Evening star., 1940-09-20
Member of the Associated Press
Economic Defense

Former President Herbert Hoover
made an important contribution to
American thinking when, in his ad-
dress at the University of Pennsyl-
vania, he emphasized the need for
"some preparedness in economic
to defend America.
The attention Of the American peO-
pie has been and for many months
probably will continue to be centered
primarily on our physical rearma-
ment program. That is natural
and perhaps a desirable consequence
of the extremely dangerous military
situation in which we find ourselves
at this time But, as Mr.. Hoover so
ably demonstrated, there can be no
adequate security for the United
States if we confine our efforts to
the instruments of war.
Sooner or later there will come
a time of peace, or, as the former
President expressed it, at least a pc
riod of suspended hostilities At that
time we will be faced with the neces-
sity of competing for trade in world
largely controlled by the totalitarian
states. Our system of free economy,
with its high living standards, will
be put in the balance against the
totalitarian concepts of government
tai control of exports and imports, the
barter system, blocked currencies and
a system of production based on low
wages and long hours for workmen
occupying little better than a slave
status. At this time we are sadly
unprepared for this economic war
of the future-a war which we may
expect to fight without substantial
allies and upon the successful con-
duct of which our future as a great
Nation will depend.
1t is to the credit of Mr.. Hoover
that he was not content merely to
point out the danger which con-
fronts u.s. He also made certain
specific recommendations for meet
ing it.
Basically, in his Judgment, our pri-
mary defense against economic to-
talitarianism lies in the perfection
OF our industrial efficiency, in the
production of more usable goods and
services at costs which will make pos
sible their sale This increased VOL
ume of production at lowered costs
cannot be achieved without planning
or without effort, but the planning
and at least the preliminary steps to-
ward its implementation must be
well under way before the economic
struggle begins. Markets lost to the
totalitarianS will not be easily re-
captured.
1t is Mr.. Hoover's belief that
American economic preparedness can
be brought into being without re-
ducing wages or lengthening the
hours of labor. The first step, in
his judgment, should be an expan-
sion of research in pure science, fol-
lowed by more support for the ap-
piled science research. In these fields
we now spend ridiculously small sums.
Other immediate preparations rec
commended by Mr.. Hoover include the
bringing of our present plants and
equipment up to date, elimination
of industrial waste, the application
of every conceivable labor-saving de-
vice and the removal of all obStruc-
tions from whatever source to the
use of better methods and better
machines, with the benefits passed
on to the consumer.
AS Mr.. Hoover himself recognized,
his proposals lack the dramatic ap-
peal of airplanes, guns and bugle
calls. But the program which he
recommends is hardly less important
to our national security, and we will
ignore it at our peril.