Evening star. [volume] (Washington, D.C.) 1854-1972, 1954-04-02
The Political Mil
Administration Shows
Courage on 2 Fronts
Trade and Farm Programs
Have Powerful Opponents
By Gould Lincoln

by 5ouId Lincoln
President Eisenhower and his adj
ministration have CUTS. They have
come forward with farm pro-
gram which they believe will be in the
Interests of the American farmer, but
which most Of the Democrats and some
Of the Republicans say will only make
votes for Democratic candidates for
Congress In the coming elections.
They have come forward with a
foreign trade policy which sends cold
shivers down many Republican backs,
a policy which may appeal to Demo-
Gratis who believe in freer trade, but
which also encourages the Democrats
to believe it will make votes for them
next November. But Gen. Eisenhower
has faith in his program. of which the
farm program and the foreign trade
program are important items. He
thinks Of it in terms Of long range
benefit to the American people.
In fact, he has the idea that If it is
put into effect the Republicans will
warrant reelection, and that the voters
will see it that way, too. Various pres
sure groups-and there are many Of
0AASAAA "AS Wy AAA "a LAO w UCdI UdCA tAIS
program.
Flexible Supports Sought.
The farm program calls for flexible
Government price supports for farm
products instead of the fixed 90 per
cent Of parity which has prevailed and
under which huge SURPRISES have been
built UP, owned by the Government for
the most part and hanging always over
the market. The Democrats and some
in the Republican farm bloc are tell
ing the farmers change to flexible
price supports means ruin for them.
Well, right now the price support for
dairy products has been reduced from
80 per cent to IS per cent of parity.
The reduction has been made by Sec
rotary Of Agriculture Benson, with the
Presidents OK. About billion pounds
Of butter, cheese and dried milk are
in storage and the Government meets
the bill. No feasible production con-
troll has been found. Here are two
reasons for this vast surplus: First,
dairy farmers have failed to Gull their
herds, helping to keep up production.
Second, high prices, due to the 80
per cent Of parity support. have kept
marginal producers IN operation. In
the long run, Secretary Benson insists,
the dairymen will find they are better
off. Although they now protest Bit
terly the cut in price support, some
of them are already coming around to
that view.
Democrats Gleeful.
The Democrats are gleeful about the
farm-vote situation as they see 1t. They
ask: How can the Republicans win
the congressional elections in Novem-
Der by telling farmers their price sup
ports are going to be lowered?" It's
not as simple as that, however. Just
because the price supports are made
flexible does not mean they are going
to be lowered, necessarily. The adj
ministration will be at liberty to keep
them at the proper figure, and GER
tainly the farmers will be told just
that. At the same time many farmers
are becoming convinced they will be
better off under flexible system Of
price supports. They are coming to
realize that the American consumers
are not going to put up with price sup
ports which make them pay more for
food on the one hand and pay more
taxes on the other (to take care of the
high. f1xed-price supports). The farm
ers are about Is per cent of the popu-
lation. 1t is always possible the other
"a per cent may get sick of price sup
ports and through their Representatives
in Congress do what they did to price
supports for potatoes, wipe them of
the books entirely. So farmers are in
clined to believe more and more it will
be better to play safe with flexible
supports.
Reciprocal Trade Act.
The President has just asked Con-
gresS to extend the Reciprocal Trade
Agreements Act for three years, and to
give him authority to further reduce
tariff duties where justified, to increase
our foreign trade. Here again, the
President is asking for more flexibility.
The more rigid the tariff barriers, the
less chance for the expansion of our
trade with the rest of the world,
two-way trade. It is impossible to ex-
port our products forever and not have
them paid for by imports from other
countries. And foreign trade is of vast
4AiPOA W <1IuCIICdA III
the long run. The Presidents program,
fashioned on the Randall Commission
report, hits at the high protection
theories of the COP, just as his
flexible farm price supports program
hits at the high, fixed price support
theories of the Democrats.
So, the President has courage and
faith in the judgment Of the voters.
when it comes to a showdown, pro-
vided the voters have been given all
the facts. His program has not been
lightly drawn up. He has had the best
advice he could get from the best
brains in the country which does not
exclude common sense. If some of the
members Of Congress. whose ears have
been tuned to clamors of pressure
groups, will follow the man whom the
people overwhelmingly elected to lead
them, they will stand better chance
OF holding on to their Jobs.