VACI POURTHE DAILY KEFLECTOR, GREENVILLE. N. fc

Monday, July 13, 1959

Monday, July 13, 1959 .

Do They Unduly Influence Policy?

. How different will it be for Congressional inves- the products of their respective companies.

Ugatcrs to determine proper and improper attempts -a ^

of the companies they represent?

The question of influence of former top brass now employed by private business came to the fore during the testimony of Adm. Hyman G. Rickover who told a House committee that he h|d been called on by former high military officers who "attempted to influence future military programs.

It is no secret, of course, that some of the nations major corporations have been quick to snap up high military officers upon their retirement from service. There has been a pronounced trend in that direction since World War 11. And in the employ of private corporations, these individuals certainly are expected to do what they can to further the interest of the companies they represent. If influencing the future course of the nations military program is part of their duties, they must be expected to carry out such duties. -

The question comes in the manner in which they attempt to exert influence and the degree to which they attempt to shape the countrys future military program.

If it is merely a matter of trying to sell the products of the company they represent, then their efforts are no different from those of thousands of other salesmen who try to persuade government officials to favor

They^re Gonna Need Winners

Meetings Most Of

Cover

Week

By LYNN NISBET PULL WEEK - This will be a full week of meetings for your reporter and for others equally interested in the subject matter up for discussion at the several places.

The meeting of the Board of Conservation and Development at Morehead City Monday and Tuesday, wUI be followed by the Travel Council of North Carolina at Carolina Beach Wednesday and Thursday, and overlapping that will be the North Carolina Press Association at More-head City from Thursday evening through Saturday*

These three groups have the same general overall objective the development and improvement of North Carolina. The C&O board has the broadest scope. The activities of the eight divisions in the C<{D department encompass practically all phases of life in North Carolina.

Listed alphabetically, though not necessarily in rate of importance. these divisions are: Advertising. including news and travel bureaus; Commerce and Industry: Commercial Fisheries; Community Planning, including hurricane rehabilitation; Forestry; Mineral Resources; Parks, Water Resources, including inlets and coastal waterways.

The Travel Council is devoted specifically to co-ordinating efforts of public and private agencies to the promotion of U*avel and tourism, and has direct concern with C4iD operations In advertising. news, parks and water resources.

The newspaper group, while a private business organization also is concerned with all phases of development and progress and works in close cooperation with every agency devoted to tiie same purposes.

C&D - The C&D board will be somewhat crippled at this meeting by reason of the deaths of Robert M. Hanes and Leo Harvey within recent months. Also there are five members whose terms have expired but who were asked to carry on tuUl Governor Hodges gets back from his tour of Russia. The fact that they have been asked to stay on the job leads to conclusion they will be reappointed.

Traditionally the July meeting In odd numbered years, coming at the beginning of the fiscal biennium is the time for reorganization of committee assignments and planning work for the next two years. Because of the absence of Governor Hodges, exofficio chairman of the board, it is expected that most of this planning work will be held up until the fall meeting. Business handled this week will be mainly routine.

TRAVEL COUNCIL The Travel Council meeting may well determine the future course of

that orgaization or actually whether or not it will have much future. Organized about four years with avowed objective, as set out In its charter and by-laws, to serve as a sort of liaison or co-ordinating agency for all the organizations interested in promoting travel to be a council rather than an Individual membership association. The trend during the past two years has been slightly anvay from that course.

Main subject matter on the Carolina Beach agenda is Where do we go from here and how? The Travel Council sponsored the anti-Utterbug campaign and the Keep North Carolina Beautiful projects. It operated in 1958 and again in 1959 very successful See North Carolina campaigns. It has underway an overall study of travel and tourism habits a survey of where people come from and what they want to see or do, availability of eating nd sleeping and recreational accommodations, and such like.

NEWSPAPERS ~ In one sense the North Carolina Press Association has more selfish interests.

In another it is as public-spirited as any organization can possibly be. The newspapers in North Carolina have supported the State advertising program since its inception more than 20 years ago. They have carried hundreds of thousands of dollars worth of display advertising for the State, and have been generously liberal in devoting space for news and feature stories promoting tourist and industrial attractions, but have never accepted a dime of State tax money for any of this publicity.

The program at Morehead City will have spots for discussion of internal business and professional problems, shop talk if you please. But the featured address will be by Leiutenant Governor Burnett Maybank Jr. of South Carolina on the Southern Regional Eduation Boards activities. SREB is a compact among 16 Southern States for cooperation in higher education, through which students from other states are eligible for courses at North Carolina colleges, and Tarheel students are eligible for courses at technical schools which this State cannot maintain.

Through operation of this compact agreement it is not necessary for one State to waste money maintaining a full acale veterinary college, for example, and anotar to do similar wasteful spending in dental or textile schools.

CO-OPERATION The keynote of all three of this weeks conventions on the coast is cooperation the idea of all public and private agencies working together for a common objective of total development, with as little duplication of effort as possible.

connection to exert unreasonable influence on the nations military, then it is entirely another matter.

Certainly the government cant stop salesmen formef high ranking military officers or former buck privatesfrom seeking to sell the products of their companies to the government. Congressional commits tees can and should, however, look into the methods used by these salesmen or company officials in attempting to influence government and military decisions.

Only common sense can be used in drawing the line between proper and improper efforts to exert such influence. It is up to Congressional investigators looking into such matters to draw that line and see that it is adhered to.

In recent years there obviously has been too much influence peddling connected with government contracts and other government functions. The citizens of the nation as a whole in the final analysis have paid the bills for such activities and have suffered because of them.

If former top military officials are involved in improper activities of this sort, they should be exposed in the same manner other individuals involved in such things have been exposed.

One More Report For Tobacco-Cancer Issue

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For the tobacco industry which has been plagued for years with reports tending to relate cigarette smoking with lung cancer, findings of the British In- stitute of Cancer Research should provide some relief.

The Institute declared in a report that in five years of laboratory tests it has been unable to develop' x Lung cancer in mice by expising them to strong doses of cigarette smoke.

Only one mouse, said the Institute, developed even a tumor and that was attributed to a bad case of bronchitis.

Coming on the heels of so many conflicting reports about possible connection between cigarette smoking and lung cancer, this latest report from England further strengthens the contention of the tobacco industry that smoking does not cause cancer. Further the five-year study in Britain should provide additional information which can be used by American scientists doing research in the same field.

The cigarette-cancer scare in this country apparently reached its peak several years ago when several reports in rapid succession tended to link smoking with the disease. Subsequently there w^ere reports which tended to refute implications of earlier findings Asparagus. and cigarette sales which took a sag began to climb moioVmte^ again. This latest report may tend* to give further reassurrance that smoking and lung cancer are notF'O

directly associated. Utner Luitors oaving

It could have the effect of giving cigarette consumption another shot-in-the-arm and thus increase A Iffix 70 the demand for the products of cigarette manufactur- XiiLtri livJLLi V vZ A Oi 1

ifcXAught Studicate, loc.

By HAL BOYLE

earn Throuah The Mat

NEW YORK (AP) Things a columnist might never know if he didnt open his maU:

Do the days seem longer to you now? Well, they are getting iQpg-er. Each year the 24-hour day is lengthened by one hundred thousandth of a second.

It Isnt true that camels, the ships of the desert. can go several weeks or even months without water. The maximum time a working camel can go without a drink is 8 to 10 days.

President Charles de Gaulle of Prance had an odd nickname during his students days at St. Cyr, the French West Point- His fellow cadets called him the

collection of his fiddles to London for sale at $60 each. They were returned to him unsold because of the high price. One of those same violins today would be worth $20,000 or more.

Our quotable notables: If you stick to any opinion long enough. It becomes respectable. Bertrand Russell.

The wooden truth: Despite the widespread increase of plastic and light metal products in this country, the average American still uses twice as much lumber as a Russian, four times as much as an Englishman, and six times as much as a Frenchman.

You hear a lot about how broke old people are. But 40 per cent of all U S. citizens over 65 have fluid assets of at least $2,000.

ers. That in turn could increase the remand for tobacco being produced by farmers in Pitt and other counties of the tobacco region.

This report from London will not be the last on the subject of cigarettes and cancer, but at least it will afford the tobacco industry a breather for the time being at least.

Slow Inflation Impact Reviewed.

The Dsuly Reflector

INCORPORATED Published Every Afternoon Except iinday Established 1882 DAVID JULIAN WHICHARD, Publisher

Entered at Post Ofnea, OreenvtUe, N. 0,, aa aiTaid elass laaO matta?

By Can^r

SUBSCRIPTION RATES

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By RALPH ROBEY

Everyone who follows business news knows we have a Federal Reserve System under the direction of a Board of Governors located in Washington, and twelve regional reserve banks each with its own Board of Directors, The largest of these regional banks is in New York and it. just as all the others, has a research staff and Issues a monthly review. In the June issue of the review there Is a long article on creeping Inflation. which is worthy of attention.

First, the usual arguments for a 2 or 3 per cent annual rise in the price level are presented that it is necessary if the nation is to realize its full growth botential and prevent massive unemployment; that it would encourage investment by. business; that through Increased income no one would lose appreciably; and. that for those who hold bonds or other fixed Interest obligations full protection could be afforded by introducing the principle 0 price level escalation. AU of this is old hat and has been heard so many Umes its amazing it still carries weight. Real Effects Of Little Inflation

Second, the article analyzes what the real effects of even a small annual increase in prices would be on various segments of the economy. This is the significant part of the discussion. Some of the high spots:

If a 61ow but steady rate of general Inflation were to be tolerated as a form of surrender to the inevitability of price Increases In the administered price and organized labor industries, the end result would be the transfer of purchasing power to the workers and management in these Industries at the expense of those whose savings re being depreciated, or who are unable to increase income in pace with price indicases.

->*Anyone lending money wu}d want to stipulate either a very high rate of interest or repayment in escalator dollars or some combination of both. In other words, .creeping Inflation would mean higher, not lower, rates of Interest, and even if It did Increase investment for a

year or so, the mix of this investment boom would, for example, probably include more and more speculative bujdng of land, and discriminate against schools and the other kinds of investments that are essential to provide the structure ... required for long-term growth, As to the international ramifications it is said: deliberate adoption of steady inflation would certainly impair the ability of this countrys producers to compete, both Ino ur own markets and abroad, with those other countries who have learned in their way to dombat inflation, and who are strongly committed to maintaining price'stability. Escalation is not an answer to creeping inflation, In Finland, for exarfiple, where an extensive network of escalators was introduced a few years ago . . . the experiment has already run its course, the Finnish public was disillusioned, and the apparatus is being gradually dismantled. Further, the sapping of moral vitality, the stultifying influence of rlgldlfylng governmental controls, and the collapse that ensues from runaway inflation are Indeed grave prospects that cannot be ignored whenever a modern economy acquiesces in. a pattern of inflation.

Change A Progress Means Competition Finally, if competiUon along old paths may seem for a time to slacken, it will spring up again, so long as public policy gives its determined support, from the Influence of new firms, new products or new processes displacing the old, or from the impact of new sellers or buyers abroad.

All of these points, of course, are true. There is no possible benefit from creeping Inflation, and it would distort our whole economic progress. We can have growth with falling prices, rising prices, or stable prices. But stable prices are by far the best heca?- or ikllfig

price levels create injustices as between various groups within our population, and there is no way to offset these harmful effects, and there is no way that an individual can protect himself with certainty against wide price changes.

(Henderson Dispatch)

Southern tobacco industry leaders acted as had been expected in Richmond Monday when they decided not to insist upon Congress attempting to pass the tobacco price freeze biU over President Eisenhowers veto last week. By all indications, enactment would have been hopeless. There Is nothing left that can be done for tobacco at this session of Congress, and efforts to that end would be a waste of time, and time which might more profitably be applied in other directions.

The only alternative for this crop in the South, at least for this year and probably also for next year as well, is to direct every possible energy toward producing quality leaf that will meet requirements of the trade, domestically and for export. Even that is not too promising for 1959, since so large a portion of the crop Is almost made already. The industry should gird now for another effort in 1960 to stabilize prices in the interest of holding foreign markets as far as possible.

The Presidents veto of this legislation was extremely unfortunate. It has created confusion and consternation among those who are most interested in tobacco and who are most familiar with policies that would operate to the industry as a w'hole. He was badly advised in accepting the recommendation of Secretary Benson and the American Farm Bureau Federation.

To have approved the freeze pro

posal would have constituted no barrier to further farm legislation at the current or subsequent sessions of Congress. But it would have been a safeguard for the many thousands of growers who look to tobacco as the chief source of their livelihood. To be sure, price supports will be higher for the 1959 crop, and might be still higher In 1960 under the present formula for applying parity. Little could be gained if the cost were pushed so high as to drive foreign buyers out of the market and force them to turn to other world tobacco regions for their requirements. One Inevitable result of the loss of those outlets would mean either mounting surpluses in government hands or further acreage cuts as a means of avoiding a more serious glut.

The President may be a gentlemanfarmer in the environs of Gettsyburg, but he does not know the science of agriculture nor the procedure In behalf of those who must depend upon farming for their living. He listened to his agriculture secretary and to the Farm Bureau instead of to those who know tobacco best, and in doing 80 followed a course which will be costly to producers.

The alternative to the Presidents rejection lies now mostly with growers, until a better plan can be devised. It is for them to raise the best possible quality of leaf and to prepare It for market in a manner most acceptable to buyers. That appears to he the most plausible course to pursue in the wake of the unwise and most unfortunate action of the chief executive.

Grownups are getting bigger, but babies at birth are smaller. The largest baby in medical history w'as a 32^4-pound tyke born in 1879 to Mrs, Anna Bates, a 7-foot-5/2-inch lady from Nova Scotia.

Speaking of medicine, did you know that a physician is not bound by law to accept a new patient even though theres no other doctor around?

Unusual lady: Eleanor Roosevelt has been praised for many qualities, but she has one virtue that makes her really rare among women. Despite her busy schedule, she is almost late for an appointment.

Some dieters fondly believe they can melt away fat through hot baths. But. according to a study by the Bon Ami Institute, it would take 370 hot one-hour baths to lose a single pound!

In 25 years as a disc jockey, Martin Block, dean of this lonely industry, has played some 400,000 records. Enough to make a stick twice as high as the Empire State Building.

Worst pun of the week: Arthur Murray tells of the guy who

lost his girl. Edith, because whenever they went out to dinner all he would do was sit and eat pastry. He went to a psychiatrist who told him: You cant have your cake and Edith too.

In Sweden girls believe they can get their marriage off to a good start by giving a loaf of bread to a poor person.

It was Joseph Conrad who observed: What humanity needs is not the promise of scientific immortality but compassionate pity in this life and infinite mercy on the day of judgment.

Opinions In Brief

Americans are funny people. They pass soak-the-rich taxes for benefits for the poor, and the poor (those with annual incomes of $4,000 or less) pay nearly three-fourths of all ed-eral Income taxes. Savannah Morning News.

Water Can Be Made

By ROGER BABSON

BABSON PARK, Mass. We all know that arid lands produce the finest crops when they finally get water. Our most beautiful lettuce and similar table vegetables which come from California are now grown from land which was absolutely sterile a few years ago. The reason is that these lands, which have had no rains during the past century, are very rich in vitamins and minerals, while our normally fertile lands have had these washed away down the rivers and into the oceans. When I was in Africa last year I was told that the Sahara Desert will blossom like a rose when it has water.

PRESENT IRRIGATION VERY WASTEFUL

The only way we are now able to give these no rain lands sufficient water is by irrigation. This usually means building an expensive dam. together with canals to the area. These canals are, of course, open and the water is subject to serious evaporation, As a result, all present forms of irrigation are very wasteful, even if the water is obtainable, I believe that very few new irrigation systems will be built.

The lands, however, must have some equivalent of water, but this will be synthetic water. I am certain of thisVfter my few ,weeks spent in New Mexico and 'Arizona, from which states I have just returned. There you can buy no rain land for $10 00 an acre; but to have it irrigated even if that is possible will cost you over $100.00 per acre.

HOW WATER MAY BE MANUFACTURED

Those of us who have studied chemistry know that water consists of two elements, hydrogen and oxygen. In the chemical laboratory we were taught how to decompose water into these two gases of hydrogen and oxygen; in fact, this is now being done in a commercial way by means of a beam of light. I remember, however, that it was dangerous to reverse the process. It created much heat and sometimes an explosion. This in rough, is the process which will take the place of present systems of never irrigation; but it will be greatly simplified and costs cut. This new process can be used for all land, however far away from water it may be in this country or in any part of the entire world, -

Oxygen gas can now be secured quite cheaply, but hydrogen gas is expensive and tricky. V/e may need a trigger to combine the two, but this w'ill not long be true. Moreover, I am convinced that it will soon be easy to buy diluted hydrogen gas which will work with oxygen. This will be shipped directly to the farmer and he will make the mixture in his furrow. Furthermore, he will want a limited explosion so as to loosen the earth before he plants his seeds.

HOW THESE GASES WILL BE APPLIED

Nothing would slow down the Communist line more definitely than if the United States were to recognize the necessity of treating Soviet Russia as an outlaw and putting its Red agents in the same category. Sen Styles Bridges (N.H.)

The no rain farmer, after plowing and leveling the land, will disk or harrow it preparatory to planting his seed. The disking machine which he rides will carry two tanks, one containing the hydrogen and one containing oxygen, both under pres-siu*e. These gases will be led In very small tubes to be applied to the ground directly after the disk or the harrowing machine passes. If all goes well, after or accompanying a small explosion, the hydrogeil and oxygen will form water or its equivalent, This will be automatically covered with soil after the seed is dropped. This planting should result in marvelous crops.

Please do not write me for further particulars as I am neither a farmer nor a chemist. Write the company from which you buy the insecticides you use for spraying. They will be the manufacturers and distributors of these gases. Otherwise, write the company from which you buy your fertilizers. The simplest thing would be to cut out this column and send it to such manufacturer of insecticides or fertilizers.

ook For

Frices

To Rise. Again

By ELMER ROESSNER This weeks business predictions largely concern prices.

Prices of these things are likely to rise later this year: Furniture. Higher prices by manufacturers were evident at the recent Chicago market. They will be passed on to consumers by fall.

Textiles. Wage Increases in the

textile Industry are certain to be reflected in higher retail prices later this year.

Furs. The market is tight, with considerable speculation going on. This, plus the trend to fur-trimmed apparel, will mean higher prices for everything using fur.

Mens suits. Again, wage rises have already boosted manufacturers'aprlces and an increase^ of $10 per fall or winter suit is likely at*retail, r- - - -o.

MORE SPECIFIC ITEMS ** Chickens. Producers have cut chicken production, ending the great glut and prices are certain to rise over the summer.,

Salmon. The cutback in Alaska salmon fishing has reduced

supplies and that, in turn, has

- . 4 '

: /

caused strikes for higher pay rates. Both cause and effect are reducing supplies of canned salmon, pushing it further into the luxury class.

Fr(zen strawberries. Continuous rains in the Northwest sharp -ly cut crops grown for freezing. Prices have already begun to inch upward.

Prices of these things are likely to remain steady or decline: Pork. Hog production is high. Prices ar down from a year ago and .more pigs, ready for market, an push prices lower. A huge 'surplus in Canada is threatening to depress American prices further.

Beef. Again bountiful supplies, plus coming imports from Australia, will keep prices around present^levels. However, declines

distribution after coffee is landed here.

Fresh fruit. In general, fruit this summer will be better and cheaper than in recent summers because of the excellence of domestic crops. The plum crop alone Is half again as large as the 1958 output.

OFF THE PRICE LINE

Here are other look-aheads not Involving prices:

Pictures. Soon coming into common use will be a new method (A engraving photos and skelchfs on plastic plates for direct printing. Ilie system has been perfected, but wont be ready for general use for sonnie time. Photo to press will be about 20 minutes.

More motels. The urge to tra-

few lumps in recent years, is preparing a gigantic push for fall. There will be major program revisions and more sell, sell, sell. Advertisers using magazine splurgers will be chief targets for promotional guns. OLD PROMOTER FAILS TO FOLLOW IDEA THROUGH

A letter from the Old Promoter came In today.

Cant understand why foreign governments, sending pfficial or promotional mall into this country, use postage meters. They spend millions designing commemorative stamps to promote certain ideas, yet neglect to use the opportunity to promote those Ideas.

Our ow'n government is as much at fault. It uses franks

than those in pork.

Coffee. World production is rising and efforts to control Lat-in-American shipments are failing. Prices will slide a little more, but not much because a big share of the current price goes for labor, packaging and

ness. Promoters are finding private investors eager to finance new projects. The Industry boasts 1.250,0()0 guest rooms now , and by the cnd^f the year may have 10,000 more.

Tougher media eompelitlon. Television, which has taken a

^moting freedom of the press, conservation or Princeton University.

We looked at the Old Promoters envelope. Node of the current Lincoln stamps on it Just another meter print. Guess hs is an Unreconstructed rebel.

A