The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1930-06-26
FEDERAL BUILDING
SURVEY COMPLETED
Committee of Business Men
Appointed by President
Hoover File Report
WORK WILL CONTINUE
Federal State Highways Cost.
ing $1,5OO,OOO,OOO to En-
ploy 100000 Men

the importance OF timing with re-
ference to the amount of public
construction which it is possible to
push forward with the object of in.
fluencing employment and the trend
of business in a period of recession
the committe on Recent Economic
Charges of the Presidents Confer.
ence on Unemployment, in present.
ing the results of a new study en-.
titled planning and Control OF
Public Works." made public today
points to the large volume of con.
tracts awarded for public works
and utilities this year. "To turn the
course of pubic construction from a
depressing to a stimulating influ-
ence is of the very essence of use
fulness of public works as balanc-
ing factor" according to the Com
mittee's findings. And it is in
promptly and comprehensively ex-
pediting work on projects already
planned, rather than initiating new
understandings, that the key to the
problem lies"
The Committees report is based
on a fact-finding survey of the
whole public construction situation
began last July at the suggestion of
President Hoover and carried on by
the National Bureau of Economic
Research Of New York with the as
sistance of the Department of Com
merce. The survey, which was pre-
pared by DR.. Leo. Wolman of the
staff of the research bureau, is pub
lished by that bureau, along with
the Committees report, under the
title planning and Control of Pub
lie Works"
The survey is a continuation of
the study of postwar economic
charges made by the National Blu
reau and issued year ago, together
with a report of the Committee.
The members of the Committee
make in the report including Arch
w. Shaw, chairman; Owen D.
Young, John J. Raskob, William
Green, president of the American
Federation of Labor; Renick W..
Dunlap, Assistant Secretary of Agr1-
culture; John S. Lawrence, Max
Mason, Eugene Meyer, Adolph c..
Miller, George McFadden, Lewis E.
Pieson, Julius Klien, Assistant Sec
rotary of Commerce, Louis J. Taber,
Master of the National Grange,
Daniel Willard, president of the
Baltimore and Ohio Railroad; Clar-
ence M. Moolley, and Edward Eyre
Hunt, secretary.
The committee explains that the
report and survey have not exhaust
ed the subject of planning and con-
trolling public works, and urges the
development of an increasing fund
governments to take prompt action
when unfavorable trends threaten
to influence the economic balance
adversely.
The report also announces that it
is planning further exploration"
of varying interest rates or capital
costs upon the chief types of con-
struction, and that it is also under
taking an examination of that fund
amental incentive, the lure of
profits, as manifested during the
past ten years of American econo-
mic life. The report also refers to
the Committees study of price rela-
tionship now in progress, concern
ing which it marks: Like the pres
ent report, it will ltake it's place in
the step-by-step analysis which the
Committee is making, in the hope
that with better and more general
understanding Of economic forces,
and the laws Of their operation,
American business may develop in
creasing self-control."
Prompt action, before conditions
become serious, can be assured only
as there is developed a practical
method of gauging the economic
situation, so that unfavorable
trends which threaten adversely to
influence the economic balance may
be anticipated and compromising
factors influenced earlier than
than would be the case if natural
forces were left in their own time
and way. Skilled use of the time
factor must, therefore, enter into
a program for stabilization." The
committee suggests that there may
be a Zone of tolerance" within
which the action and reaction Of the
most active economic forces have
to be considered normal, and even
healthy.
"Only when some factor, or COM
bination of factors, threatens to
carry the situation beyond the
boundies of this theoretical zone of
tolerance, and it becomes apparent
that we shall presently be seriously
out Of balance economically, if no
counter influence as set up, should
steps be taken to modify the influ-
ences of an overweighted or one
sided development"
It is pointed out in the report that
about $3,5O0,O00,000 is expended an
nually on public construction, en-
ploying approximately 100000 work.
ers, and that the trend is rising.
These public expenditures repre-
sent, it is estimated, from IS to 40
per cent of the total of all construc-
ton in the country. Public roads in
1928, the largest single item of public
construction, cost more than ST.
100000. More than one-third of the
public works outlay of the federal
government was expended on roads,
and on roads and shipbuilding to-
gether more than one-half was
spent. State governments spent
most on roadbuilding, grade cross
ings and public buildings Cities
spent their moneys largely on trans
portation facilities, schools and