The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1949-07-21

of the situation" He said the 1949
economic decline had been moder-
ate and that we now have the OPP
portunity "to reverse the trend
and achieve maximum production
and consumption of goods and SER
vices without the evils of infla-
tion'.
| However, the President added,
cit would be even less appropriate
to rely entirely on letting nature
take its course to restore economic
stability and maximum production
and employment. Within the mem
ory of this generation, we have ex-
perienced both the terrible conse-
quences of inaction and the saw
ing value of affirmative policy"
at is fundamentally important
to recognize that we should direct
our policies and actions not merely
toward preventing a depression or
holding our ground" Mr.. Truman
warned Congress. "We can achieve
within a few years national out
put we'll above 300 billion dollars,
valued at current prices. Our goal
of growth and expansion deter
mines the kind of policies that pri-
vate enterprise and Government
should now develop and apply"
To "defeatist" advocates of cut
ting vital international and domes-
tic programs, Truman had this
sharp reply:
care we going to admit that the
forces of progress in our economy
have become so feeble that we must
content ourselves with lower levels
of education, health and housing,
international and domestic secur-
ity, and national development? Or
are we going to move forward to.
ward making our economy as
strong and productive as our re-
sources and skills permit, and
adopt the programs which are con-
sistent with that kind of economy
and necessary for its attainment? !?
81 propose that we follow the
latter course"
To follow this course, the Pres
ident made the following recon-
mendations:
IA broad economic study by
Congress looking particularly for
inadequacies in capacity in basic
industries which may serve as
limiting factors to expansion. He
did not mention steel and other
industries he named in January.
positive action by business
men to expand business investment
and enlarge consumer purchasing
power by maintaining production,
cutting prices, and maintaining
wage levels.
"a government fiscal policy
designed to maintain expenditures
high enough to cover the nations
needs, without trying to balance
the budget by raising taxes. In
stead of recommending tax in
crease of four billion dollars as he
did in January the President pro-
posed only to raise estate and gift
taxes to plug the loop-holes Great
ed by the Republican tax reduc-
tion bill last year; and asked in
stead for a broad repeal of the ex-
else tax on transportation goods.
He also suggested liberalizing the
loss carry-over provision of the
corporate tax to provide incentive
for business investment.
federal m on etary policies
that would contribute to expansion,
including more liberal loans from
the RFC Reconstruction Finance
Corporation) for expansion of in
dustry.
5-Farm legislation like the
Brannan program altho he did not
it by name.
Immediate enactment of a
wage of cat least 75c an
hour"
7-Expansion and liberalization
of social security, including new
for federal reinsurance
fund to back up State unemploy
ment insurance funds which are
administered under laws meeting
certain federal standards.
8-Enactment of legislation to
provide loans to State and local
for advance planning
of public works, site acquisition
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