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Show The Paper That Dares To Take A October 16, 1975 The Utah Independent Page 3 Stand KERSHNERS COMMENTARY By Dr. Howard E. Kershner i ON" COURSE Tlx Last Depression Under Freedom llu last depression under freedom in our country occurred in 1920-2At that time the economy was 1. relatively free. The depression lasted only IB months. I was in business at the time and studied it at close range. In the beginning, this depression looked as if it would be very severe. Prices fell farther and faster than they did during the (heat Depression. This one, however, was quickly cured and we went on to greater prosperity. There were three main reasons for this miracle: 1. We had sound convertible money. One could take one's paper to the bank and get gold at any time and in any amount. No license was required; no questions were asked. There was no waiting. One shoved in his currency and out came the gold. Dollars were difficult to earn but we had confidence in them. We knew they were sound and would not lose. purchasing power. We all worked very hard to earn them. 2. At that time the government and the people believed in thrift and the inqxn'tance of saving. Individual incomes and government income in all categories were declining but budgets were by corresponding and even greater reductions in spending. Even on a declining income large segments of the national debt were retired in both 1920 and 1921. That restored confidence. Both ingovernment and people were reducing their debtedness and accumulating surpluses. Saving not spending was the in thing for both government and people. 3. The third important factor was the maintenance of flexibility of prices and wages. Inventories were liquidated at falling prices and new goods were manufactured at lower costs. Acting wisely, labor did not price itself out of the market but accepted wages which made it possible for employers to sell their products. If one could not find work at ones normal scale, one accepted the best ofTer one could find and worked to improve his situation. Distortions and imbalances were quickly eliminated by this flexibility. Rigidity in wage scales was seen to be the principal cause of unemployment. Sound money, flexible wages and prices and economy with a reduction of government and private debt were the three reasons why this depression was cured so quickly. In our next column we shall tell why the first government managed depression in the 30s was never cured. bal-vanc- ed Economics Department NORTIIWOOD INSTITUTE NOT FOR FREE, BUT FROM YOU Federal Funds do not come from the federal government, they come from all the people through the federal government. What the federal government does not take from all of us to hand out as Federal Funds it takes from all of us in inflation. Who doesnt pay taxes? The taxes deducted from our paychecks are deducted from what our employer pays us, but the employer gets the money in the prices the customers pay. And the taxes on the business also must come from the prices the customers pay. So it always, as it must, ends up with the customers paying all the taxes and that means all of us, since we all are customers, consumers. And who doesnt have to pay for inflation? So Federal Funds are not something we. get for free from the federal government, but instead are funds that will be taken from us. And what government, federal, state and local, takes from us is far more than we pay for food, housing or any other cost, in fact it will soon be as much as we pay for everything else. Let your politicians know you understand this. Only then will they start doing right by us, and stop doing wrong to us by handing out so much of our earnings as Federal Funds, so that we end up with so little left to live on. - IN GOD WE TRUST Now, thats the way it is. In the Communist World, the Soviets and the Chinese Reds cannot trust each other. In the Free World, after Vietnam, nobody can trust the United States. In the United States, Congress and the President cannot trust each other, and after all the inflation they both gave us and the detente theyve endangered us with, the people cannot trust the federal government, not even to represent them". Only Americans trusting in God and not in men, have not lost the Faith. -- J. Kesner Kahn with Capt. Joe H. Ferguson NEW YORK? LET EM GO BROKE! Cap l. Joe . Ferguson WFRC COMMITTEE REPORTS by Thomas O. Breitling In the last article we discussed a report of the aging committee of Wasatch Front Regional Council (WFRC). In this article we will complete the discussion on the remaining six committee reports. The committees and reports cover EnAlcoholism and Drugs, vironmental Quality, Housing." Land Use," Human Resources, and Transportation." ALCOHOLISM AND DRUGS revolution is underway in the treatment of alcoholics and drug misusers in the five county area of the Wasatch Front, says Committee Chairman Karl O. MacFarlane of Ogden. He goes on to say that a planning contract exists between WFRC and Utah and master plans have been developed. As part of those plans, comprehensive treatment systems have been created to serve the region. Salt Lake County has proposed and developed a Public Inebriate System. Under this new arrangement, a man who would have been arrested previously for public drunkenness and placed in jail will now be taken to a central intake and referral center and from there to the most appropriate treatment or counseling center. The above statements are surprising in view of the fact that they do not even hint at the type of program to be used for treatment. In the yellow pages of the Salt Lake City phone book on page 402 there is a listing of Schicks Shadel Hospital of Seattle, and it is listed Without going under Hospitals into details, suffice it to say that the Shadel system works, and it does not treat alcoholism as mental illness but rather as something similar to diabetes. They have coined a term they sometimes use: alcobetes. Another point to note about the Salt Lake County program is that a person arrested for public drunkenness will not be thrown into jail, but will be taken to a central intake and then put away in a treatment or counseling center. I see no reference to trial nor to how release, will be effected nor what recourse can be had by the person (patient? (inebriate?) (victim?). A ENVIRONMENTAL QUALITY AND HOUSING At the time of the committee reports, the Environmental Quality Committee, headed by Mayor Oliver P. Davis of South Salt Lake, had been concentrating mainly on solid waste disposal. With respect to housing. Alex Hurtado. Committee Chairman. is a basic need of said. Housing all people. Yet. a good percentage of the population is illhoused. Continued on Page 8 NEW YORKERS SPENT SELVES INTO BANKRUPTCY New York City Mayor Hugh Carey has been crawling to Washington lately and whining for federal funds to bail out the mess he and his cohorts have gotten the city into. By Careys own admission, he has gotten the city into such a mess that, Federal money or federal troops are goind to be necessary to keep the city afloat. New York is a perfect example of the welfare state running its full course its only possible destination is insolvency, stagnation and chaos. The politicians kept promising the bums more and bigger welfare checks until there became more bums than workers. The inevitable result was more money going out than coming in. That, of course, constitutes insolvency. LET EM TAX THEMSELVES OUT Senator John Tower of Texas told Carey, Youre willing to spend yourself into these perfectly problems youre not willing to tax yourself out of them. And the senator boiled the whole matter down to one mouthful when he said that. But not only is Carey not willing to mend his own mistakes, he wants the people of the United States, who are in no way responsible, to pay the bills. And if the federal government, with tax monies, were to get New York out of this one jam, would the problem be over? It would be just started. For Carey and his cohorts have shown no evidence of repenting of their own errors and going to a responsible spending program. So, the problem would not be solved just delayed for a while. And what about other cities in the same mess? San Franciscos Mayor Alioto would be on the White House steps asking for money the instant the first penny were given to New York. Then any other city whose politicians and bureaucrats hud gotten themselves into a similar mess. So, the only answer to a situation such as this is to let the very people who caused the problem to solve it dont tax the innocent. Let the problem creators get up the guts to tell the people they are going to have to cut the spending and increase the taxing until the bills are paid. IF they wont do that just let em go broke. After a very few days of chaos, the people will throw out the problem makers and put in some responsible civic leaders. Thus, the bad experience will serve a a good lesson to all. (Note) Readers of this article might wish to clip it and send it with their letters to the President, their U.S. Representative, or to Mayor Carey.) Guest Editorial Continued from page 2 above life and is administering death to an entire generation of unborn children. Of all government leaders, most involved in population control and abortion, we regard Nelson Rockefeller, more than any other movement in the United person, the incarnate symbol of the anti-lif- e States. THe DDITISI Independent Salt Lake City, Utah The Utah Independent is published by the Utah Independent each Tuesday at 57 East Oakland Avenue, Salt Lake City, Utah 84115. Yearly subscription rate is $10.00 by surface mail in the United States, $15.00 foreign. Second Class Postage Paid at Salt Lake City nd change of addresi forms and correspondence to 57 East Oakland Avenue, Salt Lake City, Utah 84115 Utah's Largest and Fastest- - Growing Subscription Weekly |