Important as economic unification is for the recovery of Germany and of Europe, the German people must recognize that the basic cause of their suffering and distress is the war which the Nazi dictatorship brought upon the world.
The working out of a balanced economy throughout Germany to provide the necessary means to pay for approved imports has not been accomplished, although that too is expressly required by the Potsdam Agreement.
Provision was also made for the distribution of Germany's foreign assets among the Allies.
Freedom from militarism will give the German people the opportunity, if they will but seize it, to apply their great energies and abilities to the works of peace.
We have learned that peace and well-being are indivisible and that our peace and well-being cannot be purchased at the price of peace or the well-being of any other country.
The American people want peace. They have long since ceased to talk of a hard or a soft peace for Germany.
I hope that the German people will never again make the mistake of believing that because the American people are peace-loving, they will sit back hoping for peace if any nation uses force or the threat of force to acquire dominion over other peoples and other governments.
The carrying out of the Potsdam Agreement has, however, been obstructed by the failure of the Allied Control Council to take the necessary steps to enable the German economy to function as an economic unit.
That was the principle of reparations to which President Truman agreed at Potsdam. And the United States will not agree to the taking from Germany of greater reparations than was provided by the Potsdam Agreement.
The conditions which now exist in Germany make it impossible for industrial production to reach the levels which the occupying powers agreed were essential for a minimum German peacetime economy.
We have helped to organize the United Nations. We believe it will stop aggressor nations from starting wars. Because we believe it, we intend to support the United Nations organization with all the power and resources we possess.
Most of the victims of Nazi aggression were before the war less well off than Germany. They should not be expected by Germany to bear, unaided, the major costs of Nazi aggression.
We intend to continue our interest in the affairs of Europe and of the world.