Evening star., 1951-05-01
Chamber
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on second, third and fourth class
mail should be cut and $100 mil
lion could be saved simply by in
creased efficiency.
The chamber also heard today
4 warning from Nelson A. Rookie
,eller that Russia may gain eco
lomio domination of the world
Unless American businessmen act
to raise living standards abroad.
Fears Temporary Recession.
! The organization also heard a
price-control official say there is
some softening" of prices in a
number of industries and the
country may be going into a Pc
Iriod of temporary recession.
Edward F. Phelps, jr., assistant
director of the Office of Price Sta
bilization, said heavy inventories
and some resistance by consumers
to high costs have brought about
the softening of prices.
He cautioned, however, against
an attitude of complacency, warn
ing that the real inflationary i'm
pact of mobilization will not ap-
pear much earlier than next fall.
It may be fall also before a
generally sound price structure can
replace the situation caused by
the general. price freeze of last
January, Mr.. Phelps said. He
pointed out that many sellers have
been removed from coverage by
the freeze order through tailored"
regulations and similar regulations
for others are being issued indus
try by industry.
To Take, Several Months.
1t appears that this process will
take several months more in the
case of some industries, he went
on, but by fall 1--WE will be pre-
pared to dig our trenches and hold
the line for as long as possible.
Senator Douglas. in attacking
military expenditures. conceded
that he would be accused of
"sabotaging" national defense.
But he cited figures which. he
said, showed that even in combat
divisions the Army is wasting men.
Marine divisions, he asserted,
have enormously more fire pow
er," and he challenged the Army
with what he called a "semiface-
tious" proposal to IBID against"
the Marine Corps for "the defense
of the Nation
We'll guarantee to get a more
effective fighting force at 20 pei
Icent less cost, the Illinois Senator
declared, drawing a laugh from
the $500 chamber delegates.
/ Sees $12 Billion Deficit.
/ Estimating that the country
will face a $12 billion deficit in
the coming fiscal year, with a total
bill of more than $51 billion fol
defense. Senator Douglas said he
was "all for cutting expenditures
wherever possible.
Backing up his allegations o1
military waste, he said that in the
Army and Air Force training
camps there is one trained mar
for every Ia men being trained
But in the Marine Corps, he said
There is only one enlisted man fol-
every 10 being trained.
Mr.. Rockefeller, in a speecl
on foreign investments, told the
business organization much of the
world today faces starvation anc
political breakdown which threat
ems to open it up to Communists
inf1ltration.
Calling for increased foreign
investment by private businessmen
/, especially in India, the Middle
4 East, Southeast Asia, and Latir
America, Mr.. Rockefeller warned
that America might soon fire
itself in a minority position" i
A it failed to act.
Urges Better Education.
A Too many Americans aren't get
ting enough education, a leadin
4 educator warned earlier. He callel
it a situation fraught with Sc
Z rious, possibly tragic. conse
quenceS.
DR.. Kenneth z. Oberholtze.