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Show l JVo Comment By JAMES W. DOUTIIAT The decisions made as a result of recent meetings, will affect the future of basic industries in the nation and, thus, the national economy, the number of jobs, and other fiscal problems right on down to the family pocketbook: Should the Administration go forward under a tax philosophy which would enable companies, steel for example, to expand, to provide pro-vide more jobs, and more steel for more schools, more highways, more ships, more buildings? Or should such industry be held at its present level of production, and this production allocated through the various "war-time" type of controls which tend to stifle growth and result in shortages and bureaucratic rises? One group favors a rapid tax amortization program which would enable basic industries to grow at a rate called for by market demands, a growing population, increasing standards of living, and various defense requirements. Another group fears continued expansion sees it as incentive to construct facilities which might not be needed and tends to favor a restrictive program which would parcel out existing production under a system of controls and allocations such as we had during recent war years. Mobilization Requirements Military experts, whose policies and actions have a very definite effects on domestic programs and policies, point out that it is impossible im-possible to set up firm mobilization requirements in the light of the current Suez crisis. They say that three types of requirements must be considered: One type for indefinite continuation of the cold war. One type for a "conventional" war. One type for a war in which this country might suffer widespread damage through enemy attack. Certainly these eventualities are important and must be considered. con-sidered. At present we do live under an atmosphere of global tensions and uncertain developments. Peoples' Needs The primary market in a healthy economy is the people their wants and wishes. The public demand for products must be sanely considered and barring the event of emergency and recognizing the wisdom of military preparedness should always be the most Important Im-portant yardstick in whatever government does. Controls, whatever the reason, can lead only to more controls. They have away of multiplying like rabbits. Here-is a classic example of the way controls get out of hand: before World War I Germany put a control on the price of milk. Soon the dairy farmers found that under the new controlled price of milk they couldn't afford to buy feed for their cattle. The "government "govern-ment put controls on the price of hay. The hay man couldn't afford to sell his hay at the controlled price and still buy fertilizer to grow the crop, or farm machinery. Then, controls on the price of the steel to make the farm machinery, controls on wages paid to make the steel, to manufacture the machinery, to produce the fertilizer. In a matter of months, the economy was under complete control there were shortages, wages were frozen and more children than ever were going without milk. Milk cows may seem far removed from steel mills but the fact remains, as history shows in every country including the United States: controls have a way of getting out of hand. It is for that reason that the public is the vital bystander at these meetings which will decide, in effect, whether the average citizen will be a free man or a controlled citizen. |