FACE FOUR

THE DAILY REFLECTOR, GREENVILLE, N.

WdneMlr> 17, 189

Wednesday, June 17, 1959

Lets Face It, Pop

Brief Respite For Tobacco Folk

From farmers to manufacturers, the tobacco industry has an important four-to-five year period ahead of it in which to make necessary adjustments which will secure the industrys future at home and abroad.

Passage by Congress of the bill which will freeze tobacco support prices at the 1958 level for the next four to five years awaits only the signature of the President to become law. And in spite of the opposition by Secretary Benson and the Utpublican administration generally to the bill, it appears assured for the President's signature. Even President Eisenhower and Secretary Benson cannot disregard the fact that the administration's substitute proposal for a three-year freeze on tobacco support prices was defeated 128-65 in the House.

Tne freeze on tobacco support prices at the 1958 Icvid affords the tobacco industry an opportunity to make important and vital adjustments which will assure a place lor American flue-cured tobacco in the world market. It will slow the pace at which American producers have been pricing themselves out of world markets, and it will afford an opportunity for rebuilding lost world trade.

Further the freeze on support prices greatly reduces the economic hazard which has previously faced the Stabilization Corporation that has been a backbone of the support program so far as farmers are concerned. It has been evident that Stabilization could not withstand indefinitely the financial pressure put on it in the past few years. And if Stabilization ever coi-

Greater Service Education

io

By I.YNN MSBKT

SCHOOLS Despite the fact it appropriated fewer dollars than the educatonal forces dc-alred or needed for most effective work, opinion is wideapread that the General Assembly now coinlns to a close rendered greater service to the public schools and colleges than any of its recent predecessors. The public knows now, and professional educators have conceded, that money 1 not the sole need perhaps not the most vital need of the total program.

The areas of responsibUlty between the BtaU* Hoard of Hlgh-ei Education and the boards of trustees ol the several Instltu tions of higher learning were more clearly defined, removing cause for friction.

Legislation dealing with the admlnistiation and curriculum In the public schools, while less definite than at the college level, accomplished some recognized improvements. Probably greater service was rendered In committee disciisslons of bills which did not pass, but which pliipulnt-ed weak places In the organizational structure.

In previous Legislatures almost complete attention was given to money. The 1957 session autho rl*ed a commission to study public school financing, the only real study of the situation. The report of that commission sparked some of the hottest debates this year. The main point placing larger share of the burden on local units, including the State incentive fund to be matched on gradualed scale by coiinlh's, found lew friends In the Leglslulure. Publicity of the discussions pro ved the weakness in a wholly Stale financed system, Just as the 1955 and 195H debates on pupil a.sslgnment proved Inudenuary of full State control in that area

ADMINISTRATION A news conference reference by Oover-uor Hodges to friction between the appointed State Hoard of Education and the elected Superintendent of Public Instruction ius|)lred two or three Idlls de signed to gieatly reduce tlie Sup-erlnlendeiil.s auUunity over per soniiel in hLs department and textbook selection. The.se hills failed of passage, but ilu'y called attention to need tr clarlllca-Uon In this field. Money was not involved here.

Very few If any dollars were Involved In other measure.s call iiig tor a Kl-month 11 grade system In llcu of the present 9 mouth 12-grade plan and for a tuggercd system of terms iluii would ulillzc facllUles 12 moiillis In the year Instead of nine. Thc.se Ideas proposed to get more ef-ficieney out of lax dollars spent for schools, rather than to save money or increase spending.

BASIC - Behind all of these bills and discussion was the fun

oamenlaJ issue, more o(ten implied than expressed, of whether control of the schools, from first grade through post graduate university courses, should be turned over to professional eductttora or retained in the composite lay citizenship which pay* the taxes to support tiic prog-larn.

The arguments were never so crudely phrased, but essentially the difference Is this; The pro-lessors, teachers and technically trained administrators contend it IS a speciality operation, some what like courts and hospitals. Proponents of larger lay cltbxm-shlp control Insist that were paying the bills and we are en lILled to larger voice la how our money Is spent

Not much progress was made this year In solving that basic problem, Init It has lieen brought to public attention to far grcat-rr degree than ever before.

8TATE-LOCAL It is axiomatic that the folks who pay the fiddler are entitled to all the tunes. North Carolina is unique atnong the big states with diversified interests in under-viitlng the full cost for a minimum standard of public schools. Emphasis Is on the minimum. If local units levy extra taxes Iqr special services, they feel they have a light to say how that extra money shall be spent, hlnce no loeal unit puts as much Into its schools as does the State, the State reserves the right to mil the tunes on all baste policies, Including curriculum.

An Interesting side comment on that point has to do with the Htate legisla live appointment of county boards of education, rather than local election compar-ible to county commissioners. The cummlHKloners levy and dl.s-burse Uaial advalorem tax mon cy. whereas the board deals biulnly wlMi State collected and appi'uprlaled taxes. The State tuis the right, and it has obUgnllon to people in all the other countle.s. to retain control over the ex-tenulllure of Stale funds. Trouble I tijne.'i when the Btute hIho seeks lull control over locally levied tax money,

From I9: to 1955 the trend Wits toward a fully unified Stale controlled publle sc1uh)1 sysleni. In 19.5.5, 51 and *.57 the Slate moved out of control over pup tl R.ssignment and operation of school buses No material changes have ijeen made In 1959 but developmenUi during this se.Hslon clearly tndicate that within tho t.rxl four or six years North (aro lina niiiRi face up squarely to Hie question of whrllirr It will irlain a Slate sy.Hti'in ir revert to local aulouoiny in putillc .scliool admlntslrallon Biingtim that Issue Into focius was a defintle contribution of fhe General A.s-scmbly w hich is now on li.s death-lied

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lapsed, the entire tobacco program would collap.se with it.

While the freeze of support prices at the 1958 level is good news for farmers in the long run, the move may well produce some immediate problems which producers will have to seek to overcome. Support prices will not increase year-to-year as has been the ca.se in the past. That means, of course, that farmers can no longer expect the increase in support prices to overcome the increase in production costs which he experiences from year to year. He must pay closer attention to his costs and seek to hold them down.

The new law also means that farmers, in order to maintain their relative position in the overall economic picture must strive to produce a better quality of tobacco in order to command a higher price on warehouse floors. They mu.st place greater emphasi.s OH producing the kind of tobacco most in demand by both domestic and foreign purchasers.

This breathing spell offered by the freezing of tobacco support prices is not in iUelt an answer to the severe problems which face the tobacco industry. It provides, however, a period in which greater security is offered the tobacco industry while it works out solutions to its problems.

If the time gained by this Congressional action is not used constructively to make readjustments in the tobacco industry, producers undoubtedly will find them.selvts in a worse position at the end of the price-freeze period than they are now. During this four-to-five year breathing spell diligent efforts must be made at all hwels of the tobacco industryfrom the producer to the manufacturerto bring about more permanent solutions to the problems which face the American tobacco industry.

Unless the time is used wisely, we have merely postponed the day of execution . . . not prevented it from coming about.

A Little Nest-Egg To Be Used In The Future

Cov. Hodges withholding tax windfall idea which ha,s made such a big hit with the legislature this year sceHLS to have put a windfall idea into the heads of those legislators who hope to be back in their old .seats in Raleigh two year.s from now.

It looks like they might be eying a little windfall of their own to help cope with the huge tax problem which appears inescapable two years from now.

Ihe legislaiure has tentatively given approval to the withholding system for collecting individual income taxes. It balked on making the same provision for all corporations although it did write into the law' a provision which w'ould make the 41 largest corporations in the state subject to a pay-as-you-go income tax system.

By holding off on putting all corporations under the withholding method, perhap.s the legislature is seeking to defer a little tax windfall until 1961. If in 1961 all corporations are put under the pay-as-you-go system for income taxes, the slate would collect two years corporation taxes in one year just as it will do next year with individual income taxes and taxe.s of the 41 largest corporations.

Such a windfall in 1961 would not be nearly as large as the one next year, but at least it would help overcome a portion of the need for more .state revenue.

Actually, there is little real reason for not putting all corporations of the state under the pay-as-you-go .sy.stem if some of them are going to be under it. They all slirmld be treated alike just as all taxpayersbusinesses or individualsshould be treated alike.

Most of the legislators probal)ly realize this. And mi>si of them probably realize that with the need for increasing state revenue after the coming bientiium, the 1961 session probably will expand the withholding idea for income tax collections. Every extra dollar they can gel then by double eollections in one year will cjisc the new revenue problem by that much.

'fhe fact that most of the slates corporations luive escaped the pay-as-you-go income tax collection fur llto coming bicninium is not, in our opinion, grounds for thinking these corporations will escape the system two years from now.

It looks to us more like the legislators who hope* to be bark in Raleigh in 1961 are creating for tlnmi-Milves a little artificial nest egg with which to begin their all-out search for new' revenue sources to get the slate by the 1962-6.1 biennium.

Other Editors Saying...

now Long;

?

(Wanhlnglon OmII.v Nrwt) Pctialr 0 North Carolina are ttrxUuunu io a.*ik an cmharraj.Ming qiiratlon, and aa of Ihis datr no real an.HWpr ha.a laren glvrii Mow Iona will National Guard troops leniatn in Hmdeiwon at tlir atrikf bound Haniel-Hendri'-Hoti ndll.s?

Tin* quc.stton b bocomlns more pionuuiiced with tlje nowa that Vance county ha.s hkhi rcfiiaed to hire additional law cnfurcC' mcnt officer." .*to that guardJmen can be relieved The coiuily take." Itiat atldude that maintain-iiut law and order at the mill prenvUea la a mutter of .slate re."ipoiralblUly rather than county lesponaiblllly We are told that it la eo."sttn ihi* Inte of North Carolina

ut)oul $r,(kKl a day to keep the irostpa arpund the mill. In the eoursc of a ms>i\lh that meana

that the Htale of Noitl ("arollna .vtll spend approxtmaicly $159.-(*00 And the .slate ol North

tarohim la bearlns the entire exten.se

Of course, there is the argiv meat that it is Iretter for the slate to bear auch an expense rather than see death and prot>erly

ueatruclion ride in the wake of mis coetly strike If the uuardsinen are withdrawn. wiil law and order break dow'n? Mahy people honestly feel Ihaf If the auarAsmen leave the scene that violence will erupt to a dearer not yet seen during all the long weeks and months of tid.s .strike Ttie state has sluiwn Its interest III inHUdinnlUK law and order be ran.ir of the pre.sencc of the uooifi But if the union and nian-

- I'hA NOT

the 8e^t

\WOMAN.'

By DON SCHLIENZ

New Blue-Water Fisher

A glowing nicest time I can remember, was her verdict; and the lady had a point.

She w'as still living in the heady excitement that lingers after a good days fishing. But there wa.s more to it than that.

Mrs. Thelma Elks has lived the

"typical Hie" of a Pitt County farmwiie. . .and when one has .said that, the details are superfluous.

In the summer months, when the pressure Is briefly eased. I've known her to occasionally go fishing. I rather think the peace

lexas iwins m A Strange Spo

agcment are as interested in law and order as they profc.4.s. why couldnt they at least pay part of the expense of maintaining peace there? The union has called for the removal of the trt>otw many times.

A special force could be hired to keep the peace there. If the mill, the union, and Uie slate w ould each bear one ildrd of the ctwt of such a .special force. If wouldn't take, long to bring iome semblance of real pnice there.

We want to see order malntain-fd. Btd we see In the present sduation a never ending silua-tion If fl>e agitators are Jiust watting for the removal of trooi to engage In all out violence, then certainly law abiding citizen will think twice l)eiore leaving the premises unguarded.

We cant keep tMistponlng an ultmate tieclslon in this matter In Hendei.*on There is coming a unie when the people are going to deniHiul that the stiite witli-draw the troop.s to avoid the heavy financial ckhux Tliat might be a dark day for the tH'pje ol Henderson ami Vance county. Indefinitely" m a word which has been banded around a great deal of late And when people are told that troops will be tliere indefinitely," they also realize that it wUl coat $5,(XHi per day "Indeniiltcly."

How' lung Is the big qiK'stlon now Ami when we realize that so many of the atrlkers own their iiomea elo.se to the mill and that they can't pick up and leave ra.Ml>. then that word im1e-fmilely" takes ou added sigiuti-caucA.

By JAMES MARLOW

WASHINGTON (AP) Those powerful Texas twins Sen. Lyndon B. Johnson and Speaker Sam Rayburn, leaders of the House and Senate Democrats are in a strange spot for them. They're In the middle.

Republicans berate this heavily Democratic congress, where Johnson and Rayburn are undisputed bosses, for trying to go too far. Now some leading Democrats are swiping at the two Texans for not leading the Democrats far enough.

ThLs is an odd turn of events for this shrewd pair of politicians. They started this year with a Congress where the Democrats, because of their 19.58 election victory, had an almost overwhelming majority.

It was thought then because of the big Democratic majority and the fact President Eisenhow-f 1 wa.s m the last two years of his second and last term that Johnson and Rayburn, not Ei-.^cnhower, would call the tune und the shots.

The Democrats talked of programs far broader than Elsenhower had in mind. But this was at a lUne when the country still cJdn't know whether It wa.s truly pulling out of the 1958 rece.sslon.

Big programs and big-spend-ingiprograms might have been a neccHssliy if the recession continued. But it didnt. The country w as moving out of rece&slon into another potential boom.

The Elsenhower, probably with tiic help of some smart political advice, found a way to put the Democratic majority on the de-fensSlvr, This was in his campaign - sounded over and over - agatihst the danger of Infla-on and big spending

He put the label big spend-ei.s * on the Demoerals. It made them self-conscious.

But he had a weapon to use against fliem. too. This was the llueat he'd veto any programs which the Democratic run Congress passed but which he considered excessive. It has been a potent weaport, augmented by a constant needling from Repub

lican leaders in Congress against Democratic budget busters.

As a net result, this is a far more conservative Congress than it seemed likely to be at the beginning of the year.

Monday the Senate, where Democrats far outnumber Republicans. backtracked on a bill for federal airport grants, voting to continue for two years the present rate of 63 million dollars a year Instead of the 465 million the Democrats originally wanted over a four-year period.

Some Senate Democrats shook t'lielrh eada over the retreat and said they had been forced to surrender with a loaded veto pen at our heads." But if this wasnt bad enough for Johnson and Rayburn to have to endure, they got something just as bad from Inside their own party.

Over the weekend the Democratic Advisory Council, made up of prominent Democrats, denounced Elsenhowers threat of vetoes on legislation he didnt like.

At the same Ume it cognplain-ed of wateiTng down proposed legislation to the limits of what the President might accept." This W'as interpreted as a sharp crack at the Johnson-Rayburn leadership. Both men have consistently Ignored the council.

Then the council threw in this; it advised the congressional Democrats to pass legislation they ihlnk the country needs even if it is vetoed, since it would make a good campaign issue in the 1960 elections.

Thats free advice but begs the question. If Johnson and Rayburn push legislation they think the country needs, but only to get tt vetoed and end up with 110 legislation at all, the coun-iry is worse off than If Johnson and Rayburn had pushed less far-reaching legislation which Eisenhower did not veto.

In other words, while the Democrats got a talking point in 1HiO. the country would suffer. Since Johnson and Rayburn ignore the council, they'U probably Ignore this and go along on compromLses.

and ever-present anticipation were important factors involved; it couldnt have been the few fish she caught.

And sometime* when we were fishing shed say "Someday I want to try some deep-sea fishing", And Id say something about salt water fish being as uncertain to catcffas fresh water fish. But she stiU wanted to try it, and we'd pass the time talking about the big ones.

Last week she had her chance . . .was Invited to go with a party to Morehead City, and accepted in a hurry.

I first learned about It when we returned home one evening to hear the phone ringing. It was Thelma, tryiiwt to remain calm and just bubbling over with excitement. If she had struck gold, the delight couldnH have been greater. Naturally we had to go see.

There she was. in a shed, up to her elbows in glory and the chore of cleaning a big tub of fish. Most of ttiem ran a pound or so; there were larger ones, including a 40-pounder she had caught

With eyes snapping. Thelma told how fish were at tlines biting so heavily the party was pulling them In two at a time. They caught something around 400 pounds of fish, not counting the ones that were thrown back.

The boat had gone out about 35 miles, and the accomodations, the expanse of calm water and sun-bright sky were just so much frosting to a perfect day.

Some of the party napped, but not Thelma; to her, napping when fish are biting is something one Just doesnt do.

Of course, everyone was happy for her.

You can go fshing time and again, and run Into a good bitlng-day maybe once every other year if that often. But Fortune smiled on Thelma.

A little later, called away from the still-unfinished flsh-cleanlng chore to eat a late supper (fish, of course), the Wgh pitch of excitement began to fade, leaving u) its wake a weary though still enthused convert to deep-sea fishing.

Just before we left, Thelma confided her ambitions included more Gulf Stream fish-catching "You can understand why.

With her kind of luck, I hope 1 go along, too.

Strength For, Today

Bv EARL L. DOUGLASS

REAL - AND IMPORTANT

We make our own heaven and hell as we live our daily lives.

h ranee

Aising

Again

By HAL BOYLB

PARIS (AF) Leaves from a touring notebook:

Those who have been weeping for La Belle France can dry their tears and throw away the crying towel.

She is again tie belle of Europe.

Those who remwnber a Fraiw;# prostrate from World War II would hardly recc^nize her now.

The air of suspicion has disappeared. A fresh air of self-confidence is evident everywhere. The sound of the builder's hammer echoes from one end of the country to the^ther. Industry is rapidly being modernized. Tall apartment dwellings art rising to house the new generation of a more hopeful Prance,

"The standard of living here has been rising faster for the last six years than it has in America, said a veteran . S. business leader.

"The French standard living is now higher than that of Britain or West Germany, said a spokesman for the U.S. Embassy. "It is the highest in Europe.

Most observers seem to feel that a developing financial stability under the leadership of President Charles de Gaulle has accelerated Frances economic betterment. This view also seems shared by most Frenchmen, even by those who disagree with De GauUe politically.

If there is any strong anti-Americanism among the French today, it isnt visible to the average U.S. tourist. His welcome may not' be effusive the French rarely throw their hats in the air at the sight of strangers but it will be cordial and polite,

"Recent polls show Gerlnans now are the most popular foreign visitors among the French, said U.S. Minister Cecil Lyon. "Americans are second, British third, Italians fourth. Russians are the least popular.

Why should the French so willingly extend the glad hand to the Germans less than 15 years after the close of the last great war?

Lyon feels it is a result of two things: Closer economic ties, and De Gaulles open admiration for Chancellor Konrad Adenauer of Germany.

The tourist gets about 17 per cent more for his money now than he did before the devaluation ol the franc. But France is *,tiU no Mecca for the retired man seeking a place to live cheaply.

"The necessities of life here are still relatively high," said cne resident. "A meal that costs a dollar in Washington or New York would cost $2 to $3 in Paris.

But luxury is relatively cheap. An evening in a Parisian night club costs about a fourth as much as an evening in a Manhattan night spot."

+ + -

This does not mean that there is not a place called heaven and another place" which in every way meets the Biblical description of hell. Certainly full justice in this life can only be achieved In another world. Life on this planet is partial, fragmentary, transitory. There is bout life something of an eternal quality which existence on the planet Earth cannot confer. Something has to be made up and fulfilled. Evil has to be reckoned with and settled. It is not so much a matter of rewarding or punishing people as of getting the scales In balance again. They are out of balance. Life here is constricted. The broad field of Oods love calls for eomething vastly bigger and greater than anything we know.

But it is also true that heaven and hell begin here on earth. We can make our own little heavens and our own little hells, and the strange thing about it is that some people seem io like their little hells better than most people like their heavens.

Heaven and hell are definite "places which humanity will know after death. But heaven and hell are also states of mind. Attitudes can change heavea into hell and hell into heaven. Desires inordinately sought after, the fever Induced by frustration these can have both heaven and hell In them.

Heaven and hell are real.

Tax Monster Feeds On Itsel::

By KI MKR ROESSNFK

The Ameikan tax mon.Mer fetnl.N /ui iatteiv on Itself Tliat > one of ttuvie .sweeping .tttteinent.s that, by Us very na nue .stUs doubt, Let's .see If we t an juove it Ainerieaii t.'v.x rates are high so hieh that many undi*rde-\eloi'ed nations think the.v can-I'ot afford cleirioeracy The rates are .so high that to make taxes bearable, Consres.s has cut man.v loophole* There are starxnal conce.4.sion for the blind ami the aedded, the lame and the halt, the young and the I'ld. aivd the jxKir and the rich, I have aren't just fancy words b.ach of Ihavf roups get st>ectal tit nefUs under the Internal Revenue OMh'

BOO,\ TO THi; BOl NTIEU

{\inco.ssuui.s to (lie rich TheiT ate many tthow me a man who la yajuig the tup 91 ccut on

p.yrt of his Income and Ill show you a man In need of a good tax consultant.

One of tlie most handsome benefits is the grant of tax exeinp-t.on on inte*re*t paid on bonds bv .states and auMlvialons

A w ealthy person with his mon- V invested In stocks paying $400.* (Hio a year might have only 582,000 left after PVderal taxes.

But if he put his money in tax-exempt bonds the income would be far better U)an S40Q.OOt) o* taxable income.

Coivvequently. the rich divert their investments to Utx free se-

curUie.x.

REASON FOR EXEMPTION

The rraaon for this exemption that f interefit on their bonds were taxable states and aubdlvl-Mons would have to pay I to 10 er cent for funds However, those seeking tax-exempt income have supported the idea vigor

ously.

With the public clamoring for more schools, roads, parks and jobs, and with plenty of money searching for tax-free havens, state and local official* are surely and sorely tempted to recommend the issuance of mwe and more bonds.

EFFECTS ON TOTAL TAXES

But bonds must eventually be paid off from tax revenue* Aa the total of bonds outstamltng (laes. sum* to pay them off must also Increase, hence state and local taxes must go up.

"State lax increases are aw'eep-ing the country in a recwd number of state Icfialative sessions." Commerce Clearing House, a tax and iaw reporting service, stated a few days ago.

This, then is the pattern; high Federal tax rate* result in more loopholes: loophole.* have resulted m ux-tree bonds; these

bonds require higher state and local taxes to pay prtnclpaia and interest.

Thus higher taxes beget even higher taxes.

BIG TRAVEL YEAR IN PACIFIC FORESEEN

While most of American international travel spending will ba tor journey* to Europe this year, the Pacific area wiU get a als-able share, according to William D. Pattsraons annual report on the travel industry for Travel News, published by the American Society of Travel Agents. Mr. Patterson is associate publisher of Sabirday Review.

"Boom is the word for the Pacific." he wrote. Tourists will fpend 1163 000.900 and military and govcmmenl officials 116.000,-000 more in Hawaii. Japan, Hong Kong and other Pacific places, be calculated.