of Defense for operation of the military programs, with certain exceptions as had been noted in the case of programs for Direct Forces Support. Basic Foreign Aid Functions If the foreign aid programs are considered in their simplest forms, shorn of the divergent functions which have arisen in the last 6 years, the basic responsibility appears to be that of management and coordination of foreign aid activities both in Washington and in the field, plus such operations of a technical nature which cannot be appropriately performed by other agencies of the government under the supervision of the foreign aid management. Duplication and Overlapping in Other Overseas Economic Operations Apart from the foreign aid program, certain duplications occur in other aspects of the overseas economic activities of the government. This may best be illustrated by the responsibilities of Commerce for promotion of foreign commerce and Agriculture for promotion of agricultural trade overseas, and in both cases overlapping with the Department of State. Economic and politico-economic reporting is an example of considerable confusion among the Departments of State, Commerce, Agriculture, Labor, Defense, and possibly others. Organizational Questions Certain other organization questions, while not directly relevant to the subject of this paper, do arise immediately from the major functional shifts which have taken place during the life of the ECA and its successor agencies. One point of great importance is that as objectives have changed so too have personnel requirements, but without a corresponding change in the actual staff or type of personnel to the same degree. To the extent that personnel to meet new requirements have been taken on, they have tended to be in addition to rather than in replacement of existing staff. Thus a top heavy and somewhat distorted staff has developed in spite of shortages of trained technical personnel in some sections (e. g., controllers staff, engineers, bankers, export specialists, etc.). A major area of organizational duplication also arises because of the closely parallel but generally separate organizations maintained both by the Department of State and the FOA in some 50 countries throughout the world. While coordination between these separate overseas groups does generally exist, there is very little integration, which if achieved would result in economies and increased effective ness. |