Old Age Pension Law Os
Some Kind To Be Passed
But lownsend Measure Is Ridiculous and Wholly Im
practicable and Constitute s Violent Form of Infla
tion, Penalizing Thriftiness, Babson Says
BY KOCRR w. BABSON,
Copyright 1935, iMihiisliers
Financial Bureau.
Bab.-on Hark, Fla., Jan. 18.— Some
rentiers may regard the Townsend old
:,<;e pension plan as another white
cib"it. while others may honestly be
deve that the scheme is a true social
panacea. All, however, must recognize
that it has created a powerful interest
ftrmi the Pacific to the Atlantic in
the subject of old age pensions. Th?
discussion already aroused shows
dearly that there is a tremendous
pressure in this cotin try today for the
passage of some form of old age so
cial security.
B*oo a Month at Sixty
Fii-u. let me briefly outline the
plan, it proposes to give a pension of
v?iK) per month to every person over
1 ixt.y years of age having no crim
inal record. The recipient promises,
under oath, that he or- she will not
engage in any further gainful labor
and that he or she will spend the S2OO
during the month within the T T nited
States. The plan is based on the
theory tha* each person spending S2OO
a month creates a job for one or more
additional workers. About 8.000,000
would he expected to accept the pen
sion. I fence, Townsend adherents al-
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STEVENSON™\.
The
Business Needs
of four counties in the Henderson
district have shaped the facilities
and services of Citizens Bank &
Trust Company for forty-five
years.
When you open an account with
this strong bank, you find it al
ways desirious of making its
work match with your needs and
preferences.
Here you are sure of personal
service from a business bank.
(It izens Bank & Trust
Company
HENDERSON, N. 0.
On January 22. 1035 we will have been
in business forty-six years.
I lf> ge tire plan would open jobs for at
1 * eas t 8,000.000 people under sixty.
How does Dr. Townsend propose to
; finance his scheme? With 8.000.000
people reeeiveing S2OO each a month
; the annual cost would be $19,200,000.-
000. Townsendians estimate that a
manucaturers"’ sales tax of from
t\e to fifteen per cent would he nec-
I to 'tnnce the plan. The sl,-
' 6 °o-900.000 required for t.he first
mouths operations of the pension
would be raised through the usual
methods of government financing,
j Townsenders see a tremendous sav.
, ing in certain directions. For exam
ple. through the elimination of pre
(sent pension systems, of poorhouses,
and through a sharp drop in crime
| costs. But in addition to these sav
ings, Townsend crusaders see costless
operation when th P scheme is once
under way.
Purchasing Prosperity
These people claim that their pen
sion plan will end the depression
abruptly and permanently. Thev feel
tha* our problem today is simply to
create more purchasing power and
prosperity will return posthaste. With
oldsters obligated to spend $19,200.-
000.000 a year, there will be created
| such a gigantic demand for all kinds
of goods that idle manufacturing
plants will immediately be forced to
operate at capacity. The sting of the
financing tax will be eased by out
swift journey to prosperity. Some en
: thusiastic exponents even claim there
i will never be another depression—
"humanity will forever be relieved
from the fear of destitution and
want." and hence “the genial sun of
HENDERSON, r (N. C.) 15AILY DISPATCH, FRIDAY, JANUARY 18, 1935 '"rsw
kittle #) Sister
w by Margaretw/ddemer *
READ Tiff* FIRST:
Leila Madison, an orphan, ha*
been trying to halt the elopement
of her reckless young sister, Bet,
with Addison Huntingdon, a roman
tic radical. Jerry Redmond, a news
paper reporter, has been aiding Leila
because of his friendship for Addy’s
brother icho teas Jerry's college
roommate. They are all at Leila’s
. Westchester home where Addie and
Jerry meet Aunt Minnie and her
neighbor, Mrs. Johnston-Tledges,
mother of Orton, whom Leila ex
pect* to marry. Aunt Minnie tells
Addy about the Improvements and
how the old residents of Fern wood
Manor are trying to keep their bath
ing beach exclusive property. This
shocks Addy s socialistic philosophy.
On an outing with Jerry, Leila finds
he) seh in a ticw world. He embraces
her but as he bids her goodby he
abruptly brings them botfi back to
earth. Addy decides to stay on at
Fernwood Manor to fight Mrs.
Johnston-Hedges and her group on
the bathing beach issue. He an
nounces he has bought property with
Bets bonds. Aunt Minnies savings
and money borrowed from Jerry to
pain enough new property owners
!o swing the bathing beach election
for the “less privileged’'. India is
prcatly disturbed because their
money is gone. Then Orton phones.
Orton and Leila arrange to talk
over Addy’s new venture. Mean
while Addy persuades Bet to do
*ome housework for- a change.
When T.cila meets Orton, he men
tions Mary Martin, wealthy Fern
wood girl who has just returned
from Europe. Leila dislikes her.
(A'O W OO ON WITH THE STORY)
CHAPTER 29
ROBERT MARTIN had been a
commissioner in Manhattan, in the
days when graft was a perquisite,
not something- the papers made an
inconvenient row over. His first
step in the right direction had been
the purchase of the estate in Fern
wood. Fernwood had proved a little
too slow of attainment, and not suffi
ciently scintillating; they should
really have bought in Southampton;
except that Fernwood Manor, to the
people who knew, meant more. In
Southampton nobody would ever
have mentioned, except as a good
Joke over the third cocktail, that
Mrs. Martin’s perfectly honest past
was that of a pretty Slav waitress
in an off-the-arm vegetarian restau
rant. where Bob Martin, then a
mayor's rising young henchman, had
strayed by mistake, seen and loved
her. In Fernwood the elders still
remembered, though the girls, who
mostly too’; half-time hat shop jobs
for fun when they could manage it.
thought it cute. Indeed, in spite of
the older arbiters of caste, the per
son who suffered moot over Mrs.
I
human happiness will disipate the
j dark clouds of distruct and gloom and
! despair.”
Now, what are some objections to
this “catchy'' idea? Will theie be
more goods to divide? We get richer
only as we produce and save more.
Young people now out of work could
not replace the ability and training
of those over sixty, who are still pro
ducing. The burden of those now try.
ing to earn their way and raise fa- i
milies would be multiplied. The Town- |
I send plan is really a scheme to tax ;
! those under sixty to support those
ever sixty who have failed or refus
ed to be thrifty. It entirely ignores
the importance of saving- as a means
! of creating capital. Yet most of the
blessings which every one has today
j are due to the thrift and “saving for
; old age” of our ancestors.
Morally Destructive
j I also feel that Dr. Townsend’s plan
' from the moral angle, is dangerous
! and undermining to character. Na
j turally. I believe that the aged in dls
| tress should be given succor and pro
j lection. To support the aging father
; and mother, however, is one of the
i sacred duties and obligations of fam
ily life. Basically; Dr. Townsend’s
plan takes no recognition of integrity,
courage, and ability. It is simply an.
other of those special paneceas which
encourage shiftlessness and careless
ness and which penalize industry and
I thrift. Industry and thrift are the
1 basis of civilization. If we remove
j the incentive to work and save, we
are undermining the nation.
Stripped of its masquerade cloth
ing, the Townsend plan is nothing
more nor less than inflation traveling
incognito—the age-old idea to make
money cheaper. If Congress should
pass this plan tomorrow, we would
have a boom of exactly the same type
as if Congress voted to distribute $20,-
000,000.000 of paper money to the pub
lic. Prices of goods would go up. The
cost of living would soar. Those work
ing on salaries and wages would
greatly suffer; while those depending
on investments for their income
might be ruined. The nation’s income
is measured in goods, not dollars.
Raising prices does not bring pros
perity. The scheme is a new frosting
for the old delusion that we can spend
our way back to prosperity.
Principle of Old Age Security Sound
It is not an original discovery of
Dr. Townsend’s that provision for
the aged needs attention. Insurance
companies have been attempting to
make the United States “old.age-se
curity-conscious’’ for years. Their
statistics show that out of one hun
dred persons who have reached the
age of sixty, only eight are financially
independent. Seventy-eight are whol
ly or partially dependent upon their
earnings, while the remaining four
teen are dependent upon charity. Na
turally, in periods such as the pre
sent, the problem is even more acute.
So I strongly feel that Dr. Townsend
is in the right church, but I feel
equally strongly that he is in the
wrong pew.
There is a vital need for the en.
actment of some uniform old age pen
sion system. Twenty-one states have
adopted programs since 1930. The
drive; for old age security has gather
ed terrific momentum under Dr.
Townsend’s plan and I doubt if it
will ibe stopped short of a Federal
law this year. Under any pension pro
gram. I feel that the individual must
" contribute a portion of his pay each
2 week to a general pension fund. Thus
■ at retirement age the pensioner would
Martin's industrious past was Mrs.
Martin. She did her best; she had
never lifted any article for herself
now for 20 years.
Mary never suffered over any
thing, so far as one knew. And she
was, as has been mentioned, Orton’s
one wild oat. On the last Martin
descent, Orton being then just out of
college and Mary 17, and Leila hav
ing then no wishes or ideas about
him, there had been a brief, mad
rush on the part of Mary and Or
ton. But whether Mary’s mind had
been on higher things, such as Aus
trian counts or Georgian princes, or
whether Mrs. Johnston-Hedges, who
moved in a mysterious way her
wonders to perform and generally
performed them, had successfully in
tervened, Mary had flitted suddenly
as always to the proper play-place
of the moment, (it was Majorca,
just coming in.) Orton, calm to all
appearances, had made a superb
record at the Fernwood races. And
that was that.
Nevertheless, ail of Orton's old af
fair with Mary went swiftly through
Leila’s mind; and such is the hu
man race, it made her turn to Orton
with a brighter smiie, and proceed
to make herself gayer and more de
lightful than she had known she
could be (always in words of one
syllable) all the way to the links,
and all the way around 18 holes. It
wasn’t so bad having a delighted, a
devoted Orton beside her, admiring
her good strokes quite as fairly as
he painstakingly dissected her bad
ones.
"It's your putting is the trouble,”
he finally decided. She saw now
that he had really been giving hours
of serious thought to her game.
"Your long strokes are all right.
But you want to take a couple of
hours every morning and work over
it. Tool over here and get the pro
to give you a couple of lessons.”
She was on the edge of pointing
out that neither time nor money to
do this were hers; when it came to
her, first, that the future wife of a
Johnston-Hedges had to putt as well
as she did everything else; second,
that after all, Orton would be sup
porting her handsomely when she
was that wife; and third, that the
more she left undone at home the
better it would be for Bet. who would
under Addison's firm hand do her
share of the world's tasks as to the
housework. Oh, it was all neatly fit
ting into the pattern. A chessman
might as well have tried to roll off a
chessboard and turn into a grass
hopper.
"Will you speak to the pro about
it?" she said casually. “Make an
appointment for me to start in with
the lessons.”
He beamed. Up to now sugges
tions like these had got him no
where with Leila. She had always
said she couldn’t afford, it.
“I’ll do that. I'll tell him wb at T
be receiving an annuity which he has
purchased with his own savings rath
er than a public dole. This would elu
minate the moral pitfalls as well as
the economic hazards of the Town
send plan.
Business, as registered by the Bab_
sonchart, is now 12 per cent above
a year ago, but still 25 per cent be
low normal.
State Senate, 41-2, Asks Con
gress for Payment of Bonus
(Continued from r-age One.)
matters receiving attention in the
General Assembly today.
Both House and Senate will hold
i only perfunctory sessions tomorrow,
| and the big committees will not get
down to work again until the Tues
day morning meeting of the joint fi
nance group.
Merchants have petitioned for a
hearing before the joint finance com
mittees next Thursday.
Representatives of outdoor ndver.
Using concerns have also filed re
quests for a hearing, but no date has
been set.
STATEMENT OF CONDITION
Henderson Building and Loan Association
Os Henderson, N. C., as of December 31st, 1934
(Copy of sworn statement submitted to Insurance Commissioner
as required by Law.)
ASSETS
The Association Owns:
Cash on Hand and in Banks /$13,818.54
Stock in Federal Home Loan Bank 2,000.00
Mortgage Loans 99,903.49
Money loaned to shareholders for the purpose of enabling
them to own their homes. Each loan secured by first mortgage
on local improved real estate. *
Stock Loans • 7.307.50
Advances made to our shareholders against their stock. No
loan exceeds 90 per cent of amount actually paid in.
Accounts Receivable ... *. 806.42
Temporary Advances for Insurance, Taxes, Etc.
Office Furniture and Fixtures 100.00
Real Estate Owned 15,189.83
Other Assets 3,100.00
TOTAL $142,226.08
LIABILITIES
The Association Owes:
To Shareholders
Funds entrusted to our care in the form of payments on stock as follows:
Installment Stock $88,529.00
Prepaid Stock 28,400.00
Paid-up Stock NONE $106,929.00
Notes Payable, Federal Home Loan Bank 11,000.00
Undivided Profits 12,297.08
Earnings held in trust for distribution to share-holders at
maturity of stock.
Other Liabilities 2,000.00
TOTAL $142,226.08
STATE OF NORTH CAROLINA
COUNTY OF VANCE, ss:
Al. B. Wester, Secretary-Treasurer of the above named Association person
ally appeared before me this day, and being duly sworn, says that the fore
going report is true to the best of his knowledge and belief.
AL. B. WESTER.
Sworn to and subscribed before me, this 11th day of January, 1935.
GERTRUDE F. HARRIS, Notary Public.
think is wrong with your game, and
he can put some special work on it.
The pro thinks a good deal of my
judgment.” said Orton, who was one
of the Country club’s standbys when
the moment of extra assessments
came periodically along.
“He would,” said Leila absently.
Orton thought so too.
She went on playing up to Orton
for two solid hours. It was an
amusing game at first, but it palled,
presently. By the time they had
finished and she had been genially
sent off to change for dinner, she
was on the verge of rebellion. After
all, did the correct stance matter so
intensely? Did high capacity at
games, did doing the smart thing
smartly, outshining other peoplo,
matter? It seemed little. It seemed
even sordid and petty, contrasted
with the life outside all this. Thero
i was a world where big things were
' happening. She was young, it
would be her world. A world whero
i anything might happen, where des
tinios and empires were as uncertain
i as the toss of dice; w-here you might
| w aken under new skies, see strange
I faces, know what somebody had
j called “the bright face of danger**
! and rejoice in it.
j Here was Orton. Here he would
• be. genial, immutable, just as be
i was now, for tiO healthy years to
i come; sleeping at her side, coming
; back to her at night, molding her
more and more into a sporting and
. smart edition of his mother and hts
| grandmother and his great-grand*
| mother.
j "No—no—no!” Leila cried inside
. herself, dashing into the ladies’
! showers, tearing off her clothes and
i jerking on the water. There w r ere
j Mayan temples, there were dusty
I Chinese roads, there w-ere strange
toppling empires. . . .
And then, from the next shower
cubicle rose, unmistakable, the high
, doll-voice that belonged to Mary
J Mart in.
“Oh, I don’t know-, Kay. Might
i be a thrill after all to take on good
old Orton. Please the ancestors.
| And have 1 the technique? Darling,
yes. What was good enough for
< Ouke Serge Kolosky ought to do for
! Ortie, the millionaire pride of Fern
< wood! ”
"Oh, Mary, you’re a scream!” said
; the admiring voice of the satellite
! addressed.
A ell, if I da say it. I have away
! with men that’s a honey. And it
j would be particularly hot to snoot
j the mater —the old lady told me once
! I wasn't her eugenic ideal. Can you
| tie that, Kay?”
“What did she want you eugenic
1 for?”
“To hear scions for the noble
: house of Johnston-Hedges. Can you
i beat it? I told her that didn’t enter
! into it. So I think I'll pick him off
I the bough tonight. . . .**
' no iin CONTIN UED)
Under a committee ruling, the time
for public hearings will expire next
Friday unless week-end sessions are
held or the time extended.
A joint resolution empowering the
governor to appoint a commission to
study the matter of pensions and re
tirement for teachers and report to
the 1937 General Assembly was re
ceived in the Senate.
A biH was given the House to call
a referendum next July to vote on:
1. Retention of the State’s hone dry
liquor law.
2. Sale of liquor by the State in
quart containers.
3. Sale of package liquor by mer
chants.
Electrocutions would be abolished
and capital punishment by hangings
Chest Colds
Don’t let them get a strangle hold.
Fight, them quickly. Creomulsion com
bines 7 helps in one. Powerful but
harmless. Fleasant to take. No nar
cotics. Your own druggist is author
ized to refund your money on the spot
if your cough or cold is not relieved
by Creomulsion. (adv.)
iin the counties where crimes are
committed substituted under a mea.
sure sent up in the House.
The House also received another
automobile license reduction bill.
A House (bill to place public school
teachers under the workmen’s com
| pensation act was reported favorably
i bv the House committee on insurance.
.
I
Around Town
One License Issued —One marriage
license was issued by the Register of
Deeds, that to a colored couple from
Route 3, Henderson. They were J,
Charlie Ta..yior to Cora Quinitchette.
Two Beds Filed—Two deeds were
| filed yesterday with the Vance Reg
istr>. Earl Wade, et. al conveyed to
!J. C. Hart and wife 23 acres of the
! G. W. Wright land on the Oxford
ioaci for SIOO and other considera
tions.
R. G. Kittrell. Commissioner, sold
j to W. J. Alston, et al, for $lO5 a lot on
; the north side of Spring street to the
rear of Scoggin Chevrolet Company.
One Case TTied—One case was tried
j by Recorder R. E. Clements with two
| defendants figuring in the action.
Both were hailed into court as result
! of an automobile-wagon w r reck and
both xvere colored.
Horace Hamilton was charged with
driving a wagon upon the public high
ways without proper lights and Ver
non Rogers was charged with reclt
i l ess driving and damaging Hamilton’s
wagon. Both guilty and were taxed
with the costs.
EFIRD’S
Will Save You Money
With These Timely Values
A new store with brand new stock, selling j
goods you want and need at the lowest
possible prices—an Efird policy.
Shoe Values
One lot of ladies’ oxfords, brown <jj|
or tan. Special per pair *
Ladies’ black or tan Treebark $9 QC
ties. Special at
Children’s oxfords, all styles and sizes,
medium and light weight, pair,
97c $1.94
Complete line of men’s oxfords in \
black or tan, all sizes,
$1.94 *» $3.95
Look At These Men!
Broadcloth shirts, solid. Men’s overalls, sizes from
stripes and fancy patterns, 34 to 46, good long wear
all sizes and a real value at ing quality. Special at
97c 69«
Men’s dress shirts in Men’s socks, gray, black
stripes and colors, well and fancy combinations,
made and full cut. Spe- 22c pair or
5 Pairs for $1
One lot of men’s fancy
Boys’ overalls, sizes 8 to 16 socks, all colors and fancy
years, very special at patterns, pair
39c is.
Men’s Heavy Sweaters, Special at $1.45
Men’s Suits
Newest styles, best materials
and fine tailoring.
One group of 100 suits in One lot of suits, all good
grays, blues, browns and Patterns in newest styles,
checks. Special at worth much more but we
offer them special at
$16.50 $9.95
EFIRD’S
‘ 4 Henderson’s Newest Department Store”
PAGE THREE
Hugh Lofting, author and illustra
tor. born in England, 49 years ago.
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