The Wilmington morning star., 1947-10-25
PRESIDENT TELLS
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carry her through until next
March 81.
Italy $142, 600, 900 to
last through December 81 and
al. additional SAB, 600, 900 to run
through March 81.
Occupied areas in Germany,
Japan and Korea-"serious diff
ficulties" require additional
funds in an amount he did not
specify.
The president summed up:
"The two problems l have
been discussing with you to-
night-high prices at home and
hunger and cold abroad-pre-
sent a challenge to the Ameri-
can people.
"We could choose the course
of inaction. We could wait until
depression caught up with US,
until our living standards sank,
and our people tramped the
streets looking for jobs. Other
democratic nations would lose
hope, and become easy victims
of totalitarian aggression. That
would be the course of de-
featism and coWardice."
In saying that Initiation must
be stopped before it is too late"
Mr.. Truman described high
prices at home and emergency
aid abroad as obstacles which
must be overcome by prompt
action.
On the domestic side of his
discussion, Mr.. Truman noted
that US. employment is now
the highest ever, wages r up,
farmers are getting a greater
share of the national income,
and manufacturers and retail
ers are experiencing record
business.
But, he said, these signs of
prosperity "do not tell the
whole story" since the buying
power of many people is shrink
ing.
Compared with the middle of
1916, he said, clothing prices
are up Is percent, household
furnishings 10 percent, food 40
percent and the average for all
items is up % percent.
"And the cost of living is still
climbing" he asserted. "1n the
last three months it has
climbed at a rate Of over 16
percent a year." He noted that
wholesale prices are increasing,
mentioning textiles as having
risen 80 percent since 1916, met
ais IS percent and building ma
terials Al percet.
Initiation Victims
millions of families of low or
moderate income are already
victims of initiation" he said,
adding they are using up their
savings, going into debt, and
doing without things they
should have.
Mr.. Truman said that with an
economy Physically sound" it
is within the coantry's power to
stop initiation since the buy
ing power of the people today
sis 40 percent higher than 1T
was in 1929"
Despite prices pulling away
from incomes, he said it is still
possible to prevent further loss
eff we use our economic
strength wisely"
Citing demand for available
goods as the major cause for
high prices, he criticized at
tempts "to place the blame
upon our foreign aid program"
asserting:
During the war, we learned
that we could improve our
standard of living with less than
so percent of our output avail
able for civilian USE"
At present, he said, even with
current exports to all countries,
"a far greater percentage of
our production is available for
civilian USE"
Up To Congress
He said the problem a be
met "only by bringing prices
into line with the incomes of
our people," and added.
"In our free enterprise sys-
tenn. we place major alliance
upon voluntary action by bust
ness men, farmers, workers,
and consumers. That is why l
have repeatedly urged volun-
tary price reductions"
Mr.. Truman added, however,
that the governments RESPONSE
bility "extends beyond aiding
voluntary action" and the
American people 'now have a
compelling need for protection
from the dangers of price in
flation and the rising costs of
living" =,
"The government" he said.
"must assume a larger share
of the responsibility for putting
an end to excessive prices and
the hardships and dangers
which accompany them"