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Show NEWS iitEws , / cf cfBEuNbJ - . ; NEWSBEHINJTWN NEWS/BEHINJ NEWS BEHINJ NEWSBfHIN BfHIN BEuNbJ , BfHINTtlErN TWN TtlErN TWNByRMJLMAIXOH TtlErNBy BEuNbJy By ByRMJLMAIXOH y _ PAULJ4ALLON PAULJ4ALLONReleased PAUL MALLON ByRMJLMAIXOHReleased Released neJeued by Western Weetern NeWQlaper Newspaper N wpap r Union . . , ECONOMIC FORMULAS FORMULASMISSFD FORMULASMISSFD FORMULASMISSFD MISSFD THE TilE BOAT " ' WASHINGTONFull WASHINGTON -Full Full - Full emplofment emp1o'menI emp1omenI emplofmenthas emp1o'menIhas employmenihas ' has been placed alongside in'terna interna tn'terna tnterna in'ternalIonal tn'ternational international ' ' lIonal tional peace as 8S an equal objective objectiveof of the British government for thepostwar the thepostwar thepostwar postwar world in an official omcial pro pro- pronouncement pronouncement pronouncement - - nouncement by the ch chancellor ncellor pf pI p1 the theexchequer theexchequer theexchequer exchequer Kingsley WoodNo WoodNo Wood WoodNo No doubt our government also willseek will willseek willseek seek full employment at all costs 'with with ' with equal ardor But in the tuU full tuUemployment fullemployment fullemployment employment discussions discusslons both bere here bereand hereand hereand and in Britain the talk is of newsensational new newI newsensational newsensational I sensational artificial methods 01 01achieving olachieving achieving this result-a result a result - a $25 25 $ $ 000000 000 000 000I 000000 I 000 annual federal budget to Bnance finance Bnance'public financepublic financepublic 'public public ' public works a 20-hour 20 hour - - - work week weekyes weekyes , ( yes 20 20) 20 ) > and various other devicesThe devicesThe devices devicesThe The groove in which all this con conservative conservative conservative servative and liberal thinking is go- go goIng going go going - - ing is the one we dug for ourselve ourselves ourselvesin . in the last depression-the depression the depression - - the line thateverything thateverything thateverything everything which happened In the theprevious theprevious theprevious previous thousands of ot years of the theworld theworld theworld world was wrong that this is the theage theage theage age of ot the liberation IjberaUon ljberatlon of man In which whicheconomic whicheconomic whicheconomic economic formulas tormulas are the solution solutionto to all aU problems that the former natural nat ural laws las " , of ot both God and Nature Natureare Natureare Natureare are henceforth benceforth to be re repealed ealed by bywhat bywhat bywhat what the economists call the IIU su IIUpremacy supremacy uprcmacy premacy of economic eonomic ( : man "THEY THEY " TDEY THEY ALL FAILEDThIll FAILEDThIs FAILED FAILEDThis This ThIll is strange in view of ot our re- re no- no recent nocent re recent - cent experiences with economic tor for tormulas formulas tormulasNot mulas Not one has worked among amoni the many we tried In the last 14 14yearsthe 1 1yearsthe 14years years-the years the - the gold buying policy poUcy tc tcraise to toraise toraise raise prices the ever normal gran granary granany granary ary any to provide eternally balanced balancec balancedrood balancecfood balancedfood rood food production , the public works worka worksexpenditures workaexpenditures worksexpenditures expenditures deficit financing tlnancing the tiw theKeynes tiwKeynes theKeynes Keynes plan the shorter work weekall weekall week weekall -all all - all to restore full fuU employment but butthey butthey butthey they did not do soSome so soSome Some of ot these Ulese steps proved pollt poilt polltIcally poiltIcally polltIcally Ically popular temporarily temporarlly but did didnot didnot didnot not a achieve chieve their economic purposes purposesAs As economic formulas tormulas they did not notdo notdo notdo do the job Yet the postwar full fullemployment fullemployment fullemployment employment r remedies medles now being ot of offered otfered fered propose to go further along alongthis alongthis this narrow rut in which we have havebeen havebeen havebeen been unsuccessfully plodding for tor 14 14years 14years 14yearsNow years yearsNow Now they talk of nearly tripling triplingthe triplingthe the old New Deal peacetime spend spendIng spendtog spending Ing tog budget . , and cutting the 40bourwork 40hourwork 40-hourwork 40 hourwork - - work week in half halt with no greater greaterassurances greaterassurances greaterassurances assurances that these new steps stepswould stepswould stepswould would workany worlr work- work wonle - any better than the oldIf old | If any government wants wanta to pro pro- provIde provide provide - - vide full tulJ employment in the futureIt future futureIt It must first free itself from trom these theseunsuccessful theseunsuccessful theseunsuccessful unsuccessful grooves of thouiht thought thoughtbreak . , . break out of these reactionary reactionaryshackles reactionaryshackles reactionaryshackles shackles of the mind and search tor for forvalid forvalid valid ways and means that seem seemLikely seemlikely likely to do the JobWhat jobWhat lob Job lobWhat What makes full tuJJ employment employmentGood ? Good business Nothing else ever evermade evermade evermade made it in a democracy What Whatmakes Whatmakes Whatmakes makes good business ? The expec expectaUon expectation expectation taUon tation of ot the people that they can canmake canmake canmake make a profit . . No other formula formulaIn in a democracy ever made people peoplespend peoplespend peopJespend spend and invest hulest tiniest , , . buy and selLMAINTAIN seIL sell seILMAINTAIN . MAINTAIN PBOFXT PROFIT MOTIVEGovernments MOTIVE MOTIVEGovernments Governments then must direct directtheir directtheir directtheir their search for tor full tuJJ employment Into Intoone intoone intoone one line-maintenance line maintenance tine-maintenance tine line - - maintenance of ot the profit profitIncentlve profitincentive profitincentive Incentlve incentive If U they want formulas formulasthey formulasthey formulasthey they must s seek iek ek new ones to keep keepan keepan keepan an expectation of profits in the pub pub- public pubtic public - - lic tic mind mmd mindThe mmdThe The line on which they are pow powgoing pow powgoing iowgoing going lies clearly in the opposite oppositedIrection oppositedirection oppositedirection dIrection A $25 25 $ 000 000 000 budget budgetwould budgetwould budgetwould would require such sucb heavy taxa taxationupon taxation taxationupon Uon Uonupon upon the people a as . to make their theirwages theirwages theirwages wages ( pro profits ts ) worth less and be beso beto beso so to onerous on business buainess as to dis- dis die- die dierourage discourage dis discourage - courage rourage the expectation of profits profitsIn profitsn [ In n fact tact the higher you raise rallle taxes taxesthe taxesthe taxesthe the less chance there Is of profit profitgood profitgood profitgood good business and full employmcnt employmqnt employmentIn employmcntn employmqntin : [ in n following tollowIng this line you defeat defeatyour defeatyour defeatyour your own objectives objectivesA A 20-hour 20 hour ZO-hour ZO - - - work week ? That Is Isshare isshare isshare share the work ' not riot full employrnent employ employment employment ment rnent . . Does this suggestion search searchIn searchIn In the right direction when you con consider contider conaider sider tider the fall taU of France due to her herInablUty herInability herInability InablUty Inability to get production on the 35 35and 35md 35and and md 40 hour week ? Are AIe we , . in this thiswar thisar thiswar war ar winning on the production producUon front frontby frontby frontby by reducing reducmg the work week , , , or are arewe arewe arewe we not now proving conclusively conchisively that thatfull thatuU thatfull full uU production ( with full tulJ eq1ploy eriploy eq1ploymenU eriploynent employment menU nent ) requires a reasonable work workweek workweek workweek week ? A 20 hour work week wf"ek wfek " would cut cutsalaries cutiblaries cutI salaries iblaries to in half leav1 leaving that muchess much muchless muchless less ess to spend tha that t much less to pro pro- proI proluce produce - - I : duce Suce luce that much lesa less to buy It Itwould Itwould Itwould would be a depressant to full em employment emloyment employment ployment loyment . . Clearly it appears to me our think thinkers thinksrs thinkera ers srs are on the wrong track Let Letthem Lethem Letthem them hem look took in the opposite dIrection dIrectionand directionmd directionand and md devise means of maintaining a a'onstant a'onstant aonstant ' ' onstant 'onstant , , steady expectation expectalion of ofI ofprofits ofrofits ofprofits profits rofits and that is La all they will have haveto haveto I to 0 doI do I . 0 . < & . 0 . 0I I have beard heard of neighborhood prat prat- pratI pratLiennot prat- prat pratlersnot prattlers - - Lien-not Lien not lers-not lers tlers , - - not in m my neighborhood how howeverspreadmg howverspreading however I ever-spreadmg ever spreadmg ver-spreading ver spreading - spreading drivel against agamst bond bondI bondbuymg bonduymg bondbuying I buymg , uymg on the ground that there will willbe willbe be 10 lofta inflation lion lionI lionMaybe inflatIonMaybe , Maybe there will be 1\ 1 at \ 1limited limitedamount limitedamount limited I ' amount of price inflation or at atleast ateast atleast least east , , continuation of the inflation Infiation we we'lave weiave welave 'lave lave iave ' experienced experlenct.d experlenctd experlenc.d experlencd . . in this war Evryone Ev Evryone Evi ryone -ryone - knows thai that thats . . But these bondsI bondsr bondl bonds bondllrf lrf ire r being bought not only by 60 00 000 000X)0 -X)0 X)0 X0 - ) ( 00 ) people , but by every large cor cor- corratJon coraoration corporation - ; > poration aoration ratJon ai 81 d I ii < Investor In the countr countrThe countr countr.i countri ) ) . . The wise financial tmanclal brains tull.J tullJ fulLy fulLyealize fullyi . ' realize realle ealize % the possibilities posslblllUes of inflation inftatJon I Irealle |