Evening star. [volume] (Washington, D.C.) 1854-1972, 1958-03-12
ak Decision Delayed
By Top U. S. Officials
Continued From First Page

Continued From First Page
prepare the statement he issued
to reporters in the Office of
White House Press Secretary
James c. Hagerty.
Mr.. ODonnell represented
Secretary of Labor Mitchell
who said yesterday. in reveal
ing that unemployment in Feb
ruary reached a 16-year high
of 5,173,0O0, that a substantial
cut. in personal and business
taxes would be the next big
step" in combating the recess
sion.
Mr.. Anderson made no refer
enee to Secretary Mitchell'S
prediction in statement re-
flecting in its sentiment at
le4st the Administrators
hopes that an upturn in the
immediate weeks ahead will re-
solve the dilemma of whether
to-cut taxes.
= Under Constant Study
The statement read:
THE economic situation in
alt its aspects is under constant
study and review. The Presi-
dents discussion with us this
morning was a continuation of
this kind of analysis.
s.Of course, this analysis in
cluded tax studies and esti-
mates of revenue losses and the
benefits which might result
from various approaches to this
problem. We must carefully
weigh both the current impli-
cations and the long-term eff
facts which might result. This
is part of the continuing nor
NAL function of the Treasury
L partment.
THE President has already
taken a number of executive
aco4ons and has made a num-
Der of recommendations to the
Congress, designed within the
framework of the proper func-
tons of the Government, to
assist in a resumption of suS-
tainable growth in the econ
omy. A number of the sugges-
tions proposed and taken will
help promote higher level Of
private economic activity and
employment. Some will result
in accelerated expenditures in
a number of existing Federal
programs without involving us
in huge, slow-acting public
works programs of dubious
value.
However, we will continue to
examine all the facts and data
as they become available and
If. upon the basis of further
developments in the economy
it appears that other actions
are necessary and desirable,
they will be taken.
mo decision regarding taxes
has been made. Whatever de-
cision regarding taxes is taken
will be reached only when the
impact of current developments
on the future course of the
economy has been clarified and
after consultation with con-
gresSional leaders"
Rate Accelerated
In his request for extra funds
for water resources projects. the
President said the money would
be needed during the fiscal year
starting July l to keep up an
accelerated rate of construc-
ton that already had been
started on numerous such prof.
ects.
He asked an extra $70,823,-
600 for the Interior Depart
ment. This would increase
construction funds for major
projects in the West, and boost
by $25 million funds for loans
to conservation and irrigation
districts for small reclamation
projects.
The additional $14,780,000
asked for the Agriculture De-
partment would permit an in
crease from so to about 100 in
the number of watershed pro-
lection projects under the soil
conservation program, and per-
NIT acceleration of some grow
ing projects.
Sees Late May Upturn
In Chicago where he spoke
last night. Secretary Mitchell
predicted the February unem-
ployment total will be the
peak" and that an "upturn in
employment in late May" can
be expected.
In Buffalo. N. Y, Secretary
of Commerce Weeks said "the
next so days will be the acid
test" on whether production
and employment will rise with
the programs already started
by the administration. But the
Secretary added, the Associated
Press reported. that additional
steps will be taken whenever
necessary"
In advance of today's confer
ence, the White House an
nounced late yesterday action
taken in the last few days by
Housing Administrator Albert
A Colo IN et1aad tho Covary1