Indianapolis Times, Indianapolis, Marion County, 19 November 1949 — Page 10

Business

Give LAME and the Peosie Will Pind Their Own Wow

a MOST "us who thought of inflation as a temporary i phenomenon have wondered why it hasn't subsided ...... fast@r as peacetime goods and services became plentiful, «What's holding up the cost of living? Why do the dollars we get if we cash in war bonds buy so much less thap we could have bought with the smaller number of

dollars we paid for those bonds 10 years ago?

credit policies are now shedding some light on those questions. y 0 " * “Instead of less inflation, we may be in for more over a long-period. That's the opinion stated by Alfred Williams, prefident of the Philadelphia Federal Reserve Bank. “Persistent” inflationary tendencies, he testified, arise from: “The zeal for social justice,” the “emphasis on full employment at constantly rising wage rates,” the attempt to meet demands of all “claimants in such areas as agricul ture, veterans’ affairs, housing and local depressed areas,” and America's rise to world leadership. y In other words, from government policies and governaug spending. ” nT WORLD LEADERSHIP is inescapably expensive. Huge outlays on national defense and on aid to friendly nations are ‘Hecessary because of the cold war. “Bocial justice is an American ideal. Labor wants steady work at rising wages. Agriculture wants high supports for its prices. Veterans want benefits to which they feel their services entitle them. Millions of families want better housing. “States and communities want public works and other cid. - Almost everybody wants more assurance of future

~~ ~All these wants are understandable, but in its efforts to supply them the federal government is spending far » money than it takes in and is preparing to spend Deficit financing--government spending of borrowed

Ma st bes Si sR all BR SE Ee

perate expedient, justified only in great emergency and thet only for the briefest possible time. But now Secretary of Treasury Snyder tells the congressional committee: “The general economic welfare of the country should be the guiding principle in determining for any given period whether the federal budget should be balanced, should show a surplus, or should show a deficit, and in determining the

at Washington has decided it can’t keep its many promises of welfare and security to many groups of citizens and voters on a balanced budget. So unbalanced budgets are to be.pictured as a blessing, a creator of prosperity. + But if federal deficits really have such virtues, in what “given period” of the futyre will it ever again be possible “for the government to balance its budget ? When the government increases its debt, what that creates is inflation. The value of all money falls. Each dollar buys less goods and services, less welfare, less security.

No nation in all history ever has reached lasting prosperity

* by traveling that road to ruin. i

~ What About Formosa? PRESIDENT TRUMAN'S atdnouncement of a meeting of “7 Yop Aniérican diplomats in the Far East at Bangkok, Thailand, in late January to devise strategy to meet Communist. expansion in Asia ignores the hard realities of the situation—unless he has other plans he has not disclosed. «Communism is on the march. By late January the Chinese Communists may be in Formosa, in which case that highly strategic island is likely to be made a Russian Thousands of the best friends the United States has in China have sought refuge in Formosa. If the Commu. nists capture Formosa, these people may be slaughtered. The Communists have dencunced many of them as war This island became Japanese territory in 1895. Its return to China was promised Chiang Kai-shek in 1043. But that agreement remains to be confirmed by Japan's formal ~relifiquishment of title and an Allied peace conference might notagree to such an arrangement in any event. The Forans themselves ought to have some voice in the matter, the right of self-determination to which we are supposed to subscribe. : :

i FORMOSA can be prevented from falling into Commupnist hands in one of two ways: (1) By the United States

war, or (2) by supplying the Chinese Nationalists with thé arms and economic assistance they would require to defpnd it.

and.soon. Late January may be too late. ; oh . SOur policy for the Far East will be made in Washington, and not Bangkok anyway. And it is idle to talk about scking communism unless we intend to do it, Formosa cannot be considered Chinese territory until it is made such by formal treaty which would have standing In ternational law. In any case, the Communists have no claffn to it, Neither has Russia, 3 { “But Russia's stooges will walk in and take it if we look She ar Wazian we did while they ware Swallowing Mam:

i Ld

s Are Incurable

Congressional hearings on federal fiscal, monetary and

Solving the island “out of bounds” from attack in the. ci

PAGE 10 Saturday, Nov, 10, 1040

mongy--once was almost universally regarded as a des-

“his is a tough decision, but one which has to be made,

or seven third-class coaches with no connecting “sorridor, who

" hard ashe can since he has no way of knowing

_AWay Out

- "Uncharted Cow Paths

_ BELGRADE, Yugoslavia, Nov. 19—The few

i 32

train, the diner on the

reach the last car. Or,\to put it more accurately, he runs as

how long train will stop at a village station, It may be a minute or an hour. If it's a min~ ute, he may find himself left on the platform

AT THIS point along came William McClure, ‘an adventurous young for Pathe

News who specializes in to-get action pic tures in remote places. He\was driving to Belgrade in a new 1949 with extra gas

tanks, extra tires and extra just about’ everything you could think of. N Bill urged us to come with arguing that we would see much more of the ing by car. We certainly did. For the first 30 or 40 miles there are good highways built when this western first, part of the Austro-Hungarian em and, later, belonged to Italy. When you leave that

ANTITRUST DEBATE . . . By James Daniel

‘Good’ and ‘Bad’ Monopoli Good’ and ‘Bad’ Monopolies WASHINGTON, Nov. 10—Ever since Justice of big business organization was big labor orWendell Holmes is supposed to have re- = ganization, “so that today preservation of a

that- the Sherman antitrust law was free economy is menaced by three great forces: ” the laws against monopoly have (1) big business monopoly; (2) big union mo-

in Am fea. It was raining hard, a rain that was turn ing to snow. ? ! \ Then we had a puncture. Bill fixed it ex-

the late afternoon. The official government Deen ofly attacked and just as fiercely nopoly, and (3) monopolistic combinations of tourist bureau had no road map—that was one defended." big business and big unions. of the lacks which had worried us most—and Attack defense have reached something The subject of bigness came up as governs they didn’t know where we could get a map. of a climax in the current of the ment attorneys were defending their recent suits The real problem was to get a new lug wrench House su appointed to monop- to break up such business conglomerations as before we started out in the morning. Bill oly power. chairman is Rep. Emmanuel . du Pont. In response to questioning, they infinally found a garage man who improvised one Celler (D. N, Y.), who has been almost the only sisted they were not prosecuting du Pont for its that might have worked. Fortunately, it wasn’t committee member in attendance since Congress bigness but only for the abuse of the power that necessary. adjourned. NF : : comes with bigness. 2 > The testimony is ical and involved, but Sen. Joseph C. O'Mahoney (D. Wyo.) put in No Road Signs . there have been flashes of rhetoric. Recently his perennial suggestion that the U. 8, Heenas WE LEFT Zagreb o Cyrus Edton, the Cleveland banker, alleged an Interstate corporations under limited grants new six-lane auto HO Th Tlie sirstel: of the “unholy alliance” Wall Street and power, That would take away the right of an

ing completion. There were no signs to tell us Washington 8. He \also accused J. P. individual state to gr ant a corporate charter, Morgan Co. of running U. 8. Steel to the neglect : - where fo turn off when that stretch ended. We of neg Protection of Consumers

and ended up on a narrow-gauge railway track The Celler subcommittee is of the House BUT THE witnesses don’t seem to know to

in our effort find the old road. With luck Judiciary Committee, As such, it is in a good what can be done to halt the Adrift toward. and Bill's skillful driving we finally made it. position to originate legislation me general centralization. . Then began a trip. that took me back to my idea of agreement could be defined. We Every suggestion that Congress itself should boyhood in Iowa. Slipping, sliding and bumping The hearings have been held in two sections write detailed do's and don't’s for business was along through the never-ceasing rain and snow, ~from July 11 to Aug. 5, on defects, ‘contradic- viewed with horror. This would be a legisiawe passed through tiny vil ere AD OCCA and tes in existing tively impossible drafting job. Furthe

sional antiquated truck was th

driven vehicle anyone ever saw. well into December, on particular situations in corporations to violate the spirit of the anti-

tions inadequacies rIore, motor laws; and from Oct. 25 to now and probably detailed rules would make it easy for predatory to hold particular industries. monopoly laws while appearing to follow the

their 4% \ “etter. topped 8 Teall crow Setmd lime we Agree on Competition Some effort was made to discount the arguand wonder at that 34D Ob srolct IT'S SUBSTANTIALLY agreed that it IS mént that big business is big because it is more . er-\ efficient. Mr. Eaton said that U, 8. Steel is an

oe desirable to preserve competition if free ent An extra-hard that broke ay) vit gar hghiom, bump ah. Tot » A os prise is not to be succeeded by tight monopolies. \ unnecessarily high-cost producer.

But that matter of how to preservé free en- Thurman Arnold, however, cited Coca-Cola hala ua » 0k for naus vat Bot dave. al terprise i= what causes confusion. <The govern- an example of a big concern that by freely continuous driving, there was considerable won ment’s witnesses have concentrated their fire on sharing its patents, refusing to grant discounts det that ‘we had done tin that time “oligopolies,” a word which they define as being or buy up outlets, has created prosperity for . the next thing to monopoly. In an oligopoly, a itself\and a host of imitators. : New Auto Highway. : vo... \few corporations dominate the field, avold Generally the witnesses believed that free : verexpansion” in good times and curtail pro- competition 18 declining every year. They cited ONE OF the tales we heard on our arrival. ction in bad. The result is price fixing. the Miller-Tydings Act, which allowed manuwas of the two correspondents who had had a ccording to the government's lawyers, the facturers apd retailers to rig resale prices under

mishap on the same journey and had spent the sepacate firms don't have to conspire—they just the name of “fair trade”; the Reed-Bulwinkle night in a Croatian peasant’s farm house, shar- naturglly adopt employment and production Act that took railroads out from under anti-

ing a not-very-wide double bed with the farm- policies which avoid price competition, trust; the Webb-Pomerene Act that exem er, his wife and 6-year-old daughter. Labox monopoly was passed over quickly, export activitiesand the moratorium on ite The fast stretch into Belgrade was on the except by\Thurman Arnold, who used to be head . cuting insurance companies. 3 new auto highway, Its completion between of the an t division at the Justice Depart- These were seen as evidences of piecemeal Zagreb and the capital has been announced for ment, and Donald Richberg, former chief coun- repeal of the antitrist laws. Nov. 28 with a national celebration led off by sel of the La Relations Board. . “An economist said we should all be sensible & speech from Marshal Tito. Mr. Arnold said it is all right for nation-wide , on the monopoly subject and reccgnize that the

The new highway will be as good as any in unions to-use their labor monopoly to negotiate 14 revention of mono the world, comparable to the Pennsylvania turri- ‘on wages, ho pay 8! main goal is not p p p-

) health, safety and mainte- but protection of consumers. : pike. Thus, in effect, Yugoslavia’ intends to nance of collective 4 Sly but prog

rgajning. But he said it is In other words, there are “good” and “bad”

“Jump from the horse-and-buggy era to the pres- = wrong when such er. “is used to restrict pro- monopolies. This is as close as the Celler hear-

ent, and that is true of almost every phase of duction, raise prices and erect t swer the ambitious program Tito is trying to put tween communities.” ASHE Darter be... juan Bare oo i ag a int

over, Mr. Richberg said: One Inevitable product monopoly? ;

LABOR... . By Fred Perkins SIDE ‘GLANCES By Galbraith AVIATION. . . By Max B. Cook : 1.1 — :

It's Up to Lewis 12 I Safety in Flying

WASHINGTON, Nov. 19-The guessing mow in the’ coal , \

controversy is not about what President Truman is going to do, Yo or but about what John L. Lewis is going to do. ' Mr. Truman's replies to press conference questions made it ” a plain that he intends to use a court injunetion under the Taft- : wt ~~

Hartley Law when the right time comes. That will be when an

emergency has developed ; Ns 7 enough to justify this rigorous is for a lot of disgruntled ; 3 procedure, miners. , And that time will not come ; re. unless the leader of the MR. TRUMAN's decision Wasitington

United Mine Workers carries: knocked the props from under y out his threat to call another speculation that he was likely Sollowsd complaints 3 BE on mediately _— he strike on Dec. 1, as a resump- to offer Mr. Lewis an easy out National Guard and Air Force op! tion of the recent ome that by appointing a non-statutory Reserve units were a hazard , RNEIRL Civil lasted 53 days. That one was fact-finding board, instead of to commercial air traffic. The D,.,W

called off ostensibly so that a board under the Taft-Hart-homes and hospitals could. use ley Law. The President pre-

) HHH 15

we or do we not -want'.

A NATION-WIDE move to confine all military training of pilots to large military airports and away from main com* mercial airports was being considered today. ¥ It was the direct result of the tragic accident at Washington i which took 55 lives when a military P-38 flown by a Bolivian .. pilot collided In the air with an Eastern Air Line DC4, : The Civil Aeronautics Administration since has banned help being rusty at times.

| ; 2

pension or the idea’of a pension. In fact, the WASHING pension idea, if properly executed, Ia & splendid (UP) — Diple What is wrong, however, is the current ap- here ' todsy a g oa there has been machinery for, providing one's that his coun self with a pension and security, without costly . strikes and economic disaster, ny arms from the The real trouble is that. we have bred a There was n ‘whole generation who dre unable to face facts the results of and stand on their own feet. All they know is to wind round of to wiop to onsider that. those Whe # this * State, and the nation what it is today staff. nation what ft 1s t848Y Gd Hot A eos ih But a Cabine their two hands. The same can be doné today. Dr merely disguised to imposing vas gg mi are wa greed upon . When workers ' zy And so far | fully aware that their employer is not to Ar ath into his pockets to pay for it, Justeas a Bonnin EO Pe iar for : ly with Washi by the consumer. That's me, And I don't see Yitor. Prime any basis of reasoning why I owe Mr. Casey a While Mr. N pension—nor does he owe me one. Yet, that is Sdatre 10 Jone exactly what happens. I pay for his security and West keep he pays for mine. So involved when the simple struggle, way would be for each one to provide his own i Mr. Roosevelt once said we had nothing A o De apparenth a the detense of ¢ more he bred mare feat into the beara of weanling Cold Wi out fear in his heart, and faith in God hb President Ti one is his own security. And if God hinted that he | Bad wanted everyone to be secured in, Jia 1 war’ - time, there would be no. need for a } ing their Lewis, or Harry Bridges or Harry Truman, sariier in the ¢ master-mind God. Yet, these men Bave The Shah ent themselves up as wiser than God. ' dent at a state cy | Sante dee ‘Harness Buoyancy’ the 0. 8. “Can By J.T. P, City a other.

WN ~

gs fo

‘is my sincere belief tha a weapon could be he had produced that would put an end to many of . | the Bhah earlie Build a machine that will harness the power : of buoyancy, the greatest and most abundant wane Mn Ht source of energy in the world. It is known to . plain his exist in water and in the air. This energy "5 pointed out tha would be an important weapon to use against : + from the West, air pollution as it would stop the use ‘of coal, - ~ becomes the *“ and put an end to smoke and fumes. Also, it: | ready two natic could be used as a weapon in case of war to ° —Greece and T produce needed electricity, 3 Then use this method of power production ‘for the millions of coal users .who are now heavily taxed to lower the cost of living in: > several ways, If power and light companies = could save the cost of fuel, then ouf electri * bill could be lessened even though we were uslog More siectrichy SOF OTe pURpoRen: a *No Curb on Union Leaders’

By Lilian Whicker, 419}; N. Davidson St. What manner of man'is this? When he

bated oF U8 BEB

* ¢ 9

"By Clarence Love, Marshall, Ind.

‘Do you carry. a burden for your fellowman? : i Do you believe in this God of love? Sihbr

: : main airports had to be Washington, sald today -that Shiies wie Sf Krace 1o gut serided the former mtthod. for used when scores of military he was meeting with Air Force H or nter his politionl#tipporter, Philip fon . “\p on Murray, in ‘he pension argu- Shout the ante, foe Deads, 80 MR. TRUMAN has put Tent with the steel com- \ oe Jation. spent 1p “They are co-operating in It up to Mr. Lewix whether the panies, and it worked satis- ' « : every way and we hope to * 3 “factorily for Mr. Murray. By ly work out a plan that will solve miners are allowed to go out But Mr. Lewis is not po- AT LEAST 20 of the coun this problem.” ‘Mr. Rents .7 © AAI On Deg. A, at a Misgliy sympsinetic win * try's main airports face this id. } i ” Ta f There dence t Truman tion, an \ . added “patience g widespread belief among coal he were Stored he Murray : STIALION, 8cCORMIDg: tO Meme. | gogn es i os B operators—that Mr. Lewd kind of & board he could either : bers of the American Assocla- oom time to review the situs- tI knows it would be dangerous accept or reject it. His recent : tion of Airport ‘Executives. tion in each state.and suggest to his union to call another = actions indicate he would / Among them are Miami, Los changes." ; § © strike De Jehits ghined Scie neither Sctapt hor co-operate, : Angeles, Oakland, Louisville, A report by. Civil! Aeronau- El White : : : “ties shows that dre. & House. MR. LEWIS won't ha CF Nashville, Jacksonville, Mem- . EL a Ne. da - . ve any ~. phis and . craft operations > 3 he _usion because" many re board. He can't reject i. ana i 4a this 3 0ne protest came from Mal 1946, January to October, wers ¢ ivety have had about as it would not make much dif- SOFR. 1AM BY 0A SERRE, WN. 1.00 AND. 0. 8. AER OUR, Lier manager and an Associate dl uled: &lr carriers ot Hi } El Ee iy «atm i futante whether OF Rot Be 00 . myst took at this, stackiof beauty shop bills! Why, my father "Ch, A aloud =i 8] mates of what the average a he and + cut my hair fill | was than you girls!” 07] . Yona, Jotaied, miner has lost this year in Ni non ould be Subject S50 : | re Sud sulltary 7 Subbiah . ow nang. 90 They Say | There 1 prod : of Every must havé.a job, This fs the responsibility “tin arp