PACE FOUKTHB UAU.Y REKLECTUR. CkEENVILLE, N. C

Wedndy. April 20, 198U

Wednesday, April 20, 1960

&nell Something Burning?

I

Spending Talked; Taxes Ignored

As North Carolina's gubernatorial campaign develops, one of the candidates should inject into the debate the question of how North Carolina is going to meet its financial obligations in the next four years.

To date a number of issues have been raised in the campaign, but so far they have delt principally with the needs of the state in terms of highways, schools, economic development, and similar items. Little real attention has been given by the major gubernatorial candidates to the all-important matter of where the money is coming from to put into effect these improvements North Carolina needs and they have proposed.

For the most part taxes do not make good topics for campaign discussions, unless the candidate happens to be demanding reduction in taxes which already exist. It is only natural, therefore, for candidates for governor to dwell more on things that arc needed, without going into the more complicated and less palatable matter of how these things will be paid for.

To the voters of North Carolina this year, however, the question of the states future financial condition is a matter of concern. Admittedly, the legislature will determine how much rnoney will be spent, and what revenues will be required to defray these state expensed in the next four years. No governor can guarantee that any recommendations he might concerning fiscal policies will be followed by the legislature.

Even so, the man who occupies the governors office is expected to recommend to the legislature concerning fiscal policies. The legislature will look to the governor for guidance, and the people of the state ^yill expect the governor to provide leadership in this important phase of policy-making.

With some $28 million.s in non-recurring revenue being spent for operating expenses in the current bien-

Major Concern Of Carolinians

By I.VNN NISBET

SCHOOLS That public schools are the major concern of most North Carolinians is clearly evidenced by the Interest in positions on the county boards of education. Members of county boards are named by the General Assembly, but they run for nomination in the Democratic primary. Reports from all over the state indicate that in numerous counties places on the boards of education are hiore eagerly sought afteror at least are rated as the most important office." on the primary ballot- That de-grte of interest In an election that is at best only advisory and not binding proves real concern over the welfare of the schools.

CONTESTS There were the usual number of surprise late filings for legislative seats, but a number of the oldtimers got by without opposition. Secretary of State Thad Eure is again, as he has done for many years, compiling a list of all candidates for the House and Senate. This list will be available In about ten days- Prom stray bits of Information picked up here and there over the state it appears likely there will be a larger number of Negroes than usual filing for office. Women still generally show little Interest In seeking public office. The three who served in the 1969 House are all candidates for re-election, and there are perhaps a dozen others in the rest of the counties. There has never been a session of the General Assembly with more than three women members in the total of 170.

PUBLIC SERVICE - The AJioninum Company of America put out a special edition of its house organ The Alcoa News urging Alcoa employees to take part in the political campaigns and elections this year-

The feature article is a plea by Prank L. Magee, president of the big corporation , for all citizens to Join in keeping our repit)lc by exercising the privilege and duty of intelligent voting. By way of furthering the Intelligence idea, the paper presents statements by Paul Butler, Democratic national chairman, and Thurston Morton. Republican chairman, both of which emphasized responsibility to vote rather than attempting to convert citizens to either party.

Other information Includes the distribution of delegates to the national conventions, and a brief summary of procedure In

adopting platforms and nominating candidates at the conventions, North Carolina will have 37 votes in the Democratic meetln?, 28 in the Republican. That is the largest vote of any Southern state, except Texas which has almost seceded from the South and joined the West In political philosophy. Georgia. Tennessee and Virginia each has 33 Democratic votes. South Carolina 21.

A large table gives the residence reouirements for voting in each of the 50 states, the dales of the primaries and the states which will elect Governors and United States Senators this year. Of the 32 Senate seats to oe filled, 21 are presently held by Democrats and of the 26 states which will elect Governors 15 have Democratic incumbents.

PRIMARY The development of the primary from an Incon- sequential local expression of preference to a binding force has been relatively fast. Sources of information believed to be authentic Indicate the first primary on record was held in 1866 In Crawford county. Pennsylvania. Other counties in Peniwyl-vanla adopted the same plan, and two years later New York and California enacted statewide laws giving counties the right to use the primary system if they desired.

Wisconsin in 1903 wa.s the first State to make primary nomination mandatory for local and State offices and a few years later Wisconsin added delegates to the national party conventions to the mandatory primary list. Every sUte except Connecticut now has a primary for nominating State and congressional candidates, and 16 have presidential primariesor varying degrees of authority.

Sen. Thomas Hart Benton of Missouri, born at Hillsboro. N.C., was one of the first champions of the popular primary.

The primary was legallaed In North Carolina In 1915. used for Governor and other officers for the first time in 1918. Prior to that, however, there had been a number of preferential primaries with more or less binding force on the nominating convention or the legislature. One of the mast spectacular was the contest for the U.S. Senate between Kltchin and Slmmona in 1912. The interest shown in this unofficial primary led to pressure on legislators elected the next time to give the primary legal effect.

nium, there is a serious question of whether increased revenues under the current schedule vdll off-set this amount in the next biennium. In addition, it is generally recognized that more funds will be required in the coming biennium to keep state services on the level at which they are today. These two things probably will mean North Carolina will have to have considerably more millions in the next biennium, over and about any funds which are required for improvements that are made in services of the state.

Although no candidate relishes the idea of including higher taxes as one of his promises to the people, there is no getting around the fact that money will be one of the more important problems faced by North Carolina in the four years which lie ahead.

If the gubernatorial candidates are to discuss the issues vital to the people of the state, they can hardly overlook the question of where the needed money is coming from under the next administration, regardless of who needs it.

The people of North Carolina, we believe, would genuinely appreciate a forthright discussion of this state problem by the major gubernatorial candidates.

Outwardly, India Not Buying Chous Smiles

If outward appearances give any sign of inner feeling, Indias Prime Minister Nehru and Red Chinas Chou En-lai are far from patching up the differences between the two nations brought about by Red Chinas claim to Indian territory. -

The apparent warmth which accompanied Chous reception in India on other occasions is missing from the current visit. Prime Minister Nehru, who has gained a reputation of being a peace-maker and slow to take offense, so far has shown no sign of capitulating to Red Chinas claim to the border territory. Nehru does not seem to be inclined to follow the pattern of compromise that characterized his participation in many international conferences in the past.

If any conclusion can be drawn from the first events of Chous current visit to India, it is that India its official.s as well as its peoplehave cooled considerably toward Red China. In the border dispute the Indians have found that the Chinese Communists are not a.s honorable in international matters as India might once have thought.

Unless a distinct change takes place during the conference, the controversy which Chou went to India to settle probably will continue after his official visit with Prime Minister Nehru is ended.

Advice

By DON SCHLIENZ

Got The Word On A Birc.

'Peiping Teaches War As A Means

I got the word on % bird Monday evening.

A buddy muttered out of the gide of his mouthTheres a column for you In Chicks parakeet".

Conspiracy Is not for me. so the response was on the loud side: Whats unusual about a

Shhhh", scowled the Informer; and from behind his hand he added weight to his tip. This bird will say Lets play ball. Chick, and push his ball toward you.

It did sound intriguing.

On the otherhand. my record on column tips is not good. Other well-intentioned friends have proffered material I never used because it involved getting out and around for necessary interviews or inspection. My work is pretty confining.

But a parakeet ready to play balland right at the start of the baseball aeasonIt had possibilities.

Not having the bird In the hand. I approached Chick" (John R.) Newell and asked him about it.

Yes. he had a talkative para-

Other Editors Saying...

t

Eanning The Flames

The Dsdly Reflector

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By JAMES MARLOW

WASHINGTON (AP) - If the Red Chinese leaders talked to one another in private conversation the way they talk to one another in print, theret^be nothing to worry about. They'd bore themselves to death.

Actually, theyre talking out of both sides of their mouths.

Communist Chinas Premier Chou En-lai Is on a goodwill tour of Southern Asia at a time when Red Flag, the theoretical journal of his partys Central Committee, is preaching civil war in non-Communist countries.

Chous journey is a fence-mending expedition. Red Chinas southern neighbors were disillusioned, revolted and frightened by her brutal crushing and occupation of Tibet,

The opening sentence of a piece in a recent issue of Red Flag set the tone for one of the finest collections of second-rate Communist jargon outside a library: Lenin taught us that in the era of imperialism, the system of imperialism is the source of war.

From that premise Red Flag went on to argue that since imperialism means war, the United States is bent on war, big and small, because the United States is imperialistic.

It is a lengthy and almost incredible array of Marxist cliches, the kind the Soviets worked to death when the Russian revolution was still fairly new. Premier Nikita Khrushchev reversed this, offering molasses Instead of vinegar.

After all, Khrushchev had been a revolutionary more than 40 years. For him the revolution was settling down. By contrast the Red Chinese sound as primitive as the early Bolsheviks.

But Red Flags growling when repeated by the leadership in newspapers and over the radio but in simpler language conditions the Chinese masses for war when the leadership pulls the trigger.

It keeps alive the Idea of W'ar

by communism to prevent the kind* of war Red Flag says the "imperialists" want. But it does more than that. It encourages civil war among the non-Communist countries.

In this Red Flag and thus the Red Chinese leaders seems to be giving Khrushchev a backhanded rebuke for falling to be as belligerent as the Chinese leaders think he should be.

It said: To repudiate civil

war. or to forget about it, would man sinking into extreme opportunism and renouncing the Socialist revolution.

When Khrushchev visited Red China last September after talking with President Eisenhower herehe told the leaders that renunciation of war is an urgent need.

The most likely place for civil war and the most profitable from Red Chinas view, since it would extend her domination would be among her Southern Aslan neighbors.

And just as if telling Khrushchev to go peddle his peaceful fish somewhere else, on the day he talked of renouncing war. Defense Minister Marshal Lin Pa Piao told Red Chinas armed forces in an order of the day: We will without fail liberate Formosa and the coastal Islands" held by the Nationalist Chinese.

Quote...

The swelling population will be needing new buildings, new roads, new products, new servicesmore of everything. And it will take more workers to supply these needs. But it will also take more money, much more money, to pay for them. The best way to provide growth money without inflation is through a combination of Individual savings and rudent government spending. Clarissa (Minn.) Independent.

(Henderson Dispatch)

Of the crackpot schemes that find their way onto the legislative agenda of Congress there is no end. They come and they go. and often find enough gullible lawmakers to provide support for their passage, to the harrassment of citizens and an Increase in the over-all cost of government.

Just now there is a measure in the Senate, the brainchild of Senator Douglas of Illinois, which Is known as the credit notification bill. Both the Federal Trade Commission and the Federal Reserve Board gave their approval, but both ran the other way when enforcement was aimed in their direction.

The measure has to do with terms of credit on installment selling. It is at one and the same time another restraint on private enterprise and a further meddling in the private affairs of the individual. There would be resentment from both groups if the proposal were enacted into law. and if they knew what was being done to them.

Whats more, enforcement would require a whole new army of bureaucrats, dashing over the country on the government payroll, poking their noses into minions of sales of consumer goods every year. What It amounts to is that the American people are being asked to hire an expensive stable of sleuths to ^ do something they should and have a right to do for themselves, and which, if they do not, will be their own fault. It is none of the governments business.

When the individual buys on credit he should know the cash price. He ought to know the down payment, and how much is paid and for how long. The cash price can be subtracted from the price with credit to determine if the credit is cost

ing more than one is willing to pay. Any merchant will disclose the amount of credit charges.

What, then, is there for the government to do? No change is made in credit practice nor in interest rates. It only requires some labeling and increases the cost of enforcement. Any fraud that might be involved is already illegal.

Why should government hire an army of inspectors to protect any one who is too lazy or too indifferent too learn what credit costs him, or who actually doesnt care? Yet this is what this Douglas bill would impose upon the country. Just how silly and how bureaucratic can we become?

THE RETIRING SORT (The New Orleans Times-Picayune)

Most of the men approaching the age when they are expected to retire dont want to. Thats the finding of a survey made amo..g 2200 employes, In 47 of the nations largest corporations, who are nearing 65.

Finances and the desire to continue useful lives were the reasons most frequently given for wanting to hold on to their jobs rather than take their ease and get away from it all. Firms that require their employes to retire at 63 usually have some reason such as giving the elders their just :wards and making way for the young bloods coming along.

There is a sneaking suspicion that a similar survey among the young bloods might turn up the answer to the whole problem. Most of them, we venture, with years on the job stretching ahead In unending succession, are anxious for re^'re-ment NOW. Maybe retirement at 30 with apprenticeships beginning at 65 would satisfy both groups.

keet; or rather. It was his wife's bird. It had been a present for her, something over ttva years ago.

Tlte bird could say more than Lets play ball", too. And by-staiulers agreed it was a bright little mite. . .not much bigger than a canary, and with a coloration predominately yellow.

Somebody recalled the late long-shanked Dr. Walter Humbert had once been seen sitting on the Newell floor, playing with the parakeet. And there were chuckles, too, aa the story was told of a doubter who visited the house, and the feathered mite perched on his shoulder to ask What have you been doing today? '

Newell says the bird is often allowed out of his cage.

Can he whistle.

He can.

(Continued on page five)

Strength For Today

By EARL L. DOUGLASS NEVER WITHOUT FAULT In 1715 Sulla, the Greek traitor, opened the gates of Nauplia to the invading Turks. He had sold out for a price. Henceforth for many years his people were to be under the bondage of a cruel foe. Nauplia was at that time the capital of Greece. A man of no conscience had delivered his brethren over to the ravag-ings of a cruel enemy.

One thinks of Benedict Arnold and the horror of his defection from the American cause in 1780. The first time Arnold put in his appearance at a theatrical performance after he had committed treason, the British officers and soldiers hissed him out of the building. During the whole of his life, he was treated with contempt by the British among whom he tried to live after his defection.

There is a little of the traitor perhaps in all of us. We are fortified at Sulla and Arnold. Yet how many of us live up to the Ideals we know to be right? How true are we to ourselves? How devoted are we to the creedal state which we recite in all s ncerlty? We mean to do right, and yet, that weakness and unfaithfulness by which we are all beset comes in to mar the picture to some degree. Treason to country is infamous. But so is our daily unfaithfulness to God and to the things which we believe and know to be right.

Maybe we should not call such thing treason. Nevertheless, they are evil and decimating, and may lead to disaster.

By The Banks

By GEORGE E. 80K0LSKY COPYRIGHT, 196#, KING FEATURES SYNDICATE. INC, The savings banks are at lojig last meeting the problem of inflation by advertising against it.

It has been slow-going because the worst phase of inflation Is excessive <iebt, which has become a standard American habit. The Federal Government is debt; state and municipal governments are in debt; individuals are in debt. In fact, so much is debt encouraged that Interest paid on private debt can be deducted as a busincsa ex* pense for income tax purpos-

The Bowery Savings Bank, one of the largest In the world, has been publishing full page advertlsemenU against inflation. What this savings bank is advocating is that folks save their money and then buy what they want to buy for cash on hand. These advertisements particularly emphasize that financing costs are high. The Bow(MT Savings Bank summarizes its philosophy as follows:

1. As the cash price, right at the start, of the article you are thinking about. Also add up the total of all the payments you will be required to make. Including the down payment. If you purchased on Ume. The difference is the extra cost to you for buying on credit.

2. With the facts straight, its up to you to decide. Should you go ahead regardless, shop for the best financial plan you can find. Financing costs vary, as we have rtiown.

3. Deal with responsible merchants and lending institutions. Even so. it's only fair to say that handling charge accounts or small loans is sn expensive operation. Someone must pay for credit investigations, paper work, collection and other costs, inevitable losses."

And it establishes a well-know rule of economics:

The true annual lntere.st on loan, large or small, that you pay off in equal periodical in-stallmenta is roughly double the rate quoted as the yearly finance charge, deducted in advance. This is true, no matter how much or little the quoted >rate may be."

What is Important in this dish cussion is not that we stop buying on credit, bai that the borrower should know exactly what he is doing. In a word, excessive debt can lead to disaster. both individually and nationally.

There is another tde to this picture. When a nations currency is depreciating in value, it is aounder to buy things than to hold on to cash. Thus, life Insurance policies, government bonds and savings are imperilled by inflation because it reduces the value of currency. When currency loses value, the whole people is impoverished.

Those who own money under such conditions, whether In this or any other country, invest their money in commodities of Intrinsic value such as diamonds, paintings, antique furniture, or they ship their money to foreign countries for inveMment or savings. At present, for Instance. It is less difficult to borrow money In many foreign countries than in the United States and medium-type businesses are taking full advantage of such an opportunity. Sometimes what they borrow is money the United States deposited in foreign lands for economic aid that has, in time, WOTked itself into a form of banking that indirectly becomes aid for American businessmen.

The advertisement, full page, of the Bowery Savings Bank means much more than appears on the surface. Obviously, if folks spend more than they earn, they will always be in debt. If they are paying usurious interest rates, and 18 per cent a year is* usury in any language, the Inflation is already beyond control. The Bowery Savings Bank advertisement says this:

In another widely used financing plan the charge might be l^ per cent a month, computed on the unpaid balance: Thats true interest, but its monthly Interest, and IV2 per cent a month is 18 per cent a year. . ,2 per cent monthly is 24 per cent yearly, and 2^/z per cent monthly is 30 per cent yearly.

(Continued on page five)

Oddities In The Business News

A Bf$ OTYNEWmPifl Nm TH ANmL BROWTH Of 1500SOMi OfFORfSTfORNfWSmBT

rfieas.mPS(sMewmpcii AvenAses 40 M9S

A n/amm machin ms mi mm comiEST

Wmm BUNKITS-

t7S,000 mm A year

By ELMER ROESSNER

More than 500 architects and builders submitted entries in a homes for better living' contest requii-cd two full days of deliberation by the judges, says a press release from the American Institute of Architects. On an eight hour day. thats almost two minutes per entry. Write your own comment here: -^--

More oddities in the business news: Cuba, with cheap labor, if underselling Florida tomato growers in the Florida market , . .A New York company is offering 25,(X)0 pounds of sloe juice for sale. Sloes are members of the plum family. . . Brown H Williamson report that eight out of ten redemptions of its tobacco coupons are by women, many of whom ask for power drills and other male items.

Cuba is selling 91,000 short tons of sugar to Red China at under 3 cents a pound. Try to

buy any sugar at that price!

Previews, Inc., is offering Victor Borges Rock Cornish game hen farm for $575,000. . . Demand for paperboard has been rising since January, perhaps indicating prosperity ahead* . .Bourbon made and aged in Panama is about to be put on the United States market. Unvaried temperatures there are said to Improve aging.

BACK TO DICTIONARY

The fabulous Alxties" phrase Is annoying many businessmen* The 1960s boom is less than hoped for; besides fabulous means fabled, which may suggest purely Imaginary prospects . . .Vegetarian Trapplst monks have less cholesterol than meat-eating Benedictine monks, according to medical research a discovery that will have commercial exploitation.

Trading stamps are now saved by 77 per cent of American families, a new survey indicates.

The Grey Line sight-seeing company is seeking bi - lingual guides. . .A Detroit chopping center is offering free babysitting services. . .A Midwestern appliance dealer is offering "wash now pay later deals, installing dishwashers at $6 a month.

WOMEN ARE COMPANIONABLE

Only one-half of women shop supermarkets alone, according to a new survey. . .About 90,-000.000 bottles of scotch were Imported into the U. S. last year. , .Singapore has tripled its cigarette production since It cut British ties. . .Poor, underfed Guatemala Is planning to export beef to fat United States.

Reversing usual procedure, Datsun, a Japanese auto maker, Is introducing new models on the East Coast before showing them in the west._

One store jammed ' In shoppers by offering their kids all Uie marbles they could grab in

one hand for one cent. . .The NLRB has ruled that an employee called in for a dressing down on his day off is entitled to overtime. . .A new wire for technical uses is so thin that there aje 350,000 feet to the pound. Thats right: 350,000 feet to 1 pound.

NEWS TO BE USED iN MANAGEMENT A booklet on Some cfiirrent Tax Problems as They Affect the Retailer has been published by the National Retail Merchants Association at $1. . .A guide to selection of aluminum in almost any luse is offered free by Olin Mathiesou Chemical Corp., 400 Park Ave., New York 22. . .A revised edition of Heres How You and the NW-PP Make a Powerful Sales Team for Wood Products" is offered free to builders and woodworkers by the National Lumber Manufacturers Association. 1319 18th St., N.W., Wash-Infiion 6.