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6 - LONDON, 1941: FINAL STAGES OF NEGOTIATING THE FUNDAMENTALS OF LEND LEASE

Published online by Cambridge University Press:  05 November 2012

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Summary

On his return to London, Keynes continued his involvement with the subjects of his Washington discussions. On 2 August he prepared a covering note on the matter of Consideration, a copy of which went to the Prime Minister.

‘CONSIDERATION’

I attach the document handed to me by Mr Dean Acheson on 28th July, and behind it a memorandum of my conversation with him which I prepared immediately afterwards. I left copies of both these documents with the Ambassador.

The proposed agreement is on the formal lines, which was originally intended. The preamble sets out the declaration of common purpose in language which echoes the Declaration of Independence. Except in Article VII substantially all the detailes are postponed for a subsequent date.

Articles I and VI raise some points of detail which I mentioned to Mr Acheson, but I think that no substantial point arises here which cannot be dealt with easily. The agreement has been padded out by quoting verbatim or in substance portions of the Lend Lease Act.

The substantial issues are reserved for Article VII.

The first part of this is not quite so clear or so satisfactory to us as the form of words I had drafted. But it is meant to say, and it does in fact say, that there will be no war debts. That is to say, no deliveries of cash or goods having merely economic significance.

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Publisher: Royal Economic Society
Print publication year: 1978

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