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Show Pension Prospects By ERIK McKINLEY ERIKSSON Frofcssor of History University of Southern California One of the things most clearly revealed re-vealed by the recent elections is that the 1939 Congress will give serious consideration to demands for more liberal old ace pensions. In all parts of the country. Senators Sena-tors and Representatives, Repre-sentatives, who are members of both the Democratic Demo-cratic and Re- , publican parties, par-ties, were elected elect-ed after pledging pledg-ing themselves either to vole for one or another of the pension schemes now gross income tax on all transactions amounting to $50 or more. The proceeds, pro-ceeds, collected monthly, would be prorated among citizens sixty years of age and over, giving eRch about $H0 a month, according to the advocates of the plan. They optimistically believe be-lieve that the tax would yield $4lt0,-000.000 $4lt0,-000.000 each month or the enormous sum of $5,760,000,000 a year but in view of the fact that there are more than 11,000,000 persons over sixty years of age in the country it is obvious obvi-ous that at least 3,000,000 would have to pass up the pension In order to allow $60 a month for each of the remainder. The popular support being given to the pension schemes mentioned Is amazing when one considers that the National Soci;il Sccurily Act was pnss-ed pnss-ed in 1935 at the President's request, obviously to halt the movements In support of various fantastic, impractical impracti-cal proposals. This act, among other things, provides for a federal subsidy up to $15 a month to enable the stales to give "old one assistance" to qualified quali-fied persons, The average aged person believed that this provision would iOiaranlce him or her a livable "pension" "pen-sion" but this proved to be a false belief. Insti-ad of automatically receiving re-ceiving a "pension," the aged applicants, appli-cants, in California for example, wem told they were asking for "relief which they could receive only ff they lacked sufficient income and if they had no relatives capable of supporting support-ing them. If he were able to satisfy the humiliating requirements, a person per-son would be awarded a maximum of $35 a month, including the $15 federal subsidy. Many, finding that there 13 nt "pension." but merely "relief," have concluded that the federal and ste-a social security programs are bluffs. In their disappointment they have easily been converted to one or another of the pension plans which promise them comfort in their declining de-clining years. Thus a great force han been unleashed which has made itself felt in American politics. The question ques-tion now is, can Congress withstand the pressure and give a calm consideration con-sideration to economically sound ways and means of improving the exiiUug social security program? current or at least to Insist on full hearings on the various proposals. Senator Pepper Pep-per of Florida and Senator Downey Dow-ney of California, tor example, owe their elections to the support of pension minded constituents. Dr. Townsend, after the November, 1038 elections, claimed that one hundred hun-dred and fifty Representatives were pledged to support more libera) pensions pen-sions or to insist on full hearings. The "General Welfare federation of America" claimed about as many in favor of their pension liberalization plan. Even before the election, Chair-man Chair-man Robert L. Dough ton of the House Ways and Means Committee announced an-nounced that his committee would make a thorough study of all pension proposals. At present there are three plans which are commanding the mo.st attention. at-tention. To the aged the Townsend plan is slill the most attractive. From the standpoint of practical economics this plan appears unworkable but its promise of up to $200 a month, to be raised by a transactions tax, has caused hundreds of thousands of otherwise sns-ible persons to lose their judgment and to clamor for it. Senator Bilbo of M i: sis:;ippi has proposed a pension of S'iO a month to the aged but his proposal has been overshadowed by the so-called "General "Gen-eral Welfare Act" which is still far from being an act. This measure, if adop'.ed, would levy a two per cent |