( H t t t 4 u THE PERQUIMANS wimmV MMOTORD, N. C FRIDAY. APRJL1 22198& FACE TWO 'if" r 1 f5' I 'ft'f .4 i loo;u?;g AT WASHINGTON By Hugo S. Sims, Washington Correspondent Economic Picture Is Not Reassuring; Harts and Debate Fail to Make Sense The failure of business to improve and the apparent inability of industry to provide employment presents an economic problem to the nation. Recognizing the danger of a continu ous decline, President Roosevelt last week attempted to outline steps which the Government might tae to help the present situation. Already Congress had authorized the RFC to use $1,500,000,000 in funds already appropriated in making loans to industry and indeanitely ex tending the period within which these advancements can be made. Under immediate consideration was the ap propriation for work relief. Congres sional and WPA authorities estimated the outlay for the next fiscal year will be around $2,000,000,000. Under discussion and awaiting the develop ment of national sentiment was the proposal to use $1,600,000,000 in a new spending program designed to transfuse public funds into the ar teries of trade and industry. Exact ly how this "pump-priming" fund would be used was uncertain. profits were made under regulations, restrictions and taxes, which, if any thing have been lightened in 1938, the profits made in 1937 tend to disprave the allegation that the Government has wrecked business. On the other hand, some officiate, notably Harry L. Hopkins, asserts that monopoly and controlled prices have enabled business to take the cream of the Government's efforts and thereby pre vent the full success of the Govern ment's program. Business, however, in the face of declining activity, con tinues a clamor for relief from taxa tion and reform and the plaintive plea ie heard from various spokesmen that the President do something to remove fear by issuing a reassuring statement Altogether the economic picture of the country is extremely futuristic. To this observer, the recriminatory debate now going on and the facts do not make sense. Three Giant Industries Lag as Rail Problems Await Congressional Action Several weeks ago, we discussed the railroad problem, particularly in relation to the securities held by var ious institutions in the nation. . The It seems reasonably certain that . importance of the railroad industry, anv offort at "pump priming" will , nowever, io me economic weu-uems nut with serious opposition, ine attack in Congress will be based on the opinion that huge expenditures at this time will injure business and destroy confidence and that further increases' of the Government debt v-might led to inflation if not repudi--Ation. . These arguments will be em phaelzed by business interests with a of the country, cannot be over-esti mated. Ordinarily, the railroads pur chase twenty per cent of the capacity output of key industries as steel and bituminous coal, fuel oil and lumber. A million-odd employees in 1936 re ceived nearly two billion dollars in wages and another million men em ployed in industries working on notable exception in favor of the use I equipment orders earned approxi- of Government funds to aid ailing mately the same amount. It is easy industries, such as the railroads. to see what prosperity for the rail- ., .j.. tn' roads would mean to the recovery 'SSZntZS ' GovSiS ! which everybody is hoping for. spending. The spenders hold that the In February the railroads had an ' Government must pour out its money aggregate deficit of more than $40, 'to'nll the void" left by private cap- j 000,000 and since last June, their cash 3el. This they say, will provide on hand has dwindled by over $110,- purchasing power and permit con sumers to buy necessary products. As products are consumed, the need will arise for industry to make new products. This cycle, it is asserted, will lead to recovery. Opponents in sist that the importance of a Govern ment spending program is over-estimated, that even four billion dollara 000,000. Some of them have merely sufficient funds to cover ordinary day-to-day expenses and consequently no hope of buying needed locomotives and freight cars. To illustrate how the railroads' purchasing power has declined, figures show that in 1937, the carriers bought only twelve per cent of the steel industry's output, will nrM 1 than six ner cent to the This is proportionately about the income of the American people, and same share that they were able to add that additional spending, in-1 taKe in tne aarK year ivs&. oniy Mnr actional national debt, will are the railroads unable to buy neces- create uneasiness in the business com- sary rolling stock, but they sie un nninity and frighten away many able to buy materials and supplies, to times this amount in private capital. TaKe care oi aaequaie maintenance Meanwhile, it is important to real- expenses. iie that the country is not in the i Observers point out that the nation position it was in 1932 and early has three great , industries building, 1933. There exists a confidence in automobiles and railroads. Complete the safety of bank accounts, farmers are assured of a reasonable purchas ing power, WPA employment has re moved fear from the hearts of mil lions and there is no absence what ever of abundant capital resources. There is, however, one must admit, a definite antagonism between Govern ment and big business. The hostility between Government and business is extremely interesting. prosperity depends upon the profit able operation of these industries. Anyone of them can prevent a serious depression. When all three are out vi cai f as j aic vvuu j t wj i- v,v-v nomic state of the nation is certain to be bad. With housing only slowly and the automobile industry, over stocked on materials bought in the past, the importance of some recov- It has been emphasized by opposition ery on the part of the railroads is toward practically every reform ad- easily apparent. vanced by the Administration. It has The entire question was thrown been accentuated by increased taxa-1 into the lap of Congress by the Pres tion and efforts on the part of the ident three days after the House de- Government to use the tax weapon to feated h i s Reorganization Bill, force business and industry to accept While declaring "some immediate its program of reform. Business legislation" on the railroads is neces leaders, rebelling against this Gov- sary at this session, the President did ernment regulation, vigorously de- not tell Congress what the legislation nounce Government interference with should be. He transmitted the recom business and assert that, if let alone, mendations made by three Interstate private industry and capital will pro- Commerce Commissioners, together vide the means of successfully com- with considerable data, but refrained bating the business recession. from advising the Congress as to par- There are some strange angles to ticulars. Some observers saw in the the picture. Eaminra of many laree presidential action a left-handed re- corporations in 1937 set new re- touke, with the implication that the cords. In view of the fact that theseproblem afforded Congress an oppor- We Heartily Endorse the CLEAN-UP PALW COAlGtl And From Us YouTl Need ... ANTISEPTICS LOTIONS DISINFECTANTS :,- After the Work Perfumes Cosmetics VALKEfi'S Why Dothar about snack or meala at home during the Cara ptlfn? "Knock oft"- work for aa hour and com down tor tatty andwlch . . a rafraahlnf aoda ... a cup of the bat coffee in town . . . azactly the right thing for Janflcd nervaa and . weary bodle. . -v i- W use only the best of foods and beverages, and our lea cream , well, we think it's the finest in town. COMB IN AND REFBESJ3 r XUUK!UXJ"1 Giant Milk Shakes tunity to show its efficiency In direct ing; governmental afTaira. The President hai already made clear his opposition to: any subsidy to maintain present levels of employ ment, present wage ratea and present interest payments. . : Ha has insisted that there is no reason for the Gov ernment to guarantee ' nilroad reor ganization bonds and he has been positive in his . declaration against Government ownership and operation of the railroads. s Despite the interest and efforts of a few congressmen, there are slight in dications that Congress Itself will do anything effective to meet the rail road situation. Undoubtedly, there will be many bills presented to Con gress but few of them will be prac tical. It may end in some proposal to provide funds to enable the car riers to continue their business and repay the loans . if possible. If not, the Government will face the neces sity of taking possession of some of them and this will present the advo cates of Government ownership and operation with abasis for renewed agitation. ....W., .. . ; House Vote Hailed as Rebuke to FDR; Opponents Declare It Ends His Control j The Reorganization Bill, first brought foward in 1937, aroused very little interest. It had been generally conceded that some means were need ed to tighten up the Government in the interest of greater efficiency. When the measure was brought up in the Senate last month, telegrams and letters of protest poured into Wash ington. A barrage of criticism was directed against the President him self, who was accused of seeking dic tatorial power. When the Senate finally passed the bill 49 to 42 the President remarked at Warm Springs that "the Senate cannot be purchased by organized telegrams based on di rect misrepresentations." Subsequently, when the Bill was about to be considered by the House, the President issued a statement, say ing, "I have no Inclination to be a dictator." This, however, did not stop the attack -on reorganir'-tion. The telegrams and letters continued and most Observers became convinced that the bill, hot important in itself, had become a symbol of a determined effort to administer- a rebuke to the President himself. The President, who was working openly for the measure, undoubtedly exerted full pressure to secure pas sage. Although compromises had so altered the bill that it represented only 4 part of the Senate measure, the incessant attack was effective and the measure was killed by the vote of 108 Democrats, 88 Republicans, 6 Progressives and 2 Farmer-Latiorites. The final tabulation showed 204 to 196 in favor of recommit! ng the bill. Undoubtedly. , the controversy was seized upon by opponents of the President's political program as an opportunity to administer a personal defeat It is just as certain that some of the opposition within both houses of Congress was motivated by a personal dislike of the President. There can be no question of this when one considers that the bill defeated was much milder than other measures similar to its essential sections which were passed by the House in a special session last winter. While opponents of the President hailed his defeat as the beginning of the end of his influence and the term ination of his control over Congress, the President termed the question "solely one of policy." He concluded, therefore, that the defeat of the bill offered "no occasion for personal re crimination" and said, "There should be none." Despite this, the chances are fairly certain that the issue will rise again in the coming campaign. The President, it is felt certain, will carry the fight for his policies to the voters during the summer and early fall. BIRTH ANNOUNCEMENT Born to Mr. and Mrs. E. S. White, at their home at Belvidere, on Sun day, April 17, a daughter, Janet Elizabeth. Mother and baby are re ported to be doing nicely. CROSSROADS Mist Mary c Green, ' Mrs. W. G. Shaw and daughter, Anne Winbome, have returned to their home at Wagram, after a visit with Mr and Mrs. 'W. B. 'Winbornfti , - Mr. and Mrs. B, M. Hollowell, Jr. and daughters were supper guests of Mr. and Mrs. W. A. Perry Sunday evening. Mrs. A. B. Hollowell and son, Asa, Jr., Miss Esther Elliott and Wingate Rice Burroughs, of Aulander; Mr. and Mrs. J. W. Elliott, of Suffolk, Va spent the week-end with Mr. and Mrs. E. N. Elliott. Miss Marguerite tta Evans has returned to Greensboro College, after spending Easter' with hert parents, Mr. and Mrs. B. W. Evans. Mr. and Mrs. T. E, Parker and daughter, Dorothy, of Edenton, were guests of Mr. and Mrs. W. At Perry on Sunday afternoon. Misses Frances and Helen Evans, of Manteo, and Esther Evans, of Hertford, spent the week-end with Mrs. Z. W. Evans. Miss Ella Mae Nixon, of the Bur lington school faculty, spent the week-end with her parents, Mr. and Mrs. H. C. Nixon. Miss Alma Winslow was at home from- Chicod to spend the week-end with her parents, Mr. and Mrs. E. L. Winslow. Justin Tune, of Mars Hill, is visit ing Mr. and Mrs. B. W. Evans. Mr. and Mrs. R. V. Knight and son, Bobby, of Tarboro; Mr. and Mrs. Aubrey Butler, of Roanoke, Va., spent Saturday with Mr. and Mrs. E. Nl Elliott. Mrs. Belle W. Parker,' Misses Kathleen Parker and Nina Brown visited Mrs. Ethel Hofler, at Gates ville, Sunday afternoon. Mr. and Mrs. W. H. Winbome, Mrs. W. G. Shaw and daughter, Anne Winbome, and Miss Mary Greene were supper guests of Mr. and Mrs. Dick Winbome at their home in Suf folk, Va., Wednesday evening. Mr. and Mrs. George Peele and baby, of Rocky Hock; Mr. and Mrs. Raleigh Hobbs and children, of Hobbsville'; Mr. and Mrs. Wilbur .f) Hollowell visited Mr. and Mrs. Ralph Hollowell Sunday afternoon. John Welch, of Washington, D. C, spent the week-end with his parents, Mr. and Mrs. W. D. Welch; Sr. Mr. and Mrs..Lindsey Evans and sons visited Mr. and Mrs. E. N. Elliott Sunday evening. Mr. and Mrs. Jimmle Sutton and baby, of Suffolk, Va., spent the week end with her parents, Mr. and Mrs. Isaac Jordan. ' Mrs. Alma Boyce is spending the week at Morehead City with, her parents. ' ;a. Miss Sallie Elliott . has returned from a visit with Mrs. A. B. Hollo well and Miss Esther Elliott, in Au lander, and is now with her sister, . Mrs. W, W. Bunch. Mr. and M. J. G. Perry, of Rocky Hock; Mr. and Mrs. T. C. Byrum and -' Mrs. Ellen Byrum, of Edenton, visit-Ju. ed Mr! and Mrs. E. N. "Elliott Sun: day afternoon. ; Miss Orene Hollowell, of Reids- f ville, and Weldon Hollowell, a student 4 . at Wake Forest College, spent the week-end with their parents, Mr. and Mrs. B. M. Hollowell, Sr. Miss Louise Bush, a student at " Peace Institute, Raleigh, has returned Q after spending the holidays with her parents, Mr. and Mrs. A. S. Bush, Mr. and Mrs. C. J. Hollowell and son spent Sunday in Rocky Hock as the guests of Mrs. Hollowell's par- : ents, Mr. and Mrs. R. W. Leary, Sr. Mrs. W. D. Welch, Jr., and daugh- ; ter, of Washington, N. C., spent the week-end with her parents, Mr. end t Mrs. J. C. Leary. Mr. Welch came -V for the day Sunday and took them back. Mr. and Mrs. C. J. Hollowell and son visited Mrs. Joe Eason Sunday evening. ; Hutchings Winbome has returned to Oak Rridge, after spending the Easter holidays with his parents, Mr. and Mrs. W. H. Winbome. Mr. end Mrs. W. D. Welch, Jr. and daughter, and Mr. and Mrs. J. C. Leary spent Sunday with Mr. and Mrs. W. D. Welch, Sr. V The dodo has been extinct since 1681. Isn't this the real problem of Beer - ' -and almost its only problem? there ARE people, of course, who stead fastly and sincerely believe beer to be intox icating, or its use sinful, harmful, or a first step toward use of "hard liquor." Just as sincerely we hold that the weight 'of the evidence is overwhelmingly against them... that beer is a mild, wholesome food beverage... and that "there is nothing more promising to combat the evil of too much alcohol than the opportunity of drinking good beer." No.. .it is not in beer itself, we believe, that its gravest problem lies, but in those condi tions, undesirable to us all, which sometimes surround its sale. How should that problem be handled . . . by brewers, by retailers, by consumers, and by the public authorities? On its handling, we believe, depends the ultimate success or failure of the art and science of brewing, with all its manifold contributions to human pleasure and happiness and to the farm and industrial welfare of this country. In that belief, a short time ago the Brewers Foundation was organized ... to align the brewing industry with forces working for the public good in this country. Our underlying motive ... to perpetuate and promote our industry . . . is of course obvious. But equally obvious, we hope, is the fact that our interests coincide with the public interest. Importantprogress hasten members of the Foundation already represent nearly half the production of beer and ale in the United States; and these member are pledged, individually and collectively, to the Brewers Code, one significant clause of which is as follows: "We pledge our support to the duly con stituted authorities for the elimination of anti-social conditions wherever they may surround the sale of beer to the consumer." Being practical men, we promise no mira cles. We cannot immediately or effectively "police" the quarter-million points where beer is sold (nor, to be fair, have we legal authority in many cases to do so). Nor can we, immediately, bring about full compliance with the law among all retailers, nor honest enforcement by all authorities. But a beginning has been made.. .and we do promise that you will see results from it. , How far we can go, and how soon, depends very much on ourselves... but partly also on you. Public opinion, once aroused, can operate to bring about honest enforcement of exist-, ing laws. Restriction of your patronage only to legal, respectable retail outlets can and will operate to raise retailing standards. Public preference for the products of Foun dation members1 will bear witness of your approval' both to members and to cooperat ing retailers, and will encourage them to renewed efforts. This is, therefore, at once a statement of our objectives and an. appeal for your support, without which we mutt aS! short of our high ' hopes. We urgently invite your full and sympathetic cooperation, v UNITED BREWERS INDUSTRIAL FOUNDATION 31 East 40ttGtrcct, New .York, N. Y. 51' f 1 Gotrtspontbuc 6 incited fiom grouts and dividual everywker who art InUrqsted in th brtwint industry and its social responsibilities, I if ha' , f , tdetifitd in th advertising of mmbr$ h this tymbol. If 1 I," " ' lav - VI o .V, 6 1 - J": i 1 41 'S lyv , I, ;'A' fa,?, if; . .-iV,f- 'Will t.f '