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i 1 I ' ! .
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DIVIDENDS NOT SUBJECT TO TAX
Cellarmaster Retired Air Force General H. H. (Hap)
Arnold receives apron and keys as honorary cellarmaster of
the Valley of the Moon Vintage festival from Frank Schoon
maker (right), authority on wines and vintages. The festival
will be held in Sonoma, Calif., Sept. 24-25. (Acme Telephoto)
BUSINESS MIRROR
Distinction Between Big
Business and Abuse of Size
New York, Sept. 17 Wj Mass production is called the secret
of American industrial success. It often leads to bigness in busi
ness. And there have been times in our history when bigness led
to abuse.
But many business leaders insist that bigness of business must
not be confused with the abuse
of size, and they cite a supreme
court opinion making that dis
tinction, which the court calls
the "rule of reason" in applying
the anti-trust laws.
That seems to be an issue in
the latest anti-trust suit, filed
against the A Sc P food store
chain. The company says it is
being accused of bigness and
efficiency in its "low-cost, low
profit mass distribution". The
justice department charges abuse
of that bigness or monopolizing
"a substantial part of trade and
commerce X X X at all levels
of the food industry from farm
to table."
The government proposes to
split A & P two ways: First,
divorcing production, distribu
tion and retailing; second, divid
ing what's left into geographical
units. In both actions size is a
factor.
The Issues are for the court
to decide. But let's look at the
general question of bigness in
business. Are you harmed by it?
Are you benefitted by it?
The danger to the public is
when bigness leads to monopoly,
when bigness is used to wipe out
small competitors or to keep
new ones from starting. The
American public has always
chafed under the rule of monop
oly. The benefits of size which ob
servers cite are both general
and particular. They say that In
general, bigness, properly used.
makes possible our mass pro
duction, our low-cost industries,
our steadily improving living
standards and our growing stat
ure as an industrial and military
power.
In particular, they say that in
most cases big and little busi
nesses go hand in hand. Large
factories depend on little firms
for raw materials and parts. In
turn, little firms use products of
the big companies. Defenders of
bigness contend that if one goes
aown, so may we oiner.
They further say that only the
larger companies can afford to
do the research, the long-term
financing, and the patient and
often profitless developing of
new products. There have been!
instances look at plastics and
synthetics when these painfully j
nurtured new products have giv-1
en rise to small businesses which'
use the novelties as raw mater-.
ials for a multitude of consum
er goods.
Defenders of big business con
tend that not only are the lar
gcr campanies able through size
to effect cuts in production costs
leading to lower consumer pric
es, but also frequently can and
do pay higher wages than the
smaller firms. Thereby, they
say, the public gains both in
lower prices on mass-produced
goods and in greater purchas
ing power from higher paid
working forces.
Opponents of bigness note that
big corporations often turn in
profit statements with an im
pressive array of figures. But
others doubt whether big busi
ness necessarily makes better
comparative profits than the
small manufacturing firms. The;
little fellow may do better percentage-wise,
if his profits are
measured against the size of the'
investment.
Those who fear bigness in
business feel that size offers
temptation to abuse. Others say
that bigness is a good thing for
the contry because it is efficient.
They contend that if abuse ever
develops, it can be curbed under
existing laws.
More Economy
For Military
Washington, Sept. 17 (U.R)-Gen
Joseph T. McNarney, defense
'unity expediter," said today the
army, navy and air force will
have to get along with fewer
planes and automobiles even
for official riding.
The cutback in transportation
costs is part of the economy
drive to slash military spending
by upwards of $1,000,000,000 a
year.
The planes to be taken out of
operation are used mainly for
administrative flights (includ
ing junkets by congressmen and
high government officials), and
for proficiency flying by "arm
chair" pilots to qualify for flight
pay.
McNarney also has warned
the navy and air foice that they
are going to have to cut down
on the number of hours the
"desk" pilots fly. This will save
on gasoline and permit fewer
planes to take care of proficien
cy flying.
McNarney, it was learned, has
ordered the army, navy and air
force to make a $7,500,000 re
trenchment In recruiting costs.
The three services now are
spending at the rate- of $46,500,
000 a year for recruiting, exclu
sive of advertising.
McNarney ordered the army
and air force to reduce recruit
ing personnel by 1,046; the navy
by 142 and the marine corps by
72.
Brooke Army Medical center,
Fort Sam Houston. Texas, is
known as the largest military
medical installation in the world.
TopGI Life Insurance
Check to Be for $528
Washington, Sept. 17 W' The top dividend checks to be sent
to World War II veterans on their national service life insurance
will be for $528. Dividends will start going out in January.
Veterans Administrator Carl R. Gray Jr. has disclosed this in
releasing the formula to be used in distributing the $2,800,000,-
000 dividend among some 16,-
000,000 veterans and their de
pendents and heirs.
The dividend, to be paid be
fore next June 30. is not subject
to income tax. Veterans must
apply for it, and about three-
fourths of them have already
Gl's Must List
College Course
Certificates of eligibility is
sued to World War II veterans
planning to train under the GI
Bill from now on will include
(1) the name of the course a
veteran wants to take and (2)
the name of the approved school
at which he wishes to pursue the
course.
The new type certificate will
be good for only the listed
course in the specific school
named.
In the past, veterans were not
asked to list the course or school
on applications for GI Bill train
ing. Certificates of Eligibility,
therefore, could be used for
nearly any course in any insti
tution that had appropriate GI
Bill approval.
Public Law 266, passed Aug
ust 24 of this year, prohibits
veterans from taking GI Bill
courses for avocational or recre
ational purposes, or courses in
institutions not in existence for
at least one year. The new type
certificate with course and
school listed has become ne
cessary in order to screen appli
cations and to prevent veterans
from taking courses at govern
ment expense which have been
prohibited by law.
Veterans who have original
certificates issued prior to Sep
tember 1, 1948, should have
them exchanged for new ones
before starting course of train
ing. Otherwise certificates of el
igibility presently in the posses
sion of veterans are valid for en
tering training in approved on-
the - job establishments, and
schools other than those where
justification is requried.
Supplemental certificates of
eligibility issued before Sep
tember 12, 1949, to veterans de
siring to change courses or
schools may be used for en
rollment in current fall terms
only until November 1.
After November 1, and until
March 1, 1950, the supplemental
certificates no longer will be
valid with a single exception.
That exception is a supplement
al certificate obtained by a vet
eran for the purpose of chang
ing his school, but not his
course, without loss of credit.
After March 1, 1950, all out
standing supplemental Certifi
cates of Eligibility issued prior
to September 12, 1949 regard
less of the purpose for which
they were issued will be void.
William R. Hearst
Decorated by Pope
Castle Gandolfo, Italy, Sept.
17 (") Pope Pius XII today
granted a papal decoration to
William Randolph Hearst, U. S.
newspaper publisher.
The kind of decoration was
not disclosed.
The decoration was granted
upon the request' of Bishop A.
J. Willinger of Monterey-Fresno,
Cal., in recognition of Mr.
Hearst's contribution to the res
toration of the old mission
churches of California, along the
Pacific coast.
done so.
The formula. Gray said, is cal
culated on the basis of a divi
dend of 55 cents for each $1,000
of insurance, for each month the
policy was in force before its an
niversary date in 1948, for all
policyholders who were aged 40
or younger at the time the pol
icy was issued.
For older veterans, the divi
dend declines gradually until it
20 cents a month, for each
$1,000 of insurance, for veterans
55 and ovor when the policy
was issued.
The scale: age 41 at issue, 52
cents; 42, 49 cents: 43, 46 cents;
44, 43 cents; 45, 40 cents; 46, 37
cents; 47, 34 cents; 48, 31 cents;
49, 28 cents; 50. 25 cents; 51, 24
cents; 52, 23 cents; 53, 22 cents;
54, 21 cents.
For ofdinary commercial life
insurance, the typical monthly
premium for $1,000 of term in
surance at age 21 is $1.25, the
veterans administration said.
For national service life in
surance it is 65 cents. And the
man who took it out at 21 will
now get a 55-cent dividend.
Gray said the maximum pay
ment of $528 is based on a $10,
000 policy in force for 96
months, on a veteran 40 or less
when the policy was taken out.
Since the mortality rate for
persons 40 and under did not
vary greatly, a single dividend
rate will apply to that entire age
group, he said.
The dividend will be paid at
the same rate on both term and
converted policies. No payments
will be made for periods of
lapse.
The scale does not apply to in
surance on a permanent plan
which has been surrendered for
a reduced paid-up amount,"
Gray said.
"These cases will be handled
separately."
Swiss Clothing
Prices Are High
Capital Journal. Salem. Oregon, Saturday, Sept. 17, 1949 11
it to the native country was the
number of California cars in
evidence there. None were seen
from Oregon but several from
California were observed tnur-
Daiias Switzerland nas a ins the country,
prosperous air with plenty of j Brandli and two sons visited
food and clothing for Its citi-,m Switzerland two years ago
zens, Mrs. G. Brandli of Dallas
said after returning from a two- Linn CoUfltV Music
months visit there. She was ae- -.
companied by her daughter.lririTIS rOCe V-OUIT
Making Medicine, Charles
Eagle Plume, member of the
Blackfoot Indian tribe, who
will provide entertainment for
Salem Knife and Forkers at
the Marion the night of Sept.
22.
Indian Lore to
Be Unfolded
An evening of unusual enter
tainment is in store for members
of the Salem Knife and Fork
club when the group of 200 and
guests meet for the first time
this season the night of Sept. 22.
Charles Eagle Plume, inter
preter of Indian lore, will give
his unique lecture-dance exhi
bition in authentic and color
ful costume following the dinner
at the Marion hotel. Dr. Daniel
Schulze. newly elected president
of the club, will preside.
Eagle Plume, son of a French
Indian mother and a German
father, was reared in Montana
and graduated from the Univer
sity of Colorado. As an army
scout he served three years In
the Southwest Pacific.
Marian.
The trip took them to Berne,
capital city, where shops were
filled with goods, to Zermatt.
where they saw the formidable
Matterhorn, to Lugano in south
ern Switzerland with its warm
and sunny climate. They visited
Mrs. Brandli's mother and other
relatives.
Price of clothing in the coun
try is higher than in the United
States, although the stores of
fer a good selection. Transpor
tation, by rail, cable car and
buses operated by the Swiss pos
tal department was very good
and cheap, Mrs. Brandli states
The journey both ways to
Switzerland was made by air
plane, the return trip from Ge
neva by way of Paris, Shannon,
Ireland, and across the Atlantic
to Newfoundland. They had
some time to spend sightseeing
in New York and Mrs. Brandli
was impressed with changes in
the metropolis since she came to
this country from Switzerland
by way of New York in 1929.
At that time the Woolworth
building was the tallest in the
city.
A surprising thing on the vis-
Albany Appointment of a
receiver for Dudley's Music A
Appliance Center, 404 W. First
ave., Albany, and of the Har
mony Music store, Sweet Home,
is asked by Gaylord Engeman
in a petition filed in circuit
court here.
The petition is accompanied
by a complaint in which Enge
man asks a Judgment for $22,000
against
prietor
ments.
Dudley
of the
Anderson, pro-
two establish
Letterman General hospital,
San Francisco, Calif., recently
completed 50 years of service to
army and air force personnel.
CHILDREN
of pre-school age, may en
roll for class instruction in
music, drawing, expression.
FREDERICK WILSON
STUDIO
1531 Market
Ph. 2-4598
CANADIAN NATION
' Steamships to
KETCHIKAN
ALASKA
S.S. PRINCE GEORGE
Leaves every Monday
from Vancouver at
9 p.m. (Standard Time)
POINTS OF CALL:
Westview (Powell River)
Ocean Falls
Prince Rupert
Ketchikan, Alaska
For l.U Mails. ll " wrltM
M.lcolm J. Wooai, G.A.F.D.,
SulU XU. Jaaapli Vane. Bid-.,
Sealll 1. Waah.
Phona MAIn 4805
Or sa Your Own
Trawl Aaenl
When You
Think of
t? I
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S g? I In-uronc
H f. 2 I Think of
NEW YORK
LIFE
And when you think of New
York Life think of
Walt Wadhams
SPECIAL AGENT
578 Rose St
Salem. Oregon
Phone 27930
-II 7a liaa call at Wall
1
NO PASSPORT
NEEDED
Ft.
The Railway to Everywhere
In Canada
MONEY $$
FHA
m
4H Real Estate Loans
Farm or City
Personal and Auto Loans
State Finance Co.
1S3 S. High St. Lie S-216 M-2ZJ
for your
( FREE COPY I
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low
cost farm tin no
in it read how to save
with I lie Farm Income
Privilege, be oafe with the
Prepayment Keterve. Ask
tu for this new booklet
prepared by the leader in
the field. The Equitable
Life Assurance Societyj
Leo N. Childs
344 State St - Ph. 2-3663
Salem, Oregon
WHEREVER YOU DRIVE
To be sure of prompt claims service whether
at home or out-of-Stote, insure your car with
SALEM'S GENERAL OF AMERICA AGENCY.
Prompt claims service wherever you drive.
Customer Parking at Our New Location
'JUST A LITTLE OFF CENTER"
INSURANCE AGENCY
373 N. Church - Phone 3-9119
CHET
ANNIVERSARY SPECIAL
at
OLIVE'S DRESS SHOP
In appreciation of the support and kindness shown
us in our first year of business at 4 Corners, wa
dedicate the week of Sept. 19 thru 24 to Birthday
Specials.
State and Lancaster
Phone 2-0029
Musical Instrument Specials
Save 30 to 50 on Band Instruments and Supplies
NEW CLARINETS WITH CASE, Reg. $110.00, now 59.50
NEW TRUMPETS AND CORNETS, reg. $84.50, now 49.50
NEW TROMBONES AND CASES, reg. $125.00, now. 79.50
NEW BARITONE HORNS AND CASES, $225.00, '
how 125.00
NEW FRENCH HORNS AND CASES,
reg. $275.00, now 175.00
NEW FLUTES AND CASES, reg. $129.00, now 79.50
I'sed Instruments of All Kinds
Instruments Rented - $2.00 Per Month l'p
Expert Repairing
JAQUITH MUSIC CO.
Phone 3-4641 846 Cascade Drive
FOR OVER 50 YEARS
Oregon policyholders have been enjoying a substantial SAVINGS on
their fire insurance costs by insuring with
OREGON MUTUAL FIRE INSURANCE CO.
OF McMINNVILLE
It you too are interested in sound protection at a savings call at or
phone
Sceilars Foley & Rising Inc.
A Progressive Insurance Office
143 S. Liberty Street Phone 24143
tECTAL I ROLAPSE
Piles Hemorrhoid!
Quick Relief
No Hospitalization
No Loss of Time
Lasting Results
Dr. R. Reynolds Clinic
Naturo-RecUl Specialist
1144 Center St, Salem, Or.
If Your Are Looking for a Desk Space or Desire a
Change of Location
WE WILL GIVE YOU
FREE RENT
Including Fhone, Lights and Heat
for
answering phone and waiting on occasional customers. Pre
fer party whose business will require their presence all or
the greater part of the time between 9 a.m. and 5 p.m.
(Sundays excepted). All replies treated In strict confidence.
Box 414 Capital Journal
NOW AVAILABLE
SUPERPHOSPHATE
18 Per Cent
SULPHATE AMMONIA
Canadian
Special Prices for Immediate Delivery
D. A. White & Sons
265 State
Phone 2-2478
"Holly "Says:
P
i
Now that school has started and living seems to be
getting down to normal I am reminded that Christmas
is only 83 days away and that few days my friends
will pass only too quickly. I would suggest you come in
the store ond select the more important of your Christ
mas gifts, pay a deposit and let us put them away
until Christmas eve. If you desire you may pay a little
every once in a while ond you will have your Christ
mas bill all paid besides having chosen some real
worthwhile gifts that will live in the minds of the
recipients long after you have forgotten the cost. It
olways pays to give worthwhile gifts and by thot I
do not meon expensive gifts, I have just honest-to-goodness
quality jewelry ond I sell it at just ordinary
normal prices. Thot's the way I built this business
ond people seem to approve of my policy . . . "Excel
lent merchandise exceedingly $moll profit."
5
Sir
ft
s
9
'A
ft
ft
ft
ft
ft
ft
Jackson Jewelers
225 No. Liberty St.
Just Around the Corner from Sally's
SALEM'S
City Wide
The
Greatest
in All
the City's
History!
free Treasure Hunt
New Fall Window Displays
Automobile Show
Bands on the Streets
TREASURE HUNT
Treasure Hunt tickets will be
distributed by all participating
stores all day Friday, Saturday,
Monday and, Tuesday. Match
your ticket numbers with the
numbers on prizes in the store
windows Tuesday night!