Detroit evening times. (Detroit, Mich) 1921-1958, 1942-01-02
Postwar
Socialism
A Bueaboo
Prosperous, CapitaIistic
System Likely
BY PAUL MALLON

lllNl Uolt OF. SUSPICION lDdl INC
war effort might drop tins coun-
Try into postwar socialism
Time Magazine had an out
standing survey OF 1871 relating
how the government was tinan-
cling defense plant expansions,
operating aluminium and muni-
ton plants, how Henry Ford
was practically spending his
manufacturing resources for the
government I'm anticipation of
inheritance taxes, how ChrNSler
made only lbs of per cent on
irS first S32 100000 OF deliveries
of defense products
Times facts inquired politely
about the socialist trend of gov
eminent requirement by invest
ment profit limitation and taxa
ton.
Socialism of course. is con-
traTY TO our democratic war
aim Mr.. Roosevelt did not men,
ton the fifth freedom of free
enterprise, but it was implied.
NOT many government Off
" Gals, therefore, fear the
ghost of socialism. The best Of
them do not see why this demo
cratic government should not
give back 10 business the plants
II is financing. They see no pros
pect that the government will
have 10 finance a retooling re-
turn 10 consumers goods after
the war.
Certainly the delayed demand
for autos. rcfrigerators. etc. will
be so large that business should
reasonably expect to raise from
the public. funds with which to
finance that return. without dig
Ging into the government purse
again. They do not intend TO let
taxes 60 TO the heights of con-
fiSCation talthough they admit
Henry Ford'S heirs. for one, will
have problem meeting his in
il'i lAdllNt AdN'S' - VI llOitAN illill-
tationS 90 10 the point of eX-
tinCtion.
What the government econo-
mlStS see for the postwar
future is period of full pro-
duction and employment under
a prosperous highly taxed capt.
tallStlc system
THE economists here also see
another thing which is not
50 good, They are pushing for
ward a great expansion of the
social security program
They conjure visions Of every
man retiring at so or 65 with
hvable comfortable pension from
the government in the postwar
future Through that pension,
pent-up demand for consumers
goods and a large public works
program (being worked up by
Vice President Wallace'S COM
mittee) they expect TO maintain
full production and Stave off de-
preSSlonS.
This pensions idea looks like
a rose to them, but il smells
something vaguely like a Town
send plan, the fiShy scheme
which made them Shudder
few months back.
So far the social security pro-
gram has provided more debt
than civilian purchasing power.
1t has proved a good way TO
raise funds for current treasury
expenditures. but when paying
out time comes con a scale to
create any substantial purChaS-
ing power) the treasury viii
have 10 find some new way of
raising the money for the pay
mentS.
II may have TO increase the
debt. now already in prospect of
being multiplied by war eX-
penditureS. or new taxes will
have 10 be levied, or both.
These are the only sources of
solid money.
DERHAPS the notion is being
L advanced now mainly 10
promote an increase in pay roll
taxes. An article by Social
Security Chairman Altmeyer
last August suggested a pay
roll tax of II TO 1872 per cent,
compared with he present 4
per cent. Some want 4 per cent
on the employer. Ii per cent
on the employe; others want Q
per cent on both Cthe federal
government TO take over and
manage the whole affair.".
But the government has al
ready collected over S., 900 000.-
600 of social security SURPRISES,
and S2.OO0.OOOOOO more will be
available before the war is over.
Massachusetts Governor Sal
tonStall has pointed this out in
a brochure protesting the use
of social security 10 finance de-
tense
As there is little unemploy-
ment now tand economists eX-
peCt little during full production
after the war; SaltonStall wants
TO know why the government
should increase pay roll taxes
for social security purposes.
Worse than these economic
factors is the undemocratic in
Justice 10 the man who wants
only 70 hold his Job and pro-
vide for his own future.
The good worker, who viii
a lw a yS be in demand is pc
nallzed by unemployment taxa
ton IN favor of the ShiftleSS
pmDlDVp who NAV not mako an