Evening star., 1947-01-08

acquisition and preparation fop de-
velopment. It can start the flow
of new types of private investmer
into housing ventures. It can brint
the traditional home building indus,
try into rental housing as well.
No subject has received more pro.
tracted study by the Congress lead
ing to more uniform conclusions
Nonpartisan housing legislation wa.
introduced in the Seventy-nintf
Congress and passed the Senate by 9
large majority.
/. On several occasions. have urgee
Of this program which
was developed within the Congress
itself. I again urge enactment ol
this program at the earliest possible
Against Reducing Taxes Now.
Expert and lay opinion is in agree.
ment on the rule OF sound public
that calls for a surplus :r
Government revenues over expendi-
lures while employment is high ant
the total of income is large. In the
present economic situation, it is
clear that 1t would be unsound fis-
cal policy to reduce taxes.
Every one is agreed that the tas
burden is great and should be re-
duced as soon as possible. When
reductions come, it will be import
ant that they be fairly and equitably
distributed, that they contribute te
the maintenance of purchasing
power by reducing the burden on
the mass of consumers, and that
they help provide the work ano
business incentives essential for q
high level Of production. There
are various ways of accomplishing
these objectives of tax policy ano
of making an equitable reduction
of taxes fairly distributed over al!
levels Of income. These problems
should receive careful study so that
we are adequately prepared for wise
action when the times comes.
S. Labor management relations.
I have transmitted to the Con-
gress, in my state of the Union
recommendations covering
the broad field of labor manage
ment relations, and need not dwell
further on them here.
It Is important, however, to EN-
phasize once more, In relation to OH
goal of a permanent high-produc-
ton, high-employment economy
the key responsibility that both
management and labor have in
helping to achieve this goal. Sound
collective bargaining is essential.
In order to build an enduring
prosperity for ourselves and our
children, we must and we shall
solve the problem of making nee
assary adjustments in wages and
working conditions without round
after round of crippling and futile
nalts in production.
Longe-Range Program
The war has left us a tremend-
ously increased productive potential.
and further Increase are in store.
In order to keep our expanding
economic activity In line with our
growing capacities. the extraordi-
nary postwar demand that we en-
10y today must be transformed into
sustained demand of an expanding
peacetime economy.
Elimination of wartime controls
does not mean that we want to go
back to the size of economy we
had before the war. The possibili-
ties and requirements of a sus-
bafned billion dollar economy
differ from those of an unstable
100 billion dollar economy.
A variety of measures will be
needed to fortify the basic struc-
ture Of the American economy be-
fore the transformation from war
and reconversion to a high-con-
peacetime economy is
completed. We are still at the
threshold formulating q program
Of consistent policies designed to
give business, agriculture and labor
the opportunity which are envis-
aged in the Employment Act.
A long-range program designed
to strengthen the structure of the
economy should include
policies toward:
1. Efficient utilization of the
labor force.
2. Maximum utilization of pro-
ductive resources.
8. Encouragement of free COM
petitive enterprise.
4. Promoting welfare, health
and security.
5. Cooperation in interna-
tional economic relations.
6. Combating economic fiuct-
uations.
Standard for Workers.
/. Efficient utilization of the labor
force.
The Nations labor force is Its
greatest productice asset. Prudent
use Of our human resources re.
quires a working population moi
only large and well-trained, but en-.
joying high American standards ot
health, education, security, and per.
sonal and political freedom.
We must develop and utilize full,
the skills of our labor force. W.
must improve productive efficiency
through industrial training anc
counseling focused on employment
opportunities in various occupa'
tions, industries, and localities.
am directing the Federal agencies
concerned to initiate study O.
these programs, in cooperation
with State and local authorities
In order to improve such train
ing and services and to remed!
inconsistencies and gaps.
The return of the employment
service to State administration
should not result in its disintegra'
ton into 48 disconnected pieces, O.
in the subordination Of the place
ment service to unemployment in
surance. An efficient placemen
service requires uniform minimum
standards and an integrated in
terstate system for disseminating
job information and placing work
ers across State lines.
Discrimination Must End.
We must end discrimination il
employment or wages against Ger
tain classes of workers regardless
OF their individual abilities. Dis
c,.iy,,ino tfoy, o0oSpcf certriy ra rio