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About Herald and news. (Klamath Falls, Or.) 1942-current | View Entire Issue (Oct. 13, 1957)
HERALD AND NEWS, KLAMATH FALLS, OREGON SUNDAY, OCTOBER 13, 1957 here. When Will Infktien End? Everv month since August of iinS the cost of living in the njnited States has gone up. in the last decade, the govern- Inent's measure of how much it tosts to maintain a constant stan ird of living has gone up in (eight years and down in only two, ,1955 and 1H4. To find a third year when the index moved downward you must go back to 1939 back before World War II when the cost of living was only about one-third what it is- today. President Eisenhower recently called this relentless climb, only oo obvious on uie large chart Prices 1 1 nFolotvitut Vfars J casr tvar rear jvy i f i Av I World WtriT , ! j 125 6 ,i. I WAR I A too jr e - L' ; M i MrM 50- XSi- 251 tt'arofJ8J2 and in your daily shopping experi ence, "our major internal problem." Continuing inflation in time of peace and falling government ex penditures has caused some eco nomists to argue that the current nflation cannot be explained in so-called "classical" terms. They Lsay this inflation is something new and that the classical cures will mot work. This argument, however, is by no means universally ac cepted. In the debate now under way inside the government and put, here are three of the impor tant questions and some of the inswers: Is the current inflation basically Winerent from others in history? All parties agree that at least in duration, it not in makeup, the current inflation is out of the ordinary. Inflation has always oc curred during wars, yet at no lother time have prices continued to rise long after the economy returned to peacetime normality. Heavy government spending, easy money and demand outrunning supply are the traditional ele ments of inflation. At present there is a federal budget surplus, money nas Deen tight for months, there are no shortages, yet prices continue upward. What are the causes of the cur rent inflation? The answer depends on who's talking. Business leaders most frequently argue that wages are increasing faster than productivity. uovernment statistics snow aver age hourly factory earnings were 49 per cent higher in 1956 than they were in the 1947-49 period; output per man hour only 33.5 per cent higher. The rising wages caused increased overhead, man agement says, the increased over head forced higher prices, and, the higher prices are called inflation. To labor leaders, management profits are to blame. David Mc Donald claims that since 1945 "there have been 21 rounds of steel price increase. There have been nine rounds of wage in crease. The price increases have yielded the industry more than $3 in revenue for each Jl in wage increases." Economists, on the other hand point to these and other factors, most peculiar to the postwar de cade. They include the national commitment of both political par ties to full employment; the ten dency of wage hikes won by unions in highly organized and highly ef ficient industries to spread to non unionized and less efficient labor areas; the automatic nature of a "round" of price increases in big concentrated industries after a "round" of price increases in big concentrated industries after a round of wage increases (which at least bends the old principle that prices are fixed by the law of supply and demand); the high value placed by society today on labor "peace"; heavy in dustrial investment in expansion; the nation's booming population. What can be done about infla tion? The answer again depends on whom you ask. The "classical" economists feel certain the tradi tional restraints tight money and lower government spending will bring inflation under control, Many observers detect indications of deflation right now: there have been cancellations or postpone ments of some expansion plans, inventories are high in some areas, home building is lagging Dismissing these signs as only temporary, those who see the cur rent inflation a a new phenome non expect prices in the long run to continue upward. For this school of thought, the big problem is to see they don't climb too fast. John T. Dunlnn a HnrvnM University economist, savs he would be glad to settle for a ss tn 35 per cent price increase hetwpon now and 1975. Dunlop, who finds more inflationnrv than Afintinn. arv elements in mnrfpm AmArin society, maintains the size of the imure increase will in part de pend on how great a value is put on labor neare anrl full nmnfav- ment. The less value, he says, the more lntiation will be controlled. Dunlop points out this would mean strikes and lavoffs. and mnv uoll be a price the nation will be un willing to pay. aome hold out the hnna Hint recognizing inflation as a common enemy, labor and management will cooperate in holding the price line with mutual sacrifices. Wal ter Reilther anH thi Rier Ttn-iw auto makers already have ex- cnangea siaiements in this vein, with little favorable result. President Fisenhnwni- hac ctMoA on labor and management and the puouc 10 act responsibly; labor and management bv slnwincr trip wape-Drire snirnl. th nnhlin Kv not spending "recklessly and add ing iuei 10 mis name. No solution, even universally Long Narrow Room Offers No Problem How does one furnish a narrow room so that there is still room o walk and hold a conversation? Decorator Pat Harvev. secretary of the National Societv of Interior f'esigners says "a narrow room equires decorating ingenuity, but t can be made livable and comfort able as any other room if you'll Lust make the effort." Light flooring and light walls are Inecessary to the scheme, she says. ii wood paneling is used it should pe light pine paneling, not heavier woods. Ceilings must take to the "gm iook loo, and a little blue in a white nainted reilinp will lend pieight to your room, she says. raintings across the lone wall Ptiay help create depth. A large painting should be chosen if you d achieve that effect. A mirror on one of the long walls can help give the illusion of a wider room too. if it is the kind of room that lean take a mirror." Avoid heavy drapery materials pn a narrow room," she advises. particularly if the windows are at the narrow end of m mvn. Thpe ill offer a heavy effect, and give appearance of closing m the room even more. Deep colors such as red, green and blue should be avoided in dec orating the very narrow room, in favor of pastels or off-white, she says. Delicate patterns in wallpaper or fabrics may be used, but it is a good idea not to use dramatic pat terns in a small room, particular ly in upholstery or drapery mate rials. Small scale furniture adds width to the room. Take advantage of light dining room or living room pieces such as those popular in American, Danish and Swedish de signs. These may be integrated into a room with traditional furnishings for a handsome effect, particularly with Early American pieces. Pine dry sinks, small Welch cupboards, tuckaway tables may all add charm to a narrow room without overwhelming it. It's a good idea not to put the sofa under the window as this will only give you additional wall space to fill up, wnereas me winaow it self may serve to break up wall space. "Picture windows, says mim Harvey, are wonderful M km If jtBl yJ& l . CwLftfci is'?' - it l fe y I Vv It's growing r tupohiivf by tfi awiutt to run I Y ledtiol, trote ond local ftovcrnnwnls. Each minute now costs $216,666. Clock konds i sK show hourly cos It lor 1940-48 - ff Data Item Ton Foundation, Inc. f disliked government controls guaranteed to work. One of the few certainties is that within the next two years or so, H should be come universally agreed whether this inflation is of the historic is type or something new under the sun. Ii present fiscal policies da not halt inflation by that time, the U.S. economy is working on prin ciples different from the past. (hnsiimer Price InJe I I I rl I I Commodities au$etVz&f) as if- ; 1 ? 1 -- 5ni m U.S. City Awraae -Ul hem JHr- 49 "lOO TTT :t. I wm. I ., i, i t i . ' i 'iii .,i mi i .Tg iwon. m , i.iiin. t t.r t f-r 1913 1915 1920 192S )?3B 1935 1940 W --rr.-t90 WW Jbt. enchantment to the narrow room. The only trouble is that some peo ple acquire a picture window that does not give them a pretty out look. Make sure you nave a lovely view before you have a new pic ture window put in your living room or move into a nouse with a large window that just overlooks another house. It may be a good idea too, if the room is very tiny, to skip ex traneous furnishings such as coffee TOOK OVER The Romans began shipping olive oil to Spain more than 2,000 years ago. The Spaniards found it so useful for cooking, food and beauty purposes that they planted their own olive groves and, today, Spain is the world's largest producer of the oil. table or end table unless these arc absolutely necessary to the scheme of things. 9 1 OVERCOMING NARROWNESS. Light green rubber floor tiling and small icale furniture male this long narrow room inviting. &&&& BUSINESS FORMS Designed Especially to fit Your Needs! Snap-Out Forms Folders Letter-rleads Statements QUALITY PRINTING Since 7933 Guide Printing Co, 1205 Klamath Avenue Phone TU 4-5373
