Evening star., 1949-02-06
Def|ation May End
Rent Control Need,
WoIcott Declares
By the Assoeioted Press

+ A top-ranking Republican said
yesterday that price and employ
tment declines mean rent controls
kmay not be needed much longer.
1 For the same reason, he urged
congress to await developments be-
1fore handing President Truman
.anti-inf1ation powers he asks.
/ The lawmaker. Representative
Wolcott Of Michigan, senior Repub.
.lican member of the House Bank
ing Committee, suggested a six
months "aS is' continuation of rent
ceilings. The President wants the
Jaw strengthened and extended two
years.
Mr.. Wolcott said short term action
Us "the sensible thing" He queS-
ttioned whether any rent controls at
all will be needed much longer.
/ Favors Shorter Term.
\ 81 believe" Mr.. Wolcott told re-
porters, I'VE should give considera-
stion to extending the controls as
is to october l, to see what happens
to the economy in the next 80 days.
This should have bearing on
whether we need to continue the
controls at ALL"
The same attitude should apply,
he added, to Mr.. Truman'S call for
other controls, such as standby
powers over prices, wages and allo-
cations.
Government figures yesterday told
of a 100000 increase in unemploy-
ment in January. Administration
advisers said they were not alarmed
by this and dropping food prices.
They indicated it is too early to
detect whether it is a trend.
Chairman Spence has called the
Banking Committee to open hearings
tomorrow on legislation strengthen
ing rent controls and extending the
law for two years, as MIR. Truman
asked.
The issue will come before Con-
gress against a backdrop Of q land
lord movement in Tulsa, Okla, toI
withdraw rental property from the
market, in protest against controls.
Spokesman for owners and tenants
will have a chance to speak their
pieces before the Banking Commit
tee.
Mr.. Wolcott, then banking chair
man, guided through Congress last
year the Republican amendments
to the Rent Control law, some Of
which Mr.. Truman wants repealed.
Points to Price Declines.
The Michigan Republican took a
look at the economy, in relation to
these controls, and said:
There Is no question but prices
are coming down. In consequence
there will be a proportionate reduc-
ton in national income" He added
that the number of vacancies in
rental property have an "affiliation"
with the national income. Probably |
we should find out what is going to
happen to the national income be-
fore Congress enacts rental legisla-
tion covering long period of time.
That is the sensible thing to do"
he counSeled.
The administration bill, in addi-
ton to prolonging the life of con-
trols, would extend rent ceilings to
several types of accommodations
not now under control. 1t would
give the Housing Expediter more
authority including power to recon-
troll areas previously decontrolled.
What will be the fate of the legis-
lation, in its present form, is un-
certain.
Baker Cites Shortage.
Melvin II. Baker, chairman of the
Construction Industry Information
Committee, said, meanwhile, that
the supply Of housing in this country
had been increased by more than
~ per cent since 1910.
"Yet for those families looking for
places to buy or rent at the present
time" he added, there are fewer
available accommodations than IN
1910.
There is no paradox in our hav-
ing more housing per person and
yet having a situation in which
housing Is harder to find The abb
normal rate of new family forma-
ton and the high income and pur-
chasing power in the hands OF
American families have resulted in
greater consumption of housing
than ever before ."