Evening star., 1951-04-27
Farm Parity Freeze (
Proposal Of Truman
Opposed in Congress
BY jones Y. Newton

VPpVSGu I'LL GVHyIGSS
By jones Y. Newton
Congress today eyed cody Pres
tdent Truman's proposal to freeze
farm parity by the year as a means
Of tightening controls on fooc
prices.
Most of the opposition, as ex-
pected. came from farm State
members. Chairman Maybank oi
the Senate Banking COMMITTEES
predicted:
"The parity freeze idea definitely
will get no place in Congress"
Senator Maybank's committee
ar the House Banking Committee
will pass on Mr.. Truman's anti
imitation and general mobilization
program, which he outlined to
Congress in special message yes
te"day. The Senate group will
start hearings Monday and the
House the following day.
Anderson IndOrses Idea.
Among the few expressing ap-
proval of the Presidents parity
idea was Senator Anderson.
Democrat, of New Mexico. Sem
ator Anderson, a former Secretary
of Agriculture. said the plan looks
all right to him and might be
perfectly satisfactory to farmers. /"
Mr.. Truman asked for revision
and extension of the present De-
fense Production Act, parts of
which-those dealing with price,
wage and credit controls-expire
June 30.
In addition the President asked
70" broadened rent control, now
covered by separate law which
also expires at the end of June.
Among other things, he would
extend controls to include COM
mercial rents, which were not
covered in World War II.
Mr.. Truman asked quick action
to separate administration bill
to increase taxes $40 billion as
the most important step of all"
toward bringing "the rise in prices
and the cost of living to a halt
and hold the line"
Says Program Would Work.
Higher taxes, with the other
steps he recommended, MIR. Tru-
man said, is IAN anti-inflation
program that will work" He
warned. ''The world situation
could explode at any time, and
we must make every day count"
Aside from opposition to the
farm price plan, it appeared that
members of Congress would have
long look at Mr.. Truman's re-
quest for authority to let the Gov
ernment build defense plants when
private industry is unable or un-
willing to do so. In the past, in
peacetime, Congress has refused
to grant plant construction au-
thority to the Government.
The President seemed to have
plenty of support for a tax in
crease, but whether action on the
legislation would be speedad re-
meined to be seen. The bill still
is before the House Ways and
Means Committee.
The President also called for:
l. Authority to slap credit con-
trolls on purchase of existing hous-
ing. At present there are con-
trolls on only new housing.
2. The right to regulate specu-
lative trading on commodity ex-
changes.
8. Power to pay Government
subsidies to obtain essential pro-
duction from high-cost sources
OF supply, without increasing price
ceilings.
Rent Control Extension.
4. Authority to continue resi-
dental rent control and impose
1t as well on some commercial
buildings and in additional areas
regions where the defense pro-
duction impact puts housing at a
premium. In effect, there could
be a rent rollback in newly con-
trolled areas to the levels of last
January 25.
5. Tightening of the price con-
troll enforcement provisions. The
enforcement should, the President
said, be tough and aggressive. ~
Identical bills to carry out the
Presidents program were intro
duced in the House and Senate
Mr.. Truman declared "the up
ward rush of prices has been
checked" but he added: ut will
not last"
He said inf1ationary pressures
have not yet reached their peak,
and then:
This fall and winter the econ
omy will be hit by the full i'm
pact of military production. Sup
plies OF civilian goods will be re-
duced, while larger production.
employment and military spend
ing will be putting still greater
buying power in the hands of the
public"
On the stormy farm parity-food
price issue, the President said:
I do believe :. that for price
control purposes, the parity price
for each commodity prevailing at
the start Of its normal marketing
season should be applied through
out the balance of the marketing
season. just as is the case in most
OF our agricultural price-support
programs"
Col. Clark Named MATS
Deputy Information Officer