Jordan's King Hussein unconditionally supported the Palestine Liberation Organization Wednesday and asked oil-rich Arab states to help pay for the continuing struggle against Israel.

On the second day of the Arab summit, Hussein disclaimed any ambition to restore Jordanian rule in the Israeli-occupied West Bank. He insisted that the PLO must represent the Palestinian people at any future international peace conference.Speaking behind closed doors to the leaders of the PLO and 20 Arab nations, Hussein endorsed some aspects of Secretary of State George Shultz's Middle East peace plan, but declared:

"The United States has no Middle East policy other than support for Israel. The U.S. approach to the problem of the Arab-Israeli conflict is, unfortunately, based on a policy of crisis-management.

"The United States takes no political steps or initiatives unless there has been a recent eruption in the region taking on the aspect of a war."

Hussein said Arab nations should support the Palestinian uprising "in an organized and effective manner and ensure that it continues until it achieves its objectives."

Hussein, who has been lukewarm in his support for the PLO in the past, repeatedly stressed his wholehearted acceptance of the guerrilla organization as "the sole legitimate representative of the Palestinian people."

The three-day Arab League meeting was convened to support the Palestinian uprising.