Evening star., 1943-04-06
Bunkheud Bill
fContinued From First Page.y

per cent, add s1.5OO 100000 to the
consumers annual food bill, and in
crease by $5OO,000 900 a year the cost
OF feeding the armed services and
supplying the Allies.
Sponsors Minimize Costs.
Representative Pace. Democrat
OF Georgia, argued that any price
increase resulting from his bill
would not exceed 2 per cent, and
Senator Bankhead, Democrat, of
Alabama, author of the vetoed mea-
sure, has similarly disputed Presi-
dent Roosevelt's contention that his
bill would raise food costs 5 per
cent.
The effect on imitation would be
negligible" Senator Bankhead said
The only commodity to be affected
now would be corn and the Bureau
OF Agricultural Economics says the
effect on corn would be negligible. -
He explained that since most other
commodities were selling above
parity, there would be no benefit
payment deductions made on them
IN any event.
The administration has an advan-
tage in the fact that it needs only
one victory. in either the Senate or
House, to kill off the bill. The farm
bloc must win both battles to enact
the measure. and there is evidence
the going might be considerably
harder in the House than in the
Senate.
OPA said its calculation that the
Bankhead measure would increase
the cost of feeding the armed forces
and supplying Allied nations by
$500, 100000 year, did not take into
account the possibility of a rise in
wages resulting from food price
gains-which, OPA added, would in
turn raise the parity figures by in
creasing the cost of supplies to
farmers.
Corn, sugar and wheat would be
the major commodities Immediately
affected by excluding subsidy pay
ments from parity price calculations,
but many other commodities would
be carried up with them, OPA as
serted.
Many Price Increases Feared.
Corn controls the price of other
feeds, OPA said, and a price in
crease in corn lin the course of time
must result in an increase in
the price of all meats, poultry and
dairy products"
II OPA tried to hold it's ceilings on
meat, poultry and dairy products it
would inevitably impair the met
income of the producers of this wide
range OF agricultural commodities, -
said the OPA report.
Since farmers themselves buy
farm products and commodities
processed from farm products, it is
evident that the rise in the farm
price of feeds and in, the price of
foods at the retail level will raise
the index of prices paid by farm
ers,' the report added. This, in
turn, will raise the parity level by
the same percentage, and thus per-
init farm prices to rise still further" ."
In the House, meanwhile, Repre-
sentative Gore, Democrat, of Ten
nessee said Congress. if it overrides
the veto, will be flirting with an
economic crackup on the home
front which might bring about de-
feat on the world battlefronts."
Mr.. Gore drew a grim picture of
imitation, which, he said, would first
bring the farmer "intoxication, -
then nothing but Headache and
heartache."
Mr.. Gore, a farmer himself, de-
clared that Congress, by insisting
on the legislation, would bring only
"a measly, temporary benefit" to
certain farmers. and in so doing
would "stigmatize the farmer, even
more than you have already done,
as being the culprit who has brought
on imitation"