1. Determining which commodities should be embargoed in order to effectuate the purposes of the Act. 2. Continually adjusting the embargo lists to current conditions. 3. Advising the President on whether or not United States aid should be continued to a country that has knowingly permitted the shipment of embargo-list items to the Soviet bloc. 4. Making a continuing study of the administration of export control measures undertaken by foreign governments and reporting to Congress at least every 6 months. 5. Making available technical advice and assistance on export control procedures to any nation desiring such cooperation. 6. Coordinating United States Government activities which are concerned with security controls over exports from other countries. =The Money and the Manpower= The budget of Mutual Defense Assistance Control (MDAC) for the present fiscal year is $1,078,000. As of December 31, 1953, the MDAC staff consisted of 29 persons, including clerical employees. In addition, there were 111 persons on other United States Government agency staffs, both in Washington and overseas, who were performing Battle Act functions and were paid out of MDAC funds. These 111 were in the following agencies: Commerce Department 32 State Department 43 Defense Department 13 FOA (other than MDAC) 23 ---- Total 111 This brought the total personnel on the MDAC payroll to 140, as compared with 115 on June 30, 1953. Besides these 140 people, the four agencies listed above had still others, paid from the agencies' own funds, who were working at least part of their time on similar functions (and generally were engaged in such activities even before the Battle Act became law). [Illustration: EDAC STRUCTURE] =Meshing the Gears= The Battle Act is a part of the economic defense program of the Government. The economic defense program involves at least 10 agencies whose activities and interests have to be coordinated. The coordination is accomplished through the Economic Defense Advisory Committee (EDAC). The chairman of EDAC is the FOA Deputy Director for MDAC. The chart opposite this page shows what agencies are members and how the EDAC structure is set up. In addition the United States Information Agency has an observer on EDAC, and economic defense matters are closely coordinated with USIA for overseas information purposes. The chart also shows that EDAC has an Executive Committee; it handles the day-to-day operating and policy problems of the economic defense program. EDAC advises the Director of the Foreign Operations Administration and the Secretary of State who are charged with coordinating the implementation of the program of economic defense matters including the control of strategic shipments from the free world to the Soviet bloc.