March 30, 1957 THE ECONOMIC WEEKLY

It would be idle to ignore that, at is little that the Communists can do their party, though not so much the same time, there would be power­ about it. Much as they would like their numerical strength in the ful forces within the State working to nationalise plantations and the legislature. The party is efficient on their own as also under outside rich export , it is beyond the and compact. It has out-standing influences, to sabotage the Commu­ constitutional competency of any leaders, the names of some of whom nist regime. How will the Party State Government to touch either. are almost legends in Kerala. They and Government tolerate them? But if they can successfully sponsor are able and know their responsibi­ Will it be possible for the Party to the setting up of State owned enter­ lities. That the people of Kerala neutralize such forces by its own prises in collaboration with Soviet chose the Communists for revival efforts, or will it be tempted to Russia or some of the East Euro­ of parliamentary democracy in that adopt the methods used in other pean countries, the Centre may find State is alike a tribute to the orga­ Communist countries to liquidate it embarrassing, under these circums­ nisational strength of the Com­ opposition? tances, to withhold its approval. The munist Party of India, and a reflec­ Even if the Communists succeed situation is delicate and fluid, it is tion of the structural weakness of in establishing an efficient adminis­ full of possibilities and may well the Praja Socialists. Both the Con- tration and in rooting out corrup­ become intriguing. But at this stage, gres and the P S P are hoping that tion, this alone will not avail for it would be idle to anticipate more. the Communists will make a mess long, unless they also achieve some Far more important is the land or" their job. Both may be doing success in tackling the acute un­ problem and the Communists' hand­ exercises in wish fulfilment. The employment problem in the State. ling of it. They will have to face Politburo of the C P I is conscious Shri E M S Namboodiripad, the the hard realities of the situation of the grave issues at stake. If it newly elected Leader of the Party that there is just not enough land fails in Kerala, it will considerably in Kerala, has already indicated that to go round, that it will be calami­ damage its future political status his Government's economic policy tous, if tinkering with the problem and chances. This, and the adequate would be pro-Labour but the private leads to a decline in agricultural constitutional safeguards, are gua­ sector would be given a reasonable production. Communists do not rantees that the C P I will exploit chance to develop industries in the have to be told, of course, that the the opportunity to fill strategic ad­ State. Will the private sector, which greatest caution is required in re­ ministrative positions with their is not very happy about the social­ modelling the land system. But party members and supporters. Even ist pattern a la Congress, give a there is nothing to prevent them to in this sphere, the scope for mano­ helping hand and come forward to put their dogma into practice in euvre in limited, though that does establish industries in this young Kerala, barring Presidential disap­ not rule out administrative infltra- Communist State? proval on State legislation. tion—it would be too much to expect If the private sector withholds its The greatest advantage of the the C P I not to exploit the oppor­ cooperation or is lukewarm, there Communists will be the strength of tunity to the full. New Phase of

LONDON and Paris must be jubi- gressive attitude to aggression, Bri­ ance. London and Paris can claim lant that Washington's pundits tain and started active spon­ that the diplomatic move has suc­ have cajoled and coerced Washing­ soring of "Europe" as a Third ceeded beyond expectations. M. ton into accepting the realities of Force. Under such hostile pressures, Mollet returned from Washington world . It would be idle the Great Alliance seemed to creak. with an ostensible assurance that to pretend that the joint Anglo- Two intervening developments America supported France's foreign French aggression in Egypt had not helped to repair the breach. Britain policy in its major aspects. Britain seriousy threatened the Great Alli­ and France were wise in obeying has not only been assured of sub­ ance One of the fundamental as­ promptly the directives of the United stantial economic cooperation, direct pects of America's foreign policy is Nations. Washington's experts dis­ and indirect by America, Mr, Mac- to contain To deter covered that there was nothing in millan has scored a major diplomatic Communist aggression or threats of "Euratom" and the common mar­ triumph through America's declared aggression, Washington is not only ket for Europe to damage the in­ intention to join the Miitary Com­ prepared but detcrmined to enter terests of America, On second mittee of the "if in­ into all possible alliances to ring the thoughts, Britain and France real­ vited by the nations to do so" world round with bases. But the ised that they could not do without London must be gloating over the Anglo-French-Israeli aggression in America. In Washington, the real­ sudden and unexpected, though not Egypt posed a different problem for isation dawned gradually that a unintended, success of the diploma­ Washington. That Britain and permanent rupture between Ame­ tic device of ignoring SEATO at its France made a bid to flout Ame­ rica and her major NATO allies recent Canberra session. rica's might and authority by their could only benefit Communist This is not the only interpretation sinister move to "go it alone" in Russia. Subsequent developments of the happy reunion between the Egypt, created additional complica­ indicated that, while Washington be­ senior and two junior partners in tions. America reacted by taking haved that it was in a mood to the Great Alliance. Washington a firm initiative in the United Na­ forgive repentant wrong-doers, Bri­ will feel amused at the great Jubila­ tions for checking aggression against tain and France were equally In­ tion in London and Paris that Bri­ Egypt. Provoked by America's ag- terested in reviving the Great Alli- tain and France have not only got 428 THE ECONOMIC WEEKLY March 30, 1957 away with their hasty act of ag­ there provided Washington the op­ many. But, outside Europe, Ame­ gression, but have wrested major portunity to enunciate the Eisen­ rica's offer of military aid is con- economic concessions from America. hower Doctrine. Washington was -fined to assistance against Com­ For a proper assessment of the new keenly awaiting to be provoked. But munist aggression only. This was phase of America's foreign policy, it was certainly wrong of Moscow to oemphasised at the time of the en­ it is necessary to go back to the cause or to hasten the provocation. unciation of the Geneva Conference. One of With the Communist threat to It was recently clarified by Mr. the possible outcomes of that Con­ Europe receding into the back­ Dulles that America's military res­ ference was a genuine acceptance ground, America seems determined ponsibility as a SEATO member of peaceful co-existence by the Wes­ to concentrate her attention to was confined to combating Com­ tern Powers. Decisions of the se­ Asia. To combat the alleged Com­ munist aggression. At Bermuda, cond Conference on munist menace, Is the prime aim of President Eisenhower has made it Indo-China seemed to hasten the Washington's foreign policy. This clear that America's willingness to chances of this possibility. Two is the avowed aim of the Eisenhower join the Military Committee of the years passed during which both Doctrine. To' further this aim, Baghdad Pact "carries no conno­ sides to the "cold war" flirted with America has expressed her willing­ tations with respect to intra-area peaceful co-existence. But it soon ness to join the Military Committee matters." In Europe as well as in became evident that Western Powers of the Baghdad Pact under certain Asia, America now holds herself were unwilling to accept the impli­ terms and conditions. She will par­ mainly responsible for checking cations of competitive co-existence. ticipate in the Military Committee American aggression. Britain and After an uneasy interlude of three only if the nations concerned with France may welcome America's will- years, America seems to have wrest­ the Baghdad Pact invite her to do ingness to ease their burdens. But ed the initiative in world diplomacy so. Her participation in the Pact the poor response by Arab States from the . Washington will be in respect of Communist ag­ to the Eisenhower Doctrine and has exploited adroitly the aggres­ gression and not against "any" New Delhi's apprehensions that sion in Egypt and the tragedy in aggression. This emphasises a major Pakistan and some other Common­ Hungary. aspect of America's foreign policy. wealth members may try to utilise Moscow was prompt in analysing In Europe, America is committed, SEATO and the Baghdad Pact to the consequences of the Geneva through NATO, to military assis­ pursue a hostile policy to India are Summit Conference. It was right tance against any form of aggres­ indications that Asian countries are in ignoring Europe and in concen­ sion. France can thus, invite Ame­ suspicious that the shift in Ame­ trating its attention and resources rican military help under NATO rica's foreign policy may intensify on Asia. Immediate successes of in the event of aggression by Ger­ the "cold war' in this region. the Soviet Union's economic drive towards under-developed countries led to a deeper appreciation in Ame­ rica of the consequences of com­ petitive co-existence. De-Stalinisa- tion frightened America and the NATO allies out of their wits. In its triumphal march, Moscow made two fatal mistakes. Hungary was an egregious blunder. Budapest and the turmoil in Eastern Europe have been rightly interpreted by Ame­ rica, for reasons entirely different from those assumed equally cor­ rectly by the Soviet Union imme- diatey after the Geneva Summit Conference, as dependable guaran­ tees against any diplomatic or mili­ tary supremacy of the Soviet Union in and over Europe. This explains Washington's current over-concen­ tration on west Asia in particular and on Asia in general to the neglect of Europe Moscow's second error was to get involved in the military aspects of the west Asian situation. Unlike in India, the Soviet Union's help to some west Asian countries have not been confined to economic co-operation alone. Military aid to Egypt and Syria, Moscow's open threat of taking deterrent military action to stop Anglo-French aggres­ sion in Egypt and the offer of "volunteers" to end the fighting

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