Evening Star Newspaper, February 19, 1940, Page 4

nk's Report Hailed as Liberal and Forward Looking Farm Subsidy Favored; Trade Pact Approval By Congress Asked (Continued From First Page.) and that it would be of great assist- ance to the party. Senator Davis of Pennsylvania took a similar view, expressing pa- ticular satisfaction with that sec- tion of the report which deals with foreign trade agreements. He said he thought many parts of the report could well be incorporated in the national platform. A Democratic comment, from Sen- ator Pepper, of Florida, was not so favorable. He said: “The report states as cogently as it probably could the symptoms of that disease from which the Repub- licans are afflicted: “Out-itis.’” The report charges the New Deal with inaugurating in this country a philosophy of “defeatism,” with the adoption of “reactionary” economics, with waste of public funds and rankly partisan administration. *“Big Government” Called Bugbear. It charges that under the New Deal “big Government” has become the bugbear of America—instead of “big business.” “The economic program of the New Deal, despite sporadic reversals of policy, has rested essentially on the control of production, the cre- ation of scarcity, and the boosting of prices,” the report says, “At the turn of the century, this was the precise program of the least enlight- ened leadership of big business. Lib- eralism fought this program then. But by some strange twist of think- ing, these policies which were at- tacked as reactionary and as a threat to the wellbeing of the people, when followed by big business then, are definied by the New Deal leader- ship as liberal and essential instru- ments of social progress, when fol- lowed by big Government now. We are, as a result, faced with the problem of unduly centralized po- litical power.” ‘The report, which Republicans today insisted is both forward look- ing and liberal, demands that the United States remain at peace and be not involved in the wars abroad and at the same time strongly urges adequate national defense—ade- quate not only to protect this coun- try but to enforce the Monroe Doc- trine, protecting the Western Hemi- sphere. It adheres to the theory of free private enterprise—but with “pro- tective” Government regulation. It demands that adequate govern- mental relief be accorded the un- employed until recovery has been attained—but insists that the ad- ministration of relief be decentral- ized and taken out of partisan politics. Favors Farm Subsidy. 1t urges greater agricultural pro- duction—but insists upon the retire- ment of marginal and submarginal lands from production, upon, soil conservation And upon some king of Government subsidy to the farm~ ers for the present. . It stands squarely for the prin- eiple of collective bargaining and urges its adoption upon all indus- try—but it urges revision of the National Labor Relations Act so as to make it more fairly administered for both labor and employer and as between labor organization and labor organization. It urges that the determination of the hours and wages of labor be left to collective bargaining—‘ex- cept in situations where minimum wages and maximum hour regula- tion is necessary to protect groups of workers not in a position to pro- tect themselves by collective bar- gaining.” In this connection the report says: *“If the Federal Government as- sumes anything like general respon- sibility for the advance of wages and the determination of hours, beyond the protective minimum suggested, the stage is set for the ultimate political domination of or- ganized labor.” The report stands generally for the Social Security Act—as amended by removing the gigantic reserve of $47,000,000,000. It approves the old- age insurance and assistance provi- sions and those for unemployment insurance. Health Safeguard Urged. It strongly urges that steps be taken to safeguard and improve the public health and to help the ordi- nary citizen to have better facilities for medical care—but with the ex- {sting private medical agencies and physiclans playing their part as well as the Government. It urges repeal of the emergency powers of the President over the currency, the creation of a compe- tent monetary and banking commis- sion and the eventual restoration of & gold standard. It proposes ‘“realistic” negotia- tions of trade agreements with for- eign nations, the agreements to be subject to concurrent approval by both houses of Congress. ‘The Program Committee, stressing the importance of this country’s for- eign relations as of today, opened its report with a discussion of the European war and -American policy. “It is imperative,” says the report, “that nothing be permitted to un- steady the judgment of the Ameri- can people or their leaders in deal- ing with the delicate issues raised by the European conflict.” Because “our own internal situa- tion is radically different” America faces a garver decision than it did in 1917, when this country entered the World War, the report main- tains, adding: S The Program Committee reports that the situation in this country is very bad—after seven New Deal years. It cites the following: More than 10,000,000 American unem- ployed, a lower standard of living than a decade ago, the creation of new enterprises virtually at a stand- still, the heaviest tax burden in the Nation’s history and a national debt doubled since the beginning of the New Deal administration and now more than $42,000,000.000 The report asserts that the New Deal sought to advance its social liberalism through economic poli- cies, which, historically and in their current effect on American enter- , are profoundly reactionary. ore, the New Deal assumed that America was “running down” b ¥ Here are excerpts from the report of the Republican Program Com- mittee: The committee does not attempt to write a platform. That responsi- bility rests upon the national con- vention. In this document the Committee undertakes to refiect. its analysis of the philosophy, policies and actual results of the present ad- ministration and to throw into con- trast thereto what, in its judgment, should be the guiding principles of national policy for dealing with the problem of getting our national economy into sustained high gear. We are still suffering the after effects of our involvement in the World War. Our plunging into this war would far more seriously affect our future as a Nation. The decision that now confronts us is graver in its implications than the decision that confronted us in 1917, because our own internal situation is rad- ically different. Items in Balance Sheet Of Actual Results. Here are typical items in the bal- ance sheet of actual results as they stood in the late summer of 1939, when conditions reflected the effect of New Deal policies instead of the war-induced upswing: (1) More than 10,000,000 American unemployed. (2) A lower standard of living than a decade ago. (3) The creation of new enter- prises virtually at a standstill, the modernization and expansion of ex- isting enterprises deferred. - (4) Labor involved in extensive and costly disputes, with its organ- ized ranks torn by civil war and its annual income lower despite higher hourly wage rates. (5) Farm prices neither stable nor satisfactory and the basic probe lems of agriculture no nearer solu- tion than before the administra- tion’s exercise of sweeping controls over farms and farmers. (6) The doors of economic oppor- tunity barricaded to youth by the sluggish conditions of American en- terprise. (1) Government expenditures, ex- cluding postal receipts and debt re- tirement, of $9210,091,000 in 1939, against $3,863,544,000 in 1933. (8) The heaviest tax burden in the Nation’s history. (9 A national debt doubled by the end of 1939—increased from less than 21 billions at the beginning of the New Deal administration to ap- proximately $42,000,000,000, not in- cluding nearly $6,000,000.000 of obli- gations guaranteed by the Federal Government. The six years preceding the New Deal and the first six years of the Mew Deal afford a suggestive com- parison. Of the six years before the Nev;t Denldthree ‘were years of pros- perity and three were y; of _de- pression, tn‘d-ot the nn‘i. :x of the “New “Deal thiere has been four of “rise” and two af “reces- sion.” The record is revesling. 4 (1) The average annual pay roll in all industries for the six years preceding the New Deal was $38,760,- %n.ooo; Jor the Arst six yhars of.the ew Deal $30,446,000,000. (Natjonal Industrial Conference Board.) (2) The average number of strikes annually for the six years preced- ing the New Deal was 753, the aver- age number of workers involved was 296,954, and man-days idle 10,819,019; for the first six years of the New Deal the average number of strikes annually was 2,541, the average num- ber of workers involved 1,181,637, and man-days idle 17,232,583, (Bureau of Labor statistics.) (3) The average index of farm prices of all agricultural products for the six years preceding the New Deal was 118.7; for the first six years of the New Deal 90.7. (Bureau of Agricultural economics.) (4) The average index of depart- ment store sales for the six ye preceding the New Deal was 98.16; for the first six years of the New Deal 81. (Federal Reserve—Division of research and statistics,) (5) The average annual value of construction for the six years pre- ceding the New Deal was $4,608,000,- 000; for the first six years of the New Deal $2239,200000. (F. W. Dodge Corp. reports:) (6) The aveiage annual volume of new domestic corporate issues for the six years preceding the New Deal was $4,060,000,000; for the first six years of the New Deal $672,000,~ 000. (Commercial and Financial Chronicle.) Leaders Misunderstand Economic America. In recent months business has im- proved rapidly under the stimulus ——— e and turned its back on the expan- sion of enterprise. “No leadership can produce a movement of hope,” the report con- tinues, “if it begins with the as- sumption that the clock of the na- tional economy is running down.” Not only is the New Deal accused of handling relief along partisan political lines, but it is charged with having discriminated against the Negroes—placing them in a special relief class. The report says: “The burden of the depression has fallen with an extraordinarily heavy impact upon our Negro citizens. This has been added to the fact that, in their sincere struggle to establish for themselves a rightful and self- respecting place in the productive enterprise of the country, they have faced and still face the fact of racial discrimination.” % Included in the membership of the committee of 200 which framed :the the District of Columbia, were. the following residents of the District: Dr. Arthur C. Christle, Clyde D. Garrett, Mrs. John D. Gross, Miss Marie L. Obenauer and Mrs. Cooper B. Rhodes. G. G. L. INCOME TAX Part-Time Bookkc:g’i:_gc Soic,o report, representing every State ‘and | THE EVENING STAR, WASHINGTON, D. C., MONDAY, FEBRUARY 19, 1840, Excerpts From Frank Report G. O. P. Program Committee Outlines A Plan for ‘a Dynamic America’ of war in Europe, but a rise in the recovery curve so induced is unde- pendable. The primary reason for the eco- nomic failure of the New Deal goes beyond detalled errors in legisla- tion, administration and the selec- tion of Federal personnel. It les in the fact that despite the ideals it has expressed for social America the New Deal leadership has almost completely misuriderstood economic America. ‘The economic program of the New Deal, despite sporadic reversals of policy, has rested essentially on the control of production, the creation of scarcity and the boosting of prices. At the turn of the centurv this was the precise pr of the least-enlightened leadership of big business. Stagnation of Enterprise ‘Threatened by Policies. Nb leadership can produce a movement of hope if it begins with the assumption that the clock of the national economy is running down, that ‘its mechanism has be- come so faulty that it can be kept going only if continuously run by hand—the hand of the Federal Gov- ernment. And no leadership, believing this, could be expected to do other than the New Deal leadership has done— namely, to turn its attention to re- distributing the fruits of existing enterprise rather than to ways and means of expanding the Nation's enterprise. The committee is convinced, not by wishful thinking or blind op- timism, but by the facts it has as- sembled and analyzed, that Ameri- can enterprise can expand more, offer more investment opportuni- ties for savings, provide more jobs for workers in factories and on farms and create more profitable outlets for the energies of the peo- ple generally in the next 25 years than it did in the 25 years before 1929, if too many hurdles are not thrown in its path by either the public policies of Government or the private policies of business. U. 8. S8hould Keep Out Of War in Europe. In the forefront of our foreign policy must be the avoidance of all commitments and courses of action that might involve us in other peo- ples’ wars. When such wars are on, we must observe & scrupulous gov- ernmental neutrality. There are spe- cial reasons, rooted in our domestic situation, why we should keep out of the present war in Europe. But we shall keep out not by neutrality legislation, however thoroughgoing, but only as the people will that we keep out and as national leadership resolutely seeks to calm the tem- We will Loan You an Instrument without Charge! No need now to put off starting lessons on that instrument you have al- ways wanted to know how to play! On this special plan we loan you the instrument of your choice without charge or deposit of any kind— the only cost to you be- ing a nominal fee for PRIVATE LESSONS which you pay for as they are taken—not in advance. You are free to take the instrumént home for practice if you wish. We give lessons on accordion, saxaphone, marimba, xylo- phone, cornet, trumpet, guitar, violin, clarinet, trombone and drums. Largest and best- equipped studios in the city. per and hold in balance the judg- ment of the public mind. It is increasingly clear that our defensive forces must be powerful enough to act effectively in pro- tecting the Western Hemisphere from aggression. *x x ¥ We should make clear in our foreign policy pronouncements * * * that we stand ready to co-operate, if and when co-operation is possible, in clearing away the obstacles to such access to raw materials and such flow of international trade as will enable the vigorous forces of the modern productive system to make their full contribution to well- being the world around. PFirst, we must fully protect our own national living standards, the wages of our workers and the in- come of our farmers. However fully Wwe may recognize the long-run fal- lacy of the present world epidemic of trade resmc‘trl‘t:‘t*u. we must not indulge in any e policies at this time that will make the United States the dumping ground for the subsidized and politically managed exports of other countries. Second, we must try to increase our foreign trade by every measure available consistent.with the protec- tion of our living standards, the wages of our workers and the in- come of our farmers, This will re- quire & constructive administration of our tariff relationships. The measures that may be taken will be varied. Some tariffs may have whhe raised, some lowered, some left alone. Workers’ Security Depends On National Prosperity. The security and welfare of the industrial workers of the United States depends upon the sustained prosperity of the national economy a8 a whole, Republican leadership recognized the principle of collective action and corporate responsibility some 56 years ago. In its reiteration of this principle the National Labor Rela- tions Act raises no issue. The right of labor to organize and to bargain collectively cannot be made an issue b't'len‘ two intelligent political parties. ‘There is, however, in the judg- ment of this committee, justified dissatisfaction with varied aspects of the National Labor Relations Act and with its administration by thé National Labor Relations Board. ‘The act, as interpreted by its ad- ministrators, has gone to absurd lengths in making virtually impos- sible any process of common coun- sel between employers and employes other than the formal procedure of | 4 collective when a dispute is on. It has, in effect, built a wall between employers and employes. Seven Points Suggested In Labor Act Procedure. ‘The National Labor Relations Act requires responsible amendment alike in the interest of American workers and in the interest of a productive functioning of American enf Lo e ‘To be productive of the maximum possible benefit to American workers and to American enterprise, the National Labor Relations Act and its administration must: ' (1) se- cure equality of treatment to all parties concerned, (2) insure ad- ministration by men of demon- strated capacity for fairness and im- partiality, (3) prevent governmental favoritism between labor unions in their controversies with other unions and between employes and employ- ers in their controversies, (4) give to employes and employers alike, by prov, of law and not at the tion of the board, the right to initiate proceedings before the board, (5) give to all interested par- ties adequate notice of hearings and the right to participate in them, (6) insure to all parties the ele- mentary processes of fair hearing and court review, which should mark the procedure of all regulatory agencies, (7) protect rather than limit the civil liberties of both em- ployes and employers, (8) penalize unfair practices by whomever com- mitted and (9) see to it that no union, which becomes an exclusive bargaining agency, discriminates against the employment of workers on grounds of race, religion, or by (Continued on Page A-5, Col. 1.) e why you'tl approve of the St. Mm":x“... 1000 lovely rooms with bath' and redio, many overtooking Central Park. 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