Evening star., 1950-08-10
Du Pont Offer Spikes
0ft-Repeated Charge
OF Profits in War
Corporation to Do Work
On Hydrogen Bomb for
Fee of One Dollar
By David Laurence

Maybe Cne VOICE Oh AIIlelAOa
took note of and transmitted
abroad a news item the other day
which was about the strongest re-
buttal that could be made to the
oft-repeated charge of the SovietS
that Americas big corporations
are eager to make profits out Of
war-and maybe the item was
missed altogether. Anyway, it
didn't get the conspicuous men
ton in this country that 1t de-
serves.
For it was announced that the
task of carrying on the develop
ment of the hydrogen bomb in a
Government owned plant had
been entrusted to the Du Pont
Co. of Wilmington, Del, and that
the duPonts had agreed to do the
Job and charge exactly one dol
lar for their entire fee. The work
may take years to do but that's all
the profit" the dupont organiZa-
ton will accept.
There is a tremendous amount
of social significance in that piece
of news. For it reveals chat the
biggest chemical company IN
America is the only one that can
really do the important work that
has tn be done with the H-bomb.
Its staff and organization alone
has the background and know
how" incidentally, the Du Pont
Co did a similar job-alSo for one
dollar-in operating an atomic
energy plant for our Government
during World War II.
Standard Oil Co. Plan.
But, speaking of big corpora
tions, this isn't all the news that
might have been transmitted over
seas by the Voice Of America" /"
The Standard Oil Co. of New Jer-
sew announced that the families
of its employees who are called to
war are going to continue to be
paid each week during the emer-
gency a substantial part OF their
regular wages. There are other
large companies which are put
ting into effect somewhat similar
plans.
The larger companies will prove
even more valuable to America in
the war effort of the future than
they have in the past. This time,
however. their production Will eX-
ceed all past records. Thus, the
General Electric Co., through its
president, Charles E. Wilson, has
lust announced that, in the event
of an all-out mobilization, It can
produce substantially double what
it produced during World War H.
Americas total manufacturing
capacity is so per cent greater tnan
it was 10 years ago. Steel has q
much greater capacity than dec
ade ago and electric power pro-
duction is double what it was IN
the period before World War IL.
The railroads are in better con-
ditiop today than in 1910 ana
America now has an independent
rubber supply if it should be cut
off from the East Indies.
The truth is that. the period
from 1888 to 1889, before the last
war broke out, was a period OF
depression, and hence it was not
until after 1945 that America be-
gan to get enough plant capacity
to take care of the demands OF
the people for consumer gooos
and manufactured products.
But how has this amazing de-
velopment and productive ca
pacity been made possible? BY a
system of private enterprise ana
by integration of the varied opera
tions of larger companies. AS a
matter of fact, America is lucky
today to have well-integrateo
companies. and might not have
been so lucky if the radical theory
about splitting up integrated op-
erations had been adopted. MOST
significant today, for example. Is
to read in the light OF the wal
situation what Judge John e
Knox wrote on June 2 last-JuS'
% days before Korea-about the
proposal to split up the Aluminium
Co. of America-largest aluminium
producer of the country.
Calls Industry Vital.
He said in his formal opinion
in the United States District Court
of New York:
at is my considered and firm
Judgment that strong and re-
sourceful domestic aluminium in
dustry is a vital necessity, not
alone from the standpoint OF ma
tional security, but also for the
peacetime welfare of the general
public. BY this I mean that the
future development of the indus
try depends upon its being COM
posed of financially sound and
well-integrated organizations
Rightly or wrongly, from an
economic and social standpoint
big business in many industries
is an actuality, and if such en-
terprises are to be subjected to
effective competition. their trade
rivals must be of somewhat COM
parable strength"
Two World Wars were won with
the aid of the industrial produc-
ton and manufacturing know
how" of the United States. 1t is
fortunate for America that large
scale enterprise has expanded tc
the point where it is now able
to turn out more tanks, more
planes, more ships. more guns
and more bombs and ammunition
by far than any other country OF
group of countries in the world
So big Business" has at least
one justification, if no other, fol-
existence, subject, of course, to
any curbs on price-fixing or un-
fair competition which a fair en-
forcement of the laws may re-