Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-02-12
.DiSaI|eAdnits
Prices Will Rise
.6Pct. or More
Would Be Pleased if
Stability Could Be
Achieved by June
By Froncis P. Douglas

By Francis P. Douglas
Michael v. Disable, Government
price director, said today he ex-
poets prices to go up another 5 or
6 per cent, "or even more" but
that he would be "tickled to
death" if some stability is achieved
by June or July.
Mr.. Disable said:
81 am in complete disagreement
with some of the economists who
say that maybe in five or six
months we'll have a three-point
rise. I think it's going to be higher
than that"
Mr.. DiSalle's statements were
made in a copyrighted interview
with the United States News and
World Report" magazine. Earlier
it had been indicated that Mr..
Disable believed that if he can
stabilize food prices at parity it
will mean only about a 5 per cent
rise. Otherwise food prices would
go up 10 or II per cent.
Wage Thaw Stymied.
In the magazine interview Mr..
Disable said he is no optimist
about what is going to happen.
He indicated that the Office Of
Price Sterilization, which he
directs. will move as rapidly as
possible to replace the present
price freeze with specific regu-
lationS for each industry.
While Mr.. Disable was dis
cussing prices. the Wage Stabil-
ization Board appeared stymied
by reported three-way split in
the job of agreeing on a formula
to thaw most wages.
At the same time the American
Federation of Labor attacked
Defense Mobilization Director
Charles E. Wilson, accusing him
of wanting to take over admin
istration of manpower problems
so he could impose mandatory
SoAAOAO2o OfC4 WI hClD.
May Regulate Markups.
Mr.. Disable, discussing the price
freeze at the highest levels of the
December 19-January Is period.
said that as long as it is kept
rigid some people are going to
be hurt by it." But he added
that the time is five or six months
away when most fields can be
covered by specific orders.
1t has been indicated that the
specific regulations will be a con-
troll of the markups by sellers at
the different levels. Mr.. Disable
said he is thinking of allowing
each industry to pick it's own
markup based on some period be-
fore the Communist attack in
Korea.
This markup, he said, would be
added to the costs of business.
But at the same time, he said, he
looks forward to some pretty good
rollbacks" on prices. especially in
basic materials.
with supplies in ample guam
titles, the price director said he
does not see the need for any
rationing at this time. Meat
might be the first item We would
have some trouble with" he said.
He said his Office has not been
given authority to ration goods or
to have ration books printed.
Subsidies Mentioned.
Subsidies to producers might be
advisable to keep down a few
prices, he said. and he cited cop
per as an example where subsidies
might work. He added, however.
that subsidies on food might
bring congressional opposition.
Appealing directly to business
to hold the line on prices, Mr..
Disable said:
II just hope that we can some
way sell business generally on the
idea that this is a good time to
build up consumer relations, that
maybe they could change their
prices a little bit and give the
consumer the benefit of it rather
than to give it to the Government
in the form of excess profits
taxes"
The prospects for an agreement
on wage formula to replace the
present freeze appeared dark. The
Wage Sterilization Boards nine
members, one officials said, are
further apart than they were a
month ago. The board includes
three members from labor, three
from industry and three repre-
senting the public.
The board is scheduled to meet
tomorrow to resume its considera-
ton of policy permitting wage
increase above the freeze level of
January 25.
The AFL criticism of Defense
(see CONTROLS, Page A-so