PAGE TW O
SCANNING THE WEEK'S NEWS
num e
of Main Street and the World
Town
Johnston Urges Strong Price Laws;
ZXz
Price War Confined to Large Cities- - - - - - - - — ”u"
Im p o rta n t C ourt R u lin g
BUSINESS AS USUAL— For some time the home ‘ owner has been
uneasy over the nation’ s economical outlook. Headlines in the last few
days haven't helped his uneasiness any.
Economic Stabilizer Eric Johnston s charge that the nation is sitting
on an "economic tim e bom b" that may explode into runaway inflation
next fall, unless congress keeps a strong program on the law books, caused
considerable comment and worry. On top this the beef industry—all the
way from farm er to grocer—was in an uproar over his charge that the
beef industry is trying to ride roughshod over the American housewife uith
a cry of "damn the consumer and fu ll pockets ahead."
Noted for speaking his
mind, Johnston said that
"business as usual" has an
ominous ring to me at a time
when men are dying in bat
tle in Korea for a free way
of life. He added that the
consumer, the housewife, is
not going to be the forgotten
American if I can help it.
Shortly
before
making
these statements Johnston
proposed a new wage form u
la pegging pay ceiling to liv
ing costs and perm itting for
m illions of workers an im-
mmediate boost ranging up
Economic Stabiliser Johnston
to 12H per cent above the
. ."damn the consumer and full pockets ahead, levels of January. 1950.
The belief is becoming
more universal that the government must take a firmer- stand and con
gress must enact stricter laws governing prices and wages. The threat to
the nation today is as great from the inside as from the outside.
•
SWEET MUSIC— And while home towners tried to understand state
ments from Washington on the economic situation, the average small town
resident read of reports from New York. Oklahoma City, and Atlanta of
red-hot price cutting wars following the supreme court fa ir trade decision
w ith a feeling of awe and incredulity. To many it was like sweet music of
yesterday.
Tens of thousands of gleeful shoppers—men and women rushed
w ild ly through New York bargain basements in search for nationally ad
vertised goods that had been marked down, some of it as much as 40 per
cent. Small electrical appliances, summer-weight suits, cosmetic items,
best-selling novels, sheets, pillow cases, nylon hose and girdles were
marked down again and again. It was a consumer’ s paradise.
Home towners then took a quick look at their local newspapers in the
hope that Main Street merchants had some new bargains. Most of them,
however, were disappointed. The big city price-war had not yet reached
the home town level. And economists reported it was not likely to.
Most reta il organizations predicted the New York price-war would
level off quickly, with prices from 8 to 15 per cent below the form er fixed-
price levels.
. . . . »«.
Trade sources, also, pointed out that the price-war was not likely to
spread because most home town merchants signed fa ir trade contracts.
On top of this, consumer goods may become tighter as the summer pro
gresses and defense needs begin to eat into present backlogs.
J^ETAILERS and small business
firm s throughout the country
are v ita lly Interested in repercus
sions of the recent US. supreme
court decision which ruled that non
signers of state fa ir trade compacts
are not subject to provision of the
several state fa ir trade acts.
It is no secret, according to busi
ness executives, that the only ex
cuse for these fa ir trade acts was to
keep prices of merchandise up and
uniform. The supreme court deci
sion knocks this practice into a
cocked hat insofar as those mer
chants who are non-signers are
concerned.
As a m atter of fact, the office of
price stabilization in a recent ruling
perm itted merchants who were
caught selling a product below
prices set under state law during
the base period of the general freeze ONE-STOP NOR« YY TO NEW YORK EI.YER . . , Captain Charles F. Blair, Jr., who ended a one-stop
way-lo-New Y'ork
York iiigni.
iravciing oy
.nr way of the North Pole and Alaska, is greeted In New York
flight, traveling
by the
order, to raise their prices to those Norway-to-New
allowed, despite OPS ceiling prices. by his son. Christopher, one year old. and his wife. Janice, following his arrival without mishap at the
The supreme court's decision, how International airport. Captain Blair's solo flight over the North Pole was the first such flight to be
ever, killed this OPS ruling if the made in a single engine aircraft. The flyer Is an e nployee of an airline, lie claims that passenger serv
merchant is a non-signer and ice to Northern Europe is very possible using the route that he Just traversed.
wants to sell below the fixed m ini
mum.
Also, the decision may have far
reaching implications on future
I OPS orders. Although the ruhng
has not thus fa r been enforced, re
cent OPS regulations provide for
uniform pricing of all branded
items. OPS is now studying the
court ruling and its applicability to
its pricing formula, particulaily
with reference to branded products
Already some of the nation's larg
est stores have announced a deci
sion to slash prices, some as much * -
as 6 per cent, as a result of the su
preme court ruling.
• • •
HOW CLOSE TO WAR?_ The man on Main Street, who never knows
all the facts, received a shodc that sent a shiver of fear down his back as
the M acArthur hearing continued in Washington. The shock was de.ivered
by Adm. Forrest Sherman who told senators that the U.S. government so
feared a world war last December that its field commanders were or
dered by the high command to "increase their readiness" and the Medi
terranean fleet went to sea.
Sherman said the orders were issued after M acArthur told the joint
chiefs of staff that the U.N. should accept an armistice in Korea "on the
best terms available" and the arm y would have to quit Korea unless the
war could be carried against Red China.
Sherman’s testimony before the armed services and foreign relations
committees again impressed the average American with the fact this
nation barely escaped World War I I I in recent months. Many are wonder
ing how close to war we are today?
RURAL BANK DEPOSITS U P -R a ra l banks, largely farmer-owned
and reflecting farm er finances, have shown amazing increases in deposits
during the past 10 years, a recent survey of seven states revealed.
One bank, in an Illino is town of less than 400 population, increased its
bank deposits from $168,000 in 1940 to $3,480,000, more than 20 times as
much In the same 10 years, its population dropped from 500 to 359. Coun
try banks. generaUy, in the seven-state midwest survey area, showed de
posits rose from three to 20 times, many of them 10 times, in the 10-year
PCr The survey was conducted in Indiana, Illinois, Iowa. Nebraska. Wis-
cor.sin, Minnesota and Missouri. All of the towns had less than 600 popu-
lation.
PEACE RUMORS CONTINUE— Rumors of peace in
Korea con
tinued to circulate in many world capitals although they were denied by
high government officials. The move, if any is made, apparently w ill
come from the United Nations side.
Some reports indicate the United States might be w illing to halt the
fighting at the 38th parallel provided it was a “ re a l" settlement with as
surances of no fu rthe r Red aggression.
Observers in the fa r east, however, were skeptical that any peace
feelers w ill come from Peiping. They m ight come from Moscow Com
munist China m ight be thoroughly licked, but they could simply call its
“ volunteers" back behind the Yalus rive r boundary and sit and lose
little face.
SAME AS REFUSAL— The Russians now say they are w illing to
hold a foreign m inisters’ meeting if the ministers would discuss the
North Atlantic pact and U. S. bases in Europe. The Soviet note with
the big " i f " was sent to the U.S. after 3 weeks of meetings in Paris
by deputy foreign ministers of U. S., France, Britain and Russia.
According to western diplomats the Russian note amounts to the
same thing as refusal to attend a foreign m inisters’ meeting. The U.S
has told the Russians many times they would not discuss the North
Atlantic pact. The new Soviet line is that U.S. bases in Europe are
“ the essential cause of the worsening of relations between the U.S.S.R.
and the three powers."
•1 "» • t i
ll' ’" ' l l I » -
I
'. L i'B ilit ll '» » » I
S f e K s a is
Crochet Cloth
fast m oving file t crocheted tea
cloth th a t's ce rta in to please
A
every wom an who w ields a crochet
hook
Wide bunds of w hite ate
joined together and edged w ith
b rig h t green cotton.
• • •
I ' . i t t r t n K n v tlo p « N o 5313 c o n ta in » corn
n lr t e c t »«- h r tln t f |n » tr u c tlo n « u n d » tltu h I l
lu s t r a t io n (o r " M ile - » M in u te
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c o n ta in « d o w n » o f c r n c h e ttn » . k n it t in g ,
e m b r o id e r y d e » itfn » Send to d a y (o r votir
copy
k f w in q
C 1IH 1-1* N F F P I F W O R K
MH W e»l A t i m » » (.. C M c a g » 1. III.
F n c lo s e 20c In c o ln (o r » a c h p « t-
t v i n . A d d 3c (o r l» t C U » l M u ll l(
U e tire d .
P u tte r n
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C om prom ise D ra ft Law
i ’ n n tj
At long last a compromise ap
proval has been given to the new
d ra ft law. I t keeps selective service
on the statute books u ntil July 1. i
1955, and fixes the m inimum draft
age at I8V2 years. The compromise
also ends the deadlock on universal
m ilita ry training by laying a founda !
tion for installation of the training
after the end of the Korean enter
gency, but not, however, until the
congress has had a second long Icol.
at the program before putting any
UMT into effect.
Critical Industry
The agricultural industry has
been termed an essential or critical
industry, subject to deferment of
draftees as is any other c ritic a l in
dustry. Such deferment, however
is left to the judgment of the local
d ra ft boards, who must decide
among other things that the younR
farm er must be producing a sub
stantial quantity of agricultural pro
duce for m arket; that his services
on the farm cannot be replaced; or
that his removal would cause un
due hardship and would not be In
the best interest of the m ilita ry or
defense program.
. . .
Mt’ie e i
l ’ <*
K >» No.
£ it y
lia i»
K eep Posted on V alu e s
By R e a d in g th e
STUDENTS TAKE DEFERM ENT TESTS . . . Some of the more than 175,000 college xtudrnts who are
JhYdul.-d to take 'the new tests for deferment from the draft at more than a thousand centers
‘
United States are shown in this general view at Colombia University In New Y ork ( tty just prior to the
tests. The new examination will determine whether these students will be granted deferments from the draft
under the government's new program to postpone the Induction of college men who have especial talents or
who have made high scholastic marks In their chosen courses in the universities of the nation.
Ads
NO CONSTIPATION
FOR 25 YEARS
"M y husband introduced me to
ALL BRAN shortly after we were
married. I use it in my cooking ss
well ns for break
fast. T h e re su lt:
we’ re r e g u la r as
clockw ork!”
Mrs.
Antonina Grnzinno,
453 Garfield Ave.,
Jersey C ity, N. J.
One of many unso
licited letters from
ALL-HItAN users.
It you suffer from constipation duo
to lack o f dietary hulk, eat an
ounce (about ’Jj cup) of crispy
Kellogg’s ALL BRAN daily, drink
plenty of water. I f not SMiisfied
after 10 days, return empty l>ox
to Kellogg’s, Hattlo Greek, M ich.
<’ >•» twmni f yniia monky hack I
petj||on p jgeonholed
Like a young David out of the
west tackling the Goliaths of its in
dustry, California Eastern Airlines
came to Washington recently all set
to make a big splash in the big
pond. This non-scheduled freight
ca rrier had filed a petition with the
c iv il aeronautics board to establish
regularly scheduled passenger coach
service between California and the
east coast at a ta riff of something
like $100 under that of the regular
ly scheduled lines. It announced it
would fly newsmen from Washing
ton to the west coast and back to
show off its coach service, a per
formance which was canceled the
day before the scheduled take-off.
Its officials threw a big cocktail
party at one of Washington’s swank
hotels for newsmen and others,
among them senators and congress
men, the result of which has been
that the CEA petition before the
CAB has been pigeonholed and like
ly w ill rem ain so. The big airlines
objected.
A 4 d !«--.$ o r
HERE'S HOW
TO ENJOY
BAKING
LIVIN G DEAD . . . Bonny Coby, 2, appears to be stranded as she stands
alone on a deserted street in Utica, N. Y., during simulated atom bomb
attack. The city was described as devastated with casualties heavy in
the attack. Many residents failed to take cover and were described as
"living dead." Make-believe enemy planes roared over the city and
dropped tlie “ atom bomb” 13 minutes before the red alert was sounded
in Utica’s industrial heart.
z
CHANGES BILLING . . . Dawlath
Soliman, Cairo nightclub dancer,
drew protest from Egyptian consul
when she danced In Germany as
King Farouk's "favorite dancer.’’
She changed bill to read: "Dawlath
Soliman—she enthused the king."
Fair Hearing
Price-War Shoppers
f / ’r not likely to happen in the home towns. (See story aboie.)
BIGGEST C ATALO G EVER
Hundreds of items, ranging from
w ading pools to wire records are of
fered at knock-down prices.
* Oleotura
Notable by their absence from the
------ . —
>— —
current
catalog
are certain appli
ances that were featured a year
ago. The sales book at that time
contained refrigerators and wash
ing machines at special prices. This
year they aren't listed. Automobile
tires are also missing from this
year's catalog; • year ago they
were offered less than the regular
prices.
Did you think that c iv il defense
against possible atomic warfare is
important? Congress slashed the re-
quested appropriation of the civil
defense adm inistration from $403,-
000,000 to only $31,750,000. Said for-
m er Gov. M illa rd Caldwell of F lo ri
da, CDA adm inistrator: " I have
faith that in tim e—and I hope that
the tim e is not too late—the con
gress w ill recognize that an in
formed public is a fu ll co-partner
with the m ilita ry forces."
.
’ lo> *
*•**></of fc , , ' ’ •
—
? '* Oobb.*''*'.’;»« boi.
owd*' £>o„b,
rl Boki"0
a"b° b-Uny,r " ” h-
Appropriation Slashed
Sears, Roebuck Mails Largest Catalog
Home tow nerj and ru ra l fam ilies
who have for years received the
Sears, Roebuck catalog w ill soon
get the new edition. I t is the biggest
sale catalog the fir m has ever pub
lished, containing 404 pages. A year
ago, the corresponding sales book
contained 294 pages.
Sen. Richard B. Russell of
Georgia, D ixiecrat champion and
fa ir deal baiter on c iv il rights, has j
risen in stature since he became !
chairman of the join t senate armed I
services and foreign relations com
mittees’ investigating the MacAr- ,
thur ouster. He has been eminently )
fair, has played down sensational
ism, vetoed movie and television
shows in his committee, and has
done a real fact-finding job with
such searching interrogation of w it
nesses that he has won the respect
of even the most ardent MacArthur
supporters.
of„Oo
JOINS UNITED CEREBRAL PALSY TEAM • . . Joe Louis receives the
United Cerebral palsy home run baseball bank as he attrnds a Dodgers-
Braves game at Ebbets field. The baseball bank, symbol of the drive to
help more than 200,000 children suffering from cerebral palsy, was
presented to the former heavyweight boxing champ by Karl Van Meter
(center), executive director, United Cerebral Palsy, and Melvin Ritter,
chairman of the Junior division in Massachusetts.
MRS. BING HOME . . . Mrs. Bing
Crosby, formerly Dixie Lee of the
films, boards an airliner at La
Guardia Field, N. Y., for flight to
her California home after a vaca
tion In Europe. This Is one of the
rare times Mrs. Crosby has posed.
C L A B B E R G IR L
T H (
B A K IN G
P O W D I»
1 M 1 ß a h t* c e ,4 , o o u ilf
W IT H
A C T IO N