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About Eugene register-guard. (Eugene, Or.) 1930-1983 | View Entire Issue (Jan. 21, 1963)
EUGENE REGISTER-GUARD, Monday, Jan. 21. J963 Pate 5A Highlights Of Message Pr-riA0 " F1llowin8 a texluil highlight of Monday" Kennedy s "nnual economic message to Congress i u . ,0t. lts advanccs "e nation is still falling substantial r Kr.uf "S economlc Potential a potential we must ful fill both to raise our standard of well-being at home and serve the cause of freedom abroad. . . liUJONS Or COUARS 400 1:0 580 4S0 400 GQ$$ NATIONAL PRODUCT ' IN J962 rMCES ' J4 ii io S7 it St J ! HJ The decade ahead presents a most favorable gathering of forces for economic progress. . , The outlook for continued moderate expansion in 1963 is now favorable. . . I do not expect a fifth postwar recession to interrupt our progress. . . and economic expansion in 1963, at any reasonable predictable pace, will leave the economy well below the employment act's high standard of maximum employment, production and purchasing power. . . We need to run just to keep pace and run swiftly to gain ground in our race to full utilization. . . GNP (AP Wlrephoto) Chart shows increase in gross national product (total output of goods and services) in 1962 to $544 billion, as outlined in President Kennedy's eco nomic report to Congress Monday. The main block to full employment is' an unrcalistically heavy burder of taxation. The time has come to remove it. . . "We approach the issue of tax revision, not in an atmos phere of haste and panic brought on by recession, but in a pe riod of relative calm. Yet if we are to restore the healthy glow of dynamic prosperity to the U.S. economy and avoid a length ening of the 5-year period of unrealized promise, we have no time to lose. . . "If we were to slide into recession through failure to act on taxes, the cash deficit for the next year would be larger Wlfftcs Vtei2SJ2!!nclcaJasa the estimated deficit with tax reduction. ... Our practical choice is not between deficit and surplus but between two kinds of deficits: Between deficits born of waste and weakness and. deficits incurred as we build our future strength. . . As the economy returns to full employment, the budget will return to constructive balance. , . I am proposing a major reduction in individual income tax rates. Rates should be cut in three stages, from their present range of 21 to 91 per cent to the more reasonable range of 14 to 65 per cent. . . The second step in my program to lift investment incentives is to reduce the corporate tax rate from 52 per cent to 47 per cent. . . Particularly to aid small business, I am recommending that effective Jan. 1, 1963, 1he rate on the first $25,000 of cor porate income be dropped from 30 to 22 per cent while the 52 per cent rate on corporate income over $25,000 is retained. In later stages the 52 per cent would drop to 47 per cent. . , As long as wage rate increases stay within the bounds of productivity increases, as long as the push for higher margins through higher prices is restrained. . . the outlook for stable prices is excellent. ... . Our commercial trade surplus the excess of our exports of goods and services over imports must rise substantially to as sure that we will reach balance of payments equilibrium with in a reasonable period. . . Work on the development of an acceptable plan for quick tax action to counter future recessions should continue. . . I urge that Congress appropriate the balance of funds author ized for programs under the Public Works Acceleration Act.. . I will propose later this year that Congress enact perman ent improvement in our federal-state system of unemployment insurance to extend coverage to more workers and to increase the size and duration of benefits. I shall propose a number of measures to encourage civilian research and development and to make the byproducts of mili tary and space research easily accessible to civilian industry. . . Our educational frontier can and must still be widened. . . Education must not stop in the classroom. . . the individual and firm have shouldered 'he primary responsibility for the retrained required to keep pace with technical advance. . . But government must support and supplement these private efforts. . . Bob Kennedy Says Meredith May End Stay at Ole Miss Spokesman Consulted Co-Author Defends Stevenson Article NEW YORK' .(Hi Stewart Alsop, co author' of a controver sial article on Adlal E. Steven son s position in the ' Cuban crisis, defended the story Mon- Commuter Trains Ram; 100 Injured PHILADELPHIA Wl A Read ing Railroad commuter train plowed into the back end of an other one at a midcity station Monday. Dr. Savena Brunetti, chief police and fire department surgeon, said 100 or more per sons were taken to hospitals, most of them for treatment of slight injuries. ' The crash occurred at the 10th and Spring Garden Street sta tion. A special Jcnkintown shut tle train necessitated by the citywide transit strike, rammed into a crowded train from Chest nut Hill. A woman riding the Chestnut Hill train related, "It was terri ble. All of a sudden there was this terrific noise, then we were all piling on top of one an other." Mary Day, 20-year-old secre tary, who was aboard the Chest nut" Hill train, said, "A few women started to yell, 'what's happened,' but there was no real panic or anything like that." She said many of the passen gers, shaken up like herself but not actually hurt, stumbled out onto the station platform in the 15-degree cold and sat down wherever they could find a perch, or just walked around to compose themselves. - , Spokesman for the railroad said they had not determined the cause of the accident. Dockworkers Accept Contract Plan day and said Stevenson's official spokesman was consulted three times before it was written. -. ; Stevenson, U.S. ambassador to the United Nations, was pic tured in the article in the Satur day Evening Post last month as having disagreed with President Kennedy's advisers on the Cu ban blockade. It also said he "preferred po litical negotiation to the alterna tive of military action." Writing in the current issue of the Saturday Evening Post, Alsop said he and Charles Bart lett,. co-authors of the article, had three lengthy talks, with Clayton Fritehcy, special assist ant to Stevenson. He said Fritchey summarized as follows the position Steven son took at a meeting of Execu tive' Committee members of , the National Security Council: "Stevenson's general approach was to avoid military action un til the peace-keeping machinery of the United Nations had a chance to function. He therefore opposed the air attack and fav ored a blockade. , , , "As the consensus hardened an the quarantine approach, he turned his thoughts toward the possibility of a settlement, both short term and long range. He wanted all nuclcnr capability de fused and the Cuban bases dis mantled. ' 1 "He said that if it were neccs sary to sweeten up our negoti- ating position at this point, we might even consider yielding the Guantanamo base. As a final point, he suggested a proposi tion to the U.S.S.R. to discuss the elimination of foreign bases in connection with the disarma ment negotiations." . NEW YORK OP Negotiators for striking longshoremen have accepted a presidential board's proposals to end the month long. Maine to-Texas dock tie up. Ship owners deferred action until Tuesday. The board's proposal for a 39-cents-an hour package increase over two years including 24 cents in wage boosts was ac- J ccpted Sunday night by nego-J tiators for union longshoremen who work in ports from Nor-i folk, Va northward. ' I A union spokesman said that even if ship owners and steve doring companies accept the proposal the strike could not be considered over until dockwork ers along the Southeast and Gulf coasts get the same offer. Sen. Wayne Morse, D-Ore., chairman of a mediation board appointed by President Kenne dy, observed that the New York pact traditionally sets the pat tern for other ports which sign separate contracts. Federal mediators were to meet here again Monday with union and management repre sentatives from South Atlantic and Gulf Coast ports. The rep resentatives will return to their home ports for full dress nego tiations. The strike by 60,000 long shoremen has paralyzed most East and Gulf Coast shipping for 30 days. It has idled some 20,000 other workers, including about 10,000 truck drivers in the New York area. Because more than 550 ships arc stalled with no one to load on unload cargo, an estimated I 20,000 railroad boxcars are backed up along the Atlantic and Gulf Coasts. Losses due to the strike are nearing the $600-million mark. Kennedy had instructed the special three-man board to re port the outcome of its efforts by the end of Monday's work day. .Mors,', said through a spokes-1 iiuiii nidi ne mil nit: an imcriiii report with the President, point ing out that ratification of the agreement by the longshoremen might take some time. Morse had emphasized that neither the AFL-CIO Interna tional Longshoremen's Assn. or the New York Shipping Assn., which represents 145 shipping and stevedoring companies, is forced to accept the board's pro posal. But he made clear to them, he said, "that they could make no greater mistake than to take the false assumption that they could do better by taking (heir final chance in the halls of Con gress." The board's package proposal was 11 cents less than the long shoremen had asked and 17 cents more than the industry had offered. Alexander P. Chopin, chief negotiator for the shipping asso ciation, said tho recommended settlement represented "a $25 million package for the port of New York alone which is very, high." The mediation board recom mended a 15-cent hourly wage boost retroactive to last Oct. 1, when the old contract ran out, and another 9-rent hourly boost next Oct. 1. The longshoremen' basic pay averaged $3.02 an hour before the strike. Both sides, under the propo sal, would agree to submit Uifl issue of manpower utilization and job security to study by ' the Department of Labor. No Progress in Other Strikes By I'nitrd Press International Longshoremen accepted a presidential board's recommen dations in the long, costly Maine-lo-Tcxas dock strike late Sunday, but there were no so lutions yet in other major labor disputes. The weeks-old newspaper strikes in Cleveland and New York continued. In Cleveland, the 320-member Photo-engravers Local 24 voted Sunday to seek permission to enter the strike against the Press and the Plain Dealer newspapers. Secretary Treasurer Charles Thomason said the local will ask the international for per mission to go on strike. The Photo-engravers would be the third union to join the strike since the walkout began Nov. 29. Negotiations between the Newspaper Guild and the pub lishers were to resume this af ternoon. Talks with the Team sters were in recess indefi nitely. In New York, it was expected the negotiations would not re sume before Tuesday. Nine major New York newspapers have been shut down since Dec. 8. The printers were expected to make known their position Tuesday on a new proposal of fered by the publishers Friday. The publishers have offered the printers a $20 weekly package increase over two years, and the union wants a $37 package. In Philadelphia a federal mediator said the Transport Workers Union had made a "significant proposal" which the company was going to study in the city's six-day transit strike. Another negotiation session was scheduled for Monday be tween the union and the Phil adelphia Transportation Co. More than a million Philadel phia commuters have had to find other ways to get to work because of the bus, trolley and subway-elevated shutdown. WASHINGTON OIPD Atty. Gen. Robert F. Kennedy said Monday the chances at the pres ent time are that James Mere dith will leave the University of Mississippi. Kennedy said he did not think Meredith made a mistake in in tegrating the university. "I. think that's a difficult area, but Meredith decided he uranlerl tn da it and these deci sions are rp to the individual," hp sairi. Tf Meredith docs quit, Ken nedy said, it would make future integration efforts in such states as Alabama or South Carolina more difficult. Kennedy said he hoped the 29-year-old Negro student would continue his studies at "Ole Miss" because a great deal of Meredith's own efforts and gov ernment action to enforce the law went into his admittance to the school. " "Everybody in the United UO Marine Institute Plans Teacher Session Twentvfive college teachers r hinlnoical sciences through- nut the United states win oe participating in the University of Oregon's summer institute in marine biology, June 17 to Aug. Financed by the National Sci ence Foundation from a grant, of S35.200, the sessions will be conducted at the Oregon Insti tute of Marine Biology at Char , leston, Ore. - Richard W. Castenholz, pro fessor of biology at the univer sity, will direct the institute. Al so on the institute faculty-will be Harry K. Fritchman Boise Junior College. Idaho: and Shir ley Sparling. University of Cali fornia at Santa Barbara. Further information and ap plications may be obtained by writing Castenholz at the ue partment of Biolory, University of Oregon, Eugene. States has contributed some thing, because the taxpayer's money has been used," he added. Kennedy gave these views and others about the first two years of his brother's adminis tration in a copyrighted inter view with "U.S. News and World Report." Asked about the attempted invasion of Cuba by refugees, the attorney general said he wanted to clear up reports that the President withdrew air cov er from .the operation. Some have blamed the failure of the Bay of Pigs invasion on the lack of protective air cover when the force was on the Cu ban beach being attacked by Castro's small air force. Kennedy said the President "never withdrew U.S. air cover. There was never any plan to have U.S. air cover." Although planning for the in vasion was primarily the re sponsibility of the Central In telligence Agency, Kennedy said, the Joint Chiefs of Staff and the President approved the plan. , However, he said "the plans and the recommendations obvi ously were not adequate." Reds Hit Kennedy's Message on Budget TOKYO lei Peking's New China news agency gave a long account Saturday of President Kennedy's budget message to Congress, saying it called for unprecedented expenditures to carry out aggression. - It said the President also had made clear "that during the 1963-64 fiscal years the United States would send more arms to its allies." 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