Evening star., 1945-11-05
baruch Advises u. ).
To Take Strong Hand
With Labor, Industry

Warning against the threat of
imitation, Bernard M. Baruch, in
letter to Representative Gore,
Democrat, of Tennessee has ex-
pressed the belief that unless
strife between labor and man
agement ceases soon, Govern
ment must take a hand, and a
strong one in the interest of the
contestants, the public and it
self"
In his letter, made public last
night, the veteran financier and
economist also urged an immediate
Nationwide summary of this coun-
try's resources and obligations, pres
ent and future. Until such an inven-
tory is made, he said, it Is unwise to
determine either policy on foreign
loans or tax reduction.
Mr.. Baruch also warned thai
America should be careful in ex-
tending loans abroad and that they
not be used by foreign nations tc
"nationalize their industries against
us, to destroy our competitive sys-
tenn, which, I think, should be pre-
served. He mentioned Great Britain
Czechoslovakia and France as coun-
tries which are Matchmaking OF
about to nationalize their indus
tries"
Russia Has TOtalized Herself.
Russia" he observed, "has total.
lied herself-and is totalizing al
countries coming under her aegis."
Mr.. Baruch declared the inven-
tory he proposed would give "ar
overall picture of the balance sheet
of the country" Such picture i.
needed, he said, not only to helr
prevent imitation, but to deal with
"an other economic problems. do.
mestic and foreign"
He asserted the inventory should
answer:
What are our present debts? .
What does the public hold in bonds
." And what do we owe others!
Also, how much further do We have
to go in debt to pay for war con-
tracts? How much will we have to
raise for Breton Woods Cthe inter.
national monetary fund.-, UNRRA
(the United Nations Relief and Re-
Mobilization Administrations anc
foreign loans of very type?"
Examine Production Capacity.
Once these facts are learned, Mr.
Baruch continued, I'VE ought to ex-
anime our productive capacity and
determine how to divide that pro-
duction, first to see that enough
of what is produced remains in the
United States to avoid disastrous
imitation, and then how much to
allocate for the rehabilitation -o1
Europe, China and the Philippines.
He added that unless this divid-
ing is done wisely, we will sink anC
the whole world will go down with
U.S."
| Mr.. Baruch criticized hasty ta1
reduction. He said reducing taxes
too much now, and with no indi.
cation of future plans is unwise
and may be seriously inf1ationary.
Congress completed action las
week on legislation cutting taxes il
1946 by an estimated $500, ,000, 900
Urges Speed to Save Nation.
Labor disputes" he said, "canno
continue to interfere with produc
tion as they do.
For years have had high hope
of collective bargaining and intel
ligent leadership in management
and labor to bring about under.
standing without interference O
Government.
Reaction from the war effor
has caused much of the unrest, bu
unless strife creases soon, Govern
ment must take a hand, and /,
strong one, in the interest of tn
contestants, the public and itself.
The 75-year-old flnancier addet
this postscript:
THE miracle of American produc
ton can save the situation now. a
it did in the war, but it must hurry
hurry, hurry"