Evening star., 1939-10-08

OOO 1actorleS, IN 49 regional areas, for
immediate mobilization upon q declara-
ton of war.
The Presidents gibe that 80 per cent
OF such books as Cherne's are written
by persons who know less than nothing
OF the subject is comprehensive only
through Mr.. Roosevelt's confession that
ne had not read the volume. The text
displays every evidence of painstakinR
ana accurate research, and of such an
thentic1ty of information that it might
well serve as an invaluable book of ref
erence-and not for businessmen alone,
1t consists largely of summaries and di-
gests, factual, objective and skillful, of
laws existing and pending, court de-
clslons and rulings of the adjutant gen.
erals office. 1t is illustrated with nu-
merous charts and graphs drawn from
the files OF the War and Navy Depart
ments.
The author candidly adriits a charge
made later by the President-namely,
that these programs are in a constant
state OF evolution and change, and there
fore cannot be permanently fixed in
any writing. 1t is no unjust tribute to
Cherne's scientific detachment to say
that his work may be drawn upon by
pacifists and professional soldiers alike.
Opinions Are Segregated.
His own opinions and conclusions are
conveniently segregated by the author
under the headings of observations"
and Recommendations" 1t is not read-
lily discernible in how far these COM
ments were original or inspired by his
associates in the War and Navy De-
partments. The deduction is inescapa-
BILE, however, that they were formed in
the general climate of the off1ce of the
Assistant Secretary of War and in par
ticular the Army Industrial College, be-
fore which Cherne has on occasion ap-
peared as lecturer and in which he
is supplied with Office room during his
visits to Washington.
The class to which the book is ad.
dressed might be inferred from its dis
cusslon OF war taxes which deals only
with personal incomes ranging upwards
from $4,000. In an introduction written
by Carl Hovgard, president of the Tax
Research Institute, it is stated that exist
ence is struggle in which the fittest
survive, and that the publication is
dedicated to those who are interested
in surviving"
Cherne does not hesitate to warn his
clients that "the force of public opinion
IN this country makes some form of
excess profits taxation inevitable in
times of war" and that "any effort on
the part of industry to combat such curbs
will be futile" BY way of comfort, he
adds that, owing to opposition from the
War Department, the conflscatory bill
sponsored by Senator Bone of Washing
ton is less likely to pass than the milder
draft fathered by Senator Connally of
Texas.
Executives Would Be Drafted.
He declares that at the outbreak Of
war industrial executives would be draft
ed. The Government would fix not
only their salaries, but their posts Of
employment, which they would be unable
to change without permission. Dicta-
torial control of the entire national
economy would be delegated by the
President to superagency called the
War Resources Administration. A chart
reproduced from the files of the Army
Industrial College shows that when a
nations purpose changes from the satis-
faction of human wants to victory, pre-
emption Of property is substituted for
private ownership, regimentation for
freedom of enterprise and dictation for
competition.
The War Resources Administration
would institute at once, it is predicted,
various industrial controls which are
either new or were arrived at only tardily
in the World War. These include fixing
of prices, enforcement of priorities in
the flow of materials and services, COM
pulsory orders to factories, COM
Wandering of resources and plants,
licensing of imports and exports and
apportionment of commodities and raw
materials.
Rentals and real estate prices would
be strictly regulated, the author foresees,
as well as interest and insurance rates.
A terrific weapon to compel cooperation
would be the Governments use of its
priority function in allotting power, fuel,
labor and transportation. There will be
no more "dollar-a-year" men, it is pre-
dicted, but stipulated salaries in the
neighborhood of $4,000.
Ickes, Miss Perkins Protested.
The circumstances which elevated
Cnerne's essay into sort of political
Book 1.-The Month" were both intrinsic
and accidental. There had been sub
terranean whispers in Washington as to
the "hair-raising" contents of the volume.
The question was posed as to whether
Col. Johnson's preface endowed it with
official standing. True enough, the
Assistant Secretarys direct comment
was limited to three lines expressing the
rather perfunctory sentiment that 'The
Tax Research Institute in publishing
Leo M. Cherne's Adjusting Your Busi-
ness to War has effectively taken an
important step forward for the welfare
Of the business community and, INSOFAR
ably, for the furtherance of national
defense"
At sub-cabinet meeting on Septem-
Der 26, Secretary of the Interior Ickes
and Secretary of Labor Perkins, with
bitter complaints, called Cherne's book
and Johnson's foreword to the Presidents
attention. Also present was Secretary of
War Woodring, for whom Johnsons i'm