The Skyland post. [volume] (West Jefferson, N.C.) 193?-1988, 1942-04-16
By STAFF CORRESPONDENT

Washington, D. CA freezing
of our whole economic system
including wages of labor, profits
of corporations, prices to the con-
sumner and rents-is now under
stood to be getting serious consid-
Grafton here and has been SUBJ
ject of considerable discussion by
cabinet members and the Presi-
dent.
The present system Of issuing
separate orders from the Office OF
Price Administration to put cell
ings on individual items which
seem to be getting out of line,
although effective so far as it
goes, has not prevented general
initiation and it is agreed that
some over all control is needed tc
do the job.
Requests for voluntary controls
on some prices have not worked
out satisfactorily, indicating that
a formal mandatory method OF
governing prices and wages is
necessary to prevent the dollar
from decreasing greatly in its
value to. the consumer.
This is made evident by figures
compiled by the department OF
commerce which show that for
the nine months from March to
December of 1941, prices on I'm
controlled items rose 16 per cent
while prices on controlled items
rose less than l per cent. On
goods for which voluntary con-
trolls were asked, prices rose just
as much as on those for which
no controls were asked, indicat-
ing that voluntary plans are prac-
tically useless as a means of con-
trolling prices.
Stating its views on this subject,
the department of commerce re-
port said:
~Experience to date suggests
formal control over key prices
only is inadequate to prevent a
general price rise. Widespread
regulation at both wholesale and
retail seems required in the alb
sence of a more strigent fiscal
restraint.
The administration is known to
feel that much could be done to
prevent initiation if congress
would pass heavy tax legislation
to 90 into effect Immediately for
collecting much of the increased
wages going to labor and the
increased profits being made by
corporations. But with an election
approaching it doesn't look as if
congress is going to be in any
hurry about putting through tax
legislation. Hence, some other
plan is needed at once to curb
initiation and the answer may be
an overall control of all business
transactions.
The Canadian plan is freezing
wages, but with a provision that
adjustments be allowed if the
general cost of living rises, is
known to have been studied in
detail and may be recommended
as the most satisfactory plan for
controlling labor's pay.
A limitation on profits of cor
porations to 6 per cent has been
discussed many times and it Is
certain that if wages are control
led the profits of corporations will
be limited at the same time.
At first most of the discussion
on these subjects revolved around
control only in war production
industries, but it is now felt that
such control should apply to nom
war industry also to avoid putting
war production in the position of
being less attractive to both labor
and capital than non-essential in
dustry.
At the present time, average
wages are higher than they have
ever been in this country and
profits of corporations, in spite
of high taxes, showed a big in
crease in 1941 as compared with
1910.
Control of all prices is said by
the Office of Price Administra-
ton to require no new legislation
the office now having the autho-
rity to enfore ceiling prices on
any or all products. It is wished
the OPA could issue an order that
all wholesale and retail prices be
limited to the maximum price a
which they were sold on a certain
specified date.
congressman back from trips tt
their home sections, realize tina
the people are demanding NOR
stringent control over labor ant
the repeal of the 40-hour weel
law, but in spite of pressure o
public opinion, many members o
congress are extremely wary a