Evening star., 1937-11-21

steps should be taken now to that
end"
DR.. Calvin Hoover of Duke Univer-
sity said balanced budget would be
desirable" but realism compels the
recognition that 1t Is likely to be i'm
possible If the present business recess
sion continues"
Congress should. however," he said,
follow policy Of selectve restriction
Of expenditures and Of reforming tax
alton. directed at both conserving and
mobilizing taxable resources to meet
possible emergency needs. No new and
costly legislative programs should be
embarked upon which emergency does
not dictate.
There is the utmost necessity at
time like the present, when the pos
sibility of a relapse into depression
exists, that business should develop 4
far more conciliatory attitude toward
labor, that labor leaders should make
the most strenuous efforts to main
tain labor discipline and that both
should develop an increased sense of
national responsibility. Finally, the
present mutual hostility between busi~
ness and the administration must
somehow be resolved II recovery Is to
be resumed"
This plea for cooperation between
capital and labor was echoed by DR..
King. He urged the two to get
together on = program Of lower prices
for goods, lower wages per hour and
steady employment"
From the legislative point of view,
DR.. King was all for economy. He
proposed that working hours on work.
relief projects be increased to so q
week with pay remaining at its present
weekly level. He advocated that able
bodied workers" be cut from nom work
relief payments. He suggested that
"all subsidies, to farmers and Others"
be stopped. ITO bring the price level
back to where it was at the beginning
OF the year." he recommended that
the Federal Government buy Federal
securities in the open market to what
ever extent necessary This last, he
said, would stimulate demand for goods
and halt lay-of1s Of workers.
End Of Federal Competition.
Mr.. Ault said Congress should
assure the country that it in no way
will directly compete with any busi-
ness enterprise. but assert its right to
regulate business activities, and
should also amend the National
Labor Relations Act to make it (labor)
responsible for its acts"
Ine advantages Of balanced
budget far outweigh any good that
might come from more deficit SPEND
ing" Prof. Ault added, asserting
balance the budget by 0) decreasing
expenditures and t2) modifying our
tax laws; (A revise the undistributed
profits tax and Co broaden the in.
come tax base"
Mr. Anderson advocated balancing
OF the budget by economies, repealtns
the undistributed profits tax, reducing
the capital gains tax to low nat rate
which would increase revenue from
tnat source" relaxing restrictions on
the security markets, defeatinx the
wages-and-hours bill now before Con-
gress. assuring utilities there will not
Be Government competition restoring
international trade.
Addressing himself to industry
Economist Anderson urged reduction
IN the price of steel and a shift of
wages of building trades workers from
an hourly to yearly basis, which
means sharply reduced hourly rates
and increased annual income through
increased employment"
Two Other Plans.
Ragnar d. Naess, economist for
Goldman, Sachs & Co., took the view
that I'VE cannot lesislate prosperity"
because basic economic factors were
the most important cause Of the cur
rent decline" A balanced BUDGET
would help. he said, but will not
turn the situation" Mobilization or
repeal Of the capital gains and un-
distributed profits taxes would also do
good. he added, but they were "un-