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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (July 2, 1949)
- - -- r . - - ' Asia-Lacks atabre i jovernment r. THE STATESMAN PUBLISHING COMPANY ' . ' ' CH.wT.ES A SPJtAGtJE. Editor and Publisher ; Eatered at the postoffke at Salem. Oregon, aa aeead class matter aader act ef congress March J, 1171. rabllshed every morolnf. BatlneM office 215 8. ' Commercial. 8Iem. Oregon. Telephone 2-2441 Prescription for Souths Ills j The south is a distinct section of the JJSAi A baneful result of the civil war was to freeze it into isolation from-the rest Of the country. Ravaged by the war and invasion ravished by carpet-baggers, its slave economy uprooted, its manpower wasted, its pride crushed into bitter ness the south has clung to its regional loyal ties, to its traditions, to its hatreds. Only slow ly have old hostilities been softened. The race prejudice of today may be in part the expression of an inferiority complex in reaction against the north. Naturally the south is sensitive to northern criticisms. The "damYankees" who would a blish segregation, impose labor un ions arid in terfere with states' rights are objects of south ern scorn. But now a study of what a$s the south has been made by two southerners, both professors of economics in Duke university in North Carolina: Dr. C. B. Hoover and Dr. B. U, Ratchford. (The forrner however 4s a na ; tive of Illinois). So what they say may have j better acceptance in the south than the rjecont- mendations of survey committees frorh the north. I The professors have been doing the job for the National Planning association which was ; given the assignment by the president's cousfcil bf economic advisers. The topic was "The Im pact of Federal Policies on the Economy bf the South." The gist of the report is that the south suffers because of low per capita income. In 1947 lit was- only 63 per cent of that of the rest of the country. The result of course is! a re latively low standard of living, low taxing power, poorer schools. The rate of increase In p. c. income has been greaterfin the! south than in the north but it still has far to ' climb to equal that of the north' and west. - Another low ratio is in natural resources. The south's farm lands, many of therfi, are eroded and exhausted by many decades of careless farming. Forests have been depleted. Non-ferrous metals are not in supply and petro leum resources are just being tapped. . On the other hand the south has great stocks of coal, much iron ore, limestone; abundant waterpowr. Its forests readily renew themselves. , The Hoover-Ratchford report finds that the terms of trade between the south and the re mainder of the country , are unfavorable. 'It exports chiefly primary products of farms and forests and mines, and imports manufactured products-. Cotton and tobacco are its principal sources of farm income, and its manufactures like lumber and textiles enter into highly com petitive markets. ' The economists offer industrialization as a solution for the south's ills: Get the people off the land and into industry. They would en courage capital to invest in the south, although many political commentators complain that ab sentee ownership keeps the south in a colonial status. Fop-agri culture they recommend mech anization and diversification. This woiild get the south away from dependence on cotton and tobacco a( policy preached by every informed person north and south for many years, but in terfered with by government price guarantees. We would add that one means of curing the south's ills is by improving its educational ystcm. Better schools are needed for whites and for blacks. Education will help the people lift themselves out of their poverty, and; ought ' to improve particularly the status of the negro population. And strong labor unions '.would improve the lot of the workers who. still suffer from employer domination. . The south, is moving forward rapidly, some times vat the expense of northern states, part icularly' New England whose cities have suf fered from a southward migration of the! textile industry. Its industries are becoming diversi fied. Some modification has been ordered in class, freight rates, that were alleged to pe dis Truman May Br Stewart AIsop WASHINGTON, July 1 Taxes arc likely to be the big news in the semi-annual report on the state of , the n a t i on's business, which the president 1 will send to congress in a week or so. Mr. Truman's long - standing request -for a $4 billion tax incre a s e will then be almost certainly with- . t k 'jUpj drawn. And al- JPU fi P though con- I jpress has never had the faintest intention of voting tax increases anyway, this action of .the pres ident's will have considerable psychological importance. Furthermore, it is quite possi ble that the president will j also flash a green light for repeal of part or all of the wartime excise taxes, which now yield $1.5 Lbim'on of annual revenue to the treasury. And thi is an invitation to which congress will undoubtedly respond with dehsjhted alacrity, if it is even timidly proffered. ! Thus, the president wiljl in effect approve the budgetary Imbalance which is already ( pre dicted, and may even act to widen the gap between revenue and expenditure. This, in itself, will certainly - be significant. " t there' will be even deeper long-range meaning in the other points which the president Is also expected td make in the same message to congress. If the document follows the pat tern that is now emerging' in a series . of anxious White House ; meetings, these 1 points mar be condensed under two headings. First , the president will ac- NUNNt MM "ATo Tavor Stooys Us, No Fear Shall Aw" Frees First SUttcsau, March 2S. 1SS1 criminatory. Good roads are attracting many tourists with their leavings of millions of north ern dollars. ( 'I The upper class of the south are a gracious, cultured lot, educated in good schools, interested in literature and the arts! and in politics and government. They have their prejudices (who hasn't?), but the more enlightened of them are zealously seeking a solution of .the south's problems. We of the north should not consider the south as "poor relations" but as an important and vital part of our country, entitled to our help and our sympathy as it labors to overcome heavy' handicaps and grave deficiencies. The $9,000 Remains Lost The attorney for the low (and unsuccessful) bidder for the insurance contract on state owned automobiles pleaded vfeth the board of control to rescind its former action and give it the business. To the representation that the winning ( and, nearly $9,000 higher) bidder would put on an educational campaign among state employes the attorney asserted his com pany had spent $18,000 in similar efforts to prevent accidents and brought along evidence of notices to the state to prove his point. The board didn't say anything. It couldn't. Having made the award j and signed the con tract it couldn't well revoke the contract. What the attorney did accomplish however was to advertise again that the board of control had tossed away nearly $9,000 of state funds, besides weakening faith in the integrity of the system of formal bids and award of contracts. Predicting the Weather Light rainfall tures are the prospect for July weather on the Pacific coast. That's the prediction by the U. S. weather bureau's "hew long-range forecast ing service an innovation that may put the old farmers almanacs and the squirrels (whose crop of fur is supposed to foretell seasonal con ditions out of business, j Since 1941 the government's weathermen have been sticking their; necks out with their free five-day weather forecasts. 'In 1942, ex periments with 30-day outlooks began. Now the meteorologists are ready to climb way out on the limb by plotting 30-day weather maps, available to subscribers for about five dollars a year. Long-range weather, auguries are based on studies of high air movements, daily weather charts showing temperatures and rainfalls ; past, average and current, and on reports ra dioed to Washington from some 600 weather station and about 200 ships at sea. Atmospheric currents going in certain directions usually mean certain kinds of weather conditions and , the air masses move slowly enough to make month-ahead guesses fairly accurate. But a lot of the prognostication is just guesswork with scientific apparatus; the bureau claims only 50 per cent accuracy on the long-range reports -while it has chalked up a score of 80 to 90 per cent correctness on day-to-day forecasts. Weather-divining and weather-management are comparatively young sciences. Little is yet known about what effects the sun's energy has on weather and research projects in this as well as atomic energy and air movements is under way. Far-sighted observers are confident that the day will come when it will be possible to accurately say whether July 4 will be good for a picnic or not. Meanwhile, ordinary folks will probably continue to look at the rings a round the moon for signs of what tomorrow will bring. Masked bandits robbed a bank in Germany, Maybe they had been watching American movies, or reading our comic books. Okeh Topheavy Budget knowledge the business reces sion, and will assert that - the recession makes it even more urgent to . enact every one of the measures of his ; January program, except the tax in creases and anti-inflation con trols. Housing and federal aid to education, the broader social security base, the minimum wage bill, and the rest, will all be presented as tending to sustain or raise more purchasing power, and thus to halt the downward economic trend. Second, the president will firmly; oppose any present re ductions in government spend ing for useful purposes, as be ing deflationary in tendency.- Possibly these tentative fore casts may i be falsified by the outcorhe of the debate at the White; Hotlse. The chief men now working with Truman on his message! are Secretary of the Treasury Snyder, Secretary of Agriculture; Brannan. Secretary of Commerce Sawyer. White House; Counsel Clark Clifford, and the members of the eco nomic; advisory council (who are simultaneously struggling over their wn semi-annual report). This Is a roup with ; more di vergent views. I ;i Cuts in public spending have already bejen openly advocated by the chairman of , the eco nomic advisory council. Dr. Ed win Nourse, in his famous speech at ; the defense depart ment.;! There is every reason to believe that Dr. Nourse was en couraged, on that occasion, by Treasury Secretary Snyder. But if the president now prefers the different 'advice of Dr. Nourse's economic advisory council co' league, Dr; Leon Keyserling, it will riot be the first time. And it 'will probably not be the last. Whit seems to be haoonnf - and above-normal tempera in fact, is an event bf the ut most long-range import. It would be hard to imagine an English man whom President iruman nant thatW'la'te IrKeyes, with his high Bloomsbury man ner and accent, his dry wit and his cool inteUectualism. Yet the president seems to be about to commit himself and his admin istration, publicly and positive ly, to the famous Keynesian eco nomic -theory. By now, any college sopho more can recite the basic, once revolutionary thesis of Keynes, that the .state ought to try to control the economic cycle by heavy taxation and deflationary pennyrpinching in boom times, and by compensatory, pump- ? riming spending in bad times. n the New Deal years, the theses was! .acted upon. It is about to be acted upon again.' The trouble is that the Key nesian thepry is emphatically not accepted, either by the ma jority of the business commun- i ity or by the majority of con- j gress. It is vefy dangerous busi ness, this split national person ality. It produced a gigantic tax reduction during the recent in flation, when Keynes would have required the opposite. It now seems likely to carry us into heavy deficit spending, be cause the economic curve has turned down. 1 The fault is certainly not the president's. ; who fought the re publican tax bill with great courage. The president's Key nesian record is consistent But it must be realized that the i delicate machinery of the Keynes ' 4i.AM r i a i . JZJt "s M. u ii.T r j Jte ukArJu stroy the user. And this is now what is happening. (Copyrisht. IMS. New York Herald rviHm iw It's Only Once A Year, Hank, But It's Tough Br Henry MrLemore DAYTONA BEACH, Fla., July Once a year and once a year only, 1 question the wisdom of John Hancock. Button Gwinnett, Thomas Jefferson, Francis Light- foot Lee, and all mom tne otner pa triots who put their names on the Delcaration of Independ ence back in 177fi The Declara-I tion rid us of i the tyranny of Great Britain, to be sure, but at the same time' it made us McLemoro slaves of a celebration which for pure, unadulterated; discomfort, ' has few if any equals. I speak of the Fourth of July. This year the discomforts are going to be doubly severe be cause the Fourth falls on a Mon day. That ; means that most of us will have three full days the equivalent of 72 hours, or 4,320 minutes, or 259,200 seconds in which to practice patriotic flagellation. It makes me shudder to. think how most of us Americans will ' look and feel when we attempt to pick up f normal life again next Tuesday. It's a shame that July 5 isn't Washington, Birth day, or New Year's Day, or some other holiday so that we could1 have it to recuperate from the "Glorious" Fourth. Shut your eyes and you can picture this nation on the Fourth. Miles, square miles, of fiery shoulders. Acres, square acres, of noses, legs, arms, foreheads and backs, all the color of a brakeman's lan tern. All because of an unwritten law that on the Fourth every man, woman and child capable of doing; so must gallop out into the sun with as near nothing on GRlN AND BEAR IT ; inf.? - -f-j I - I i -SssSagras. Salts far Swell-Dressed Gents, the salt that costs less, teaks best . . . with 1$ conreaient loesttoBs tor yenr pp .lew, . J . to . . i easy eretttt terms . . L Tmr.mT. - VTTlT .rT., T?rL., ' V JJZlJftS "f " "WI j ; aenrice mrrre. caret ally! 4 but their birthday suits as pos sible, and let the heavenly broi ler do them to a turn. Keep your eyes shut and your ears -open and you can hear jtrfe moans of those citizens who have swallowed buckets of sea water, and of those who have plunged finto lakes so icy that even the fish who live there wear long underwear the year around, of those caught in traffic that moves, nowhere at a speed of zero miles per hour. ' . Picture the itching and scra tching that will go on as millions of citizens, determined to cele brate the Fourth even if it kills them, invade the haunts of tha chigger, the mosquito, the black fly, and the poison ivy. Picture but shut your ears to the cussing that will re sound over this-broad land when it is discovered that all the ice in the cooler has melted, that the battery in the car has run down, that the plickly heat pow der has been left at home, that the fish aren't biting, and that there is a two-hour wait on tha first tee. . Keep on picturing. Picture the grown-ups who will have to shoot off Roman candles Tor youngsters and place three-in$h salutes undr tin cans and light the fuses. There comes a time in every man's life when he is afraid to fire a Roman candle lest it backfire, -just as there comes a time when the sight of a tin can flying through the air ceases to exhilarate. And, in conclusion, picture all the millions, who, on the Fourth, will say to themselves how much better it would have been to stay in the comfort of their homes, far from the madding crowd. But the Fourth is Independ ence Day, and to Celebrate it pro perly none of us can. afford to be independent and do what we want. "Ouch, take your hands off my shoulder." I'm just practicing for Tuesday. (McNaught Syndicate. Inc.) Coffee houses in 17th century England sometimes advertised themselves with signs made of ceramic tiles. By Lichty RHP DIDCg (Continued from page 1) they did they applied proceeds to their bank loans. The liqui dation reduced deposits like wise, - but excess reserves in creased; and banks started shav ing interest rates on prime loans The expiration of requirements for heavier bank reserves on July 1st released additional large sunv; for bank lending. This week the federal reserve bank stopped trying to abate the rise in government bonds through its selling policy. It de cided to, give th.e market rein. The result has been that prices of government bonds have mounted. For' example, on the last big issue of treasury bonds for war financing, the 2 Vis of 1967-72 the price has risen from par, which prevailed for most of 1948 to over 1014. This movement is minor as compared with fluctuations in the price of .stocks but it is large in U. S. government bonds, particularly in view of the huge volume of bonds outstanding.- The rise may be tempting to banks1 and other large holders of governments to sell and pocket profits, except that the opportunity for rein vestment is not as rosy as it was for two years. This shift in wind direction for credit enables the govern ment to continue its policy of short-term noe, offerings at low rates of interest. In fact re cently the treasury took advan tage of a call date on an issue hearing a low rite nlanninu Deanng a low rate, planning rtiuciui; urn Biiuiiti in in uor- rowing at a lower rate. What is the significance of all this to business? The cau.e of the weather change Jhas been explained, and some of the ef fects noted. In normal times low-priced credit attracts cus tomers. Commodities do not hold the lure they did, but stock? whose prices have been sharply" pared may look attrac tive and invite speculation. There should be considerable demand for credit under the new federal housing program, particularly with its guarantees to private lenders. That will be felt in the lumber market for instance. The very fact that credit Is abundant and Interest rates low is a pretty good sign that a deep depression is not just around the' corner.- The time that business really drops to the bottom is when there is no credit cushion. Such a condition doesn't exist today. 1. What is wrong with this entence?; I spoke to a girl whom I thought was your maid." 2. . Whip is the correct pronun ciation of "numerous"? , 3. Which one" of these words Is misspelled? Hiphen, hippodrome, hieroglyphic 4. What does the word ".im pute" mean? --i 5. WhafTijS word beginninf with ree that means "mutually interchangeable"? ANSWERS 1. Say, "I spoke to a girl wh I thought was your maid." 2. Pronunce the .as in tnttt, not aa aw in moan. 3. Hyphen. 4. To charge oftredit, as a fault or virtue. "One vica of a darker shade was imputed to . him envy." Macailey. 9. Reciprocal. Bet ter, English I By D. C .WUliaaas ft From Which to Launch U.S. Aid By J. M. keberts. Jr. ' j . AP Foe! Affairs Analyst NEW YORK, July l-iVln March 1947 President Truman voiced the determination of the United States to aid countries in the line oi Russia's fire in effect, to build a line against the expansion of im perialist communism. 4 Military aid was extended to Greece and Turkey, land then to Iran. Economic bulwarks became a major objective. Miliary aid Is about to go to western Europe,! ECA funds have Slopped over into the far east Korea has been and will be helped. There is a promise of help implicit in the state de partment's recent statement of approval of the new French-sponsored .Viet Nam government in Indo-China. ' American sympathies, weighted down by the necessity of doing business with European colonial powers, have gone put to the In dependence movements in India, Indo-China, Indonesia and else where. U.S. Loses Face ! But it hasn't been enough. Am erica has lost face, through the Asiatic world since the war thro ugh her European associations. We backed a hopelessly reactionary and militarily incompetent regime in China. We are in a position where we cannot really ake the lead against communism in, Asia because of the resentment which would be produced by any sign of meddling in Asiatic affairs. , Yet the crying need is to estab lish in Asia a defense line against which communist expansion some what similar to the defense line which was established, and has been held, in Europe. With China nearly all lost, and placed defin itely within the Soviet sphere by the latest statements of Mao Tee Tung, the need becomes urgent. Held by Earapeans A prime requisite for the Euro pean defense line was that it should be held by Europeans, with American aid. And there were many in Europe besides the com munists who feared that, in any such program. American aid meat American hegemony. That goes double in Asia, where foreign hegemony has made such a sorry record, and where the tra dition of American altruism has takeo, an awful beating because of war a'hd postwar associations with Europe. . What form, then, can some sort of Asiatic union against commun ism take? Beyond U.S. Capacity A Marshall plan for Asia fs beyond America's capacity. An "Atlantic pact" for the Pacific and the Indian ocean is something that you lead up to gradually, and re quires a stabifityof government and of economies which is not yet established. Asia needs a "Benelux to start the ball rolling. Asia needs an Asiatic feeling of union against Bolshevism. Asia needs something Under wlvich ECA aid and . the forthcoming "point four" program can take on an air of coordination. But it must be Asiatic in con cept. Whatever western suggestion is made will be subject to suspi cion. India's Nehru might be able to do it, 'but no one can tell him to do it. If he should take the initia tive it is safe to say that it would please the American government. In the meantime, the west i in the position of putting up bars at the front windows when the whole rear wall of the house has fallen out. MRS. RILEA IMPROVED ASTORIA. July l--The con dition erf Mrs. Mary Rilea, 77, mother of Major Gen. Thomas RiT lea, Oregon's national guard com mander, was reported improved since she suffered a stroke at her camp Clatsop home. She is in an Astoria hospital. The Why of the (Editor's Not ThesSlf m Hospital Development Program call for th raisins f fl.lo.M la th Salem area. The campaign !s bow .in progress and will be brought t the geaeraj public within a few- weeks. If you have questions too want answered write to the hospital program "!""."''!' nwi . sr pimr - lB getting hospital accoraodaUons teU the Queston: Why are Salem busi ness leaders and others giving their time and effort in the hos pital campaign? ' ' .. - Answer (by Alfred W. Loucks, city chairman of 4he campaign): Recently I accepted the . res ponsibility of heading up the Sa lem city campaign of the Hospi tal Development program. I was anxious to help in this program because of my conviction that many of our leading citizens and physicians were right when they described,, the urgency of our needs for increased hospital beds. I then wanted to assure my self that in this campaign we could honestly and fairly present to the community the facts in volved. I went over copies of tha long range planning commis sion's report . and the detailed analysis; and recommendations of the C. A. Sprague committee. Wanting more than statistics and cold figures and reports and estimates, it seemed wi.se to go directly! to both of our hospitals and visit each floor and each room. Let me tell you of a few of the conditions I found. On one floor there were 45 patients in rooms and halls which were originally designed for 25. There were "private" rooms with two and three patients each. There were seven beds in one hall and to one of these was a Cherryland O All Events McEwdn's Oregon High In Highway Construction - i ' Oregon "stands seventh: among the 48 states in highway construc tion, based on per j capita cost, population and Other; factors, dur ing the past three years, state de partment officials announced here Friday. Expenditures ovet thijf period aggregated approximately $52, 000,000, covering 1,891 miles of road. . ? Of the $52,000,000 expended approximately $40,000,006 repre sented federal aid projects and the remaining $tl,T0O,Q0O state projects to which no-federal mon ey attached. The work constitutes what Is called the first,l postwar program", as initiated by the 1944 congressional road act. which earmarked $36,000,000. 0t this, $21,000,000 was federal funds nd $15,000,000 state funds. ' The second postwar federal fd program was authorized;! by con gress in 1948. Under thts;.progranv the hiehway commission Will have available approximately $2 1,000. 000 in both state and, federal funds for construction work dur ing the coming two year. Man Attacks BaJ)y Sitter PORTLAND, Julv 1-0V Police here are investigating An attack on a baby sitter and the robbery of a newsboy. u The newsboy said two.mcn forc ed him in a caT, stole.55 cents from him, and then dropped him in an other part of town. He; gave the police the license number of rha car. v :': ' The baby sitter, 13-year-old girl, gave officer a detailed des cription of a man she said attack ed her. She said she met the man on a street corner after te phoned asking her to take a baby-sitting job. S ;; Earl Offered Korea Post PORTLAND, July MJVOre gon CIO Secretary-Stanley Earl isn't sure yet whether he wants to accept an offer to become labor ' adviser to the economic! coopera tion In Korea. - i? He said today he would make up his mind after he received formal notification of the job offer from Washington, D. C. ji If Earl does accept, he probably will have to resign the CIO posi tion he had held since 1943. . MILK PRICE CUT EYED ASTORIA. July ,1-,P)-A pos sible cut in the retail price of milk in the Astoria" area will be con sidered at a meeting of milk pro ducers here this weekend. Hospital Drive jhi ii you nave experienrea dimrulty program ofnee of your experience.) patient so critically ill that she was not expected to live. With her, life at stakes few of tha privileges of even a ward were available. How discouraging it must be for doctor and nurse to work in a concrete hallway. In one of the nurseries, 17 ba bies were crowded in their bas sinettes in place l the six for ; which the room was built. I won dered if even medical science could prevent the possibility of contagious infection under thosa conditions. j ' I sajv surgery schedules book- ed so solidly that there was no room or time left for the enoer gencies of an "automobile acci dent or a firecracker ; held too close; to say nothing of a bus or train crash. , I saw overcrowded kitchens, store rooms, and Other facilities. I saw an entire floor ; with but one lavatory. I aaw t not one single room for Isolation cases. I saw many other conditions Which more than convinced me that this hospital development program is an urgenVJust order of business in Salem, We mast provide the funds for increased beds and hospital facilities. It's the best insurance we can pro cure for ourselves and bur fam ilies. Let me urge everyone vin Our community t give of their available time and money. 'If Photographs O Assin At Photo Shop Over Weoiworth'i f
