The Chronicle-star combined with the Moss Point advertiser., 1946-12-13
Colmer Group Calls For No "Puniiive"
Labor Legislation In Final Report
BY the Associated Press

Washington, Dec. l2,--Enact-
ment of ''constructive-not punt
tive" labor legislation and abol-
ition OF OPA's general powers
next July 81 were recommended
today by the House committee on
postwar economic policy and
planning.
II took its stand in a report
warning against "unjustified''
fears of a business depression.
In its final report, the commit
tee headed by Rep. w. M. colmer,
Pascagoula. also recommended:
ID Reduction of the federal
budget for the next fiscal year
to $50, 900, DOC, 900 to allow for
rome reduction" in taxes and for
payments OF the national debt.
Present spending is at the rate
of SAL SOC, 100000 a year.
(2) Stronger emphasis on re-
modelling and reconversion OF
existing housing structures and
increased construction of low
cost rental units.
t3) Substitution of economic
cooperation for economic war
fare" in the field of foreign eco
nomic policy.
Would Abolish War Powers
t4) Abolition of the second
emergency war powers act next
March 81, subject to "the neces-
sity for new Legislation granting
narrowly specific powers to be
determined by Congress-"
90 Continuation of some agen-
cy such as the office of war mo-
Utilization and reconversion TO act
as an overall staff to co-ordi-
nate and formulate policy.
(6) Revision of the surplus
property disposal act to speed
the disposition of wal SURPRISES.
90 Expansion of unemploy-
ment compensation coverage and
old age insurance protection.
go Limitation OF public CON
struction to new projects of inn
mediate necessity.
considering everything" the
bipartisan committee said in its
unanimous report, there is no
necessity for either a depression.
or recession. Loose talk of de.
preston and business recession
is unjustified and serves no good
purposes"
But IL warned that the causes
of low production in many indus
tries must be erased and "anoth
Pr wage-spiral avoided il pros
porous conditions r TO CON
tinue."
"A start has been made toward
y the goal Of sustained high en-
ployment'. the committee said.
Stress Stability
THE task ahead is to develop
economic conditions which will
encourage stability of productive
employment at a high level.
THE government cannot and
should not take full response
bility for maintaining economic
stability II full employment"
II emphasized that productivity
Is "the real solution for many OF
the nations economic problems
and called for "active coopera,
ton between management and
labor to eliminate Immediately
the current difficulty SO we can
avoid a recession
OF fiscal matters IL said:
1T forebodes danger for the
future if under the present very
favorable conditions of high in
come and high tax rate, the fis-
cal affairs of the government
cannot be handled in such a way
that the budget can be balanced.
1T is necessary 10 develop a
tax system which VIII raise the
necessary revenue and still dis
tribute the tax burden in a man
ner that will provide adequate
incentives for venture capital, ere
active effort in business growth
and also permit expansion in con
sumner demand. The personal
income tax should be regarded
as the main reliance for federal
tax revenues and should
be continued on a broad basis"