Evening star., 1950-05-29
Economic Advisers
Have Lost Prestiqe
Because Of Politics
Any Future Reports
By Trumun Council
Will Be Discredited
Bv David Laurence


the so-called Council Of Economic
Advisers is doomed to extinction.
It may continue to exist in name,
but its prestige will be gone.
It was killed by the Administra-
tion and by overzealous members
Of the council itself who somehow
became confused as to the mean
Ing Of the words economic ad-
vice" and began to regard the
main function of the council as
the giving Of political advice"
The agency will continue to get
funds, but it's usefulness has about
terminated. Its report will be sus-
pect in the future-as merely
ghost written for a political ad-
ministration.
The council started out to be a
disinterested agency. 1t collected
important information and gave a
scientific evaluation Of the data.
But this was too much for the
Administration. It didn't want any
economic information that might
possibly cast doubt on the political
proposals or objectives of the party
in power.
Necessity Pointed Out.
It was DR.. Edwin G. Nourse
who. during his term as chairman,
pointed out the necessity of avoid
ing political entanglements. He
Insisted that the members Of the
council should not go before Con-
gressional committees to advocate
causes" Unquestionably Congress
has a right to elicit information
and to ask for Interpretation Of
economic conditions, but the
council members who differed with
Or. Nourse took the view that open
advocacy Of economic causes"
was justified.
DR.. Nourse resigned and Presi-
dent Truman has made Leon
Keyserling chairman of the coun-
Gil. He is an able, minded
student OF public policies, but he
is not considered an objective
economist. He recently spoke at
the meeting in Chicago which the
Democratic National Committee
sponsored. He was known as a
New Dealer and now as a Fair
Dealer. While individual views and
political beliefs naturally can vary
among council members, it is al
ways difficult to have faith in
economic treatises put out by poll
ticians or politically active officials.
Congress has before it, to fill
the Nourse vacancy, the nomina-
tion of DR.. Roy Blough, another
New Dealer. who has been at
tached to the Economics Depart
ment of the University of Chicago
and who previously worked for
the Treasury Department in it's
contacts with the Senate and
House on tax legislation.
Ives Expressed Doubt.
In his testimony before q SEN
ate committee which is consider
ing whether or not to confirm
him. DR.. Blough said he does not
favor clothing political objectives
In the garments of finances" Sen
ator Ives at the time expressed
doubt as to whether or not he
would vote for DR.. Blough's con-
firmation. Senator Taft has said
that the appointment of DR..
Blough gives Mr.. Truman three
left flelders'' on the council, and
Senator Flanders thinks appoint
ment Of DR.. Blough "raises the
average"
It doesn't make much difference
whether or not DR.. Blough is con-
firmed. If he is not confirmed,
some other "left wing" economist
would surely be appointed. Presi-
dent Truman and his supporters
may wonder why morale in the
country is low and why the people
are so suspicious of the Admins
tration. There were already two
cleft wingerS" on the council, but
the President was not willing to
appoint anyone with an opposite
viewpoint. That's why its future
reports will be diScredited and the
agency will cease to exercise any
influence with thoughtful people
who had heretofore cherished the
hope that in these confused times
at least one commission in the
Government dealing with eco
nomic problems would remain free
from political bias.
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