Evening Star Newspaper, May 15, 1937, Page 9

Success in Qil Lesson in Economics Standard’s Report En- lightening on Tax Question. BY DAVID LAWRENCE. ARGE volume of sales, prices—result, big profits! This is a lesson in economics which has been preached over and over again in recent years, but there is no better example of how well it works than in the figures just made public in } the annual re- .port of the Standard Oil Co. of New Jersey. Out of a total of 278,000,000 barrels of oil sold the “average profit which ac- crued to the par- ent company last year was less than three- 3 fourths of a cent per gallon of pe- troleum products sold.” This margin of three-fourths of a eent was smaller than “the least on- erous of the gasoline taxes, that of 1 cent per gallon collected by the Federal Government.” And, curiously enough, the average of both Federal and State taxes per gallon was “nearly eight times the company’s net earn- ings per gallon.” What is most revealing is that not- withstanding the fact that commodi- ties are at a higher level than they have been in recent years retail gaso- line prices along the Atlantic Coast ‘were approximately 50 per cent less last year than they were 10 years mgo excluding, of course, taxes. This is a tribute to the efficiency of oil producers generally and an in- teresting commentary on what a low David Lawrence. large slice of the gasoline price to the | consumer is now going to the tax | collectors. But apart from the big tax pay- ments on gasoline, the Standard Oil Co. managed to accumulate for 1936 about $84,813,000 of profits out of | that three-fourths of a cent per gal- ton margin. The company had about 813,000,000 of profits from other ac- tivities, but it is a significant thing ‘that small margin on big volume brought a return to the stockholders of about $3.73 per share. Interesting Points Raised. Seversl interesting points suggest themselves. Could the prices of gaso- line be kept so low to the public and eould any companies of much smaller ¢ size operate successfully on a margin of three-fourths of a cent a gallon? " Clearly the competition in the oil business is keen and there are com- panies of varying sizes operating at a | profit, but the major companies have the major share of the market and they apparently can operate at a fair margin of return on their investment by selling at relatively low prices, but ®on a large scale of transactions. An enterprise like the Standard Oil ©€o. of New Jersey cannot, of course, eontinue to become more and more efficient and keep its prices down if it eannot make the necessary improve- ments in its processes of production, refinement and distribution. Hence it #s interesting to read in the annual report a plea for a better system of $axes. “Your management,” says the report, #feels that this plea for simplification of and soundness in Federal revenue laws and their administration is in the long run just as important to the Government’s revenues as it is to the eorporate taxpayer. We must, and desire to contribute our full share of &he needed national revenue, but we * eould do a better job of future plan- ming and employment if we could rely on the continuance of certain basic principles of a tax system and could compute and budget tax costs on eertainties rather than gueswork.” The company is particularly pointed #n its criticism of the undistributed , surplus tax as an impediment to the expansion of its business and the im- provements that can be made for the public’s benefit in the furnishing of fuel for America’s motor cars. The geport adds: Excessive and Penalizing. “If the surtax on undistributed ®arnings remains as a part of the law, then the following results appear to be Inescapable. *“1. Corporate earnings will bear an @xcessive and a larger tax burden than any other kind of income. “2. Returns on corporate invest- » ments will be penalized and new capi- el for private enterprises will be more and more difficult to obtain. “3. The time-honored and cus- somary securing of working capital by loans or bond issues will cease be- eause such debts cannot be paid out | of future earnings without prohibitive €x penalties. ‘4. A company with no backlog, or fnadequate reserves, will be hurt first. Those with greater reseryes will be vitally affected when capital needs have absorbed their available cash Fesources. “5. It is an economic fallacy to eompel a company either to pay out tn the form of dividends each year , money it needs as a working surplus or to retain such needed surplus only on penalty of sacrificing a sizable per- eentage of it through surtax. Reha- bilitation or expansion programs, ade- quate reserves for loss periods, the eontinued security of employment for workers and the beginning or develop- ment of new industries, all will suffer.” Finally, it might be asked, who is the Standard Oil Co. of New Jersey? * ohe report answers that question thus: “At the close of 1936 there were | 120,630 shareholders. The average mumber of shares owned was 217. Of the individuals on the books, 60,780 were men and 49,371 women. Be- sides these individuals, a great many fiduciary and philanthropic trusts Jooked to Standard Oil Co. dividends gor & dependable income.” The whole report is an enlightened , document on many other aspects of modern business, including labor re- lations and a discussion of the re- sponsibility of large scale business to the public and is a significant exam- pie of how companies predominantly owned by the public are manifesting ‘% deep sense of their obligation to &he public interest. (Coprright, 1937.) ‘Welcomed Insurgents. Strange as it may seem in the light ,of what is going on today, Prussia’s early rulers welcomed outsiders with open arms, encouraging French Hug- uenot refugees, Dutch engineers and Jewish merchants to come and settle *d help build up the country. THE EVENING News Behind the News BY PAUL den about President Roosevel purchase recorded in several months. Treasury Secretary Morgenthau buy cepted in gilt-edged quarters is that if It likewise tends to confirm R. reached some indefinite and ward when Premier Van Zeeland fallen 25 to 35 per cent in the last few months. The bank and the British government naturally are concerned. The reason the stocks have been falling is that the world seems to have reached the conclusion that the United States set the gold price too high. There is agreement abroad that it will have to be changed eventually. From this Washington end, how- ever, convincing evidence is available billion dollars. the British are concerned, the inflow arresting of stock and commodity a flight of foreign capital towa makes the American investment is that the Government has been Orthodox Washington economisf that. They blame the excess balanci But computations recently have been the invisible trade (tourist travel, e volume sufficient to warrant the gold Thus the adoption of sounder ‘What happened in the Dodd case (official title) in Berlin got hold of a to be aimed at Henry Ford then. the Du Ponts. However, no one to believe it. OFALLTHE NUTS/— i ~ M asking mostly where Huey Long sat. is going to send eight delegates and and Pharmaceutical Convention in Ri (Copyright, HE Bank of England seems to have become big-hearted all of a sud- | the other day about $25,000,000 worth of this mysteriousscommodity which Mr. R. has been unwillingly hoarding. This was the first such Now, there will be many explanations of this transaction. As no one, including Prof. Warren, really seems to understand gold with any degree of certainty, every one can speak freely. However, the best explanation ac- of gold arrangement between Washington and London, kicking around the best circles for some months, namely, that Mr. Walter Runciman and Lord Tweedsmuir and hopes to carry it for- The story that co-operation exists is being denied officially, of course. In the official explanation it is pointed out that British gold stocks have will be made, as has been previously reported. It seems certain Washington intends to let the matter slide until the inactive gold fund reaches over a At the rate the metal was coming in from abroad in April and early in May, that reckoning day would not be far distant, but now that This policy of play and delay also may be helped by the recent convinced the real reason gold has been coming in is that there was policy, looking definitely toward higher prices. is any crack in exchange, the foreigners figure it will be in their javor. balancing the budget, etc.), plus British concern and whatever working arrangements it represents, may tend to solve the gold problem which otherwise appears unsolvable in the master minds. which was sour, even when it was new. That old story about the billionaire backing a dictatorship was current, but not very current, in the last campaign. It was supposed The State Department is inclined to be easy on Dodd because he is on the “right" side of the court question. However, it will prove, if pressed, this Spring than ever before. Capitol guides find the flocks of visitors Those who are apprehensive over the absence of all peace negotiations in the international situation will be relieved to know the United States cannot get together on armament or war, but they are getting together on how to bandage wounds and saw off legs adroitly in the next one, Washington-London Gold Arrangement Seen—Pur- chase by Bank of England Aids U. S. Policy. MALLON. t’s gold predicament. It bought the Until then every one had been letting it all. t indicates the existence of some sort the vague story which has been vague price working basis with of Belgium comes over. that no change in tI may decrease. prices here. Some authorities are rd American investments. What field appear inviting to foreigners v following an unbalanced budget Furthermore, if there ts will tell you there is nothing in e of American trade for the inflow. made indicating that, if you estimate tc.), there is no excess in balanced imports. policy here (curtailment of relief, is that the Ambassador extraordinary rumor which was two years old, and Also a variation of it mentioned this side of Berlin was erpected that Dodd did not give up the letter voluntarily, but merely con- firmed it when news of its con- tents leaked out in this country. Lo, the poor Congressmen have troubles, too. One got a letter from a constituent requesting that he go to all Embassies and Lega- tions and get a collection of their foreign stamps—immediately. Despite the coronation, there are more visitors to Washington & secretary to the Military, Medical umania. In other words, the nations 1037.) MAURICE EVANS |English Actor to Be Heard | During Saturday Night Party. AURICE EVANS, English ac- tor, starring currently on Broadway in “King Richard II1,” will make his first radio appearance since receiving the medal | of the New York Drama League for the | most distinguished performance of the | theatrical season when he faces a mi- | crophone during the Saturday Night Party | An additional guest star is Michael Strange, actress-writer, while James | Melton handles the singing and master | of ceremonies assignment. Tonight's | program, heard through WRC at 17, | will be the last under the present title, ;Lhe show changing to Sunday Night Party on May 23. | THE Paul Taylor Chorus has been | added (o the company in support of Grace Moore tonight, with “The Song Is You” announced as “produc- tion” number—WJSV at 8 o'clock. {D KING, wizard of the ukulele, and Johnny Jones, comedian, headline the National Barn Dance tal- ent array, and all regular participants intend to do what other regular par- ticipants are accustomed to doing, the result being in doubt—WMAL st 8. EVERE'I'I‘ MARSHALL, singing star of musical comedy and opera, is | an “extra added” on the Hit Parade— WISV at 9. "THE Preakness ball in Baltimore is & WMAL feature at 11. ’THE LIGHTHOUSE KEEPER'S DAUGHTER,” one of the lustier of melodramas, will be presented with Air Headliners Afternoon Programs. 1:00 p.m. — WRC, Metropolitan Opera Co., “Mignon.” 2:00 pm. — WMAL, Complete Pimlico Race Program. 5:15 pm.—WMAL, The Preak- ness. Evening Programs. 6:30 p.m.—WRC, Question Bee. 7:00 pm.—WRC, Saturday Night Party; WMAL, “Of Great Riches.” 8:00 pm—WRC, “Snow Village Sketches”; WMAL, Na- ON AIR TONIGHT straight faces over WOL at 7:30, by & cast including William Desmond, Ruth Stonehouse and Gladden James. JOE COOK offers Eddie Garr, come- dian; Fred Perry and Ellsworth Vines, Joseph Lhevinne and wife, pianists; Alexander Kikiloff's Gypsies, Arthur Byron, actor: John Kissinger, “human guinea pig”; C. W. Coates, curator of the New York Aquarium— WRC, 8:30 o'clock. PR START SAFETY DRIVE The Brookland-Langdon-Woodridge Federation of Young Church People | has started a safety campaign of its | own. In a letter to Traffic Director Van Duzer, Edward Barber, president of the federation, said 45 “drive safely” pledges already have been signed. The pledge reads in part: “If ever I am found guilty of & traffic violation, no matter how large or small, I promise to accept the fine or punishment without seeking to escape responsibility by influence or “pull.’ ” TODAY’S PROGRAM PM| WMAL—630k WRC—950k | STAR, WASHINGTO. D. C, SATURDAY. THE opinions of the writers on this page are their own, not necessarily The Star’s. Such opinions are presented in The Star’s effort to give all sides of questions of interest to its readers, although such opinions ma; be contradictory among themselves and directly opposed to T%e Star’s. Dictator Infection in U. S. Many Symptoms Dispose Congress to Resent Further Encroachment BY MARK SULLIVAN. HAT is going on since Presi- dent Roosevelt returned to Washington is the fixing of a new boundary line be- tween the President and Congregs, between their respective powers. The boundary between the two always fluctuates. Is the present refixing merely like others that have often happened? Or is it something new and portentous? ‘The present refixing might not seem novel, but for the attending condi- tions. For four years Congress has been surrendering more and more power to the President. Recently the Presi- dent has asked for still more, vastly more. He has made the request for- mally, in the shape of his plan for executive reorganization, which he sent to Congress January 12. This plan has been lost sight of in the ¢on- centration of interest on Mr. Roose- velt's other reorganization plan, the court one, which he sent to Congress a little later. A few days after Mr. Roosevelt sent his executive reorganization plan to Congress there appeared in the New York Times a dispatch from Germany. It dealt with Mr. Roosevelt's plan and with the German equivalent of our Congress, the Reichstag. It began: “Berlin, January 15—The German press and radio are giving & surpris- ing amount of attention to President Roosevelt'’s proposal for administra- tive reorganization. Such interest in American affairs is unusual, but may be attributed to preparations now being made here for changes in the Reich government. * * * The most influential and the largest number of Chancellor Hitler's advisers propose that the Reichstag be abolished as unnecessary. It is probable it may vote itself out of existence or be dis- missed forever. * * *” Expected $o Disappear. What has been done about the German Reichstag since that dis- patch? I have not followed. Nearly every well-informed obeerver, I think, expects that sooner or later the Ger- man Reichstag will disappear. It began to abdicate five years ago, when Hitler came to power and took over many Reichstag functions. The German Reichstag will disappear as did the Italian Parliament, and for the same reason. The Italian Parlia- ment, like the German Reichstag, be- gan by relinquishing its power and | functions gradually to Mussolini. After 10 years of that it voted itself out of existence at Mussolini's command. In the authoritarian form of society and government a Parliament or Reichstag (that is, a Congress) has | ‘The new form is personal | no place. government, one-man government. Now what justification is there for asking the American Congress to take notice of what is happening to the German Reichstag? That Ger- mans think there is a relation be- tween the two is evident from the dispatch I have quoted. There is plenty of American au- thority which thinks that what is happening about the German Reichs- tag may happen about the American Congress. But it consists mainly of scholars. These scholars either are not heard by the American people or it they are heard they are not bee lieved. What they say strikes the average man as too fantastic for belief, “Congress disappear? That’s the bunk!” What we need is authority that will convince the American people. Per- haps it is not possible for any one to convince the people of their peril until the peril has become actuality. I once followed a conversation be- tween an American statesman and a German one. It was in 1932, just when Hitler was overthrowing the German democracy. The American asked the German, “Why don't you warn the people?” The German re- plied, “A democracy can never see this kind of disaster until it is over the brink.” This profound and dis- turbing truth is recognized by Dor- othy Thompson: “No people ever rec- ognize their dictator in advance.” Now just what is this peril? What is it we would make Americans see, if we could? WOL—1,310k | on Its Powers. ‘To put it in an inadequate few sentences: There is in the world & new conception of society and gov- ernment. It is one-man government, personal government, commonly (and somewhat misleadingly) called dic- tatorship. In country after country of Europe this new oonception has driven out parliamentary and demo-~ cratic government. -Since 1917 dem- ocratic and parliamentary govern- ment has been losing ground every- ‘where. ‘We think there is danger that this may happen in America. We think it possible for this to happen here as & mere result of infection, like a con= tagious disease. Mr. Sinclair Lewis has described the danger vividly in & novel called, iron- ically, “It Can't Happen Here”—de- scribing just how it could happen here. Mr. Lewis’ wife, Dorothy Thompson, is able to recognize the danger be- cause she was in Germany when Hit- ler came to power. Speaking of Pres- ident Roosevelt’s proposal about the Supreme Court, Miss Thompson says: “This is the beginning of pure per- sonal government.” Senator Borah had this danger in mind when, in his philippic on May 6, he said that “in our own land, men seriously debate whether democracy is worth saving,” and expressed eloquent alarm about “where we are drifting when we waver in our fight for democratic principles.” Mr. Walter Lippmann has come to recognise the danger. He says: “He (President Roosevelt) has come to think that the sole function of Congress is to supply him with the means of power. * * * Personally, he ‘wishes to make the laws, either openly and boldly as in N. R. A, or indirectly by compelling Congress to ratify what he proposes. Personally, he wishes to fix and control public expenditures. Personally, he wishes to fix the powers of all Government departments. Per- sonally, he wishes to dominate the courts and to interpret the Constitu- tion.” That describes the danger in terms of actions taken by the President. Without questioning that way of put- ting i#t, I am willing, if I can thus avoid personalities, to exculpate any individual from the charge of trving o bring about the new order in Amer- ica. That such things are contagious every historian knows. If a contagion, what are the symp- toms? We identify the symptoms when we find in America parallels to | what has gone on in countries where the infection has taken. Several symptoms are pointed out in the pass- age I have quoted from Mr. Lippmann. There are many others, so many oth- ers that a portentous interest at- taches to the outcome of the present disposition of Congress to resist fur- ther encroachment on its powers. (Copyright, 1937.) “HOLY REVOLUTION” SETTLEMENT REJECTED Tokio Salvation Army Members Remain Barricaded in Demand for Independence. By the Assoctated Press. TOKIO, May 15—One hundred fifty Salvation Army men and women, still barricaded in the organization's hospital, refused all appeals yesterday for settlement of their “holy revolu- tion.” They demanded that the Salvation Army in Japan be given complete in- dependence from the international headquarters in London. Lieut. Gen. Gunpei Yamamuro, vet- eran commander in chief of the organ- ization in Japan, wept as he listened to the complaints of the men and women, but declared himself powerless to settle the dispute. The “rebels” then appealed to an American salvationist, urging him to use his influence on their behalf, The “revolt” started two days ago. The American, Ernest I. Pugmire, lieutenant commissioner and territorial commander for the southern United States territory of the Salvation Army, recently arrived from Seattle. Carrtal’s Rapio PROGRaMS MAY 15, 1937. WISV—1,460k |P.M. 12:00 12:15 | 12:30 Deanish Jubilee News Bulletins |Farm and Home Hour EEna News-Music Hessburger’s Orch. Linton Hall Band Melody Matinee News—Songs Howard Lanin’s Orch. Carnegie Tech Orch. 12:00 12:15 12:30 12:45 F. and M. Glee Club H. B. Derr Dr. Abram Simon Buffalo Presents Farm and Home Hour Chick Webb’s Orch. Strings and Things Metropolitan Opera Co.— “Mignon” Sylvia Cyde Concert Orchestra Dance Medley Afternoon Rhythms Tulip Festival 1:00 1:15 1:30 Your Home and Mine 1:45 Pimlico Races Metropolitan Opera 'Wakeman's Sports Page Metropolitan Handicap 2:00 2:15 2:30 2:45 |Down by Herman's Commerce Program Clyde Barrie Metropolitan Opera, News-Sports Page 'Wakeman's Sports Page Howard Lanin’s Orch. Wakeman’s Sports Page A Cappella Choir 8:30 Ann Leaf, Organist B 3:45 Pimlico Races Week‘ “« o« “« - 'The Kindergarten P End Revue Choral Glee Club Dance Music Today's Winners Wakeman’s Sports Page 4:00 4:15 4:30 4:45 |Eddy Duchin’s Orch. Danish Jubilee Junior Commerce Pimlico Races The Preakness Pimlico Races Top Hatters News—Did You Know? Sundown Revue |Pled Piper Ladies of the Air Enoch Light's Orch. 5:00 5:15 5:30 5:45 |Government News Evening Rhythms News—Scores Terry and Ted | | s | | Message of Israel News Bulletins Dinner Hour Martinez Brothers Hampton Singers Question Bee e Evening Concert News-Songs “Of Great Riches” - » P " National Barn Dance tional Barn Dance”; ‘WJSV, Grace Moore. 8:30 pm.—WRC, Joe Cook’s Show; WOL, Old-Time Melodramas. 9:00 pm.—WJSV, “Your Hit Pa- rade; WMAL, Danish Royal Anniversary. 11:15 pn—WMAL, Slumber Hour. Short-Wave Programs. 7:30pm—BERLIN, “Die Schone Mullerin,” DJD, 254 m., 11.77 meg. 8:00pm—CARACAS, The Waltz Hour, YV5RG, 51.7 m,, 5.8 meg. Saturday Night Party woow Snow Village Sketches Joe Cook now Wakeman's Spor'ts Page Nat Brandwynne's Orch. 6:00 6:15 6:30 6:45 Glenn Carow Arch McDonald ‘Week End Potpourri - “« . Old Melodrama i Danish Jubilee Meredith Willson’s Orch. n oo Behind the News Les Brown's Orch. News Bulletins Slumber Hour wow " The Night Watchman i Night Watcoman (1 9") Joe Cook woom American Homes “The Job Abead” News—Music Supper Dange Bill Strickland’s Orch. |Lee Gordon’s Orch., Preakness Ball w W Midnight Prolic »ow |Sign off Ted Weems® Orch., [Art Brown News—Music ‘WOL Spelling Bee Central Union Mission Howard Theater Orch. Henry King's Orch. | 7:00 1:15 7:30 7:45 8:00 8:15 8:2i 8:45 Professor Quis [Johnnie Presents Grace Moore Saturday Serenade Hit Parade Rhythm Show Rhythm S8how 2 Bunny. Berigan’s Orch. Dick Stabile’s Orch. . Paul Whiteman’s Orch. - |Harry Owens’ Orch. Sterling Young's Orch. |Ray Tommy Tucker's Orch. w Benson's Orch. The Witching Hour [Herman Waldman's Orch.| News Bulletins Tights put Bign Ot MAY 15, 19317. We, the People “Neutrality in Thought” Usually Undermined by Concern Over Foreign Investments. BY JAY FRANKLIN. HE recent neutrality act contains a clause, inserted by the State De- partment, prohibiting the solicitation of funds for foreign wars (international or civil) unless the canvassing agency is licensed by our diplomats. This recalls Woodrow Wilson's request that we re- main “neutral in thougl " in 1914, and how, through such agencies as the American ambulance in France, we undermined our own impartiality. For where one sends one's treasure, one is apt to give one’s heart. At the moment, such a clause would hit the various committees friendly to the Spanish Loyalists and would doubtless lead to a test case a5 to its constitutionality should the State Department try to limit the “inalienable right” of American citizens to support the twentieth century equivalent of foreign missions—the cause of political and social democracy in distant lands. Three recent pieces of writing, by Yankees of three different generations, suggest how hard it will be to maintain even the fiction of mental neutrality as the European drama develops. The first is by a friend and classmate of my father’s, Tom Ripley, whose book, “A Vermont Boyhood,” distills the family chronicles of a tribe of Rutland Yankees in the 1860's and 1870's. The book has the clean tang of good, hard cider, and is worth read- ing for its charm and warm- heartedness. What is important here are the sections about the Civil ‘War. To young New Englanders of fighting age, that mighty conflict must have been magnificent fun. It reminds me of what Justice Oliver Wendell Holmes once told Tom Cor- coran. Corcoran had asked why it was that the young men of New England entered the Civil War with such enthusiasm, as he could not believe that they were really moved by the abolitionist propaganda. Holmes replied that the young New Englanders of his generation had been bored to death, that New England had seemed to be played out, and that the war offered an outlet, adventure, opportunity—regardless of its merits. Boredom is still the great enemy of peace. ‘The second piece of writing is Miss Dorothy Thompson's latest hymn of hate on the fate of the Basque nation. of Milton’s poem on the massacre in Piedmont. noble in diction and high as the Alps in the purity of its sentiment. It recalls the magnificent fury It is stirring, tear-jerking, For the murder of the Basques is a crime against humanity. War, incidentally, is murder. Yet, if American boys die on European soil fighting for the defense of the French, British and Russian Empires, they will owe their heroic deaths in part to the ceaseless tirades of Miss Thompson against the Hitler regime which ran her out of Germany. It is a serious question whether we can indulge in these long- range parorysms of fury against Fascism without eventually com- mitting ourselves to the forcible destruction of the Fascist nations. In all honesty, writers ought to ask themselves the ultimate effect of their propaganda against certain foreign governments and certain Joreign peoples. One need have mo sympathy for the methods of Fascism and Communism to point out that their suppression can be ‘made our business only if we are prepared to finance, fight and die Jor European democracy. Are we 3o prepared to finance, fight and die for European democracy? Are we 30 prepared? The third, and most encouraging, piece of writing is an article entitled ‘“War Mongering on the Left” recently written by Alfred M. Bingham and published in his hard-headed weekly paper, Common Sense. Mr. Bingham is an American radical who takes his doctrines from Tom Paine, Andy Jackson and Abe Lincoln, rather than from Karl Marx or Leon Trotzky. He has had the honesty to see and the moral courage to say that the present indiscriminate, emotional anti-fascism of American liberals is making our public opinion a pawn in the European diplomatic game. And pawns are usually sacrificed in politics, no less than in chess. All of Mr. Bingham's arguments may not stand up, but on the main issue he is eternally right. Just as in 1914-1917, our liberals, radicals, pacifists and internationalists are persuading themselves that war of a certain noble-minded sort is quite all right. And the only sort of war they would now support would be, in fact, a war to defend the great “have” nations—Russia, France and Great Britain—from the most aggressive “have nots"—Italy, Germany and Japan. Alfred Bingham probably will pay for his courage by being quickly branded as a Nazi agent or worse. Yet his is the first plea for honest neutrality which has yet arisen from the radical ranks. For to come down to cases, we are either going to support the Basques or not going to support them. If we support them effectively, that means armed intervention. If we don’t support them, what moral right have we to encourage them to ‘“resist to the last man?” I admire the Basques; 1 sympathize strongly with the Spanish Loyalists; I belteve that Mussolini and Hitler, in carrying their warfare into Spain, have forfeited their last claim to plead that fascism is the private affair of the Italian and German peoples and hence not properly subject to foreign criticism or interference. But I contend that if we are going to commit ourselves to open in- tervention in Europe—even an emotional intervention—it should be on our own terms and not for the convenience of either side in the great diplomatic scramble for the boodle of the Eastern Hemisphere. (Copyright, 1937.) BILL IS CONSIDERED ON MEDICAL CENTER Institution for Navy Here at Maximum $4,850,000 Cost Sought. ‘The House Naval Affairs Committee yesterday considered the bill spon- sored by Chairman Vinson for a new naval medical center in Washington at a cost not to exceed $4,850,000. The bill does not limit the amount that can be spent for a site, but Vin- son said the cost of the land should be limited to not more than 10 per cent of the total authorization. The site for the proposed medical center has not been selected, but Rear Admiral Perceval S. Rossiter, the surgeon general, disclosed that two sites on Conduit road are under con- sideration—one at American Uni- versity and the other on the East- West Highway near the entrance to Rock Creek Park. He said another desirable site, which can not be seri- ously considered because of the cost, is the McLean estate. Admiral Rossiter disclosed that in designing the new medical center a 600-bed hospital would be the nucleus, with a possible expansion to 1,600 to 1800 beds to meet wartime needs. ‘The question of wartime requirements resulted from a statement by Repre- sentative Maas, Republican, of Minne- sota, that the basis of expansion is overestimated, that there is no need at the present time for more beds and that in the future the bed requirement would decrease. ‘The present hospital, which has 178 beds, is wholly inadequate, Admiral Rossister said. He emphasized that on the present site there is no room for wartime expansion. He explained that already & new War Department build- ing has been authorized to the east of the present site, with the prospect that a new Navy building will be erect- ed to the west of the present site. —— When Swedes Bowed. Nations like styles change. At the beginning of the eighteenth century when Peter the Great became ruler of Russia, Sweeden was among the first in military power in Europe and when Peter first beat the Swedes in battle his success gave him unbounded joy. “We beat the Swedes,” he said, “because we have just double the num- ber of soldiers, but we will learn to beat them with equal numbers.” “Benjamin’s Cup” WISV SUNDAY, 1:30 P.M. Compliments Washington Flour U. S. AIR OFFICIALS TO SEE RADIO LANDING Test to Be Made on Plan for Bringing Planes In by Radio. A score of Federal aviation officials, radio and aviation engineers and technical experts left Washington Air- port yesterday aboard a special flagship of American Airlines to witness the first official radio landing tests for transport airplanes, to be made at Indianapolis. The tests are being made under di- rection of the International Telegraph & Telephone Co., with American Air- lines, Transcontinental and Western Air and United Airlines furnishing transport airplanes and radio experts for the tests. Among the Washington group were Senator Minton of Indiana, Lieut. Comdr. G. B. H. Hall, Navy Bureau of Aeronautics: E. L. White, Federal | Communications Commission; E. J. Girard, Mackey Radio Corp.; Comdr. C. T. Solt, Coast Guard aviation, and W. E. Jackson, Bureau of Air Com- merce. Dr. Ernest Kramer, director of the Lorenz Co, of Berlin, which devel- oped the system now under test at Indianapolis, was a member of the party, which was led by George Lewis of the I. T. & T. An American You Should Know Conway P. Coe Puts Patent Office on Paying Basis. BY DELIA PYNCHON. N THE heart of a country opposed to monopoly functions our patent system, authorized by the Consti« tution in 1790. Industrial suprem- acy rests upon the property rights so allocated. Business is founded upon patent monopolies. 1If it were not so any man could steal another's brains. ‘The mantle of patent performance has fallen upon Conway P. Coe's youthful shoulders. He is commis- sioner of the Patent Office, Departe ment of Com- merce. Reputed the youngest € om m issioner, Coe says that each week is re- lieving that cone dition. His face is strong, his hair black, his brown eyes serious, his manner alert, his record efficient. For each of the 12 years prior to 1933, when Coe was appointed, a deficit cesulted. Receipts are now greater than expene ditures. The son of a Methodist minister at Dunkirk, Md., where Coe was born, he has spent his life since graduation from Randolph-Macon College in 1918 either in the Patent Office as an ex- aminer or practicing patent law. He studied law nights at George Washe ington, receiving his LL. B. in 1923. The Patent Office grants patents, registers trade-marks. Its corner stone is secrecy, its watchword industrial progress. As many patents are re- fused as accepted. This causes much litigation between the Patent Office and the inventor on the scope of his satent. It must have novelty, utility. If it does not come up to the standards of inventive genius, specified in patent laws, the application is refused. Coe says that he is the defendant of more litigation than any Federal official in Washington. The United States mare shal is a daily visitor. If the application is granted, the in= ventor is presented with a stamped certificate which gives him an exclu- sive right “to make, use and vend" the invention for 17 years. Coe says, “We give it a pat on the back, wish it Godspeed.” Infringement is in the hands of the courts. Last year the Patent Office celes brated a centennial, a century of proge ress since patent laws were changed, in 1836. Personnel was then eight persons, including the commissioner. It is now 1,450, occupies one-third of the giant Commerce Building and has Conway P. Cee. | granted 2,075,000 patents in that time. “It is the most accurate barometer of business and trade in the country,” Coe says. Pursuing this thought fure ther, he says that “new inventions have followed business curves” Ine ventive genius is stimulated by prose perity, which brings opportunity. In | 1929 inventions reached the high- water mark, subsequently declined one- third, picked up gradually and have been stabilized since 1934. LABOR’S RESPONSIBILITY DEBATE TOPIC TONIGHT Alvey Society of National Uni- versity Law School to Argue Question. The Alvey Debating Society of Na- tional University Law School will ar- gue at 7:30 o'clock tonight that labor unions shoulid not be forced to incor- porate and accept responsibility for acts of their members. Upholding the affirmative of the sub= ject, “Resolved, That all labor unions shall be incorporated and be held liable for the torts of their members,” will be a picked debating team of the school’s freshman class. The de- bate will be held in the university's lower hall, 818 Thirteenth street. The freshman team is composed of Miss Marion De Belle, Earl I. Kline and Bryan Gordon, jr. The Alvey Society team comprises Stanley B. Rider, Miss Leila Terrill and Spiros J. Gianaris. War Plan Fails. Every military nation is busy plane ning for offense and defense, their best laid plans, like human beings, fallible. France's professional soldiers had been going over the strategy of a Franco-German war long before 1914, but their famous “Plan No. 17" proved so wrong that within a month after war's outbreak in 1914 the Ger- | man armies were within 30 miles | of Paris only to be foiled by the mis- carriage of their own long and care- fully made plans. You Can’t Afford NOT to Renovize The Eberly Way Check Up NOW on Needed Repairs or Improvements Prevention is better than cure is an old and true saying. So after the siege of one season and before the What more eovld be said? *ICA very satisfactory job, with thonks. Dr.J.C* *Orivinal of this letter on flle advent of mind. the next it is a good plan to look the house over and see where there are weaknesses that need strengthening; and to go forward with the renovizing you have had in The Eberly Plan can be of very practical and efficient assistance in both renovizing and modernizing, and when you bring us into your service you may be sure that we make your interests our interest. A. 1108 K N.W. One Shm(mf—Onc Responsibility—One Modest Profit A Eberly’s Sons In Our 88tk Year Di. 6557