WARN U.S. CAN BE INFERIOR TO REDS BY '70

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75-00149R000300430021-2
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 1
• Document Creation Date: November 17, 2016
• Document Release Date: December 21, 1998
• Sequence Number: 21
• Publication Date: November 26, 1960
• Content Type: NSPR

NOV
p i ved For Release 2000/08/27 : CIA-RDP75-0
WARN U. 5. CA
BE INFERIO
TO REDS BY '7
Experts Tell of Rapi
Soviet Growth.
report prepared. for th
army by a Johns Hopkin
university group said toda
that Russia's rapid economi
growth tisreatens to make th
United States ad inferio
power within 10 years.
The report, covering a
issue that figured promiaen
election campaign. said th
tive status of their count
and Russia.
tates policy makers coul
reverse the present trend
and -tip+hout huge new fe
etal spending. It said " nl
growth policies could btin
substantial progress towa
activity."
KennedyyCharged Lag
The repoctr entitled "Th
Cold War Etonomic Gap-
Uriited States Poivor," w
army in response to Dem
during the. election campai
Kennedy.
.Kennedy had charged tha
he United States was I
danger of becoming a secon
'ower administration official
were not sufficiently alert t
the possibility, Be called for
":ceps to increase Unit
States economic growth.
Lack Atmy.Approval .
The 'army emphasized that
the conclusions in the eco?
nomic' study did not have,
army approval, " either ex.' '
the conclusions will be used;
by the army as a "readily;-
available source of published"
"
data on economic matters."
The authors of the report, '
John.T. Hardt and C. Darwin
Stolzenbach, economists,, de-
scribed their study as an an-
alysis of economic facts pre-
sented in congressional tesU-
'rhony, chiefly 'by Allen W.
Dulles, head .of the central
)intelligence agency.
They noted that Dulles had
described as "tranquilizers"
.these who take an optimistic
view of the economic future.
In agreeing, the report said)
that such people " tend to
discourage alarm a m o n'g
United States po'icy makers
and the United States peo-
ple" when such alarm is
"justified by the data, and
other evidence on the Rus
Sian economy."
Cites Russia'9' Growth
The report said Russian ..
production is now only half
that of the United States, but ..
I said the" idea` that' sovie
next 10 years is a -," scotch
verdict-?-not proven and
"~S'~- .
improvements tri i gb ,Me
lead to an acceleratiaoft~"Ilan the
rate of Russia's 'industrial
growth."
Russia already is spending.
at much on its military forces'
as the United States, It said.
If present productions are,
maintained, if added,-Russia
will be spending 72 billion:
dollars by 1970 and the Unit-
ed States 46 billion.
4 Pet. Gaip Held Possible
In asserting that the Unite4'
States had it within its powe);'.
The second report release
oday, titled "Air Raid Warn-
ing in the Missile Era," found
that the' United 'States .warn "
ng systems against Russian
missiles are basically road
quate. Both studies were com-
nk-ted last summer by tb
aprratfons res lPrrQ'lYehlfor Release 2000/08/27 CIA-RDP75-00149R000300430021-2
fohnc Hopkins university.