Show TRUMAN CALLS FOR TAX BOOST o 0 j 0 Y 1 t I c I i ll w r J. J y r f A r r fr 4 o y y A r r J 7 f A jJ y A r h r r P f s A Y Nry a 7 t r o t p 4 S A Associated Press Ready for Momentous Talk President Truman smiles as he stands outside the White hite House Wednesday day as he ho leaves for capitol to address s joint session of or con con- gress Brief case under his arm contains state of union message Congress Urged To 0 Authorize Price Pay Lids By L Lyle e C. C Wilson Vilson WASHINGTON Jan 5 UP President UP-President President Truman Wednesday Wednesday Wednes Wednes- day asked the new Democratic congress to hike federal taxes by and to authorize limited price and wage ceilings In his annual message on the state of the union he also proposed proposed proposed pro pro- posed that the government make loans for any necessary sion sion of plant capacity in m such industries as steel where production pro pro- is critically short If private industry refuses to build the plants Mr Truman said the government itself should build them The plan is bound to raise cries of socialism The proposed new taxes would lie He heaviest on corporations corporations corporations cor cor- but the president did not say whether by an excess profits levy or otherwise Some new revenue would come from higher estate and gift taxes Mr Truman Truman Truman Tru Tru- man said cong congress ess also should consider raising tax rates in the upper and middle personal income brackets Before Joint House He delivered his fair deal message message message mes mes- sage in person before a joint session session session ses ses- sion of the congress in the cham chamber ber of the house Most of Mr Truman's cabinet and the justices justices jus jus- tices of the supreme court were among the distinguished and largely large large- ly friendly audience We Ve have rejected the discredited discredited discredited theory that the fortunes of the nation should be in the hands of ofa a privileged few few the president said We Ve have abandoned the trickle down concept of national prosperity Every segment of our population population population tion and every individual has a aright aright aright right to expect from his government government government govern govern- ment a fair deal i With that as a text Mr 1 Truman Truman Truman Tru Tru- man fired at the new congress which his party controls the long list of recommendations which the theold theold theold old Republican congress had Ignored ig Ig- ig ignored nored and on which he based his successful presidential campaign inflation Anti-inflation Move 6 The message was heavily weighted weight weIght- ed with inflation anti-inflation recommendations short on specific foreign policy policy policy pol pol- pol- pol icy and national defense proposals proposal and long on costly projects to conserve conserve conserve con con- serve natural resources and improve improve improve im im- prove the lot of the poorer people Mr Truman said he was happy to report that the state of the union is good But he called the roll of shortcomings and said congress con- con gress gres res' res and the president with the cooperation of all elements of the See Seo Page 4 J Column 3 S Truman Asks Tax Boost Continued from Crom Pago Page One of oC the most bitterly controversial people must combine them He asked again for 01 universal military training restoration o othe of the reciprocal trade agreements act to full effectiveness and arid an open door without unfair discrimination discrimination na nation lion to displaced persons The president said the American people had been creating a society of new opportunities for all in the past 16 years Points to Election The Thc recent election he continued continued continued con con- shows that the American people arc are in favor avor of pf this kind o of society and want to go on Improving Improving ing ng it The American people have decided that poverty po is just as wasteful and just as unnecessary ary as ac disease He laid before congress some issues of our times including prepaid prepaid pre- pre paid aid medical insurance c civil rights repeal of the Taft-Hartley Taft act anc and reenactment of the Wagner Vagner labor relations act But he qualified this repeal and reenactment proposal by asking amendment of the Wagner Vagner act 3 as follows Jurisdictional strikes and unjustifiable unjustifiable un- un justifiable secondary b boy boycotts o y c cot o t t s 5 should hould be prohibited The use of economic force to decide issues arising arising- out of the interpretation ot of t existing existing- wage contracts should be c prevented Without endangering endanger endanger- Ing ng our democratic freedoms means should be provided for settling set set- ling or preventing strikes in vital industries which affect the public Interest Condemns Labor Act He condemned the Taft Hartley act ct with campaign vigor as unfair discriminatory and an abridgement of f labors labor's rights Mr Truman proposed an eight eight- point program with witha a warning that we must not float noat along long carelessly on a postwar boom oom until it collapses He asked for or vigorous expansion of business busi- busi I ness greater output lower prices and nd a avoidance of monopoly and restrictions His recommendations rec- rec were 1 Continued control of con con- consumer sinner umer credit and enlarged power to o control bank credit 2 Authority to regulate speculation speculation lation on commodity exchanges 3 Continued export control authority authority authority au au- au- au with adequate enforcement machinery Continued Priority 4 Continued priority and allocation allocation allocation allo allo- cation authority in the field of transportation 5 5 Allocations and priorities for forkey forkey or orI I key ey materials in tn short supply 6 Extended and strengthened rent control 7 Standby authority for price ceilings on scarce com commodities modi tics which basically affect production or living costs and to limit unjustified unjustified unjustified un un- justified wage adjustments which would force a break brcak in an established established established price ceilings 8 Study of the adequacy o of f present production facilities for materials critically short such as steel If the study proved such action necessary Mr Truman said there should be government gO loans for plant expansion to relieve short short- ages If It private industry failed ailed then to build new plants Mr Truman Truman Tru Tru- man said the government should do o so so Cites Prosperity Mr Truman cited our abundant prosperity in these figures Since 1929 the population has increased only 20 but agricultural production production production pro pro- in the same period is up t 15 and industrial production 75 But he said to maintain prosperity the governments government's fiscal fiscal fiscal fis fis- cal policy must be right To that end he asked for in new taxes to come principally from corporations Ho He wants the money to balance the budget and to continue reducing the national debt which now stands at Mr Truman asked again that the federal minimum wage be in increased increased in- in increased creased from to an hour and that the labor department be strengthened and agencies separated separated separated sep sep- from it by the Republican congress be restored Except for the proposal to force expansion of production facilities and a specific tax increase figure there was little new in the mes mes- sage Its other principal recommendations recommendations were Enactment Agriculture A Agriculture Enactment of aprice a aprice aprice price support pro program ram to prevent farm price declines out of line with general price levels and for other purposes Authorization for forthe forthe forthe the Commodity Credit Corp to provide adequate crop storage space Expansion of oC the domestic market for farm products especially especially espe espe- dually among low Income groups This was not elaborated but apparently apparently apparently ap ap- would Involve subsidized disposal of ot surplus farm produce Expansion of rural electrification II n u tI s 8 i 1 n e s s Reinvigorate s the forces of competition by assuring small business the opportunity to grow and by strengthening the antitrust laws against again t monopolistic tic mergers and consolidations Conservation and electric power po Extend the Tennessee valley idea to other great river basins Authorize the SL St Lawrence seaway seaway sea sea- ea- ea way and power project Plan the use of natural resources and defend defend defend de de- fend the governments government's title to Tidelands oil Pro Provide P r o v I 1 d c public transmission lines for public power I where necessary Make irrigation projects serve family amily farms and not serve land speculators Mr Truman recommended that thata a new cabinet rank department be created to administer health education education education edu edu- cation and social security pro pro- grams Social security Expand security Expand the social social social so so- so- so cial security program as to size I of benefits and extent of coverage Health Remedy Health Remedy the shortage of doctors hospitals and nurses Enact Enact Enact En En- act a wide nation-wide system of prepa prepaid pre- pre pa paid d medical insurance to enable every American to afford good medical caro care Education Prompt Education Prompt federal subsidy sub sub- silly sidy to help states operate and maint maintain in their school systems Housing Enactment lousing Enactment of ot low- low rent public housing slum clearance clearance clear clear- ance farm housing an and housing research legislation to include provision provision provision pro pro- vision for low rent units by 1951 Mr Truman said most mort of the needed housing must be built by private Industry but warned that building costs cost must be reduced and that the industry is Lc building too many priced high-priced houses He said authority to al allocate allocate allocate al- al locate short supply materials and to impose price ceilings could be used to force materials into famIly family fam fam- ily lIy home construction Civil ChU ri rights rights enactment of the civil rights program which split the Democratic party in the presidential campaign Foreign policy Maintenance policy Maintenance of sufficient ent armed forces to deter aggression enactment of universal universal sal military training and restoration restoration restoration restora restora- tion of the reciprocal trade agreements agreements agreements agree agree- ments act to full force orce Mr Truman said ours was a peace policy in which we welcomed the cooperation of other nations In the European recovery program program pro pro- gram in our good neighbor policy and in the United Nations he said we have begun to batter down those walls which block the economic growth and the social advancement of the peoples of the world We Ve stand at the opening opening- of an era which can mean either great achievement or terrible catastrophe catastrophe catastrophe catas catas- for or ourselves and all man man- kind |