The year was 1949. Just three years before, the world had ended the second massive world wide military conflict in barely over 30 years. A war that had gone on for 6 long years and had introduced the people of the world to atrocities of human suffering not previously acknowledged. In his inaugural address on January 20, 1949, U.S. President Harry S. Truman announced four points all addressing international political stability, continued economic support in Europe and promising new programs of economic support for the group of nations he named “underdeveloped.”
“Fourth, we must embark on a bold new program for making the benefits of our scientific advances and industrial progress available for the improvement and growth of underdeveloped areas.”
“The United States is pre-eminent among nations in the development of industrial and scientific techniques. The material resources which we can afford to use for the assistance of other peoples are limited. But our imponderable resources in technical knowledge are constantly growing and are inexhaustible.
“I believe that we should make available to peace-loving peoples the benefits of our store of technical knowledge in order to help them realize their aspirations for a better life. And, in cooperation with other nations, we should foster capital investment in areas needing development.
“Our aim should be to help the free peoples of the world, through their own efforts, to produce more food, more clothing, more materials for housing, and more mechanical power to lighten their burdens.”
What happened to those visions?
The term economics derives from the Greek words οίκω [okos], 'house', and νέμω [nemo], 'rules' hence household management.
In the Topics, Aristotle provides his philosophical analysis of human ends and means. He explains that means or instruments of production are valuable because their end products are useful to people. The more useful or desirable a good is, the higher the value of the means of production is. Aristotle then goes on to derive a number of economic ideas from axiomatic concepts including the necessity of human action, the pursuit of ends by ordering and allocating scarce means, and the reality of human inequality and diversity.
For Aristotle, the individual human action of using wealth is what constitutes the economic dimension. The purpose of economic action is to use things that are necessary for life (i.e., survival) and for the Good Life (i.e., flourishing). The Good Life is the moral life of virtue through which human beings attain happiness.
He says that, in the end, the basic requirement of value is utility regarding a person's desires. Value is the ability to satisfy wants. Demand is governed by the desirability of a good (i.e., its use value). According to Aristotle, exchange value is derived from use value as communicated through market demand. Aristotle defines four forms of exchange:
1 Barter – The direct non-monetary exchange of commodities 2 Monitized exchange – The exchange of goods between households mediated by money 3 Retail trade – The purchase of good to sell at a profit. 4 Usury – Earning money on money
Although he realized that wanting too much is a human failing, he placed a great deal of blame on money because it had no natural terminus. Aristotle taught that when a man pursues wealth in the form of exchange value he would undermine the proper and moral use of his human capacities.
Aristotle led and taught of a life centered in metaphysics and ethics. Those areas gave life meaning and direction. As the study of economics has developed, we can see that centered grounding disappear.
| Mercantilists | The Merchantilists advocated National precious metal standards and favored strict laws to enforce rules on an unruly people. |
| Physiocrats | Only agriculture is productive of wealth, argued the Physiocrats. They advocated that the government should legislate as little as possible that is, they advocated for government aissez-faire policy. |
| . | In 1750, Claude-Adrien Helvetius published De'l'esprit arguing that self-interest is the primary motive of human conduct. |
| Adam Smith | Adam Smith is widely known as the father of modern Economics. Interestingly, in his lifetime he was much better known as a moralist and for his now lesser-known work, The Theory of Moral Sentiments. In the widely referred to The Wealth of Nations, Smith advocated a laissez-faire policy toward government control of the economy. His most often cited metaphor referred to the invisible hand of the markets that would result in the good of the nation. What is not often cited however is his definition of the market as being strictly bounded and local. He clearly states that foreign accounts necessarily had to stay balanced and that imports and exports should be seriously avoided. Smith never foresaw the multinational corporation and would have, I believe, predicted the problems hit has brought with it. |
| David Ricardo | A concern regarding the distribution of income among landowners, workers, and capitalists was the focus of the work of David Richardo. |
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Malthus used the idea of diminishing returns to explain low living standards. Population, he argued, tended to increase geometrically, outstripping the production of food, which increased arithmetically. |
| John Stuart Mill | A distinct difference between the market's two roles: allocation of resources and distribution of income was pointed out by Mill. The market might be efficient in allocating resources but not in distributing income, he wrote, making it necessary for society to intervene. |
| Marginalist | The Marginalist movement provided modern macroeconomics with the basic analytic tools of supply and demand, consumer utility, and a mathematical framework for using those tools. |
| Marxist School | Marxists believed that capitalism would ultimately destroy itself and be succeeded by a world without private property. |
| Institutionalist | Institutionalists regard individual economic behavior as part of a larger social pattern influenced by current ways of living and modes of thought. |
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Keynes' arguments proved the modern rationale for the use of government spending and taxing to stabilize the economy. He developed the concepts of aggregate thinking that led to the use of GNP (and later GDP) as a measure of national wellness. |
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Schumacher introduced the concept of Buddhist Economics though he is quick to point out that he could have used any major religion. In his book, Small is Beautiful, he discusses the deteriorated current state of affairs (1973) and postulates that this deterioration is due to a loss of ethical, metaphysical centering and finds this easily in the definition of right livlihood in the Middle Way of Buddhism. |
| Alternative | Alternative Economics proponents in the humanist movement, the institutional movement and the green movement point to flaws in the neoclassical economic system but tend to offer alternations within the system and really do not deal with the moral and metaphysical issues that Schumacher raised in Buddhist Economics. |
What we land up with in neoclassical economics is a definition of economics as the social science that studies the allocation of scarce resources to satisfy unlimited wants. This involves analyzing the production, distribution, trade and consumption of goods and services. How did we get from a field of study that says the purpose of economic action is to use things that are necessary for life (i.e., survival) and for the Good Life (i.e., flourishing) where the Good Life is the moral life of virtue through which human beings attain happiness to a field of study that is about how to satisfy unlimited wants?
Neoclassical economics, as a mathematically based science, provides a close first approximation to how people react in allocating resources in situations where resources are scarce. It is probably that very fact that has tempted and lured economists over the years. It is clear that economists have always been aware of the fact that they are making many simplifying assumptions in order to keep the mathematics controllable. Even as early as Aristotle, the problem of measuring well-being or wealth was recognized. Rather than attempt to quantify well-being with its sticky moral and spiritual components, a tacit assumption was made that money was a crude tool for estimating value of use and if something had a high value of use, it must certainly be something that is increasing the well-being of the user. This may in fact be the case, however we are still ignoring the impact of the spiritual and moral factors (positive or negative) in the transaction.
It is certainly not uncommon that a factor that should be measured as a negative factor for well-being is used to indicate wealth or over all well-being. In a number of Asian and African cultures, obesity is considered a measure of wealth. It is considered a compliment and an honor to be referred to as fat.
Most men stroke their fat bellies as a sign that they have money, especially when in public: The bigger the belly, the better. This is the philosophy in my country. Having a fat tummy also commands respect. People associate that with power since 99% of our politicians are fat.
Progress Njomboro, Harare, Zimbabwe
I only recently learnt that obesity is a disorder with lethal results. In my country it appears all those in salaried employment are overweight. Thin people are considered mean and probably sickly.
Joseph Okellowange, Ugandan student in Belgium
It is no surprise that there are obesity problems in South Africa. In many of the cultures, plenty of food on the table is proof of wealth and success.
Colin S., Richmond, VA (USA) - Formally SA
Being fat in Africa is a sign of health and wealth. Our mothers-in-law demand to see daughters-in-law who make the earth tremble when they walk (umfazi ohamba kunyakazele umhlaba). This is the sign of a true African woman. In a country like Zimbabwe where an estimated 1.4 people are suspected to be living with HIV/Aids, you just cannot contemplate loosing weight without fearing that your neighbours will start whispering that you have Aids. Man and women alike feel comfortable dating a fat/big person because they are considered "clean". Hence the colloquial name for AIDS in west Africa is "slim"
Thoko Elphick-Pooley, Bulawayo, Zimbabwe
Obesity is not a problem in my country. Because not everyone can afford to buy food, so when a person is "thick, healthy, solid and fat" it is considered a great sight. Men love, I mean love fat women. Whenever a man tells a woman you are fat, it is consider a compliment and ladies love to hear that. The rapid spread of AIDS is our major problem in Nigeria. Not Obesity.
Yoknyam Love Dabale, Taraba States, Nigeria
The Chinese author recalls meeting his native parents at the airport in Chicago where they greet him with this lovely phrase: "You are fatter than before." Amazingly, this is not followed by the writer shoving his parents onto the next plane back to China. Instead he smiles because coming from a person from rural China this is actually a compliment. His family grew up in an area where food was scarce, so saying someone looked fatter meant that life was treating them well. He revealed, "If somebody said that to me, I, as a modest Chinese, would simply say something to the effect of: 'No, no, no, I am just slightly fatter than before. You should see so and so. He is really fat!'”Fat - If you tell someone he or she is fat, it's a compliment. Say it in Nepali "Tapai Kastoo Moto HooNuuHunChaa". Nepalese like that and most Nepalese like to be called fat. When someone has a big fat belly, it means they have got a lot of money to eat, it shows off. Most big fat bellies in poor countries do walk proudly.
One of the problems that is often counted against neoclassical economics is that it in fact does this very thing, counting a negative as a positive.
Capital as an economic term in neoclassical economics has meant man-made capital such as machines or tools. It has been widely expanded to include buildings but many alternative economists fault traditional economists for not viewing other forms of capital such as environmental capital, social / organizational capital, intellectual capital and human capital. In not recognizing say environmental capital, economics successfully externalizes the cost of natural resources and the cost of the damage done in the depletion of them as well as the damage done in using the environment as a waste sink. Although the earnings of a professional caregiver are counted in the GDP, a mother who chooses to quit work (and thereby decreases the GDP) is not counted even though she is doing precisely the same tasks.
Well-being, the theoretical ultimate target, is impacted by each of these forms of capital. The abuses that result from the non-recognition of environmental capital affect the air we breathe, the quality of the water we drink, the quality and quantity of food we have to eat, and the simple availability of pristine nature to enjoy, just to skim the surface. Recognizing and honoring social / organizational capital, intellectual capital and human capital has the potential of humanizing the workplace and honoring employees for the value that they bring to the organization.
Wellness, which is what we claim to really be meaning to measure in economics, describes a dimension of health beyond the absence of disease or infirmity, including social, emotional and spiritual aspects of health.
Utility the term that has come to measure well-being, is a word that has lost meaning and power. Utility derives from O.Fr. utilite "usefulness" and earlier from utilitet, from L. utilitatem (nom. utilitas) "usefulness, serviceableness, profit," from utilis "usable," from uti (see use). In economics, utility is claimed to be a measure of the relative happiness or satisfaction (gratification) gained by consuming different bundles of goods and services. As noted earlier, this jump from usefulness to happiness or satisfaction was made early on due to the inability of economic thinkers to deal with the measurement of well-being.
In the 1930’s, as Keynes developed the concepts of aggregate figures, one of the useful concepts was Gross National Product (GNP). GNP is the sum of the value of all of a nation’s goods and services within a given time frame. GNP per person is often used as a measure of people's well-being. Countries with higher GNP often show better scores on other measures of welfare, such as life expectancy. However, there are serious limitations to the usefulness of GNP as a measure of welfare:
- GNP typically excludes unpaid economic activity. This can lead to distortions; for example, a paid childcare provider’s income contributes to GNP, whereas an unpaid mother's time spent caring for her children does not, even though they are both performing precisely the same economic activity.
- GNP takes no account of the inputs used to produce the output. For example, the impact of economic activity on the environment is not directly taken into account in calculating GNP. In fact, the depletion of oil reserves is not taken into account as a cost in GNP but, in the case of an oil spill, the clean-up is an addition to GNP, but the negative impact of the spill on well-being (e.g. loss of clean beaches) is not taken into account.
- Comparison of GNP between countries can lead to distortions due to exchange rates. Anchoring national income to purchasing power parity can help to overcome this problem at the risk of overvaluing basic goods and services like for example subsistence farming.
- GNP reports mean rather than median. Countries with a skewed income distribution can show high per-capita GNP while the majority of the citizens have low levels of income.
Because of these shortcomings, other indicators have been worked with to give more accurate measures of national well-being. The most commonly used index is the Human Development Index (HDI) which was developed I the early 1990’s and has been used since then by the United Nations Development Programme (UNDP) in its yearly Human Development reports. This index is based on a mathematical formulation based on life expectancy, literacy, education, and standard of living for countries worldwide. It is a standard means of measuring well-being, especially child welfare.
Only recently has a real attempt been made to develop a for well-being. Gross National Happiness (GNH) is an attempt to define quality of life in more holistic and psychological terms than GNP.
The term was coined by Bhutan's King, Jigme Singye Wangchuck in 1972. This indicator is developing into a qualitative tool using the day reconstruction method . It consists in recollecting memories of the previous working day by writing a short diary. While conventional development models stress economic growth as the ultimate objective, the concept of GNH holds that true development of human society takes place when material and spiritual development occur side by side to complement and reinforce each other. The four pillars of GNH are the promotion of equitable and sustainable socio-economic development, preservation and promotion of cultural values, conservation of the natural environment, and establishment of good governance.
The Bretton Woods conference was held from 1 July to 22 July 1944, when the agreements were signed to set up the International Bank for Reconstruction and Development, the General Agreement on Tariffs and Trade (GATT), and the International Monetary Fund (IMF). The 75 existing GATT members and the European Communities became the founding members of the WTO on January 1, 1995.
All of these organizations have looked at assisting under-developed nations through the lens of neoclassical economics, blurred by the growing strength of corporate capitalism. They have worked in concert to remove trade barriers and open developing nations to foreign investment and control. This has resulted in grave damage to these countries in terms of resources, environmental damage (sometimes through mono-cultural agricultural projects), collapse of local markets through unfair competition, increased dependence on foreign imports, and financial instability due to volatile foreign short-term investments. The end result is that many developing nations are in worse situations now than they were 60 years ago when the world vowed to help them. The gap between those developing nations and the wealthy, developed nations has grown ever wider.
In evaluating these dire statistics, one has to ask if there might be something that we are missing in the equation of fostering development.
I would suggest that we need to step back and look at what we are trying to accomplish. If the goal of development is increasing the wellness of the people, then one needs to define wellness. Under the paradigm of neoclassical economics, wellness (well-being) is defined in terms of money. Money is generated through the economic cycle of production and consumption. If this model has not worked, we have to assume that 1) our definition of wellness is faulty, or 2) the economic cycle is incorrectly or incompletely defined.
In 1974, Majesty King Bhumibol Adulyadej introduced his philosophy of a Sufficiency Economy for an alternative development model. It did not receive much attention at that time but it did not deter the King and though the use of his many charitable projects, he implemented his philosophy and developed the concepts.
The Sufficiency Economy concepts are simple and based on strong ethical principles.
- People need sufficient basic human needs of food, clothing, health care and education.
- People need to do all things in moderation.
- The people need to be taught how to provide themselves with immunity to economic shocks either locally, regionally, nationally or internationally.
- The people need to effectively apply the knowledge that they have.
- The people need to develop morality.
Looking at these principles, it is clear that this style of development cannot be legislated and it cannot be applied in a top down approach. It has to be “done” by the people who are developing. It can be aided and assisted from the outside, but the real development work has to be done by the people involved because the real development is internal. It is a development of mind and heart to learn what wellness is and set it as a goal. It involves using the knowledge of that goal to protect themselves. The knowledge gives them the centering to know why they are doing what they are doing. This encourages diligence and perseverance.
Sufficiency Economies do not have to be totally, 100% grassroots. In fact, there will be necessary external supports. People cannot be expected to spend time and effort developing land that they have no security on therefore there needs to be some outside method of providing them with that security. If they are able to own the land, that certainly solves the problem. If they cannot own the land, they need to be given some legally enforceable rights to the land for a long term. This might be written government assurances if the land is owned by the government. It might be a very long-term lease if the land is privately owned. The people need to know that they can invest themselves and their material wealth into this land with no fear of loss.
Health care is another area that could be troublesome. Right now, the Thai government 40 baht health care program seems to provide basic health care security to the people. There also needs to be good health care available and as the people cannot afford the capital investment for these kinds of facilities, this will necessarily fall to either the government or NGOs. Certainly, the people should be encouraged to use local resources in terms of traditional medicine and treatment. The people should also focus on wellness in their lives as opposed the current western approach to medicine, which is treating illness rather than promoting wellness.
The people will also need assistance from the government in insuring that there are educational opportunities for their children. The government should be encouraged to incorporate the support of religious leaders in the education of the children so as to help guide them with principles that will allow them to be able to face the decisions they will face in their lives with increasing wisdom.
As families develop into support communities, they may need resources for group development, meeting places, educational and informational support. This might be accomplished with the formation of networks of volunteer experts in fields of business, finance, savings, government, educators, and religious leaders.
In providing all of this support it is crucial that all parties understand that this is a community partnership to help people make their lives better and protect them in any kind of emergency. Money as a goal is cold and empty. Perhaps, worse than that, it is loveless and lacks humanity. It seeks only for itself like a cancer. Like a cancer it could destroy its host and in the process destroy itself. This model of sufficiency economy is looking at life through a lens of wellness and clearing the path and working slowly, surely and wisely to the point where the road is paved.
It is my belief that this model is a workable model in cultures that are not Buddhist. I propose the following:
- I will look at two existing communities that are and have been using the sufficiency economy philosophy for period of time. The first community will be the Asoke communities. Asoke consists of a number of sufficiency communities linked together for primarily religious goals. I will identify another group of communities that have linked for primarily economic goals.
- I will use a combination of literature review, interviews and surveys to understand how the communities have developed networked. I will use interviews and surveys to measure the feelings of the members of each community about their goals, and how the community has assisted them in progressing toward them. I will also need to develop a tool to assist in looking at the sufficiency life style specifically.
- Questions to consider:
- reason for participating in the community
- satisfaction in the community
- unanticipated benefits
- amount of time spent on community projects
- amount of time spent on individual sufficiency projects
- amount of time spent on personal growth and development
- things you find most beneficial about the community
- Research will need to be done in how to restate the moral concepts into English and into the cultural setting they will be used in.
- I am anticipating working with Life in Africa (LiA), an existing self help cooperative that is working in Kampala and Gulu, Uganda. The community in Gulu is a community that has been in a civil war for over 20 years. With the assistance of the HIV/AIDS epidemic in Africa, the trials of the war have torn apart the entire structure of the community. The people have been deprived of their homelands (some of the most fertile and productive farmland that Uganda has known) and their community and family lives. There are now hundreds of families that are headed by children as the adults have been killed in the war or have died from HIV/AIDS. Life in Africa has access to a 3,000 acre piece of farm land (Apok Farm that it is working to reclaim. The plan is to establish approximately 150 homes for these child-headed households. What we are proposing is that each family be given a piece of land that is large enough to provide them with food for their needs. The remaining land will be used as a commercial organic farm providing employment opportunities to many people who have no current work opportunities.
Currently these children are receiving limited social support from LiA. The community is heavily Catholic and it has been suggested that an attempt be made to work with the local archdiocese to provide long term psychological, and spiritual support. This relationship could provide strong legitimacy to the necessary moral training.
I would be using interviews and surveys to determine the current views of the children and the staff at LiA in order to develop effective training materials and support systems for the transition into the new Apok Farm Community. In addition to the moral, mental and spiritual training, we would anticipate needing to help these children learn many routine tasks such as planting, composting, budgeting, etc.
Once the community is in place there will need to be additional interviews and surveys to measure the effectiveness of the program. I would anticipate that we will need to define some metrics to determine sufficient food intake, sufficient protein, etc. I do not want to limit this evaluation to mathematically manipulatable numbers. I believe that the people themselves will be able to evaluate their wellness on their own terms.
The current top-down model of international development is not working. We have seen evidence of the power of the Sufficiency Economy philosophy and the power that it has in helping people provide for themselves and protect themselves from shocks. I believe that this research will allow us to share this gift of the King with the rest of the world.
A former county judge, Senator and Vice President, Harry S. Truman had taken the oath of office first on April 12, 1945, upon the death of President Roosevelt. Mr. Truman's victory in the 1948 election was so unexpected that many newspapers had declared the Republican candidate, Governor Thomas E. Dewey of New York, the winner. The President went to the East Portico of the Capitol to take the oath of office on two Bibles—the personal one he had used for the first oath, and a Gutenberg Bible donated by the citizens of Independence, Missouri. The ceremony was televised as well as broadcast on the radio.
Mr. Vice President, Mr. Chief Justice, and fellow citizens, I accept with humility the honor which the American people have conferred upon me. I accept it with a deep resolve to do all that I can for the welfare of this Nation and for the peace of the world. 1
In performing the duties of my office, I need the help and prayers of every one of you. I ask for your encouragement and your support. The tasks we face are difficult, and we can accomplish them only if we work together. 2
Each period of our national history has had its special challenges. Those that confront us now are as momentous as any in the past. Today marks the beginning not only of a new administration, but of a period that will be eventful, perhaps decisive, for us and for the world. 3
It may be our lot to experience, and in large measure to bring about, a major turning point in the long history of the human race. The first half of this century has been marked by unprecedented and brutal attacks on the rights of man, and by the two most frightful wars in history. The supreme need of our time is for men to learn to live together in peace and harmony. 4
The peoples of the earth face the future with grave uncertainty, composed almost equally of great hopes and great fears. In this time of doubt, they look to the United States as never before for good will, strength, and wise leadership. 5
It is fitting, therefore, that we take this occasion to proclaim to the world the essential principles of the faith by which we live, and to declare our aims to all peoples. 6
The American people stand firm in the faith which has inspired this Nation from the beginning. We believe that all men have a right to equal justice under law and equal opportunity to share in the common good. We believe that all men have the right to freedom of thought and expression. We believe that all men are created equal because they are created in the image of God. 7
From this faith we will not be moved. 8
The American people desire, and are determined to work for, a world in which all nations and all peoples are free to govern themselves as they see fit, and to achieve a decent and satisfying life. Above all else, our people desire, and are determined to work for, peace on earth—a just and lasting peace—based on genuine agreement freely arrived at by equals. 9
In the pursuit of these aims, the United States and other like-minded nations find themselves directly opposed by a regime with contrary aims and a totally different concept of life. 10
That regime adheres to a false philosophy which purports to offer freedom, security, and greater opportunity to mankind. Misled by this philosophy, many peoples have sacrificed their liberties only to learn to their sorrow that deceit and mockery, poverty and tyranny, are their reward. 11
That false philosophy is communism. 12
Communism is based on the belief that man is so weak and inadequate that he is unable to govern himself, and therefore requires the rule of strong masters. 13
Democracy is based on the conviction that man has the moral and intellectual capacity, as well as the inalienable right, to govern himself with reason and justice. 14
Communism subjects the individual to arrest without lawful cause, punishment without trial, and forced labor as the chattel of the state. It decrees what information he shall receive, what art he shall produce, what leaders he shall follow, and what thoughts he shall think. 15
Democracy maintains that government is established for the benefit of the individual, and is charged with the responsibility of protecting the rights of the individual and his freedom in the exercise of his abilities. 16
Communism maintains that social wrongs can be corrected only by violence. 17
Democracy has proved that social justice can be achieved through peaceful change. 18
Communism holds that the world is so deeply divided into opposing classes that war is inevitable. 19
Democracy holds that free nations can settle differences justly and maintain lasting peace. 20
These differences between communism and democracy do not concern the United States alone. People everywhere are coming to realize that what is involved is material well-being, human dignity, and the right to believe in and worship God. 21
I state these differences, not to draw issues of belief as such, but because the actions resulting from the Communist philosophy are a threat to the efforts of free nations to bring about world recovery and lasting peace. 22
Since the end of hostilities, the United States has invested its substance and its energy in a great constructive effort to restore peace, stability, and freedom to the world. 23
We have sought no territory and we have imposed our will on none. We have asked for no privileges we would not extend to others. 24
We have constantly and vigorously supported the United Nations and related agencies as a means of applying democratic principles to international relations. We have consistently advocated and relied upon peaceful settlement of disputes among nations. 25
We have made every effort to secure agreement on effective international control of our most powerful weapon, and we have worked steadily for the limitation and control of all armaments. 26
We have encouraged, by precept and example, the expansion of world trade on a sound and fair basis. 27
Almost a year ago, in company with 16 free nations of Europe, we launched the greatest cooperative economic program in history. The purpose of that unprecedented effort is to invigorate and strengthen democracy in Europe, so that the free people of that continent can resume their rightful place in the forefront of civilization and can contribute once more to the security and welfare of the world. 28
Our efforts have brought new hope to all mankind. We have beaten back despair and defeatism. We have saved a number of countries from losing their liberty. Hundreds of millions of people all over the world now agree with us, that we need not have war—that we can have peace. 29
The initiative is ours. 30
We are moving on with other nations to build an even stronger structure of international order and justice. We shall have as our partners countries which, no longer solely concerned with the problem of national survival, are now working to improve the standards of living of all their people. We are ready to undertake new projects to strengthen the free world. 31
In the coming years, our program for peace and freedom will emphasize four major courses of action. 32
First, we will continue to give unfaltering support to the United Nations and related agencies, and we will continue to search for ways to strengthen their authority and increase their effectiveness. We believe that the United Nations will be strengthened by the new nations which are being formed in lands now advancing toward self-government under democratic principles. 33
Second, we will continue our programs for world economic recovery. 34
This means, first of all, that we must keep our full weight behind the European recovery program. We are confident of the success of this major venture in world recovery. We believe that our partners in this effort will achieve the status of self-supporting nations once again. 35
In addition, we must carry out our plans for reducing the barriers to world trade and increasing its volume. Economic recovery and peace itself depend on increased world trade. 36
Third, we will strengthen freedom-loving nations against the dangers of aggression. 37
We are now working out with a number of countries a joint agreement designed to strengthen the security of the North Atlantic area. Such an agreement would take the form of a collective defense arrangement within the terms of the United Nations Charter. 38
We have already established such a defense pact for the Western Hemisphere by the treaty of Rio de Janeiro. 39
The primary purpose of these agreements is to provide unmistakable proof of the joint determination of the free countries to resist armed attack from any quarter. Each country participating in these arrangements must contribute all it can to the common defense. 40
If we can make it sufficiently clear, in advance, that any armed attack affecting our national security would be met with overwhelming force, the armed attack might never occur. 41
I hope soon to send to the Senate a treaty respecting the North Atlantic security plan. 42
In addition, we will provide military advice and equipment to free nations which will cooperate with us in the maintenance of peace and security. 43
Fourth, we must embark on a bold new program for making the benefits of our scientific advances and industrial progress available for the improvement and growth of underdeveloped areas. 44
More than half the people of the world are living in conditions approaching misery. Their food is inadequate. They are victims of disease. Their economic life is primitive and stagnant. Their poverty is a handicap and a threat both to them and to more prosperous areas. 45
For the first time in history, humanity possesses the knowledge and the skill to relieve the suffering of these people. 46
The United States is pre-eminent among nations in the development of industrial and scientific techniques. The material resources which we can afford to use for the assistance of other peoples are limited. But our imponderable resources in technical knowledge are constantly growing and are inexhaustible. 47
I believe that we should make available to peace-loving peoples the benefits of our store of technical knowledge in order to help them realize their aspirations for a better life. And, in cooperation with other nations, we should foster capital investment in areas needing development. 48
Our aim should be to help the free peoples of the world, through their own efforts, to produce more food, more clothing, more materials for housing, and more mechanical power to lighten their burdens. 49
We invite other countries to pool their technological resources in this undertaking. Their contributions will be warmly welcomed. This should be a cooperative enterprise in which all nations work together through the United Nations and its specialized agencies wherever practicable. It must be a worldwide effort for the achievement of peace, plenty, and freedom. 50
With the cooperation of business, private capital, agriculture, and labor in this country, this program can greatly increase the industrial activity in other nations and can raise substantially their standards of living. 51
Such new economic developments must be devised and controlled to benefit the peoples of the areas in which they are established. Guarantees to the investor must be balanced by guarantees in the interest of the people whose resources and whose labor go into these developments. 52
The old imperialism—exploitation for foreign profit—has no place in our plans. What we envisage is a program of development based on the concepts of democratic fair-dealing. 53
All countries, including our own, will greatly benefit from a constructive program for the better use of the world's human and natural resources. Experience shows that our commerce with other countries expands as they progress industrially and economically. 54
Greater production is the key to prosperity and peace. And the key to greater production is a wider and more vigorous application of modern scientific and technical knowledge. 55
Only by helping the least fortunate of its members to help themselves can the human family achieve the decent, satisfying life that is the right of all people. 56
Democracy alone can supply the vitalizing force to stir the peoples of the world into triumphant action, not only against their human oppressors, but also against their ancient enemies—hunger, misery, and despair. 57
On the basis of these four major courses of action we hope to help create the conditions that will lead eventually to personal freedom and happiness for all mankind. 58
If we are to be successful in carrying out these policies, it is clear that we must have continued prosperity in this country and we must keep ourselves strong. 59
Slowly but surely we are weaving a world fabric of international security and growing prosperity. 60
We are aided by all who wish to live in freedom from fear—even by those who live today in fear under their own governments. 61
We are aided by all who want relief from the lies of propaganda—who desire truth and sincerity. 62
We are aided by all who desire self-government and a voice in deciding their own affairs. 63
We are aided by all who long for economic security—for the security and abundance that men in free societies can enjoy. 64
We are aided by all who desire freedom of speech, freedom of religion, and freedom to live their own lives for useful ends. 65
Our allies are the millions who hunger and thirst after righteousness. 66
In due time, as our stability becomes manifest, as more and more nations come to know the benefits of democracy and to participate in growing abundance, I believe that those countries which now oppose us will abandon their delusions and join with the free nations of the world in a just settlement of international differences. 67
Events have brought our American democracy to new influence and new responsibilities. They will test our courage, our devotion to duty, and our concept of liberty. 68
But I say to all men, what we have achieved in liberty, we will surpass in greater liberty. 69
Steadfast in our faith in the Almighty, we will advance toward a world where man's freedom is secure. 70
To that end we will devote our strength, our resources, and our firmness of resolve. With God's help, the future of mankind will be assured in a world of justice, harmony, and peace. 71