Evening star., 1942-07-16
Trade Group Offers
DAP Eight Ways 10
Cure Auto Crisis

Association Would Lift
Freezing Order on 1912
Curs Driven | 900 Miles
Eight cures for the present auto
mobile crisis and its attendant high
interest cost on the Federal Govern
ment were offered the Office of
Price Administrator by the Wash
ington Automotive Trade Associa-
ton at luncheon at the Columbia
Country Club yesterday.
The suggestions were prepared as
q supplement to recent move by
the association to have the Federal
Government borrow money with
which to take immediate possession
of the thousands of new automobiles
now frozen in the hands of dealers,
a step estimated to save approx
mately 100000 in the local area
alone.
A partial answer to the eight pro-
posed changes in the rationlng pro-
gram was given at the luncheon by
Hubert G. Larson, chief of the OPA
automobile rationing division. He
will submit more complete reply
to the association in writing within
the next few days.
Eight Points Are Listed.
The eight. points which the asso-
citation said "are necessary to relieve
the present crisis and to avert en-
barrassment, gross extravaganza and
criticism of the Government" fol-
low:
l. Lift the rationing and freezing
order on used 1912 model cars driven
over 1000 miles and purchased be-
fore the general freezing order.
2. Lift the rationing and freezing
order on all 1912 passenger cars,
convertibles and other cars of $1,700
list price and over.
3. Arrange Government provision
of inside or "under-cover" storage
facilities.
4. Purchase by the Government
Immediately from automobile deal
ers and finance companies OF all
salable reconditioned cars now on
hand at current National Auto
mobile Dealers Association figures.
S. Liberalization of restrictions in
order to permit the exchange OF
salable cars from the pool, regard
less OF make or price.
Advantages Are Explained.
8. Purchase by the Government,
or permission for dealers to sell
without ration certificates the un-
sold portion of the monthly quota
Of new cars.
Z. Permit the sale of cars to per-
sons other than those classed In
essential work who will agree not
to drive the automobile at speeds
greater than 40 miles per hour and
not more than 400 miles in any one
calendar month and who, on de-
mand, will surrender the car to the
Government.
8. Release by the OPA and Fed
eral Government Of publicity to the
effect that it is not unpatriotic
to buy and own new 1912 car or
automobile of any other year.
In explaining the benefit to be
derived from the first step, the as
sociation pointed out that many
model cars, including demonstra-
tors, now are driven by owners who
do not need them and who would
dispose Of them If 1t were not for
existing rationing restrictions. AS
for the automobiles embraced by
the second change, 1t was claimed
that the Government has remote
need for such high-priced cars and
therefore has no justification IN
holding them to be purchased on
July !, 1943, under the Murray
Patman Act.
Relief Declared Remote.
Discussing these two changes, Mr..
Larson said the small supply OF
cars now available makes the pos
sibility Of relief from such q move
extremenly remote.
This is evident" he added, when
It is considered that more than
10000 cars were built every day OF
last year, while this year we have
had only one car per dealer for
seven months. The number OF cars
is small in the face Of demands and
there is little likelihood that any
model will be released for free sale"
Floyd D. Akers, chairman OF the
associations Ways and Means Com
mittee, who presided at the meeting,
said one object Of the automotive
industry was to have cars released
under the rationing program at
much more rapid pace. MIR. Larson
agreed that this was essential and
reported that efforts are being made
constantly to increase the pace.
Would Defeat Purpose.
The rationing official objected to
the proposal that cars be sold to the
general public with the understand
ing that they later could be COM
mandeered by the Government, ex-
planning that this would open the
way for ineligibles to wear out
essential products and would de-
feat the purpose of the rationing
program, which, he said, was Ito
distribute scarce goods equitably."
He was reminded by Mr.. Akers on
this point that the present gasoline
rationing would prevent cars from
being worn out in two or three
years. The committee chairman also
called to the OPA off1ciars atten-
ton the fact that an automobile in
use deteriorates at much slower
pace than one that stands idle.
The automobile dealers asserted
In their eight-point statement that
publicity encouraging ownership OF
cars would help increase the pace
at which they are rationed and
would help reduce the number Of
cars the RF'C will be obliged to pur-
chase next July under the Murray
Patman Act. Although he gave no
comment on this suggestion. Mr..
Larson apparently was in accord.
EARLIER he had pointed out that a