Is Present Tight Money Policy Being Discriminatory Against One Segment?
KdltAr't not: Thifl Is the crond of
two dltpatchei on "Tight Money.
Br JOSEPH P. HAVERSTICK
National Aociation of
Horn Builders
Written For United Presi
The American people have
been listening for many months I
to a steady flow of reassurances I
from Washington that the so- '
called tight money" policy has
been enforced equitably and im
partially for their own best in
terest", to protect the economy
gainst inflation. It is now time
that they ask some searching
questions of the money man
agers who are enforcing that
policy.
How effective Is the tight
money policy? Whom is it pro
tecting? Is it being operated
under the traditional American
principle pf equal treatment for
11, or does it discriminate un
fairly against one segment of
our economy, against one group
of our people?"
If the aim of the federal gov
ernment's credit control pro
Cram is to slow down the de
mand for and use of credit, I
think It can fairly be said thaj
the program has failed.
Let's look at the record. In
the field of consumer credit, it is
an ironic fact that any Ameri
can family can take a European
vacation on credit but it has dif
ficulty financing a home in to
day's "tight" money market on
a mortgage guaranteed by the
United States government. '
HeaTiest Impact
The heaviest impact of the
government's tight money policy
has fallen upon the home buyer
and the home building industry,
because they are singularly de
pendent on credit and conse
quently are most vulnerable to
change in the credit supply. In
deed, it might justly be sal' that
they alcne are bearing the bur
dent of credit restraint, since 10
other major segment of t.
American economy shows an
signs of cutting back as a result
of tight credit.
It should be remembered that
much of the home building and
home buying in the Lnited
States today operates under fix
ed interest rates set by the U.S.
government. Today, these rates
are unattractive to lenders be
cause they offer a lower return
than can be obtained from cor
porate buyers, who enjoy special
tax privileges under our existing
laws.
Certainly, if "hard money" is
good for the country, home
builders as patriotic citizens
would be willing to go along.
But builders think it would be
more justifiable if the hard
money policy were the same for
all, big and small, steel com
panies, chemical producers and
all the rest of the businessmen
who make up our conjplex eco
nomy.
The fact is that the hard
money policy has not halted in
dustrial borrowing for plant and
equipment expansion. In 1954,
business spending for new plant
and equipment amounted to S27
billion; in 1955, it was S29 bil
lion, and in 1956 it has reached
S35 billion. This is a strange
form of credit reduction.
In 1955, American industry
financed about 80 per cent of its
expansion out of its own capital
reserves and went to the open
market in competition with
prospective home buyers for
only one dollar of every five
needed for expansion. But in
1956, one dollar in every three
spent by American industry for
51st Year
Price 10c
Medford
United Presi Full Leased Wire
ivf A T T
mJTRIBUNE
United Press Full Leased Wire
Second Section
MEDFORD, OREGON, FRIDAY, JANUARY 25, 1957
Pages 1-6
Aspirin or Two a Day Will Keep
Heart Attacks Away, Doctors Say
By DELOS SMITH
United Press Science Editor
New York (U.R) A medical
doctor who believes that an as
pirin or two a day will keep
heart attacks and "strokes"
away from soft -living, aging
men cites his long-range trials
in 8.0UU men as proof that there
is something in what he believes.
Before quoting Dr. Lawrence
L. Craven of Glendale, Calif.,
more extensively, the writer is
duty bound to inform the reader
that aspirin is not regarded by
medical science as an utterly
harmless drug and Dr. Craven's
views are, at least, controversial
However, they are interesting.
"Not a case of detectable cor
onary or cerebral thrombosis has
occurred among these 8,000 pa
tients who have faithfully ad
hered to this regimen," said Dr.
Craven.
"True, the patients who have
adopted aspirin prophylaxis are.
as a rule, in better than average
health and have not had pre
vious symptoms of thrombosis.
However, m3ny of these men are
somewhat obese, most of them
wealthy or moderately so, occu
pants of executive positions, and
frequenters of expensive eating
places the sort of men prone
to 'heart attacks'."
The Fundamentals
Dr. Craven's premise is that
the fundamental thing about a
heart attack or a "stroke" is the
formation of a clot (thrombosis)
and the blood must be clottable
within the arteries before an at
tack can happen. Aspirin is
known to lengthen, although not
by much, the clotting time of cir
culating blood.
Dr. Craven has been a general
practitioner for 40 years. He be
gan reporting his aspirin trials
seven years ago, but in obscure
medical journals. Last November
his report based upon 8.000 men
appeared in the Mississippi Val
ley Medical Journal. Now his re
port has been quoted in detail
by the national journal, "Clini
cal Medicine."
Coincidental with the promi
nence given Dr. Craven's ideas,
the international journal, "The
Lancet," was commenting on the
effects of aspirin given in very
large doses. One aspirin tablet
equals five grains. Two tablets
add up to a very small dose.
Even one or two will increase
the body's consumption of oxy
gen and its output of carbon
dioxide. ,
When a physician brings the
dosage up to, say, 120 grains a
day in order to combat rheu
matic heart disease, he has to
be very careful lest a greatly in
creased oxygen-carbon dioxide
rate should put a considerable
greater burden on the heart.
"The Lancet" thought it undesir
able "to prolong aspirin medica
tion in acute rheumatism after
the rheumatic process has sub
sided." :.
It was struck by scientific
findings that aspirin in large
doses lowers the level of choles
terol in the blood cholesterol is
tne fatty substance mainly re
sponsible for hardening of the
Milton Caniff Gets
Air Force Honor
Washington U.R) Cartoon
ist Milton Caniff, creater of
"Steve Canyon," was honored
by the Air Force Thursday for
"distinguished and unparalleled
service to his country" and the
air arm.
Air Secretary Donald A.
Quarles presented Caniff the Ex
ceptional Service Award in a
Penagon ceremony following a
salute to the cartoonist at Boil
ing Air Force base here.
The citation accompanying his
award said that Caniff h is made
himself known to millions
through his "historical accuracy
and absolute fidelity to detail."
new plant and equipment was
borrowed in the open market
and the spending was on a far
greater scale than in 1955.
Perhaps the most pointed
comment on the effectiveness of
the "tight money" policy is to be
found in official figures pre
pared by the Department of
Commerce and the Securities
and Exchange Commission. They
show that spending on new
plant and equipment for indus
trial expansion ran at an annual
rate of about S25 billion when
the Federal Reserve Board first
started its "restraint" on credit
in 19s5 and that it has moved
upward in an unbroken line
sance that time to a rate of near
ly $40 billion at the present
moment.
Not Asking Special Treatment
And this at a time when
American families are being told
that it is "inflationary" to bor
row money for new homes.
Neither home builders nor
home buyers are asking for
special treatment. But they are
convinced that the time has
come when there should be a
thorough going re-examination
of our monetary policies.
17 Builders Supply
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arteries and that, in the main,
is the cause of most heart at
tacks and "strokes."
But since it is not known
"whether lowering the serum
cholesterol level actually retards
the development of coronary dis
ease," there seems no justifica-j
tion for "imposing on patients
the side effects of large doses
of aspirin," The Lancet said.
rlj i if Ho S ' Plffy i i5
'
Ride of the Neighborhood I
It is a happy occasion indeed when a new
Cadillac car first appears in the driveway
o its proud and happy owner.
As you would expect, it signals the most
joyful of family celebrations and occa
sions the heartfelt congratulations of
friends and acquaintances.
But you might be surprised f o learn of
the widespread rejoicing which the arrival
of a new Cadillac frequently inspires.
In fact, the car invariably becomes a
source of genuine pride throughout the
entire neighborhood in which it resides.
The neighborhood understandably
delights in having a beautiful new Cadillac
to grace its streets . . . and takes great
pleasure in knowing that one of its own
has been able to realize the dream that
lives in the hearts of so many.
And we think you might also be sur
prised to learn that this happy event as
currently taking place in a great many
neighborhoods that have never before laid
claim to a Cadillac car.
For there is an ever-growing awareness
that Cadillac with all its incomparable
motoring virtues Is one of the soundest
and wisest purchases a motorist can make.
From a standpoint of purchase, mainten
ance, operation and resale value, the car
represents a truly extraordinary investment.
Surely, in view of this, you should con
sider a Cadillac this year.
We will be happy to put you behind the
wheel for a personal demonstration at any
time you find convenient.
And we will be delighted to tell you how
easily and economically you can make
your car . . . the pride of the neighborhood!
The Philharmonic: Society of Southern Oregon Presents:
THE SYMPHONY ORCHESTRA in CONCERT
SUNDAY, JANUARY 27, 1957 AT 3:00 P.M.
AT THE SENIOR HIGH SCHOOL AUDITORIUM
" f
: l
s ' s V
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