Henderson daily dispatch., 1938-12-30

pared with "a year ago. 1889 Wall
cpen therefore, with activity Is per
cent above the early days OF 1888. In
dications are that as we work along
through the first half of the year,
business will register slow but
healthy gain over the January levels.
The entire first half of the New Year
should show a 25 per cent increase
over the gloomiest months OF early
| 1888.
The second half of 1889 should see
continuation of the gains. My fore
cast however. is contrary to the ex
pactations of many people. They look
for business to taper off and even TO
side backward when government
pump printing ceases next May or
June. Nevertheless, l am willing to
predict that the second half OF the
year will be better than the early
months and will run Is per cent above
the last half of 1888. The entire years
gain should average around 20 per
cent. This would put the Babson-
Chart at 1O6 to 10S by next Christ
mas.
No Disturbing Legislation.
The absence of disturbing new leg.
islation may we'll spark this advance
Since 1898, the cues for my annual
forecasts have been found on Pennsyl-
vania Avenue This year, we face a
rev set-up. The marked increase in
the Republican delegation on Capitol
] ill, plus the unpurged Democrats,
can lick any further New Deal re-
forms. On the other hand, the Presi-
cent still retains enough 100 percent
{ s" to block any serious revision Of
existing laws.
The Wagner Act, for instance, may
be amended, but only if the President
agrees to the amendments. Many tax
law changes will be proposed, but few
will go through. The biggest fiscal re-
form may be the elimination of tax
elemption on new government bonds.
borrower, it is possible that public
employees will be put under the same
income tax laws to- which other in
Gividuals are subject A lot of talk
about incentive" taxes to foster
profit-sharing plans will be heard
Come change in farm legislation is in
the wind.
Spending To Go On.
AS a result of my recent poll Of
"-ader opinion On the Patman Chain
Store Bill, I predict it's defeat The
6efense program will go ahead full
blast after a strong debate in Con-
eress, but doubt if any special taxes
will be levied to support it. There will
he drive to abolish the big Social
Security reserve fund and put the pro-
gram on a "pay-as-you-go" basis. The
n71Ixy no / in hi
however, is the stepping-up of the
benefit maximums and the applying
of the Act to more pepople.
Because of the heavy defense pro-
gram, the spending facuets at Wash
ington will be wide open. ALTHOUGH
the average citizen wants economy,
his wishes are not needed by Con-
gress or state legislatures. l think
that public extravaganza is one of
our three biggest long-term problems
History proves that, once spending
starts, it is almost impossible to
stop. Our experience so far bears
this out. A balanced budget is not in
sight BY the end of the next fiscal
vear-on June 80, 194O-our national
debt may reach $4,000, 900, 900. COM
pared with $4,000, 100000 in 1890!
More Jobs and Strikes.
Better business next year naturally
means more jobs. There are about g.
900 900 jobless today against 100000
Hast Christmas. This total ought TO
drop at least 100000 during 1899
New building, railroad equipment,
factory machinery, and the tool in
dustries, plus the service businesses,
should provide a good portion OF
these jobs. AS business increases
labor troubles may likewise increase
However, l now foresee no widespread
strikes such as 1887 witnessed.