binational commissions overseas. If we are to get and keep good men in these posts, which are vital to our administration overseas, such payments must be made to help them meet their continuing dollar expenses, which cannot be paid from their foreign currency salaries. As regards scholarships for foreign grantees, maximum use is made of private scholarships and other resources where available. Today, because of the so-called Rabaut amendment (sec. 1415 of the act of July 15, 1952, 66 Stat. 662), both the required dollars and the foreign currencies must be appropriated under the Smith-Mundt Act, even though they are already owned by the United States and are reserved for educational exchange purposes. Other legislation providing for educational exchange from special funds not requested in this estimate, includes: Appropriations for government in occupied areas (Germany and Austria), the Mundt amendment to the India Emergency Food Aid Act, the Finnish Exchange Act, and the overseas phase of the Chinese assistance program. These funds can be used only for the particular purposes and in the countries specified in the legislation. They cannot be transferred for use elsewhere.

THE EXCHANGE APPROACH-REACHING KEY GROUPS ABROAD

I have explained the various ways in which the House cuts will affect our program. I would like now to tell you something about how we spend the funds to further the goals of American foreign policy. In brief, we try to reach a maximum number of the leaders of opinion-making groups abroad. This we do by selecting key persons who have access to such groups and significant projects, which will meet not only our own needs and interests, but also those which we have in common with the other countries involved.

STUDENTS, TEACHERS, SCHOOLS

One of the principal channels for reaching influential circles of opinion in other countries is through exchanges radiating from their educational systems. By means of study grants, we are able to attract many young people from abroad, most of whom are not students at all at home, but are already actual or prospective leaders in their professional fields, for example, a prominent young editor who graduated from his home university 5 years ago and now publishes a metropolitan newspaper. On the other hand, we are able to send Americans out for study abroad, choosing not simply those who are outstanding for their academic achievement, but also making personal suitability to represent the quality and caliber of Americans and the American way of life a major criterion. By means of academic affiliations, we are also able to send Americans abroad who are professional educators and specialists, some of whom will not only work in schools and universities, but will also serve as government consultants and as lecturers and organizers of workshops.

Teachers from abroad are brought here to study American techniques of education and to observe the concepts we hold basic to democratic education. This program of teacher education is extremely important for its ultimate influence on the developing youth of other nations.

Other results are even more significant. In many nations, leadership both in conducting government and developing public opinion stems largely from the university community and from the intellectuals. We can bring members of those groups here to see and appreciate our achievements for themselves. If a pernicious fear of the anti-intellectual character of American world leadership is rampant, we send American scholars abroad to demonstrate the high quality of our intellectual and cultural achievements. If there is a lack of knowledge of American history, literature, government or labor-management relations, we fill the void through appropriate seminars, workshops, and courses, and we oftentimes even encourage the establishment of special chairs of American studies abroad. Where the people in outlying provinces have no contacts that will help them to make correct assessments of the United States, we send them American teachers for their schools.

OTHER PUBLIC OPINION LEADERS AND GROUPS

Exchanges involving academic institutions and personnel are not the only types of exchange, of course. Key leaders, including government officials, labor leaders, editors, broadcasters, youth leaders, lawyers, etc., are among the grantees brought to this country to observe and consult with their American counterparts. Many of them have gone home to high posts in their governments, others have

successfully countered Communist infliltration or domination of trade unions, by applying the principles of free trade unionism which they had observed in America. Others have spread a more balanced view of our country through the publication of books and articles.

The closely related foreign specialist program, offering advanced on-the-job experience for instance, working on an American newspaper for several monthsis another approach to key individuals from abroad.

HOW PROGRAMS ARE PLANNED FOR EACH COUNTRY

All of the means for reaching key elements among the overseas public are carefully planned to meet varying situations in each country with which we plan an exchange program. The basis of each plan must be to meet the mutual needs and interests of ourselves and the particular country concerned. We depend primarily on our overseas staffs to propose the plan for each country which will meet these criteria. As I have already mentioned, all these plans are reviewed carefully with the geographic desk officers of the Department and with our cooperating agencies in this country to be sure such plans can be effectively carried out. When necessary adjustments have been made, budget estimates are prepared and presented to the Congress.

WIDE VARIETY OF PROJECTS

These plans include a variety of projects, not only to reach long-range objectives, but also to meet immediate and special situations in different countries. For example, shortly after the President's proposal to the United Nations on the peaceful uses of atomic energy, the Department developed a panel of topflight experts to lecture overseas on American uses of atomic energy for peaceful and humane purposes. In Korea a group of American educators is helping Korean teachers and school administrators to reestablish primary and secondary schools with an up-to-date curriculum. In addition, a special legal project was planned, under which a past president of the American Bar Association and a dean of a law school in a large southwestern university will conduct a legal institute for Korean judges, prosecutors, and lawyers.

A group of labor leaders came from Japan to study the labor movement in the United States, first by participating in a specially arranged seminar at an American university, and later by working directly with union leaders.

Plans

were also made for a two-way representative-government project in Japan, under which groups of Japanese students will pursue special programs in this field at American universities, and a seminar will be held in Japan by prominent American lecturers and specialists. It is expected that 500 Japanese educators and Government officials at both the national, prefectural, and municipal levels will participate in this seminar.

In an important Far East country, officials from all administrative levels of a ministry of the government were brought to the United States to observe our Federal system of government in action. Because of their far-reaching influence at both national and local government levels, they are expected to have considerable effect on the future course of their country's government. This project was developed on a mutual basis with the host government. It was not forced on it. In the Near East, plans have been made to bring over groups of journalists from a number of important countries under a project which has as its primary objective to demonstrate the way responsible newspapers can contribute to the economic, cultural, and political development of a democratic society.

But while keeping the program flexible enough to meet new situations, the Department is not losing sight of long-term needs. For example, American studies projects continued to be planned for a number of countries to meet the increasing interest abroad in our history, literature, and culture. Recent conferences were those held in the United Kingdom, Norway, the Netherlands, Pakistan, and India, centering around such themes as "The United States in the Atlantic Community," "The American Labor Movement," and "American Literature." Prominent American lecturers led these discussions, in which foreign university faculty members, teachers, students, and many others participated. They should result in rich dividends in international understanding.

THE UTILIZATION OF NONGOVERNMENT RESOURCES

The cooperation of private groups and individuals here and abroad is an indispensable factor in the success of the exchange program. It is through their efforts that our foreign visitors get the real feel of American life or that Americans can

truly understand the problems and aspirations of the peoples whose country they visit. The International Educational Exchange Service follows the policy of utilizing such resources to the maximum extent in operating our Government's program and, in turn, offers help to exchanges conducted under non-United States Government auspices to make them as effective as possible.

In 1953, well over $7 million from non-United States Government sources was spent in conjunction with our budget dollars. In effect, this matching of funds stretched each of our budget dollars to $1.50. However, without this relatively modest United States Government outlay, such extensive private support would not be forthcoming. American universities, for example, may wish to have a foreign student or professor on their campus, but their budgets may only be able to cover his United States expenses. Unless the Government were able to supply travel expenses, these offers would be withdrawn.

Private organizations in this country also cooperate with the Government's program under contract arrangements. They provide services relating to the selection, placement and supervision of grantees, arranging itineraries and professional contacts for them and undertaking orientation programs and studies to measure the effectiveness of the exchange operation. In addition, program and hospitality services are offered without remuneration to grantees by several thousand advisers on American campuses, and by hundreds of organizations and community groups, especially to the foreign leaders traveling in the United States.

GOVERNMENT ASSISTANCE TO PRIVATE EXCHANGE PROGRAMS

The other side of the coin is the assistance which the Department of State is able to offer to privately conducted exchange programs. Civic groups like Rotary International and the American Association of University Women have been in the vanguard in measures taken to utilize the resources of their membership to foster scholarship programs with other countries. Professional bodies such as the American Home Economics Association and the congressionally chartered American National Theater and Academy have promoted exchanges within their fields of specialization. Groups dedicated to cultivating friendship with particular nationalities, such as the English-Speaking Union and the American-Scandinavian Foundation, have found that this end can best be served through exchange programs. Foundations such as the Rockefeller Foundation and the Kellogg Foundation use exchange techniques to further projects in the physical and social sciences. Church and missionary groups have found this type of activity especially rewarding in furthering their humanitarian aims. Industrial and business concerns have established programs to bring foreign citizens to this country for training in specific business practices and techniques.

It serves the national interest for this Government to offer assistance to these private groups in carrying out these activities. By exchanging information with private sponsors to mutual advantage in the planning of programs by channeling private efforts in directions that will insure constructive and profitable results, by using its own resources and the resources of the overseas missions to assist in the most effective conduct of these programs, and by stimulating new and renewed efforts along these lines, the Department can realize many benefits in its conduct of foreign relations.

In these and other ways the Department was able, during fiscal year 1953, to be of assistance to numerous projects sponsored by such private groups. Insofar as available statistics indicate, we have cooperated in this way with at least 448 private exchange projects which involved the exchange of over 3,000 persons. Through its approval of exchange-visitor programs under the terms of the SmithMundt Act, the Department facilitated the bringing by private sponsors of additional thousands of foreign nationals to this country for bona fide educational purposes.

EFFECTIVENESS OF THE PROGRAM

For the purpose of program evaluation and improvement, regular reporting procedures have been set up for the various Foreign Service posts, the agencies which provide services under contract, the binational foundations and commissions, and the grantees themselves to inform us about the operations of the program, its achievements and limitations, and to suggest improvements. In addition, special evaluation studies have been carried out both by our own staff and, under contract, by the same private research organizations that handle similar work for commercial firms in this country.

Perhaps the most important fact we have learned about the effectiveness of the exchange program is that it has a cumulative effect gathering momentum after

E

the participant returns home and shares his experiences with more and more of his fellow countrymen.

For example, it is important that a trade unionist from another country learn something about the workings of our labor organizations; it is more significant if on his return home, he is elected to a position in his local union where he can combat Communist elements which had long dominated the organization. That a teacher from another land learns something about America while he is here is good; that he sets up two adult evening classes that reflect his experience in the United States is better. That our lecturers go abroad to give courses in American studies is desirable; that their efforts, plus those of returned foreign scholars, result in the continuance of such studies as a regular part of the curriculum of foreign universities has a more pointed significance.

To take another type of example, our program is functioning well when an American specialist in rural education financed under this program meets with success in helping Turkish teachers with their problems, it has an even more widespread effect when the combined efforts and cooperative planning of that specialist, the Turkish Government, the Ford Foundation, and the University of Florida result in the sending of 25 Turkish teachers to the United States for training at no cost to tt is Government. The United States Government made a grant to one individual. Twenty-five exchanges resulted, and these 25 teachers will have great influence for years to come.

Evidences of results are large in number and varied in form. It has been almost impossible to keep track of all of them, so active have many grantees been, whether in initiating new programs or in writing, lecturing, appearing on radio and TV and thereby sharing their experiences about America with their fellow countrymen. It is also significant that many of our former grantees now occupy positions of importance in local or national governments, or in some other part of their country's social structure.

These results are confirmed by our professional evaluation studies. These have shown that the exchange program helps foreign grantees to lose unrealistic or stereotyped views of American life, obtain a more favorable view of the motives behind American foreign policy, report more favorably and actively, on their return, to their countrymen.

Americans gain and share with their fellow citizens' wider understanding of the political, economic, and cultural life of other countries; increased knowledge and appreciation of our own international problems; extensive professional benefit.

COMMUNIST EXCHANGE ACTIVITIES

In appraising our program and the need for its continuance it is well to take into account what the U. S. S. R. is doing in this field.

Soviet sources state that exchange visitors to the U. S. S. R. in 1953 numbered 10,000 persons. Numbers of foreign delegations noted in the Soviet press for a 3-month period in 1953 show an increase of 60 percent over a similar period in 1950, and most of these delegations are from non-Communist countries. They are largely composed of handpicked groups of trade unionists, peace partisans,' and representatives of Soviet propaganda organizations. In 1953, 1,000 Latin Americans visited the Soviet bloc under the auspices of international communism-a tenfold increase over 1950. In addition, Soviet artists, writers, scientists, and athletes have been sent to Latin America.

A minimum of 10,000 students from southeast Asia traveled to the Chinese mainland during 1953. Thus, for every student from that area whom we brought here in 1953, the Chinese invited 40 from the same countries.

The importance in which these activities are held by the Soviets is attested to by the special treatment accorded visiting delegates. On arrival they are met by high-ranking officials; with few exceptions they are accommodated in Moscow's luxury hotels; and the unstinted hospitality lavished on the visitors takes the form of banquets in their honor, the best seats at the ballet, theater and opera; and enormous meals at the collective farms.

All these Communist exchange activities are being increased.

I have reviewed these facts for you in the hope that it may make clear the reasons for our budget request. It is our belief that this estimate is the very minimum required to carry on an effective program of educational exchange necessary in the national interest.

Mr. RILEY. I will cover it very, very briefly, sir.

In this statement we have explained the drastic effects of the House cut. Senator Smith has already covered them completely, and I will

not discuss that further. I think that it might be well, however, to stress something about how we spend these funds in trying to further the goals of American foreign policy. We do this by selecting key persons who have access to very significant groups abroad. We try to work out projects which will meet not only our own needs and interests but also those of the countries with which we operate.

We feel that working through intellectual media, to a great extent, that we can really get to the leadership in many of these other countries in a way that you could not get to them otherwise. Not only do we stress the intellectual levels in many countries where they are the most important but we also work with key leaders, including Government officials, labor leaders, editors and broadcasters, young leaders, lawyers, people like that, whom we bring to this country because of their tremendous influence abroad.

It is significant to note that in working with these other countries these programs are developed not only from a straight United States Embassy point of view but they are also worked out very carefully with the other countries. We find that by working with these other countries in developing the programs that it makes the program more meaningful in the countries. We get better participation by the people at all echelons in the various countries.

PRIVATE PARTICIPATION IN PROGRAM

It is significant to note the non-Government participation in this program. Our best estimate of the amount of private funds put into this program in 1953 was something over $7 million.

Senator ELLENDER. How does that compare with previous years? Mr. RILEY. It is a little more than we have had in previous years. The private funds are increasing very much.

In the program under Public Law 584, for example, we bring in foreign professors, and out of the 216 that we plan on bringing in in 1955 we will only pay the full expenses of 41 out of 216. In foreign researchers, 12 out of 163. Foreign teachers, 142 out of 348. Foreign students, only 106 out of 1,278.

This gives an indication as to the private participation in this program.

Senator Smith mentioned Belgium. In the Public Law 584 program with Belgium this year we plan on exchanging 84 people, only 17 of whom will get any support other than international travel.

We do not only get a lot of assistance from private organizations but we also give much assistance to private programs. My statement covers that in some detail.

Now then, as to the effectiveness of the program

NUMBER OF AMERICANS VERSUS FOREIGNERS IN PROGRAM

Chairman BRIDGES. Before you go on to that, Mr. Riley, please, what proportion of American students are going abroad compared to what numbers are coming into this country?

Mr. RILEY. For our program this year we plan on sending out 1,465 people and bringing in 3,050, most of them coming this way, sir. Senator ELLENDER. Is that in all categories?

Mr. RILEY. That is in all categories. Our reason for that is that we believe that these people who come here and see America as it is,

把