Evening star., 1946-01-21
Snyder Gives Warning
Initiation Must Be Met
BY Price Controls
BY the Associated Press.

Reconversion Director John w.
Snyder declared today the threat of
imitation must be met by price con-
trolls and rising production to head
off an economic Pearl Harbor."
Production for civilian use al
ready is at an annual rate $20000,-
000, 1000 greater than four months ago,
Mr. Snyder said in a year-end re-
port to the President and Congress-
But the time cannot be foretold now
when industry will come abreast of
the soaring public demand for
goods, he added.
Mr.. Snyder urged strongly that the
Price Control Act be extended be-
yond it's scheduled midyear expira-
ton date, saying:
1T would be foolhardy not to
recognize that the excess of demand
over supply throughout the eco
nomic system may continue far be-
yond June 80
Peaks Early This Spring.
Unemployment and inflationary
pressure may hit their peaks stimuli
taneously early this spring, Mr.
Snyder said. However, joblessness
will be below former estimates. 1t
now is around 100000, compared
with the 100000 or 100000 Gov
eminent agencies had expected.
The basic need at this particular
time to meet both situations is more
production the reconversion di-
rector declared.
I'VE must race to expand our out
put. We must smother imitation
with a steady stream of goods. We
must speed up the wheels of in
dustry to create the jobs our work.
ers and veterans need"
Labor strife delayed the start of
some important production lines, he
said, but high output of cars, re-
frigerators, washing machines and
other durable goods could not have
been achieved by this time, in any
case"
Forecasts for 1916.
The report forecast what 1916
would bring in these vital fields:
Food-Americans may eat more
than in the record year 1914, when
consumption was II per cent above
the prewar average.
Housign-"Our most serious short
age" Private building will start
the fastest upsWing in it's history,
but demand will be several times
greater than the new construction
supplied.
Jobs-Business cannot expand
quickly enough to absorb in the
near future the 4,500,000 veterans to
be freed in the next half year, along
with newly discharged Government
and war plant workers
Coal-"Supply prospects are fair
Clothing-Shortages will persist
Demand fog cotton goods will top
supply by 20 to so per cent
Trade-May double the 1899 total
of $4,000, 1000, 900 in sales. and thus
far exceed the l945 record.
Payments TO Farmers.
Automobiles The industry ex-
pected before the strike to make
1000 900 cars this year, and has laid
the physical basis for such volume,
topped only in 1929.
Agriculture-To safeguard farm
| income, Congress should authorize
direct payments to farmers where
necessary instead of the present
method of supporting prices.
More food will be available this
year than last, but shortages will
persist through the early months
at least on butter, sugar, pork
canned fish and the better grades
of beef and veal
Mr. Snyder pumped strongly for
the so-called full employment
bill extension of the Second War
Powers Act.
Unless the war powers legislation
is prolonged beyond June 80, he as
serted, the Government will be
stripped of its ability to break in
dustrial bottlenecks. fight shortages
and speed construction.
And. he added. the priorities we
have established for veterans ION
houSing) will become meaningless at
the very time they are most urgent
/ ly needed"