Indianapolis Times, Indianapolis, Marion County, 16 January 1950 — Page 10

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Sense From a Senator

SER.) DOUGLAS of Illinois is a Democrat who does his sense.

Monday, Jan. 16, 1950

thinking and a professional economist who talks

He's for a considerable part of the Truman program. But he believes that government spending must be cut. And he agrees with Republican Sen. Flanders of Vermont that the federal budget should be balanced, because “if we don't reduce the national debt now, we never will.” Sen. Douglas presided over recent hearings of a cononal subcommittee on fiscal policy, and has just issued its report. It recommends that Congress give the Federal Reserve System primary power to regulate interest rates. * . ¥ » ” ~ . FEDERAL Reserve officials, it says, no longer should be required to support the U. S. Treasury's “easy money” policy when, in their opinion, sightly higher interest rates are needed to prevent inflation. The subcommittee also urges that the government stop paying more than it's worth for silver it doesn’t need and squirreling it away in underground vaults. Present law requires the government to buy newly mined domestic silver at 901% cents an ounce and carry it on the books at an artificial “monetary” value of $1.29 an ounce. Silver's price on the world market is only about 70 cents an ounce, and only our government's silver policy— a subsidy for domestic mine owners—keeps the world price

as high as it is.

» ” ~ » ~ . “OF WHAT use is this silver policy?" Sen. Douglas demands. “There are only 16 reasons for it—the 16 Senators from mountain states.” Truer words were never spoken. The silver policy is worse than useless. And the money paid for silver at a price far beyond its true value is only a small part of what it costs the taxpayers. For the silver Senators from mountain states are adept log-rollers. They get the votes of other Senators for the silver policy by voting, in return, for farm subsidies and all sorts of other costly schemes.

Laundry Ballot Is Secret "TOMORROW the city’s dry cleaning and laundry workers: will begin a three-day election to determine which unions they want to join. The National Labor Relations Board is running the ballot boxes, seven at a time. The elections will be straight, no funny business or marked ballots. To 2500 workers who will vote we want to make plain that their ballot is secret. No one can possibly know how they vols. BUT organizers have been in the field, we are told, doing. their dirty work, telling workers they will lose their jobs if they “vote wrong.” This is bunk. And it is an old type of head-bumping politics practiced by ward heelers on the uninformed and the fearful. We urge laundry workers to vote any way they wish. Only they will know where they put their X's. Their jobs are safe,

Russian Bad Manners "THE. insulting behavior of Soviet Deputy Minister Jacob A. Malik toward Dr. T. F. Tsiang, Nationalist China's representative in the United Nations Security Council, typified the bad manners which characterize Russia's public conduct. & | Aside from that fact, the incident has little importance. It's only a matter of time until the Chinese Nationalists are replaced in the UN by the Chinese Reds. Communist Foreign Minister Chou En-lai has demanded ouster of the Nationalist delegation, but a Communist delegation has

not arrived to take its place. . r » ~ 5

MR. MALIK, however, saw fit to press the issue, if only to be unpleasant. He said he could not participate in the Security Council's deliberations while Dr. Tsiang was present, and walked out when the Council did not suppért his position. Russia was willing enough to deal with the Nationalists, and to get all it could from them, when they had full control of China. The phony treaty of “friendship and alliance’ negotiated in 1945, by which the Soviets obtained control of Port Arthur and Dairen, was an example. But, now that the Nationalists are down and all but out, the Soviets refuse even to observe the ordinary amenities. By contrast with Mr. Malik's crude demonstration, Dr. Tsiang's dignified treatment of the incident was in the best traditions of one of the world's oldest civilizations.

British Production ” HAT is the productivity of British workers?’ This question is asked and answered by a publication of the British Labor Government. The answer is that “industrial production in Britain has increased to about 30 per cent above its pre-war (1038) level and during the past year has been running ’ and 7 per cent above 1948." Very good, what? The week before Christmas coal production reached

Ai

1940. Steel production has been even better. It is now 50 per cent above the pre-war figure, Greater production of coal and steel has meant improved output from Britain's manufacturing industries. Last November, more cars and trucks were exported than in any other month in the history of the British automotive industry.

~ ~ . » » ” YES, the British workers are doing a good job in these industries. No doubt about it. But why not a good word for British industry, including much-abused private enterprise? Coal has been nationalized. But not steel and not the _ automotive industry. So private enterprise isn't doing so badly eithér, If steel is 50 per cent above pre-war, manageres a hand along with labor. One is as vital in a8 the other. It's a team job. The same thing

DEAR BOSS -.. By Dan Kidney

OS ene Clo

5 In Rules Fight

Halleck and Madden Differ Over House Group Powers

WASHINGTON, Jan. 16—Dear Boss — Republican and Democratic deans of the Hoosier delegation in the House will be on opposite sides when the floor fight to restore bill—blocking powers to the House Rules Committee is staged. A former member of the House Rules Committee, when it had such powers, GOP dean, Rep. Charles A Halleck, Rensselaer, is for the “restoration. ~ Democratic dean, Rep. Ray Madden, Gary, was the only Rules Committee member who voted with Chairman Adolph J. Babath (D.. I) against bringing the matter to the House floor. The Rules Committee adoptE 4 ed a majority report to do so by a vote of 9 to 2. Rep; Mallee Mr. Madden declared that the move was launched by a ‘coalition of the four Republican members of the Rules Committee with the three Southern Democrats, whom he called Dixicrats. Actually the motion was made by Rep, E. E. Cox (D. Ga.), but Rep. Janes J, Delaney (D. N. Y.) voted in favor of it and Rep. John McBweeney (D. 0.) was absent. If the House approves the majority report of the Rules Committee it will reverse the stand it toak when the 81st Congress got organized last session. It voted then to change the House rules so that any regular committee chairman could bring a bill from his committee to the oor for action !f the Ruies Committee failed to’ report a rule within 21 days. Restoring the old rule: means that the Rules Committee can hold back any bill it doesn’t want reported. The only way such a road-hlock can be blasted is by obtaining 218 signatures of members to a discharge petition.

Recognition Required ONLY check on the 21 day action is that the committee chairman bringing in the biil must obtain recognition from the chair. Back in the days of House dictatorships, under Republican speaker “Uncle Joe’ Cannon of Ih nois, this might have been sufficient. But it is qyite unlikely that the mild- mannered DemoSatie Speaker 8am Rayburn of Texas woul fail to grant recognition to any committee today In the Republican 80th Congress the Rules Committee had the power to block bills and used it high-handedly, Mr. Halleck was then a Rules Committee member and joined in the GOP-Dixjecrat coalition to do so. When the Democratic 81st Congress sought to curb such powers, Mr. Halleck warned the leadership that they would be sorry. Nevertheless the rules were changed and the Rules Committee given the 21 days to act-—or else.

Fight for Fair Deal oo HALLECK no longer is a Rules Committee member. Mr. Madden went on the committee, where he constantly fights for Fair Deal legislation. He is as near a 100 per cent Truman administration. man as Indiana has supplied. Because he believes that this move to restore the bill-blocking power to the Rules Committee is designed to prevent Fair Deal legislation from reaching the House floor, he joined with Chairman Sabath against it and will fight it when it is debated. Most of the southerners fought the rules change last session because they believed they had a petter chance to block civil rights laws in the Rules Committee, After it was adopted, however, Veterans Committee Chairman John Rankin, Mississippi Dixiecrat, was the first fo use it to put members on the spot on costly veterans legislation which he brought in under the new 21-day rules. Speaker Rayburn was singing the blues then and Mr, Halleck telling him “8am, I told you so.”

Must Be Control MR. HALLECK sums up his views n the matter ‘ike this . .. “With 435 members in this House there must be some control or necessary business will never get done at all. That control should be lodged with a responsible House Rules Committee. I feel sure that any legislation the country really wants, or needs, will be finally enacted. But it should be done in an orderly manner, such as the Rules Committee can provide.” Mr. Madden says . . . “Giving dictatorial powers to the House Rules Committee is undemocratic. Every member should have a chance to vote an important bill up or down. The reason this change is being sought now is so that the Republicans in close districts will not have to reveal their stand on controversial legislation in this election year. And the Dixiecrats are just trying to help these Republicans to keep their seats.”

AID TO BUSINESS . . . By Marquis Childs

Probes RFC Loans

16 — Sen. J. William Fulbright of Arkansas intends shortly to start a new series of hearings into the operation of the Reconstruction Finance Corp. Sen. Fulbright suspects that the big government corporation, which began at the bottom of the depression by bailing out railroads in distress, is allowing its loan policy to be influenced by

WASHINGTON, Jan,

politics, This new inquiry will take or¥ added importance in the light of President Truman's re-

FEDERAL BUDGET

has already advanced $37 millfon to Lustron. The loans to Lustron have frequently been

JUST WAI TING

TE RY —

By Marshall McNeil

Secrecy Veils Spending Plans

WASHINGTON, Jan. 16—More, rather than less, secrecy is expected to veil preparation of this year's appropriations bills by committees of Congress. As in the past, House Appropriations Subcommittees are holding all their hearings in secret. Now the stage has been sef for Senate subcommittees, which heretofore have held public hearing, to close their doors. In the House, the public will receive only those parts of appropriations hearings which the subcommittees decide it should get. In some Senate subcommittees the same course will be followed. This, many believe, violates the spirit of the La Follette-Monroney Congressional Reorganiza-

tion Act of 1946. But it is within the letter of

that law, The law says: “All hearings conducted by standing committees or their subcommittees shall be open ‘0 the public, except executive sessions for marking up bills or for voting or where the committee by a majority vote orders an executive session.”

All Hearings Closed

THE House Appropriation Committee, soon alter the law was passed, decided it would not open any of its hearings to the public. The Senate Committee, meanwhile, has held open hearings, except on matters vitally affecting national defense. But this week, the Senate Committee votied to let each of its subcommittees decide independently whether their hearings should be open or closed. One reason for that action is that the new experiment of writing all appropriations into one bill is being tried in this session. Here's how the appropriations bills are prepared: ’ Starting last summer, government agencies sent to the Budget Bureau requests for funds for fiscal 1951. Hearings were held in secret. The Bureau and the President finally decided how much each agency should be given. These sums were included in the President's budget message. The budget went to the House Appropriations Committee, which parcels out various sections to subcommittees, The subcommittees, now in session, call in agency representatives to justify the sums requested. These hearings are secret. Finally, each subcommittee will make public printed reports on their hearings. But since much of the testimony is off the record, and all is subject to editing, the printed reports are incomplete. Eventually, each subcommittee, still in secret

SIDE GI. ANCES

session, will decide how much to give each agency. This will make up a chapter in the single appropriations bill,

Floor Debate

BY MID-APRIL the one bill, allocating more than $42 billion, will go to the floor for debate, accompanied by the subcommittee's reasons for cutting some appropriations, eliminating others, or increasing others. As House subcommittees complete théir hearings on one or a group of agencies, they will send copies of these hearings to the Senate Committee. There subcommittees wil! go through the same procedure, Rep. Clarence Cannon (D. Mo.), House Appropriations Chairman, gives three reasons for secret hearings: First, he says, the subcommittees are able to get much more complete information from government witnesses when their testimony is not immediately or completely reported in the press. Much of the testimony, he concedes, is off the record. It would be difficult to get such testimony with the committee doors opens to press and public. Secondly, Mr. Cannon contends that if hearings were opened, the subcommittees would be siibjected to enormous pressure from special interest groups.

Lack Facilities IN THE tnird place, the chairman contends his committee does not have the physical facilities for handling spectators and ‘press at open

hearings by nearly a dozen subcommittees.

Mr. Cannon believes secret hearings help Congress economize. But, on the other hand, Rep. Albert Gore (D. Tenn.) and others argue that real economy can only be achieved when hearings are held. in public. Mr. Gore contends the public has a right

to hear all it can about how and why its tax

money is to be spent.

Barbs

THESE are the days when the kids are helping with the dishes again—in the hope that Mom and Dad will come clean on Christmas Day. IT 18 said that sun spots sometimes stop radios, but nothing in nature seems to be able to stop a commercial plug. A CAT in Maine reached its 25th birthday— probably because it went to bed early every night and shut up.

By Galbraith

INSURANCE opposition to

n wages. ©

"has been bad and a x may be forced to close

their doors, If the emergency continues, many people will suffer for the lack of coal. Accor to our Constitution, President Tru man must protect the public welfare by executing

; the laws of the land.

“John L. Lewis and other leaders of the Unite ed Mine Workers should have some regard for the future of the coal industry America is blessed with enough coal to last 3000 or 4000 Amefica has an immense coal industry, well organized and efficiently managed. Coal supplies chemical energy, It powers many railroads, generates eléctrical en

ergy, and heats millions of American homes, :

There are also many by-products of coal. You can readily see what a long coal strike would do to these industries which furnish mil lions of jobs to American working men, Due to 17 strikes in the coal industry since 1940, coal has been losing ground to competing fuels such as oil and natural gas. Utilities, rail. roads, big industrial users, even home owners, don’t wish to risk any more the prospect that their fuel will suddenly be shit off, Ofl-electrie diesel locomotives have killed a market for 25 million tons of coal a year. Since 1923 the use of gas to heat homes has doubled twice and is expected to double again before 1955. Today 12 million homes are heated with gas. Even at Linton, Ind., in the heart of the Indiana coal fields, in 1944 only two homes were heated with gas but today 721 homes are heated with gas. The Smith-Connaly Act, which provided fede eral seizure in national emergency cases, was al« lowed to die after the war, The Taft-Hartley Law was passed to protect the public and take the place of the 8mith-Connaly Aet, Someday the public and the laboring people as well will be grateful to the 80th Congress for having the courage to pass the Taft-Hartley Act, Right now, many of us will be benefited materially if the President will execute the laws, especially the Taft-Hartley Law.

‘Street Repairs Needed’ By A. D. J, City It seems to me that something eould be done about the rough streets. I drove for half an hour around the city on errands the other night and not once did I enjoy riding on a smooth stretch of street, Some of the chuckholes were so deep the joits almost broke the springs on my car, not to mention the discomfort. I, for one, would be willing to pay a little more in taxes if that is necessary in order to get some of the streets repaired. It would save more than that in repair bills on my car.

What Do We Need in 1950?

Kindergartens

By Mrs. John Phelan, 3420 Guilford Ave. The answer in making Indianapolis a bets ter city in 1050 and years to come, lies in the establishment of more and more kindergartens which are the foundations of our educational system. The kindergarten is the first step a child makes in getting away from home. By affording all children of the city’s multiple school districts the advantages of kindergarten training, each child going into the first grade of primary school will have an equal background, Children with kindergarten training adjust more easily than those who do not. It isn’t right for some districts to have the kindergarten, while others must do without.

Mrs. Phelan

) os =» What are your ideas on ways to improve Indianapolis during 1950? Write your suggestions to: “1850 Editor,” The Times, 214 W. Maryland S$,

What Others Say

THERE are still 12,000 Greek guerrillas neighboring satellite countries. What their next move will be is by no means clear.—Field Marshal Alexander Papagos, commander-ine chief of Greek army. I'LL be sorry for the next man I go out with. Can you see the headlines ?-—Actress Shir ley Temple. IN my judgment the budget cannot be bale anced without additional taxes.—Budget Direotor Frank Pace Jr.

SOCIAL SECURITY .. . By Fred W. Perkins

Fight on Pensions

WASHINGTON, Jan. 16—Despite much support expressed by business leaders for expansion of the federal old-age pension system, insurance spokesmen are against it. This division indicates how the fight will line up inshearings to begin next Tuesday. The Senate Finance Committee will take up a House-passed bill to widen the coverage of the Social Security Law and increase old- . age benefits under it. > = =»

» MR. STEINKRAUS recome

%

a record of 4,750,000 tons—the highest weekly output since’

quest in his . budget message for a considerable expansion in the powers of the ‘RFC. It

would become an important in;

stryment in carrying out the administrations’ declared (ntention of assisting small and middle-size business

» ” . SPECIFICALLY, dent asked for a increase’ loans,

the Presi “substantial in the time limit on Under present law the . maturity date cannot be more than 10 years, This is said to put a handfcap on small er businesses that need long - term capital and

it from private banking Institutions. "The President also recommended ‘an addition to the funds available for business loans.”

The forthcoming Investiga-

tion also coincides with a decision taken belatedly by the RFC, request for still another loan from the Lustron Corp. Lustron, manufacturing prefabricated houses, had asked for an additional $3 million to $5 million in connection with "Aa_plan of reorganization that the RFC ai net agree to.

BUT comes | after RFC

cannot obtain.

It has turned down a.

not by (say magic of

criticized with the charge political influence played a part. A former chairman of the RFC, John D. Goodloe, testi-

‘fied that Presidential Assistant

John R. Steelman wrote a let. ter requesting that the loan be made. - This was shortly before the RFC took action. Lustron hired several former Congressmen and others who were believed to have power in the Washington influence market. RFC directors explain that the Lustron loan was initiated under the War Powers Act In connection with the war and post-war housing shortage. They say that such a loan would not be possible under present aw.

. » NEVERTHELES this seems to me an excellent {llustration of the perils and difhculties that clutter the road of good intentions. The ever - increasing growth of a few companies that tend more and more to’ dominate in industry is a fact no one can afford to ignore. This is the negation of private enterprise and competition about which we hear so much political oratory, By the giant corporation, by a variety of tradé agreements chr into state, and even

federgl Jaw, the area of com-

petition has been greatly narrowed. When it comes, however, to finding a corrective, the diff. culties begin. Sastatnly, it is [words

Cam. 1960 OF MA MBVRL WR. ¥. MOASO U6 WN ae,

Yes. you certainly did cut dewn on our budget, George—bu + aren't we going to spend something for coal, milk and rent?"

that repeatedly intone the virtues of small Dusiness. Nor is there any magic inherent in the government lending power

“In itself,

» » » ONE of the RFC loans of which Sen. Fulbright has been critical is that to the KaiserFrazer Corp. for $44 million. The money was advanced In part to further Henry Kaiser's project for bringing out a car in a lower-price range. But Sen, Fulbright felt that his committes should

Kiss pbb inh

have ‘been

consulted “before so sizable a loan was granted,

Government intervention fis essential, both on the negative side of anti-trust action and on the positive side of aid to smaller business, if the surviving area of competition is to be saved, But it is important to get

+ some definition and clarifica-

tion and Congressional 'hearings should contribute to that end. Ald to business must be on a realistic basis or suffer discredit and defeat.

s

the movement, which is being prodded forward by the. industrial pensions won by big labor urions, has just been stated here by Judd C. Benson, president of the National Association of Life Underwriters. He spoke here before the District of Columbia Life Underwriters. His speech followed closely a statement by Herman W, Steinkraus, president of the U, 8, Chamber of Commerce, Mr. Steinkraus pointed out that “for years the Chamber of Commerce of the United States has urged much broader Social Security coverage” and that “Indeed, our recommendations go further” than the bill approved by the House a few

months ago. . - » C. E. WILSON, president of General Motors Corp, the

country's largest industrial employer, is among other business spokesmen favoring Social Security expansion. On this question they will be in agreement with leaders of organized labor whom they frequently oppose on other issues. On one phase of the question, Messrs, Benson and Steinkraus are in partial agreement. The insurance man wants no decisive action “until the hysteria about pensions has somewhat died down and government, business, industry and labor unity

life, for families”

mends a study of the whole

subject by an impartial body: ©

comparable in caliber to the government reorganization headed by Herbert Hoover.

The insurance executive as-"

serted that through Social Security ‘‘our government continues its relentless drive for more and more tax money to provide more and more ‘gevernment benefits’ and thus complete its economic stranglehold upon the people.” He said it was in line with “the present formula for obtaining power--to establish a legal right to take away from the people their earnings, or a substantial portion of them, and then in various ways to dole the money back to them in return for their political support until they become economically helpless.”

~ » » . MR. BENSON reiterated his association's creed: “We favor a Social Becurity system that treats all citizens equitably and fairly; one which, though a subsistence level of benefits, eliminates the fear of destitution, but which at the same time Imposes on those who have been lazy, shiftless or improvident certain privations as a just reward for their indolence; and which, finally, reserves for those who through. out their lifetime have prace ticed industry and thrift the rewards of a very sufficient and, at times, abundant way of themselves and their:

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