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This study examines the role which the American Merchant Marine plays in our national economy and its contribution to the economic welfare of the country. This study will further examine the merchant marine as a potential defense force, its present defense capabilities, and the government programs and legislation designed to support it. The present government assistance program is determined inadequate to meet the nation's need for a merchant marine of modern, efficient and competitive vessels; and a program aimed at making the shipping industry self-supporting through research and development, increased efficiency incentives, and improved labor-management relations is advocated. (Author).