A3616 Following the 1948 defection it was thought for some time that we from the Dixiecrat States would not be regarded as Democrats. Certainly another such defection will not be ignored. We are Democrats today by sufferance only. Let us consider very briefly what this would mean to Alabama. Just last week I was named chairman of the new Senate Committee on Small Busi- ness. This came to me Without solicitation and indeed without notice. I am a member of the Banking and Currency Committee, one of the most umportant and powerful com~ mittees in Congress. I am chairman of the Housing Subcommittee. Iam a high rank- ing member on the Public Works Commit- tee having jurisdiction over Federal-aid roads, rivers and harbors, flood control, and public works generally. Senator Hitt holds high rank in the Senate and on some of the most important com- mittees as a Democrat. The same is true of our House Members. If we were splinter party members—as - the Dixiecrats would have us be—we coulda not have these assignments. Let me make clear that I am not talking about the honor that may be ours indi- vidually to have these assignments. Com- mittee assignments mean work and the higher the rank the more work. It would be much easier for us from an individual stand-~ point to have minor assignments or like the left-winger Marcanronro—the only splinter party in Congress today—to have no legisla-~ tive committee assignment at all. But I know you do not want Alabama rep- resented that way. Alabama is entitled to the best representation possible. She is en- titled to be heard in Congress. She cannot hope to get the representation to which she is entitled through a splinter party such as the Dixiecrats would have us adopt. Patronage is not helpful to the individual Senator or Congressman from Alabama. I think every one of them would tell you 50. But it is a matter of responsibility. It is a matter of considerable concern to the people of Alabama to have somebody in Alabama and answerable to the people of Alabama to approve of appointments to many responsible positions. For instance, your postmaster in every community and your rural mail carrier. Do you want them named by your Congressman. or by someone in Washington? ‘Your collec- tor of internal revenue, your Federal judges, your United States marshal, district attorney, and all of those who administer the Federal courts and enforce Federal laws in Alabama— do you want them selected by someone in Washington or by your United States Senators? Senator Hinz and I, as Democrats, have the responsibility of naming these. If we should make a bad choice, we are answerable to you, the peaple of Alabama. Let us consider our Federal Judges and other officers of the Federal courts. When an appointment is to be made now Senator Hin and I as Democrats make the selection. Make us Dixiecrats and the selection will be made in Washington by the Attorney Gen- eral, who at the present time is Mr. Howard McGrath. Senator Hix and I are answerable to you. Mr. McGrath is in no way subject to your control or influence. Neither we nor you care for the patronage. We are concerned with the responsibility of making such appointments. I do not believe you want to throw away this local control— this local accountability. A majority of the House Members have spoken out strongly urging us to stay in the Democratic Party. Not a single one has spoken out in favor of the Dixiecrat proposal for a splinter party. The Democratic Party was the party of our fathers, Under it the South has done well. It is a national party covering all parts of the Nation, It is made up of many different groups with widely differing views. It is big enough for us all to fight out our differences on the inside. There is where we should work exerting effort to clean up the parts we do not like. We can get nowhere by threaten- ing. Some dream of a tremendous balance of power. It is merely a dream and not at all realistic. Look at the other splinter parties we have known. Never did one of them wield the balance of power either in Con- gress or in the electoral college. I opposed President Truman’s nomination in 1948. But I always said that our fight should be in the convention and inside the party. I still believe in this principle. May I say that I have no personal grudge in this fight. Many of my good friends differ with my views. They remain my friends. I cling to the hope that they will see the error of their ways, that before it 1s too late they will recognize for what it is the blind alley into which they would take the people of Alabama and that they may see the dis- service they threaten to do to Alabama. Let us preserve the two-party system. Let us not follow the will-of-the-wisp—that is all the Dixiecrat splinter party can be. Let us be Democrats or let us be Republicans. As for me I choose to be a Democrat. This plea to stay in the Democratic Party comes to you, my fellow Alabamians, from one who was born and reared among you, one who believes deeply in preserving States’ rights, one who is steeped in the traditions of the South handed down to me by my Confederate forebears, one who is dedicated to the cause of fighting for the traditions, the customs, the way of life of the South. It comes from one who is on the firing line and has been for 14 years. I know where this fight is to be won and by whom it is to be won. Do not take away from us the tools with which to do the job. Jobless Rise Seen in the Rail Strike EXTENSION OF REMARKS HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the Rrcorp an article entitled “Jobless Rise Seen in the Rail Strike,” published in the New York Times for May 14, 1950. There being no objection, the article was ordered to be printed in the Rrecorp, as follows: Josiess Risk SEEN IN THE Ram Starze—New Yorke Crenrrat To Lay Orr 10,000 MorE BY TOMORROW—-UNION AccUSES PENNSYLVANIA RaILROAD A sharp spurt in unemployment by tomor~ row as a result of the national railroad strike was anticipated yesterday as the walk-out passed its fourth day. Already some 200,000 persons have been made idle by the strike of 18,000 members of the Brotherhood of Locomotive Firemen and ‘Enginemen. With industry normally closed ‘down for the week end, there were few re~- ports of new lay-offs yesterday but many pre- dictions that the situation would grew worse tomorrow. The New York Central Railroad said 40,000 employees were not working yesterday and that this number would increase to 50,000 tomorrow if the strike continued. This would mean that almost one-half of the ‘Framingham, Mass., workers on Friday, said it planned to resume APPENDIX TO THE CONGRESSIONAL RECORD line’s total of 103,000 employees would be out of jobs, most of them in the strike-affected area west of Buffalo. In a move to curtail renewed movement of freight traffic by the Pennsylvania Raiuroad west of Harrisburg, Pa., the union organized picket lines at the road’s key division point in that city. The action might halt pas- senger trains as well. HARRISBURG TRAFFIC CUT Unaer the original strike call, traffic east of Harrisburg to Philadelphia and New York and south to Baltimore and Washington was not affected but was cut after the walk-out began. On Friday, however, the Pennsyl- vania sent 10 freight trains westward and was operating 21 yesterday as well as per~ forming switching service at a number of points. Yesterday brotherhood pickets appeared at the line’s main yards in Harrisburg used for dispatching train crews and at the big freight classification yards at nearby Enola. In ex. planation of the picketing, D. S. Herrick, a brotherhood representative, said: “The Pennsylvania Railroad management has violated the provisions of that statement (not to operate trains west or north of Har- risburg) leaving us no alternative but to establish picket lines in the Enola, Pa., and Harrisburg district.” A railroad spokesman in Philadelphia re~ ported the pickets had caused no changes yesterday in operations east and south of Harrisburg. Since the strike’s outset five daily trains have been moving over the main line to and from Philadelphia and three to and from Baltimore. INCREASED FREIGHT SEEN In New York, a railroad spokesman sald it was anticipated that freight service could be further increased today “with every effort being made to provide some service to indus- try and business along the Pennsylvania line to the extent possible under the circum- stances.” Normally the road operates 1,500 freights north and west of Harrisburg. The New York Central announced new service cuts in New York State, discontinuing four trains beginning tomorrow. These curtailments, for the strike duration, are in addition to earlier cuts made in schedules, A line spokesman said the pre- vious service cuts had reduced traffic on the newly affected trains, thus making suspen- sions necessary. Reports from up-State New York said 8,500 workers were idle yesterday as a result of the strike. Most of these were non-strik- ing railroad workers. The Boston & Albany Railroad, part of the struck New York Central system, laid off 850 employees in all departments, Harry D. Johnson, general manager, would not say how long the furloughs would last, but be attrib~ uted them to a sharp drop in passenger and freight traffic. The General Motors assembly plant at which laid off 1,400 production tomorrow. The Boston & Albany services the plant with raw materials from the Middle West. « At Washington’s Union Station the rail strike has actually raised employment. The Washington Terminal Co., which runs the depot, said it had furloughed 100 mainte- mance men, but had hired 200 extra dis- patchers to reroute additional mail coming Three hundred members of the striking brotherhood on the St. Louis division of the Southern Railway joined the walkout at 6 a.m, yesterday. The 475-mile division ex- tends from East St. Louis, Til., to Louisville, Ky., thence southeastward to the terminus at Danville, Ky. This walk-out affects six freight trains daily in and out of East St. Louis. The single daily passenger train was canceled when the general strike began.
APPENDIX TO THE CONGRESSIONAL RECORD Indian Bureau Budget Proposals EXTENSION OF REMARKS HON. HUGH BUTLER OF NEBRASKA IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. BUTLER. Mr. President, I ask unanimous consent to Lave printed in the Appendix of the Recorp a very in- formative letter relative to the Indian Bureau and its budget proposals for the Indians of California. The letter is ad- dressed to me under date of May 8, 1950, by Purl Willis, counselor, Mission In- dian Federation, San Diego, Calif, There being no objection, the letter was ordered to be printed in the Rrcorp, as follows: INDIAN BuREAU EuDGET FOR CALIFORNIA WASHINGTON, D. C., May 8, 1950. Hon. HueH BUTLER, United States Senate. Dear SENATOR BuTuLER: This statement is presented in the belief that it will help to clarify and justify the testimony of a num- ber of Indian delegates from southern Cali- fornia who appeared before the Subcom- mittee on Appropriations considering items affecting California Indians, on February 27, 1950, and urged the complete elimination of the proposed Bureau budget for the Cali- fornia Indian Agency for the next fiscal year starting July 1, 1950. THE GREATEST HANDICAP TO INDIANS IS ENFORCED WARDSHIP It is this writer’s belief gained over a score of years intimate acquaintance with Indians and their problems, that the paramount is- sue confronting California Indians is this nightmare of wardship. We all admit that no people can advance and grow strong while under the handicap of perpetual wardship. California Indians became citizens under the terms of the treaty made with Mexico in 1848, and, although they were designated as “nations” in the treaties ordered to be made by the United States Senate in 1850 (but which were never ratified), the Indian Bu- reau arbitrarily took charge of all California Indians along with their ancestral lands on the basis that they were wards, meaning an incompetent people. We can find little at- tempt by the Bureau to aid and train Cali- fornia Indians in assuming the responsibili- ties of citizens during the past 100 years. The pitiful condition of most California In- dians today is wholly the fault of the Fed- eral Indian Bureau, and not because of lack of natural ability on the part of our Indians. More than three-fourths of the enrolled California Indians are not under the direct influence of the Indian Bureau; yes, more than 15,000 California Indians live outside of the so-called Indian reservations. These Indiams have long ago taken on the respon- sibilities of individual citizens. They have met the tests of citizenship responsibility and fully justify the testimony given by the Indian delegates who urged the complete elimination of the whole of the Indian 'Bu- reau budget for the State agency for the coming year. The verdict of every investi- gating committee of Congress has been the same—the universally poor condition found among Indians (ward Indians) has been charged to the manner in which the Indian Bureau has been handling this problem, Drastic changes have been ordered by Con- gress, but somehow the fundamental poli- cles of the old Indian Bureau have not changed. Congress has been most tolerant and generous with the Bureau. If an ac- curate record be made showing the num- ber of Indians in the Nation who should be classed as in need of Government super-= vision today, it would show, in our belief, that there are less than 200,000 who should be dealt with as wards. From all sides of this controversy, one hears the charge that the Indian Bureau is concerned first with its own plan to perpetuate itself. It has been the same under all administrations. All America has an interest in this In- dian problem. See the Nation-wide inter- est displayed within the last few years con< cerning the great Navajo Indians. For in- stance in southern California, right among the some 30 small bands of Mission In- dians, where the witnesses who testified be~ fore committees recently live, a score or more trucks gathered donations of food, clothing and medicine, and funds and rushed them to the Navajo Indians, while the majority of the Mission Indians who are known as being in very great need gets little attention. THE JOHNSON-O’MALLEY ACT OF 1934 As a result of the Nation-wide investiga- tion by Congress about 1930, organized groups of friends of Indians demanded a new program toward Indians, Prominent leaders among women’s clubs, welfare groups composed of leading educators in coopera-~ tion with welfare officials from several of the States, held many conferences and finally a plan was announced which its pro- ponents acclaimed as the solution to the Indian problem. . The basic idea of this new plan was to have the States take over the principal serv- ices or aids needed by Indians. These serv- ices were education, welfare and medical attention. It was agreed that these funda- mental needs were common to all Indians in all the States where Indians live. It was quickly appreciated by Government officials, and by State and county welfare officials that the Indian problem could now be re- duced to a common-sense basis. Like in all vexing questions which go on and on without a solution, when approached on a sound basis, an answer is found. The policy and theory of the Indian Bureau across the years was to keep its control of Indian life, and it was obvious that in these three fields—Indian education, welfare, and hos- pitalization—the whole Indian life could be molded. Therefore, it was reasoned by these new friends, if these services could be taken over by the States, there would be few handicaps left; all Indians would soon be absorbed into the general population. Here follows the Johnson-O"Malley Act: “(Public, No. 167, 73d Cong., S. 2571) “An act authorizing the Secretary of the In- terior to arrange with States or Territories for the education, medical attention, relief of distress, and social welfare of Indians, and for other purposes. “Be it enacted, etc., That the Secretary of the Interior is hereby authorized, in his dis- cretion, to enter into a contract or contracts with any State or Territory having legai authority so to do, for the education, medical attention, agricultural assistance, and sociai welfare, including relief of distress, of In- dians in such State or Territory, through the qualified agencies of such State or Ter~ ritory, and to expend under such contract or contracts moneys appropriated by Congress fo: the education, medical attention, agricul- tural assistance, and social welfare, including relief of distress, of Indians in such State. “Src. 2. That the Secretary of the Interior, in making any contract herein authorized with any State or Territory, may permit such State or Territory to utilize, for the purpose ‘of this act, existing school buildings, hosp1- tals, and other facilities, and all equipment therein or appertaining thereto, including livestock and other personal property owned by the Government, under such terms and conditions as may be agreed upon for their use and maintenance, A3617 “Src. 3. That the Secretary of the Interior is hereby authorized to perform any and all acts and to make such rules and regulations, including minimum standards of service, as may be necessary and proper for the p'irpose of carrying the provisions of this act into effect: Provided, That such minimum stand- ards of service are not less than the highest maintained by the States or Territories with which said contract or contracts, as herein provided, are executed. “Src. 4. That the Secretary of the Interior shall report annually to the Congress any contract or contracts made under the pro- visions of this act, and the moneys expended thereunder. “Sec. 5. That the provisions of this act shall not apply to the State of Oklahoma. “Approved, April 16, 1934 (48 Stat. 596) .” THE INDIAN BUREAU THEORY OF THE INDIAN PROBLEM IS WRONG It has now been more than 100 years since Congress turned over to this Federal agency the responsibility of educating and training Indians to fit them for citizenship. Today the Indian Bureau demands that it be given another 5, 10, or 25 years or even longer, before it is ready to release its auto- cratic control over Indians and their prop- erty. The Bureau calls upon Congress for larger budgets as it announces new regional district offices staffed with old employees who have been promoted—but the same old phi- losophy of never allowing the Indian a chance to help himself is an integral part of its every program. Most all students of Indian life today, just as they did back in 1984 when the Johnson= O'Malley Act was approved by Congress, agree that the obligation of the Nation to- ward its Indian citizens is to extend them equal opportunity with the predominating white race. In our opinion, one of the most constructive steps Congress has ever taken toward solving the Indian problem was its enactment of the Johnson-O’Malley law. All agreed at the time that henceforth the states would assume the full responsibility of extending equality to Indians in the basic fields of education, welfare, and medical at- tention. Indian Commissioner John Collier, who was one of the leading proponents of this new plan, completely failed to give the law a fair chance. In California, hke his program in certain other States, Collier refused to carry out the full intent of the act; he only made a contract there for the State to take over Indian education. The Johnson-O’Malley Act was agreed upon by its sponsors with California in mind, as the three main services or agencies in the fields of education, welfare, and medical service in the State were extolled as of the highest in the Nation. This writer, along with numerous Indian leaders, urged Mr. Collier to make a contract with California for all three of the main services provided in the act. Collier’s answer to us was that he also felt this would be best, but that he “did not run the Bureau, although he was the commissioner.” We felt that then as now, the staff of intellectuals of the Bureau, actually set the policy of the Bureau. We can clearly see today that if the Sscretary of the Interior would have complied with the real intent of the Johnson-O’Malley Act and turnec. over to the State of California the services intended, there would be little left to the California Indian problem. Al- though the Bureau had a contract made with California for Indian education only, in 1935, the Bureau today is to all intents and purposes in actual control of Indian educa- tion. It has changed the original plan, and has set up its regional and state staff, and directing how the fund cf some $824,560 should be spent. We cannot see any reason why the Indian Bureau should be allowed to have anything to do with the education of Indian children in California. California ‘public schools are free—there can be no
A3618 extra charges required of one group of Citi- zens which are not demanded from others. For instance, an item of some $800,000 was included in the Bureau budget by the Sac- ramento Indian Agency intended to be used by the Bureau in constructing a public school for the Hoopa Indian community. There are some 800 enrolled Indians in the Hoopa pand; they have valuable lands, with a good stand of timber and other assets. White children attend the public schools at Hoopa, though the Indians are in the majority. The school buildings are old and in great need of repair or replacement. They were formerly an old Army barracks. It is the first duty of the local district and the State school authorities to furnish proper school facilities. I am very sure that the Hoopa Indians do not want the Indian Bureau to have anything to do with bunlding a new school plant, or in any manner controlling their affairs. These Indian citizens are among the most able Indians of the State and for years have been looked upon as being fully capable of assuming all the duties of other citizens. In 1947, Acting Commissioner Zimmerman, testifying under oath, named the Hoopa Indians as one of the groups which should then be released from all forms of wardship. tf Congress desires to assist the Hoopa In-~ dians in this school-building program, we submit that it would seem to be proper to make the fund available to the State, as the Johnson-O’Malley Act provides, and not give it to the Bureau. THE WHEELER-HOWARD ACT SET INDIANS BACK 50 YEARS We felt that in 1934, when the Indian Bureau upper staff decided to not give its full support to the Johnson-O'Malley Act in Cali- fornia and certain other States, it would bring out its own plan. The Johnson- O'Malley Act if enforced, would naturally and surely break up the old Indian Bureau policy. Early in March 1934, the Colliers ‘Woehlke members of the old American In- dian Defense Association, now in control, brought forth their own version of direct- ing Indian life. It lald before the Congress its 50-page Wheeler-Howard bill, which after several weeks of intensive hearings was re- duced to its present form of some 10 pages. Under it Indians were to set up laws and regulations apart from the other citizenry. It was an experiment which many officials charge follows the communistic theory. Of course, many of the leading groups of Indians voted the bill down: Notably the Navajos, the Hoopas, and the Mission Indians. As stated above, practically every, congres- sional committee over the years has con- demned the Indian Bureau manner of han- dling the Indian problems. The tangled and confused mess in all Indian problems—wel- fare, school, health, and inheritance—is the result of the Bureau policy—its whole theo- ry has been to perpetuate itself. It is a sad reflection upon the Congress, for Congress should be the policy-making authority. The more than a score of Indian communities or reservations mostly in the remote areas of southern California, present a case of abandonment. The Bureau has been in com- plete charge of these people. With scores of Federal housing projects being thrown on the surplus market, it would have been a com- paratively easy matter to have made a few hundred of these houses available to needy Indians. Likewise surplus trucks, machinery, tools, etc. would have been transferred to these people if the Bureau would have heeded the appeal of Indians. SUMMARY OF THE CALIFORNIA INDIAN PROBLEM California Indians should have long ago been released from all Federal wardship, fur- ther delay will only complicate and confuse the program. All investigating committees have recommended that California Indians be taken from the enforced wardship status. California Indians are taxpayers, citizens, and voters. Only about 5,000 of the 20,000 Cali- fornia Indians live on restricted lands——the other 15,000 have always lived as individual responsible citizens, owning their own homes and paying all the taxes imposed on other persons. The Indian Bureau and not the Calfornia Indians would suffer if Congress stands by the decision of the House subcom- mittee to not approve any funds for the Bureau for the coming year. Under State welfare laws all needs for aid, hospitalization, etc. are made available to Indians on the same basis as to other citizens. California Indians have sustained irreparable losses to the Federal Government and to the State; once they were potentially among the wealth- jest in the Nation, and today under the status of Bureau wards, most of them face the direst of poverty. The greatest blessing any people can have is the right to live on equality with his neighbor, and, this writer is of the firm opin- ion, that all California Indians deserve to pe released from the shackles of wardship. They will quickly take their places as re- sponsible citizens. All other obstacles will soon be eliminated if they could now gain their freedom from this enforced un-Ameri- can status of wards. Respectfully submitted. Puri WILLIS, Counselor, Mission Indian Federation. Strike Over Diesels EXTENSION OF REMARKS HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the REcorp an article entitled “Strike Over Diesels,” published in the New York Times of May 14, 1950. There being no objection, the article was ordered to be printed in the Rrcorp, as follows: STRIKE Over DIksrLs The first Diesel (oil-burning) locomotives on an American railroad went into service on the Chicago, Burlington & Quincy in 19384, Since then the economical Diesel has been rapidly replacing the steam (coal-burning) locomotive. Diesels already account for about 28 percent of all locomotives in service, Of the 4,700 locomotives built since the war, 4,300 are Diesel, The advent of the Diesels has long caused friction between railroad management and labor—particularly the Brotherhood of Lo- comotive Firemen and Enginemen, most of whose 110,000 members are firemen. The principal point of contention has been the manning of large engines powered by two or more Diesel units. The brotherhood con- tends that these engines need two firemen— one to service the Diesel units, the other to stay in the cab with the engineer in case he should faint or be otherwise incapacitated. The brotherhood’s fear of technological unemployment plays a large part in the dis- pute; one large Diesel often is used on hauls which previously required two or more steam engines—and two or more firemen. More- over, the brotherhood complained that the roads were giving to other employees the servicing work that could be given to fremen. COMPANY POSITION Management argued that even one fireman had little to do but help the engineer watch APPENDIX TO THE CONGRESSIONAL RECORD dials and track signals, since Diesels need attention only after thousands of miles. Two firemen, the railroads said, would be pure “featherbedding’—payment for work not done. The brotherhood pressed its demand in 1948 and again in 1947. The dispute went through the procedures of the law governing railroad labor relations—the Railway Labor Act of 1926. The procedures are, first, media- tion by a National Mediation Board, then recommendations for a settlement by a Presi- dential fact-finding board, with no require- ments for either side to accept the recom- mendations. Last September, a Presidential board rejected the demand for an extra fire- man. It said the demand was “devoid of merit.” The brotherhood repudiated this finding. In Chicago efforts to mediate the dispute went on without results. FIFTH ROAD STRUCK Last week the Chicago talks broke down. At 6 a. m. Wednesday 18,000 firemen struck, For tactical reasons the strike was directed against only four major roads—the Southern, the Santa Fe (Chicago to the west coast), and the New York Central and Pennsylvania lines west of the Appalachians. These lines handle two-fifths of the Nation’s pacsenser traffic and one-fourth of the freithi ‘The strike quickly cut their traffic to a trickle and disrupted connecting lines. Freight shipments were stalled, particularly in the heavily industrialized Midwest. Predictions were that as a result hundreds of thousands of industrial workers would soon be laid off. Air, truck, and bus lines did a booming busi- ness. Yesterday the strike hit a fifth road— the Union Pacific—because it uses some Santa Fe trackage. The firemen’s strike tactics seemed de- signed to meet a special legal situation con- fronting railroad labor. The situation is this: The Taft-Hartley Act, with its provi- sion for 80-day injunctions against national emergency strikes, does not apply to railroad labor. The Railway Labor Act hag no in- Junction provisions. But 2 years ago in a dispute involving the firemen and two other rail brotherhoods, a Federal court ruled that the Government could enjoin a Nation-wide rail strike under its general powers, regard- less of any statute. No strike, the court said, could be permitted to disintegrate so- ciety itself. The Supreme Court later re- jected an appeal by the brotherhoods. In effect, this meant that untons that operate trains could not stage a Nation-wide strike. As a result the flremen’s strategy apparently is to strike piecemeal, hitting various seg- ments of the industry in turn, Address by Bernard M. Baruch at the Thirtieth Anniversary of School of Busi- ness and Civic Administration, College of the City of New York EXTENSION OF REMARKS oF HON. EDWIN C. JOHNSON OF COLORADO IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. JOHNSON of Colorado. Mr. President, on last Thursday, May 11, 1950, America’s park-bench philosopher, the Honorable Bernard M. Baruch, spoke words of wisdom to the students of his old alma mater, the college of the city of New York. His treatment of the ‘dangers of present-day economic trends in the United States should be brought
APPENDIX TO THE CONGRESSIONAL RECORD to the attention of all Members of Con- gress; therefore, on my own account and on kehalf of the Senator from South Carolina [Mr. Jomnston], I ask unani- mous consent to insert his very wise speech in the Appendix of the Rrcorp. Mr. THOMAS of Utah. Mr. President, anything which Bernard Baruch writes or says is as good reading for the Ameri- can people as are Adam Smith and Samuel Smiles, because Bernard Baruch understands the meaning of America and the worth of American institutions in the development of a vigorous, free citizenry. But since I am one generation later out of college and since my experi- ence with universities is one generation earlicr than the present group of stu- dents to whom Mr. Baruch is speaking I cannot refrain from saying the follow- ing: The wealth of natious, self-help, and thrift have meaning only when money is stable and good, bank deposits are cer- tain and sure. What is the use of teach- ing thrift if the place where one puts his profits is unsafe? What is the use of re- lying on self-help when one cannot do anything for himself because he either has to inherit wealth or belong to the group that controls it. The men and women who graduate from the universi- ties today have some hope of future suc- cess, and they can save their earnings without fear of their being lost. That was not the case when I left my uni- versity position. The boys and girls I helped to graduate moved into a sphere of uncertain economy, an atmosphere of no faith in banks, and an almost jobless future. Government still has much to do for its citizens. Mr. Baruch might have gone further and said what every graduate of any uni- versity knows that anyone who would like to see the downfall of the American Government is not only a traitor to his neighbors but he is a traitor to all civi- lization and to mankind because the world’s hope today rests upon faith that American stability, American wealth, and the American dollar will see them through. So, Mr. President, because of the uni- versal interest which the address Mr. Baruch delivered at the thirtieth anni- versary of the founding of the School of Business and Civic Administration, Col- lege of the City of New York, May 11, 1950, will have, I join in the request of the Senator from Colorado [Mr. JoHn- son], that it be inserted in the Appendix of the RECORD. - There being no objection, the address was ordered to be printed i: the REcorp, as follows: It is an honor to be here today. It recalls happy memories. Sixty-five years ago I was a student in the old City College building lo- cated here. Every morning we filed into assembly. President Webb read from the Bible. A soph- omore climbed the rostrum to deliver a dec- lamation; then a junior and a senior an ora- tion. When my turn came, how my knees trembled and my heart pounded, as they do now. Of all my teachers, the one who influenced me most was Professor Newcomb. He was never strict about requiring attexition to his lectures. Students who preferred to play chess could sit in the back rows and pass the chess boards across their desks. Profes- sor Newcomb wouldn’t bother them. The students interested in what he had to say sat up front. That was where I always sat. It may strike you as quaint, even old- fashioned, that Professor Newcomb taught political economy, logic, ethics, philosophy, and psychology—all in one course. Today these subjects would.be fragmented among Several professors. Such specialization is not necessarily a mark of progress. Too many ed- ucators seem to have forgotten that you can- not teach good economics, good politics, good ethics, or good logic unless taught together as parts of one whole. With overspecialization has come a ten- dency to mistake information for education, to turn out quiz experts, who are crammed full of useful detail but who have not been trained how to think. Nor is this defect confined to our educa- tional institutions. Washington today is a dismaying example of Dryden’s observation about those “who think too little and talk too much.” For 5 years we have been engaged in a mighty struggle for peace and survival— the cold war. Yet nowhere are all the tangled strands of that struggle brought together in one place to be woven into a unified global fabric. We continue to stagger from crisis to crisis, with the initiative left to the enemy. We remain too obsessed with today’s details to think through the bold strategy so vital for tomorrow. What is lacking is not so-called informa- tion. There has never been so much news, so many statistics, so many alleged real in- side stories. Yet the public has never been more confused. To print all the facts collected by our great communications agencies would exhaust our paper supply. Of what avail is a forest of facts if we have lost the art of sitting on a log and thinking the facts through? We ap- pear to have Icst our ability to distinguish between the true and the false, the good and the evil. The object of all fact gathering is to fur- nish material for thought and reasoning to arrive at sound judgments which can lead to clear and constructive decision and action. That ours is a well-intended confusion is significant. It indicates that the failure of our educational system is a double one, of bad moral habits as well as bad thinking habits. I refer to morals in the broadest ethical sense. Too many people seem to re- gard good morals and good intentions as the same thing. Morality rests upon values; what we re- gard as good and evil, what we live for, what we would die for. Without such values, everything would be reduced to a cynical zero. Values, in turn, rest upon discipline, on regulating one’s behavior by the light of one’s values and the rights of others, Moral- ity, in other words, requires both good in« tentions and the strong backbone of self- discipline. Yet how many of our schools and teachers attempt to teach values with- out discipline. This dual educational failure, the failure to instill in students the know-how of thinking and a disciplined grounding in ethics, is all the more tragic because never were these two qualities in greater need, I have already remarked on the folly of dealing with national and international problems on a piecemeal basis, without a thought-thorough strategy. Let me now turn to the moral dilemma which grips us all and which will grow ever sharper as the role of government grows. Some of you who look to Government ac- tion as the cure-all for our numerous ills may be startled by this statement, that our moral problems will grow more acute the more the Government undertakes to do. With the revolt against the old laissez faire, do-nothing government philosophy has come a sense of community responsibility for the individual welfare, and rightly so. Civi- lized society cannot survive the Jungle law A3619 of fang and claw, with its ruthless survival of the fittest. But do-nothing government is dead. Vir- tually every phase of economic life is subject to some Government intervention or regu- lation. The issue we now face is whether, as some say, community responsibility should be everything—and individual responsibility nothing. This doctrine ignores the human law that there are limits to the burden a community can carry. There 1s a point of no return beyond which Government interven- tion and the lack of responsibility among nonproducers slow down all production and defeat their own purposes. To lift the levels of human dignity and living is @ proper function of government. I joined with both Woodrow Wilson and Franklin Roosevelt in their programs of hu- manitarian reform, in the Adamson 8-hour day, collective bargaining, economic equality for farmers, and other new freedoms. I op-= posed the conscription of labor in the recent war, even when President Roosevelt’s liberal advisers favored 1t. I have favored pensions and care for the aged, infirm, and handi- capped, and have urged that America take the lead in lifting wages and working stand- ards all over the world. Enormous advances have been made under our present system, the best in the worid. These advances can be pressed further in years to come—as long as we preserve our form of government. But the way to protect human rights 1s not to socialize them. The chief threat to human rights is no longer one of too little Government, as 1t may have been 30 years ago when this school of business and civil administration was founded. Freedom’s greatest threat today is too much govern~ ment, that all limits to government action may be swept away. Is there to be no line beyond which gov- ernment shall not go, as it is in Soviet Rus- sia, and becoming so in socialistic England? Is government action to be prompted by the sheer expediency of whichever greeds or pressure groups appear strongest at the mo- ment? Or is it to be subject to higher ethi- cal restraints, and if so, what are they to be? That is the dilemma which will confront you through the rest of your lives. You will have to ask yourself not should the Govern- ment take action, but how can the Govern- ment’s action be made just and fair to all? Do-nothing government, we were told, was a cloak for powerful interests who wanted to be let alone to despoil the country’s resources and the public. How unselfish are they who today invoke the power of government to further their own interests, or to get votes? The plunder of our natural resources has been largely checked, though not entirely. Are we now to have a new system of plun- der of the National Treasury? Is the old let-me-alone philosophy to be replaced by nothing better than a gimme- mine philosophy? Under the old philosophy of do-nothing government, it was not necessary to define or regulate social relations in detail. It was assumed that if each individual looked after his own interests, the end result, through a Darwinian process of natural se- lection, would be for the general good. That age had never met Hitler. With Government regulation, we now must consciously define man’s relations to his neighbors, of the various segments of society to one another. To consciously reg- ulate ourselves poses enormously greater problems than when taking things for granted, trusting to the automatic workings of competition. Look at the inflation that has wracked the country in recent years, with such injury to those with fixed incomes and wages—fire-~ men, teachers, policemen, nurses, civil serv- ants, pensioners, the aged, and others. This inflation has not been the result of do- nothing economics. It has come from
A3620 Government-managed economics, from Government favoritism to certain pressure groups, in disregard of the national interest. To prevent this inflation, as you know, I urged that in war, priority controls be ac- companied by an over-all ceiling over the entire economy, over all prices, all rents, all wages, all costs, with taxes high enough to eliminate profiteering. This plan would have treated everyone alike. It would have frozen all prices arbitrarily as of some fixed date. Adjustments could be made where essential to stimulate production and to relieve inequities. Instead, under political pressure and only after much costly delay, a piecemeal price control plan was passed. This law legalized inflation. It allowed farm prices to rise to 110 percent of parity; it left wages free, When this broke down, the administration attempted to hold the line with an over-all ceiling, as had originally been recommended. By then the damage had been done. With the war’s end, we scuttled and ran. The process of inflation by pressure groups was given whirl after whirl with the end not yet in sight. Millions have been penalized through a cruel reduction of their purchasing power. Was that just, or fair? What moral would you draw from this in- flation? Only recently increased old-age pensions were voted. This justly recognized that since 1939 living costs have risen around 60 per-~ cent. What good will increasing pensions do unless the spiral of inflationary policies and deficit spending are halted and pressure groups fought off? Every form of saving has been depreci- ated—life insurance, Government bonds, thrift accounts, annuities, and pension funds. Week after week, bit by bit, these sums vere put aside by millions of persons for their old age, for buying a home, for sending a child to college. To the extent that these savings are cheapened, the ability of these millions to care for themselves and their families is weakened. They have been made more dependent upon the Government. They have been made more insecure. Yet, all this has been done in the name of security. This false gospel of security through deficit financing is evidence of bad-thinking habits. If men and women are to provide for their futures, they must be able to put aside part of the earnings of their most productive years and be assured those earfiings will not be wiped out. Saving is the first bulwark of security. Inflation is the worst enemy of savings. In Soviet Russia, the people saved up their rubles, the accumulated sweat and hopes of &@ generation of work and deprivation. Then, ruthlessly, the Soviet Government slashed the value of the ruble to one-tenth. For all Russians over 40, nothing was left but to work at a bare subsistence level until they died. They could never hope to regain the savings their government had wiped out. In eastern Europe the Communists have demonstrated another form of tyranny— near-feudal slavery through inflation. Farm- ers, for example, are paid liberally for their crops. After the crops are collected the money is ruthlessly depreciated. To get working credit for a new crop, the farmer is compelled to join a Communist-dominated organization which controls his planting and returns. Wherever they have come to power, the money. They have robbed savings of their Communists have wrecked the value of value and keep the people enslaved through a system of perpetual inflation. Nothing quite so bad has happened here— yet. If American fiscal policy becomes a per= petual inflation machine—as deficit financ« ing would make it—the result must be to enslave us to the Government. One of man’s oldest delusions has been that he could avoid the necessity of working and saving by some money trick—lowering its value, printing more of it, changing lead to gold, burying gold in caves or concrete dungeons. In every instance these efforts have brought ruin. Moreover, deficit financing has convicted itself as a system of practical economics. It has been tried. It has failed. England, where Keynes and his school were born, can- not finance her own recovery by deficit spending. In this country when the recent war ended, the apostles of bigger and better deficits predicted a calamitous depression. Ten million were to be unemployed. Wag- ing a campaign of fear against the Ameri- can people, these deficit spenders pressured for and got tax reductions. Inflationary in~ creases in prices and wages necessarily followed. I opposed reducing excess-profits taxes after the war, an action which, to date, has cost the Treasury thirty to forty billion dol- lars. Even before the war ended, I stated that for at least 5 and possibly 7 years after the war, there would be more work than there were minds and hands to do—no matter what the Government did or didnot do. After that it depended upon the peace. If those taxes had not been reduced, there would be no budget deficit today. Now, what I have said here is not intended to suggest that a return to do-nothing gov- ernment is either desirable or possible. Nor that we should cease to strive for a more equitable sharing of the fruits of our pro- duction. I do want to impress upon you that the mere shift from do-nothing government to Government intervention does not, in itself, solve our problems. Unless this ever- expanding Government activity is brought under the restraints of the highest moral laws, it will wreck our society. Woodrow Wilson wrote, “It will be a bad day for society when sentimentalists are en- couraged to suggest all the measures that should be taken for the betterment of the race.” Everywhere in the world today there is change. Nowhere is there peace. When I was a student here at City College, it was taken for granted that change was good, that change meant progress. None of us can be- lieve that any longer. All of us have seen that change can be bad and oppressive. Yours is a far more confused and difficult outlook than that which confronted my gen~ eration. You must stand amidst all the many changes pressing upon us and decide which are good and which are bad. You can take nothing for granted. The world is always in need of leadership. Today the need is for self-disciplined leader- ship. With the training you have received here and the self-discipline which can only come from your own souls, you will find open to you positions of ever greater trust and responsibility—positions in which you, hold- ing firm to the values and freedoms we cherish, can join in leading this country to- ward peace and a fuller life. Mr. Truman Builds a (Figurative) Dam EXTENSION OF REMARKS OF HON. GEORGE D. AIKEN OF VERMONT IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. AIKEN. Mr. President, I ask un- animous consent to have printed in the Appendix of the Recorp an article en- APPENDIX TO THE CONGRESSIONAL RECORD titled “Mr. Truman Builds a (Figura- tive) Dam,” written by Edward H. Col- lins, and published in the New York Times of May 15, 1950. There being no objection, the editorial was ordered to be printed in the Recor», as follows: Mr. TRUMAN BuILDS A (FIGURATIVE) Dam (By Edward H. Collins) In an address here on May 2 Harold E. Stassen commented half humorously on President Truman’s prospective swing through the West. Said the former Gover- nor of Minnesota and contender in 1948 for the Republican Presidential nomination: “He will go out to Grand Coulee Dam—the plans for which were proposed under Presi- dent Hoover, the construction of which was carried on by President Roosevelt and the payment for which was voted by both Re- publicans and Democrats alike--and, stand. ing on the edge of the dam, he will * * * act as if he had built it with his own hands.” Mr. Truman did make a speech at Grand Coulee Dam on Thursday of last week, and he didn’t suggest that that project was his own personal handiwork. But when Mr, Stassen .referred to Grand Coulee Dam he was, of course, speaking figuratively. Sub- stitute Lincoln, Nebr., for Spokane, Wash., and the administration’s farm program for Grand Coulee Dam and the accuracy of his picture becomes almost too painfully obvious. Mr. Truman’s thesis at Lincoln may be summed up roughly as follows: 1. “We” attacked the depression “at its roots” in 1933 and introduced a farm pro- gram that has been spectacularly successful. 2. When World War It came along this program “proved its worth all over again.” The stored-up surpluses of cotton, wheat, and other crops, which had been bitterly criticized before the war, turned out to be extremely valuable.” 8. However, the existing mechanism has revealed certain defects which call for cor- rection. The best way to do this is by enacting into law the so-called Brannan plan. 4. It will be necessary “in some cases” to limit crop production * “ * put this must not be confused with the idea of “regimentation.” After all ‘under our sys- tem, quotas are not imposed unless two- thirds of the farmers affected vote for them,” Now this was quite a “dam” that Mr. Tru- man built before the eyes of his listeners in Lincoln, Nebr. But if Grand Coulee rested on no firmer foundation and if it had been built of equally flimsy materials it most certainly would have collapsed of its own weight long before it was finished. To s¢e why this would have been so, let us examine briefly the four main points made by Mr. Truman. 1. Of the three agricultural programs in- troduced in recent years—the first AAA, the Soil Conservation Act and the second AAA— the most recent had become law 7 years be- fore Mr. Truman came to office and the earliest 12 years before. The fact is that, just as the plans for Grand Coulee were prepared under Mr, Roosevelt, so the foundations for the original Agricultural Adjustment Act had been laid more than a decade before even the advent of the: New Deal administration of Mr. Roosevelt, The concept of parity, which is the backbone of the present farm policy, for example, was first introduced at a conference on agricultural policy called by a Republican Secretary of Agriculture, Henry C. Wallace (father of Mr. Roosevelt’s secretary, Henry A. Wallace). Its authorship is generally ascribed to George N, Peek, another Republi- can. In March 1922, the Department of Agri- culture began publishing a purchasing power index series in its publication, Weather, Crops
APPENDIX TO THE CONGRESSIONAL RECORD and Markets. The first specific proposal for securing equality for agriculture was the original McNary-Haugen bill of 1924, formu- lated by Mr. Peek and Gen. Hugh S. Johnson. 2. When he says that the farm program proved its worth in World War II Mr. Truman is undertaking to transform a major blunder into a far-sighted constructive achievement. Actually, as most persons, fortunately, know Government-held surpluses had reached ‘un- manageable proportions when World War II came along and saved the admunistration from the consequences of its folly. Under Mr. Truman history is now repeating itself with respect to crop surpluses, but on a greatly magnified scale, Are we to assume that what Mr. Truman is suggesting is that we continue in the direction in which we are now going on the assumption that a Third World War will come along to bail us out once again? 8. Mr. Truman’s assurance that the Bran- nan plan will remedy the defects in the pres- ent program has absolutely no basis in logic. The Brannan plan calls for support prices even higher than those provided under the present program; at the same time, it would effectively chloroform political opposition to these high-level price supports by subsidiz- ing consumption of perishable farm produce, which represents 75 percent of the total. 4. There is nothing basically wrong with the concept underlying the present farm pro- gram. Its imminently threatened break- down under the Truman administration has been purely the result of political vacillation. While the administration has been an eager advocate of plans for supporting farm prices at high levels it has persistently flinched from demanding their necessary corollary, preduction control. No change in the mechanics of the farm program can cure that kind of defect. Mr. Truman denounced as preposterous allegations that there could be any regi- mentation in a plan under which marketing quotas may be applied only when two-thirds of the farmers agree to accept them. What the President did not add, was that failure on the part of farmers to vote for marketing quotas when they are called for means very heavy penalties, ranging from the withdrawal of benefits to the actual taxation of com~ modities produced on excess acreage. In the opinion of this writer, that is a thoroughly desirable arrangement. What is not desirable is for the administration to seek to sell the Brannan plan, or any other plan, on the ground that at one and the same time it will, and will not, provide for what some call marketing controls and other regimentation. Markets Move Narrowly as Rail Strike Assumes Serious Proportions EXTENSION OF REMARKS HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the Recorp an article entitled “Markets Move Narrowly as Rail Strike Assumes Serious Proportions— Output Holds High,” by John G. Forrest, financial editor of the New York Times, appearing under the heading “The financial week,” in the New York Times for May 14, 1950. There being no objection, the article was ordered to be printed in the Recorp, as follows: THE FINANCIAL WEEK MARKETS MOVE NARROWLY AS RAIL STRIKE ASSUMES SERIOUS PROPORTIONS —- OUTPUT HOLDS HIGH (By John G. Forrest, financial editor) Activity in financial markets was cir- cumscribed last week by developments of a conflicting nature. The open season for political speeches coupled with another strike—this one more sericus in its implica- tions to the national economy than the re- cently-settled Chrysler dispute—sharply off- set numerous favorable reports on business conditions. It was not surprising, then, that stocks moved narrowly and indecisively in less active tradings. The strike against four of the major rail- roads, on the question of an additional fire- man for Diesel locomotives, caused an im- mediate curtailment of train schedules. It also affected activities in many industries far removed from railroading. The full im- pact will be felt more by the automobile, steel, and coal industries than by other groups, but eventually every segment of the Nation will suffer if the strike continues for any length of time. i The high level of industrial production also was threatened by the possibility of a strike against General Motors if current talks between the company and the United Au- tomobile Workers break down. The feel- ing persists nevertheless, that a settlement will be reached because of the experience in the costly Chrysler strike. It may be sig- nificant that, although May 29 is the dead-~ line for changing the contract, the union has not yet announced its termination; this means that legally there cannot be a tie-up on that date, since 30 days must elapse after the filing of the termination notice before a strike can start. Some hint of prog- ress may be revealed at the annual meeting of the company, which will be held on Fri- day. - However, if labor conditions were dis- quieting, developments in the political arena here and abroad were more reassuring. The omnibus appropriations bill, for the fiscal year beginning on July 1, was passed by the House after the total was slashed $1,000,- 000,000. The cut actually amounted to $600,000,000, but a compulsory reduction in personnel that has been ordered will reduce the Government’s outlay by another $400,- 000,000. The big news from abroad was the proposal made by France that the coal and steel industries of that country and Ger- many are to be integrated. Considered one of the most dramatic developments since the announcements of the Marshall plan and the North Atlantic Pact, it is believed that this proposal, if consummated, would go far toward stabilizing Europe’s economy. Although the stock market, as measured by the New York Times averages, reached a new high for the movement since July of 1946, prices seesawed through most of the sessions in the smallest week’s trading in a month. The volume remained below the 2,000,0000-share mark each day, indicating caution on the part of traders despite other- wise favorable conditions in the industrial picture. Special groups and issues were fea- tured in the trading, while several former favorites were relegated to the background. Steel production again. was scheduled above 100 percent of capacity for the fourth consecutive week. Output in April was 8,196,050 net tons of ingots and steel for castings, the largest production for April in the history of the industry and the third time that output has topped the 8,000,000-ton level. Mills are running in excess of capacity in an effort to satisfy the tremendous de- mand, some of which is the result of in- A3621 ventory losses during the steel and coal strikes. With the conversion market boom- ing and gray market activity increasing, the pressure is threatening to blow the top off scrap prices, but the question in the minds of operators 1s how long can the huge oper- ating rate continue. Trade statistics continue mostly favorable. Industrial output in April was higher for the fifth consecutive month. The Federal Re- serve Board announced that the preliminary estimate put it at 88 percent above the 1935- 89 monthly average. Demend for tin, lead, copper, and zinc also was heavy and price increases occurred in several metals. Pro- duction of all goods, in the first quarter, was at an annual rate of $262,000,000,000, com- pared with $258,000,000,000 in the corre- sponding period of 1949. In some sections of the economy there were grounds for a more cautious appraisal of conditions. The Department of Commerce reported that business inventories reached $55,000,000,000, on March 381, an increase of $500,000,000 over February. The gain was principally in goods held by retailers and wholesalers. Net income of class I railroads for the first 8 months of this year aggregated $53,000,000, against $62,000,000 in the 1949 period. Employment of Negroes in Boston Stores EXTENSION OF REMARKS HON. LEVERETT SALTONSTALL OF MASSACHUSETTS IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. SALTONSTALL. Mr. President, I ask unanimous consent to have print- ed in the Appendix of the Rrecorp an article which appeared in the Christian Science Monitor on Wednesday, May 10, 1950, which I believe is pertinent to the debate on the FEPC Dill. There being no objection, the article was ordered to be printed in the Rrecorp, as follows: BErrter JOBS FOR NEGROES WIDENING IN Boston STORES (By Laura Haddock) Widespread employment of Negroes in su- perior jobs in Boston’s department and spe- clalty stores is now an established fact, due to the work of the Urban League of Greater Boston toward this end since 1944. The whole story is told in a booklet pub= lished by the league this week under the title “The Boston Drama.” Where once a Negro could expect to be employed in a department store only as an elevator operator, cleaning man or woman porter, maid, presser, janitor, matron, kitchen woman, bus girl, or stock clerk, tcday the field is opening wide. The Urban League reports, “Now there are store buyers, supervisory trainees, salesgirls, salesmen, advertising personnel, clerical workers, clerical and sales trainees, and per- sonnel workers.” The stores to which the Urban League gives special thanks for cooperation in this work are: Conrad & Co., C. F. Hovey, Gilchrist Co., Jordan Marsh Co., Leopold Morse Co., Lerner Shops, Raymonds’ Inc., Touraine Stores, and William Filene’s Sons Co. All the fears expressed when the program was first tried have gone out the window, says the Urban League. It adds: ‘‘All stores as listed above now report unlimited op- portunities for Negroes, Unions joined with management in making possible this progress.
A3622 “Management reports unified satisfaction, and in many cases the desire to do more in this field. “From many quarters come reports of complete satisfaction with what has gone on in Boston. Customers write to management people. Fellow employees praise Negro work- ers. Personnel people discuss it together. In Boston there is a growing sense of pride that the community is finding the answer to a problem. “Young colored Americans living in Boston can now feel that, with proper training, the doors are no longer closed in the retail sales field, and they are therefore preparing to become efficient workers in dignified jobs of their choosing.” There was of course, concern at first over the possible resistance of customers to deal- ing with colored sales clerks. On this point the Urban League says: “All stores have re- ported a sizable amount of favorable com- ment, both written and oral, when cus- tomers first saw colored salespeople and cleri- cal workers in the stores, “Management was, on the whole, over- whelmingly complimented on this policy. Some customers, feeling strongly, wrote em- ployers not hiring Negroes in the better classifications, and transferred their ac- counts to more democratic stores. “There were complaints from a handful of people who criticized the new policies.” The Glory of American History EXTENSION OF REMARKS oF HON. WILLIAM LANGER OF NORTH DAKOTA IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr, LANGER. Mr. President, I ask unanimous consent to have printed in the Appendix of the Recorp an editorial entitled “The Glory of American His- tory,” written by Harry H. Schlacht, and published in the New York Journal- American of May 8, 1950. There being no objection, the edito- rial was ordered to be printed in the Record, as follows: THE GLORY OF AMERICAN HISTORY (By Harry H. Schlacht) America sits with the dew of youth on her starry brow. Americans should know their American his- tory. Americans should thank God they are Americans. There is no study more delightful, there is no study more profitable, than the study of American history. Our youth should know the stirring saga of the birth and the pageantry of our blessed country. Our history is comparatively brief but bril- liant. Our history is without parallel. Our youth should know we have won the right to live as free men and women, Our youth should know how our sainted fathers laid the foundation of the temple of freedom before whose altar, in a little more than a century and a half, 150,000,000 Amer~ icans should bow. America is like a gallant ship under full sail upon the stormy sea of time, She bears a cargo costlier than the most precious rubies for millions yet unborn. Her voyage is just beginning. Hor sails are filled with heavenly breezes. this glorious ship of Mberty is destined to bear its benedictions for all humanity. The Hearst newspapers have consistently and persistently advocated through the years the teaching of American history in all our schools and colleges. A recent survey reveals the gratifying in- formation that twice as many colleges re- quire the study of American history today as compared with 8 years ago. This is a magnificent tribute to the great editorial campaign initiated by the Hearst newspapers. The study of American history should be mandatory in all American schools and col- leges. There is no excuse for any American to be ignorant of the land that gave him birth, of the land that gave him shelter and a home. If we love America and its civilization, if we love its dream of humanity; we will instill in our youth a love of country. Love of country is one of the loftiest of virtues. Love of country is one of the essen= tials of good citizenship. He is not a good citizen if he does not love his country. There are those in our midst who would pass an erasing finger over the memories of our glorious past; who would entice us away from our trophies, our songs, and our dreams. They would drown out the music of the drums and the silver voice of the heroic bugle. They would leave us not a single melody or note to recall the visions of our saintly sires whse deeds should be glorious to Americans of today and to Americans yet unborn. By educating our youth in American his- tory we can defeat their nefarious purpose. He is not worthy to bear the name Ameri- can who does not make a glad and proud study of his history. Let us see to it that the ideals of our fathers are not defamed. Let us see to it that the democracy does not fail. Let us see to it that the American beacon light shall shine o’er the earth. Firemen’s Warning EXTENSION OF REMARKS HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the Recorp an editorial entitled “Firemen’s Warning,” appear- ing in the St. Louis Post-Dispatch of May 11, 1950. There being no objection, the editorial was ordered to be printed in the Recorp, as follows: FYREMEN’S WARNING Railroad firemen have been given a warn- ing of what may be in store for them and other laboring men if the strike against four major railroads is prolonged. Senator Don- NELL has asserted that the strike emphasizes the need for his bill banning strikes on rail- roads or airlines. That isnot all. Railroad officials are urging Congress to pass the Donnell bill, If the strike continues, pressure for an antistrike law, Which might be extended to other in- dustries, undoubtedly will increase. The firemen do not have much of a case to present to the public in this instance. Their principal demand—placing an addi- tional fireman on multiple-unit Diesel loco- motives—already has been considered twice APPENDIX TO THE CONGRESSIONAL RECORD and rejected twice by public boards of in- quiry. In the absence of authoritative and disinterested evidence to the contrary, it looks as though feather-hedding rather than safety is the union’s goal. In their own as well as the public’s wel- fare, the firemen should go pack to work, They are running serious risk of having their right to strike taken away from them alto- gether. If that were to happen, then the merits of the case would not matter. Campaign of Truth EXTENSION OF REMARKS HON. WILLIAM BENTON OF CONNECTICUT IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. BENTON. Mr. President, I ask unanimous consent to have printed in the Appendix of the Recorp an editorial en- titled “Campaign of Truth,” appearing in this morning’s Washington Post. This editorial reinforces the urgent need for action in line with the objectives of Senate Resolution 243, calling for a “Marshall plan of ideas.” There being no objection, the editorial was ordered to be printed in the Rzcorp, as follows: CaMPaIcNn or TRUTH The communiqué issued at London by the Foreign Ministers of the three big western powers underlines the need for joint efforts in what President Truman has called “a great campaign of truth.” “Faith in free- dom should not be taken for granted, but should be built into a dynamic force,” the Foreign Ministers say, “and steps should be taken to increase public understanding of the exact nature, methods and dangers of the threat to its existence.” From the State Department come réports that a new work~ ing agreement on counterpropaganda is in the making between the United States and Great Britain and perhaps with other North Atlantic Treaty countries. Such steps are Jong overdue. Since the object of the free world in the cold war is to protect itself against the encroachments of communism without resort to arms, harmony of effort in the informational field is of inestimable importance. One of the immediate alms of the British- American negotiations, which Assistant Sec- retary of State Barrett hopes to bring to a head on’a visit to London this week, is to increase from 73 to 100 the transmitters through which western information can he beamed upon the iron-curtain countries. Additional power as well as new transmit- ters is needed to prevent the Soviet Union from jamming the Voice of America and the British programs. Plans also call for British-American committees to excKHange information and prevent conflicts in foreign policy broadcasts. These are important steps toward integration, but they seem to us inadequate. Nations that are in the proc- ess of unifying their military defenses must necessarily bring their informational serv- ices into harmony if their joint efforts are to attain maximum effectiveness. Lack of harmony in the free-world propa- ganda broadcast to the countries behind the fron curtain suggests lack of agreement as to what the basic policies of the free world are. It is not to be supposed, of course, that any one unified agency could speak ex- clusively for all the diverse peoples in the free world. But so far as the foreign policy
APPENDIX TO THE CONGRESSIONAL RECORD of the Atlantic community of powers is con- cerned, the need for concerted efforts to en- lighten people now in darkness is obvious. No nation, as we recently noted on this page, ean effectively carry on such a campaign single-handed. As for libraries and documentary films, the American people have scarcely begun to realize the possibilities of preaching the doc- trine of freedom by these means. Perhaps there is less necessity for international co- eperation in establishing libraries abroad and making available informational films, but the spectacle of free countries working together to promote the type of education that makes for peace is always impressive. Joint efforts to promote education about the free world ought to be vigorously promoted in the spirit of the Foreign Ministers’ con- ference. Legal—But Tragic EXTENSION OF REMARKS HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the Recorp an editorial entitled “Legal—But Tragic,” appearing in the Washington Daily News, a Scripps- Howard newspaper, for May 13, 1950. There being no objection, the editorial was ordered to be printed in the Rrcorp, as follows: Lecat—Bur Tracic There is nothing illegal about the locomo~ tive firemen’s strike against four of the Nation’s key railroad systems. However gravely their strike may injure the country, the firemen are within their rights under the Railway Labor Act. This law, enacted by Congress in 1926 at the joint request of railway unions and managements, does not prohibit strikes. It provides a system of Government con- ciliation, mediation, and voluntary arbitra- tion which for many years maintained an almost unbroken record of industrial peace on the railroads. It puts no compulsion on either side in a controversy to accept the decisions of fact- finding boards appointed by the President of the United States. It relies solely on the force of public opinion to produce com- pliance with such decisions. Settlements brought about by this law were not always satisfactory to one or both sides. But they were far less costly to labor, to management, and to the American people than strikes would have been. The current firemen’s strike, though legal, is nevertheless a tragic mistake. For it is a strike in defiance of public opinion. Two Railway Labor Act fact-finding boards, one named by President Roosevelt, the other by President Truman, have held that the firemen’s demand—for employ- ment of two members of their union on every Diesel locomotive—is without merit and should be denied. The almost certain result of this strike, if it continucs long, will be to destroy the Railway Labor Act and substitute for it a law to make railroad strikes illegal and re- quire compulsory arbitration of labor-man- agement controversics in the railway in- dustry. A bill for just that purpose is already be- fore Congress—the Donnell bill, introduced by a Republican Senator from Missouri. With each day that the firemen’s strike continues, public pressure on Congress for enactment of the Donnell bill, or something like it, is sure to grow. A long strike could make that pressure irresistible. The American people just won’t stand for being badly hurt by a strike for featherbed jobs. The firemen’s union, in this foolish, tragic strike, is inviting loss of infinitely more than it can possibly win. Tariff Reductions on Rubber Footwear EXTENSION OF REMARKS oF HON. ANGIER L. GOODWIN OF MASSACHUSETTS IN THE HOUSE OF REPRESENTATIVES Monday, May 15, 1950 Mr. GOODWIN. Mr. Speaker, under leave to extend my remarks in the Rrc- orb, I include a resolution passed by the Massachusetts Legislature in opposition to the further tariff reductions on im- rorts of waterproof and canvas-rubber footwear. The résolution follows: Resolution memorializing the: President of the United States and the Congress and certain departments of the Federal Gov- ernment in opposition to further tariff re- ductions on imports of waterproof and canvas-rubber footwear Whereas members of the rubber-footwear industry are greatly concerned and dis- turbed, based upon information which is considered authoritative, over the possibil- ity that the Federal Government may put into effect further tariff reductions on im- ports of waterproof and canvas-rubber foot- wear; and Whereas any further reductions in the tariffs on these items would produce an ef- fect upon the American rubber footwear in- dustry little short of disastrous, and it would be impossible for said industry to produce articles which could compete in price with the products of the nationalized industry of Czechoslovakia or with those of Japan with its debased oriental standard of living; and Whereas the rubber footwear industry is an American enterprise about 100 years old and at one time it supplied most of the world, but since the early 1930’s the Ameri- can industry has been confined to the do- mestic market because of its inability to meet foreign low-wage competition; and Whereas at present, such imports from these countries are priced at from 20 to 40 percent under the usual American prices, and the presence of even a small amount of low-priced goods in an industry as seasonal as rubber footwear can be a most upsetting influence on the market; and Whereas in the decade of the 1930’s, the threat to the American industry by the in- flux of rubber~footwear imports was so great that both President Hoover and, President Roosevelt issued proclamations making duties on these products applicable on the Ameri- can selling price basis, and the rates of duty which were 25 percent on waterproof and 35 percent on canvas remained unchanged, but they applied to the domestic selling price of American-made footwear similar to the im-~ ported, articles rather than to the selling price of the foreign product; and Whereas in 1937, when the Czechoslovakian trade treaty was under consideration, this policy was sustained by President Roosevelt, A3623 and in 1947, at the Reciprocal Trade Con- ference in Geneva, the American delegation granted concessions to Czechoslovakia on waterproof rubber footwear which, in effect, cut the American duty in half, which means that the duty on Czechoslovakian footwear was reduced to 12% percent; and Whereas this industry is one in which the labor cost, in proportion to the total cost of the product, is very high, namely, 47 percent, and an attack upon the price structure be- comes therefore an attack upon the wage structure of the American worker in this field and is also a direct threat to his job; and Whereas this industry at present is doing a business of about $100,000,000 annually, and employs more than 20,000 men and women, and this is of vital importance to New England and especially to Massachu- setts, inasmuch as over 75 percent of this industry is located in southern New England, a@ small area already hard-pressed economi- cally and struggling to maintain its position in the American scene, and a very substan- tial portion of this 75 percent, much more than half, is located in Massachusetts, which becomes, therefore, a matter of vital signifi- cance for this area, and some particular com-= munities in it would suffer extreme hardship were this industry to become blighted; and Whereas ih view of the aforesaid facts, a vital New England industry, with a long his- tory, is faced with a situation which would make sheer survival difficult and certainly make any prosperity impossible: Therefore be it Resolved, That the General Court of Mas- sachusetts hereby expresses its opposition to any further tariff reductions on imports of waterproof and canvas rubber footwear; and be it therefore further Resolved, That a copy of this resolution be sent forthwith by the secretary of the Commonwealth to the President of the United States, Members of Congress from Massachusetts and the Secretary of State, the Secretary of Labor and the Secretary of the Treasury of the United States. In house of representatives, adopted April 6, 1950. LAWRENCE R. GROVE, Clerk. In senate, adopted in concurrence April 11, 1950. Irvine N. HaypEn, Clerk. Feather-Bed Strike EXTENSION OF REMARKS HON. FORREST. C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the Recorp an editorial entitled “Feather-Bed Strike,” published in the St. Louis Globe-Democrat of May 11, 1950. There being no objection, the editorial was ordered to be printed in the Recorp, as follows: FratHer-Beo Stern The strike against four railroads, begun yesterday by the Brotherhood of Railroad Firemen and Engineers, will get little or no sympathy from the public. Nor should it. The issue is clear and of long standing. The union wants to force employment of a second
A3624 fireman on multiple unit Diesel engines. Company officials call this a feather-bedding program, and in this instance certainly they seem quite right. The dispute has been hanging fire for years. When Diesels were first put into serv- ice, they were run by one man, an engineer. Under threat of strike, roads added a fireman. Then in 1939 the Brotherhood insisted an- other fireman be assigned to each Diesel. This insistence has been renewed from time to time. Yet two presidential fact-finding boards, one in 1948 and another in 1949, held the demand for either an extra fireman or an extra engineer to be unneeded and devoid of merit. The argument of the union that more men in the cabs would promote safety was discredited. Despite the findings of two boards, ap- pointed by Presidents certainly most friendly to organized labor, the Brotherhood has struck, tying up schedules of the Pennsyl- vania, the New York Central, the Southern and Santa Fe roads. The Nation’s transpor- tation system is crippled and some 500,000 workers will probably be reduced to idleness. St. Louis, being a terminus of several roads, is especially hurt. Twenty-five passenger trains have been canceled, and freight service is blocked on three of the lines. If the union should win its fight to add another fireman to Diesel units, the next step obviously would be to force use of an extra engineer. Experts have found these changes completely unnecessary. The Brotherhood only injures its reputation by this strike, which seeks made-work in the face of me- chanical advances. The strike calls attention to a bill spon- sored by Senator Donn=Lt which would out- Jaw such walkouts, and force compulsory arbitration of railroad and airline disputes. Yesterday’s development may force an early hearing and congressional action. It would be interesting to see what the President would do had the strike been called on the road he is now using to “whistle stop” the country on how handsomely the country is faring. Independence of Farmers EXTENSION OF REMARKS HON. EDWARD J. THYE OF MINNESOTA IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. THYE. Mr. President, appearing in the Washington Post yesterday was an article by Paul C. Johnson entitled “It’s High Time the Farmer Threw Away Crutches.” I have known this young man from boyhood up, and have known his parents, and I know that Paul John- son has his feet on the ground so far as agricultural questions are concerned. For that reason I esk unanimous con- sent that this article be printed in the Appendix of the Rrcorp. There being no objection, the article was ordered to be printed in the Recorp, as follows: Ir’s Hico Time rae Farmer Turew Away CRUTCHES (By Paul C. Johnson) (The following js a digest of an address delivered by Mr. Johnson, editor of the Prairie Farmer, at the University of Minne- sota editors short course, on May 5.) Less than 100 years ago we were an agri- cultural Nation, with five families on the land needed to supply the food for one family carrying on industrial or city work, We have completely reversed that, so now it takes less than a fifth of our population to grow the food we need, with something to spare, As a matter of fact, in our most efficient and most modernized farming sections, the ratio is more nearly 10to 1. This means that 9 families out of 10, or 4 out of 5 for the country as a whole, have been freed to do other things besides grubbing a living out of the soil. They can build homes, manu- facture automobiles and refrigerators, op- erate schools and hospitals. And these are the things by which we measure our stand- ard of living. Good farming has made it possible for the average American to take food for granted and go on to improve his living standard by the many other things he can earn. Mr. Average American needs to spend about 25 percent of his income for food. In England, the cost is around 45 percent, in- cluding government subsidy. In Italy, it is around 70 percent. In countries like India and China, about 90 percent of the average man’s income must go for the food to hold body and soul together, While only about one-seventh of our na- tional income is in agriculture, around 55 percent of all people in this country are farming or in work that is directly depend- ent on farming. It’s interesting to know that of 9,000,000 individual businesses in the United States, 6,000,000 are farm busi- nesses. BAD STATE OF MIND But there is danger in pounding our chests and expounding the indispensability of agri- culture. I feel uncomfortable when a farmer declares that agriculture is the key to all prosperity and that the Government must take care of the farmer first. There is a good deal of truth in what the man says, but the state of mind is bad for everybody and espe- cially bad for the farmer himself. I have heard top-flight industrialists and economists say that the prosperity of agri- culture is so important to this country that we can well afford to give agriculture pre- ferred treatment. Icannotagree. I’m quite sure that hothouse treatment may actually destroy the productiveness which has made our agriculture great, and may result in pro- gressive poverty rather than guaranteed prosperity, There is a warning for us in the public reaction against farmers which has grown at an alarming rate during the past year or two. While much of this feeling it based on mis- information to which both the press and the radio have contributed, it is an ill omen of what may come if agriculture permits itself to be pushed out on a limb by politicians looking for votes and industrial people look- ing for an indirect guaranty of good busi- ness. We are already too far out on that limb. We must revise our national farm program into something we can live with, something the public will support and, above all, some- thing that will insure an increasingly pro- ductive and efficient agriculture. FARMING FOR UNCLE Why are we having so much trouble with our present commodity support programs? It’s because they tell the producer a lie. Whenever the support price is higher than weat the market will support, then the pro- ducer is ‘being misinformed. The minute the farmer starts raising products for Uncle Sam, we're in real trouble. Uncle can’t pay Senators and Supreme Court judges in bush- els of corn or sacks of potatoes, ' Our leading farm organizations have not asked for the present farm-support levels. APPENDIX TO THE CONGRESSIONAL RECORD It is to the everlasting credit of farm leaders that most of them have tried to get rid of the subsidies. But the political ins want to stay in, and the political outs want to get in. Both seem to think that votes are to be had in exchange for Government checks and special privilege. Our commodity support approach to the farm problem has been warped away from its original purposes. Too many people want to think of it in terms of an income guar- anty from the Government to the farmer. Because the marketing problem has some- how become confused With a political philos. ophy, the various crops and commodities have been out of step with each other, and there has been too much disregard for a basic fact of a free economy: Increased efficiency must be shared. THE BRANNAN PLAN In this respect, our support programs have been pretty much in the same class with the much publicized Brannan plan. Mr. Brannan proposed that we keep all our present supports on basic crops at levels even higher than those which have already gotten us into trouble. But he went beyond this and suggested that since perishables such as milk, eggs, and potatoes could not be successfully handled in storage, we should substitute the direct income payment to the farmer. His plan had one very attractive feature. These products were to be turned over to the consumer at whatever they would bring. But remember that the farmer would be paid according to his production and Uncle Sam would foot the bill for the difference between what the farmer got in the market and what he should have had according to the standard set up by Mr. Brannan. What’s wrong with this plan? Well, many people, including myself, do not like the idea of the farmer being dependent on Uncle Sam for his income check. Any way you look at it, the income guaranty idea heads down the socialistic path toward stunted production and dependence on government. Right now we are wrestling with acreage allotments. Hanging over this controversy is a fear that acreage allotments will not reduce production, and that the marketing quotas which are to follow can be enforced only by police state methods, The Brannan pian would be no different, probably worse. The only way Uncle Sam could get off the hot seat and wean consum- ers away from their free food ride would be to slap severe quotas on farm production and reduce that production to the point where food prices would rise again. POINT OF DEPENDENCY At what point would it be politically ex- pedient to stabilize these Government prices? If I read my political history right, they would try to stabilize them at the point where the farmer could not live without his Government check, but where he would be restrained from embarrassing his bureau- cratic supervisors with too much efficiency or too great production. As production con- trols progressed from big crops to little crops and from feed crops to food products, there would be a thriving production of red tape, and much political pap to be distrib- uted. Do you know that down in the tobacco country your allotment, that is, the permis- sion of the Government to grow tobacco, may be worth as much as $2,000 an acre on $200- an-acre land? I am told that the farmer committees which are administering the to- bacco program are doing a nice job, but I cannot shake the fear that here is an oppor- tunity for political graft which will catch up with us some day. ‘We are hearing more and more these days abollt the two-price plan, which you will recognize as the old McNary-Haugen bill
APPENDIX TO THE CONGRESSIONAL RECORD over again. This plan, too, has its attractive features, but its flaws are clearer today than in the McNary-Haugen days. The two-price plan calls for dumping of some Kind. We know now it isn’t so easy to dump abroad, But it isn’t easy to dump in our own country, either. We could make a certain amount of corn and wheat into alcohol and pass a law that all gasoline would have to include a cer- tain percentage of this fuel. But that would be robbing the fertility of our soil for an inferior and expensive purpose. DISASTER UNLIKELY All right, what should be done? I believe that now is the time to move in the direction of a free competitive mar- ket and greater self-reliance on the part of agriculture. Of course, the patient trem- bles at the thought ‘of throwing away the erutches. But if we don’t do it now, we never will, Our debt is in good shape. Our effi- ciency is high. Our customers have money in their pockets, and the city people are outnumbering the food producers hy more and more every day. . We'll have some falls when we start tak- ing away this makeshift scaffolding, but I doubt if there will be any widespread dis- aster. We can still take out certain insur- ance policies in the name of security and social conscience. I would like to propose three ingredients of a sound, long-time farm program that could go nicely with a farm economy based on efficiency and the competitive market. In the first place, I believe that the soil conservation principle is the only justifica- tion for Government payments to farm peo- ple. City people have a stake in the con- servation of the land. The farmer is always under pressure to market the fertility of his soil as quickly as possible. The mortgage meeds to be paid, and the children need college education. A carefully worked out system of conservation payments intended to rest and rebuild land would also relieve the farmer’s pressure to cash in. The pub- lic would get its money’s worth in the assurance of a future food supply. In the second place, I believe the present support machinery should become a stand- by program for use only in emergency. I believe a price floor should be a floor and not an income guaranty. We had better set up the program in such a way that the politi- cians cannot change its original purpose. MARGINAL FARMERS In the third place, I believe that we should make a real study of the reasons for pov- erty among farm people. The problem of the marginal farmer is not one of price or of Government subsidy. It doesn’t make so much difference whether you get $3 or $5 a hundred for milk if you are trying to support a family on three scrub cows. No, the problem of the underprivileged farmer is one of education, or credit, of building his farm into a going concern. I believe the Government can do a great deal along this line without tying up the processes of agriculture in a rigid bureaucratic system. I believe we can extend our present activities through the Extension Service and the Farm- ers Home Administration so that we can meet this problem more adequately. We may want to go a step further and think in terms of building industries in rural areas to take care of people who cannot possibly earn a decent living from the land. We have been drifting in our national thinking toward the notion that the means are justified by the ends. When you get down to cases, that’s the philosophy of the Communist. We want prosperity on our farms, but the means by which we achieve it are important, too—very, very important. * The Medieval Joust EXTENSION OF REMARKS HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the Recorp a letter under the headline “The medieval joust,” the author of which is Mr. E. C. Craig, who formerly was general counsel for the Ilinois Central Railroad. The letter appeared in the Chicago Tribune of April 9, 1950. There being no objection, the letter was ordered to be printed in the Recorp, as follows: THE MEpDI£vAL JoUsT CHIcAGO, March 10.—The settlement of dis- putes by “wager of battel”’—‘“trial by com~- bat’’-—which originated in the military spirit of early days, was introduced into England by William the Conqueror (1066). Black- stone describes the “trials” in great detail (8 Bl. Comm. 387). They took place in a field especially prepared for them in the presence of the judges of the court in their scarlet robes with learned serjeants of tHe bar in attendance. The parties fought with staves either in person or by champion. the “trial” began at “sunrising’’ and lasted “till the stars appear in the evening,” or until one party earlier cried, “Craven,” or was defeated. Judgment was entered by the court for the victor. The right to the “wager of battel”—the “trial by combat’—-was recognized by the English courts until abolished by an act of parliament. As late as 1817, the Court of King’s Bench held the right to trial by com- bat still existed. In the next session of parliament the act was passed abolishing it (59 George IIIc, 46). This form of trial could not be recognized in the United States due to the constitu- tional provision for trial by jury at common law (Childress v. Emory, 8 Wheat., 21 U. 5. 642). ; We have, however, “wager of battel”— “trial by combat’—not between individual litigants as of old where no one was hurt but the litigants or their hired champions, but in strikes, where everyone is hurt, especially the public—strikes national in scope, seri- ously affecting every man, woman, and child——which are increasingly being allowed to choke industry, create unemployment, and cause great economic and social dis- tress. There is more reason why “wager of bat- tel’——“trial by combat’~——should not be al- lowed where public rights are interfered with and sometimes destroyed, than where it is but a trial between private individuals. As our affairs become more complex, as our activities grow more interdependent, the reasons against this method of settling con- troversies increase. We pride ourselves on our Constitution, our wonderful form of government; that this is the land where law governs and not indi- viduals; that all men are created equal; that here exist equal rights to all and special privileges to none; that we settle all con- troversies between citizens and between Gov- ernment and citizens in our courts, etc. Yet we allow these anachronous, obsolete, anti- quated “trials by combat’’—‘wagers of bat- tel”-—-originated by the vandals or some other barbaric tribe, to be used in settling A3625 questions which involve our very existence— questions which, as all others are, can be settled by orderly precedure based on facts and not on forces. If the ‘trial by combat”— “wager of bat- tel’—was barbaric when applied to private litigants, how much more so are these ap- peals to force—these ‘‘wagers of battel,” these “trials by combat,” of our mcdern day. The English parliament abolished the one. Congress can constitutionally and entirely abolish the other, and would do so if the people of the country would demand it. Why the public supinely tolerates these “wagers of battel’—these “trials by com- bat,” with their destructive effect on our Gaily life, when they can be constitutionally and entirely abolished, 1s beyond comprehen~ sion. That they are permitted is solely due to the apathy of the people. Something should be done about it. E. C. Craia. Washington in 1800 EXTENSION OF REMARKS HON. MARGARET CHASE SMITH OF MAINE IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mrs. SMITH of Maine. Mr. President, on this May 15, 1950, I think that many of the Members of Congress would be interested in reading about the Wash- ington of 150 years ago, on May 15, 1800. It is not only interesting to read of the contrasts of the Washington a century and a half ago, but also of the striking similarities of that 1800 Washington with the 1950 Washington of today. Even then Members of Congress had a housing shortage problem to contend with. I ask unanimous consent to have in- serted in the Recorp an article by Alex- ander R. George, Associated Press staff writer, appearing in the Washington Post issue of May 8,1950. Itis interesting and enjoyable reading. There being no objection, the article was ordered to be printed in the Recorp, as follows: HALF-STARVED CATTLE ROAMING WASHINGTON STREETS In 1800 GavE EMBRYO CaPITAL A DistincTrLy BusH-LEacur ATMOSPHERE (By Alexander R. George) The Federal Government took to the woods 150 years ago this spring, moving from fashionable Philadelphia to the wilderness city that was Washington. On May 15, 1800, President John Adams ordered the executive departments (some 150 officials and clerks and 12 boxes of Govern- ment archives) to move to the new Federal city in the Territory of Columbia. Congress had voted in 1790 to make the Territory, later the District of Columbia, the permanent seat of the National Government. Government Officials and clerks made the trip by stage coach, carriage, or horseback. The 140-mile overland journey between the ‘two towns then took the better part of 3 days. Government records packed in seven large pboxes-and five small boxes were shipped on a packet sloop down the Atlantic coast, up Chesapeake Bay and the Potomac River. Documents of the State Department included the original Declaration of Independence, the
A3626 Constitution, and the Articles of Confedera- tion. POPULATION THEN 3,000 The new Capital’s population was 3,000, ® small fraction of the number of sesquicen= tennial celebration visitors who now daily invade this Capital City of 1,400,000. Washington was having a housing shortage in 1800. A survey showed there were 253 frame and 109 brick dwellings in the town. Secretary of the Treasury Wolcott, upon arrival here, reported: “I do not see how Members of Congress can possibly secure lodgings unless they will consent to live 10 or 20 in one house. There are few houses in any one place and most of them are small and miserable huts.” The Congress House (Capitol), President’s Palace (White House), and original Treasury building were near enough to completion to provide accommodations for part of the Offices. Houses were leased for the State, War, Navy, and Post Office Departments. Pennsylvania Avenue, connecting the President's Palace and the Congress House, was @ dirt road which a writer of the time said was bordered by the forest primeval and swamps. The Avenue’s dust, suffocating in ary weather, became a great bog after a rain. “HOW COULD I DESERVE IT” A European diplomat took one look at the new Capital City and said: “What have I done to be condemned to such a place?” ‘A visitor from England wrote that “half- starved cattle browsing among the bushes of the city present a melancholy spectacle * * * so very thinly is the city peopled, quail and other birds are shot within 100 yards of the Capitol.” Members of Congress lived two and three to a room in hoarding houses. They swatted with kerchiefs at files which came from near- by livery stables to bite the long-stockinged legs of the legislators. New York’s Senator Gouverneur Morris wrote in sardonic vein: “It’s the best city in the world—for a fu- ture residence. We want nothing here but houses, cellars, kitchens, well-informed men, amiable women, and other little trifles of this kind to make our city perfect.” Thomas Moore, the Irish poet, visited Washington in 1804 and wrote this verse: “This embryo Capital where fancy sees Squares in morasses, obelisks in trees Which second-sighted seers even now adorn With shrines unbuilt and heroes yet un- born.” Bewigged Government executives tried to keep an elegant appearance in their primi- tive surroundings. Hair-dressing shops on Pennsylvania Avenue featured large cup- hoards, with glass doors, containing freshly dressed wigs for the daily visits of their owners, Most of the labor in the District of Colum- bla was done by Negro slaves who were leased by slave dealers for $60 a year. It cost per- sons who hired a slave an additional $35 a year to furnish his clothes and food, the latter consisting mostly of salt pork and In- dian meal. When President Adams and his wife Abi- gail celebrated their first Christmas in the White House it was an uncompleted palace hard by the Potomac swamps. Mrs. Adams had the family wash hung in the great audi- ence room (East Room) on the first floor. President Adams, however, had a nifty Christmas garb consisting of a black velvet suit, silk stockings, silver knee and shoe buckles, and white waistcoat. His hair was powdered. . The Government’s expenditures in the year 1800 totaled $10,786,000 less than one- tenth of the Government’s daily expendi- tures now, The Treasury that year had a surplus of $62,000, Most of the Federal revenue was obtained from import duties. However, the Govern~ ment levied internal taxes on land, dwellings, and slaves, on stills, distilled spirits, refined sugar, and pleasurable carriages. Washington then was almost at the center of the narrow union of 16 States. George Washington has envisioned the Chesapeake and Ohio Canal and the Potomac River con- necting West and East as the most practi- cable route to the Atlantic Ocean. As people poured westward there was al- most constant clamor to move the Capital west of the Alleghenies. However, the com- ing of the telegraph and the railroads did much to lessen the demands for a new site for the Capital. Slaves Versus United States Labor EXTENSION OF REMARKS OF HON. RUSSELL V. MACK OF WASHINGTON IN THE HOUSE OF REPRESENTATIVES Tuesday, May 2, 1950 Mr. MACE of Washington. Mr. Speaker, Mr. Victor Ruiesel, the news- paper columnist whose column, Inside Labor, appears in 254 American daily “newspapers, has been doing an excellent job of calling the American people’s at- tention to the dangers to our economy in the importation of canned crab, furs, and other goods from Russia. Last year our imports from Russia, not counting those from any of her satellites, totaled $42,425,000, according to the De- partment of Commerce figures, while our exports to Russia were only valued at $6,646,000. As a result of this balance of trade favorable to Russia, the Soviets had a surplus of more than $35,000,000 in American dollars and credits which the record shows she spent in France, Bel- gium, and Britain to purchase steel, iron, copper, zinc, lead, and other commodi- ties which addec to her economic strength and war potential. I ask, are we not, by carrying on this trade with Russia, repeating in effect, exactly what we did prior to Pearl Harbor, when we permitted the sale of scrap iron to the Japs? Imports of canned crab from Russia . during the 12 months of 1949 totaled 30,262 cases. In the first 4 months of this year we have imported almost 70,000 cases of this crab meat from Russia. In short, in the first 4 months of this year we have imported twice as much canned crab from Russia as we did in all 12 months of last year. Nor is the end in sight. I am reliably informed another 36,000-case shipment of this Russian canned crab meat is or soon will be en- route to the United States. Our Atlantic and Pacific coast crabbing industry cannot compete with the labor in Russia’s 17 slave labor fishing camps. We should not expect that they should. Unless Government executive agencies act to stop these imports of Russian crab, our American crab fishing industry will be destroyed, its thousands of cannery workers will become unemployed and its APPENDIX TO THE CONGRESSIONAL RECORD fishermen, many of whom have invested their life savings in fishing boats, will be financially ruined. The New York Mirror, one of the large newspapers in America’s largest city, re- cently carried an excellent editorial on April 21, 1950, on slaves versus United States labor. Under leave to extend my remarks and include extraneous ma- terial, I include this editorial in the Rrc- ORD: SLAVE Versus Unirep States LABor Thanks to our ace labor writer, Victor Riesel, Americans are finding out some queer and curious things about their foreign trade: 1. In recent months, $3,000,000 worth of crab meat, or 59,000 cases, canned in Soviet slave-labor camps, has come into this country via Seattle and Boston. 2. The Russians are offering United States importers $20,000,000 worth more at prices no United States canner can meet. 8. More than $55,000,000 worth of Soviet furs are coming into this country annually— and these, also, have been processed in the Siberian labor camps for political prisoners, 4, Walnuts produced in Sovietized Man- churia pour into the American market in large quantities at 42 cents a pound, to com-~ pete with the American product which can= not be put on sale at less than 62 cents. 5. Communist Czechoslovakia, having na« tionalized (which means stolen) its shoe in- dustry, is sending unmarked and unidenti- fied footwear here. We know, too, that imports from Commu= nist Ozechoslovakia are threatening the United States hat industry. That hits close to home. Thousands of jobs in Danbury, Conn., are menaced. Smoked hams from Communist Poland are brought in to sell against the produce of the United States farmer. What sort of two-handed diplomacy are we running? On the one hand, we bitterly protest the downing of a United States plane and the probable murder of its 10 airmen; on the other, we offer Soviet Russia a market for her slave-made goods. The vicious, inspired insults against us by Red Czechoslovakia make American blood boll; but we afford the commissars who rule that once-democratic country a juicy supply of United States dollars. Does Acheson Know what Snyder is doing? And does either reckon with Hoffman, of the ECA? Let’s go back to the 59,000 cases of Soviet crab meat. Direct from Siberia, 15,000 cases came into Seattle. But 44,000 cases came to Boston—from England. England trades extensively with Russia. England needed salmon, Russia provided the salmon, but forced a tie-in of 80,000 cases of crab meat. England couldn’t use all that, so she dumped 44,000 cases on the American market, and undercut our produc~ ers $2 @ case. This double play against United States in- dustry and United States jobs was revealed when businessmen and Congressmen com- plained to Hoffman. Maybe the State Department and the Treasury Department and the agency that overshadows both, the EOA, can explain these transactions. Maybe they will say that the United States industries affected are only small fry. That won’t sound very good to workers in the cannery in Bellingham, Wash., which has announced it will close because of Soviet competition, or to the 197 fur breeders who have gone out of business for the same rea- son, or the Danbury hatters, or the New England fishermen. Wipe out a few jobs here. A few jobs there. Create unemplayment, and the fear of un-
APPENDIX TO THE CONGRESSIONAL RECORD employment. That’s exactly what the Krem- lin wants. Our policies, unwittingly or not, are sacrificing American labor to the support of slave-labor states. NEWSPAPER CARTOON Recently there appeared in hundreds of American newspapers a cartoon by Reg Manning depicting Uncle Sam car- rying away a case of canned crab meat that was labeled “Produced at unbeat- able low prices by Russ slave labor” and in the background stood Joe Stalin counting up a big pile of American dollars which Uncle Sam had just handed him for the crab. Standing nearby watching the transaction was a sad-faced man, in commercial fishermen’s clothes, who was labeled “American fishing industry.” Uncle Sam, as he toted away his Rus- sian canned crab was saying to Mr. American Fishing Industry, “Why can’t you let me have bargains like this?” The American fishermen can give Uncle Sam bargains like that in canned crab such as Stalin offers only if the American fishermen and cannery work- er will accept “slave labor’ working con-~ ditions. No sensible American wants or expects that he should, A BREAK, MAYBE Says the Aberdeen World, of Aberdeen, Wash., in a recent editorial: In his almost singlehanded fight to save Northwest industry from foreign encroach- ment, Congressman RussELL V. Mack has finally won a promise from Treasury Secre- tary Snyder to investigate importation of Russian canned crab meat. Congressman Mace: has asked Secretary Snyder to bar the Russian meat because the cheaply-produced product is undermining the domestic mar- ket for American packers. Secretary Snyder promised to investigate whether or not the Russian product is pro- duced by involuntary labor. There is an American law prohibiting importation of foreign products produced by such “slave” labor. We could make a good case based on the “involuntary” characteristic of the So< viet labor mass, but whether Snyder will do it or not is another matter. We know that Russian labor is not free, as we interpret the term. How much involuntariness we will tolerate is up to Snyder’s interpretation. With the current trend to lower trade bar- riers and with an administration tendency not to rile Russia any more than possible, our hunch would be that Snyder finds Rus- sian canned crab meat admissible. The con- dition of certain American industries doesn’t seem to be of much concern to administra- tion bigwigs in Washington. LONGVIEW, WASH., NEWS The Longview Daily News, one of the largest dailies of southwest Washington, editorially referring to Russian crab im- ports said: A bulletin from the Nation’s Capital says that during the past 6 weeks 59,000 cases of Russian canned crab, valued at- $3,000,000, was imported into this country. The report says that the Soviets have 400,000 to 500,000 cases of this canned crab on hand and that there is danger of a great portion of this being dumped on the American market. It would be interesting to know why we need to be catering to the Russians in this way or what they are buying from us in re- turn. Let’s hope it isn’t weapons and am~ munition. We were a little surprised to see while browsing around a grocery store only Satur~ day, a brand of corned beef coming from Uruguay which bore an appealing label. When we asked the dealer about it he said it was a most popular brand, and that he had difficulty in keeping it in stock. We have to say in all candor that we know little about Uruguay, but we do hope that in canning meats sold in this country, it main- tains the American standard of sanitation. SEATTLE TIMES The Seattle Times, one of the largest Washington State dailies, in a lead edito- Yial in March had this to say about Russian crab imports: Coast INDUstRY Hurr py Russian Propucts Congressman Mack of Hoquiam, is rightly concerned over the volume of canned crab meat that is being imported into this coun- try from Russia. Mack says these imports amounted to 15,000 cases by way of Seattle and 44,000 cases by way of Boston last month. At a value of $54 a case, the lot was worth about $3,000,000. If they are permitted or encouraged to sell their crab meat in the United States, Mack fears, the Russians will rapidly build up as big a market for their product as the Japanese enjoyed before the war. In those days, Japan was providing 85 per-~ cent of all the canned crab meat marketed in this country. The low wages and living standards of the Japanese fishermen made it impossible for Americans to compete with them. During the war, however, the crab- fishing industry began to flourish along the Pacific coast. Some idea of its growth may be gained from the record on Grays Harbor alone. In 1940, fishermen at Westport land- ed 16,148 dozen crab. Last year 277,844 dozen were landed there. The Japanese crab-fishing and canning industry had reached large proportions be- fore Pearl Harbor. From 1927 to 1939, they had an average annual pack of 445,102 cases, reaching 600,000 cases in the best years, They sold about 250,000 cases, or about 55 percent of their pack, in the United States, Much of the fishing area the Japanese for- merly controlled now has been turned over to Russia, and it is estimated Soviet can- neries are producing as much as 500,000 cases of crab meat a year. Congressman Macx is looking after the interests of an industry that is beginning to prosper in his own State when he insists that this new foreign competition be dis- couraged, Here is another of those situa- tions where it becomes necessary to choose between encouraging foreign trade and sup- porting a domestic industry. As the Salem, Oreg., Statesman has put it: “If we have any foreign trade at all, some group is apt to suffer; but we are hardly ready to quit trad- ing with foreign countries.” In this instance, however, a little more than that is involved. Protection of the growing Pacific coast crab canning and fish- ing industry would contribute to the Amer- ican economy. The importation of the Rus- sian adds a little something to American foreign trade, even to the volume of Seattle’s foreign trade. It also contributes to the Russian economy by providing a market here for the Russian product. If we had to make the choice, we would string along with Con-= gressman Mack, being considerably more in- terested in what helps Americans than in anything at all that may help Soviet Russia. ILWACO TRIBUNE The Ilwaco Tribune of Ilwaco, Wash., commenting on Russian crah imports, said recently, editorially: The Japanese formerly sold 85 percent of their entire pack, about 250,000 cases a year, in the United.States. The Russians will, I am sure, if we permit them to, sell an equal A3627 amount here. If they do, our prosperous Pacific coast crabbing industry, in which millions of dollars have been invested will be destroyed. Our American fishermen and cannery workers cannot compete with the slave labor of Russia. If our crabbing business is destroyed by Russian competition, what will our fisher- men, who have invested their life savings in fishing boats and gear, do? A bureaucrat in Washington, D. C., several years ago suggested that workers displaced by foreign imports should get into other work, “making type- writers, for example.” That isn’t easy. SOUTH BEACH NEWS The South Beach News, of Westport, Wash., in a lengthy editorial deploring the increasing imports recently, said, editorially, in part: We of the South Beach News have been perturbed for some time about the Russian crab imports and have done what we can to call attention to the situation. It is a consolation to know that the threat is realized, but it would be more of one were we assured that something would be done about it. There is every reason to believe that the Russian imports will not only continue but they willincrease. Russia gained the Kuriles and other island bases close to profitable fishing bases of Japanese fishermen before the war. There is little doubt that as long as there is a market in the United States for Russian crab meat that they (the Rus- sians) will exploit those fishing grounds to the utmost, This is no news to the economists, the State Department, and the heads of ECA in Washington. Such being the case, it would seem that they would be perturbed to the point where some action would be taken toward imposing a tariff, but tariffs, it seems, are taboo in this enlightened age. Rather than a protective tariff, the admin- istration, or at least the State Department and the ECA, are in favor of what they call “relief’’ for those who are hurt by the tax-free imports. We suppose this means that the Govern- ment will make up to the domestic processors the difference between the price which will be set by the imports, and that at which they would have to sell to make a fair profit. Personally, it would seem much more sound to us if the Government would save its money, put a tariff on crabmeat that would protect local packers, and let Russia solve its own economic problems. But, of course, we are not schooled in enlightened thinking. RAYMOND HERALD The Raymond Herald of Raymond, Wash., denouncing the growing importa- tion of Russian canned crab, recently said editorially: Our Third District Congressman RusseLu V. Macx recently called attention to the fact that 15,000 cases of canned crabmeat from Russia had been unloaded at a Seattle dock. The Congressman’s revelation was significant and distressing. We recall that before the war most of our canned crabmeat came from Japan. Then, when that industry was put out of business at the outbreak of hostilities, American fisherrnen began building a fleet of boats to fashion our own crabbing industry, and fish canning plants installed facilities for proc- essing the crabs brought in by our own fisher= men. Now that the war ts over and something like normalcy restored,the Russians are plan= ning to capture this industry. They will be able to do it, too, under the present free-trade
A3628 set-up and spineless foreign policy of our national administration, because of their low standards of living and slave-labor condi- tions. Unless some way is found to halt it, American labor, much of it right here in Pacific County, will be the victims. CORVALLIS (OREG.) GAZETTE-TIMES Concerning the increasing imports of canned crab from Russia the Corvallis Daily Times, published in the inland town of Corvallis, Oreg., said: Congressman RUSSELL Macg, of the State of Washington, calls attention to the fact that recently 15,000 cases of Russian canned crab- meat were urloaded in Seattle. Before the ‘war most of our canned crabmeat came from Japan. Then, when this industry was put out of business, Americans immediately began pbuilding a fleet of boats to fashion our own crabbing industry. Now that the war is over and something like normalcy restored, the Russians are planning to capture this indus- try. They will be able to do this under pres- ent free-trade policies because of their low standards of living and slave-labor con- ditions, There doesn’t seem to be much that can be done about it now. We are spending mil- lions in western Europe to stop the forward march of communism and neglecting the pack door nearer home, both economically and in our policy toward the Far East. Some day our international economic folly is going to catch up with us. SPOKESMAN REVIEW The Spokesman Review, published in Spokane, Wash., which is 400 miles in- land from the Washington seacoast, likewise expresses alarm over the growth in imports from Russia. Editorially, it said recently: Russian imports into the United States are increasing at such a rate that they may soon prove a serious threat to certain aspects of the American economy. At present, congressional leaders are be- coming increasingly alarmed over the ap~ pearance, in large quantities, of shoes, hats, crabs and furs from Russia and her satellites. Mass produced by slave labor and benefit- ing from the Soviet state-trading program, such items can. be sold in the American mar-~ ket at a low price which domestic producers cannot equal, These goods threaten to drive domestic in- dustries out of business if their import re- mains uncontrolled by tariff and regulatory measures. As is to be expected, this unfair competition is causing increased unemploy- ment in the United States. Ironically, while spending billions of dol- lars abroad to oppose communism, the United States is now helping to support certain in- dustries in iron-curtain countries, Of particular interest to the Northwest is the reported Russian penetration of the United States fur market. In recent years, Russian fur imports are said to have in- creased 800 percent. By contributing 30 per- cent to the United States fur-import total, it is claimed by domestic fur interests that Russia now dominates and controls the Na- tion’s fur market. The situation is arousing public indigna- tion. However, all protests to the State De- partment appear to have gone unanswered. It has even been officially suggested that the « Department is contemplating further tariff cuts, which would intensify Russian eco- nomic penetration. Federal officials owe the Nation an explana. | tion of their policy in the matter, consistent with the best interests of American indus- try, jobs and her anti-Communist foreign aid programs. Rail Talks Resume; Industry Warns of Shut-Down in Strike EXTENSION OF REMARKS oF HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the Recorp an article entitled “Rail Talks Resume; Industry Warns of Shut-Down in Strike,” appear- ing in the New York Herald Tribune of May 13, 1950. There being no objection, the article was ordered to be printed in the Rrcorp, as follows: Rat Tatks Resume; InDustry WaRNS oF SHUT-DOWN IN STRIKE—MEDIATORS MEETING Two Sives SEPaRATELY—G, E. APPEALS TO Truman; Some TRAINS RESTORED; New Dis- ORDERS REPORTED (By Robert A. Bedolis) Mediation efforts to end the 38-day-old strike against four major railroads were re- sumed yesterday, with the National Media- tion Board conferring separately with repre- sentatives of the railroads and the striking Brotherhood of Locomotive Firemen and Enginemen, unaffiliated. It was understood that Francis A. O’Neill, Jr., chairman of the board, and its other members submitted settlement proposals. While early reports of developments toward a@ settlement were discounted last night, the renewed activity of the board stimulated some hope that an agreement may be found soon. LAY-OFFS INCREASE On the negative side, the day’s develop- ments included new reports of violence; a slowly increasing pinch on business, especi- ally in parts of the 27-State strike area which depend on the struck roads for all or most of their rail transport; and increasing lay-offs and the prospect of more if the strike continues. It was hinted by some union offi- Clals that the strike against the New York Central system, which has been limited to divisions west of Buffalo, may spread east- ward tf a settlement is not reached soon. A development on the positive side was the announcement that some additional trains are being restored by struck roads in the af- fected area. The dispute involves the union’s insistence on the employment of two instead of one fireman on many multiple-unit Diesel loco- motives. SABOTAGE CHARGED In Cleveland, the front wheels of a New York Central two-unit Diesel locomotive pulling a 59-car freight train were derailed under circumstances which the railroad de~ scribed as “a deliberate act of sabotoge.” The train was moving slowly in the rail- road’s Collinwood yards and no one was hurt. D. W. Taylor, New York Central police chief, said he summoned the Federal Bureau of Investigation to investigate. He said the derailment occurred because a piece of wood had been Jammed into an automatic switch, keeping it from closing all the way. He said only the slow speed of the train at the time prevented injury to the 5-man crew and damage to the other cars. None of the freight cars left the rails. The union denied APPENDIX TO THE CONGRESSIONAL RECORD any knowledge of the thcident, or that it was caused by strikers. The New York Central also reported that @ bullet was fired into the cab of a Diesel freight locomotive as it pulled out of Elk-~ hart, Ind., and “barely missed” the engineer, The Southern Railway, one of the four af- fected, said that it stopped operations in its Knoxville, Tenn., division yesterday because of shots fired at trains in that city Thurs- day. A clerical worker serving as a fireman suffered a flesh wound then. New York Central reported that another 15,000 of its employees stand to be fur- loughed over the week end if the strike does not end, which would bring this rallroad’s total to 40,000 laid off. The Pennsylvania Railroad, which is struck west of Harrisburg, said the 85,000 employees it has furloughed may also increase by thousands. The Southern has reported 18,000 workers laid off because of the strike. The fourth railroad involved, the Atchison, Topeka & Santa Fe, in the Middle and far West, has laid off many workers, but gave no total. It was estimated that more than 175,000 workers have been made jobless, in- cluding mineys in western Pennsylvania and Indiana, where lack of coal cars has closed scores of mines. The Pennsylvania Railroad, which had not attempted to run any trains in its struck divisions at first, announced that it operated 10 freight trains west of Harrisburg yester~ day on its main east-west lines. The rail- road said it expects to increase this number today. Few Pennsylvania freight and no passenger trains are onerating in the strike area. The railroad s21a it re_tcrec the trains yesterday “in an effort to provide some serv- ice to industry and business * * * and to relieve to some extent public inconven- lence and possible hardship.” CENTRAL PUTS TRAINS BACK The New York Central announced that it added 2 passenger trains yesterday to the 10 passenger trains it has operated since the strike began, Another, the James Whitcomb Riley, which serves Indianapolis and Cincin~ nati, will be added today, the railroad said. The union first demanded that all mul- tiple-unit Diesel locomotives carry two fire- men, but just before the strike conceded that it would accept an agreement calling for arbitration to decide whether a second fire- man should be employed only on multiple- unit Diesels used on crack passenger runs, Arbitration would call for an impartial third party to make a binding ruling. The railroads describe the demand as “featherbedding”—employment of unneces- sary workers—and emphasize that two im- partial Presidential fact-finding boards have ruled against the union. Under the Rail- way Labor Act, which provides for fact-find- ing boards, such recommendations are not binding. The strike created a business boom for airlines, trucking companies, and nonstruck railroads which serve areas in which the four affected railroads operate. Airlines at LaGuardia Field said they added 42 extra flights yesterday because of the strike. The General Motors Corp. reported that £,900 of its employees, mostly in Fisher body plants, have been laid off because of the rail strike. General Motors, Ford, and Chrysler said a serious effect on their pro- duction was anticipated if the strike lasts into next week. Harrisburg steel mills and those in other areas warned of possible lay-offs of thou~ sands of workers if the rail strike continues. Buffalo reported 500 mill employees idle, in addition to rail workers. In western Penn- sylvania 25 percent of coal production was reported tied up by the strike.
APPENDIX TO THE CONGRESSIONAL RECORD In Toledo, Willys-Overland Motors put 4,500 of its 7,000 production workers on a 4-day week “‘to conserve inventories.” A. M. Hartung, vice president in charge of personnel and public relations for the Rail- way Express Agency, said that an express embargo on shipments to towns served only by the struck roads has been imposed. But he said that shipments to cities which are also served by other railroads are being satis- factorily served by the express company, although there have been a few “slight delays.” He described the situation as “not very harmful.” Rent Control EXTENSION OF REMARKS oF HON. RAY J. MADDEN OF INDIANA IN THE HOUSE OF REPRESENTATIVES Monday, May 15, 1950 Mr. MADDEN. Mr. Speaker, I am re- ceiving dozens of letters and telegrams from the great industrial Calumet re- gion of Indiana pleading for the exten- sion of rent control. The following article by William Green, president of the A. F. of L., sets out numerous facts explaining the neces- sity for rent-control extension: Rent Conrrot Must Be ExrenpreD (By William Green) Within a matter of a very few weeks your Congressman and Senators will be voting on a subject of utmost importance—con- tinuation of rent control for another year. Whether or not Congress decides to extend the rent-control law not only will affect the 8,000,000 members of the American Fed- eration of Labor as well as all the tenants and landlords of this country, but also, because of its broad implications, will have an important bearing on the well-being of every man, woman, and child in America. The sixty-eighth convention of the A. FP. of L., which met last October, unanimously recommended that “until the supply of low-priced housing units can be equalized with the demand, effective rent control must be maintained so that families will not be faced with exorbitant increases in rents.” Following this convention action, the ex- ecutive council, at its most recent meeting, unanimously adopted a statement empha- sizing that until there is a large increase in the supply of homes for low~ and middle- income families, an effective rent-control program must be continued. The executive council concluded its statement with the following sentence: “We can safely remove rent controls in only one way—by building an adequate sup- ply of homes that fit the pocketbooks of the millions of families who are without decent housing today.” Opponents of rent control have attempted to show that there is no longer any shortage of housing. The fact is that despite a recent spurt in residential construction, there still remains a severe housing shortage, particu- larly of homes and apartments renting at levels that low- and middle-income families can afford. The Rent Control Act passed in 1949 con- tained a provision permitting local governing: bodies of cities and towns to decontrol their own communities. local option provision. If opponents of rent control were correct and there were no longer a housing shortage, the American people would have acted to XCVI—App.——229 This is the so-called take advantage of this very liberal local option decontrol provision. The fact is that very few cities have elected under this pro- vision to remove rent controls. Despite intense pressure from the real es- tate interests, the city councils of only 249 cities—only 6 percent of communities under rent control today—had elected to remove rent control by April 1 of this year. This total includes only 10 cities with more than 100,000 population and 18 others with over 50,000. In order to determine just how the re- moval of rent controls would affect A. F. of L. members, the A. F. of L. Housing Com- mittee has just completed a special survey of all communities throughout the country in which there are A. F. of L. central labor unions. The survey shows that of the 691 com- munities which have ever been under rent control, 459, or two-thirds are still under rent control. Only 87, or less than 13 percent, were decontrolled by the local option method. These over-all figures are supported by a State-by-State analysis indicating even more conclusively the catastrophic impact that sudden decontrol would have on A. F. of L. members. Thus there are 10 States and 1 territory where not a single community with a central labor union has been decontrolled. In some of the larger States only a few of the very smallest cities have been decontrolled. This survey clearly indicates that the great majority of A. F. of L. members, including these in a great many relatively small com- munities, are still protected by rent con- trol. The sudden removal of rent controls would inevitably be reflected in a sudden in- crease in family expenditures for millions of union families throughout the country. The wisdom of maintaining rent controls becomes crystal clear when we discover what has happened to rents in some of the communities where rents have been decon- trolled. In November 1949, the Department of Labor made a survey of residential rents in seven decontrolled communities. The survey showed that in those communities tenants whose rents had been raised were forced to bear an average increase of from 16 percent in Salt Lake City to 40 percent in Houston. Moreover, the rent increases affected from one-third to three-fifths of all the tenants in those communities. The Labor Department’s findings have been confirmed by a recent survey made by a@ very strange source, the National Asso~ ciation of Real Estate Boards, which is the backbone of the notorious real-estate lobby in Washington. Of 100 decontrolled cities in 30 States, the survey showed that rents increased for half of the tenants in decon- trolled areas of over 50,000 and for 55 per- cent in cities of over 100,000, thus pointing out the tremendous number of families whose rents would be raised if all remaining rent controls were removed. According to the survey, the average tenant whose rent was raised had to pay 22 percent more for rent after decontrol. Moreover, tenants in the smaller cities whose rents were raised sustained larger rent increases than tenants in the larger cities. This indicates very clearly that rent con- trol is by no means exclusively a big-city problem. While these figures are significant in them- selves, they are averages which tend to con- ceal the fact that decontrol hits low-income families the hardest. Low-income families spend a larger proportion of their income on rent than families in the higher income groups. The Federal Reserve Board reports that in 1948 families with annual incomes under $2,000 spent 23 percent on rent, com~ pared with 12 percent for all families and only 9 percent for families with incomes of $5,000 and over. Thus it is clear that a rent increase for a low-income family looms larger A3629 in the total family budget than a comparable increase for a higher income family. Yet, the Labor Department survey of de- controlled communities to which I have re- ferred indicates that a greater porportion of the low-income families reported rent in- creases than those in the higher income groups. In the cities where income data was obtained, the proportion of families with in- comes under $2,000 whose rents were raised ranged from 48 to 71 percent as compared with a range of only 22 to 37 percent for families with incomes of $4,000 or more. Let us examine specifically what these in- creases in rent would mean to the average worker and his family. Let us use for our example a factory worker whose earnings are $50 a week, approximately the present Nation-wide average. Let us assume that this worker is spending approximately 20 percent of his income for rent, about $10 a week. If rents in his community are decontrolled, the Department of Labor survey indicates that his rent would rise by at least 25 per- cent or $2.50 a week. This increase in rent is equivalent to a wage cut of 5 percent, or over 6 cents an hour, assuming a 40-hour week. Under these circumstances the im- plications for collective bargaining are bound to be quite far-reaching. From my long experience in the labor movement, I know that a widespread wave of sizable rent in- creases will inevitably be reflected in the demands of organized workers for higher wages. Congress must face squarely this issue of rent control. It may well decide that Fed- eral rent controls should not he extended beyond June 30. If it does make this de- cision, it must realize the full consequences of its action. But this is not enough. I urge each and every A. F. of L. member to write immediately to his Congressman and Senators. Let them know what the end of rent con- trol would mean to you and your family and to other workers’ families in your commu- nity. Let them know that if Congress allows Federal rent control to lapse, it will mean substantial and widespread increases in rents, with the greatest burden falling upon those least able to withstand it. Let them know that the workers in your community want Congress to extend Federal rent control for the next 12 months. Curtailment of Postal Service EXTENSION OF REMARKS oF HON. ANGIER L. GOODWIN OF MASSACHUSETTS IN THE HOUSE OF REPRESENTATIVES Monday, May 15, 1950 Mr. GOODWIN. Mr. Speaker, under leave to extend my remarks in the Rec- orD, I include the following resolution of the Council of the City of Medford, Mass., as offered in the council by Mayor Frederick T. McDermott: Be it resolved, That this council does here- by record itself as being incensed by the action of the Congress of the United States in the passage of any law or appropriation which results in the reduction of operational costs of the United States Post Office Depart- ment to the extent that the Department has been forced to resort to the dismissal of many veterans of World War II from employment; and
A3630 Whereas this curtailment of employment has resulted in the discharge of five amputee veterans from this district already known to the sponsor of this resolution, it is undoubt- edly repeated in many other sections of the country, and constitutes a sad commentary of justice to those who made great sacrifice to their country in the Armed Forces: There- fore be it Resolved, That this council does hereby seriously appeal to the Congress of the United States to take immediate steps to cor- rect this unspeakable condition by an emer- gency appropriation of funds to provide for the reemployment of these men who have been forced into unemployment at the ear- liest possible time; be it further Resolved, That a copy of this resolution be transmitted upon its passage to the Members in Congress for their serious consideration and action thereon. Bureau of Reclamation Promutes Two EXTENSION OF REMARKS OF HON. JOHN R. MURDOCK OF ARIZONA IN THE HOUSE OF REPRESENTATIVES Monday, May 15, 1950 Mr. MURDOCK. Mr. Speaker, I was pleased to learn the other day of the promotion of two worthy employees of the Bureau of Reclamation, Department of the Interior. As chairman of the Subcommittee on Irrigation and Recla- mation, and as one who has worked closely with that Bureau since coming to Congress in 1937, I have had occasion to know and appreciate the good: people who work there. The two employees I refer to are Mr. Goodrich W. Lineweaver, who has been promoted from Director of the Branch of Operation and Mainte- nance to Assistant Commissioner of Reclamation and Mr. E. D. Eaton, who has been promoted from Assistant Di- rector of Operation and Maintenance to Acting Director of that branch. I quote from a release from the De- partment of the Interior, issued on April 28, 1950: LINEWEAVER NAMED ASSISTANT RECLAMATION CoMMISSIONER Promotion of Goodrich W. Lineweaver to Assistant Commissioner of the Bureau of Reclamation was announced today by Sec- retary of the Interior Oscar L. Ghaprhan, Mr, Lineweaver has been Director of the Bureau's branch of Operation and Maintenance for the last 5 years. At the same time, E, D. Eaton, who has been assistant director of Operation and Maintenance, was named acting director, The appointments were the recommenda- tion of Commissioner of Reclamation Michael W. Straus. Mr. Straus said an additional Assistant Commissioner is urgently needed to handle the expanding administrative bur- den of a water resources development pro- gram. The new Assistant Commissioner, Mr. Straus said, will have immediate supervi- sion of program, and finance operations of the Bureau of Reclamation, including ap- propriation presentations before the Bureau of the Budget and the Congress in addition to special assignments. Mr. Lineweaver has been with the Bureau of Reclamation since 1937 in various capaci- ties and has been Director of the Branch of Operation and Maintenance since 1945. In this position he has supervised the opening to homestead entry, by war veterans, of more than 50,000 acres of public lands comprising about 500 irrigated farms on Western Recla- mation projects. Mr. Lineweaver first served the Federal Government as Secretary of the Federal Power Commission from 1934 to 1936, and has been associated with western resources development constantly since that time. He is a native of Harrisonburg, Va., and served as an officer in the United States Army dur- ing the First World War. With Mrs, Line- weaver, he resides at 3511 Davenport Street NW., Washington, D. C. Other Assistant Commissioners are Ken- neth Markwell and Wesley R. Nelson. Both continue their present positions within the Bureau with specific responsibilities little changed, Commissioner Straus said. Mr. Eaton, the new acting head of the Op- eration and Maintenance Branch, has been with the Bureau of Reclamation since 1943, Prior to the war, he was with the Soil Con- servation Service in Albuquerque, N. Mex, and elsewhere in the West. He is a native of New York, a graduate of Cornell University, and resides with his fam- ily at 5805 Kirkside Drive, Chevy Chase, Md. Industry Hard Hit by Rail Stoppages EXTENSION OF REMARKS HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr. President, I ask unanimous consent to have printed in the Appendix of the Rrcorp certain news dispatches from Detroit, San Francisco, Philadelphia, Schenectady, Pittsburgh, Los Angeles, and Charlotte, N. C., as they appeared in the New York Times of May 13 under the heading “Industry hard hit by rail stoppages.” There being no objection, the articles were ordered to be printed in the Rrcorp, as follows: Inpustry Harp Hir sy Rai SrToprpaces— Heavy Lay-Orrs SEEN as Viral SUPPLIES Pitz Up—Roaps Srarr SKELETON Runs Detroit, May 12.—As the railroad strike continued to hit the automobile industry to- day, General Motors Corp. announced drastic cut-backs in overtime work, and furloughs for 500 employees in its Fisher Body Plant Jn Flint. The company had already laid off 400 yesterday at its body plant in Grand Rapids. The Michigan Central Railroad, a subsidi- ary of the New York Central, completed the laying off of 13,500 of its 15,000 employees in Michigan, 10,000 of them in the Detroit area. Truckers reported boom business. Howard Minnich, executive chairman of the Michigan Trucking Association, said that its members had not been nearly able to meet demands. Competition for truckers’ services was ex- pected to mount so sharply as to limit deliv- eries only to highest priority items, he added. ForD CRIPPLED IN WEsT San Francisco, May 12.—Freight handling costs at the Ford Motor Co.’s assembly plant at Richmond, on the East Bay, have been quadrupled by the railroad strike, company spokesmen said today. . Ford receives 80 percent of its parts over the Santa Fe, and is now transshipping some APPENDIX TO THE CONGRESSIONAL RECORD materials by barge from the Western Pacific’s tracks in San Francisco. Other materials are being trucked from railheads of the Southern Pacific, Spokesmen for the Santa Fe had no official count of its workers involved in the strike, but estimates are that as many as 1,000 rail men in this area may be idle next week when the company’s local shops and yards are shut down. THE PENNSYLVANIA MovES FREIGHT PHILADELPHIA, May 12.—The Pennsylvania Railroad anounced it had started operation of 10 freight trains today on its east-west main lines, west of Harrisburg, Pa., and ex- pected to increase the service tomorrow. Movement of freight on the Pennsylvania Railroad west of Harrisburg has been at a standstill since the firemen and enginemen went on strike 8 days «go. A spokesman said supervisory personnel were on the locomotives. GENERAL ELEcTRIc Is Hir Scuenecrapy, N. Y., May 12—The General Electric Co, announced today that the com- pany’s plants very shortly will be paralyzed unless the railroad flremen’s strike is settled. The statement was made in a telegram to President Truman and sent by Harry L. Erlicher, vice president in charge of purchas- ing and traffic. Paralysis of the plants, he said, would cause immediate heavy lay-offs. In a statement to the press, Mr. Erlichor added that, “we are so dependent upon hundreds of suppliers for materials which can be transported only by railroads that opera- tions will stop in a number of places very shortly unless the strike is settled immedi- ately.” He asserted that irreparable damage al- ready had been done by a halt in shipments and supplies. The Schenectady works, he said, employing about 32,000, would not be affected as much as other G. E. plants. \ TWENTY-THREE Masor Coat SHutT-Downs PirrsBuRGH, May 12—Lack of empty rail- road cars raised the total of major coal mines shut-downs to twenty-three today in the strike of railroad firemen. The number of small pits that have closed is not known. Coal miners made idle by the railroad walk- out rose to at least 7,500. The daily produc- tion loss is estimated at almost 49,000 tons of soft coal. Lay-Orrs Loom in Los ANGELES Los ANGELES, May 12.—Lay-offs are expected to start next week in local industries that have begun to feel the crippling indirect effects of the strike of locomotive firemen and enginemen against the Santa Ie system. Nash Motors, at Inglewood, notified its employees that it has supplies large enough only to carry the plant through Monday, and the employees were alerted to possible lay- offs. A meat packer on Santa Fe lines said that all livestock is now being trucked to the plant. A machinery company reported that opera- tions might cease next week because car- loads of supplies via the Santa Fe have been immobilized. Many other plants reported that losses were mounting because they have to hire trucks to haul materials formerly unloaded from Santa Fe cars in their plants. Santa Fe maintenance shop shut-downs in seven western cities have made thousands of rail workers idle. Cuartorrz, N. C., May 12.—The Southern Railway announced here today it was sched- uling 32 additional passenger trains, Four-
APPENDIX TO THE CONGRESSIONAL RECORD teen of these trains serve the Carolinas. The announcement came from the system’s East- ern Lines headquarters here. Locomotives are being manned by regular engineers and carried firemen who disre- garded the strike call or who normally were engineers or supervisory employees, the road reported. Passenger service scheduled for restoration through the Carolinas included the Crescent, operating between New York and New Orleans. The Kerr Natural-Gas Bill EXTENSION OF REMARKS HON. ROBERT S. KERR OF OKLAHOMA IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. KERR. Mr. President, I request unanimous consent for insertion in the Appendix of the Rrecorp excerpts from newspaper reports and comments, and certain quotations from certain Members of Congress concerning the Kerr gas bill. There being no objection, the matters were ordered to be printed in the Rrc- orp, as follows: AMERICA AT CROSSROADS We may as well make our choice now, whether we stop our drift into regulation, or we must just give up and regulate every- thing else. (Boston Herald.) UNHOLY ALLIANCE Tt is true that the industrial interests of the North and East formed a temporary al- liance with the socialistic politicians to de- feat the bill, feeling that it would raise the price of natural gas for their own use, but that does not alter the fact that the Federal Power Commission and its coworkers in the administration’s program of nationalization have a long-range goal of a powerful social- ized control. (Oklahoma City Times.) Main SPEECH Kerr’s ringing defense of the independent gas producers and the pending legislation represented his most important speaking appearance since he made the Democratic Keynote speech at Chicago in 1944. This carefully prepared address on the Senate floor—weighted with documentary evidence and brightened with wit and anecdote— brought new zest to the dullness of legisla- tive tedium and established the junior Sen~ ator from Oklahoma as one of the Senate’s best performers. * * * By the sheer force of his own persuasion, Senator Krrr pulled himself out of a defensive position. Turning ‘the tables on the critics who have been trying to pit him against the Ameri- can consumer, Senator Kerr urged the pas- sage of his bill ‘as the best insurance” for a continued growing supply of the best and cheapest fuel, Senator Kerr’s popular- styled speech, clarifying both the legal and practical basis for his case, drew an unusual response from a body conditioned to the best in oratory and legislative strategy. Upmitn Vicrory After an uphill battle against heavy odds, the Oklahoma author of the gas measure has scored a decisive personal victory and opened the way for expansion of the gas in- dustry in the Southwest. Senator Kerr, as a wealthy oil and gas operator and principal authority on the industry, has been made a chief target by the opposition who thus sought to discredit the legislation as an ex- ploitation of the consumer. Hence, the Wednesday vote amounted to a vote of con- fidence in Senator Kure personally. (Tulsa Tribune.) OPA Wrone War We believe Mr. Truman has chosen the wrong way to insure people gas. If the OPA principle didn’t work on meat and clothing, there is no reason to suppose that it will on fuel. (Chicago Daily News.) FEDERAL ENCROACHMENT It is clear that Speaker RaYsURN spoke the truth when he told the House, “This Kerr bill will not raise the price of natural gas to any consumer in the United States one red cent.” There remains, of course, the question of Federal encroachment upon the rights of States and individual citizens. Defeat of the Kerr bill would have meant that an al- ready powerful Federal agency would have still more power. For that reason, also, it is good that the effort to defeat the Kerr bill has failed thus far and with President Truman’s signature will fail completely. (Dallas Times-Herald.) SvuBJECT PROVINCES So far as the people of the Southwest were concerned, the bill was “in the public in- terest.” But we’re outnumbered—there are more votes in the overcrowded cities. And we're condemned to stand by and see our irreplaceable gas drained out from under us at a price set by a Government in control of those hostile to our best interests, drained to warm the inhabitants of eastern cities ad- jacent to the coal fields. It sometimes seems that the people of the North and East regard the South and South- west as subject provinces. (Texhoma (Okla.) Times.) Fansz CLuAIms The utter fallacy of claims of opponents of the Kerr bill that its passage would in- crease gas prices to consumers is so easily proven I can’t understand why radio com- mentators and others fell for such misrepre- sentation of facts. We feel false information was supplied radio commentators and others about the Kerr pill and that most of us who knew the facts, including this columnist, were ex- tremely derelict. (Andrew Rowley, oil editor, Tulsa Tribune.) PropaGaNpa CAMPAIGN Seldom has the Nation seen such a cleverly organized propaganda campaign against a pill in Congress. PERSONAL FIGHT Fainter hearted figures would have quailed before the barrage of vilification and abuse heaped upon Bos Kerr as he made his fight for the gas bill. All of Washington is talking now, though, about the brilliant fight he con- ducted for the bill during almost a week of debate, much of it marked by haranguing from the comma-counting crew led by Mis- souri’s Republican Senator DONNELL. (Mc- Alester (Okla.) News-Capital.) BaTtrLe CONTINUES Knowing Bos Kerr as we do, and with a consciousness of his varied abilities, it is safe to say that the battle in behalf of the inde- pendent producers of natural gas is not yet over. And, up to now, it is an issue on which the powerful northern and eastern interests have outmaneuvered the people who own A3631 and produce natural gas for a great part of the Nation. The matter deserves more thoughtful attention than the people of OKla- homa have given it. And, when it again becomes an issue before Congress, it will be a matter that should be given forceful back~ ing in behalf of a measure that is important to this State and its citizens. (Frederick (Okla.) Leader.) Smear CAMPAIGN Never within his memory, said Representa~ tive Lyue, of Texas, during House debate on the Kerr natural gas bill, has a measure been so falsely, maliciously, and deliberately mis- represented. This widespread campaign of distortion and misstatement continues while the bill is before President Truman for his approval or veto, matched only by the vicious personal attacks directed at sponsors of the legislation, and especially its author, Senator Kerr, of Oklahoma. (Fort Worth Star-Tele- gram.) Real PuRPOSE The “billion dollar steal” cry had no more basis than the imagination of Congressman Youne and his associates. They had noth- ing to base it on except their own mistrust of the traditional free-enterprise system. They just prefer Government regulation to free competitive operation. Speaker Raypurn put his finger on their real objective when he said in reference to the position of another Clevelander: “If I felt, as my distinguished friend from Ohio [Mr. Crosser] has indicated he feels, that the Federal Government should own and contro: all the natural resources of this country, then my position on this and much other legislation certainly would be changed.” (Cleveland News.) Freip Gas CHEAP These housewives might bs glad to know that 4 cents would be a generous estimate of the field price of the gas they use in a month’s cooking. They might also be glad of the reassurance of Speaker Rarsurn, who is at least as well informed on the subject as Senator Douczas, that the Kerr bill would not increase the price of gas by one red cent. The Daily News is for low gas prices. We are convinced that the way to have ‘them is to encourage producers to find more gas and to sell it to the pipelines. Transmission costs drop as volume increases, and the more high-priced manufactured gas that is dis- placed by natural gas, the greater the saving. (Chicago Daily News.) [Congressional comment] Uncie Sam INVADES Why must the forces of Uncle Sam march past the statehouse, past the county court- house, on down to each farm and pasture and commissioner’s precinct to apply a new cost formula when a proper Federal control already exists? The consumer is protected from unreason- able prices. The fear of unreasonable prices is not a justification for defeat of this legis~ lation. OFF KEY Remember, the producer sells his gas for an average of 5 cents per thousand cubic feet in the Southwestern States; the house- holder pays $1.25 for that gas. Some Sena- tors say the consumer needs more protec- tion. If the consumer needs more protec- tion, I say the consumer needs more than 65 cents’ worth. (Senator LYNDON JOHNSON, Democrat, Texas.) New Price Fix If we permit an OPA price to be placed upon the commodity of an independent gas
A3632 producer, through default of our congres- sional duties, that will be the only instance on our economy where a nonutility price is fixed. No present or foreseeable peril to the consumer exists which would justify such jsolated price fixing. (Senator EDWIn C. JoHNSON, Democrat, Colorado ) GENERAL INTEREST Between 60 and 70 percent of the total area of continental United States is preven as potential gas-producing territory. This area is owned by tens of millions of Amer- icans any one of whom has the right and priv- ilege to prospect for and produce, if found, natural gas. And so, Mr. President, any American citizen becomes a potential pro- ducer of oil or gas, either on his own acreage or upon leases secured from others Many Americans now have, or at one time did have, an interest in what is commonly referred to as a Wildcat well. (Senator Roperr S. KErr, Democrat, Oklahoma.) Smatt OWNERS Hurt Gas fields are owned in the main by many small landowners, each holding a royalty in- terest in the production from the field or from his block. If Federal price controls should be imposed, production curtailed, and operators hamstrung by Federal edict, thou- sands of small farmers and landowners would be deprived of what has come to be part of their liveluhood. The royalty income that farm owners now receive from natural-gas preduction, which in effect represents the price at which they sell ther minerals—their own private property—would no longer be fixed by the law of supply and demand, but, instead, by an all-powerful Federal bureau. Should this bill be defeated, the door would be opened for Government regulation of sales of privately owned real-property rights, min- eral leases, royalties, mineral rights, and even the minerals themselves. In one section of Louisiana, there are more than 1,500 people who own mineral rights in a single gas-pro- ducing unit (Senator ALLEN J. ELLENDER, Democrat, Louisiana ) Bum STEER If such a theory were a good one, 4 proper one, we might have the following situation: A man in Iowa might have some nice beef cattle which he was feeding Iowa corn. A man in Chicago might say, “I should like to have that beef steer.” “But, it does not be~ long to you,” someone might say. “It belongs to a man in Iowa.” The Chicago man might say, “Yes, but he is go.1g to ship that beef steer to Chicago, It is going to enter inter- state commerce, and, therefore, the Govern- ment has the right not only to regulate its actual transportation but to regulate its price right down to Iowa, and Mr. Iowa Cat- tle Dealer, you must sell your cows, you must sell your steers, not at your price, not at the price the packer is willing to give you, but you must sell your cattle at a price fixed by @® bureau in Washington, whose mind changes as it sees fit to change it.” (Sena- tor Tom Conmatyy, Democrat, Texas.) Nationa, DerensE We used to say that an army traveled on its stomach; but today, Mr. Prosident, an army also travels on gasoline and oil, pro~ duced by the same drill, in the same well, at the same time natural gas is produced. So, let me repeat that in view of all the prob~ lems confronting us today, we should be con-~ sidering measures to increase, rather than reduce, the incentive for the development of natural gas, (Senator Lustzr Hunt, Dem- ocrat, Wyoming.) No GoucE These facts do not support any theory that gas is a monopolistic operation or that it is engaged in a conspiracy to gouge the public through exorbitant prices. Quite the con- trary. (Senator BourKE B, HICKENLOOPER, Republican, Iowa.) SoctaLisTic SWEEP Mr. President, this is a two-way road. If we regulate independent producers and gath- erers at a time when they are doing a good job, and before it 1s proved necessary to reg- ulate them, they will join other forces and say to the people, in the coal-producing States, and in the States producing other commodities, ‘‘We ought to regulate those industries.” The next step after complete regulation of industry 1s nationahzation of industry. Let those who say there is too much regulation go back to their States and explain to their constituents why they voted to regulate an industry which has brought down the price of gas to the consumer 12 percent in 12 years. (Senator Ennest W. McFartanp, Dem~ ocrat, Arizona.) Dancer SIGNAL There are some who fcel that everything should be regulated at the Federal level. Right now natural gas is their target. If they are successful in this attempt, who can predict what commodity will be next to he removed from private enterprise and placed under bureaucratic restrictions? (Senator Epwarp MarTIn, Republican, Pennsylvania.) INDUSTRY PRAISED The question before you is to determine whether you think it wise or unwise to im- pose Federal control on an American indus- try which, up until this time, has been a credit to its members, its producers, its engl- neers, and its staff workers, and whose product has brought no cause for justifiable complaint to any consumer anywhere. (Sen- ator Harry Cain, Republican, Washington.) Goon ComPany In being for this bill, as I was when it originally passed the House, and as I am now in favoring concurring in the Senate amend- ment, I have some preity good company. The Federal Military Establishment was asked about this bill, and this is the guts of what they said, after all elements of the De- partment of Defense has studied it: ‘“Enact- ment of the bill will remove uncertainties now existing as to the extent of the applica- tion of the Natural Gas Act and will clarity its terms. Its effect should be to encourage the development of oil and gas resources and thus would be of benefit to the national se- curity.” That is what our whole Military Establish- ment says about this legislation. ONE RED PENNY In my opinion—and I state this to you de- liberately, I would not deceive you, you know that—this will not raise the price of natural gas to any consumer in the United States one red penny. I think this thing should be got- ten out of the way. We should concur in this Senate amendment, and then have this study and sea where we go from there. (Speaker Sam Rarsurn, Democrat, Texas.) Bust Dzau Who then, Mr. Speaker, could question the soundness of a law that has brought cheap fuel to millions of consumers? APPENDIX TO THE CONGRESSIONAL RECORD I say to you with all the sincerity that I have, with a lifetime of study of this prob- lem, that the passage of this measure will permit the industry to continue to supply millions of more people at rates consider- ably below that which they are today. It not only will not increase the cost to the consumer but it will reduce the cost to the consumer, (Representative JoHN &, Lyx, Jr., Democrat, Texas.) VETO IN ERROR Because many consumers of natural gas are of the opinion that the President’s velo has warded off the threat of higher rates for this popular fuel, I believe that 1t is well that you should know that there is far more danger of higher gas rates now than there would have been had the President signed the gas bill. In spite of all the fog that was thrown up during consideration of the Kerr bill, it 7s “wito"r cs measure simply to retain to the ov. “4. the control over their natural gas resources they hitherto have en-~ joyed; also control of distribution of gas within their borders. So, I submit to you, that a vote for the Kerr bill was a vote for lowering gas prices to the consumer, and for ever-growing sup- Plies of gas. The Kerr bill was well de- signed to prevent further socialization of the natural gas industry and to maintain States’ rights. It was a bill to protect gas consumers and not to exploit them, (Rep- resentative Pau, SHarer, Republican, Mich« igan.) Bill To Bar Rail Strikes Gets 0. K. EXTENSION OF REMARKS or HON. FORREST C. DONNELL OF MISSOURI IN THE SENATE OF THE UNITED STATES Monday, May 15 (legislative day of Wednesday, March 29), 1950 Mr. DONNELL. Mr, President, I ask unanimous consent to have printed in the Appendix of the Recorp an article entitled “Bill To Bar Rail Strikes Gets O. K.,” by Robert P. Vanderpool, finan- cial editor, published in the Chicago Herald-American of May 10, 1950. There being no objection, the article was ordered to be printed in the Recorp, as follows: Brut To Bar Rati Srretxcs Gers O. K. (By Robert P. Vanderpool, financial editor) Senator Donnext (Republican, Missouri) bas introduced a bill which would outlaw strikes and lock-outs in the railroad indus- try. If disputes between labor and man- agement could not be settled by negotiation, according to this bill, the two parties would be required to arbitrate and accept. the re- sult of such arbitration. While leaders of both labor and manage- ment have constantly opposed previous ef~ forts to outlaw strikes and lock-outs, the presidents of three of the country’s leading railroads, Fred G. Gurleye of the Santa Fe; Walter S. Franklin, of the Pennsylvania; and Gustav Metzman, of the New York Central, have just testified before a Senate labor sub-« committee in favor of this proposed bill. If the railway firemen persist in their mis- guided efforts to force at the point of a strike a second fireman in these Diesel loco- motives, they may insure passage of this bill, In such case, the country will owe them
APPENDIX TO THE CONGRESSIONAL RECORD a vote of thanks despite their unjustifiable motives. One can well wonder why such a bill should be confined to the railroads. The benefits to all concerned, including the workers, of arbi- tration as an alternative to strikes for set- tling labor disputes frequently have been dis- cussed in this column. The faster we move in this direction the better it will be for labor, for capital, and for the Nation as a whole. The South Leoks Ahead—1950-60 EXTENSION OF REMARKS HON. CARL ELLIOTT OF ALABAMA IN THE HOUSE OF REPRESENTATIVES Friday, March 31, 1950 Mr. ELLIOTT. Mr. Speaker, from 1940 to 1950 the South had the greatest economic and industrial development in its history. Undoubtedly, this develop- ment will continue for the next 10 years or more. Our people must continue to bring the great advantages which we possess to the attention of business and industry everywhere. As a part of my remarks, I include an address by Dr. Paul W. Chapman, asso- ciate dean, College of Agriculture, Uni- versity of Georgia, delivered before the 1950 annual conference of the advertis- ing staff, the Progressive Farmer, Point Clear, Ala.: THe Sovrm Looks AHnzap—1950-60 The business outlook for 1950 is bright, favorable, and encouraging. This is the con- sensus of virtually all forecasters, Govern- ment Officials, and business leaders. In postwar years, all of which have been prosperous beyond belief, a favorable fore~ cast is unique. In no previous year since the close of World War II, has a note of hope, confidence, or optimism been sounded in out- look reports. * * * * * * * * Grave doubts have been expressed as to the ability of corporations to maintain profits; yet earnings in the last year of the decade were twice as high as in 1945, and dividend payments to stockholders increased every year during the entire decade. In spite of the fact that gloomy predictions of the recent past have been far from accu- rate, many forecasters, typically conservative, are still unwilling to extend their optimism, in terms of specific gains, further than 6 months into the future. On the other hand, there is every reason for looking to the future with implicit con- fidence. We should prepare now for a decade of growth and progress. This conviction is based upon the record of the past decade and the irrefutable fact that economic history tends to repeat itself, The economic pattern following major wars is always the same; the only fundamental difference is timing. After World War I, there was a short, sharp upswing followed by a sharp and equally short recession of adjustment period. The same pattern was followed after World War It; the only difference between the two was the degree of change and the length of the respective periods. Then after World War I, it will be recalled that in 1921 there began, for the economy as @ whole, an 8-year period of increasing busi- ness activity. We are now entering upon the correspond~ ing long-time prosperity period that may be expected if economic history repeats itself, as it invariably does. The only difference between the current situation and the prosperity years after World War I is that our present growth or expansion period should be of longer dura~ tion, certainly from 1950 to 1960. Of course, Wwe may expect minor fluctuations, but the trend of the decade should be steadily up- ward, unless a world-wide emergency occurs. A DECADE OF PROGRESS That we may look forward to what can be called a decade of progress has been recog- nized by a number of economists. Some forecasters have said that prior to 1960, we may reasonably expect to attain a national annual income of $300,000,000,000. The President of the United States made such a prediction in a recent speech. The figure is conservative. To attain the €300,000,000,000 income level in a period of such potential prosperity will not be an achievement of Government, but rather an obligation—an obligation to bring about such a favorable business atmosphere that the billions upon billions of new capital re- quired to produce a higher income will be supplied by the American people. Growth has always been the chief charac- teristic of our Nation’s economy; growth will continue to be the outstanding characteristic so long as the population continues to in- crease and risk-capital is adequately re- warded. A $300,000,000,000 income prior to 1960 will require a gain for the decade of $44,000,- 000,000. This is but one-fourth the gain made during the past 10 years. Itis but 1.7 percent a year, as compared with the average annual gain of 2 percent that has been made every year since the prosperity peak of $83,000,000,000 was attained in 1929. THE SOUTH WILL QUIGAIN THE NATION But regardless of national business condi- tions that will obtain in 1950 and the years beyond, percentage gains for the South will, in all probability, be greater than those for the Nation as a whole. The only difference between the last dec- ade and the one we are now entering is that the South’s progress in the future will go forward on a geometric ratio. This accel- erated rate of gain will be the result of the sound foundation of economic adjustments laid during the past 10 years. Every section of the South is making eco- nomic gains more rapidly than the Nation as a whole. * * * * * * * * The following summaries of 10 factors support the belief that the South, in 1950 and throughout the current decade, will maintain its relative leadership in greater gains in earnings and business volume. Factor No. 1: Industrial growth The South continues to carry forward in-~ dustrial growth and expansion at a more rapid rate than the Nation. According to the most recent census of manufacturers, the South added more than 16,000 new establishments between the years 1939 and 1947. When compared with the national gain of 65,000 new factories, it is found that the South made a gain of 50 percent during the period as compared with 36 percent for all other regions of the Nation, An average of seven new industrial plants opened their doors for business in the South on every working day during the past 10 years. In addition, for every $1,000,000 that went into new plants—that is, new corporations A3633 and concerns locating in the South for the first time—$15,000,000 went into the expan- sion of established industries long identified with the South. a * * * * To cite any example of current growth is merely to detract from others of equal im- portance. But in Alabama, for instance, where 74 new industries located in 36 towns in 1949, the new $37,000,000 Coosa news~ print plant, operated by Kimberly-Clark Corp., opened its doors this year. This is but one of three new and important indus- tries in the Childersburg area, which are parts of the same development program. The rate of industrial expansion in 1950 will not be so great as the average for post- war years, but it will be of big-scale propor- tions. This is revealed by an analysis of the industrial expansion for any State in the South. * * * * * Factor No. 2: New industrial jobs Industrial expansion in the South has cre- ated, since 1940, approximately 1,250,000 new jobs in manufacturing. More than 75,000 new jobs in manufac- turing have been created in each of the fol- lowing States: Alabama, Georgia, Louisiana, North Carolina, Tennessee, and Virginia. - * * * « Increasing industrial employment oppor- tunities * * * are bringing—for the first time in the Nation’s history—a well-bal- anced occupational pattern to the South. They are the keys to the higher regional in- come that is being realized; they are stimu- lating business activities along all lines and providing expanding local markets for farm products; they are contributing to a greater degree of economic stability throughout the entire Nation. Factor No. 3: New business establishments Industrial expansion is always associated with gains in business and service establish- ments} hence, it is no surprise to learn that in this factor the South, during recent years, has made more progress than the Nation as a whole. The Survey of Current Business (Decem- ber 1949) published by the United States De- partment of Commerce reports that, for the 5-year period 1944-49, the national gain in new business establishments and related en- terprises was 30 percent. For the Southeast during the same period the gain was 43 per~ cent; for the Southwest, 45 percent. In all phases of business—wholesale, retail, service, financial, real estate, insurance, transportation, and all others—the South outgained the Nation during the postwar years by a margin of 14 percent. In construction—a vital index to prosper- ity—the national gain in firms in operation at the end of the decade stood at 116 per- cent. For the Southeast the construction gain was 185 percent. For the Southwest, which ranked No. 1 among the Nation’s seven regions, the gain was 229 percent. In new business attracted the seven States—Alabama, Florida, Mississippi, Ten- nessee, and the Carolinas—led the Nation by a margin of 8 percent during the past 5 years. Factor No. 4: Wages and salaries It is estimated that spendable earnings from wages and salaries will increase in the Nation 10 percent in 1950. But regardless of the rate of national gain, the percentage gain in the South will be larger than that for the Nation. Total income payments to individuals dur- ing a recent 8-year period amounted to a gain of 172 percent for the Nation. In the Southeast the gain was 215 percent. And in the Southwest, the top-ranking region for the Nation, the gain was 223 percent,
A3634 The favorable outlook for the South is based upon this recent record, upon expand~- ing industrial employment, and the applica-~ tion of the 75-cent-an-hour minimum wage law, which went into effect in January. Only 1,500,000 workers will be affected directly by the law, according to the Depart- ment of Labor. But of this number, 900,000 live in 18 Southern States, the remaining 600,000 live in all other 35 States. To meet the requirements of this new law, $300,000,009 will be added to pay rolls; $200,- 000,C00 of this increase will be paid in the South. Of course, the total sum involved, in relation to the total national payroll, is small; less than one-half of 1 percent. But in the South the effect will be far reaching. Not only will the program raise workers now earning less than 75 cents an hour, but all wages and salaries in the plants involved must be adjusted upward. When illiterate operatives at the simplest irdustrial jobs earn a minimum of $120 a month, there will develop competition for work in jobs covered by Federal law and also dissatisfaction with current rates of pay in some jobs requiring a high level of skill, training, and intelligence. We may look for higher wage scales and salaries in the South. Most important among the industries that will loom large in the South. are lumber, tobacco, fertilizer, furniture, and food. Factor No. 5: Electric energy output No index factor is a more reliable guide to growth and economic outlook for a locality or area than the demand for electric energy. On the basis of this index, the South is the Nation’s No. 1 region for 1950 and for the decade 1950-60. In 1950 and the 2 years to follow, the South will lead the Nation in the percentage increase of kilowatt-hours made available through the completion of additional gen- erating facilities. * * * * * Factor No. 6: Electrified farms Electrification of the Nation’s farms has been one of the significant developments of the past decade; 83 percent of all farms in the United States are now wired for electric service, according to the estimate of Electrical Merchandising, January 1, 1950. Of the 4,863,266 farm consumers listed in the report, 48 percent were located in 14 Southern States. Two Million Two Hundred and Forty Thou- sand Electrified Farms in the South—A 10- Year Increase of 1,820,000 Number of farms served in 14 Southern States (as of Jan. 1) 2, 240, 976 1, 813, 175 - 1,510,900 1, 225, 300 1, 010, 000 866, 600 770,377 749, 700 698, 417 580, 538 420, 700 Source: Edison Electric Institute and Elec- trical Merchandising. No region made such rapid expansion in new farms wired in 1949 as did the South; yet no region has such a vast potential for future expansion. * “ * Rural electrification is important from a business point of view. For every dollar spent in extending electric lines, four or more dollars are spent for wiring and appliances. Increasing farm uses of electricity will pro- mote efficiency, reduce man-hours of labor, and increase income. The current policy of REA places increasing emphasis upon greater farm uses of electric energy rather than the extension of lines. In the decade of 1950- 60, this will be the major development. Factor No. 7: Rural telephones Rural telephone service is being extended in the South faster than in any region of the Nation. Every rural county served by the Bell Sys- tem has been mapped. The potential de- velopment on a 5- or 10-year basis is known. Millions upon millions of dollars will be ex- pended on new lines and new phones in the current decade. Rural telephone expansion in the South is important for a variety of reasons, includ- ing the fact that telephone service is one item used in compiling the Index for Farm Living, published annually by the Bureau of Agricultural Economics. In this develop- ment the South has lagged to such an ex- tent that the item is lowest in the list from which the Index is computed, hence lowers Southern county ratings. With expanded phone service the rating of many counties will jump up five or more points within the next few years. Factor No. 8: Index of farm living In the Farm-Operator Family Level~of- Living Index, compiled by the Bureau of Agricultural Economics, United States De- partment of Agriculture, the South has made greater gains for several years than other sections of the Nation. * a * * 2 Factor No. 9: Cash farm income During the favorable years for farming that have existed since 1942, the South has made great gains in cash farm income. In 1948 it reached. $5,000,000,000 and by 1948 had risen to the all-time high of $8,250,000,000. Since 1940 the gain in cash farm income for the Nation has been 233 percent; for the South it has been 272 percent. Recent price trends still find the South in a favorable position. If the maximum decline in farm income predicted for 1950 should develop, southern farmers will still receive about three times the prewar level and $1,500,000,000 more than 1940 and 1941 combined. Factor No. 10: Bright spots in the South’s farm outlook . 1. Higher net income from cotton. . Higher income from peaches. . Higher income from milk. . Higher income from corn, Higher income from beef cattle. Higher income from sheep and wool. Higher income from tung nuts. . Higher income from forest products. 9. Higher income from fruits and vege- tables. 10. Higher income from poultry. 11. Higher income from livestock. These are expressions from leading econ- omists of the agricultural colleges of the South recently interviewed. B. Expanding southern food markets: With the exception of a few on the Pacific coast, large cities are growing faster in the South than those in other parts of the Nation; wages and salaries, percentagewise, are in- creasing faster than in other regions; non- ram employment is expanding at a rapid rate. This favorable combination of conditions is improving local food markets in the South, In the typical southern city in 1950 sales of milk, meat, poultry, eggs, citrus fruits, and frozen foods will be 100 percent above the prewar level. Cc. New markets through processing farm products: Of the more than 16,000 new in- dustrial establishments that have opened recently in the South, 3 out of 4 are directly related to farming; that is, they either make farm supplies and equipment or buy and process farm products; approximately 50 per- cent buy raw materials for processing from PAOIA ONS APPENDIX TO THE CONGRESSIONAL RECORD local farmers. In this way many new and dependable markets for diversified products have been created. * * * * * Wood-using industries are increasing rap- idly. In the paper industry, the South will socn hold the same dominant position among the regions of the Nation that it has held for many years in textiles. ” *” * * s 286,000 more owner-operators, 951,000 fewer tenants and share croppers—~14 Southern States ——— 1930 1935 1940 1945 Owner-operators. |1, 378, 583/1, 536, 525/1, 807, 853)1, 664, 538 ———_J=J — —— =: ———__=|_ ——————. | — | ———— 'Tonants..------- 1, 776, 036]1, 815, 754)1, 488, 358)1, 153, 858 Share croppers..-| 774,407} 714,320) 589,422) 444, 985 2, 850, 443)2, 530, 074|1, 974, 780|1, 598, 841 ———_——— SS Oo E—=—EESS Average acreage per farm..--.-- 106. 6 110. 2 123, 5 131.7 D. Gains in farm management and opera- tion: Gains in farm owner-operators have peen going forward faster in the South than in other sections of the Nation. There is a marked decline in tenants and share croppers. Financial status of farmers in the 14 Southern States —_— 1940 1948 Income.....----------- $2, 437, 487, 000 | $8, 250, 407, 000 Time deposits. 340, 000, 000 7A, 813, 000 Savings bonds... 48, 729, GQ0 1, 853, 096, 600 Demand deposit 748, 700, 000 38, 780, 782, 000 Total... .naeenee 3, 504, 916, 000 | 14, 334, 098, 000° TC LC LC Percent increase 1948 over 1940, 299 pet cent, Working capital is being increased. In terms of greater earnings in the future, thig is the most important trend of the century in southern farming. Crop production is being balanced with ant mal production. Breeding stock is being increased on southern farms faster than in other sections of the Nation. Most important of all in relation to soil conservation and livestock profits, feed pro- duction is keeping pace with gains in ani- mal population. Many Southern States are organizing 100-bushel corn clubs; Georgia has inducted 200 members in 2 years. Major emphasis is being placed on the development of improved pasture. The greatest opportunity lies in all-year grazing systems with maximum grazing in the win- ter months. Using such a system the South can produce cheaper milk and beef than most other sections of the Nation. Poultry production is being expanded at a rapid rate. The South, in the Delmarva, Georgia, and Arkansas areas, js now supply~ ing the major portion of the Nation’s broilers. Dozens of new dressing, packing, and freez- ing plants were added to marketing facilities last year. E. Rapidly expanding farm mechanization: Farm mechanization is going forward rapidly in the South. With 777,016 tractors on farms in the South, July 1, 1949, a gain of 186 percent has been registered since 1940. Southern farms account for 61 percent of the Nation’s increase in farm-owned trucks between 1945 and 1948. This striking fact is disclosed by a survey made by the Bureau of Agricultural Economics. This prograss toward mechanization of southern farming operations merely scratches the surface and lays the ground work for greater sales possibilities.
APPENDIX TO THE CONGRESSIONAL RECORD Today the South is the Nation’s greatest farm power and machinery market. More than 2,000,000 additional farms must turn to power machinery and labor-saving equip- ment to meet demands for greater efficiency and lower production costs. Conversion to machinery is more important in a falling farm market than is one that is moving up- ward. Mechanization of southern farms will con- tinue to go forward at a rapid rate. This fact is recognized by the makers of farm machinery, virtually all of whom have lo- cated plants, or enlarged service warehouses or both, in the South during recent years. F. Aggressive farmer-training programs: In all phases of agricultural education, research, and extension service, vigorous aggressive programs are under way in the South. In no section of the Nation are so many young men registered in farm-training class- es, including the vocational agricultural classes in rural high schools and veterans farm-training classes. Of the 250,000 ex-servicemen enrolled in veterans farm training in the Nation, ap- proximately 66 percent live in 13 Southern States. These young men are farming now under the supervision of college-trained, farm-reared instructors. An excellent job is being done. These veteran farmers are, for the most part, mechanically trained. They are livestock and poultry minded. They believe in diversified, balanced farming, They are buying farms, tractors, livestock. In fact, they are carrying forward livestock development so rapidly that in most Southern States the full time of one man is required to locate and buy breeding stock for veteran trainees. Within 6 years, it is possible that one farm out of every seven in the South will be operated by a graduate of the vet- erans farm-training program, The 10 factors, discussed in this paper, high ght economic trends in the South. They tell a story of growth, progress, and confidence in the future. They lead to the conclusion that 1950 will be a favorable year for the region and that 1950-60 will be another decade of progress. Black-Eyed Peas EXTENSION OF REMARKS HON. LINDLEY BECKWORTH OF TEXAS . IN THE HOUSE OF REPRESENTATIVES Monday, May 15, 1950 Mr. BECKWORTH. Mr. Speaker, certain acceptability tests recently have been made concerning black-eyed peas. I include for the record some facts about the tests: DEPARTMENT OF THE ARMY, OFFICE OF THE QUARTERMASTER GENERAL, Washington, D. C., May 4, 1950. Hon. Linpiey BECKworTH, House of Representatives. Dear Mr. BeckwortH: In accordance with your request, this Office has sponsored a test of the acceptability of black-eyed peas in Army troop messes. The test revealed that this commodity is sufficiently acceptable to be included in the list of foods used to subsist the Army. Whenever black-eyed peas compare favorably in price with other legumes, they will be con- sidered for inclusion in the Department of the Army master menu. As is shown on the attached listing, current prices preclude such action at this time. Administration of the Army’s rations pro- vides for the revision of the master menu by station menu boards whenever such revision is considered necessary or desirable. Black- eyed peas are among those foods authorized for procurement to meet station require- ments. Sincerely yours, W. H. MmppLeswaArr, Major General, USA, Acting the Quartermaster General, Current prices of black-eye peas and certain other legumes available for Army subsis- tence BASED ON OVERSEAS PRICING CATALOG (QM 5~1-P) F. O. B. DESTINATION Per dozen No. 2 cans Canned black-eyed peas (grade un- known) -...---------+~--+-------- ee Canned green peas (fancy grade) BASED ON MARKETING REPORT AS OF APR. 25, 1950, F. O. B. SHIPPING POINT Per hundredweight Dry black-eyed peas._..----.-= $18. 75-14. 25 Dry green peas........-----~- 8.75- 4,25 Dry baby lima beans__.------ 7. 25- 7.36 Dry small white beans.._.-.-- 7.40- 7.50 VETERANS’ ADMINISTRATION, Washington, D. C., January 17, 1950. Hon. Linpuey BeckwortH, House of Representatives, Washington, D. C. Dear Mr. BeckworrH: Reference is made to our letter of November 9, 1949, informing you that studies on acceptability of canned, fresh, green, shelled, black-eyed peas were to be conducted at three Veterans’ Adminis~ tration hospitals in the South, and that you would be advised of the findings. The studies have now been completed and the information made available to this office. As you know from previous correspondence, the hospitals selected were Kennedy Vet~ erans’ Administration Hospital, Memphis, Tenn., a general medical hospital; Veterans’ Administration Hospital, Dallas, Tex., a gen~ eral medical hospital, and Veterans’ Ad- ministration Hospital, Tuscaloosa, Ala. a neuropsychiatric hospital. During the 80-day testing period, canned green black-eyed peas were served from two to four times, which approximates the fre~ quency with which dried black-eyed peas are served. The serving portion in each hospital averaged 4 ounces. In the neuro- psychiatric hospital, the canned peas were found to be acceptable by more than 90 per- cent of the patients served, whereas in the general medical hospitals the range of ac- ceptability was from 80 to 85 percent. The average unit cost of the canned green black- eyed peas was $0.022 as compared with 80.008 for the dried peas. At one general medical hospital, after con- tacting the patients served, it was learned that many of them were unable to tell the difference between the canned and the dried product. Approximately 50 percent stated they would like either the canned or dried variety served once a week. At the other general medical hospital, 42 percent of the patients indicated a preference for dried peas; 30 percent had no preference or indi- cated they did not like black-eyed peas; while 28 percent preferred the canned item. The majority of these patients expressed a desire to have either dried or canned peas served once a week. In the neuropsychiatric hospital, 845 pa- tients were contacted; the ratio was 2 to 1 preferring the dried peas to the canned. Here again, those patients indicated they would like either variety served once or twice each week, A3635 It is believed that the information re- sulting from these studies indicates that canned green black-eyed peas are an ac- ceptable menu item in areas where black- eyed peas are generally eaten, but that dried black-eyed peas are preferred by the ma- jority of the patients. Since the unit cost is so much greater for the canned peas than for the dried peas, it is believed inadvisable to purchase this variety centrally at the present time, but rather to leave the matter of local procurement in quantities desired, to the judgment of individual hospital man- agers. Very truly yours, Pau. B. MaGNnuson, Chief Medical Director. — TuscaLoosa, ALa., November 18, 1949. Hon. LiInDLEY BECKWORTH, Member of Congress, House of Repre- sentatives, Washington, D. C. My Dear Mr. BeckwortH: Under date of November 2, 1949, I replied to your memo- randum of October 29, 1949, regarding the use of green, dried, or canned black-eyed peas at this hospital at which time I informed you that we had not previously used canned peas but did use green peas in-season, but with the greater part of our consumption being black-eyed peas of the dried variety. In connection with the above I have your notation on my letter requesting advice as to why we do not use canned or green peas and information as to the price we pay for the dried variety. The chief, dietetic service, has advised that experience has shown that at this neuro-~ psychiatric hospital the average patient pre- fers the dried variety, properly seasoned, to the green peas used in season when prepared under the same conditions. Almost imme- diately following my November 2, 1949, letter to you we received a request from our central office at Washington to give the canned va- riety a trial and report to the central office at the end of a 30-day trial period the re- sults of our experience with the canned va-~ riety as against the dried variety commonly used. Accordingly, request was made by the chief, dietetic service, for a nominal supply of the canned peas and upon investigation I find that the order for the canned variety has just been filled by the contractor and the dietetic service will serve the canned variety.in accordance with instructions re- ceived from the central office. For your information I may say that can- ned peas have not previously been used by reason of the fact that our central office sets the standard for procurement of such items with station procurement being manda- tory on such standardized items through the VA supply depot system. The dried variety was the type standardized by the central office for station use and under the system in use field stations were without authority to procure the canned variety in lieu of the dried variety stocked in the various supply depots for withdrawal by the supply service on requisition; however, the request from our central office that the canned variety be given a trial would indicate the possibility that both types will henceforth be stocked in the supply depot for withdrawal in which case it will be optional with the dietetic service as to whether they desire to use one or both types as each type will be available for requistion- ing purposes. The dried variety available through the VA supply depot system is billed to us cur- rently at a cost of $0.109 per pound whereas our recent purchase of the canned peas was at a cost of $0.75 per No. 10 can and according to cost figures prepared by the chief, dietetic service, the use of the canned variety will be approximately three times that occasioned by use of the dried variety; however, we are very glad to cooperate with our central office in