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About The news-review. (Roseburg, Or.) 1948-1994 | View Entire Issue (April 21, 1950)
4 The Newt-Review, Roseburg, Or. Frt., April 21, 19S0 Qbo flews tteview Published Dilly Kxospt Sunday I v the . . . , . New-'evle Company, Inc. Mfi flUM May t, Ittt. tl lb . afftM at IwklrA Orafaa. aaiar h4 at Maraa &, ISIS CHARLIa V. STANTON COWIN L. KNAP Editor Va" Manage Member of the Aasooletsd Prase, Oregon Newspaper Publlehere Association, the Audit Bureau of Circulation mU4 kr WKT-MOLLIV CO , INU.. am la ftav tara, caiaaaa. saa ri Too Much Paint On The Brush . . . LM !!. iu. rartiaaa. ab baaka. aUMUBtltlUN BATH la Onu-Br SUH rai Ssaa, auaU taraa aatti W.M. Bl Cll C.rrl.i r.r r SIS.H ;'''; ' im ,. ... aiMla St.sa OaulSa Ottfaa Stall t ( M aualaa 14.1a, tana aali t 14 WHO IS BEING SOAKED? , By CHARLES V. STANTON Application by the Pacific Telephone and Telegraph Co. for a third increase in rates furnishes a good example of the workings of socialist government. Because the people of this: country have been led into endorsement of "soaK the rich" policies of taxation, and discouragement of "big business," our general economic structure has become scri ously weakened. Under the long-practiced system of free enterprise, large corporations and utilities have financed expansion with money raised by sale of stocks and bonds to the general public. Before a concern can sell its stocks and bonds It must have a record of profits sufficiently high to attract the small investor looking for securities yielding income. Until recently, telephone company stocks and bonds have had high market value. They were eagerly sought by in vestors because they paid a good rate of income. But tele. phone company profits have been steadily declining until last year they were lower than even in the most severe depression years, according to company reports. Because of the low rate of profits, it is asserted, the telephone company stocks and bonds, needed to finance new construction, have not been attractive to investors. Offer ings have gone begging on the stock market. Consequently the company Is seeking higher rates so it can interest more people in its securities. Unless it can sell its stocks and bonds, the company asserts, it cannot finance the tremen dous construction program now in progress. Claims Art Disputtd Naturally, differences of opinion exist concerning the company's financial needs. The state public utilities com- misssioner, In a statement carried by news wires, contends earnings in Oregon are "fair." Labor representatives point to millions in dollar profits. The public, however, should consider the "rate" of profit rather than "volume." The telephone company claims earnings amounted to slightly more than 2 percent, although the state commissioner says earnings in Oregon during the last six months of 1949 exceeded 5 percent We are not attempting to justify the telephone company's position, nor are we critical of its request. It will take considerable study to determine the facts. It is evident that the telephone industry, nationally and locally, is spending many millions of dollars. Additional facilities are being installed all over the country to carry radio and television circuits. Long distance communications service is being improved. Here in Western Oregon the rapid population growth has necessitated heavy capital outlay. In the Roscburg area the company is preparing to witch to dial system. It also is endeavoring to revamp exchanges in neighboring communities, extend dial service Into suburban and rural areas within a radius of about 20 miles from Roseburg, and make other improvements. All this requires money. To raise the money the company must sell stocks and bonds. To sell stocks and bonds it must show the investor a fair rate of return. But so much income goes out in taxes, labor costs, materials, etc., that earnings are at an all-time low, the company claims. Who Suffers Most? Were it not for the "soak the rich" policies of taxation, the heavy tax rate against corporations, the discouragement of profits, and other policies of socialistic government, the telephone company probably would have earnings attractive to investors without a rate increase. Ferhnps the company is exaggerating its need. We don't know. But the principle is quite evident. The trend of government to tax away profits and break big business into fractions is well established. How do these policies work out in practice? If the telephone company succeeds in getting another rate increase, who pays the bill? The customer, of course. Not only docs he pay more for his telephone service, but the government also collects 15 percent of the amount of in crease in additional excise taxes. Who, then, is being soaked? Is it the telephone company, which simply passes on the cost to its customers? Isn't it about time we began to get wise to the fact that these socialistic theories of soaking the rich, throttling big business and taxing away profits are only adding to the financial troubles of John Q. Public? In the Day's News (Continued irom Page One) Community Grange Meets At Sutherlin Hall Sutherlln Community Grange mot at the grange hall west o( town Wednesday evening, April 12, for a regular session. Worthy Maxtor Charlra Walil oresidrd during the meeting with 28 members present. The (irst and second degree obli gations were given to John and Lenor Horn and Teresa and Russel Seymour. Agriculture Chairman 0 r v 1 1 1 e French reported on truck garden crops. Home Kronomics Chairman Mrs. Phreda Whal reported that the public penny supper will be Saturday, April 22, at 6:90 p.m. j mere wiu ue m program ana social hour. Mrs. Annette Wilson was reported as ill. Lecturers were Mrs. Nellie Pe terson and Mrs. Marjorie Sheets. At a late hour pie and coffee were served by the refreshments committee, Mrs. Irma Cornish, Mrs. Nellie Peterson and Mrs. Mar. jorie Sheet. Camp Fire Girls Want Directors Applications for positions as coun sellors at Camp Tyee, Douglas county Camp Kir Girls' camp, will be accepted at the Camp Fire office in Miller's Mercantile store, according to Miss Barbara Lou Kitt, executive director. Of the 11 positions open four are on a salaried basis. Needed are a registered nurse, first and second cook, and a water front director who must hold a water safety in structor card. Also needed are a nature craft counsellor and assistant; a camp craft instructor and assistant; k.nl.F.H i.. ......... .-J -..-.... sports and games instructor ami assistant and a dramatics counsel lor. These are on a volunteer basis with board and room furnished. Camp Tyee summer sessions be gin July 9 for four weeks and counsellors will go to camp three days early for pre-camp training. Miss Kitt said those interested are asked to apply for four weeks but announced in the past half year the deaths of IS Russian generals and admirals some of them, Ryan adds, "rather young.".. Mr. Ryan wonders if the Kremlin may be carrying on soother purge." a WHAT is a purge "Well, they've been fairly com mon in Russia. The last big one was In the mid-thirties, when a large number of generals and admirals were whisked off to firing squads. By this pleasant little device, Stalin managed to forestall AN ATTEMPT TO SEIZE POWER FROM HJM. Purges and dictatorships, you will probably recall, go together like ham and eggs. Hitler sprung several of them always with the idea of getting rid of people, who, he thought, might be toying with the idea of GETTING RID OF HITLER. The idea of the ruling dictator is always to PURGE FIRST. YOU will note, naturally, the similarity between these purge and what used to happen in Chi cago in the days when the munici pal authorities had more or less abdicated and turned the town over to the gangsters. When the top gangster began to suspect that some of the under lings were mulling the idea of purging, with the thrifty thought of getting bis share of the swag, he started purging. These purgings were often done with machine guns in the open streets. - yf tS By VuiAawtf 8. Martini THE usual rule is for the ruling dictator to purge first. There was notable exception in Louis iana. Down there, a few years back, Iluey Long was a dictator of sorts. He had armed bodyguards and all the rest of the trimmings. In his case, bis OPPONENTS purged first. Huey's body lies in a grave in the grounds of the stale capital at Baton Rouge. When I last saw it. some years ago, it was targeted spectacularly by a huge spotlight place' high up on the tower of Louisiana's skyscraper capitol building. Huey's planting there was then comparatively recent, and the blaring finger of light that poured down on his tomb illuminated strik ingly the flowers that his followers (or his henchmen, if you prefer that term) brought every day to his bier. !t was an imposing sight. WE have a comforting saying in this country that DICTATOR SHIPS CANT HAPPEN HERE. I think that is true. Still, the fact remains that Huey Long did bap pen to Louisiana. "Almost everyone interested in preserving the American system is agreed that the school bold the key to the economic course the country will follow" I quote by permission from Electrical West, a McGraw-Hill publication, Los Angeles. "Obviously one of the best ways of teaching youngsters something about business is to let them get into business and face some of the problems that confront bus inessmen. Some high school kids in an Eastern city did that very thing . . . Having trouble they went td a business executive for help . . . Out of that simple ease grew the JUNIOR ACHIEVEMENT movement which now involves thousands of companies throughout the East and Middle West "A group of high school young sters with some practical ideas form a company . . . estimate capital requirements . . . sell stock at maximum price of 50 cents per share. Set up corporate organi zation and elect officers. "If they require machinery they invest soma of their capital stock in machinery and tools . . . some also for working funds. In all ecutive. "Then to continue the Elec trical West article which I am condensing if the operations war rant, they also get help in pro duction techniques from an expert; in accounting from an accountant, and in sales from a sales exec utive. The latter people are usual ly junior ' executives in some of the larger companies in the com munity. "The companies (formed by the high school students) operate for a school year and then are liqui dated . . . Best of all they learn how tough it Is to make a busi ness, function. They learn .soon the way to accnmlate is to work and that the public wants value received." . A boy in a New Jersey town who worked for ten cent an hour, two hour an afternoon, thought they ought to strike. (Hi bus fare cost him what he was making). They made him treasurer of the company and he forgot all about striking when he worked up the first balance sheet." 'Even the sponsors benefit" Electrical West concluded. "They have to study to keep ahead of this they receive counsel and the students . . .which results in guidance from a top business ex-' promotions for themselves." LETTERS to the Editor BIOCK-MINTINO CLASS Foresees No Benefit From Commercial Airport ROSEBURG Inasmuch as we are faced with an election in the near future on a proposed- bond issue for a municipal airport I would like to take this occasion to discuss the issue. We hsve been told we need an airport adequate to handle com mercial planes. I would like to ask why? 1 for one like to see where there will be some return for monies in vested and ' I fail to see any re turn for a large majority of tax payers in buying an airport that will accommodate commercial planes. It is easy to see where local businessmen desire the convenience of air travel but to the workers in the lower income brackets I can see no advantage. We cannot afford the luxury of air travel even if we can afford to go some place. Civic progress is greatly to be desired but we should be sure we can afTord to pay the bill before going all out. There has been much said re cently about the school situation and 1 believe everyone realizes that we are faced with a growing prob lem in financing an adequate edu cational program for our children We. could use many times the amount of the proposed airport bond issue for schools and still leave much to be desired. Also while Roseburg is growing fast much of the population is in newly annexed areas. These areas need, and I assume want, sani tary facilities and are faced with taxation to get them. I believe we should consider se curing adequate educational and The MCA craft class la now sanitary (abilities before assuming working on linoleum block. nnntinff Any adult interested in this craft is invited to come and take part on Tuesday at T:30 p m. in the Metho dist church social rooms, accord ing to Rev. Walter A. MacArthur. director of the program. two-week applications wilt also be accepted. a debt for an airport Roseburg has long needed a pub lic rest loom. This should come before airports. It is easy to ssy of each issue that M will only be a small addi tional tax but put all together they add up considerably. If we get too civic minded all at once we will be in tune with the currently popular song and have "the dollar down easy month ly payment blues." I would also like to take issue with a recent editorial of yours where you said the public should subsidize air travel the same as railroads and buses are subsidized. The original land grant for rail roads called for the selling to home builders of this land for $2.50 per acre. But how much was sold at this price? It became such a steal that the government sued to re claim the land. On paying for highways. It ia done through gasoline tax and al most all families have cars and get the use of the highways. I for one want to see the best educational program possible and also a sewage system for our part of town, but as a "working stiff" I cannot see my income and prop erty value covering an airport from which I will receive no benefit. RAY LEA Roseburg, Oregon Interest Cut On Home Mortgages To Spur Housing WASHINGTON, April H.-0B The government is setting out to make home mortgage credit cheaper, a well more plentiful. Effective with applications filed Monday, the top interest rate on new Federal Housing administra tion mortgage will be 4V percent. or V of one percent leu than here-j IaIam The rate reduction wa an nounced last night after President Truman aigned a bill providing for an expansion of nearly $4.000,000,-! 000 in the federal housing program. Chairman Mavbank (DSC) of the senate banking committee said the move (1) will save new home owners at least $5,000,000 a year and (2) "should reduce pressure ior liicreasea rents. Moving the' top rate on FHA insured mortgagea from 4' per cent to Wt cut out half the premium such mortgages get above the 4 percent rate on mortgages guar anteed by the Veterans adminis tration. But the VA said it will stand pat on it 4 percent figure. Persons getting FHA insurance on mortgagea will continue to be charged an additional to of one percent as an insurance premium, so the overall rate they pay will be t percent a year against S in the past. Nevertheless, thsy will be saving 25 cents a year on each $100 of their morgages equivalent to $12.50 a year in all on a $5,000 mortgage, for example. No Lending Slump Seen FHA Commissioner Franklin D. Richards, in announcing the rate reduction showed confidence that lenders will continue putting up money for FHA mortcag.s. desDite the cut in the interest return to them. The FHA neither builds houses nor makes loans on them itself. In insuring housing loan made bv banks and other private lenders, it sets a ceiling on mortgage in terest rates and insists on certain standards cf construction. The law signed bv President Tru man added $2,500,000,000 to author ity of the FHA to insure home mortgages. The objective: to mske homes easier to buy and rental quarters easier to find. Among other things, the law also proviaea kao.uuu.uoo more to the reaerai national Mortgage asso ciation to buy mortgages from private lenders so the latter, in turn, can re-lend the money to new applicants.- WASHING MACHINES FOR RENT Hp?) ' Famous Brand I Washing Machines ' For Rent, Reasonable J Bergh's Appliance Servici 1200 S. Stephen St. " ROTARY ELECTS At the last meeting of the board of directors, the following were elected officers of the Roseburg Rntarv Huh- Walt Mallnrv am.!. dent, Arlo Jacklin, vice-president. Story lies, re-elected secretary, and Vic Micclli, re-elected treasurer. Term of office is one year. philanthropy of our saloonkeepers and to besmirch their noble pro fession? i la fact, I very much agree that this benefactor of humanity, be cause of its athletic sponsorship, should receive its just apprecia tion and just reward in advertising and publicity of every kind. Es pecially those sponsord, unsung he roes who, after a few hour of pep talks in the local- tavern, go home and beat up their wives and children. Also those teen-agers who under its encouragement rise above all moral and spiritual restraints. And tflose weaving motorists who make highway travel auch an in teresting speculation. Heroes all and may God have mercy on us all! HERMAN R. LARSON Oakland, Ore. PHONE 100 'between 6:15 and 7 p. m., if you have not received your News Review. Ask for Harold Mobley News Display Of Churches Draws Appreciation ROSEBl'RG We. of the Church of the Nararane, wish to take this means of thanking the editor, man agement, and staff for the beauti ful display of the Roseburg churches on Saturday, April 8. We feel this was done in the spirit of the Esster season and with a sin cere desire to show a friendly at titude toward the several churches. ROSEBl'RG CHVRl'H OF THE NAZARENK Forrest Hdl. Pastor Delusion Vanishes In Factual Observations ; OAKLAND After reading your recent editorial concerning decep tion. I must confess that I. for one. have been living under a delusion these many years. Since childhood I have been taught to svmbolize the booze industry as being horned and having a forked tail: and now to be so definitely told that instead it merits the robes of a Sir Gala had. And who am I but a simple farmer, and not even the son of a prophet, to question the edict as given out by one with the back ground of religious experience and leadership such as our editorialist enjoyed ; to question the asserted . The answers to every Insurance) problem- By KEN BAILEY QUESTION: Some friends of ours hod on accident with their cor but their insurance compony refused to pay their claim on the ground that the application .for the policy did not correctly state how the car wos to be used. Our friends never oc tually signed ony application so how could the compony refuse to poy? ANSWER: It Isn't necessary for the insured to octualfy sign the application to become responsible for the statements mode therein. His occeptonce of the policy when it Is issued shows his endorsement of statements mode in tne appli cation. If you'll trddrve vour own tneur rtce quMtiona to this office, well try to fire you the torrwt answer tind there will be ae chart or oolt Itoa of a kind. KEN BAILEY INSURANCE AGENCY 315 Pacific Bldg. Phone 39S General Logging Supplies f) Skookum Blocks 0 Mall Power Saw Lincoln Welders Coot King Donkty Waco Wheel Arcl. Wire Rope Disston Power Sawi Lincoln Welding Rod ' O Expert Sled atui.jer Available Anytime 0 Splicing and Ferrule Work Expert Saw Mechanic Pitco of Roseburg, Ltd. 1819 N.Stephens haaa 733-1 Ivaaiaas Mmm 1241. FOR . . . SERVICE .... EXPERIENCE . . . CO-OPERATION. . . Invesrig-' j the services offered by your "Home owned, Home-operated" bank. Money left on deposit with us remains in DOUGLAS COUN TY All facilities available for your individual needs. Douglas County State Bank Member. Federal Deposit Insurance Corp' 1! 1) II j ANB in THIS room, the decorator CAMOUFLAGED IT SO YOU'D NEVER KNOW W HAVE ONLY ONE WALL SOCK"'" Don't everleed your electric circuits. When yew build er modernise provide ADIQUATI WIRINO. ' See Your Electrical Contractor You'll Save Money and Love It!" ;''.' 1 '" . i i V- i Miss Jean Wiegartd Crosley Home Economist tells you how to prepare food for freezing Thursday, April 27 7:30 P. M. on the main floor at HI N. Jackson Phone 330 Pertotwlized Service jor the Home
