i
; 4 The Etategnca, Saleau Onon. Monday; May lh 1531
Wo
mmllnt SUttnui, Uueb U U -
THE STATESMAN PUBLISHING COSIPANY v
CHARLES A. SPRAGUE, Editor and Publisher
FabUshed every aMraing. Batiam efflee tlS ft. Commercial, Salem, Oregon. Telepfceae X-2441.
Catered at 3m postefflea at Salens.
. ....
"SurviYal of the Fittest" I
In the bleak year of 1934 there were 12,093
business failures with total liabilities of $333,--959,000.
From then one, the number and total
losses declined until in 1945 only 809 concerns
turned up their toes with liabilities only a tenth!
of those in 1934, $30,225,000. But In 1949, be
lieve it or not, the total had risen to 9,246;
failures for a total of $308,109,000. .11
Of course in 1934 the number of business
concerns operating had dwindled sharply from
the 1929 peak, and low price levels made the'
liability account low as compared with that of
today. I j
Now why did these businesses fail? Dun &j
Bradstreet, the veteran credit rating agency,
has completed a study of this subject. It; finds
iStfit . in many cases the failures are human;
failures: 'Failures " judgment, personality,'
decision and know-how." Of the 9,162 failures!
in 1950, 95 per cent were found due to the
individual who owned the business. Another
thing: "The first-five years are the hardest.";.
Two out of every three that failed last year had;
been in business for five years or less.
-The Pacific coast has a bad record in this;
respect. Between. 1940 and 1950 the biggest;
upswing in business failures occurred on the
Pacific coast. Last year our score was 24.1 per!
cent of the total, exceeded only by the middle!
Atlantic states with 31.9 per cent. Naturally)
the states with more nearly static economies;
showed a lower rate of failures.
One page of the D & B study gives the failure'
rate per 10,000 concerns in five retail lines, as!
follows: food, 20; apparel, 75; furniture, 53;;
electrical appliances, 85; shoes, 68. (Too much
"charge in electric goods?)
Personal deficiencies on the part of owners
resulted in conditions which brought on failure.
Diagnosis of these conditions by percentages:
was as follows: inadequate sales, 45.7; heavy
Derating expenses, 10.7; difficulties on receiv
ables, 9.6; inventory difficulties, 11; excessive,
fixed assets, 10.9; poor location, 4.2 competi-
tive weakness, 13.7; other 6.1.
-In a fluid economy like our own there are
bound to be failures. In trade there is always
competition, if not within one's own line then
with other lines contending for larger shares of
the customer's dollar. Many times individuals!
profit from the experience of failing in one line.
They may make a new venture and attain
marked success. Frequently one reads of men
who have made and lost several fortunes. They
were m truth soldiers of fortune (and mis-
fortune). J
The record of business failure should not bei
too discouraging. While many fail, others suc4
ceed, in greater or less degree. The old adage
still has vftue: Nothing ventured, nothing wonf
Great Debate, Here and Abroad .
As the senate hearings resume today the great
debate will pick up where it leftoff last week!
In fact Senators Taft and McMahon had a week
end radio argument which ended in the usual
draw, neither one convincing the other. Taft
claimed that the administration was applying
most of the recommendations of MacArthur in
the Korean war; McMahon denied it. Stopping
f the flow of strategic materials to China was
voted by U.N., and Dean Rusk of the state de
partment has 'said we will help the anti-red
Chinese; but we still haven't started bombing
the enemy bases in Manchuria or laid down a
naval blockade. Meantime the U.N. armies have
done a good job in holding their lines near the
Soviets May Retreat in Asia in Order to Build
Up Pressure in West! Against Rearmament
Br. William L. Ryan
AP Foreign Affairs Analyst
WASHINGTON, May 20 - Jfh
The general tone of the Soviet
press today points to this possi
bility: The Kremlin at almost
any time may make a spectacu
lar move in an attempt to force
the communist brand of peace.
That would mean only a tempo
rary truce.
The pattern of the other Soviet
strategic retreats In the past is
being followed again and com
munist logic would seem to indi
cate a move.
There have beenjenany rumors
In the past few days of commu
nist peace overtures to the west,
and broad hits the Soviet Union
Is out to get some sort of settle-
Sent which might end the open
r eastern hostilities.
If American and other western
statesmen have taken the expe
riences of the past to heart, they
will be extremely wary.
The Russians have made their
aims fully clear. The aim is to
push the United States Into chaos
- In a long war of attrition. A
spectacular peace bid now would'
be part of that war.
Western statesmen know the
Soviet Union is aware of the
pressures which would be"
brought about by such a move
not only in the United States,
but in England, France, Italy and
western Germany,
With a lessening of the tension
by an end to hostilities; the polit
buro would count on heavy pres
sure in these countries for relief
from high taxes, for an end to
heavy military ; spending. - The.
pressure could be so great as to .
topple governments La Europe,
and to force cutbacks in the
United States, the Kremlin
would figure. . "
This, for the Soviets, would
serve a number of purposes:
1. The Atlantic alliance would
be weakened. The strong mili
tary front now building in Eu
1
Fatwr Sioairt C7, Wo Fear Shall
Oregon, aa seeead class matter under act at congress March t. ltT
J if I t : - . . - i " , - : I
( Congress has been in session for four and a
half months. Why hasn't it made more progress
on bills for statehood for Alaska and Hawaii?
practice seems to be to kill off this legislation
by harrowing delays. No hearings are being
held no need for them but neither house
as put this legislation to a vote. Time for
action . . . now. i
i Overheard at the "lawyers table" at the Port
land hotel: "Old judges never die, they : just
draw their pay." f
rope would recede.
2. Governments
now sworn
enemies of the
would find their
Soviet Union
positions jeop-
ardized if they insisted on a con
tinued state of full alert against
the possibility of! aggression.
S. Pressures to end military
, spending would j bring disloca
tions in western : industry.
The bolshevik doctrine always
has been, and is today, that capi
talist nations will fall of their
own accord through economic
chaos, and the Soviet drive has
5SE2
Literary Guidepost
THEODORE DREISER, by F. O.
Matthiessen (Sloane Asociates;
3.50; MY LIFE WITH DREIS
ER, by Helen Dreiser (World
Publishing: $3.75) !
The many i clear claims that
Dreiser has ;to i greatness, and
numerous obvious reasons why
they may be denied combine to
make his a major challenge f to
the biographer, j Born i on the
wrong side of the railroad tracks,
he knew the 'America of which
he wrote; but it was that part
of America which was uninter
ested in writing! and gave him
no incentive to master the craft
of it. So-he had a lot to say and.
In his best novels, it was accur
ate: but he said jit badly.
He has been! compared to
Balzac, who influenced him. But
Balzac, contrary to some opinion,
was not in fact a bad writer; a
good deal of hint is very quota
ble, he knew words, and the
prose art. Dreiser did not. So
there is the quandary: It sounds
bumptious to maintain that Drei
ser single-handed took the blind
ers off the American writer, it
sounds precious to complain that,
in the professional sense, he
never learned the English lan
guage. Yet they both are true.
Matthiessen says that with
l t 1 -A , (
,1 "-,''!
Awi"
38th parallel by smashing the waves of com
munist attack. i -
; Senator Wiley suggests the senate commit
tee j should consider calling the president to
testify; but he will get nowhere on that. The
committee voted 18 to 8 against trying to force
Gen. Bradley to report the conversations he had
with the president on the firing of MacArthur,
the basis of the vote being the regard for the in
dependence of the executive department under
our iconstitution. I !
Bradley returns to testify today. After him
will come the chiefs off staff of the services:
fcrmy, navy, airforce. Secretary Acheson is ex
pected to testify which should provide a Roman
holiday for his senatorial critics. And General
MacArthur may be heard in rebuttal.
Already though there are signs the senators
have heard about enough. They are beginning
to show more concern about the future course
pt action than why the president gave Mac
Arthur a ticket home. That is more important,
and there again the decisions must be based on
events as they transpire. What occurs in Korea
(or Peiping or Moscow) may be of greater sig
nificance presently than what happens in Wash
ington. Behind their iron and silken curtains
a great debate may be in progress between or
among our enemies. Watich for how that argu
ment is settled. I
So Appeasement Please
The United States made concessions to get
Robert Vogeler'out of prison in Hungary, and
now is confronted with demands from Czecho
slovakia before the latter country will release
William N. Oatis, AP cbrrespondent who; was
summarily arrested in Prague. The reported
demand is that the U. S.stop the broadcasts of
Radio Free Europe now made from Munich, j
j We trust the United States will repudiate the
proposal. There may .have been some excuse
for the Vogeler deal, but if it is to become a
precedent then the satellite states will pick off
its victims American citizens who fall within
their clutches and makefresh demands on us.
.There is no ground for arresting and holding
Oatis, for he is an experienced correspondent,
long in the service of Associated Press, which
has strict requirements covering the perform
ance of its workers abroad. There is. no chance
jhat he has violated rules of AP or that he has
engaged in anti-state activities as alleged by
the communist government in Prague.
! Radio Free Europe is not a government
operated or sponsored institution. It is financed
by voluntary gifts of Americans. It broadcasts
truths to the imprisoned peoples behind the
Iron curtain. Its message should be continued
to tell these people that the light of truth is
kept burning in the west.
I Can't the United States twist the arm of
Czechoslovakia? Two can play at the game,
though our methods are more humane. Give
the Czechs a taste of their medicine and see if
reprisals will not bring quick release for Oatis.
been tog attempt to help along
economic chaos.
Every day now Pravda and
Izvestia have frequent mention
of the Moscow proposal for a
f ive-powerv conference includ
ing communist China to end the
Korean jstrar. It would not be be
yond the bounds of possibility
for the I Soviet Union to dump
communist China from such a
conference, and bid the four
powers I to a parley, a move
which the west would find dif
ficult to reject. The bid, itself,
would be a ' spectacular move, j
vjAmi.i' (i.yiiii.nfiiin.iw, i.u,.i,.j, m
Hurstwood, Dreiser began his
chief contribution to American
literature", but admits it is hard
today t$ understand how revo
lutionary "Sister Carrie ap
peared sat first. He says he
lacked imagination, worked well
only in the social field with
which he was familiar, "just
managed to be a writer by main
force." -
The biographer died before he
finished! revising this book. The
editors of the American Men of
Letters series felt, however, that
this represented his "main inten
tion. - It's a very cautious ap
praisal, especially by a man sym
pathetic with "Dreiser's main in
tention.! Yet it it marked by
that searching intelligence and
scrupulous honesty found In all
of Matthiessen' work. It pre
sents Dreiser as a great force.
but not! exclusively a literary
force.- f- . i ;. j '
. Helen Dreiser, the novelist's
Intimate for 28 years and his
wife fori his last year and a half,
writes sincerely and naively. She -must
bei supposed to know more -than
anyone else about some as
pects of. Dreiser, though her in
formation is not transmitted suc
cessfully here; -
" ' ( : ' .-'
WELCOME MOISTURE1 IN : THE OLD DUST BOWL
J v 1 " ' v- - tl! Kit U' &V-?S-'Zi
Dtp
OTODS
THDQDCg
(Continued from page 1)
. inquiry into the RFC asinine"
though the disclosures forced the
president to move for its im
mediate reorganization.
Considerable of this is petty
stink, just the grafting of cheap
skates. Some of it is just "crowd
ing the pole" for favors because
persons happen to be on the in
side of the administration, like
Donald Dawson taking free hotel
accomodations at a Florida hotel.
Some of course angled for big
things, like Rosenbaum in dick
ering over RFC loan applications.
Ex-Congressman Casey seems
to have turned his hand, perhaps
legitimately, on big deals which
netted him and associates large
profits on purchase and sale of
tankers. Some of the deals in
purchase of merchant vessels in
the late war and then in disposal
of vessels after the war were
shocking in the costs to the gov
ernment. Even if the transactions
were on the up-and-up the losses
sustained . by the government
created an atmosphere of "come
and get it" which spread all
through the ranks.
On many major matters Presi
dent Truman as acted to protect
the public interest. Against heavy
pressures from men in his own
party he vetoed a bill to let off
shore oillands revert to the states,
and another bill exempting cer
tain producers of natural gas
from jurisdiction of the federal
power commission. But he seems
to have a blind spot where his
cronies are concerned.
A fresh broom is needed to
sweep out the; accumulation of
vermin who have gotten a foot
hold in Washington. But there is
always the danger that instead of
sweeping out the vermin we
merely let another tribe of lice
k come to Inhabit the place. For
grafters, big and little, operate on
bipartisan lines.
H3E feK fife SET
A word fitly spoken Is like an
apple of gold in a picture of
silver. Proverbs 25:11.
GRIN AND BEAR IT
! latest miracle dreg, comrade
-vL Jp-, -
r, remarkable
jl. rs. &m ' MM & I
vmmt mm - awjtf., ma
Pf & aiJ-itI teil iff U A
Consolidation
Oi Libraries
Aired at Meet
Consolidation of large library
units into regional libraries and
training of librarians were among
topics discussed at the Oregon Li
brary association annual meeting
in Eugene Saturday.
Nearly 200 delegates took part
in the discussion which pointed out
that many Oregon counties are
without adequate library facilities.
A plan discussed would consoli
date a county's library facilities
into larger units offering better
seryice.
A new state law permitting Ore
gon students to attend other north
west state schools on an exchange
basis was hailed as an advantage
for the training of library Students.
Oregon has no library school but
students here could train at a state
library school in Washington.
Sixteen Salem delegates repre
sented the state, city and Willam
ette university libraries. Hugh
Morrow, Salem city librarian, re
tired as treasurer of the associa
tion and was succeeded by Marcia
Hill of Salem, state library em
ploye. New president Is Cora Ma
son; public librarian at Ashland.
Also taking part In the day's pro
gram were State Librarian Eleanor
Stevens and Eloise Ebert, state li
brary worker.
Bettor English
1. What is wrong with this
sentence? "It was him who told
me of the unverified rumor.
2. What is the correct pronun
ciation of "clandestine"?
3. Which one of these words is
misspelled? Ensemble, environ
ment, enterprize, compromise.
4. What does the word "gran
diose" mean?
5. What is a word beginning
with si that means "having a
meaning"?
-ANSWERS
il. Say, "It was he who told me
of the rumor (omit unverified).
No rumor Is verified. 2. Pro
nounce klan-des-tin, a as In am.
as in set, I as In tin. accent on
second syllable. 3. Enterprise.
4.1 Impressive or elevating in ef
fect. "His manner was grandi
ose." 5. Significant.
by Lichty
eemmissar . . . Is effecthag
ffj mff
Song Composer
To Appear on j
Salem Program
Tim Spencer, organizer and
leader of the "Sons; of the Pio
neers," cowboy singing group, will
appear in person Tuesday at 7:4$
pjn. in Salem high school audi
torium, j !
He is the composer of many
popular songs including ! "Room
Full of Roses' which reached the
top of the Hit Parade recently,
He is a spark plug, in the Holly
wood Christian group. He will
singand play.
rnn iterr, pianist and song
writer, also will appear in the free
program. Kerr has written over
1,200 songs and choruses, ; and is
considered an expert on hymnol
ogy. He has made more than 70
coast-to-coast concert tours. He is
a leader in the Youth for Christ
movement.
The program Is open to the pub
lic and is sponsored by the Salem
Christian Business Men's commit
tee. Battery Firm
Gets Money
For New Plant
ST. PAUL. Minn. Albert H
Daggett, president, announced yes
terday, that under a refinancing
plan, Gould -National Batteries,
inc. nas arranged ' to borrow
$3,000,000 from three life Insur
ance companies. '
Of the total amount $5,000,000
will be used to retire notes pres
ently outstanding and the balance
will be added to working capital
and will be available for the con
struction of new plants, the pur
chase of new equipment or other
purposes. j j
The additional funds provided
will be available for the accom
plishment of the company'sS .000,
000 program providing increased
capacity, particularly in the indus
trial division to manufacture bat
teries required by the armed serv
ices, j !
(Gould-National Batteries oper
ated the battery production plant
in westside Salem. On a recent
visit here, President Daggett said
expansion was being planned for
the local plant) i !
Hobo King Due
AtFunerdlfor
General Coxey
SEATTLE, May 20-P-Hobo
King Jeff Davis headed east today,
riding first class. j
The man, who rode to fame on
the rods of the nation's railroads,
boarded an airliner for a sad trip
east.. s
He was hurrying to the funeral
services of his most famous sub
ject, "General Jacob S. Coxey, a
trustee of the Hoboes of America.
Coxey, who led a march on
Washington in 1S94, died in Mas
sillon, O. He will be buried Mon
day. . j .H
The "General was arrested for
trespassing on the capitol lawn. In
1944, he stood on the capitol steps
and finished the' speech he began
57 years ago. This time he was
presiding over the annual con
vention of the Hoboes of America.
The king will be a pallbearer
for the general and will speak at
his rites. ; - .
ACTOR'S WETS BETTER
HOLLYWOOD, May 20 - 6PV-
Actor Jimmy Stewart said today
that -the condition of his wife;
Gloria, has improved so much he
is able to return to work.
EmiloyerTdld
Not to Assist
Anti-Red Union
WASHINGTON, May 20-jP-The
belief that a union has pro
communist leadership doesn't just
ify an employer in helping a rival
union organize his' workers, the
national labor relations board held
today.
The ruling, voted by the NLRB
4 to 1, involves the Stewart-Warner
corporation, the United Elec
trical Workers (UE) which had
been expelled from the CIO on
charges - of following communist
party programs rather than CIO
policy, and the AFL International
Brotherhood of Electrical Workers
(D3EW). It was charged that the
employer aided the IBEW in un
seating the UE as bargaining agent
for its Chicago plants.
Although the charges first were
filed by three UE members, in
cluding John Kelliher, president of
the UP local, the board chose to
act upon similar charges of em
ployer interference filed later by
the dO-International Union of
Electrical Workers (IUE). This
union was chartered by the CIO
over the UEs jurisdiction after
the UE was thrown out of the CIO.
The IUE has taken away many
major contracts once held by the
UE.
James J. Reynolds, lone mem
ber of the board to dissent, said
he would have dismissed the
charges against the employer for
lack of evidence that the IBEW
actually had been aided by the em
ployer. In his dissent be did not
discuss the communist is&ie.
The board said congress, through
the Taft-Hartley act, had not au
thorized the board to condone em
ployer violations even though they
"may be motivated in part by
patriotic objectives. The law pro
hibits the boss from interfering
with the organizing activities of
his employes.
K. of C. Elects
State Officers
GRANTS PASS. May 20-WV
The annual state convention of the
Oregon Knights of Columbus con
cluded here today with re-election
of all officers.
They, are: Jasper W. Kennedy.
Eugene, deputy; Edward J. Bell,
Stay ton, secretary; Vernon W.
Collver, Reedsport, treasurer; Wal
ter R. Hansen, Bend, advocate;
Jack Lynch, Oregon City, warden.
Delegates to the national con
vention are Dr. F. A. Reiling, Eu
gene; William Plasker, Tillamook,;
Kennedy and Sylvester Smith.
Alternates include Don DoexHer,
Salem; Thomas Bagan. Salem; W.
Douglas Harris, ML Angel, and F.
Ross Coleman. St. Paul.
Salem was selected for the 1952
convention. Delegates voted to
hold a state-wide. "Catholic day"
July 8 at Champoeg state park.
Radio Program
To Feature
4-H Members
Salem 4-H club members and
leaders will participate in the state
4-H club radio program over
KOAC. Corvallis, tonight at 7:30
o'clock.
Club members taking part from
the state school for the blind are
Gayle Sandine, piano solo; Darrell
Beers, and Homer Ding and Jack
BrazieL Instrumental trio. Frank
Sanders, music instructor and
James Rybloom, dean of boys and
4-H club leader will accompany
the group.
Mrs. Jack French, president of
the Salem -H leaders association
and leader of a clothing club, will
take two members of her club, Kay
Nickerbocker and Jean Hubbard,
to discuss the 4-H club program.
James Bishop, Salem 4-H club ex
tension agent, will accompany the
group to Corvallis.
The half hour program tonight Is
one of two given by Salem 4-H
members and leaders during the
year, Bishop said.
ORCHESTRA SINGER WTTJJrn
SLOATSBURG, N. Y, May 20
(A) Donald Brown, 29, featured
vocalist with Tommy Tucker's or
chestra for the last nine years, and
another musician were killed to
day when their automobile
smashed into a store-front in the
Sloatsburg business district.
WHAT'S
FURNITURE COMPANY
Going To Do
NOW!
(,1; j .". "
( Only 1 0 Down -
w 7lf , - -
ma)
Columbia River
To Crest Tuesday
PORTLAND. May 20-W-Tha
Columbia and Willamette rivers
in the Vancouver. ; Waah.-Portland
area will rise slowly and crest at
20 J& feet Tuesday, river forecasters
reported today.
The expected crest is not high
compared with last year's -spring
high water mark of Z5 feet, the
weather bureau reported.
Md-Valley's
Iris Gardens
In Full Bloom
f -5
By LC21 L. Madsea
Garden Zdltor. Tbe Statesaam
Although iris growers report,
that they have had the worst
spring in their. Willamette valley
iris growing experience, you would
not guess it in looking over th
blooms and arrangements at the
Cooley Iris garden headquarters
on James avenue, SQrerton.
The annual Iris Week at Silver
ton opened here Sunday and will
continue through ' this week and
over next Sunday. Visitors are
also being welcomed this week at
the Cooley Iris farm, known as
tbe old Benson farm, on Brush
Creek road. Because of the closed
road at Brush Creek, the only en
trance to the farm is from the Sil
vertons'de. - J
Dr. R. . Kleinsorge, nationally
known iris breeder St Silverton,
says- that in his SO years of iris
growing he has never seen a worse
winter for them. Those that are
blooming to good shape, are cer
tainly hardy, be added. First the
"summer weather" of December
and January advanced lbe iris
greatly, enabling them to b
"caught properly in" the heavy
freeze of February. The late April
frost and the heavy hail Silverton
had in May all gave -assistance to
keeping iris from being at their
best. f
However, the Cooley iris house
is filled with a fine .collection of
colorful bloom all from their own
iris gardens. Mrs. Rholin Cooley's
arrangements, which! have added
much to the success of the show
in recent years, are exceptionally
fine this year. .'
All irises are labeled at the show
and there is always someone at
hand to discuss iris culture or give
other information. Too, there are
members of tbe firm at the ris
farm who will show visitors about,
Some new introductions, which
had been expected to be out for
the show, win not bloom this
spring at all, and a few will be too
late for tbe show. However, this
week s definitely the peak of the
iris blooming season -in the Wil
lamette valley.
Open to visitors too. are the
lovely display beds of the Schrei
ner's Iris gardens at Salem Route
2, in the Quinaby area. The beds
will be at their best aU this week,
and Sunday found the scores of
visitors who came to the Cooley
Iris show motoring i out by the
Schreiners Gardens, to view
them also. Tbe Schreiner family
are extending a welcome to all vis
itors throughout the week.
GOP Banker
Said in lane
For RFC job
WASHINGTON, May 20-CP-A
Chicago banker, active in repub
lican poUtics, was reported today
to be President Truman's choice
for the post of No. 2 man in the
reconstruction finance corpora
tion. . ;
Highly informed sources who
declined to be named said Mr.
Truman barring some unexpected
last minute hitch will name Pe
ter L Bukowski, president of the
Cosmopolitan National Bank of
Chicago, as deputy RFC adminis
trator under W. Stuart Syming
ton. !
Bukowski is a former manager
of the RFCs Chicago loan agency
and a long-time friend of Syming
ton, i
Feeiytriinrri
r.
SAVINGS
AND
HOME LOANS
5 SEE
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I FEDERAL
SAVINGS
FIItSTl
Current
Rdte 2Vi
129
Nerth
Commercial
AST FEDERAL SAVINGS
& AID L0A!I ASSU
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CO Z.isnths io 'Pay :
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