Capital A Journal
An Independent Newspaper Established 1888
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4 Salem, Oregon, Wednesday, July 6, 1949
The Nation's Finances
John W. Snyder, secretary of the treasury announces
that the treasury deficit for the fiscal year 1949 just ended
was $1,811,440,047, far beyond official estimates. Presi
dent Truman in January estimated that the 1949 def icit
would be $600 million, a miss of more than $1,211 million
and his nearest critics had not expected the red figure to
exceed $1.5 billion. And this in peace time with taxation
at record high levels and prosperity prevailing.
Federal tax receipts totalled $38,245,000,000 but $40,
057,000,000 was spent to operate the government, includ
ing foreign aid for the fiscal year just ended. The presi
dent blames the moderate tax reduction voted by the 80th
congress, but Mr. Truman cannot escape responsibility for
extravagant government spending. As a matter of fact,
this weathy nation has been in the red all but two of the
past 19 fiscal years. The surplus years were 1947 and
1948 due to the return of appropriated war funds.
The whopping deficit has brought new demands for gov
ernment economy in congress from republicans and some
' democrats, and strengthened the movement to cut the
1950 fiscal year budget by 5 to 10 percent, "notwithstand
ing the president's vested interest in past errors, as Sen-
ator Ferguson (R., Mich.) expressed it.
Deficit spending since the New Deal took over has bal
looned the national debt astronomically, not altogether due
to the war. In 1915 the national debt was $1,191 million,
: in 1919, due to World War I, it boomed to $25,482 million.
In 1930, before the depression, it had been reduced to
' $16,185 million. In 1940 before World War II it had in-
creased in peace time under deficit spending to $42,967
million. It is now $252,797 million.
The annual interest charge now is more than $5 billion,
' greater than the entire cost of government during any of
the boom' years of the 1920s.
Mr. Truman still stands pat against pressure from con
' gress to balance the budget by economy, holding costs are
at the right levels but the income too low and wants to
hike it by additional taxes of $4 billion a year by income
or general revenue taxes and payroll hikes upward of $2
billion a year, regardless of the fact that taxation has
already reached the point of diminishing returns.
Neither the nation nor business that depends on deficit
spending can be regarded as on a sound financial basis and
' that is one reason for the fear that recession will develop
into depression if not checked by balanced budget. But
the New and Fair Dealers figure it differently "the more
we owe the more prosperous we become, because we owe
It to ourselves. Q. E. D."
What's Wrong With United's Business Here?
Somebody is trying to treat United Air Lines' stop at
Salem as they would an unwanted stepchild. This is evi
denced by the hearing coming up before the Civil Aero
nautics board on the possibility of substituting West Coast
Airlines for United here.
But a look at the facts make such a substitution without
real reason. And this is stated with no attempt to belitle
the good feeder-line service offered by West Coast.
Salem is a profitable stop for United. The figures in
dicate that, or else many, many other stops on the Main
liner route are "worse" than the capital of Oregon.
For instance, Salem had almost as much passenger rev
enue during the first four months of this year as did Bal
timore, Maryland, a city 17 times the size of Salem.
Ogden, Utah, which is about the same size as Salem, did
less than half as much business during the same period.
Fort Wayne, Indiana, with a population of over 100,000
persons, did about two-thirds the passenger business of
Salem.
Even Providence, Rhode Island, which boasts a popula
tion of five times that of Salem, didn't do as well in that
four-month period. The list goes on and on, including
South Bend, Ind. ; Stockton, Calif. ; and Cheyenne, Wyo.
What about air freight ? Few cities on the United route,
close to the metropolitan areas, can touch Salem in this.
The airport here handled 63,814 pounds of air freight in
the first four months of 1949. In this connection it should
be noted that West Coast, suggested as a substitute, does
not carry air freight.
United Air Lines' top officials might well take another
look at the figures for the Salem stop and then judge for
themselves that the "stepchild" here isn't bad at all. As
a matter of fact, the Salem stop looks good on paper. And
with a new field administration office coming up, the con
trol tower in operation, and Oregon's second city's growth,
the outlook should be worth more than casual considera
tion. Salem means to fight to keep United service here. Unit
ed ought to join the fight on Salem's side.
There Ain't No Justice
Arroyo Grande, Cnllf., VP) Warren II. Colby, veteran
jlamflshcr and democrat, Is thinking of giving up both.
Accused of illegally taking undersized clams from the
surf at Pismo Ileach, Colby came before Justice Webb
Moore, republican, who has a record of 30 day sentences
for fishermen who deal In tiny clams. Colby asked for trial
before a democratic Judge, so the case was transferred to
San Luis Obispo.
"Ninety days," said Justice Paul Jackson (Dem.)
Cooks Will Sympathize With Her
Cedar Rapids, la. (U.R) For a lively moment Mrs. Lowell
Long wondered what she had put Into those biscuits In the
oven.
Then she remembered that when the family went on a
vacation recently, two revolvers were hidden in the stove.
The volley of shots which began as the oven was turned
on damaged the stove.
The biscuits came thrdugh unscathed.
These Hold-Up Men Believed Him
SEATTLE (U.PJ Grocery store owner W. H. Flanders foiled
n attempted holdup by saying "no" four times.
A pair of holdup men turned tall and fled after Flanders'
fourth refusal to band over the contents of his cash drawer.
gy BECK
The Acid Test
DISHES jB--i0g',l GOON IN.. THE
7.t ,.. . :"- WtMrmm
SIPS FOR SUPPER
Try It
By DON UPJOHN
Reports as to bum checks being passed in the vicinage are be
coming so prevalent that Sheriff Denver Young recently issued a
warning to merchants and business men in particular and to the
public in gen-ifV
eral to exercise
caution in cash
ing checks and
establishment of
i d e ntifications.
However, it
seems the
checks continue
to be accepted
and the bum
check passer
Don Lpjolin
having a merry
time of it. Evi-
dently merchants don't need vides informal meals for my
much warning as to being care- friends and stays the pangs of
ful about accepting legitimate hunger when Mrs. Hickok is ab
checks for cashing. Some local sent from home." Incidentally
chap who has been writing Guy's dish and the advertise
checks around here for years ment he has secured for it should
and never had one bounce as a make him popular on Labish
rule gets the run around when Meadows.
he shows up to cash a check in '
some place where his pedigree We note where a Utah convict
isn't known back to the time was taken from confinement to
of Jason Lee. The minute he a state department to open an
offers his check for purchase of old safe by methods known only
an article in the exact amount to convicts. He was supposed to
required, a cordon is thrown be an expert. He tackled the
around the store, the bank is job and failed. However, if the
called, plain clothes men show officials had told him there was
up to give him the once over ten grand in the old box and
and no doubt a lie detector test left him alone with a good
would be given if such a gadget chance to get away we betcha
was handy. A few minutes aft- he'd have made it in a hurry.
er he leaves some slicker shows
up, buys an article for six-bits, We note a comment in our
passed a $99 check, walks out morning contemporary that a
with the change and in a few woman , court here to an
days the cops are looking for . , , ,
him. It'll happen pretty nigh swef. to a criminal charge "was
every time. continued for arrangement."
' Leaves the reader kinda in-
We knew bankers had to be trigued as to what "arrange
versatile people. They have to ment" is planned.
Dobbin's Here to
McAlester, Okl.i. (P) A horse, an iron horse, and a horseless
' carriage all got tangled up in a traffic accident here.
A truck and trailer weer smashed.
A switch engine was dented. . ,
Dobbin, who had been riding In the trailer, shook himself
and walked away.
POOR MAN'S PHILOSOPHER
Hard Luck Can't Dent
This Chunky Irishman
By HAL BOYLE
New York W) Manhattan Snapshots:
Everybody lives by his own brand of logic, and one kind won't
necessarily suit another.
My favorite
New Yorker is
George (The
Real) McCoy,
the best armor
ed man I know
against misfor
tune. Hard luck
can't even dent
let aloneny
ureHK 1 n 1 5
hack man's Fal
staff. George,
ni R117U
now in his middle years, was a
pioneer sidewalk radio inter
viewer. He served as an armv
sergeant overseas, and he and
his microphone gave belly
laughs to scores of thousands of
homesick troops on leave in Al-
gicrs and Naples.
Today this chunky, red-faced
Irishman probably knows as
many people around town as
Jim Farley. The radio spots
have been fewer in recent years,
and George beats a living out of
Broadway by driving a cab.
me," he says. "Most people want
11... 1 ll t . 4
11.,. j iiv.
live and ad lib.'
And in many a mid-town bis
iro, nes more widely quoted
than Shakespeare, Walter Lipp-
mann or Milton Berle. George
I
4T i.i
dislikes stuffed shirts more than "What are you doing?" asked
anything In the world, and en- the amazed friend.
Joys puncturing them. " "Oh, the maestro told me all
"A stuffed shirt," he says, "is the best voices were trained in
just a public bandage on a pri- Italy," she said. "Since I can't
vate intolerance or an ulcer afford to go there, he is import
that needs curing." ' ing Italian air for me in these
Recently George started driv- bottles. It helps me immense-
ing his hack on Sundays because 1-"
he figured he could save $30. "wh.v do you keep putting the
"I really take ln only $10," coack ln?" . . ,
u. 'in . 1 ju , "The maestro warned I must
he says. But if I didn t work, use the air sparingly," said the
I'd spend $10 so that makes lady complacently. "It's expen-
$20. On the other hand, if I jive to import. I pay him $1.50
didn't work, I'd have to borrow a week for each bottle."
know pretty near a little bit of
everything in dop'lnf -----pie
and businesses. We have
just encounterea anoiner wut.i
of the versatility of a Salem
banker in the current issue of
Sunset magazine which in the
section entitled "Chiefs of the
West" carries a recipe for onion
soup from none other than Guy
Hickok, manager of the First
National branch here. This dish,
Guy advises the editor, "pro
Stay
the $10 I'd spend so, altogeth
er, I'm really saving $30."
Currently "The Real McCoy"
is worried over' the way people
in Manhattan are corrupting the
pigeons.
"More pigeons getting run
over every day," he says sadly,
"and that's a shame. They have
seen so many people jaywalking
that they won't get out- of the
way of cars anymore. They're
confused they think they're
pedestrians, too."
It- takes- so- little- to- make-
some-folks-happy note:
There is a middle-aged lady
who lives in Greenwich Village
and yearns to be an opera singer,
She is taking lessons from a
merry old rascal whose only
traininK as a voice teacher is the
years he spent tuning pianos,
. Recently a friend who visited
h,er in ,hc ?maU Practice room
she rents found her weeping
,.IlJoy- . .,.,
. .Tne maestro at last told me
sighed the dear lady.
C5II OUl
Then she began strumming
her own accompaniment on the
piano, and started singing.
Every few moments she would
nausp. uncork n mnii hntti.
sniff it vigorously, then quickly,
recork it again.
WASHINGTON MERRY-GO-ROUND
Barden Defends Stand
On Education at Meeting
By DREW PEARSON
Washington The weather was hot outside, but not half as hot
as the atmosphere behind the closed cVoors of the house education
and labor committee when Chairman. John Lesinski of Michigan,
Catholic, and Rep. Graham Bardea of North Carolina, Presby
terian, squared off on the issue of federal aid to parochial schools.
Both
are
Democrats. Bar
den, whose aid
to - education
bill has been
under attack by
the Catholic
hierarchy, an
g r i 1 y assailed
Lesinsky for
calling him a
"bigot."
"I don't like
this long-range
Drew PeftrMB '
sniping," asserted the North Car
olinian as he sat at the commit
tee table within 18 inches of
Lesinski.
"I like to look a man in the
8
eye wnen i nave sometning to exhibition, King Farouk of
say about him, rather than give Egypt came down to the Cario
out a statement to the press. You waterfront for a look at it.
went out of your way to malign Impressed, he sent word to the
not only my integrity, brut my British textile king, George
character. And, you did not Arida, who now owns the ves
speak the truth," .Barden con- sel, to clear off all his guests,
tinued, looking at Lesinski. "I because the royal party wished
have never felt, nor have I ever to come Jboard.
said or done anything in the 15 Arida, a British diplomat in
years I have been in . congress Lebanon, gracefully complied,
that was discriminatory against Once the decks were cleared,
any religion." King Farouk strutted up the
Lesinski replied thart the press gangplank and, with the pom
had misquoted his criticism of posity of Hitler himself, gave
Bard,en- , the ship the royal once-over.
That, shot back the North The Egyptian monarch was
Carolinian, "is a most cowardly chiefly fascinated with Hitler's
retreat. You may try to shift binoculars, nnilt nf iiohf,i,h
the blame to the newspaper re-
porters, but I don't , accept that
explanation.
"I'm not much good in a name-
calling contest," Barden continu-
ed, referring to Cardinal Spell-
man's blast against him. "It
never accomplishes anything and
I wish this one had never started,
Any person should have the
right in free America to con-
scientiously oppose something, or
....,v..6,,u,,1,,.
ing his patriotism questioned by
those who do not agree with him.
God forbid that we should ever
lose that right as have the peo-
P T,?i C,h6 0VKk,',a-
Just then the bell rang sum-
momng house members to the
i l?Tu anTexPrefsion of re-
jicj., viiaiiniMii jjcsiiisk.! adjourn
ed the meeting. .
A Case or Names Make News
bununbssiunju,
LAW FIRMS
A congressman's name on a
law firm's letterhead means
money in the bank. For it
means that a lot of doors can be
wjtjncu in tt aaiuugiuii ana xancy
fees collected because of his in
fluence. Some legislators make
the most of it.
A few, on the other hand, do
not. For instance, when gangl
ing, cowlicked Rep. Andrew
Jacobs, freshman democrat from
Indiana, got a phone call from a
constitutent recently soliciting
his legal services, the congress
man replied:
When I wn oletnrf
gress, one of the first things I
did was to take a razor blade
and scratch mv name off the
door of my Indianapolis office. Although it isn't big enough
I have only one client now the to help all of them, many mil
eleventh congressional district lions of people will benefit
of Indiana." since it will spread over a
' period of years.
GAS COMPANIES WIN It has three aims:
ine gas and oil lobby scored
a great victory when millionaire
oenaior cob K.err's bill, ex-
emptmg from federal rate con-
trols natural gas .sold to pipe
line companies, was approved
by the senate interstate com
merce committee in a closed
door 7-5 vote.
This was not done, however,
before two senators Repub
lican Owen Brewster of Maine
and Democratic Warren Mag
nuson of Washington walked
out, protesting the steamroller
tactics of Chairman Ed Johnson
of Colorado and Ernest McFar
land of Arizona, both Demo
crats.. Senator "Gentle" Lyndon
Johnson of Texas teed off the
steamroller method. Lyndon
was elected on a pledge to vote
wheomPPhe reenlacedPPhi Zf
b?en slowlv vPIaH l t.8
been slowly veering over to Pap
py's point of view.
At the closed-door meeting,
Gentle Lyndon made a long
wnicn opens tne door to un
limited price boost on natural
gas retailed to consumers. Im
mediately thereafter Arizona's
McFarland demanded that the
committee vote right now."
"This is outrageous." protest
ed Brewster. "The bill has been
revised and we haven't had time
to study it."
'We ve delayed long enough,
persisted McFarland. "Every
member has made up his mind
how he will vote. Further studv
won't change the result. So
let s get to a vote."
When Ed Johnson sided with
T t
asserted: ' Then vou can count
me out."
"I feel the same wav." said
Magnuson of Washinetnn. Both
senators picked up their papers
and stalked out of the room.
The surprise move left their col
leagues in temporary dismay.
However, Ed Johnson, fear
ful that the row might leak to
the press, quickly took com-
mand. He decided that the two
prodigals be given two more
days. After which they would
be 'pollod" and their votes add-
.o ine uuicuu roucau.
Brewster and Magnuson,
therefore, eventually joined Sen
ators Charles Tobey (R.) of New
Hampshire, Francis Myers (D.)
of Pennsylvania and Estes Ke
Jauver (D.) of Tennessee in vot
ing "No." ' . .
The seven men who voted for
the big gas companies were
Johnson of Colorado, and John
son of Texas, McFarland, Brien
McMahon (D.) of Connecticut,
Clyde Reed (R.) of Kansas,
Homer Capehart (R.) of Indi
ana and John Bricker (R.) of
Ohio.
FAROTJK AND HITLER
Before Adolf Hitler's $1,
500,000 luxury yacht sailed for
New York, where it is now on
metal with special eyepads they
were once used by Hitler to
Baze mnnriil t tho v,,,,.,.
Kin FarnnV in.!torf tv,om
his eyes, and gave the water-
front a sweep.
"Marvelous!" he exclaimed,
They he calmly slung them
over his shoulders and continued
the tour A h
was about to leave, Farouk
showed no inclination to give
uu me Dinocuiars. As a Hint, a
ship's officer brought the bino-
cular caw anH ovnloinoH jn
cately that the binoculars fit
inside. But the king only grunt-
ed and picked "P the case- '
Then, without a word, he ex-
ercised his royal prerogative
and walked off with both.
Satan's Kingdom, Conn. (U.R) The temperature was 96 yes
terday, but it was hotter in Purgatory, another Connecticut
village, where the mercury rose to 100.
810,000 UNITS IN SIX
Here's Who Will Get
Low-Cost Housing Aid
(Editor's note: This is the first of a series on the new
housing program.)
By JAMES
Washington, July 6 CP) More
people live in slums or run-down
afford hotter.
Now the government will help
housing program.
1. To get rid of slums. No one
expects all the sums to be wiped
out by this program. But it
should make a dent in them.
2. Build houses the so-called
public housing where low-in-
come families, who have to pay
low rent, can get decent dwell
ings. 3. Help poor farmers put
needed repairs on their homes
or even build new ones.
That, is brief, is the program.
The big help from the gov
ernment will be in money. The
cost to the government:
1. Between $7 billion and $12
billion spread over 40 years in
grants. These will be outright
gifts of money-
2. Another $3 biUion or so in
1"' Since these will be paid
back, the government won't be
out this money.
Except in the case of hard-up
farmers, none of the money goes
directly to individuals, poor or
otherwise
It goes to cities and communi
ties. They'll have to hire private
contractors to clear the slums
and build (he public housing for
them.
When they can't foot the bill
themselves, they'll get money
help from the government.
They'll handle the slum clear-
ance and run the public hous-
lnS w"en it's built. The gov-
ernment's chief role is to see
that the plans make sense before
dishes out any money.
'
Tha mtKlin hmnnit 1.
810,000 family units in the next
six years. A unit can be a place
with one bedroom, or two or
three bedrooms, plus the other
usual rooms.
Since there are millions of
people in the slums, the 810.000
units can't take care of all of
them in six years.
The government won't let any
city use federal money to wipe
out a slum unless there's a low.
rent place for the slum-dwellers
to go.
For that reason, the public
nousing part of tne program
probably will be the first to
BY GUILD
Wizard of Odds
IN PROSPERITY, MORE BELTS
ARE SOLO IN SIZE 34 THAN
IN SIZE 32.67 10 TO 9
0DPS...IN DEPRESSION,
JUST THE OPPOSITE.
for you, RAY HICKOK,
losAnmes.)
r-f. INt . . ft Carp
MacKENZIE'S COLUMN
Far East May Become
Historic Armageddon
By DeWITT MacKENZIE
-P Forewr Mfalr Analyst)
Secretary of State Acheson told us last week that one of the con
clusions to be drawn from the recent Paris conference of the Big
Four foreign ministers is that Russia now is on the defensive in
what he graphically describes as "the struggle for the soul of
Europe."
That also is
the consensus
of observers.
To get the
fn oiunifinancp
of the situation,
however, I
think we must
view it on a
global basis. We
f.t
that bolshevism
ever since its
lncemion has
DeWltt Hsekenili
aimed at "world revolution" to
. ,!., n j
bring them under the direction
of Moscow
nnr nrl'w in ff,t .. in
' ur fblem. in effect, has to
be worked out on a military
basis. The conflict has most
YEARS
MARLOW
than 25,000,000 low-income
city or farm homes. They can't
some of them through a public
start. Slum-clearance can fol
low. This program clearly means
thp Dnvprnmpnt nlrnnulpH oc. tf
has n rpKrtnnihilitv in epo fhnf
American npnnlo oro Hiwontw
housed,
r r
Congress has approved the
program, and President Truman
shortly will sign it into law.
Tnen it can start.
Families allowed in the new
public housing must have in-
rmaa rnn ln in nMnaJ
quate new or old housing. And
The rents charged in the pub
lic housing must be at least 20
per cent less than the lowest
private rents in decent dwell
ings in the area.
The average rent probably
will be around $23, plus $7 for
utilities. Some families will pay
more, some less.
. , ... .
-Luis is not an new ana sua-
den: !ieTess s bef" lnvesti-
"" the problem intensively
for.thf Pas
Ana m congress passed
a housing act. Under it 193,000
u"'" "ve Deen provided
ln 268 localities in 37 states. I
OPEN FORUM
Milk Deliveries
To the Editor: During the war
sacrifices, some small compared
was making, and we were glad to
up with the inconvenience of
every-other-day milk deliveries,
The reasons given for discon-
tinuing the daily deliveries were
"gas and tire ration" and "man-
power shortages.
tver since things have been
returnin8 more less to nor-
mal we nave been anxiously
waiting the day when the old
service would be restored. Now
we read
in the paper (one of
ies) is . to discontinue
the dairies)
Sunday deliveries.
The
oiwpn e that ih. nnt . -i..-
their drivers Sundays off. That
is a very commendable idea.
My husband works most Sun-
days (for the railroad) and so
do I (in a hospital), so we
know how enjoyable it is to be
at home with one's family on
Sundays. However, with so
many men out of work the addi-
WOMEN, B 5
TO 3, PREFER GREEN
AUTOMOBILES. MEN
dO FOR BLACK.
IF YOU PICK UP
A HITCH
HIKER IN THE
U.S., OOPS ARE
ALMOST EVEN
YOU'RE A
LAW-BREAKER!
-ITS ILLEGAL
TO PICK THEM
UP IN 23
STATES.
aptly been described as a "cold
war" and not so cold either.
The battle of Europe was a
natural corollary of the world
war in that theatre.
We can go farther and say it
was a calculated corollary from
the Russian standpoint, because
Moscow's military policies in
many instances were aimed at
creating post-war conditions
which would favor the spread
of communism.
The disposition of Russian
tr0Ps w?s an important part of
the plan'
wh the ending of the world
wal, the Russlanss lmmediateiy
launched their drive for the
establishment of communism in
the various countries which the
Red troops occupied. They
made hay while the making was
good, and before the western
powers had time to figure out
just what was happening to
them.
The Russian offensive continu
ed until Moscow had a strong
grip on virtually all eastern
Europe and a goodly slice of 4
central Europe as well. Finally
the western allies got into action
and halted the Russian advance
by means of a politico-economic
offensive, coupled with such de
fensive measures as the creation
of the Atlantic pact.
So the Muscovites are indeed
on the defensive in Europe.
And that represents a great suc
cess for the democracies, but
our analysis can't stop there.
Coincident with the blocking
of the Red machine in Europe,
there has been an increase in
communist activities in the Far
East.
The revolution in that
theatre is swelling into a major
,
uuiuuwb which may even exceed
the European battle in intensity.
What does this meant? '
For one thing it means that
the Muscovites are good gener
als. When they come up against
an immovable front in one
theatre, they strike suddenly in
an area where the democracies
Z&S
time they defend and consolidate
the ground already won in the
first theatre.
It is true that continued pres
sure by the democracies in Eur
ope, coupled with growing dis
content among the Red satellites,
may Produce a further setback
f.or .t,he communists. I believe
" U1, ,. . . .
Meantime, however, a tre-
mendous Red offensive is boil-
ing up in the Orient, and on the
whole is encountering relatively
light resistance from the western
democracies. That may become
the major theatre of operations
the armageddon.
We should watch it.
on Sundays
we were called nn in ml.
to what the rest of the world
do it. One of these was putting
tion of a few of these men who
need jobs badly surelv a svstem
of rotating "days off' could b
worked out so all the men could
have some Sundays off. . . .
Milk is a perishable food. It
also is bulky and space-consum-
ln8 " 8 reingerator. Now,
wfi.e.n your de"Very day falls on
"day you will be forced to
buytm"k for three days. Our
i(:e box won ' conveniently hold
six or seven quarts, and besides,
w oi i e me idea of our
chl,dren drinking three-day old
'
MUk 15 something we have to
use- 80 we suppose our only re
curse win De to buy it at the k
store on Saturdays when it's oiu
turn for the three-day "holiday."
MRS. W. D. GALLOWAY
805 Leslie, Salem