Evening star., 1943-06-16

An additional $4,000 900 was pro-
vided for contract authorizations
bv the co-ordinator for Inter-Amer-
ican Affairs, and the Smaller War
Plants Corp. was authorized to use
sl2O06,O0O of its original $3.50, O,OO0,-
900 capital stock fund.
Near Production Limit.
War Prediction Chief Donald Nell
son testified that I'VE are rapidly
approaching the limit in our pro-
ductive capacity in this country.
He said the total output in l943
would reach approximately Sl8O.-
600 100000 and said about half OF it
would be for direct war production.
From both the military and the
production point of view" he said
Il am convinced that We are in the
midst of one of the greatest and
most powerful developments in his
tory-the development of an almost
incredible striking power by means
of aircraft.
" can report to you that
from now on expenditures for oul
Air Force will exceed by far the
expenditures for any other single
military category, reaching before
the end of 1943 an annual rate OF
some tens of billions of dollars
From Price Administrator Prem
tiss Brown came the assertion that
price control measures had saved
the Government $25, 300 900, 900 by
the end of 1912, and that that
amount would swell to 10000 ,000,-
900 by the end of l943 ''if prices are
held at current levels
Urged Use of Subsidies.
In the face of mounting congress-
ional opposition to use of subsidies
to keep down the cost of living, the
OPA chief told the committee that
it would be impossible to get prices
back to their September. 1912. level
without substantial use" of sub
sides.
His opinion drew from Chairman
Cannon the observation that I'VE
cannot escape the fact that Con-
gress has repeatedly in the last
few weeks, three of four times by
record vote and overwhelming ma
jorities, indicated its emphatic dis
approval of subsidies"
Rubber Director William Jeffers
reported that all the synthetic rub
Der plants should be in operation
and producing by the end of the
year, and that he was counting on
an output of about 1000 long tons
of synthetic rubber next year.
He declared that there would be
at the end of this year about 140 1000
tons OF synthetic and crude rubber
and estimated that production of
synthetic rubber by early autumn
of 1914 would reach the point where
1t could supply normal demands.
There was strong intimation, too.
that the Nation is in for some new
rationing programs. but just when
they will go into effect was left to
speculation. Mr. Cannon noted that
the OPA justifications called for
several new programs
In charge of rationing for OPA.
Louis J. Kroeger reported that there
were eight under contemplation, six
of which are contingent on direc-
tives vet to be issued While both
he and the committee SHE'D away
from discussing their nature in fear
that they be upset by advance no
tice, he hinted that one of them may
deal with COAL
Studying Coal Situation.
Conditions being what they are
at present" he told the committee
I'VE have some plans under way
here with respect to coal. Now
whether or not coal is going to have
to be rationed is a question of many
determinations. - But should it
become necessary to ration coal
then, certainly, the coming up of
another winter makes it impera-
tive that we go to work right away
and develop that program"
The subcommittee gave the Boaro
of Economic Warfare every penny
S36, $50 000-it sought. and declared
that the testimony of Milo Perkins
BEW director, emphasized "the
grave Importance of the work that is
being done by that organization or
the world economic front and the