davidaulloa/AmericanStories huggingface dataset:
Evening star., 1957-04-18

PAOSi diA iluo Uccti ulSCuSSeQ re.
peatedly in the House during
this session. raised the issue
when I questioned the secrecy
and the apparent extravaganza
of the school budget in Arlington
County. a county where over 10
per cent of school funds are fur
nished by all the taxpayers of
the United States under Public
Law 874."
At the time he made his
charges against Arlington early
last month. school official there
issued denials. They said that
items. such as a $500 harp.
listed by Mr.. Bow, represented
mere requests and not proposed
budget expenditures approved by
the school board. They did.
however. furnish reporters in
formation on the proposed SAL
airy increase of School Superin-
tendent Edward T. Rutter, after
Mr.. Bows secrecy charge. School
officials at first refused to release
the figure.
Would Prevent Secrecy
Mr.. Bow told the House that
the requirement that the pro-
posed budget be published in
advance Of public hearings
would prevent a recurrence of
the secrecy with which the Ar
lington County School Board
tried to hide its extravagant
budget from public scrutiny.
The Federal Government can
not give blank checks for secret
expenditures. When we give
Federal aid. we have a duty to
know how that Federal aid is
Evening star., 1957-04-18
$344 Million Measure
Causes Snog in Congress
WeIfore Fund Endangered os Action
By Senote Is Awuited Toduy
BY ]. A. O'LEARY

The House and Senate s trying to outmaneuver each
other today In their fight disputed items In S34
million urgent deficiency bill. The next up the
Senate today
For six hours yesterday the branches put on an act that
closely esembled two small boys playground making faces
Evening star., 1957-04-18

spent and we have a duty to cut
it of II it is not spent wisely and
carefully and in accordance with
the purposes of the Federal Gov
ernment. In his bill. or any
other, we cannot give away the
money of all the tax payers of
the United States to some fav-
ored locale to spend as it pleases. /"
Mr.. Bows bill would limit
Federal grants for any child to
a two-year period. At present
there is no limitation on this
and the law for impacted areas
is designed to make up for ex-
ira hardships brought to a COM
munity as a result of Federal
activity. Such hardships in
clude unnatural population
growths and removal of large
land areas from the tax roles.
The nearby counties of Ar
lington and Fairfax in Virginia
and Montgomery and Prince
Georges in Maryland are among
the largest recipients of Federal
aid in the Nation.
Objections Listed
Mr.. Bow said his main criti-
cisms Of the present law we're:
Payments are permitted for
Federal employees children in
areas where the employment is
not an impact or an unusual
burden on the community.
Payments are continued with
regard to newcomers in a COM
munity long after the new Fed
eral employe has purchased or
rented q home. been listed on
See BOW, Page AS
Evening star., 1957-04-18
Bow Bill Cuts School Aid
For |mpocted Areas
Ohioon Cites 'Extruvoeonce' in Arlington,
Would Compel Budget Hearings
BY ALEX r. PRESTON

Representative Bow, Republican Ohio today introduced
bill to curtai drascally Federal aid to education in
impacted areas such as WaShingtons suburbs
The bill also would compel local school boards II hey
receive Federal aid publish and hold public hearings
on their proposed budgets.
Taking the floor to explain his BILL Mr. Bow said "this
Evening star., 1957-04-18


called for substantial" cuts in
the 1858 budget would destroy
or cripple many essential pro.
grams of the Government.
! The President said he found
"a more promising outlook" for
trimming new spending au-
thority. He wrote Mr.. Rayburn
that bugetary reviews since
last January have disclosed the
feasibility of postponing some
OF these requests without serious
damage to program levels. He
outlined the several ways in
which the currently pending
budget could be cut.
Mr.. Eisenhower also urged
that the House take steps now
to improve the long range Fed
eral budgetary situation. In
this connection he submitted 10
specific recommendations.
Two Budgets in One
The President first emphasized
that every budget actually is two
budgets in one-requests for new
spending authority for future
outlays and the actual expendi.
lures to be made within the fiscal
year.
He said all Federal expendi.
lures are not equally subject to
control and he mentioned as ex.
amples veterans pensions, pub
lie assistance and interest on the
public debt. Since many ex-
penditures are Agidly prescribed
by law. he said. the substantial
reduction" asked by the House
cannot be made in this part of
the budget until Congress revises
or repeals the governing laws.
| Mr.. Eisenhower said that So
per cent Of projected expendi-
lures next year-$45 billion
Till support the defense estab-
lishment and programs related
to protection of the country.
He said the remaining ex.
penditures. totaling $S billion.
support the rest of the Govern-
ment. He conceded that addi.
tional savings in some of these
activities may possibly be found
by the executive branch and by
Congress. But he declared a
multibillion-dollar slash would
destroy or cripple essential pro-
grams.
The President suggested six
ways to cut new spending
authority. as follows:
!. Reduce the military assist
ance portion of the mutual
security program by $500 million.
He said this reduction results
mainly from new management
techniques and removal of items
from grant aid which other
Continued on Page AS, Col. 4
Evening star., 1957-04-18
Eisenhower Sees Possibility
OF $18 Billion Cut in Budqet
Tells Royburn
New Outlaws
Can Be Pared
BY JOHN v. HoRNER

President Eisenhower today
told Congress he sees a possible
ity Of cutting new spending au-
thofity by $1.8 billion in the
next fiscal year. But be main-
tained there can be mo sub.
stantial reduction" in actual ex-
penditures.
In a letter to Speaker Ray
burn, he wrote that a multi.
billion dollar reduction evidently
envisaged by the House when it
~-~-~---~--------
Further UsIA Fund Cuts by senote Are
rfeo'efed. Poge A
Text Of Presidents Letter 10 House
opeokef koyburn. Pose A
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07
THE ABcs OF INITIATION
Heavy Savings Can
Choke Off Price Rises

rises-and the thing goes on
| in a circle.
One of the current puzzles
is that incomes are high and
demand for goods is high also.
but there are industries where
part Of the productive capacity
is standing idle.
Factories where washing ma
chimes and other appliances
are made have operated for
a while and then furloughed
their workers for a while so
as not to pile up unsold merch-
andise.
The steel industry and the
automobile factories have un-
used capacity. Yet instead of
increasing production and try
ing to sell it by cutting prices,
the prices have gone up.
A logical approach to an ex-
plantation for price rises is to
look for the source of extra
demand or Of curtailed supply.
You don't have to look far.
Additions to industry's plant
and equipment have been one
Of the reasons for imitation.
The $28.7 billion that went into
such investments in 1855 was
only Z per cent more than the
sum for 1854. Significantly. the
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07

the workers employed or others
want to spend their wages on
The d EN- a nd for consumer
goods goes up while the produc-
ton Of them tends to be held
down.
Money for Spending
On the buyers side, people
have money and are not adj
verse to spending it. This con-
sumer demand has exerted its
pull on prices.
On the other side has been
the push of rising costs. Some
materials have risen. in price.
Wages have gone up. A wage
rise would not force prices up
unless the wage rise is faster
than the rise in the productive
ity of labor. Accurate figures
on productivity are difficult to
come by, but there are indica-
tons that in 1856 productivity
Jagged behind wages. Producers
began to talk about a cost
squeeze. 1t has become one Of
their favorite Subjects.
Some economists have come
up with another factor beside
the pull of demand and the
push of rising costs. This factor
is administered prices" One
economist maintains that much
Of the imitation of the last two
years appears to result from
price increases in the admin
istered price industries. Others
express doubts.
The story here is that adj
ministered prices are set by a
producer or seller and are kept
constant despite fluctuations of
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07

anieunt went up to es5.0s BIZ
lion in 1886. an increase Of a
whoppins % per cent over 1855,
On Borrowed Money
The money for such invest
ments was borrowed chiefly in
the competitive money market.
The workers who constructed
the plant and equipment were
recruited in the competitive
labor market. Wholesale prices
of metals. machinery. rubber
and lumber all went up.
The demand for labor was
perhaps the chief reason for
the howl that went up from
business over the national
budget the President sent to
Congress last January. That
budget was shaped to take in
more in taxes than would 60
out in spending. Hence 1t was
regarded by some as def1ation-
airy. But the increased spend
ing means increased demand
for labor and materials, and
business feared labor costs
would go up again.
Even though the budget is
balanced. the operation of Gov
eminent taxing and spending
can be inflationary. Govern
ment spending for the current
fiscal year is estimated at $72
billion. OF this. $44 billion, or
81 per cent. is to go for ma
tional security. A large part Of
this is so-called military hard
ware. a far cry from consumer
goods. In other words. large
sums are going to produce
goods which are not the goods
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07

supply and demand in the mar.
ket. The market forces fix the
limits within which admins
tered prices may be set. Within
this zone the seller may set the
price at his discretion.
It is commended that prices
of many items that go into the
consumers budget are being ad-
ministered-to the consumers
disadvantage. 1t is also asserted
that on occasions industries
administer prices to the con-
sumer's advantage. That is,
prices are not pushed as high
as the demand might justify.
Supply-Dem Law Works
1t is argued that industries
where few companies divide the
business are the ones where
administered prices are to be
found. Where a lot of COM
panies are competing for the
customers dollar. few can set
their prices at their own dis
erection.
1t is to be doubted, however,
that setting prices in this way
can long withstand a strong
price movement. A producer
who has held his prices down
for any of a variety of reasons
is going to raise them when a
cost-price squeeze threatens
his profits. Another producer
who has been able to maintain
a price level set at his own dis
erection is not going to cling to
that price when the market
drops from under him. He is
going to sell at the market
price rather than be caught
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07

street NV. Rabbi Norman Ger.
stenfeld will officiate.
Rabbi Emmett A. Frank OF
the Beth Ell Hebrew Congrega-
ton will speak on Supreme
Rock Crushes Little Rock" al
8 pm. tomorrow at the temple,
1880 Seminary road, Alexan-
dria, Va.
The Tifereth Israel Congre-
CATION, Sixteenth and Juniper
streets NV. will be host to the
John & Bernard Wilmer Post
OF the Jewish War Veterans at
8 pm. tomorrow. Ben Kauf-
man, past national commander
Of the JWV, will speak during
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07

special Veterans Day services.
Rabbi Henry Segal will speak
on The Road is Endless" at
$3.50 pm. tomorrow at B'nai
Israel Synagogue. Sixteenth
and Crittenden streets NV.
After the services there will be
an Oneg Shabbat in the Fig
Auditorium.
Arthur Schwartz. program
director of the Jewish War
Veterans, will address the Joint
services of the Young Peoples
Synagogue and Agudath Achim
Synagogue at $3.50 pm. tomor.
row at the synagogue, Thir-
teenth and Tuckerman streets
NV.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07
Congregations
To Hear Guests

Guest speakers. and other
special events have been an
nounced by a number of WASH
ington area Jewish congrega-
tons for Sabbath services to-
morrow and Saturday.
A special service in honor
OF new members of the WASH
ington Hebrew Congregation
will be held at $3.50 pm. to-
morrow at the temple, Mass
achusetts avenue and Macon1b
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07


ference. Consumers are not
going extravagantly into debt
to buy things. Nor is there a
speculative spree. All these are
causes of initiation. But you
can't point to them this time.
There has been an increase
in the money supply, as told
in an earlier article. If people
sailed away large sums in
savings counterac tin G the
money increase, pressure send
ing prices up would be less,
more money would be available
for capital expenditure, interest
rates would tend to go down.
Short Of Capacity
Savings are substantial, but
not enough to do these things.
And rising prices discourage
savings, which encourages price
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07

with increasing piles of unsold
merchandise.
In other words, the law of
supply and demand is work.
ing and will continue to work.
Prices are what they are be-
cause people will pay them. If
enough people rebel and cut
their buying, prices will come
down.
TOmOrrOw-Save more money,
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07
~ FRANCIS P. DOUGLAS

Tracking imitation to see
how it works can lead along
a many-branching trail.
The National Government is
not spending more than it
takes in taxes and issuing
bonds to make up the diff
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-11-07

Fifth Of Six Articles
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25

nonstop route between New
York and Mexico City. All
France is presently the only line
with such service.
Former Mexican President
Aleman, now head Of Aeronaves
de Mexico. and sugar king Aaron
Saenz. chairman Of Mexicana de
Aviaci0n, have indicated they'd
like to get in the run.
More than interested will be
Pan American, which has some
money in both Mexican CON-
panies. Fortune says.
4 ***
The H erson's Manhattan
Auto, with foreign cars. galore
will open a fourth branch at
770l Wisconsin avenue. Bethesda
next Saturday. ThereIl be fan
fare for all. Manhattan's other
branches are on Lee highway in
Merrifield, Va, on King street
in Alexandria, with the main
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25

the two presidents stated. Our
member firms will be enabled
better to serve the corporations
and investors throughout New
England, Pennsylvania and the
Atlantic Seaboard."
National Permanent Plans
Change of Firms Name
r. E. Buckley. president of
the National Permanent Build
ing Association, announced the
firms name will be changed
Friday to the National Per-
manent Savings and Loan Asso-
citation.
This action was voted by the
board of directors because the
old name did not adequately in
dictate the nature and purposes
of the association.
National Permanent is one of
WaShington's largest savings and
loan associations, with assets at
500 million. 1t maintains a
branch in Langley Park and
contemplates opening another
Office in Chevy Chase during
the late summer.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25

soluANAs AAAoAAtaSc Vi atANAeSot
pany or on veterans life insur-
ance?
ANSWER: These dividends are
not taxable at all. This means
that you don't apply the $50 div
idend exclusion or the 40 div
idend credit to them because
they are completely exempt.
Page three goes next to a Sec
ton on interest.
QUESTION: Must I report the
interest ] received on my savings
account even though I didn't
withdraw it?
ANSWER: You must If the
bank credited your account ana
made it available to you. and this
is so even though the amount
wasn't actually entered in your
passbook.
QUESTION: know my Series
E savings bonds are increasing in
value each year because of in
terest. Do ! have to report last
years increase?
ANSWER: No. You don't have
to report interest accrued on Sc
ries E savings bonds until you
actually cash in the bonds and
collect the interest. You can,
however. report each years in
terest as it accrues If you want
to.
Remember, Clip and Savel To-
morrow, Tax-Savings Column
No. VIII
Copyright. 1857, Hall syndicate. Incl
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25
WINGS & WHEELS.
BY CHARLES YARBRoUcH

The industry isn't quite sure
exactly how they're going to ac-
complish it. but you may be as
sured that the automobiles of
the near future are going to be
still lower. And there is no
end in sight for the horsepower
race.
Engineers stepped right into
the situation for the lower 1857
automobiles and produced such
things as Cadillac's revolutionary
frame and Oldsmobile's two-sec-
ton drive shaft. To get them
even lower is going to require
some other marked changes
very likely more visible ones than
a frame or a drive shaft.
Victor G. Raviolo, director of
advance product study and en-
cheering research for the Ford
Motor Co., says there is no doubt
that everyone wants a lower car.
This" he points out, "is funda-
mentally correct since it will have
less frontal area and less wind
resistance"
He admits there are engineer
ing problems, but we will have
52-inch-high cars within 10
years" Today's autos range from
So to 81 inches.
One way to lower them might
be a means of entering cars at
least partially through the roof.
Mercedes.Benz has had that one
for several years in the 800 81.
Sliding roofs might be another,
Mr.. Raviolo said, fitting canopies
or butterfly doors still others.
He sees a warning device to
prevent rear-end collisions and
greatly-improved brakes built to
fit increased horsepower and
higher speeds.
1t wasn't pointed out who
writes her script. but this Luft-
hansa stewardess has a bright
future. When the German air.
lines Super G touched down in
Munich after a flight from New
York. the stewardess got on the
public address system.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25
ADVERTISEMENT

MANY intelligent men and
women are held back in their jobs
and social lives because they use
poor English or can't speak and
write effectively" says Don Bolan-
der, director Of English at Career
Institute, Chicago.
Adults who realize that their
English is holding them back use
our new home method to stop
making embarrassing mistakes in
English, to improve their writing,
TO increase their vocabularies, To
speed up their reading, to acquire
the techniques Of fluent CONVERSE
ton. But the use OF effective Eng
lish pays off in unexpected ways,
says Bolander, because language
Is tool Of thought as well as q
tool Of expression.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25

showroom at Seventh and Rhode
Island avenue N. w.
MI \ 4 *s*
Robert L. Turner. former vice
president Of TRAFFIC and sales
for Northeast Airlines, begins
new duties March 4 as special
assistant to the Air, Transport
Associations President Stuart
g. Upton. American Motors
is tooling up to add station wa
CONS to the 1858 Hudson and
Nash lines. Trans World
AirIines' new Upstream STAR
liner, called the ultimate in pis-
ton-engine planes with a $500
mile range. will make its debut
in the United States and over
seas July l. It is a modified
Super G and q added feet on
its wing-span. :. United AIR
lines begins the first nonstop
Oct flights to Kansas City FRI
day.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25
YOUR
MONEYS WORTH
Save on Tuxes-W
SY SYLVIA PORTER

Ameriea,
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25

ADVERTISEMENT ADVERTISEMENT
IS YOUR ENGLISH
HOLDING YOU BACK?

You use words with which to-
think. The more you learn about
words and how to arrange them to
express your ideas, the better your
thinking becomes. The improve
ment Of your English-including
your thinking--can lead to amaz-
ing personal achievements"
Write today for free 32-page
booklet. Your English and Your
Career. II explains the importance
Of English in your personal, social
and business life. 1t shows how the
new Career Institute Method can
help you achieve your special goals
quickly in your spare time at home.
Address a card or letter to Don
Bolander. Dept. WS-24. Career In
stitute, IS East jackson Blvd, Chi
cago 4, Illinois. The booklet will
be mailed to you promptly.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25

pointed out IN ltS prlet nied with
the CAB.
The airline also asked author
ity to offer nonstop flights in
four engine equipment to Co
lumbuS and Dayton on a new
route to Chicago. AS proposed,
the new schedules would aug
ment the eight daily nonstop
flights now flown on its present
route between Washington and
Chicago.
Need for competitive service
between Washington and the
two Ohio cities was stressed by
United because of the ever-in-
creasing military and economic
Importance of the cities and the
consequent need for more fire.
quent flight schedules.
In the same brief, United also
asked the board to grant the
company a new route segment
between Washington and Cleve-
land via Youngstown and Akron
Canton. Requested too was a
new route between Chicago and
Miami via Cincinnati. Atlanta,
Jacksonville and Tampa-St. Pc
tersburg.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25

Trust Co., Mrs. Caroline A. Skin
ner Of National Metropolitan
Bank, Miss Louise A. Tebeau
American Security & Trust Co.;
Mrs. Julie Roche. Munsey Trust
Co., and Miss Martha w. Davis
of Second National Bank.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25

Ladies and gentlemen" she
said. the SAFE part Of your
journey is nov completed. AS
you know, the: roads are icy and
driving Is hazardous. So please
drive carefully"
~ ~,
Fortune magazine is saying to-
day that bilateral treaty talks
between the United States and
Mexico this spring may help de-
eide whether there will be more
than one airline flying the rich
Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-02-25
Interchange Plan Approved
By Stock Exchange Boards

A plan for interchange of the
markets and facilities of the
Philadelphia Baltimore Stock
Exchange and the Boston Stock
Exchange has been approved by
boards of governors of the two
exchanges.
In announcing this today
presidents of the two groups said
the proposal was still subject to
approval of necessary constitu-
tional amendments by members
of the exchanges, and its sub
mission to the Securities and Ex-
change Commission. If approved
the plan would become operative
early in March.
"a close relationship has ex-
listed for many years between the
arrangements of our exchanges, I"