Evening star., 1946-06-29

Sioii lIeIlS anu also Sets up new
formula for fixing ceiling prices.
Citing the impact of such leg
islation, Mr.. Truman said that to
start with it would be little short
of devastating" in housing.
He added that the prices of low
priced automobiles would jump
S225 to $3.50 on top of substantial
increases already granted; house
hold appliances would be up from
25 to 80 per cent and clothing about
IS per cent. The clothing item
would add about $3,0O0O 100000 a
year to the living expenses of Amer
ican families, he said.
Rent Control Held in Danger.
The President conceded that the
bill did not direct any immediate
increases in rents, but this does not
! mean that rents could be effectively
controlled" he said.
The President said if he thought
the bill would make some genuine
protection against possible soaring
food prices and rents he would hesi-
tate to disapprove it, but that it
would do nothing but delay this in
crease
Taking another dig at the amend
ments which he had pointed out
earlier, the President said the spec
tacular increases in the prices of
manufactured goods which the Taft
! amendment and its companion
amendments would cause in the be-
ginning are far in excess of anything
which industry needs to earn gen.
erous profits and obtain full produc-
ton. The increases are so large
because the formulas for computing
them are bonanza formulas"
He agreed that prices must not
be infiexibly held" saying that some
increases have been granted and
more will have to be granted to
remove impediments in production" F"
In resigning as stabilization di-
rector Mr.. Bowles had urged q
veto, and let it be known that he
was getting out to deprive his critics
of the argument that he favored
stringent controls to perpetuate him.
self in Office.
Promises to Fight On.
In accepting the resignation, Mr..
Truman promised that the admin
istration shall continue the battle
against imitation with every weapon
at its command"
At the same time, the White
House made public a statement from
the Wage Sterilization Board stat
ing that the bill invited "uncop-
tro]led initiation"
Effective control Of prices and
rents under the bill, Mr.. Bowles de-
| clared, would be fatty impossible. .
He added that thousands of SUBJ
stantial price increases" would be
inevitable, that the cost of living
would climb rapidly" and that
black markets would multiply"
The President, in accepting Mr.
Bowles' resignation effective July 10
termed it an emphatic answer te
the fantastic charge of spokesmer
of selfish interests that you sought
extension of the price control bill
in order to perpetuate yourself ir
Office"
Like Mr.. Bowles, OPA Chieftair
Paul Porter has opposed the bill. bu
In no such strong language. There
were authentic reports that pressure
has been brought to bear on him BY
longtime congressional friends e
stay on the job despite the Bowles
resignation.
Mr.. Porter had no comment on the
Bowles resignation last night, OF
what his own plans are.
Significantly, perhaps, Mr.. Porter
was present but Mr.. Bowles was not
when the administrations four ton
legislative leaders urged Mr.. Tru-
man in yesterdays White House
conference to sign the bill as the
best measure they possibly could
wangle through Congress in its
present mood.