The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1941-11-13
Economic . j.. i.
#hA9hA
National and International Problems
Inseparable from Local Welfare

This country is just beginning to
encounter some of the biggest and
most difficult problems that a mill
tary economy makes unavoidable.
The arms program is getting into
stride. Our aircraft production is at
the rate of about $4,000 planes a year.
Production of tanks, machine guns,
army trucks and other vital necessi-
ties, is increasing fast. The two
ocean navy will be completed far
ahead of the original schedule. In the
next two years, unless something un-
expected occurs to change the picture,
we should become the foremost mill
tary power on earth.
This doesn't mean that we are do
ing our theoretical utmost. We
aren't. Labor troubles continue to
mount and undermine production.
Governmental red tape, delay and in
decision still hamper industry. A few
segments of industry have not been
able to get away from the business
as usual" point of view. There is
plenty of politics in the defense set
up, and there is too much divided re-
sponsibility which makes for passing
of the buck and general disorder.
Even so, the gigantic American pro-
duction machine is moving forward,
and it is successfully making the i'm
mense change from a peace-time to a
wartime economy.
To some, this change means profits
and expanded opportunity. To others,
the change means possible ruin In
that sorry category fall thousands of
businesses which have not been given
place in the defense picture, and
which are now unable to continue
their normal, peace-time ways.
These are the businesses which are
caught by priorities. No one without
high priority rating can now obtain
the basic metals. No one can build a
home costing more than $4,000. There
are shortages Of paper, cloth, rubber,
chemicals, cleaning fluids-commodi-
ties which in normal periods are ex-
cessivelys abundant. And legions of
businesses, employing millions of peo-
pie, depend on such commodities as
these for their very life.
Pessimists believe that this defense
program may mean the virtual death
of little business in this nation. That
may. be an excessively dark forecast.
But the hard fact remains that no
one has yet been able to formulate a
program under which we may obtain
maximum military production and at
the same time preserve our business
system more or less intact.
Washington, of course, has given
attention to this small business prob
lem. There has been an effort to farm
out contracts, under sub-contracting
system, so that small and middle
sized concerns may obtain a fair
share of the orders. SO far, however,
little progress has been made. The
bulk of small businesses haven't the
equipment or the personnel which are
needed. When you want tremendous
job done, you naturally turn to tbs
great mass production industries
which are geared to make the largest
possible quantities Of goods in the
shortest possible period of time. The
dollar-a-year men in the defense bu-
! reaus are taken from big industries
| And so small business finds it more
and more difficult to obtain the sup
plies it must have.
| If this trend continues, it is ap'
parent that revolutionary change
will take place in the American econ
| omy. Whether that change will be fo'
| the better or worse is a matter OF
argument. In the meantime, it is ar
ironical fact that hundreds of thous
ands of men are being thrown out OF
Jobs during a time when there is {
shortage of suitable labor-and thous
ands of businesses are in danger ol
being shut down during a time wher
consumer demand and consumer pur'
chasing power for all manner of com
modities, is extremely high. The
figures indicate that there simpl!
isn't sufficient supply Of many basic
materials to meet the war demand ant
the normal demand at the same time
| And the smaller enterprises of tht
country, which aren't able to produce
the tools Of war, are taking the beat
ing.
X X X
The Army is gradually wedding ou
incompetents among its officers. The
way the wind blows was shown whei
a high-ranking general was sum
marily retired after the army he com
manded did badly in war games.
Between World War | and III, th'
Army was given little attention, little
money, little equipment. Officers ad
vanced when and only when their su
periors died or reached retiremen
age. This made for a bureaucratic
sort of officer who simply bided hi
time, played internal politics, ant
learned nothing.
The American Army now seems t.
be taking a page out of the book o
the German Army. Nazi commander
are mainly young. Promotion is mad
on merit, not seniority. Daring ant
resourcefulness are rewarded. In on
Army, men with the right stuff on tn