Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-04-27
H|T !
FOR METHODS USED
Actions Against Economic
Ills Are CIasSed as "Ruin.
GUS and Foolish" !
BY J. r. BRACKET,
Associated Press Business Writer.


NEW YORK. April 27.-Governments
must quit doing "the foolish and ruin
Gus things which have been their ia
vorite cures for economic ills,' Frank
H. KniRht. professor of economies at
the University of Chicago, believes.
And further modification Of our anti
trust laws to permit combination in
certain industries is recommended by
Charles A. Quick, professor Of econom-
les at the University Of California.
Professors Knight and Gulick are
two Of q dozen noted economists who
have given the Associated Press their
opinions on the idea Of q national plan
for America. A majority Of the experts
believe some sort Of planning to CO.
ordinate the energies Of industry i'm
perative for Americas economic health.
Diseased Conditions.
Under modern conditions Of ma
social change" unregulated individual
ism viii not work, Prof. knight says.
Unemployment even in prosperity was
serious, and Of the depression there is
no need to speak. And employment
and distress are only the acute symp-
toms Of what must be called q dis
eased condition oS economic civilization.
1T Is clear from recent developments
that partial, voluntary organization or
naturalization Is no remedy; action
by and for the whole Of society Is
essential"
Prof. Knight believes, however, that
for the visible future America Is com :;
mitted TO competitive free enterprise, ),
and suggests what can be done on that
basis. !.
Among the "ruinous" actions Of soy-
eminent, he mentions imitation of the,
money supply, tariffs, development of:
waterways, where the service can be,
better provided more cheaply in otherl
ways. and speculation In farm products.
I'm general" he says, the econo-
mist wants the Government to use busi-
ness sense in what 1t does and UNDER
takes. -" >
Along with this negative category
should personally place admitting
much room for intelligent difference OF
opinion), most Of the direct government
tai interference with and dictation to
business"
Information Needed. -
With reference to crises, Prof Knight
believes the best chance Is to give bust >
ness managers full and accurate infor-
nation as to the demand for the prod
ucts, the rate Of their use, and as to
plant capacity and plans for expansion
In other factories. .
Prof. Gulick finds the worst feature
Of our society In that "the wastes tFi-s
yolved in it do not reflect q super ::
abundance Of goods shared In with some
degree Of equality by all It's membersy
Huge stocks Of consumption goods
stored IN bins and warehouses at the
same time that millions in Europe and
here are suffering because they do not
have goods is convincing proof that
our distributiye system Is faulty. I'm
til this basic fault Is remedied we caia-.
not secure the greatest benefits from
the production technique we have de-
veloped." =
Prof. Guilck's immediate recommeu-.
dationSe include better organizations
Of our labor markets, acceptance of the
principle Of the minimum wage and the
adoption of q thoroughgoing system
Of social insurance, including unem-
ployment insurance.
And fundamental to all Is the sub
stitution Of the profit motive. he says.
for :" . conscious purpoeiye social con-
troll Of business" --'.1