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Reuter also had to make frequent trips to Western Germany, mostly to plead the city's case at Bonn, sometimes to meet with the Minister-Presidents of the eleven Western Länder (states), sometimes to confer with Socialist Party colleagues. Whenever time permitted, he traveled by car on the Autobahn through the Soviet zone, even though he was anathema to the Russians; he was determined to assert the Berliners' right of free access to their city...
...attack on Farmer Merkel was duplicated last week in hundreds of villages in East Germany, Red terrorists bore down on all known or potential leaders of non-Communist opposition. The Reds' aims: to eliminate the Christian Democratic Party in East Germany, including three cabinet ministers in Länder goverments, had made their way to the West. Factory managers, non-Communist foremen, and workers also fled before the Reds. Said one refugee: "This isn't a purge any more-it's a pogrom. Germany hasn't seen anything like it since the Kristallnacht of 1938, when...
Bargain Sales. Last week Chancellor Konrad Adenauer's government at last set up a committee to study means of reducing unemployment. There were two general solutions: pump-priming, and deflation. Pump-primers wanted the government to spend part of the reserve in the Bank Deutscher Länder (similar to the U.S. Federal Reserve) for critically needed housing, and thus re-employ hundreds of thousands of construction workers. The other solution was to let the goods pile up on shelves until prices dropped to the point where customers could buy more. But the trade associations refused to let prices...
...Charter for the High Commission, published last week, cuts Allied interference in German affairs to a minimum. Except in emergencies, the commission will act only through the federal German government and the eleven Länder (state) governments. Occupation troops remain in their present zones, but henceforth may deal with the Germans only through a Lander Commissioner (appointed by the high commissioner of his zone). The new government will join the OEEC and sign an ERP agreement with the U.S. Instead of the past separate patterns in each zone, occupation policy will become uniform throughout Western Germany...
Last month, Western officials cautiously started to let some money pour into West Germany's economic pool. The Bank Deutscher Länder relaxed credit restrictions by lowering the rediscount rate for its member banks. West Germany's economic boss, Dr. Ludwig Erhard, announced an 8½-billion-mark investment program for the coming fiscal year...