davidaulloa/AmericanStories huggingface dataset:
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
THE BOOM FALTERED
THE BOOM FALTERED
Europe Combots Drop in Tourist Bookings

dustry all are concentrating on this
theme:
Nothing is too good for the Amer
lean traveller in Europe. For them
the hotels will be warm. For them
the gasoline will be plentiful. Eu-
rope will be not somber but gay.
Behind this hospitality is simple
arithmetic. European nations need
dollars. American tourists are the
largest source Of dollars in four
Western European countries.
American tourists bring more
dollars to Great Britain than Scotch
whisky or English automobiles.
France received an estimated $l35
million from American tourists
IN 1856, about eight times her in
come from wines and spirits sent
TO the United States. For Italy and
Switzerland, too, American tourists
spell more dollars than any Of their
exports.
To keep the dollars moving, Com
merce and State Department Of
iicials have Joined leaders OF the
travel industry in reassuring travel
ers. A recent statement is typical:
United States tourists going abroad
this year will find normal travel
conditions In almost all areas of
the world not presently restricted
for travel by American citizens"
Liberal Provisions
They said that where gasoline
is. presently rationed liberal pro-
vision has been made for the COM
fort and convenience OF overseas
visitors" And they went on 10
point out that with the expected
reopening OF the Suez Canal by
spring, gasoline and heating oil
inventories should quickly return
to normal In those countries where
precautionary restrictions now are
in force"
Backing them UP. the American
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24

committeeman got $3.50 900 for
the undertaking.
This set the stage for an inquiry
which, judging by the letters pour
ing in to Senator Mcclellan and
Mr.. Kennedy at the rate of nearly
100 day. is welcomed by the rank
and file of labor as well as many
Of its leaders. For the team of
Mcclellan and Kennedy it is an
exciting challenge and an oppor-
tunity to demonstrate anew how
congressional Investigations may be
used to serve the public good.
A Smooth Operation
If the investigation goes as
Mcclellan investigations usually
do. it will be operated smoothly and
with a due regard for the rights
Of all. The outcome could well
cement the Arkansas Senator's
standing as one of the real national
figures in the Senate in the tradi-
ton Of Tom Walsh and other great
senatorial Investigators of the past.
For young Kennedy the inves-
tigation represents a chance TO
make name for himself in public
service.
He recalls that his father, former
Ambassador to England Joseph P.
Kennedy, always had a deep graft
tude to America for his business
success and "felt he could repay
a part of that obligation by sery-
ing the Government himself and
encouraging his sons to serve" That
was major reason why Mr.. Ken
nedy went to work on Capitol Hill
when he undoubtedly could have
made more money in private law
or finance.
Up to now, he has been known
chiefly as the brother Of the Sena-
tor and the son of the former
ambassador. The racketeering
probe gives him a chance to emerge
as public figure himself in the
tradition Of Ferdinand Pecora,
counsel of the 1884 Senate
investigation of Wall Street. and
William p. Rogers, the present
Assistant Attorney General who
conducted a number of spectacular
investigations while counsel Of the
investigating subcommittee. the
post now held by Mr.. Kennedy.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24

its intensive promotion. is expected
to get most Of the tourist dollars
in the coming months. Here are
the results Of its counter propa-
ganda efforts:
Tho rate Of passport applica-
tons this month has stepped up
from an average of 1900 day
early in the month TO a 1900 daily
rate now.
A typical transatlantic air SER
vice reports its advance bookings
for May are now running 35 per
cent ahead of the May bookings
received by this time last year.
Recent Surge in Business
A steamship line taking the
southern route to Europe reports
its late March sailings heavily
booked now because of a surge of
business in the past few weeks.
A steamship line on the north
ern route to Europe reports its
spring sailings are less booked than
Aoob yNdA buJ 40 ouIIlLIlGI SdlllIlBS
heavily booked in all classes.
The travel agencies still find an
off-again-on-again, wait-and-see
attitude, on the part of prospective
travellers. One week they're ready
to plan their itineraries. the next
week they've decided to put 1t off.
Currently, however, enough are 60
ing ahead with their plans to make
some hotels In Europe hang out
"SRO" signs now for summer
dates.
To sum up, travel authorities
believe that travellers soon again
will be tanning passport Offices
and travel agencies. 1t hasn't hap
pened yet. and a sudden interna-
tional outbreak or an economic
downturn at home could dash
their hopes. But those hopes are
a lot stronger than they were q
month ago.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24

sures that made for imitation have
disappeared. some lines of business
are actually in depressed state.
and the Governments hard
money" policy is doing more harm
than good. The great danger lies
IN the price increases recently an
nounced by producers of such basic
industrial materials as oil, coal and
steel.
These increases, it is held, are
not justified by wage boosts; while
adding to producers profits. they'll
force living costs up as the rich
get richer and the poor get poorer.
The end result. say these econo-
mists, will be a showdown in over
all business activity and in the Ma
tons normal economic growth.
Economists taking this position
are mostly affiliated with labor
unions. Their program is essen
TALLY this: Boost consumer purchas-
ing power by increasing wages,
pump more Government money into
housing, roads and schools, crack
down hard on corporate profits and
price increases, cut the taxes that
the little man" pays.
None in Hoover's Comp
On questions 3 and 4. how seri-
ously they considered the imitation
as threat to the welfare OF the
American people and how important
they deemed it as a forerunner or
portent OF a depression, none of the
Is respondents came even close to
echoing Mr.. Hoovers view point.
DR.. Edmund White Of the Univer-
sity of Wisconsin says: Il agree
with Senator Douglas, Democrat of
Illinois, that unwarranted imitation
scares based on the Eisenhower
budget could bring on another 1929
depression"
(Mr. Hoover said that rising
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24

Automobile Association has been
issuing a weekly advisory on the
actual gas situation abroad as 1t
affects American tourists. The
latest advisory:
Rationing is now in effect in
France, Great Britain, Ireland and
Turkey.
In Great Britain visitors can get
all the coupons they need. In
France visitors can get a specified
allotment Of coupons at any Auto
Club Of France Office. In Ireland,
the visitor allotment permits l,400
miles of driving monthly.
Even in countries without ration
ing the tourist gets special treat
ment. In Italy visitors can get cou-
pons allowing a 80 per cent discount
on gasoline, for example.
Latin American countries are now
beginning TO make an effort to
attract North American tourists, but
they have not done enough pro-
motion to divert an appreciable
AaAAbCA ALUM EulODCdll IOuIo
,6razil has recently asked for off,
vial American technical advice to
get its tourism organized; Argen-
tina's new President has made sew
eral speeches on the value Of
tourists, and Chile also repeatedly
is waking up to tourist POSSIBLE
ties
Hawaii is booming. New ships to
the South Pacific are getting book
ings we'll into next year. Japan is
highly organized for the tourist
trade and the Philippines have Just
set aside stable Government
budget item TO get into the travel
act too.
Africs is Fronting from the d.
version Of the usual Suez Canal
traffic around the cape as well as
some cruise ships stopping at AZ
rican ports for the FIRST time.
Western Europe. however. with
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
BY MIRIAM GUTENBERG

On October 30, 1956-even be-
fore the first bomb was dropped on
Egypt - the State Departments
passport Office began stamping
passports: mot valid for travel
to or in Egypt, Israel, Jordan and
Syria"
That was the beginning. Then
came the oil shortage in Europe
and reports Of cold homes, stalled
cars and perhaps depression.
Americans by the thousands be-
gan to put aside their foreign travel
folders and to think about the
beauties Of the national parks.
Passport applications, which had
been building toward new records,
dropped of /. a 10 per cent de-
cline for December, 1856. compared
to December, 1865 January,
which had been expected to open
the biggest travel year in history,
IL per cent below year earlier.
Obviously the flow Of dollar laden
American tourists was waning, and
heroic measures were needed.
1t was then that European gov
ernments, steamship lines. airlines,
travel agencies and interested agen-
cies OF the United States Govern
ment rallied to reopen the flow OF
tourists and dollars so vital to the
European economy.
Today their campaign, aided by
a drop In international tempera-
lures. is beginning to show results.
This year will not be the record
breaker 1t was expected to be, but
the downturn in passport applica-
tions has slackened and there are
signs Of renewed interest In for
eign travel.
Variations on q Theme
In the war against travel timidity,
foreign and American government
spokesmen as well as the travel in
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
BY WALTER BREEDE, JR.

Associated Press. Not all answered
directly. Some in the Government
said they preferred to stand on re-
cent public utterances. But the re-
sponses Of 13-men employed in
banks. industrial firms, department
stores. universities, and labor unions
seemed to, lend scant support to
ex-President Herbert Hoover's view
that the current imitation shows
signs Of depression agony" sim
liar to the one which beset his adj
ministration in 1929.
The present slow inflation," said
Harvard economist Sumner Slich-
ter, lis not laying the foundation
for a depression"
II do not feel that the present
imitation has gone far enough to
pose a serious threat" declared
chief economist w. E. Hamilton of
the American Farm Bureau FEEDER
alton.
IA depression of major magni-
tude is not likely to occur" said
DR.. Marcus Nader of New York
University.
And A. w. Zelomek, head of the
international Statistical Bureau.
New York. likewise says he does
mot consider the present imitation
a threat to the well being Of the
American people"
But while there was general
agreement among those answering
the poll that inflationary fires are
not out Of control, there was wide
divergence Of views on what should
be done to prevent another fiareup.
Whot Should Be Done?
Here is what the experts were
asked and what they generally said:
/. What do you think should be
done Immediately to check the pres
ent imitation? 2. What should be
done over the long term?
Opinions break down into two
broad schools of thought.
One holds that the Governments
tight" credit policy has already
put damper on imitation. Because
hAbAACy 10 noAQ W OOlIOH dllQ III
terest rates are high, consumers,
small businessmen and local govern
ments are under pressure to spend
less and save more. The boom in
housing has slowed down. Some
school and highway projects have
been postponed. This has checked
the upward trend in prices and
costs by easing the demand for ma
terials and labor.
Meanwhile industrial Arms have
installed new and more efficient
equipment. which in time should
work against imitation by cutting
production costs.
From here in. this group holds,
things should go along smoothly
unless unions fan inflationary
flames with another round Of wage
increases. MANAGEMENT should take
a firmer stand. they say.
Right here is where the second
group registers emphatic disagree
ment. Wage increases. these econo-
mistS maintain, have nothing to do
with imitation. The wartime pres
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24

the administration will be taking
steps toward restoring the health
of the battered Big Three alliance.
The task is a difficult one, par
ticularly since Britain has given
notice that the exigencies of Brit
aims financial situation require a
sharp cut-back in defense funds.
A brighter prospect exists for the
State Department in the current
advances made toward a united
Europe. Last Wednesday, the pre-
mierS Of six European powers
France. West Germany. Belgium,
the Netherlands, and Luxembourg
signed two treaties which push
the ancient dream of a united
Europe measurably closer to reali-
cation.
One brings about a pool of nu-
clear resources for a common
attack on the problems of atoms
for-peace."
The second treaty makes pos
sible the gradual introduction Of
European common market" end
ing tariff and similar economic
barriers.
A less cheerful prospect is the
deteriorating situation in Spain,
where the United States is con-
structing important air and naval
bases. There have been indications
in recent weeks that the iron
regime of Generalissimo Francisco
Franco is in trouble. The nation
wide demonstrations against rising
living costs and political repreS-
sions have taken on serious
aspect.
A popular revolt against Franco
could conceivably become boon
to the Communists and a, danger
Gus threat to the TANKS OF NATO.
Communist Poland. although
identified entirely with the Iron
Curtain bloc, presents major eco
nomic problems which the West
would like to alleviate. Since the
victory--for the time being at
least-of party leader Wladyslaw
Gomulka's national communism"
in Poland. American interest in
protecting the gains made by the
Poles in their struggle against Rus
sian domination has been keen.
The United States is exploring
the possibility Of extending some
measure Of economic aid to Poland,
and Deputy Foreign Minister Josef
Winiewicz has been in Washington
for talks on the subject.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
lutin America

There are several relatively minor
but potentially dangerous situa-
lions in Latin America.
In Cuba. the recent revolt led
by the eXiled student Fidel Castro
has been quoted, but not yet
quelled Although the regime Of
President Fulgencio BatiSta APP
pears TO have safe control of the
situation, the forces opposed to
him have not been stilled. There
has been no suggestion that Com
munist influences are involved in
the opposition to Col. Batista. but
unrest anywhere is a lure to Com
munist fishers in troubled waters.
The Dominican Republics strong
man Rafael Trujillo, is once again
accused Of inspiring political assaS-
sination. The disappearance of a
young United States citizen, hired
as pilot presumably by Dominican
representatives has touched of a
probe potentially explosive in
United Dominican relations.
The disappearance Of the young
man Gerald L. Murphy, has been
linked to the mystery disappear
ance of Jesus Maria de Galindez,
Columbia University professor who
vanished almost year ago.
Haiti, the Negro republic sharing
the island of Hispaniola with Gen.
Trulillo, continues to face an un-
settled political future. The State
Department has been accused OF
exerting undue influence there
after the custer of President Paul
Magloire.
Since a stable Haiti has long,
been a goal Of American policy, q
close watch is being kept on devel.
opments,
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
Middle East Is Not the Worlds Only Trouble Spot

against Communist expansion, has
been seriously weakened. AS a step
in the effort 10 repair and strength
en- the foundations of that alliance,
President Eisenhower and Secretary
Of State Dulles will meet this week
in Washington with the Premier OF
France. Guy Mollet.
Mr.. Mollet will be followed March
6 by West Germany's Foreign Min
lister. Heinrich Won Brentano. West
Germany's role in the Atlantic
Alliance has become one Of increas-
ing Importance as the day nears
when Bonn will provide armed
forces of its own to strengthen
NATO.
AS Of today, the split between
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24

prices, costs and wages, heavy Fed
eral spending and high taxes re-
minded him of the roaring boom
that preceded the 1929 debacle. He
repeated Treasury Secretary Hum
phrey's forecast that big Govern
ment budgets, If long continued,
would produce "a depression that
will curl your hair" Said Mr.. Hoo
yer: Mine has already been curled
once-and think ] can detect the
signs. /. Unless we curb infla-
ton on its way up, old man eco
nomic law will return with a full
equipment of hair curlers.")
The consensus among the econ
omists polled is that there's no de-
preston in sight.
Some foresee recessionary trends.
however, trends perhaps preshad-
owed in the market break of 10
days ago.
DR.. Malcolm p. McNair of Har-
ward puts it this way: II believe
inflationary tendencies will dimin-
ish to some extent In 1857. In the
long run the threat Of imitation to
the economic well-being Of the
American people depends on rapid
ity Of price advance. Some business
readjustment is already under way
and may reach greater proportions
than other similar establishments
during the next 10 years but do
not foresee much likelihood Of a
depression "
DR.. George Katona of Michigan
Uriversity's Survey Research Gen.
ter comments 1T will hardly De
possible to avoid some further small
increase in the cost of living in
1857. But the threat of hard and
rapid price increases is negligible
at present. Goods are in ample
supply and there are hardly any
signs of inflationary psychology
which would lead to excess buying.
AS long as business is volume
conscious rather than intent on
maintaining unchanged profit mar
gins. the greatest threat is declin-
ing demand, and not substantial
imitation"
The lnfIotion Story
The imitation the economists are
talking about is the one that
started during World War II when
goods were scarce and money rela-
lively abundant. Here's what it did
to the cost of living:
Before the war you could buy a
brand new Chevrolet two-door Sc
dan for less than $500. Today the
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
Asia

On March 10. IL. and IL, the
annual meeting of the Southeast
Asia Treaty Organization (SEATO)
is to be held lat Manila. Mr.. Dulles
and several aides will attend.
On the agenda will be major
policy decisions affecting the future
OF Wet Nam, Laos. and Cambodia
and the course of relations between
restless North Wet Nam, a Com.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24

Communist East Germany and free
West Germany Is as wide as ever.
There is nothing to indicate that
the Soviet distrust of a reunited
and rearmed Germany has lessened.
But the identification Of the Father
land is a matter of utmost and
prideful Importance to the German
people. While solution is not in
sight. strategy looking toward an
eventual establishment of
united Germany will be explored.
Later in March. Mr.. Eisenhower
and Mr.. Dulles will fly to Bermuda,
where they will meet with Britains
Prime Minister Macmillan and For
eign Secretary Selwyn Lloyd. Here,
as in the talks with Mr.. Mollet,
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24

on seeking out wrongdoing on the
part of Government officials and
agencies and those doing business
with the Government.
In so doing, Senator Mcclellan
and Mr.. Kennedy have restored to
the subcommittee the prestige it
had under Harry Truman (who
found it stepping stone to the
White House,, former Senator
James Mead of New York and the
late Senator Hoey of North Caro-
lima.
A Noturol Choice
When the select committee on
racketeering was organized and the
Arkansas Senator was named chair
man. young Kennedy was the only
person considered for the $14,500-
a-year position as chief counsel
He was an obvious choice. for it
was his work with the investigating
subcommittee which set the stage
for the overall investigation now
getting under way. 1t happened
this way:
In looking into fragrant corrup-
ton in Government procurement
Of Army uniforms and other service
clothing, Mr.. Kennedy and his
investigators uncovered evidence
that some manufacturers in the
New York area were paying of
racketeers and in return were being
allowed. with the protection Of
hoodlums. to operate nonunion
shops. In this way they got by
with paying their employees less
than union scale, thereby reaping
a bigger profit on their Govern
ment contracts.
The names of well-known under
world characters kept turning up
IN the procurement investigation.
One was Johnny Dioguardi (Johnny
Dio). q hoodlum who had preyed
on the weak in New York for years.
Mr.. Kennedy discovered that Dio
and his kind had fastened onto
labor unions and were milking
their treasures. frequently with the
knowledge and consent Of union
officers.
I'VE just got one name after
another" Mr.. Kennedy explains.
The logical next step was an in
vestigation. Quietly he began it
and early last summer began hit
ting pay dirt.
The leads pointed out from New
York like spokes in a wheel, taking
Mr.. Kennedy and his investigators
to Philadelphia, Scranton. Detroit,
Chicago, st. Louis. Seattle, Port
land. Los Angeles and Las Vegas.
And after months of work Mr..
Kennedy found they had only
scratched the surface of the poten-
tial inquiry.
Broader Inquiry Set
Chairman Mcclellan soon de-
cided that the new investigating
was mushrooming far beyond the
jurisdiction of his investigating
subcommittee. After a pass at the
1.6-million-member Transfers I'm
ion, whose officials challenged the
subcommittee's authority to inquire
into labor matters, the Senator
pushed through resolution calling
for a broad inquiry by a select
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
BY FRED THEROUX

Preoccupation with the crisis in
the Middle East has all but blotted
out the fact that the United States
faces serious problems in other
areas of the world as well.
Here. in outline form, is a report
on some Of the situations with
which the men who guide our for
eign policy must contend:
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
LOOK AT NFLATNON wHgqs
Economists Offer Calming Words
A LOOK AT IMITATION

The Eisenhower administrations groaoing concern
up0ard trend OF the stock market the continuing rise in
the cost OF hving are focusing public attention the
bust? What should be done to maintain prosperity? The
Associated Press asked these and other questions of
group OF the Nations leading economists Here is aUhat
they replied
By WALTER BREEDE, JR
NEW housekeeping and relatively painless initiation
ather than any dramatic boom and bust lies ahead for the
people That broadly the thinking of
section Of the Nations top economists
Twenty leading economists were asked their views by the
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-24
Europe

Since the British French Israeli
invasion Of Egypt last October, the
structure Of the Big Three alliance,
keystone of the Vests defenses
, 1957-02-06
Brodhursts Printery offers !.
FINE QUALITY PRINTING "a@A"~
at the most Reasonable Price

portant just how we can i'm
prove the entire hospital and
health program SO it will give
the best possible health ser
vice to the people of the Vir-
gin Islands for the money we
have available. If the team of
experts and specialists can
show us where we can econo-
mise and still improve our
program we will then have
taken a still greater step for
ward"
, 1957-02-06
s u B ID t
FORD

These Indians were inhabitants
of the island when Columbus ar
rived IN the West Indies.
st. Croix' second town, Fred
eriksted, is connected to Chris
tiansted by the "centerline", a IS
mile paved road. Frederiksted
was built Victorian style after a
fire in 1878. 1t looks like a worn
lace paper valentine.
Both towns are free ports. That
means that to all its other de-
lights. tourists may return home
with French perfumes. English
woolens. Dutch China. Danish
glass and silver. and countless
other things costing about half
the U. S. mainland price.