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Yes, sir, I have some ideas." Plekhanov pursed his heavy lips. "From the beginning we're going to need manpower on a scale never dreamed of locally. We'll adopt a policy of expansion. Those who join us freely will become members of the State with full privileges. Those who resist will be made prisoners of war and used for shock labor on the roads and in the mines.

Seventh, housing and training of defense workers and the full use of all our manpower resources. Eighth, means for increasing the supply of doctors, nurses, and other trained medical personnel critically needed for the defense effort. Ninth, aid to the States to meet the most urgent needs of our elementary and secondary schools. Some of our plans will have to be deferred for the time being.

The Disans must depend on secrecy to protect their armament, since we have both the manpower and the technology to reach any objective. We also have technicians and other volunteers looking for the weapon sites. They have not been successful as yet, and most of them were killed soon after landing." Krafft hesitated for a moment.

In the past 5 years, we have steadily reduced the burden of national defense as a share of the budget, bringing it down from 44 percent in 1969 to 29 percent in the current year. We have cut our military manpower over the past 5 years by more than a third, from 3.5 million to 2.2 million. In the coming year, however, increased expenditures will be needed.

Some of these, such as certain functions of the former foreign Economic Administration and the War Manpower Commission, are still needed during the period of reconversion; others are in the process of liquidation.

The twenty-five hundred dollars Frank Cousins of Detroit recognized Henry Ford with, a few years ago, he gave back the other day to Henry Ford for twenty-nine million dollars. People say as if that was all there was to it, that the fate of this nation to-day turns on our national manpower. But what does our national man-power turn on?

To assure itself of manpower, Britain negotiated treaties with Hesse-Cassel and Brunswick for 13,000 Hessians to fight with the British armies in America. From the beginning it was obvious many Englishmen had no stomach for fighting their fellow Englishmen overseas. Conversely it was obvious the colonial Englishmen were prepared to fight in defense of their rights and liberties as Englishmen.

Will you be seated here in the reception room," motioning toward the door which is at one side of his desk, "while I find out if he is busy?" This concern is very conservative about buying new attachments and new machinery of any kind, but it is ever on the alert to discover means of increasing its output and saving its manpower. Almost any new idea is worth a demonstration.

This possibility of a deflationary spiral in the future will exist unless we now plan and adopt an effective full employment program. During the war, production for civilian use was limited by war needs and available manpower. Economic stabilization required measures, to spread limited supplies equitably by rationing, price controls, increased taxes, savings bond campaigns, and credit controls.