Henderson daily dispatch., 1936-05-15
Problem of Unemployed
Not AS Bad AS Pictured
CONTINUED from Page One)


this point. In March, 1888, it was
thought that 100000 were unem-
ployed, while the estimates have g.
100000 to 10000 900 out of work today.
The big rub here is that most unem-
ployment figures are misleading.
With all our "boondoggling' projects,
we have failed to make real COM
prehensive survey of this vital sub
ject.
In my opinion, the crescent jobless
estimates are altogether too large.
Ihey are unreliable because of lack
OF uniform definition of unemploy-
ment. Millions of young people going
to school, daughters helping at home,
and people of advanced age are re-
porting themselves as unemployed.
They would all like to have good
paying job, but they are not suffer
ing from lack of it, Moreover, they
were without jobs in 1929. My own
estimate is that the number of real
jobless today is nearer 100000 than
12,OOO,OOO. The unemployment situa-
ton is not as bad as it is painted.
Who Are the Unemployed?
President Roosevelt stirred up con-
siderable comment in his Baltimore
speech recently when he said: "While
the total production of America is
a'hout back to the high point before
the depression, only a little over 80
per cent as many human beings are
engaged in turning out that produc-
tion.' The inference is that millions
have become permanently jobless, but
do not agree with this opinion. It
is true that employment in manufac-
turning industries is about 80 per
cent of the 1929 level, but production
In these industries is also only 80 per
cent. of the boom-day figures.
The real core Of the unemployment
burden is in the building or non
manufacturing industries which are
now operating at only 80 per cent of
the 1929 level. I estimate that one
half to three-quarters of the genuine
unemployed would normally be work.
ing in, or affiliated with, this gigan-
tic industry
The remainder of the UNEMPLOYED
is made up of a floating group of
workers. In normal times they man
age to exc out an existence by odd
employment-dOing chores, harvesting
crops, and thousands of miscellaneous
jobs. With the coming of relief, this
class went ION the government" and
are now living better than they have
for years. This may be one explana-
ton why the number accepting Fed
eral aid is today greater than it was
at the depression bottom, even though
business is so per cent higher.
Key Is Balanced Budget.
Now how should we attack these
problems? I feel that the Federal de-
ficit is the key to the situation. Most
economists believe that the budget
could be balanced by 1887 if a sincere
attempt were made to do so. Since
1929, Federal expenditures have jump
ed 1cC per cent and there are twice
as many job-holders today as three
years ago. Both Ordinary and ere
covery and relief expenses could be
slashed drastically if politics and in
efficiency were kicked out. Expert
ence of other nations shows that di-
rect relief or dole, is far less waste
full than "works-relief" and it is also
more effective in getting people back
into private industry.
CuO CCU0Tdl UuOS6C lnLO
balance would hit at the heart of UNI
employment. Business men are now
afraid to expand because they fear
the government will confiscate all
their profits in taxes and leave them
to absorb the losses. Citizens are too
timid to build because they are afraid
that the burden of taxation will crash
down on their newly built homes
These people will go ahead with their
plans only when they know Washing
ton is operating on balanced bud
get There is enough business await
ing the heavy industries today to Gre
ate the biggest industrial boom in
our history. Probably $50,O00 100000
in construction and equipment or
ders ale ready for release when the
spending problem is settled.
Permanent Relief Army?
A revival in building would pro-