davidaulloa/AmericanStories huggingface dataset:
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20
DAVID LAWRENCE
Federal vs.. Business Financing

mas OOne 50 on several OCCa-
sions lately In discussing this
subject. He said to the Flori-
da Chamber Of Commerce:
why Is it that profits are
at an all-time high In the
Nation today7 It Is because
the Nation as . vhole Is
prospecting"
What Mr.. Kennedy did not
tell the American people is
that profits In q realistic
sense are way below what
they were 9 few years ago.
Thus, manufacturing cor
porations from 1855 to
1957-which was an era Of
sustained economic activity
and relatively full employ
ment-earned So per cent
on their sales and lit cents
per dollar on their net worth.
But since the year 1857
profits Of manufacturing
corporations have been at
relatively depressed levels.
For the last six years. they
have averaged only Is per
cent Of sales. This means
that profits are IS per cent
below the So average Of the
1955-1957 period. The profits
also have been only 9.3 per
cent Of net worth, which Is
down considerably from the
Ill per cent average Of the
1955-1957 period.
It Is to be noted that in
1868, after two years Of So
called economic recovery,
profits are as per cent Of the
gross national product. This
is only q slight rise from the
"a per cent reported In 1861,
which was the lowest figure
in the period following World
War II.
To lay stress on the gross
total of profits without re-
gard to whether individual
companies are making q sat
isfactory per cent on their
investment Is to confuse the
issue. 1t is like saying that,
because there are more peo-
pie employed today than ever
before, America Is prosper
Gus. Actually. the unemploy-
ment figure Is still around SIS
per cent, and there are many
parts Of the country called
distressed areas" 1t Is illog-
ical to boast about the
amount Of total profit when
the actual percentage Of
profit on sales made remains
we'll below the 1955-1957 av-
erage.
copyright. 1eo3
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20
Presidents Comparison of Debt Growth
Viewed as Giving Wrong Impression

financed without at least q
substantial payment on the
principal.
But the Federal Govern
ment makes no such eurtail-
ment Of its principal and
keeps on borrowing more and
more money, mourning more
and more deficits, and In
creasing its total debt.
Any business which at
tempted to finance itself on
the pattern Of the Federal
Government would certainly
not be able to borrow any
money In the capital markets
today or at any other time.
Thus, the Federal Govern
ment In fiscal year 1868 piled
up q gross borrowing Of 1927
billion, Of which less than So
billion represented growth in
the net debt. The remaining
$219 billion was borrowed to
refund existing debt.
Corporations, on the other
hand, have been paying off q
substantial part Of their
loans, and their increased
debt represents investment in
new projects - new plants
and equipment or new enter
prises.
It is incorrect. therefore, to
compare corporate financing
with that Of the Federal
Government and say that
the latter Is better because 1t
did not increase its debt as
much as did the private sec
tor IN the economy. mdivid-
uals may incur debt by bor-
rowing to buy their homes,
but they earn enough money
after expenses to make regu-
lar payments on the mort
cages and at the same time
to buy an automobile and
pay for it In two or three
years. Nobody could buy an
automobile in 1913 and fail
to pay 1t off by 1862. And yet
the Federal Government has
merely borrowed the same
amount Of money to refund
or replace the previous in
debtednesS, so that the total
amount Of the 1913 debt re-
mains on the books, plus in
creased borrowings Of s54
billion since 1948.
President Kennedy also
gave an erroneous impression
when he discussed profits. He
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20

President Kennedy would
not Intentionally mislead the
American people about the
finances Of the Government
Of the United States-but
unfortunately, some Of his
speechwriters have given a
wrong comparison Of the way
the Federal Government and
private business. respectively,
handle their debts.
Mr.. Kennedy, in a speech
before the Florida Chamber
Of Commerce Monday, gave
the impression that the Fed
eral Government Is a better
fiscal manager" than pri-
vate business. He said:
while the Federal net
debt was growing less than
20 per cent in these years
(l94s to 1852, total corpo-
rate debt-not my debt, your
debt-waS growing by nearly
200 per cent and the total
indebtedness Of private indi-
viduals rose by 800 per cent.
So who is the most cautious
fiscal manager?"
There Is no real parallel.
What Mr.. Kennedy failed to
make clear was that during
all this time, while corpora
tons and individuals were
increasing their debts, they
were also paying off their
loans or mortgages or were
borrowing money to acquire
new assets. The Federal Gov
eminent, on the other hand,
was borrowing money almost
entirely to refund past loans,
but not to reduce debt.
During these very
years-1948 to 1e62-when
the total corporate debt was
rising by 1928 billion, these
same corporations earned
1921 billion In profits after
taxes. In contrast, the FEEDER
al Government during that
same period had total budget
deficits Of SAL billion and at
the same time added $54 bill
lion to the gross public debt.
No business could borrow
money II 1t did not reduce its
past debts out Of its surplus
es. An increase in corporate
debt Is based upon the ex-
pectation Of repayment Of
this same debt in a specified
time. A very small part of
any such indebtedness is re-
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20

Eisenhower, Dwight D.:
H-Grede, william: VINO.
IL, Frdms. Fdn., 5, 81, 40"
This cryptic reference is to
Gen. Dwight D. Eisenhower
as he is listed in the index"
Of Group Research, Inc. This
identifies @ n. Eisenhower
with various kinds of con-
sentative organizations and
principles which are ex-
planned in more detail in
what is called the Group Re-
search, Inc, Directory.
Gen. Else m h over, and
many others who have made
great contributions to the
Nations security and well
fare, are thus bracketed and
"indexed" with the wild and
woolly partiSans Of the far
right.
The former President
shares this distinction with
Gen. Omar Bradley, Clare
Booth Luce, Gen. James A.
Van Fleet, Ozzie and Harriet,
Chang Kali shek, Gen. Mark
w. Clark, the late John Fos-
ter Dulles, Herbert Hoover, J.
Edgar Hoover, and many
others too numerous to men
ton.
They are all dumped I'M
tremendously into the "in-
dex" along with such proud
wearers of the far right label
as Gerald L. K. Smith. Kent
and Phoebe Courtney. and
the A merican Nazi leader,
George Lincoln Rockwell.
The indexing Is truly por-
tentous. Take, for example,
Capt. Eddie Rickenbacker,
the World War I ace flyer
and organizer Of Eastern Air
lines. This culprit Is classed
thus: "Rickenbacker, Capt.
Edward W: Com. For
Monroe Doctrine, 1-2 Yaf. 5;
u-Clark, Fred, 2; Ricken-
hacker; IV-Nov. 7, Natl. In
dig. Con-, 2; No. II Hargis.
10; No. IL, Frdms. Fdn., 81,
49,"
All this abacadabra indi-
Gates that Capt. Eddie has
been pretty active In express
ing himself. The abbreviation
"Frdms. Fdn." means Free
doms Foundation and has
gotten q lot Of people into
the index" including Harold
Stassen. Freedoms Founda-
ton Is described by the oper-
ators of Group Research Inc.
as a "conservative-patriotic
society, but Is considered by
others to be a well-meaning
organization promoting re-
spect for American institu-
tons.
Group Research, Inc. came
into being q year or so ago
with the encouragement" Of
the AFL-CIO and other or
ganizations, according to its
founder, Wesley McCune. Mr..
McCune took leave Of his
position as public relations
director of the Farmers
Union, the liberal farm or
ganization which aligns itself
with Americans for Demo-
cratic Action and the Auto
Workers Union, to devote
himself to Group Research,
Inc. He says it is supported
by numerous clients includ-
ing labor unions, farm or
CARNATIONS, universities, CO.
operatives, etc.
The Index" runs some 46
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20

H6puDllcdn OF NEW 1OTk, dIlu
Representative Powell, Demo-
crat Of New York.
Attorney Justin N. Feldman
of New York, asked the Justices
in arguments in the case
yesterday to strike down pre-
sent Manhattan congressional
districting as a clear case Of
racial gerrymandering."
Negro and White Districts
He commended the two Man.
haitian Districts have been
reshaped to create one "vir-
tually all-white" district. Mr.
Lindsay's, and one virtually
all-Negro and Puerto Rican'
district, Mr.. Powell's.
The number Of congressional
districts in Manhattan was cut
from six to four after the 1866
Federal census, and the Repub-
lican-controlled New York leg
islature set out the new district
lines in 1861.
A three-judge Federal court
ruled, 81, in the case the JUS
tees now have under advise
ment that those protesting the
new districting had failed to
show any violation Of conStitu-
tional rights.
See Political Factor
There is no other discerni-
BILE reason for this diStrictins
than race" Mr.. Feldman said
yesterday, outlining the new
districts for the justices with a
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20

a much better Job in the new
districting than in the old one,"
said Justice Goldberg. The dis
tricts, on Mr.. Feldman's large
maps. seemed to follow
straighter lines.
The lawyer took q different
view. where the effect of
these crooked lines is to create
q racial classification, I think 1t
is unconstitutional" Mr.. Field
man said. He argued Negro
voters had been "herded" into
one district.
May I suggest that nothing
better could happen in some
parts Of this country than that
the Negroes be districted so
that the y can use their
strength together" Justice
Black said from the bench.
It took considerable probing
by various justices to bring out
political factors that may have
motivated the new districting.
Finally, 1t was Justice White
who got Mr.. Feldman TO sug-
gest some possible reasons.
Perhaps 1t was not to cause
political difficulty for some
one" Mr.. Feldman suggested
tentatively. The someone" in
the context Of the case, would
have had to be Mr.. Lindsay,
who might not want more
Democrats in his Republican
district.
Offers Possible Purpose
Under further prodding. Mr..
Feldman said the G. o. P.
State Legislature, in addition to
avoiding Negro Democratic in
fluence in Mr.. Lindsay's dis
trict, may have wanted to pre-
vent there being more than one
Negro Manhattan Congress-
man.
The lawyer said congress
sional districting along "neu-
trail" lines could give Negroes
and Puerto RicanS a majority
In two congressional districts.
He did not say whether one
might be Mr.. Lindsay's.
Mr.. Powell, who is Manhat-
tan's only Negro Congressman,
would have the new district
lines kept as they are. At least,
that was the message a lawyer
representing him in yesterdays
case gave the justices.
Attorney Jawn A. Sandifer
appeared on behalf Of Mr..
Powell and other Democratic
leaders of Mr.. Powell's 18th
congressional district who had
interviewed in the districting in
the lower court.
No Case Made, He Says
Mr.. Sandifer said those con-
testing the new districting had
not made out a case that the
lines had been drawn on a ra-
cial basis. He emphasized that
he would be the first to protest
such a districting.
I'VE do, however, reserve the
right to utilize our voting power
to what we feel Is our advan-
1 tage," he said, indicating that
if Negro voters in Manhattan
were spread out there might
not be any Negro Congressman
there.
Irving Gait, assistant New
York solicitor general, told the
justices the new districting was
perfectly commonplace" and
merely REFLECTED a tendency of
ethnic groups to settle in the
same area in big cities.
The New York case argued
yesterday concluded Supreme
Court hearings on State leg
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20

The signed columns on these pages, like the
cartoon beIoD intended to present Star readers
Nth Dtde range of opinions issues of the day.
Including opinions Dhtch conflict Nth our DUN.
The Stars vtetOS are expressed In its editorials
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20

islative apportionment and
congressional districting issues.
Decisions In the cases will be
announced later.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-20
Harlem Decision Seen
Key to Court Ruling
BY DANA BULLEN
Star Staff Writer

Supreme Court trying to figure out today whether
Harlem Negroes have been placed in single Manhattan
congressional district because they Negroes because they
are Democrats
The may be the key to how the court will decide
case involving the constituencies Of Representative Lindsay
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-07
A Better Minutemon

A few years ago there was something
called "the missile gap" Ia fiction exist
ing only in politicians minds), and now
we have what is called the Improved
Minuteman." Even in It's original form,
this solidfuel intercontinental ballistic
missile was formidable thing to think
about, but today 1t is in the process OF
being developed into weapon so deadly
flour times as effective as It's current
modeD that layman's mind can hardly
comprehend the speed and magnitude
OF It's destructiveness What can be COM
pretended, however, is that the field OF
rocketry Is subject to constant change
and advancement. This includes such
conceivable break-throughs as a work.
able antimissile missile. The Improved
Minuteman" is case In point.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-07
First Responsibility

At meeting of the Central Labor
Union Council the other night, it was
suggested that opposition of some Dis
trict School Board members to lifting
the ban on corporal punishment may
stem from a fear of providing new
ammunition to nti-integrationiSts in
the South. In reply, School Superintend-
ent Hansen had this to say:
understand what you mean No matter
what happens in a newly integrated area,
those who are opposed to migration will say,
Nov look at what it has caused" So we
have to be careful not to interject the ques-
ton Of race. But we have a responsibility
to educate children who come into our class
rooms as well as we possibly can. In order to
do this more satisfactorily than we have been
doing, we need to give teachers additional
authority. This is what the teachers tell us
themselves What we are attempting to do
Is to make our recently integrated school
system the best possible demonstration Of
Indignation.
What sensible answer! And how
refreshing it is to hear this subject
finally discussed forthrightly. For the
fact which has emerged most clearly
from the shocking allegations of the
MacCarthy Committee report, and from
all that has occurred since, is a recogni-
ton that harmful and dangerous condi-
tions in our schools already have been
covered up for too long, and that, smol-
dering under cover, they have grown
steadily worse.
No doubt the inadequacies recently
revealed, especially relating to disciple
nary problems, will be seized upon by
those who are out to discredit integra-
ton. And 1t is quite likely that major
reason for avoiding public discussion Of
these conditions in the past was desire
to put the brightest possible face on the
indignation experience in Washington.
But surely those people who have been
so mesmerized by this concern that they
have closed their eyes to everything else
must realize, II they think about it, that
continuation of this kind Of blindness
now cannot serve the cause of integra-
ton and will merely tend to destroy
public education in Washington.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-07

better ALLEGATION Of water resources
among competing uses.
1t is not news, of course, that prob
lens of this nature lie ahead, and it is
not easy to say who should do what to
cope with them. All levels of govern
ment-Federal, State and local-have a
share of responsibility. So, too, does pri-
vate enterprise-both in utilization of
natural resources and in search for
suitable substitutes. The effort by all
parties must be cooperative and con-
tinuing. The Ford group has been help
full in putting together comprehensive
discussion of things as they may be
when the 21st century arrives.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-07
That Ye Be Not Judqed

Very few people will doubt that DR..
J. Robert Oppenheimer fully merits the
highly priced Fermi Award for 1868 and
the $4,000 in cash that goes with It.
For he as much as any other man, and
perhaps more than any other man, was
responsible for the great achievement
which produced the atomic bomb, and
which, in turn, pointed the way to peace
full uses of the atom.
One must look with some reServa-
ton, however, on intimations in the news
reports that the winning of the Fermi
Award will serve to "clear" DR.. Open
heimer Of the findings which, almost a
decade ago, led to his exclusion from ac-
cess to classified information on the
ground that he was security risk.
We are mindful of Matthew's ad-
monition on the hazard of judging, and
we certainly would not presume to pass
judgment on DR.. Oppenheimer. But
neither are we prepared to say that the
decision of the conscientious men who
heard the testimony pro and con in
the Oppenheimer case and who weighed
the transcript of that testimony-nearly
1000 pageS-can be reversed merely by
the presentation of the Fermi or any
other award OF eight men who heard
the case, six, in varying degrees, were
persuaded against DR.. Oppenheimer.
All of this, however, occurred nearly
a decade ago. And it is possible that
new judges 1--WE do not know of any new
evidence) might now decide differently
on the old record. But Of itself the
Fermi Award, although richly deserved,
clears nobody and changes nothing.
In 1854, while the Atomic Energy
Commission was debating its finding, DR..
Oppenheimer published little book in
which he discussed something he de-
scribed as "the house called science"
OF it, he said: "It is a vast house indeed
. there are no locks, there are no shut
doors; wherever we go there are the
signs and usually the words of welcome.
1t is an open house, open to all Corners"
This may be Of some reinsurance, if
DR.. Oppenheimer'S access to classified
information should be restored, to those
who go to bed at night and who wake up
in the morning worrying about spies.
The findings against DR.. Oppenheimer
did not bring his loyalty into question.
But the Russians, with their achieve
ments in space, have shown that the
house Of science of which he wrote is
indeed open to all.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-07
Easter Pets

With Easter coming along,
the pet stores are going TO pe
selling rabbits. chicks, and
ducks for Easter pets. Lots
Of people buy these pretty
things for their children
thinking Of them only as
temporary pets TO be played
with and then given TO the
Zoo.
What is not recognized is
that the Zoo does not accept
any Of these Easter pets and
has not accepted any such
donations for years. Neither
Is II realized that chicks and
ducklings are not durable
pets for small children. Rab-
bits aren't either. for that
matter. The mishandling OF
these live toys" by small
children leads only TO the
animals having broken homes
and a sad death after break
ing the child's heart-a most
unfortunate memory Of a
very unhappy Easter.
II you want 10 give your
child an Easter pet. please
have someone or someplace
that will accept the pet when
Momma tires Of caring for
II and be sure that the child
Is old enough 10 handle the
creature with care. Thus
much sadness and pain can
be avoided.
Ethel Quilllan Blxby.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-07
Home Rule Hitch

The Stars opposition In the past to
most "home rule" bills for the District
has sprung from a real concern that
their enactment would serve to discour-
age, rather than encourage, the payment
of an equitable share of the expenses Of
the city by the Federal Government.
Now the President once again has sent
Congress a home rule bill which, If
adopted as proposed, would seem to
meet that objection.
This latest bill, which differs only
slightly from the administration version
proposed year ago, contains a specific
and generally fair formula for measur-
ing the size Of the annual Federal pay
ment. The essential feature of the for
mula, however, as far as home rule is
concerned, provides that these funds,
automatically determined each year
by the formula, would be advanced auto
matically to the District Of Columbia
from the United States Treasury, with
out further action by Congress. If Con-
greSs will commit itself to meet its fiscal
obligation to the District through this
or some other equally acceptable pro-
vision as part of the home rule bill,
we would support the measure. Without
the inclusion-and final enactment-of
such binding commitment, however, we
would persist in our opposition to home
rule.
Congress has defaulted year after
year on the insufficient Federal payment
amounts which 1t has authorized by law.
And 1t makes even these inadequate
funds available only after the desperate
urgency Of the need has been painfully
proved and proved again during COM
mittee hearings and congressional de-
bate in connection with the annual Dis
trict budget.
Our basic concern about any new
home rule bill is that Congress will not
permit the District authorities to make
their own budgetary decisions - and
then support them to the extent of the
Federal fiscal assistance which would
result from application of the proposed
formula. Without this commitment and
this support, home rule could be more
than snare and a deluSion. 1t could
be disaster for this city.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-07
Viewing Americas Future

In the minds Of most Americans Of
middle age or beyond, the year 1000
seems bit too remote to warrant great
concern about how the Nations supply
Of land and other natural resources will
serve the needs of that years population.
But If this casual attitude is justified
for some Of the older folks, 1t cannot
be so for those who have every reason
to expect to be toasting the arrival of a
new century less than 81 years hence.
This is, in fact, not very far away, and
1t is by no means too soon to give thought
to the living problems Of that day.
Resources for the Future, Inc, a
nonprofit research corporation financed
by the Ford Foundation, has now re-
leased the findings Of a five-year study
in depth Of this matter, with the en-
couraging conclusion that no general
running out of resources" in this country
is likely during the remainder of this
century or even for long time there
after. At the same time, the research
group qualified this conclusion in sew
eral important respects-warning that
oCNCAC bCHlpOldAJ dllu LCBlOlldl ollOIJdBcS
Of some resource products may develop.
Using the Census Bureau population
projection Of 331 million by year 1000,
the researchers speak confidently Of the
ability Of available cropland to produce
all the food and fibers needed during the
next 40 years. Even so, they add, cumu-
lative demands for land-for expanding
cities, highways, airfieldS, reservoirs, wa
tersheds, recreation space and so forth
will be so great as to create "land def
icit" by the turn Of the century. In this
case, they suggest multiple use" as one
solution.
While seeing no prospect Of water
shortage on nationwide scale, the study
did pose some problems OF a regional
nature. In the East, for example, there
is no concern about quantity but very
real concern about pollution Increased
storage capacity and more effective
treatment OF wastes are two Of the rec
commended efforts. The West with a
much smaller normal supply, will need
not only new dams, reservoirs, long dis
lance water transport systems, desalini-
cation and conservation programs, but
also what the research group calls a