The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1950-08-03
Mobilize Property As
Well As Men, Buruch Urqes

was, asked by the veteran states
man, on the basis of experience in
World Wars | and III. 81 want to
start where we left off in 1945"i
he said.
When several Senators question
ed the extremeness of his propos-
ais, Baruch said sit will only cost
us dollars"
Asked about wage controls
Baruch indicated he thought work
ers would accept them if they were
accompanied by stringent tax bill
which included an excess profits
tax, and by genuine controls on
prices and on rents.
Baruch urged that after alloca-
tions of steel, for instance, for mill
tary uses have been made by the
government, what is left go to
more essential civilian uses. Sen.
John Sparkman Cd, Ala.) raised
the question by asking if steel
should go to makers of racetracks
and cocktail bars, during the en-
ergency shortage. 81 patronlze
BOTH" Baruch said, "but Pm will
ing to give them up"
Asked about a tar program by
Sparkman, who said he was "dis-
appointed" that President Truman
has not requested an excess pro-
fits tax, Baruch said that Congress
should Immediately levy enough
taxes on 1850 income to make up
the so billion requested for de-
Tense materials and an enlarged
armed force.
Congressional timetable on the
Defense Production act calls for a
report to the Senate from it's
Banking committee by Wednesday,
August 2. The House Banking COM
mittee expects to have bill ready
on July 28. AS for the tax program,
closed sessions of the Senate Fin
ance committee will start Aug. 2.
The extent Of public pressure for
full mobilization measures, and for
an excess profits tax, will deter
mine the scope of both bills, Ad-
ministration Congressman admit.
Baruch told them the country is
way ahead of the Congress in
wanting full-scale measures, but
on the day Baruch testified this
was not yet being manifested in
Congressional letters and telegraph
messages from back home.
Meanwhile, the question of tim
ing mobilization measures was the
central part Of the Midyear Econ
omic Report of the President,
transmitted to the Congress on
July 26. In it, he warned of "try-
ing times" ahead, called for unity
Of all parts of the economy behind
national goals, revealed that pro
ductivity had increased IL percent
since 1915 and the economy Jared
the military needs ain high gear.
He urged no complete set of con-
trolls now, and his Council of Econ
omic Advisers in an accompanying
report said that:
"We do not recommend the en-
ployment of general controls over
prices and wages at this time. The
productive potential Of the nation
has risen well above the level of
two years ago. Business and labor
have both had a bitter though
brief taste of the consequences of
initiation, and should profit by their
added experiences as to how to
ward it off. But the recent upsurge
of prices and advanced buying in
dicates how quickly we can pass
over into a dangerously initiation
airy situation. These tendencies,
If not promptly checked, are sure
TO generate additional wage de-
mands. The speed with which they
can be checked depends not only
upon private restraint, but also
lpon much higher taxes, vigorous
restraint upon credit, and strong
allocations program. These mea-
sures, in our judgment should be
at once. At the same
time, the appropriate agencies of
should continue and
their development of plans
for the utilization of more sweep