The Farmville herald. (Farmville, Va.) 1957-current, 1962-06-26
NATIONAL
NEWS
SUMMARY
BY
H. v. LANCASTER, JR.
! COALITION IN LAOS
} IKE ON DEFENSE BUDGET
} STOCKS DROP MORE

since Nov. rs, 1858. The busl-
ness news was highly mixed last
week and included a disagree
ment between Secretary of La
Dor Goldberg and his Commits
sioner of Labor Statistics. Evan
Clague. Clague said 1868 bust
ness recession is likely.
A COALITION CABINET of 10
men headed by neutralist Prince
Souvanna Phouma was install
ed in Vientiane. Laos, Saturday
by King Savang Vathana. The
pro Western government of
Premier Boun Gum resigned
earlier in the day to make way
for the new regime The forma-
ton of the coalition government
has been an objective of the
Kennedy administration in order
to remove Laos from the cold
war. The first task facing the
new cabinet was to appoint a
delegation to go to a 14-natiOn
conference in Geneva and sign
an East-West agreement guaran-
teeing the neutrality of Laos.
The new government later con-
demned the landing of U. S.
troops in neighboring Thailand
earlier this year.
GEN. EISENHOWER stunned
Republicans as we'll as Demo-
Gratis by advocating cuts in the
nations 81 billion dollar defense
budget at a COP Embarrassing
dinner in Washington Friday
night. The former President
said he believes substantial
amounts in our current defense
budget reflect unjustified fears,
plus a reluctance in some quar-
tiers to relinquish outmoded con
cepts." He did not elaborate or
say what parts of the budget
needed trimming. Heretofore
there has not been much COM
plant in either party about
President Kennedy's efforts to
strengthen conventional forces
to be prepared for "brushfire'
wars.
DEAN RUSK arrived in Rome
Saturday and began discussions
with Italian officials on NATO
problems and the Common Mar
let. The U. S. Secretary of State
had talked earlier with French
President de Gaulle in Paris and
West German Chancellor AIDE
nauer in Bonn on the first stops
OF a tour to strengthen the West
ern alliance. Adenauer reported
that he was very happy" with
the meeting and that he and
Rusk were in substantial &C
cord. One report growing out of
Rusk'S talks in Bonn was the
possibility of big four confer
ence later this year to halt
Shootings along the Berlin wall.
THE FARM BILL backed BY
the Kennedy administration was
defeated in the House on a roll
call Thursday night. 1t would
have given wheat and other
grain farmers the alternative o.
accepting price supports with
stringent mandatory production
controls or of producing az
much as they want withou
price support. On Fri
day a Stop-gap measure extend
ing present voluntary controls
was introduced in the House. II
no such legislation is enacted
this year. the present voluntary
controls will expire. grain farm
erS will receive price supports
on all they produce. and it is
feared more SURPRISES will ac-
cumulate.
A FEUD between the House
and Senate appropriations com
mitteeS has cut off funds t(
some fedora agencies. ane
some government employees are
going without their regular pay
checks Frequently the House
and Senate approve bills ap
propriating different amounts q
money for the same purpose
When this happens. the two
committees usually meet to-
gether to work out a compro
mise. However. about a month
ago the House committee de-
(Continued on mage 2,