Detroit evening times. (Detroit, Mich) 1921-1958, 1942-05-01
Allied Nations
Draining U. S.
Of AirpIanes
They All Want Bombers
for Campaigns in Air
BY PAUL MALL0N

BY PAUL MALLON
WASHINGTON. May / - A
w second front has been in
augurated already in Europe
in the air.
The daily pounding of Raj
bombers on German production
will be accelerated, but there
are limitations to how far il
can go. The British lost Is
four-engine ships in a recent
raid.
The seriousness of such a loss
is evident when you consider
our maximum production goal is
about that many ships daily.
The Nazis abandoned the air
front in Britain because it was
too expensive.
The story persists that Gen.
eral Marshall and Harry Hop
kinS went over TO persuade the
British to invade the continent
Immediately by sea. What they
really went about is the demand
which is being placed on our
production, mainly our planes.
TIIE Reds want bombers. The
i Syrian front is screaming
for fighting ships. India has put
in hurry calls for arms and Cen
eral Macarthur thinks he can
lunge back at the Japs il he
can get sufficient air strength.
These are more immediate
problems than invasion of the
continent.
The President said he is
spending 500. 600 900 day; will
spend S200,000,000 daily before
the end of the year and that
this sum will cause initiation UNI
less he acts.
Yet only two steps in his plan
are directed toward the cause.
He wants to draw back an in
definite sum by having war
workers (who are getting most
of it) buy bonds voluntarily. A
confiscatory excess profits tax
on corporations. such as he men,
toned, would capture some.
DUT these two methods will
ID not recapture more than a
small fraction of S100,000,000 or
$500, 100000 a day. Average
daily bond sales the first n
days of April amounted to ST.
100000. The July goal is S33,-
100000. Daily excess profits tax
income cannot be calculated, but
it will not raise much.
Thus when the plan goes into
effect. the great bulk of the
money will remain outstanding,
mainly in the hands of war
workers and corporations.
That is why so many eco
nomic authorities outside the
government doubt that Mr..
Roosevelt's course can be sue
cessful in curing the initiation
evil he sees.
THERE is a secondary cause,
Il the limited amount of goods
for which excess income" can
be spent. The President moved
directly at this contributing fac
tor with the new Henderson
price ceiling and a promise of
limited rationing.
But the price ceiling will not
reCapture the money. 1t will
still remain in circulation seek
ing other outlets. 1t will still
exist as a m enac promoting
initiation.
Perhaps the fault can better
be described by citing the plans
which the President did not
recommend. He did not propose
broadening the income tax base
further. He Stunned a general
sales tax. incidentally, both
these would be generalized inn
positions on all groups and not
specifically on those who have
the excess money!
LIE ESCHEWED a method the
IL British are now putting
into effect-a 662s per cent tax
on luxuries such as furs, jewelry,
etc.
He also discarded one specific
remedy. He did not want to in
crease the 40-hour work week
as a basis for pay to war
workers. because that would de-
crease their income - the very
income which is causing most
Of the worry. Such an increase
in the work week would in
effect be an excess profits tax
on labor. not nearly as drastic
rs the excess profits tax on
industry.
MOST worrisome thing 10 the
L'l government is the gas ra-
tioning. Howls are expected
from every quarter, because the
essential need OF each citizen for
gas is different from that of any
other citizen.
Cars are used as a necessity
for transportation TO and from
work. Substitute transportation
facilities are inadequate. Few