davidaulloa/AmericanStories huggingface dataset:
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08

industries, will outstrip the supply
Of goods available to the con-
sumner.
The term "inf1ationary gap"
little heard since the steps to con-
troll initiation in World War II.
lis with us again.
Mr.. Wilson put this gap-the
excess of demand over supply-at
from $40 billion to $40 billion. He
said it would develop as expendi-
lures for national security climb
from the present annual rate Of
S35 billion to sos billion. AS the
output of military production in
creases the supply of consumers
products will decrease.
The Senate controls bill provides
that there shall be no price roll
backs below the January 25-Feb-
ruary "a price level. The House
bill prohibits rollbacks only in the
case of farm products. 1t is re-
garded as likely that the Senate
version will prevail.
Consumer Cost High
In the 31-day stopgap extern
sion of the act which expired
June 80 rollbacks are prohibited.
Price Stabilizer Michael v. Di-
Sale said that if that prohibition
is made permanent it will cost
the consumer $40 billion.
The argument has been made
that banning rollbacks will sta
billie prices at the post-Korean
profiteer's level. The price-con-
troll program has been to roll back
those prices while permitting adj
vances for those who periodically
held the price lines and were
caught with prices which penalize
them in the present price struc-
ture.
One official on Capitol Hill, not
a member of Congress, made this
suggestion: That the Office Of
Price Sterilization specify those
lines where there. is little argu-
ment that rollbacks are needed
and win acceptance for them while
the matter still is being discussed
in the House. He believed this
could be done despite the pressure
sure to develop from producers.
The Senate bill would provide
for relaxing credit curbs only on
the installment buying of new and
used cars. The House bill would
provide easier terms not only for
cars, but also for television and
radio sets, household appliances.
furniture and home repairs. If
the shooting stops in Korea it is
quite possible that the Senate will
go along with the House program.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08
Reds Worry Southeast Asia
By Lawrence Griswold

The abortive revolt in Thailano
last week was more than an opera
bouffe, it was a significant symp-
tom of the spreading insecurity
in Southeast Asia.
Most That's living abroad. when
they first heard of the rebellion
thought instantly Of ex-Premiel
Pridi Panomyong, now believed II
Red China, who was once ad.
Imired in Washington. But Pridi''
Stalinism is no longer secret
and Thailand, like the rest OF free
Southeast Asia is fearful of ar
imminent Communist putsch.
Dangerous Core
Thailand has nourished, how
ever reluctantly, a built-in revolu'
ton since the last days OF thu
war in the Pacific. This is know
as Chinese youth movement ane
Its strength is reputed to exceed
100000 armed men. 1t is possible
that one fifth that many is armed
and organized. Like Malaga
Indo- China and Burma, where thu
native Communist underground!
were armed, equipped and advised
by the British and American
Icloak-and-dagger service during
World War II. the presence Of
|subversive and well = trained
armies, already within the from.
tiers and awaiting the call tt
action from Moscow. is not calcu.
lated to allay the fears of the
responsible or conservative.
In Thailand, as in Indo-C China
and Malaga, this threat is com.
iprised of Chinese who were. gen.
orally speaking, born in thu
country. In Burma and Indo.
nesia, the Communists and theil
dupes are usually of native blood
There is a rule about the Chi
|nese in Southeast Asia: If they
are merchants, they are openly or
the fence and secretly anti Com
munist If they are landless
laborers, they are usually Com
muniSts.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08

wear shorts and having had moth
| ing to eat since his capture the
day before, was whisked of to
the government house for some
dry clothes and a meal.
From that point on, the revolt
was doomed. BY the end Of the
next day, the port area was under
army and police control. The naval
radio station and the naval base
capitulated. Back in his Office
Premier Pibul broadcast an appeal
for peace. At first he seemed will
ing to take the whole thing philo-
sophically. as one of the hazards
of his trade. Nevertheless, the city
experienced considerable exodus
of naval officers, some of them lr
civilian clothes, and the navy's
fears proved justified. Last Tues
day, Pibul threw the book at hi!
anniversaries, dropping three-quar.
tiers of all naval personnel from
service for at least six months
and firing and failing most of thu
ranking officers, including the un.
fortunate Chief Admiral Singu, still
protesting that he considered tn.
whole thing most unfortunate.
Admiral Taharn and Gen. Kacl
also were arrested. while anothel
general took command of what wa
left Of the navy.
It looked for a while as If Pibu
had the situation pretty we'll il
hand. but on Thursday came tn,
final chapter to the story. Pibul
it seemed, had lost face when HI
lost his pants. The four general
who had taken over during hi
Captivity, and whose activities
had saved the day. were reluctan
to yield the power they had &C
quired. Pibul could stay on a.
a figurehead. But from now OF
the tune would be called by tn,
big tour-Phao, Phin. Sarit ant
Fuen. Such is Thai life.
In Bangkok, the general publi
takes little interest in the doing
of its political leaders. During re
volts. the city's street merchant
make a habit of going on abou
their business with massive disre
gard Of all the fuss. This may ex
plain why so many of them ge
killed. Last weeks abortive cou]
d'etat, for all its comic opera trim
mlngs, left an estimated toll of 7Ol
dead and injured civilians in it
wake.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08
Ruhr Arrives on Road Back
By Brock Curry

1888 level, compared with West
Germany's 1875 per cent OF its
1896 output.
Keeping the Ruhr. an area
of 7,700 square kilometers, in
the Western economic commu-
nifty is one of the keystones OF
Allied policy.
How did it travel the long
road back to greatness in six
short years-and become an in
ternational prize in the East
West tug O. war?
Allied and German officials
give these answers:
The stamina of German
workers, the skill of the Ruhr
engineers and managers, plus
material aid from the United
States.
Four Billion Investment
In addition. the work week
is longer in the Ruhr-48 hours.
The Ruhr wage scale is less
than Britain's and about equal
to that in France.
And the Naturalization broom
did not sweep out many of the
Ruhr's top managers and engi-
neers despite their former polit-
ical affiliation with Hitler.
America has largely under
written the Ruhr's recovery
pouring in 81 billion in direct
economic aid to battered West
Germany since 1945.
The ECA is now pumping
funds into German steel mills,
electrical plants. mines and
chemical concerns.
Ruhr leaders say the only
brake on greater production is
the dearth Of basic raw mate
rails. They are ambitious to
overtake the British. New cap
ital investments are expected
to ease current bottlenecks in
coal and electricity in the next
IL months.
Even now, the Ruhr is deliv-
ering 100000 tons of rolled steel
products a month for Western
countries. Thousands of fin
ished items needed by the
armies and industries of the
Atlantic powers are being ham
mered out in busting Ruhr
cities like Essen, Duisburg,
I Oberhausen and Dortmund-
once Allied bombing targets.
Ruhr factories will produce
most Of the 5000 million worth
of goods West Germany expects
to ship to America in 1851
The Ruhr is no longer on the
! road back. It's arrived.
Oi'sributsd ss the Associated Prsss)
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08

Germany's Ruhr is bidding
strongly to recapture its old po-
sition as Europe's No. indus
trial workshop.
This vital territory already has
outdistanced France in many
lines Of production. Its prod
ucts are flowing in q growing
volume to markets in the Amer
icas, Asia, Africa and Western
Europe.
The Ruhr's recovery is an
amazing story Of q six-year
climb from rubble to riches.
In 1s45, most Of its steel fur
naces were cold. its mines were
unnamed, its chemical plants
idle, its transport system ruined.
Now the Ruhr produces 1875 per
cent of its prewar 1880 level.
overall industrial output
spurted SO per cent in the last II
months.
The Ruhr still lags far behind
the British Isles in production.
And in the world picture, the
Soviet Union Is ahead Of both
Britain and Germany. But
many Soviet European factories
have been shifted to Siberia, so
that experts usually exclude
Russia in ranking the conti-
nent's industrial giants.
Foster Than Britoin
The Germans claim the Ruhr
has progressed faster since 1945
than Britain. They point to the
heavy damage from wartime air
raids and the loss of ESQ, 900 tons
OF equipment through postwar
dismantling which they had to
overcome.
Illustrative Of the Ruhr's re-
covery are comparative annual
production figures for West
Germany, Britain and France
in three Of the sinews Of mod
ern power coal, steel, cleo
tricity.
United States officials esti-
mate these as:
Steel-West Germany, H.
$4,000 tons; Britain. 1924, 900
tons; France, 10,548,00 tons (in-
GLIDING the Saar).
Coal-West Germany. 110.-
748,000 tons; Britain. 219.480,-
600 tons; France Cncluding the
Saar). 65.S32.000.
Electric Power-West Ger
many. 43,92o.0oo. 900 kilowatt
hours: Britain. 5000. 000, 600
kw.: France, 31.440.000. 900 XIV.
Economic Cooperation Ad-
rainistration officials say Britain
In producing at IA per cent and
France ut 123 Per cent Of their
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08

! Inc presence III La PaZ OF a
group of representatives of the
Reconstruction Finance Corp
and the State Department to
discuss the possibility of a long
term tin contract has probably
prevented serious difficulties fol
the new military government OF
Brig. Gen. Hugo Bolivian in b.
Ilivia. If the mission succeeds in
working out a satisfactory agree
ment for the early resumption OF
shipments of the strategic metal tc
this country the old Andean
nation may settle down politically
for sometime.
Practically no tin is produced
in the United States or it's pos
sessions yet we are the world s
greatest consumers. The present
defense program made it neces-
sary to step up imports and tc
maintain large stockpile. Or
dinarily We buy about u of the
output of Bolivia. which is the
worlds second largest producer
At the present time all our pur.
chases are made or controlled by
the RFC. But since May 81
when a temporary contract ex-
pired, we have neither bought
nor contracted to buy any from
Bolivia.
The reason for this sudden
stoppage of purchases is that Stu
art Symington, new boss of the
RFC. has been waging a wal
against the high prices which all
foreign producers have been ex-
acting for this and other critically
necessary metals and raw ma
terials since the outbreak of war
in Korea. Tin had skyrocketed
from "a cents a pound before
Korea to $1.83 in February of
this year. The present buying
strike has pushed the price down
to well below a dollar a pound.
Food Relations Affected .
Although Mr.. Symington's chief
purpose has been to save the
American taxpayers hundreds of
millions of dollars on products
we must buy from abroad, his ac-
ton in regard to tin has seriously
affected good relations with b.
livia. For one thing, according
to officials of that country, he
failed to consult, or talk with
Bolivian officials about it before
hand.
Mr.. Symington makes the point
that the various agreements we
had previously made provided
that We reserved the right to stop
buying if prices rose above $1.O3
a pound. However, at the Inter
American Foreign Ministers Con-
ference in Washington last April
and May we agreed to a resolu-
ton which calls for mutual con-
sultation before fixing prices or
taking any other drastic steps
affecting Latin American COM
modities sold principally to this
country. The delay in negotiating
a new contract has also played d.
rectly into the hands of the ex-
IRENE Nationalist and their Com
munist mentors, who have kept
the South American republic in
almost continual turmoil ever
since World War II. In the past
two years this Nationalist Red
alliance. headed by Victor Paz
Estenssoro. has instigated no less
than six different abortive plots
against the government. In one
uprising, which centered around
one of the largest tin mines, sew
eral United States citizens en-
ployed as engineers were MUIR
dered. II
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08

class people or the bootblack can
give up the most dollars with the
least pain to themselves and the
Nation, If taxes are increased fur
ther.
There are many ways to meas
ure how much taxes people can
pay. One Of the most frequently
used Is the amount OF national
income compared with the total
tax load-city. State and Federal,
On this basis, the yearly tax
bill is almost one-third OF total
United States income.
Commerce Department officials
have estimated the national in
come in 1850 was around 1926 bill
lion. They also estimate taxes will
total around $50 billion. (The
national income includes all money
earned by individuals and corpo-
rations). However. some officials
say national savings are important
in estimating the Nations ability
to pay taxes.
In House tax hearings. some
witnesses pointed to estimated saw
lngs of around $12 billion by in
dividuals this year. They said If
this is taken by the Government
in taxes, it would almost meet the
administrator original request
and more than meet the reduced
request.
Some witnesses said most of this
savings Is in the hands Of people
earning more than $1,000 or so a
year; that it takes about all the
earnings of people under $1,000 to
pay living costs.
One big question was this:
Should heavier new taxes be
placed upon the people earning
more than 5000, cutting into
their savings? Or should these
heavier new taxes be placed upon
families earning less than 5000,
or thereabouts, on the theory it
would cut down their standard OF
living and thus reduce spending
which some experts say increases
imitation?
President Truman asked for an
increase Of around 81 billion in
individual income taxes. The
House suggested about $2,847, 000.-
900.
Stanley H. Ruttenberg, director
of research for the Congress Of
Industrial Organizations, told
Congress no additional taxes
should be placed upon people with
incomes Of less than $4,000 or
$5,000.- He said the cost Of living
takes about all of $4,000 or more
from an average family.
cose Of the 5000 FomiIy
He said the Government esti-
mates around 13.410.000 people
have incomes of $4,000 a year or
more. He said it is estimated they
will earn about $l00,255, O0O, 200
this year.
Under the present tax rates they
would pay about SIT billion in
Federal income taxes. This would
leave them around $83 billion.
Mr.. Ruttenberg said II over
$4,000 families reduced theil
standard Of living to that Of peo-
pie earning between $4,000 and
5000 q year, and if the Govern
ment then took everything they
had left, this would raise around
$18 billion.
He said he wasn't advocating
this be done. But he said the
tax people should take a gooc
look at this money before clamp.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08

ing heavier taxes on lower in
come families.
Representative Byrnes. Republic
can, of Wisconsin questioned Mr..
Ruttenberg's figures. He said he
had been supplied with estimates
showing that if the income of
people with incomes of more than
$4,000 was conf1scated. after taxes
had been paid at present rates.
the Government would get only
SGT billion.
And he said he had been told
that If the taxable income above
the $4,000 level was confiscated
the Government would realize only
an additional SOS billion.
Mr.. Ruttenberg contended that
these estimates were based on
tables that do not show total in
come.
While Mr.. Ruttenberg didn't
want the low income people to
pay more taxes, Representative
Mason. Republican, of Illinois
came up with a different angle.
A Check on Spending
He said one purpose of the tax
increase is to help defeat inf1a-
ton. He said imitation is caused,
partly, by people spending their
money for goods.
He pointed out that there are
great many more people in the
lower than the upper income
brackets and that they have to
spend a greater proportion of
their income on living expenses.
80" he said, eff we take a
dollar from leach of them it will
have a greater check on imitation
than taking dollar from the man
in the $4,000 bracket"
He said perhaps some conSidera-
ton should be given to lowering
the amount of tax-free income
to $500 instead of the present 5000.
Then he suggested a fiat in
crease of 2 per cent in the in
come tax rate. He said these two
things would bring in just about
the same amount that would be
raised by other proposed plans.
However, under such a plan as
Mr.. Mason discussed the lower in
come groups would pay more than
under the plan the House finally
approved. This would add a
straight 1914 per cent to the tax
bill after figuring it at present
rates. 3D..
Moy Lower the Free Bracket
| Congress considered raising the
tax rate three percentage points
(not per cent? in each income tax
bracket.
Experts estimated this would
have increased the tax payment
is per cent for those in the lowest
income tax bracket and 3.4 per
cent for those in the top bracket.
Taxes haven't yet stopped people
from earning big money in this
country. Actually there has been
an increase in millionaires. or at
least in the number of people
who pay taxes on 81 million or
more of income a year. =.
/ Government figures show these
Ibig-money people numbered 60 In
1914, at the start of World War
I; increased to 2o6 in 1915. dur
ing the war; reached a peak of
513 persons in 1929 before the
big financial crash; dropped to
a low point Of 40 during World
War II and increased to 149 in
1913, the last year for which the
statistics are available.
i distributed by the Associated Press)
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08

1t is pertinent to note that OF
the seven States given their in
dependence, or created, since 1945
(the Philippines, Burma, India.
Indonesias Pakistan, Ceylon and
Israeli, only Pakistan and the
Philippines have withheld their
recognition of Red China. and
the Philippines have their hands
full, not only with the Commu-
mist Hukbalahaps, but with Com
munist and Communist-front po-
litical parties.
To the south Indonesia-or the
Malay barriers a critical gate
way connecting the Pacific and
the Indian Oceans. Extending
southeasterly over 5000 miles, the
tightly knit archipelago almost
connects the Malay Peninsula
with Northern Australia. Sumatra
TANKS the Malay Peninsula for
several hundred miles, thus con-
trolling the narrow Strait Of
Malacca, and Timor Laut and the
Tanimbar Islands terminate in the
Arafura Sea, barely a hundred
miles north of Darwin. If Soviet
Russia gained control of Indonesia
the problems of the Red sub
marine fleet would be solved and
those Of the West would COM
mence. ....s
Communist Temper
Indonesia already has a WELL
developed Communist movement
and has evidenced her sympathy
with the aims of Red China openly.
Chinese junks and moro modern
vessels are now loading rubber
and other materials by night for
furtive traffic with the blockaded
ports to the north. IndoneSia' S
government has an excellent back
ground of communism, although
none of them now protest :..leir
Allegiance to Marx.
Meanwhile, conflict and unrest
continue in Indo-China, Malaga
and Burma, with Communists par
ticipation either open or thinly
concealed.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08
Tin Is the Key to Bolivian Peace
By Edword TomIinson

The majority of Bolivia's tin
mines and properties are owned or
controlled by European or native
capital. But any grievance
against the industry is usually
taken out on the United States
because it is the principal buyer.
In the recent elections Paz and
the extremist leaders of the mine
unions blamed the "imperialiSt
United States" for the low wages
and poor living conditions of the
workers.
Our campaign against exorbi-
tant tin prices has been aimed
primarily at the all powerful
British and Dutch cartels whose
principal properties are in Mala-
va and other regions of South
east Asia where go per cent
of all tin is produced today. Nor
mally world prices are deter
mined by the Singapore market.
According to report OF Sem
ate subcommittee which has in
vestigated the situation. control
over the major part of the worlds
important reserves of thin Ma
Ilaya, Bolivia, Indonesia, the Bel
gian Congo and Nigeria-is in the
hands of a relatively few Brit
ish, Dutch. Bolivian and Belgian
corporations with interlocking
connections across national
boundaries"
Three Company Groups
Unfortunately Bolivia is caught
in this international net. The
bulk of the South American
country's output is mined by
three groups of companies. The
Patino Mines, the Hochschild in
terests and the Aramayo Mines.
The Patino company is a part Of
the vast British combine, General
Tin Investments Limited, the
Board chairman of which is Be-
livian Antenor Patino. The Hoch-
schild companies, headed by
Mauricio Hochschild. a Bolivian
citizen, but born in Argentina. is
financed by British, Argentine.
Chilean and Bolivian capital,
while the Aramayo Co., the gen.
erai director of which is Carlos
Victor Aramayo. member of one
of Bolivia's oldest families. is
controlled by Swiss, Bolivian
French ard also British cspne.
European interests. principally
the British and Dutch, also DOM
mate the worlds tin smeltering
enterprise Until the last World
War there was not a single large
smelter in the United States, and
very few in the entire world ca
pable of handling the low-grade
Bolivian ore without mixture Of
the higher grades from the Far
East. The giant plant at Texas
City, Tex. completed during the
last World War and still the larg-
est in the world, was especially
designed to handle the Bolivian
and other low-grade products.
Bolivia Is also handicapped by
the fact that her mining costs are
about the highest in the world.
The tin content of Bolivian ore is
not only lower than that Of
Malaga, the Congo and Southeast
Asia. but the mines are hundreds
of miles in the interior and from
10000 to $4,000 feet up on the
Andean plateau. The ore is deep
underground and must be mined
largely by hand.
Bolivia must import approxi-
mately 80 per cent of all its food.
Since tin brings in SO per cent
of all foreign exchange. the
slightest interruption of the in
dustry Immediately affects the
whole nation.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08
Congress Seeks Shoulders
Big Enough for Tax Load
Lawmakers Judging Which Income Group
Con Best Stand the Additional Levy
By Robert (. Geioer

Tax lawmakers virtually have hand in the pockets OF
American taxpayers counting their loose change.
The administration. which first requested additional SIG
least temporarily to around
billion House finally voted around 81 billion and the
Senate Is considering taxes
Congressmen trying whether mionaes middle
Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-07-08
THE SUNDAY STAR, Washington, D. c.
SUNDAY, g.,
Weak Controls Act Likely
If Korean Shooting Stops
Senate Version on RoIIbocks Moy Prevail,
But House ldeu on Credit Curbs Is Popular
By Frances ?. DouqIos

Congress which held the debate for
Europe great investigation into the Macarthur dismissal
about the take the great gamble initiation.
probably this week. will it's bill to extend
with its provisions for
to halt the naonay spiral President
Evening star., 1951-04-19

CoLORED = MODERN BUNGALOW
rms. and bath; elec. stove ant
refgr.; lovely lot. Only $1,000 down
assume GI loan. FINCHAM & co.
Realtor, UN. 1888; eyes,. Greenbelt
S442.