-everal important points. First,
it should be obvious that If a
public majority did not want
carry ■‘Hit service, trading
stamps and other competitive
conveniences, they would not
be offered. Second, in reality
by Everett E. Cutter
' competition hlds supermarket
too much for food ami retail profits down o less than 1 per
fJod merchants ire getting 1 cent.
rich, site contends, because she
Most important, the lady
is able to buy so much more does not mention the fact that
cheaply at the post commis , the commissary items she buys,
sary.
tat prices she quotes which are
Othe-s argue that she misses below wholesale, are heavily
subsidized by all taxpayers -
including the retail stores.
These points tire not made
to detract from a fringe bene
fit available to underpaid mil
itary personnel. Rather, they
illustrate some fallacies be
hind a train of th ught which
often leads people to believe
government can operate more
efficiently and sell goods more
cheaply than American busi
ness.
This type of question is the
basis for a current controversy
in Oregtn over a new law pas
sed by the 1969 legislature.
Until July 1, a state “cenfal
store” bought in bulk quan
tities and held goods for resale
to local government units. The
new* law, which still allows
local governments to band to
gether for mass purchasing ad
vantages, prohibits the state
frm merchandising goods
worth less than $500 per unit.
The bill was supported at
the legislature by both the
business and labor lobbies. It
was opposed by local govern
ment representatives, who
claimed goods could be pur
chased for less from the state
than from private businesses.
Many still claim this, and la
ment the meaure’s passage.
Such a price advantage
would appear to be the case,
say the bill’s proponents, If
one accepts state central store
catalg listings at face value.
But, like the post commissary,
at prices which did not include
the central store offered goods
the hidden costs to taxpayers—
realistic freight, storage, ser
vice, interest and other over
head items needed to present a
true competitive listing.
Such considerations must be
included in bid quotations of
private firms, they say, along
with another significant cost
of doing business: taxes paid
government. The central store
by private firms to support
concept, in ignoring these,
would have taxpayers unwit
tingly sponsoring direct com
petition with taxpaying busi
nesses.
This matter of government
competition in a private en
terprise econ:mic system real
ly is trie main question, in the
opinion of Ivan Congleton, ex
ecutive vice president f As
sociated Oregon Industries.
How far should it be allowed
to go, he asks, in disregarding
the principles that built the
nation and make it prosper to
day?
“Philosophy aside, it is a
fact that government, lacking
competitive drive and the pro
fit motive, simply cannot oper
ate more efficiently than pri
vate business.” He quotes fi
gures showing that private
firms solci twice as much worth
of go.ds to local governments
than did the state, they used
the same number of employees
to do it, and paid them better.
Businessmen have no o!>
jection to the state’s purchas
ing for itself, Congleton say«,
or for local governments to
combine for joint buying or
for allowing the state to let
bids for local government.
“But w’hen the state buys
and sells on speculation, that
goes beyond purchasing and
Salem Scene
Government Business
Hide« Taxpayer Costs
A military wife in Portland
has expressed an interesting
notion ¡.bout today’s high cost
of living.
The general public pays far
Let’s keep it
this way.
Please don’t litter.
Olympia Brewing Company
Tu mwater, Wash i ngton
McCULLOCH
SUPER 6-10A
The “QUIET ONE” THAT’S PRO POWERED!
into merchandising. This is
the proper function of merch
ants, and this is what the new
law recognizes.”
Not everyone is convinced
by these arguments, of course.
Many local government offic
ials complain that i urrent pur
chases are c sting taxpaye -s
more money.
“There probably will always
be those who maintain post
commissary prices reflect true
costs and wonder why super
markets cannot compete,” says
Congleton. "If this premise
were true, then America’s ec
onomy is all wr ng and we all
■hould have commissary privi
leges.”
GATES
Antonia Thomas
Phone 897-2605
Mr. and Mrs. Walter A.
Thomas, Sr., and Chris drove
tc Vancouver, B. C. over La
bor Day weekend. While there
they visited with Mr. and Mrs.
Phillip Howard of Vancouver
and Mr. and Mrs. Charles
Thomas and Charles, Jr., of
Stave Falls. On their return
trip they attended the North
west Federation s 29th annual
Festival of Gems held at the
King County Fairgrounds at
Enumclaw. Wn. They also vis
ited briefly at Mt. Ranier Na
tional Park. The weather was
perfect and they were able
to take many pictures.
Mr. and Mrs. Willard Gab
riel and family visited his bro
ther and family, Mr. and Mrs.
Robert Gabriel of Sweet Home
Sunday. His sister, Mrs. Dale
Swenson from Arcadia, Calif.,
was also visiting the Robert
Gabriels.
Saturday Mr. and Mrs. Wil
lard Gabriel went for a hose-
back trail ride on Skyline Trail
to Mt. Washington and into
Belknap crater.
Visiting the Fred Moore
home are her brother-in-law
and sister, Mr. and Mrs. C. W.
Wiseley from Port Isabelle,
Teaxs. On the weekend they
visited Bend and Peters m
Rock Gardens. The Wiseleys
will depart for Texas Thurs
day.
Mrs. Herbert Hampton won
second place ribbons on each
of her two entries in the for
eign cookies and pastries at the
State Fair. Her entries were
Chinese and Greek cokies.
Mrs. Harold Wilson and
house guest, Mrs. Aaron Wat
son, of Portland, and Mrs. Nel
lie Allen and Kay Colburn
spent Thursday at Breitenbush
Hot Springs.
MEHAMA
3—The Mill City Enterprise, Thursday, Sept 4, 1969
Mrs. John Teeters
James Phillips, son of Mr
ami Mis. Keith Phillips has
been attending summer school
at the University of Oregon
and will lie continuing to ob
tain his master's degree in edu
cation. James is a teacher in
the Roseburg schools and has
been granted a leave of ao-
sence and a special fellowship
ta finish his schooling. A lot of
his work is with underprivil-1
aged children. He is a 1952 i
graduate of Stay ton High.
Mr. and Mrs. Leonard Wai
len attended a family gather-|
ir.g Sunday, August 24 at the
home of their son-in-law ami
daughter. Mr. and Mrs. Allan
Choate and family in Stayton.
Mrs. Don Engdahl and sons
Lee, Max, Chris and Garth re
turned Tuesday from Seattle
where they spent several days
at the home of Mr. and Mrs.
Doug Verdery and Trean. Jane
Engdahl remained in Seattle
until Saturday.
Mr. and Mrs. Elmer Taylor,
were hosts at their home Sat
urday evening, August 23 for
the olanned pot luck supper
and meeting of their pinochle
club. Members present for the
supper and evening of cards
and visiting were Mr. and Mrs.
G. D. Myers, Mr. and Mrs. Joe
Bowes, Mr. and Mrs. Fred
Rienk", Mr and Mrs. Keith
Phillips, Mr. and Mrs. Giles
Wagner and the hosts.
Mr. and Mrs. Ron Julma
and three children have moved
to Beaverton after spending
several weeks here at the home
of her parents, Mr. and Mrs.
Oren Small, while they were
waiting for their new home to
be finished. Also visiting a
week recently at the Small
home were Mr. and Mrs. Paul
Coh net: of San Benito, Texas.
Mr. and Mrs. John Shafer
returned recently from a two
weeks' trip to British Colum
bia which included salmm
fishing at both Power River
and Campbell River. They
were accompanied by Mr. and
Mrs. Otto R. Kuehn and Mr.
and Mrs. James Barry. Both
couples are from Milwaukee.
Wise. The Kuehns and Barry’s
spent a couple of days in Me
hama with the Shafers after
they returned.
Mrs. M. V. Frame and Mrs.
E. J. Hughes returned from
the coast Wednesday after
noon, August 28 where they
spent several days in the com
pany of Mr. and Mrs. Orval
Greer of Leaburg.
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Ph. 897-2413 or 897-2754
Mill City, Oregon
WHERE YOU ARE TREATED LIKE A PERSON — NOT A NUMBER
BETTER HYING FROM TREES
Hantiam Memorial Hospital
(Stayton)
REYES—To Mr. and Mrs.
Leopoldo Reyes, Turner, a
girl, August 27, 1969.
ECKLUND - To Mr. and
Mrs. Roger K. Ecklund, Silver-
ton, a Ixjy. August 28, 1969.
HISER—To Mr. and Mrs
Gerrie R. Hiser, Salem, a boy.
August 29, 196!).
COLEMAN — To Mr. and
Mrs. Kenneth R. Coleman, Tur
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STEPH ERSON—To Mr. and
Mrs. Kenneth A. Stephenson,
Stayton, a boy, August 29, 1969.
Swetow
• As dependable as it is rugged-
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WO00
The McCulloch 6-1OA starts easier with DSP
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iffh\
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•Compered to >tandard cavity-typa muffler»
r^i
**cCutiOC* Highway 22 Mehama,
Oregon
Frank Lumber Company, Inc.
Young & Morgan Timber Co.
Mill City, Oregon
Mill City and Idanha, Oregon
Freres Veneer
Cedar Lumber Company, He.
Lyons, Oregon
Mill City, Oregon
Stout Creek Lumber Company
Stuckart Lumber Company
Mehama, Oregon
Idanha, Oregon
Boise Cascade Corp.
Parkett Logging Company
Mehama, Oregon
THE MILL CITY ENTERPRISE
Phone 897-2772
117 N. E. Wall Street
Mill City
U. S. Plywood-Champion Papers,
Idanha-Lebanon
P. O. Box 127
ic.
Independence, Oregon
The Mill City Enterprise
Printors-Publishers