RAND SWAYS U.S. POLICY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP88-01315R000400280014-6
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 1
• Document Creation Date: December 16, 2016
• Document Release Date: November 4, 2004
• Sequence Number: 14
• Publication Date: June 28, 1971
• Content Type: NSPR

44,A.s.NGT'l DAILY 1NEW vi n 1~ Nu r
Approved For Release 2005/01/12: CIA-RDP88-01315ROO04PO? aq'~4-r tel: yc
yy-
rr v J V I V t.J / 1 co ~. c L{ w_ f I V `F.c.t~ 7 p y. i~ l i
By MIKE MILLER
Scripps-Howard Staff Writer -
The Rand Corp., center of the, government's
probe to find out how top secret Vietnam war
papers were leaked to newspapers, has wield-
ed..significant influence in the shaping of U.S.
military policy over the past 20 years.
Iles dealing with national security ,matters.
The rest of Rand's work is about evenly (livid-
ed between research for non-defense federal
agencies and projects for state and local gov-
ernments.
NEW YORK IS CLIENT
New York Mayor, John Lindsay has hired
Rand to help solve the city's complex munici-
pal problems. Rand. also is under contract to
the New York and American stock exchanges
to develop new trading systems to solve the
paperwork logjam in brokerage houses.
But Rand's military research remains para-
Rand Is by far the best known of the so-
called "think tanks" performing secret outside
research for the Defense Department under
special contracts, "
.So renowned is Rand! In this role that Rus-
sian propagandists have labeled it the "shad-
ow government" of the United States, and the
"American academy of death and destruct
tion.".
.'?iiAD COPY OF PAPERS
Rand, however, has no laboratories and nei-
ther designs nor produces any weapons. Nor
are its studies uniformly favorable to U.S. mil-
itary policies and procedures. The firm en-
gages in long-range research and analysis of
broad, defense-related subjects.
Former Rand employe Daniel Ellsberg rath-
er than the "think tank" itself is suspected of
leaking the Vietnam papers.
Of Rand's annual operating budget of about
$26 million, 70 per cent to 75 per cent is de-
rived from contracts with the Defense Depart-
anent, the military services and related agen-
mount despite moves to expand its social and
economic studies over the past several years.
The Air Force is Rand's biggest client, ac-
counting for about 43 per cent of the firm's
work.
The Air Force Is paying Rand $11 million
this fiscal year to carry on about 100 studies
and plans to spend ? about tho same amount
with Rand in the fiscal year beginning July 1.
Rand has 1,000 employes in Santa Monica
and 80 in its Washington office. Many of the
Washington-based employes go' to the Penta-
gon daily on their research assignments..
Rand has carried out numerous studies for
the military in South Vietnam.
Much of Rand's military work is classified
and gives the firm access to classified Penta-
gon documents like the Vietnam war study.
The company, however, is charged with safe-
guarding them.
TACTICAL INFLUENCE
in A he early 1950s, Rand studies convinced
the Air Force that its overseas Strategic Air.
Command bomber bases were highly vulnera-
ble to a Russian attack. This led to disman-
tling of the bases and withdrawal of the bomb-
ers to the United States-at a savings of $1
billion.
Rand also'helped convince the government it
had developed nuclear warheads so small and
efficient that they could be carried aboard
rockets. This led to eventual construction of
the Minuteman intercontinental. ballistic mis-
silo force, today's backbone of U.S. strategic
power.
Former. Defense S e c r e t a r. y Robert Mc-
Namara,.once,said the services performed by
Lano for the Air Force were worth 1t1. 0
What the Air Force paid for them.
Approved For Release 2005/01/12 : CIA-RDP88-01315ROO0400280014-6