Imperial Valley press., 1940-01-01

lot lew lnOnUtlS. certainty, any
one who is primarily worried about
congress is fretting unnecessarily.
DON'T WORRY ABOUT
CONGRESS
Despite the war, it looks as though
the 1940 session of congress would
be a typical election-year affair
Most Washington observers are
forecasting a brief, routine session
-rliVened only by prediction warm
ups and patriotic tub-thumping No
new reform or anti-buSineSs laws
will be passed Only major legisla-
/ ton which has a chance is pro-
business, including amendment of
/ the ID Wagner Labor Act, % Mo-
dification OF the Wage and Hour
Act, and CD the passage of the
/ &oad Credit Bill.
1 am reasonably sure that no
! 1eW federal taxes will be imposed.
/ Pay-as-you-go talk in December is
one thing-action by congress next
| spring is another. Secretary Wall
ace would like to see the processing
/ taxes revived under some type of
/ Sugar-coating-but this wouldn't be
| good politics in an election year.
You can bet your bottom dollar,
however, that the total share of
your income taken by Uncle Sam
counting both income and hidden
! taXes-Will not be a penny less than
in 1885,
RECORD SPENDING
/ But, because taxes are being "frO-
zen, do not imagine that an econ
omy wave is sweeping Washington.
1t definitely is not. Farmers bene-
fit payments will be almost as big
as in 1899. Relief costs will still be
heavy despite increased jobs. Out
lays for defense will break all re-
cords-up half a billion dollars
over 1859. If there is any pairing
down of expenses it will be done
! purely for WindoW-dreSsing pur-
poses. Net result will be another
whopping deficit for the Treasury
as big, or bigger than, in 1889.
Hence, the Roosevelt Admins
tration will come down the straight
away of its last year with the
eight consecutive deficit and a
national debt of nearly S45, 100000
000-up $20,000000,0 since 1888
1t will be a sorry record indeed for
a president who chided his prede-
cessor'S administration as being the
most extravogant and reckless of
any peace-time government any
where, at any time" Despite this
record, Mr.. Roosevelt is still popular
with the majority of voters. They
particularly like his foreign policy
and his mammoth defense program
Heavy Industries 194Gs
Spark Plug
This record-breaking defense pro-
gram is just one of the four props
under 1910 business. % Trade
gains with neutral countries, (2)
rising buying power in cities and on
farms, and 90 a heavy industries
boom are the other supports which
Will hold business at a high level
Most important of all these is the
renaissance in the heavy goods in
dustries. In the boomlet of 1861,
the consumers goods industries fur
nlshed the drive. Today the burden
has been shifted TO the broad shoul-
ders of such industries as steel mills.
railway equipment shops, and mach
inery makers.
For five years we have tried to
get the heavy industries going.
That's where most of our unemploy-
ment has been. So the upSWing in
these Bib Businesses" will be the
sill under jobs lin early 1910. En-
ployment in the heavy industries
should increase, but there may be
some layoffS in certain consumer
industries AS result, total number
OF jobs in early 1910 will be only
slightly higher than at present. No
real inroads on unemployment are
in prospect After schools and COL
leges dump their crop of graduate
on the market next June. Unem-
ployment may we'll be higher than
it is today.
Higher Payrolls, More Strikes
Payrolls are another story. They
should be 20 to 25 per cent bigger
than in the same months of 1899
and even moderately higher than
at present. Wages will be pushed up
where union pressure is strongest
while the Wage and Hour Act will
force up weekly income where over
time is concerned With business
riding the crest of the wave, it is
only logical to expect more strikes.
doubt, however, If there will be
any serious tie-ups such as we had
in 1887. Right now it looks like the
aviation industry is the odds-on IA
vorite to provide the labor trouble
headlines
These plants-and nearly al