Proposes Rural Social
Security Minus Red Tape
Simple Stamp Plan Evolved to Record Modest
Beneficiary Payments and Avoid Com
plicated Bookkeeping Duties.
By BAU
Newt Analyst ai
WNU Service, 1616 Eye Street,N.W.,
Washington, D. C.
There are 7,148,422 specimens of
wildlife in the United States?not
wildlife as represented by the re
cently vindicated Esquire magazine
?but big game animals like deer,
buffalo and mountain goats. The
fish and wildlife service counted
them, canvassing the wide open
spaces to do it.
Prof. Murray R. Benedict of the
University of California has been do
ing some counting too in the wide
open spaces, or at least down on
the farm, and he came up with the
conclusion that In 1939 more than
half the farm owners in the coun
try raised less than )750 worth of
products on their land. Consequent
ly these low-income farmers, and a
great many other farmers in only
slightly higher income brackets,
find it almost impossible to save
money toward the time when they
can no longer work. They are har
assed by a feeling of economic in
security?the kind of economic in
security which President Truman
recently said was tending to break
down family life in this country.
Mr. Truman suggested that perhaps
we ought to have a "Bill of Rights"
for the family as well as for the
individual.
Professor Benedict doesn't sug
gest a Bill of Rights for the farmer,
but in a pamphlet entitled "A Re
tirement System for Farmers" he
does suggest that the farmer be in
cluded in the federal social secur
ity system.
The farmer earning no more than
$750 from the sale of products would
be listed as a self-employed worker
making an assumed net income of
$400. He would pay into the social
security fund 2 per cent of his in
come each year, and to make the
yearly payments a little easier to
take, the farmer would use a stamp
book, buying social security stamps
to paste In whenever he had some
spare cash.
Farmers who earn $750 or more
can follow the same procedure.
They are given a standard deduc
tion based on how much they earn.
For example, those farmers earn
ing between $750 and $1,000 get a
$300 deduction; there's a $400 de
duction for the next highest group
and so on. They take their deduc
tion, make the simple report of net
income, and that's that.
But some farmers may insist that
their expenses exceed the deduction
allowed them. That's okay with Mr.
Benedict. For them, he would pro
vide a separate form so the farmer
could list his actual expenses and
deduct them.
Farm Handt
Alto Covered
All this applies to (arm-own
ers. Bnt perhaps the farm own
er, Jake Dnncan, has a helper,
Tom. Tom Is a farm wage-work
er, and if Mr. Benedict has his
way, farm wage-workers like
Tom would be treated much
the same as industrial workers,
insofar as social security is con
cerned. That means Jake, the
employer woeld deduct Tom's 1
per cent from his wages, add
his own payment of 1 per cent
to Tern's 1 per cent and trans
mit to the government at
the end of each quarter, the
funds and a certified statement
et wages paid.
Hero again, Mr. Benedict wanta
to aave Jake, the employer, from
long nights spent at the rolltop desk
pouring over social security rec
ords He suggests as one way to
eliroinata paper work, a stamp book
system. Tom would get a stamp
book from the post office. Each time
Jake pays Tom off, Jake would af
fix and cancel the proper stamps.
That's a painless way of recording
payments.
Mr. Benedict doesn't think that
nine million farmers and farm
workers can be brought into the so
cial security system overnight.
Neither does he predict smooth
sailing right from the start if they
were brought in. It will take time
and a tar-reaching educational pro
gram.
The Idea of including (arm
ors under the social security
r Is net a new one. Most of
Important farm organ fla
ttens have okayed the Idea; both
presidential eaadidates en
KHAGE
?d Commentator.
dorsed II in the last election
campaign, the social security
board last month broached the
subject to congressional atten
tion once again, and there is a
bill which woold accomplish it
?the Wagner - Murray - Dingell
bill. This bill was sent to the
bouse ways and means commit
tee on May 24, 1945, and It's
still there, gathering dust. It Is
doubtful that the committee wlU
take any action unless some
pressure Is brought to bear by
interested parties.
Of course, there is opposition to
the idea in some quarters. Some
persons who oppose including farm- '
ers, and other workers not now in
sured, advance the nation-can't-af- I
ford-it argument. They say that as
more and more persons in occupa
tions covered by social security
reach the retirement age, the
amounts paid into the trust fund
aren't going to be sufficient to pay
them off, unless the treasury digs
down and adds public funds.
In 1939, the lawmakers threshed
this out and came up with a plan
to make the fund continuously self
supporting. They decided to make
the contributions high enough so
that the government would not have
to help out. They agreed to keep
the present 1 per cent from em
ployee and 1 per cent from employ
er rate until 1943 After that, they'd
increase it to 2 per cent each; then
to 2.5 per cent; then to 3 per cent
from 1948 on. However, congreaa
deferred the rate increase dur
ing the war, and hasn't ever gotten
around to upping it. Unless rates
are increased, undoubtedly the
treasury will have to shell out in
future years, when the system gets
Into full swing. And if farmers
and other presently uninsured work
ers are brought in?undoubtedly the
treasury will have to shell out more.
Other Aid
Now Topi Billion
Consider what the government is
already handing out to support aged
persons not covered by social se
curity. The costs of old-age assist
ance and aid to dependent children
from 1933 to 1944. to the country,
added up to a tidy billion dollars.
And costs will continue to go up as
the average age of the population
rises. All of which means the gov
ernment has dispensed almost a bil
lion dollars in charity topersonswho
might, had they been able to make
regular social security contributions
during their working years, have
been able to get along without such
charity.
Other opponents foresee the
farmer bogged down in an ava
lanche of government question
naires, financial reports, lists, i
ledgers and statistics, should he
be made a participating mem
ber of the social security sys
tem. But under Mr. Benedict's
plan, the farmer's duties to his
government where social secur
ity is concerned are a minimum.
He won't have to keep detailed
farm records. The reports he
does have to make are simple
ooes. As a matter of fact, if
he uses the stamp plan to take
eare of his employee's social se
curity payments, he won't have
as much paper work as Indus
trial or professional employers
have.
Still another argument is ad
vanced by people who predict
glomily that if workers ara as- '
sured of a regular income from
social security after retirement,
they won't work; they won't save
during the years they can work.
Mr. Benedict thinks that argu
ment Is as ancient as the recon
structed dodo in the Smithsonian in
stitution. Social security benefits, as
set up now, will certainly not buy
retiring oldsters any mink coats or
Cadillac coupes. The benefits are
very modest ones. Any sensible per
son can see he'll have to have some
other resources besides social se
curity if he wants to live at any
level above the barest minimum of
subsistence when he reaches retire
ment age. He'll save money, try to
accumulate property, perhaps carry
private business Insurance too. But
if he can't save, and it's not only ,
the farmers who can't, social se
curity benefits in later years may
keep him from becoming a public
charge.
BARBS ... fey Baukhag? I
While the trouble* ot thi* world
continue, our adontista insist on bor
rowing mora, even if they have to
go to the moon to do it I suppose
?a soon aa the United Nations abob
iabaa war, we'll begin to have
trouble with the Martian*, and it
will take another couple of miOania
before wo gat the United Planets to
* aM^doem and talk thing* ovar
' ? - ?
During the senate questioning at
Edwin W. Pauley (nominated for
undersecretary of the navy) former
Interior Secretary I ekes managed to
anoint Pauley's head with oil?and
not in the biblical sense.
? ? ?
Better Mouse Trap department:
Latest Invention ... a comb that
spraya hair tonic as it combe. Only
thy bold can live the simple life.
?
TUGMEN VOTE ON COMPROMISE ... The 10-day tugboat tieup that
ihut off fuel supplies in New York City and curtailed nearly all business
activity ended when the owners of the 400 tugs and the union agreed
to arbitrate before a three-man board. Members of the union are shown
outside their headquarters as they voted on compromise measure to
return to work.
THINK WE'RE GOING TO LIKE THIS PLACE . . . Showing various
emotions these three youngsters, shown shortly alter their arrival from
England. They will make their homes with their G.I. Dads in Cali
fornia. Left to right: Patricia Conn, bound for San Jose, Calif.; Thomas
Hoeker Jr. and Frances Karrman, who will both become citizens of
Los Angeles.
'IKE' TELEVISION STAR . . . Smiling .tody of General of the Army
Dwight D. Elsenhower, C. 8. army chief of staff, was transmitted by
television from Washington to New York City daring the Lincoln memo
rial services. This was a test of the new inter-eity coaxial cable, and
proved the possibilities for television photographs for current news events.
BOBBY HAS POSSUM PET . . . Bobby Underwood. ?, Detroit. Mich..
Is always ntfrbBf Ms family by bringing kmc strange pets. They re
cently made Mm get rid nf tire eats, a rat, rabbits and a rattlesnake.
The next Bay he shewed ap with the possam shewn la his arms. Bebby's
two-year-aid Beg Bees ant iateaB to aaseeiate srith a pes awn, according
is Ms tilted ehM.
ICKES TAKES A WALK . . . Bar
old L. Ickes, the "Old Curmudgeon,"
resigned from President Traman's
cabinet, with bitter attack on Cali
fornia oilman, Edwin W. Pauley,
nominee to naval post. Ickes
warned of new "Teapot Dome."
TASTES LIKE BREAD . . . Clinton
P. Anderson, secretary of apical- ,
tare, wno recently issuea aarK
bread order, is shown as he tried
oat the new 80 per cent rate bread.
He says it looks and tastes like
regular bread.
1
REMAIN FOREVER . . . Reports
i from Japan indicate that Emperor
Hirohito will remain the permanent
bead of the Japanese government.
Photo shows him in one of the few
pictures in which be wore civilian
attire.
SOUTH ELECTS WOMAN . . . Mrs. I
Helen Douglas Mankin, who was j
elected as Georgia's first woman c
representative in a special election
to 111 the unexpired term of Rob
ert Rams peek, who resigned. She
won over IS candidates.
BLOLOCK YOUNGSTER . . . Cork
tj Eraeh, t, Toledo, Ohio, who has
been takes to Bootao to nder(i the
laooa Bloloeh operatioD. Doe ton
discovered that ha hod oo veto lead
tog trooi his hoart to hi* lugs.
" < t
I 1 -? 0 ' taJ
STEEL CARTEL FILES
WASHINGTON.?Dozens of G.I.
investigators have been working
since the shooting war stopped to
help win another war. This is a
war against international big busi
ness. which recognized no national
boundaries, which used countries
only as market divisions for its
products, and which at one time aid
ed Hitler, Mussolini and Hirohito just
as much as it did France and Eng
land.
What the G.I. investigators have
uncovered in Germany is a tribute
to Nazi thoroughness and to the
gullibility of American big business.
For what it amounts to is a world
plan by which Germany expanded
its industrial capacity for war while
simultaneously curbing the industri
al capacity of this country and other
potential enemies.
And the names of the same men
who have been dickering with Tru
man over steel?Ben Fairless, Eu
gene Grace, et al.?have turned up
in European files as part of the car
tel which unwittingly played into the
hands of the Nazis. It is a story
which the leaders of the steel in
dustry would like to forget. But
the justice department hasn't for
gotten it.
American participation in the
steel cartel was decided upon as
late as 1937?when there was no
longer any doubt regarding Hit
ler's warlike intentions. By that
time he had already invaded the
Rhineland, showed his hand by
sending arms to Franco, and boast
ed openly in speech after speech
that Germany would dominate Eu
rope?
i nc sieei cartel nies, seizea
in Luxembourg, reveal that S.
M. Bash of Bethlehem Steel
and A. C. Mnndle of U. S. Steel
took the initiative in binding
their companies to the cartel.
Four months later an agree
ment to divide up world mar
kets was reached.
ANTITRUST ACT
The steel barons were careful
I bout the Sherman antitrust act,
towever, and the minutes of the
June, 1937, meeting reveal that no
written agreement regarding U. S.
markets was concluded.
In February, 1938,a delegation of
European steel men came to the
United States.
"Our representatives," the
Luxembourg files showed, "ob
tained a very clear declaration
of responsibility for the agree
ments from" Messrs. Eugene
Grace of Bethlehem Steel, Ben
Fairless of U. S. Steel, Rufus
Wysor of Republic Steel, Frank
Purnell of Youngstown Sheet
and Tube, M. Hackett of Jones
and Laughlin Steel, Charles
Book of Armco International,
William Holloway of Wheeling
Steel, Robert Woleott of Lukens
Steel, and Ernest Weir of the
National Steel corporation (Weir
ton and Great Lakes steel).
Also included in the American
'roup were Inland Steel, Newport
tolling Mills, Pittsburgh Steel, Otis,
ind the Allan Wood company.
SACE FOR WAR
What the steel barons agreed to
vas not only a division of markets
>ut arrangements for price-mainte
lance. Quotas were set regarding
he total production of each partici
sating company, with fines levied
igainst the firm if it exceeded its
piota.
However, here is the pay-off. The
lermans always exceeded their
luotas, after which they politely
laid their fines and then kept on
ipeeding their output of steel in the
?ace for war. Meanwhile, American
ind British firms stayed within their
luotas and kept down their war ma
:hine.
In contrast with the Germans,
American firms, when they exceed
ed their quotas, were contrite and
ipologetic. For instance, here is an
tern from the steel cartel minutes
if April 18. 1939, which read:
"In regard to a recent ship
ment by the American group to
Belgium, i.e., a home market,
the American representative
stated that he was taking this j
uimtcr up Willi US group III
order to avoid a recurrence."
How the cartel worked is also il
lustrated by a cable sent by Eugene
Grace of Bethlehem Steel to Sir ?
Charles Wright in London, dated
January 12, 1938, which read:
"Glad to have your message and
talk with Elliot. I feel sure there j
will be no question about perform- !
ance of member companies. Our |
only difficulty will oome from out
side and uncontrolled interests. It |
will be our hope to protect prices j
and bring all influence possible on
uncontrolled interests.
CAPITAL CHAFF
Bob Hannegan will soon launch
in all-out drive to get the Presi
dent's legislation program passed
on Capitol Hill. ' Hannegan's first
target will be the minimum wage
bill increasing minimum wages to
55 cents an hour. . . . President Tru
man has begun a major shake-up of
the White House staff. The first to
[o was George Allen who becomes
in RFC director. Next will be an
other Hississippian, the President's
oaval aid, Capt. James Vardamann
!r., who will become a member of
be Federal Reserve board.
CLASSIFIED
department
BUSINESS b INVEST. OPPOa.
Want Help to FIbibci Health Resort. Have
640 acres with miracle spring, adjoining
Rogue River. Ore. Sample spring water
with pictures, prints, full particulars SI.
Bes IBS? - Saa Fraacisce. Calif.
MISCELLANEOUS
Manafaetarers! Circulars mailed. Guar,
mail order buyers. $1.50 per thousand. SxS
and below. Commission circulars accepted.
Wa?. L. Fraahila. Bes S4S, Reek Hill, g. C.
Buy U. S. Savings Bonds!
Invest in Your Country?
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