Show WEEKLY ANALYSIS NEWS ANALYSIS ANALYSIS- US U.S. Formosan Intervention Urged Drive Is Launched to Trim Budget Group to Press for Child Welfare EDITORS EDITOR'S NOTE When opinions are expressed In these thue columns they are those o of ot t Western aPer Per Unions Union's news analysts and not necessarily of ot this newspaper FORMOSA Shall We Intervene As the agitation for US U.S. intervention intervention intervention inter inter- in Formosa grows many C Americans will have a sharp flashback flashback flashback flash flash- back of ot memory to the days when Anthony Eden and others were urging boycotts against Mussolini and the Japs as ns campaigns of ot conquest conquest conquest con con- quest were getting underway Now there are many important US U.S. officials and leaders ex-leaders who argue that the United States must step in to keep Communist China Use from swallowing allowing up Formosa of armed force i if necessary is recommended to stop that movement move move- ment LATEST TO JOIN with those advocating advocating advocating ad ad- intervention in Formosa was Herbert Hoover former president president president pres pres- ident of the United States He contended contended con con- tended ended that such a policy was necessary necessary necessary essary to safeguard this country's own security Hoover argued the US U.S. should Use lase its naval power to protect not I Ionly only the big Island stronghold of Formosa but also lesser islands Which Chiang shek's Kai-shek's forces were seeking to defend along the south China coast He lIe declared such a step would erect a wall against communism in the Pacific and offer a continued continued continued con hope of ot some time turning China into the paths of freedom again HOWEVER the the decision was further complicated by a British stand that American China policy would strain Anglo-American Anglo relations rela rela- Indications were that Britain was just about ready to recognize the Chinese Communist regime Always the practical realist Britain Britain Britain Brit Brit- ain moves wherever her own best interests dictate or where she thinks they dictate Hence for forthe forthe forthe the US U.S. to lash out at the Chinese Reds just when the British were trying to woo the Communist business business busi husi- ness apparently wasn't going to sit well weIl with Great Britain 1 BUDGET Drive for Balance l According to house Republican Leader Martin of Massachusetts the United Sta States es government should be able to live within its income without raising taxes That of course meant that the US U.S. ought to be able to balance its budget MARTIN joined forces with Se Sen n. n Robert Taft of Ohio who is on on record as saying he believes the federal budget could be balanced in fiscal 1951 The two lawmakers are united In a drive to attempt to force the government to live within within within with with- in its income The project obviously had more merit than chance for success forwith for forwith with congress predominantly Democratic Democratic Democratic Dem Dem- there would be little probability probability probability ability of any great tax changes in inthe the matter of ot reduced operating expenses All indications were that while there might not be any tax increases increases in in- creases there certainly would be belittle belittle belittle little of ot tax reductions reduction's despite administration administration administration ad ad- ministration claims that the government government government gov gov- couldn't operate without more tax revenue Where the bal- bal up will come is problematical ical as yet TAFT and Martin outlined their views as congress reconvened Both declared they would v oppose vigorously any administration request request request re re- quest for increases either in corporation corporation corporation cor cor- or high-bracket high income taxes Taft said he would not object toa to toa toa a deficit of about two billion dollars in 1951 if h he were sure the government government govern govern- I ment woud get b back ck into the black blackin in fiscal 1952 The deficit this year is expected to run about 55 billion dollars BRITISH No Thanks Miffed Milled because the world bank bank- wanted to know too much about its operations Great Britain's colonial colonial colonial colon colon- ial development corporation with with- withdrew withdrew withdrew I 1 drew its application to the international international inter inter- national bank for a loan of five million dollars T The h e dollar million government govern govern- govern ment corporation set up in 1948 to foster colonial development said it wanted the he loan to buy indispensable indispensable indispensable sable built American land clear ing machinery THE CORPORATION would have 1 I been required to submit its detailed detailed de de- tailed budget to the bank for some years ahead and would have had to make quarterly statements j showing total assets liabilities and expenditures of each of ot its multiple multiple mul- mul i tiple operations ions I I Chairman Lord told newsmen the corporation would buy the second best machinery constructed in Britain and Italy He declared the banks bank's terms were too onerous The corporations corporation's projects now underway Included Agricultural developments in Borneo Borneo Borneo Bor Bor- neo British Honduras the Leeward Leeward Leeward Lee Lee- ward Islands and nd Africa forestry and mineral projects in British Guiana and factory construction in northern Rhodesia Kenya and Jamaica I Atomic Advances q V 5 N J JDavid b David E E. E Lilienthal atomic energy commission chief told tolda a news conference that there have been several secret advances advances ad ad- vances ances In the development of atomic energy enery He said these are comparable to the breeder breed er design in 1949 EDUCATION Money Health It The needs of ot education in the nation apparently were to be well looked after in Washington as faras far faras faras as interest and stressing of necessity necessity necessity sity were concerned The American Parents' Parents Committee Commit Commit- tee announced a point nine-point pro gram in the child weI welfare are field for consideration at the current congress session THIS COMMITTEE was organized organized organized organ organ- three years ago to work for a national program to benefit chil chil- dren Legislation the committee will press for will be The national school school health health services ices bill for an annual 35 million dollars in grants-in-aid f for r school health examinations and treatment for all school children This measure measure measure meas meas- ure has been passed by the sen sen- ate The public school construction bill asking five billion to match state funds for a wide nation-wide survey survey survey sur sur- vey of needs and other sums for emergency s school e c h o 0 o 0 l 1 construction which have been approved by the senate THE federal aid nid for education bill aill which would provide million million million mil mil- lion for in grants to the states under a formula which gives a larger proportion of funds to the needier states This bi bill passed the senate but was blocked in the house louse because of the controversy o vcr over v e r services to parochial schools The national research child-research bill which asks 75 million annually for research in child life and develop develop- ments The bill on social security revisions revisions revisions re re- visions asking increased benefits I for lor dependent children The local public units public units health bill I which would increase increaser health safeguards safeguards safeguards safe safe- guards for children AN INCREASE in funds for the Childrens Children's Bureau Increased school lunch COFFEE 11 More The recent zoom in coffee prices which jammed food stores with excited excited excited ex ex- cited crowds of ot economy-conscious economy shoppers will add a little over 11 to the average American households household's households household's households household's house house- holds hold's coffee bill for 1950 unless fewer or thinner cups are drunk this year says the family economics economics economics econom econom- ics bureau of Northwestern National Nation Nation- al Life Insurance company The retail rise in the United States averaging around 22 cents a pound from summer mid to mid- mid December parallels an almost equal climb of approximately 21 cents a pound In Latin American prices on green coffee according to the bureau AMOUNTING to over 38 times the cost of the coffee price rise or approximately per year is the average US U.S. family's share of the dollar billion Increase since 1939 in our governments government's annual annual annual an an- nual non military expenditures the bureau points out I IA A yearly saving of 86 directly and indirectly would lie be the average average average aver aver- age family's share in the four billion billion billion bil bil- lion dollars which it is estimated can be saved each year merely by modernizing and streamlining government government gov- gov operations this saving would pay for the average households household's households household's households household's house house- holds hold's entire annual supply of 51 pounds of store-bought store coffee even if it the price went to SI 51 a n pound and still leave 35 for sugar and cream the bureau calculates I Sleep Habits Revealing I II Since practically a third of ones one's I entire lifetime is spent sleeping this phenomenon properly engages the attention cf scientists As witness the conclusions by Prof Prot Alfred AUred Adler psychologist that the person who sleeps on his back stretched out like a soldier at attention wants to be as great as possible The sleeper steeper who curls up like a hedgehop hedgehog hof he says probably probably probably ably lacks courage I FOREIGN AID Appeal to Reason It was impossible ImposIble at the moment to evaluate its effect but the fact that Sen Tom Connally D. D Tex chairman of the senate se-nate foreign relations relations relations re re- lations committee was urging a reduction in foreign aid spending was certain td carry some weight in congress CONNALLY forecast a sizeable sizeable sizeable size able cut in funds for the third year of the European recovery program program program pro pro- gram and explained that he meant anything up to a n billion dollars Congress voted more than billion billion billion bil bil- bil- bil lion for the program in 1949 The most rabid supporter of the would have to Europe program to concede that there has been no little visionary treatment of the problem with the top drawer do do- finding it hard to restrain themselves when it came to giving away the American taxpayers taxpayers' ers money There had been plenty warning and admonitions from men in government government government gov gov- qualified to talk about the situation but for the most part their authority wasn't sufficient to permit their interfering However with Senator Connally on the side of a n reduction in the program the situation took on a new aspect THERE WERE PLENTY observers observers observers ob ob- ob- ob servers who felt that unless the United States took a determined stand In insisting that Europe begin begin begin be be- gin now to do something to rehabilitate rehabilitate re re- re- re habilitate itself the drain on American American American Amer Amer- ican funds would not only continue indefinitely but might even in in- in crease The Texas senator might have had some such idea in mind when when he talked ERP fund reductions It was a little more difficult however to understand his position position position tion with regard to Spain Connally Connal Connal- ly urged that the United States exchange exchange exchange ex ex- change ambassadors with Spain immediately and to call off its diplomatic diplomatic diplomatic dip dip- bo boycott cott of Generalissimo Francisco Franco He wanted strategic Spain in the North Atlantic Atlantic Atlantic At- At lantic pact ECONOMICS Stability Urged In the field of ot US U.S. economics there was pulling and hauling that would hold hold so some e measure measure of ot amusement were it not for its basic grimness With President Truman previously committed to toa toa toa a tax increase and some of his cabinet members advising against it the tax no group found important important important im im- im- im support in the Presidents President's council of economic advisers THIS GROUP reporting to th the President on the general economic situation steered clear of any definite tax stand but did not hold holdan an olive branch to business And it hinted that some changes in the present tax structure should be made in order to meet what It called a need for more stability in government actions affecting the nations nation's economic well That word stability was the tip It meant anyone could rea rea- reasonably reasonably reasonably assume that the council I felt US U.S. business must have some assurance that it is not going to tobe tobe tobe be confronted continually with an shifting ever government tax pol pol- icy This coupled with Commerce Secretary Sawyers Sawyer's suggestion that excise taxes be repealed could be regarded as a definite switch in level high-level thinking on tax matters THE COUNCIL explained it this way While we should aim in the long longrun longrun longrun run for reasonable stability in tax policy the great changes in the tax structure over the thc most recent years and the double reversal of economic trends in 1049 1949 may make it necessary to alter the tax structure structure structure ture somewhat before a basis of stability in future years will have been laid This new course launched the council on a course its former chairman Edwin G. G Nourse repudiated re re- re- re that that of making malting recommendations directly to congress on matters of the administrations administration's economic economic eco eco- policy |