A Close Observer of the Political Scene
(JCVn
EDITORIAL PAGE
LA GRANDE OBSERVER
Tuesday, October 27, 1959
. "Without or with friend or foe, we print your daily world as it goes" Byron.
RILEY ALLEN, publisher
Grady Pannell, managing editor ' George Challis, advertising director
Tom Humes, circulation manager
IE
Lumber Industry Again
The "tight money" policy of the Feder
al Reserve system designed to comliat
inflation, has returned with a vengeance.
Home loans, as a result, have seen an
other jump in interest rates.
This is the same policy which was
followed in 1956 and 1957, when it looked
like inflation was a danger.
Anyone then in the Pacific Northwest,
too dependent upon lumber as a basic
item of the economy, rememlHrs what
happened.
Lumber went through an economic
wringer, and still has not returned to its
1955 price level. Recent downturns have
come again in the lumber market.
' (There is one consoling factor, this
time. Prices may not drop as far, since
Inventories are not nearly so liiy.li as
they were at the start of the price drop
of two years ago.)
With the government selling short
term bonds at an interest rale of five
er cent the government is. at the same
time, competing with the inorti'.aKf
market for money.
What's the net effect?
Well, let's take an average new home,
selling for $13,500.
Only a few short years ago, money was
available at 4V4 per cent for purchase
of this home with no discount. Over a 25
year loan, a borrower paid monthly pay
ments' of $75.04, plus an amount suf
ficient to cover taxes and insurance.
He repaid the $13,500, and paid an
additional $9,012 in interest charges.
Add taxes and insurance, and in most
cases he paid well over twice the original
$13,500.
Pictures May
Tho world paoti-1v nwnits some nie-
tures the Russians report they are now
processing and will soon publish.
Those pictures are the first ever tak
en of the unknown side of the moon. The
Tass news agency reports they were
taken when Lunik III cruised around the
moon earlier this month. IjisI Sunday
Lunik III reportedly transmitted picture
signals back to Moscow, as the satellite
swung around the earth.
It can be taken for granted that the
picture-taking attempt was successful.
Otherwise Tass would not have announ
ced this week that the picture had been
received from the satellite and were
ingr processed.
What will the picture show?
The backside of the moon has long
been a mystery to earthlings. but ast
ronomers guess that the unseen half of
the earth's satellite will he much like
the side that has been visible for eons.
Yet the Soviet picture may solve an
ajre-old problem: What force caused
, the craters in the moon?
ThTtheory of volcanic origin has sup
port but more widely held suppos.ti.m
Ktfat th rimmed calderas on the moon .
iurfie werV created when giant "'t-
Reveal Origin
Squeezed
Now, interest rates generally are 6Vfe
per cent or more, and often carry dis
counts in addition. The discounts add
another one per cent or so over the life
of the loan.
l'.vit let's say a man is buying that
same $13,500 house, borrowing the
money and paying an interest rate of 7
per cent.
Now his monthly payments, exclusive
of taxes and insurance, are $95.-13, an
increase of $20.39 per month.
Over the life of his loan, the interest
costs alone have increased ?(.129. His
total interest is $15,111, more than his
house cost to build.
Kven figures like that don't bother
many home buyers. They go ahead and
buy, anyway.
I!ut the higher interest rates, com
bined with a shortage of funds to support
the mortgage market, puts a big halt
in home construction.
The IuiiiImt industry does not remain
very profitable, when home construction
drops below a rate of 1,250,00 per year.
And when the' business is not profitable,
the inevitable" result is a wholesale
.scries of layoffs and shutdowns of less
efficient operators.
At the same time, during the last
wringout, other prices and wages kept
advancing.
There must be some other method of
controlling inflation, one which will not
put the lumber and farm machinery
business in serious financial trouble.
The present system is OK for those areas
of highly diversified big industry, but
pretty rough on the Pacific Northwest.
Of Moon
eontes crashed into, the orb. There are
several examples on the earth of the
hole that can be made by a meteor: One
of these is the giant crater in Arizona.
Still another suggestion is that the
lunar craters were created by frozen
heads of comets exploding against the
moon. Many astronomers are inclining
to the U'lief that comet heads are main
ly fr.izen hydrocarbons with an admix
ture of unstable chemical compounds.
(hi Impast, such comet "war heads"
would behave like a high explosive.
i:rently, two P.ritish scientists, Drs.
A t;, llaydon and R. C. M. Learner, spe
ulated that huge bubbles of gas burst
ing through the moon's surface formed
the craters. '
These various theories do not exactly
l it into conditions found on the moon by
astronomers in their telescopic' studies.
Nor do astronomers agree on the origin
of moon dust believed to mantle the lu
nar orb, possibly to a depth of three
f (Mirths of a mile.
vw come the Russians with a pro-mi.-e
of pictures of the side of the moon
never seen by human eyes. They may
solvetln; mystery of the moon's pock-
lll.ll h-i.
DREW PEARSON SAYS:
U.S. Dropping Even Further
Behind Soviets In Rockets
WASHINGTON -In my office la
a pile of old newspupera which
my secretary complains should
have been thrown away long ago
Doubtless she is right. However
old newspapers contain history
Sometimes they even give the key
10 wnai s wrung wun me USA
One old newspaper I glanced at
this morning quoted President Eis
euhower thus:
"Don't pay any attention to the
pessimists those people who for
reasons of their own contend that
America is tearful America is
weak.
Let's throw out our shoulders
and stand proudly and erectly.
Li'i s inrusi out our cnins and say
America is strong."
Alongside this o'd paper are
some of the recent headlines:
"General Medaris resigns" . .
"Army missile boss cites lag be
hind Russia." . . . "Dr. Von Braun
says we're five years behind
Russia. ... Ike summons his
missile advisers." . . . "Ike flies
to Augusta for golf."
The old newspaper was pub
lished Jan. 21. 1958, about three
months after Russia startled the
world with its first Sputnik. And
the "chins-up" quote from the
President of the United States
illustrates what a newspaperman
is up against when he tries to re
port on the nation's lagging de
fense.
Pessimistic News Reporting
Dublless 1 was one of the pessi
mists referred to. Because, three
months before, Oct. 20. 1957, this
column reported: "Sputnik is only
the first step in a Soviet space
program that aims to plant the
red star first on the moon. (It did
so on Sept. 14, '59.) Nevertheless,
although the Defense Departmet
at first denied it. the Army, the
Navy, and the Air Force have
flatly ordered their officers not
to talk about spaceships. . . . The
Defense Department has spent
next to nothing on space research.
"In contrast, the Russians have
already built several satellites.
The Soviet timetable calls, first,
for placing more complex instru
ments in a satellite, then for
strapping a dog Into a satellite to
test the dog's physical reactions
as a prelude to space travel. . . .
As a psychological stunt, the Rus
sians will try next to plant a
dye-marker on the moon ahead
of schedule."
Thumbing through old columns
in those days wh -n some news
papers were trying . to alert the
American public, but the White
House was claiming there was
nothing to worry about, I find
(Oct. 25, 1957) the story of "the
six army satellites, gathering cob
webs in a iluntsville warehouse,
complete with fibre-glass, radio
transmitter, and gyro mechanism"
which "could have been launched
before the Sputnik. But for some
strange reason the army was
under orders not to launch them."
Second-Class Powtr?
Another column on Thanksgiv
ing, 1957. reported: "It's not
palatable to digest with our turkey
dinner, but Russia today is ahead
of us in all phases of modem
warfare except atomic submarines.
In 12 short years Russia has
caught up with us in nuclear de
velopment and outstripped us in
missile technology. If war came
today she would probably win.
Russia has put us close to being
a second-class power."
De Gaulle Not
About Summit
By PHIL NEWSOM
UPI Staff Writer
The man-of-the week: President
Charles de Gaulle of France.
The place: Paris.
The quote: "The French gov
ernment considers that the open
ing of a summit conference could
be envisaged in the course ol the
coming spring.'
It was a short communique,
running not more than 300 words
Hut it summed up in writing, of
ficially. the French view toward
the summit session so ardently de
sired by British Prime Minister
Harold Macmillan and somewhat
lesti ardently desired by President
Eisenhower.
At Best Unenthuicd
From the beginning, de Gaulle
has been at worst, opposed, at
best, unenthusiastic about the pro
posed conference which would
bring together the United States.
Britain. France and the Soviet
Union in the first of a series of
high level conferences which
would establish the foundation of
world peace.
De Gaulle's early lukewarm re
cepiion of the idea and finally his
outright rejection of a summit
session before the end of the year
reflected both his own personality
and other problems he faces at
home, which to him are much
more pressing.
In fact, personal roles amone
Eisenhower. Macmillan. de Gaulle
ami Soviet Premier Nikita Khru
shchev have weighed heavily in
the decision whether at some
tune in the months ahead they
would meet together at a confer
ence table.
But none more so than de
Gaulle.
IK Gaulle, as a man of destiny
who believes his own story must
Finally Lyndon Johnson's Senate
Preparedness Committee began to
investigate. But what happened?
A column of Dec. 13, 1957, gave
part of the story: "A secret censor
has been appointed by the penta
gon to review, and if necessary
suppress, information to be sent to
the missile investigating com
mittee. His Job is to see that the
Senators get no information too
embarrassing to the administra
tion."
That is one key to why we have
continued to lag behind Russia.
The truth has been embarrassing.
The same column revealed:
"Russia has already started con
struction of a moon rocket about
200 feet long and 40 feet in di
ameter. . . . The Soviets are
building a four-stage satellite
launcher which could catapult a
one-ton pay load into orbit 125 to
1,000 miles above the earth. (A
l'-j-ton Russian satellite was
launched Jan. 2, 1959). . . . The
Russians are completing a 160
foot ICBM weighing 250 tons with
a range of 5,000 miles." (This has
now been successfully tested.)
All these were published well
before the President's speech
Jan. 20, 1958, telling the nation
Don't pay any attention to the
pessimists these people who con
tend that 'America is weak'."
There were many others. One,
eight months later, Sept. 18, 1958,
was also pessimistic: 'Our bold
stand in the Formosan Strait may
be the last time we will dare call
the Communist bluff. . . . Con
trary to official assurances, we
are not gaining but losing ground
in the desperate race to overtake
Russia's missile lead. Vet Presi
dent Eisenhower, more concerned
about a threatened $12 billion
budget deficit, has ordered drastic
cutbacks in defense spending."
One year later, U.S. mili
tary chiefs advised there could be
no bold stand at Berlin. We lacked
the strength. They advised that
we talk instead. That is why the
President suddenly reversed the
no-invitation-to-Khrushchev policy
of John Foster Dulles only a few
weeks after Dulles' burial.
And the real reason we con
tinue to drop behind in defense
can best be summed up in those
words staring from the musty
newspaper on my desk: 'Don't
pay any attention to the pessi
mists. Let's thrust out our chins
and say "America is strong and
will grow stronger as long as there
Is any danger of attack."
Unfortunately . national defense
is not like the doctrine of Dr.
Coue, who said: "Every day in
every way, I am getting better
and better."
Fitzgeralds Back
To Island City
ISLAND CITY (Special) Mrs.
William Fitzgerald returned re
cently from Salem where she
visited with families of Mr. and
Mrs. Fred Hildebrandt and Mr.
and Mrs. Pat O'Reilly.
Mrs. Fitzgerald was accompan
ied on the trip by Mrs. Frieda
Evans and Mrs. William Vand
enberg. - The name of Marvin Fager, new
secretary of the La Grande Farm
Bureau Center, was inadvertantly
ommitted from the list of offic
ers of the organization earlier
in the week.
Enthusiastic
Conference
be wound inextricably with that of
France, must base part of his
decision about a summit on pride.
Prated tor sememem
Trna he is hard Dressed for a
cooioment nf the Algerian Revolt
and he still has to explode an
atomic device to Dring r ranee
into the atomic club.
But along with those considera
tion thprff aIso is the fact that
de Gaulle alone among the big
Western three has had no visit
from Khrushchev and no oppor
tunity at a private exenange 01
with the Soviet leader. This
becomes a matter of prestige to
de Gaulle, a man wnose priae
has been a matter of frustration
to his allies since World War II.
Macmillan, Eisenhower and
Khrushchev all favor a summit
mpetinff as "earlv as Dossible."
possibly in December. They also
have their personal reasons.
Viconhnu-or i said to be tlODe-
ful of acting while the "Camp
David spirit still exists. inis
was the hopeful spirit generated
at Eisenhower's Camp David re
treat during Khrushchev s U.S
visit. -
OBITS
ANN ARBOR. Mich. (UPD -Victor
H. Sulherlen, 45, general
sales manager for General Mo
tors' Oldsmobile Division, died
Monday following a brief illness.
ATLANTA (UPD Cherry L
Emerson, former vice president
and dean of engineering of Geor
gia Tech, died Monday.
PHILADELPHIA (UPP-Mau
rie Spec! or. 7. board chairman
of the Blum store her, died
Monday.
QUOTES IN
THE NEWS
United Press International
WASHINGTON David J. Mc
Donald president of the United
Steelworkers Union, commenting
on an agreement to set up a joint
committee with Kaiser Steel
Corp. to recommend a formula
for sharing the gruits of prog
ress:
"This is one of the most dra
matic thigs in the history of co
lective bargaining. I believe it
can forever negate the necessity
of a strike in the future."
HAVANA Fidel Castro, charg
ing, before a crowd estimated at
nearly 250,000 persons that eith
er the United States is an accom
plice in leaflet-dropping raids on
Cuba or it is defenseless:
"How can you (American au
thorities) say to your people that
they are protected against guided
missiles if you cannot halt the
departure and entrance of all air
planes?" SANTA MONICA. Calif. Dar-
rell L. Graham, 27, accused of
murdering his 18-month-old step
daughter, quoted by police as de
nying the charge:
"I didn't kill her. She just sort
of died."
SACRAMENTO, Calif. Rep
John E. Moss Jr. (D-Calif.l, a
member of the House subcom
mittee proving TV quiz shows,
stating that the appearance of
Charles Van Doren will not af
feet the group's plans for legisla
tion:
"We already know what the
problem is.
REMEMBER WHEN
... 25 years ago, both lmbler
ind Elgin reported progress in
paying municipal debts. The Im
bier school budget was down $1
622 and Elgin town officials sold
all outstanding warrants called
and was operating on a cash ba
sis.
A banquet and dance for the
second annual UP pensioners was
held here. J. F. Corbett, assist
ant superintendent, was in charge
of arrangements, and Mr. and
Mrs. Pat Powers, Medical Springs,
led the grand march. Jock
Coleman, singing brakeman, en
tertained the crowd.
Mr. and Mrs. Phillip Walnum
and Mr. and Mrs. Nolan Skiff
hosted a bridge party, with Mrs
Claude Anson and Henry Culp
winning first place prizes, and
Mrs. Carl Posey and C. Anson as
consolation winncrs
. . 15 years ago. tribute was
nairt in Pfc. Leonard G. Golay,
21, son of Mr. and Mrs. George
Golay, Cove. He was serving in
the ETO, and attended Cove
schools before entering tne ser
vice. ii r.rande Hich Tigers were
prepping for a second return
engagement on the gridiron with
Pendleton. Tne locals aeieaceu
Pendleton 37-7 in their first ser
ies game of the season and re
mained unbeaten.
Mi Ruth Pierson. Mt. Emily
Lumber Co. stenographer, out on
a combination picnic-nuniing
trip, bagged a four-point buck at
Stump Patch.
Proposes U.S.
Launch Weather
Relay Satellite
WASHINGTON (UPD Sen
Alexander Wiley R - Wis.) has
proposed that the United Mates
launch an "operational weather
man" satellite to relay weather
data to the entire world.
wilev. a member of the Senate
Snare Committee, said Sunday
that an international weather
satellite would be "a symbol ot
American leadership in world co
operation" that would benefty all
nations.
He said he understood that
such a satellite "could be pro
duced and Dut in orbit in about
six months. This country could
give other nations tne coae ior
interoretine data sent back Dy
the satellite, he added.
Wiley said "the recent tragedy
of 5,000 deaths in Japan from
storms and floods "could possi
bly have been averted if such a
space weather station had exist
ed."
ThA Winnsin senator also de
manded that the U.S. space pro
gram be streamlined to eliminate
overlapping and to concentrate
nn th rievetonment nf "nroiectS
that show the greatest promise."
"A man lives by
believing something: '
not by debating
and arguing
about many things"
THOMAS CARIYLE
How art things with you?
Debatable? Argumentative?
Confusing? Or can'you
count on the calming strength
of belief in yourself. . . in ;
your aims ... in your religion ?
You'll find a belief that gives
new strength to your life
when you Worship together
thit week.
PuMlthtd n a public Wfvtca Hi coop
eration with Tna Advtrtiting Council.
Elgin Legion Auxiliary Has
Visit From District Prexy
ELGIN (Special)The Amerf-
can Legion Auxiliary met recent
ly with District President Mrs".
Lucy Mosher of Baker. She was
accompanied by Mrs. Cook. There
ere seven members from the
lmbler Auxiliary present. Follerw-
ng tne meeting. Mrs. Bettv Con'
ley and Mrs. Marguerite Croghan
served refreshments.
Mr. and Mrs. James Carter, Ta
oma. are parents of a son born
Oct. 15. He has been named,
Liuiine lurus. Me weignea sev-
n pounds, eisht ounces. Pater
nal grandfather Is Eddie Land, or
Elgin. ,
Mr. and Mrs. John Botfc Port
Orford, are parents of a daugh
ter bom Oct. 5. They have named
ner Julia Elizabeth. Paternal
randparents are Mr. and Mrs.
Bill Botz, Elgin. Botz is a teach
er in the Langlis school system."'
Purchase Home ,"'
Mr. and Mrs. Marion Hays
purchased the Ross Perry htihve
near we stud mill.
Mrs. Myrtle Running and ion,
(van Simonsen, and daughter,
Mrs. Stan Roseboro, Walla Walla,
were visiting relatives here.
Mrs. Janet Vaught. Mrs. Emma
Kuehn, Mrs. Evangeline Buschke,
and Mrs. Elnor Anderson at
tended an OEA meeting and
Hunting Party
Camping Out
Near Pondosa
COVE (Special) Luster Miller
and sons. Dale and Dallas, Elmer
Lee Locken, Cove; La Verne
Locken, Paul Rauwolf, Charles
Wilson and son Buddy, Ray Mill
er, Laurel Miller and Nick Mill
er of La Grande; have been camp-
ng above Pondosa, deer hunt
ing. Most have been successful
in getting their game.
Steven Smith and Lewis Reese
will leave Nov. 9 for the Navy.
Mr. and Mrs. Ronald Puck
ett had as guests Sunday, Mrs
Ervin Woodell and two child
ren, Tommy and Boots, and Mr.
and Mrs. Tom Whitted, from Cle
Elum, Wash. Mrs. Woodell and
Mrs. Puckett are sisters-in-law.
The WSCS Harvest Dinner
drew a large crowd, with per
sons attending from La Grande
and Union.
The WSCS met in the home'ef
Mrs. Cassie Orton, Wednesday.
Mrs. Keith Mills of the La Grande
church, spoke on the Bible"iles
son taken from Paul. fm
A -potluck : dinner, was held
at the Methodist Church, Sunday
following the church service. This
was in observance of World
Peace Sunday. . -1
The WSCS will meet Friday in
the home of Mrs. Story Morris.
There will be a potluck dinner
and work on aprons. A number of
the women of the Methodist
church are planning to attend
:he Bazaar at Union.
Dine At Cabin
Mr. and Mrs. Gilbert Miller
took Mr. and Mrs. Lynn Chadwick
up to their cabin on Indian
Creek Sunday, where they had
dinner.
Mrs. Arlen Goodson has been
substituting in the North Powder
School, for the past week.
Mr. and Mrs. Albert Rimbey
have moved from Cove to a trailer
court in La Grande. '
The Dorcas Society of the Bap
tist church met in Allen hall
Thursday for a potluck dinner
and an all day meeting.
Mrs. Blanche Richards had a
telephone call from her daughter.
Mrs. Dale Warnstaff, from Dover.
N.H., on her birthday last Friday.
BOMB INJURED 14
ALGIERS (UPI) Fourteen
persons were injured Sunday
when a terrorist - planted bomb
exploded in a movie house dur
ing a showing of the Marilyn
Monroe picture, "Some Like It
Hot." Police were holding four
Moslem suspects.
I r. ,'.V .:'j.i
workshop in Pendleton recently.
Mr. and Mrs. J- L. Garrison are
Barents of a son born in a La
Grande hospital Oct. 0. He has
been named Robert Joseph.
Mr. and Mrs. Kenntth Lockett.
Lcwiston, are parents of a daugh
ter born Oct. 20. She has been
named Sandy Lee. Maternal
grandparents are Mr., and Mrs.
Lawrence Nedrow. Mrs. Lock
ett'i sister, Mrs. Peggy Ryidam,
and two children have gone to
Lewiston to visit the family.
Mr. and Mrs. B. B. Conatser
and daughter, Diane, left recent
ly for Malvern, Ark., after receiv
ing word her father. Lark in D.
Smith, had sutfered a stroke.
They will stop in Salt Lake City,
and her sister, Mrs. Hartley Ayer,
will accompany them to Arkansas.
They plan to be away about ten
days. Their son, Larkin, will stay
at the home of Mr. and Mrs. Or-
ville Wayt.
Attended FFA Confab
Dave Obert recently returned
from Kansas City where he at
tended the National convention of
the FFA as a delegate from the
Elgin chapter.
The Elgin Stampeders met re
cently in the Stampede hall. The
date set for the annual Thanks
giving turkey feed is Nov. 28.
Mrs. Ethel Scott and Mrs. Hazel
Moore will co-chairman the din
ner. Spencer Tolley was appoint
ed chairman of the November
dances with the assistance of Mir
vil Bennett. Refreshments were
served by Mr. and Mrs. Joe Bech
tel. Mr. and Mrs. George Foiled,
Mr. and Mrs. Billy Hindman, Mr.
and Mrs. Lakin Mazer and Ken
ny Dunn.
Mr. and Mrs. Arden Evanger
and son of Seattle, arrived at the
home of her parents, Mr. and
Mrs. J. W. McColm, recently for
a visit.
Larry Edward Grant celebrated
his first birthday at the home of
his parents, Mr. and Mrs. Tom
Grant.
Mr. and Mrs. Rex Roulett have
returned home from a two-week
vacation trip visiting their son-in-law
and daughter, Mr. and Mrs.
Roger DePuy and daughter, Di
ane, of Long Island, N. Y.
Clarence Witty has entered the
Grande Ronde hospital in La
Grande.
NEWS CHUCKLES
United Press International
PAINFUL ADMISSION
LOS ANGELES (UPIl The
U.S. Weather Bureau's office here
took note of Monday's unexpected
rain" by reporting "drizzles conllrt'
ued and in fact increased in some
local areas to traces of rain al
though there still is no real good
reason for it. -REPORT
ALL WET
CARSON CITY, Nev. (UPD-
Carson City authorities rushed
into action when they received a
report that two carloads of teen
agers were involved in a running
"gun battle on city streets.
The guns were water pistols.
HANDWRITING EXPERT '
LONDON (UPI) The Daily
Telegraph today published a let
ter from a mother who described
her 3-year-old daughter's first
comment on- airplane sky-writing.
"Hes writing again," said the
girl.
"Who? ' asked the mother.
"God." replied the child.
PAY IS GOOD
SAN FRANCISCO (UPI) San
Francisco today sought a gunman
who doesn't like bis job.
He robbed a supermarket of
$1,000 and then muttered to the
manager and two employes as he
walked away: "This is a helluva
way to make a living."
NOR BARON ELLIOTT
WALTHAMSTOW, England
(UPI) Coroner H. H. Kenshole
Monday asked a lawyer at a hear
ing, "I see here you are Lord
Stormont. That is a title, not a
Christian name, isn't it?"
"Yes sir," Stormont replied. "It
is a title. Not like Duke Elling
ton." i
,0V