The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1938-04-28
BUSINESS PROGRAM VERSUS
"PUMP PRUNING" B..


millions of the countrys citizens are op-
posed to the resumption on gigantic scale
of-the fallacious. defective, disastrous TALL
ure known as pump printing, or the
coarse of federal borrowing and spending
asa cure for the ills which beset the ma
ton. Included in this vast body of citizens
arr the country'S business men, middle
class citizens, the great array of people
Who are chiefly responsible for supplying
the cash which the politicians are spend
ing. o. = " r g'fA'.. t"0
This newspaper believes these citizens
have definite, clear, practical ideas as to
what can be done to avoid the pitfalls and
disasters of resumption of a plan which
has proved failure and holds out for the
future nothing but the expectation of
failure. s...r .' .... n~.,.. aae -
This program is presented by the bust
ness men of the country, through the Unit
ed States Chamber of Commerce, and is
briefly summarized as follows: .
: Business sentiment to the extent that it is
measurable, becomes more and more skeptical of
the new pump printing" program. ..... /
cit is skepticism born of experience. Earlier
H6otstrap spending has produced no lasting bene-
IFS The temporary. artificial flip it gave to
Business was at fearfully high cost. The bill re-
mains unpaid ...-.
The decision to try another large dose of deh-
cit spending is disappointing to that element of
the business community which had hoped for
more fundamental approach to the underlying
causes of the depression.
More public spending, this group contends, is
not the proper cure because 1t does not go to the
roots of existing difficulties.
Business. as represented in the chamber, has
consistently advocated recovery formula which,
il believes, reaches towards the heart of the
trouble
1t is non-spectacular, inexpensive program.
Il Is built around the central idea that the best
way to bring durable recovery is to encourage
priyate spending and investment to replace pub
lie spending and lending.
This program frankly recognizes the realities
of the situation 1t holds that business .lags be-
cause it lacks confidence in certain government
policies and purposes. 1t holds that business is
overtaxed and overregulated; that it fears more
regulation and reform. 1t holds that excessive
restrictions place impossible handieaps upon bust
management ".
To case or modify these burdens and restraints
in the interest of sound recovery, business asks
that definite things be done.
1t asks immediate relief from the discredited
and repressve undivided profits tax and from
the businesS-stifling capital gains levy. ~~.
It asks prompt reduction in social security
taxes with the adoption of a pay-as-you-go plan
for oldage pensions.
It asks amendments to the Labor Relations
Act to make it less opsided in its application
and administration and il insists that government
desiSt from further intrusion into private en-
ployer-employee relationships.
1t asks that government abandon attempts to
tinker with prices so that business can proceed
with knowledge of risks IN making long-term
commitments. 10 4,
1t asks that the upward trend of the cost of
government be reversed so that business can
look forwawrd to some relief from the present
crushing volume of taxation-probably the No. l
business deterrent.
II asks that some of the existing laws and
regulations governing the flow of capital be lib
eralized.
It asks that government cease further subsi-
diced competition with private utilities and that
an early understanding be reached so that the
utilities go ahead confidently with their long
overdue expansion program. The potential spend
ing prospects of this single industry alone APP
proximate the new government spending pro-
gram The net effect of private utility spending
in terms of permanent jobs and better; wages
would be infinitely more beneficial to national
progress than public spending on much larger
scale than that now proposed Sc! '~'.''
BY the same token business is firmly convinced
that fortnight effort on the part of govern'
ment to make the necessary adjustments w