PAGE POimTHE DAILT KEnjIjggTJR, I3REENV1LLE, N. C

Mondar June 27, 1960

Real Accomplishment For Greenville

$ ' o

Low bids on Greenvilles sewerage disposal plant, well within estimates and funds available for the project, put Greenville one step away from bringing to reality this much needed facility.

The bids received Friday likewise assure the project will be brought to completion without the necessity of a bond issue on the part of Greenville and its Utilities Commission.

It is indeed no small accomplishment when a city the size of Greenville is able, through long-range financial planning, to afford its people a million-dollar-plus facility such as the sewerage disposal plant without the necessity of a bond issue. The Utilities Commission deserves high commendation for the sound planning which has made this possible.

In planning over a period of years for this project, the Utilities Commission has built up in its sinking fund more than a million dollars earmarked for construction of a sewerage disposal plant. In addition to these funds, there is also available to the city for the project some $250,000 in federal, matching funds.

Had it not been for the careful financial planning by the Utilities Commission for this project over a period of years, Greenville voters would now face the necessity of a bond issue to finance construction of the project. The fact that careful financial planning was carried out over a period of years makes possible the plant without a bond issue.

Approximately one-half the million dollars now in the sinking fund for this project came from the sale of a portion of Greenville Utilities rural lines to Caro-

<p

Here And There Around Carolina

By LYNN NISBET

HANDS A former Tarheel, Dr, Hayes M. White, Jr., son of Raleigh realtor o the same name, was the chief actor in a novel exhibition at the recent American Medical Association convention at Miami, and subject of a feature story in the Miami News. Young Dr. White was the chief surgeon for a closed-circuit televised operation staged for the benefit of the conventioning medicos from all over the country.

The feature story writer gave almost as much attention to the fact that Dr, Whites hands are shOTt-fingered and stubby, contrasted with Uie old idea that a surgeons fingers were long and slim, as to the technique of presenting the surgical performance on television.

The caption on the story was Stubby Hands Save Life, Too. Which might suggest that the shape of the hands is not so important as the brain that directs them.

TRAFFIC COURTSWhether the far reaching court improvement program sponsored by the N.C. Bar Association will fare better in the 1961 General Assembly than it did in 1959 may be questioned. One part of it is accorded much better chance of enactment next time. That is the section dealing with uniform traffic courts. Popular resentment against evidence of collusion between law enforcement officers and justices of peace in speed trap operations, and confusion because costs and penalties, as well as trial procedure, vary widely in different recorder type courts, has created strong sentiment fw uniformity and dignity in the courts which deal originally with violation of the traffic laws.

JOBS According to the mcmthly employment report issued by the State Department of Labor there were 1,151,800 North Carolinians employed in non-farm jobs during May of 1960. That represented an increase of 31300 over May of 1959, and means that slightly better than one out of every four persons, including all ages, was on some kind of payroll.

Further analysis of the employment figures show that factory employment was up some 8,000 above last year, while nonmanufacturing employment increased more than 23,000. Most of this Increase was in services related to travelhotels, motels and restaurants: filling stations and garages; parks and recreation facilities.

An interesting sidelight wa.*! that Federal job holders dropped In May from the April level, work. This drop was partially offset by temporary State jo

incident to the primary election. Another interesting sidelight is that of the non-farm wage-earning jobs in North Carolina substantially less than one-half are in manufacturing plants, which in common parlance are considered as industry.

Despite the success of the industrialization development program of recent years with its highly publicized increase in payrolls, more North Carolinians who have left the farms earn their livelihood in banking, educational activities, government services, insurance, merchandising, transportation, and other non-manufacturing jobs than as factory workers.

The employment report of the Department of Labor further emphasizes the diversity of opportunity for job-seekers in a state that is fairly balanced among farm, manuftwjturing and in-between service rendering activities. There is some indication that the non-factory, off-farm, service-rendering jobs may offer best opportunities.

ROLLMAN Heinz RoUman; Republican nominee for Congress in the 12th district, in Raleigh to protest the ^^cial election on June 25, entertained newsmen with stories about his experiencesand his philosophy. The thing that surprised reporters more than anything else was his obvious sincerity in really liking to pay taxes.

"Ive never had to pay taxes on property I didnt have, or on income I did not make, he said, There has been so many times that I did not have property or income. Im happy to pay taxes when I do have them.

Run out of Germany because he is a Jew by Hitler, and leaving behind a very substantial fortune which his family had built up in shoe manufacturing he arrived in Waynesville in the late 1930s with a new wife and $161.50. He and "his bride decided to locate at Waynesville because they liked it, not because of any scientific investigation about prospects for economic success. He started a little shoe factory which has developed into a big local enterprise with 72 affiliated plants in 60 countries. But none in Germany or behind the Iron Curtain;- In business and in politics he likes to make his own rules. Many of his profit-sharing welfare policies are not approveij by other industrialists, and he switches from Democratic to Republican party affiliation without hesitancy. What most impressed the reporters at his news conference was his obvious sincere delight in paying tlxes, and stories about spend-money in elections "just to how it works.

iiy As

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Still With Us

By RALPH ROBEY

It may be recalled that the employment and unemployment report for March was highly unfavorable, The explanation was bad weather over a large part of the nation in the survey week. April return to the normal trend and revealed substantial improvement in both categories. We now have the report for May. It again shows normal seasonal changes.

Actually the April Improvement in unemployment was not as great as expected. In February the seasonally adjusted unemployment was 4.8 per cent of the civilian labor force. In March the figure rose to 5.4 per cent. April should have erased this entire increase but it failed to do so and in that month unemployment, seasonally adjusted, still was 5 per cent of the civilian labor force. In May there was a decline of 200,000 in the number of the unemployed, but the percentage of the civilian labor force unemployed dropped to only 4.9 per cent.

It is not possible to be complacent about this volume of unemployment. Clearly It is higher than either necessary or desirable from both the economic and the social viewpoints. However there are some favorable elements in the picture when one examines other than the total figures.

For example the long-term unemployed. those who have been seeking work for 15 weeks and over, declined in May by 300,-000, and thLs brought the totkl of this group well below' ay ear earlier. Secondly, nearly half of the unemployed have been seeking jobs for less than 5 weeks. Finally the average factory work-week rever.sed the downward ti'end of the past three months and rose to 39.8 hours. ThLs was in spite of a reduction in hours of w'ork in steel plants. As a result of this longer workweek average weekly earning rose 91 cents to $90.74.

On the other hand the volume of employment in factories continues to drag. It currently Is well above a year ago. but the total is still 400,000 below the pre-recession level ThLs means that employment 'in manufacturing is not Increasing as rapidly as production, and it appears that this probably will remain a permanent trend.

The failure of factory employment to Increase as rapidly as output is largclv explained by the fact that during prasper-Ity manaeement is less co.st-minded than normal and builds a larger labor force than Ls nrceseary. With a rcce.sslon management reviews Its operation closely and eliminates

(

those workers who are not t-sential. Ultimately, it is true, management may again become careless and build a larger labor force than it needs, but this takes time and it has not happened over-all up to the present.

The reason for thinking that manufacturing will continue to use less labor in relation to production than heretofore Is that wages have not attiUned a level where there Is a tremendous urge to use machines rather than manpower when ever possible. Such technological unemployment does not indicate that the totol number of jobs will be less. Most factories that buy machines attempt to find other spots for the displaced workers, and in many instances this is done completely. In every shop, too, there is a certain number of resignations, and this gives leeway for introducing machines without the necessity of discharging workers.

June figures wUl show a , sharp increase in both employment and unemployment. This w'ill be because o large number of persons get out of school and start looking for ojbs. Following that there will be a month by month decline until Oc toben, for purely seasonal reasons.

Too much weight must not be put on the figures for any one month, but we must recognize that we have, and will have for a long time, a genuine problem in connection with unemployment.

Opinions

In Brief

"'The railroads, contrary to the belief of some people, are not trying to get out of t passenger business. 'Fhey want to continue to provide service and the best possible .service, when travelers demand and use it. But to force them to continue to ' operate near-empty trains, over routes that have been almos wholly preempted by the automobile, just doesnt make sense.Industrial News Review.

Wonderful Wizards Of Washington

IbEA OF

lina Power and Light Company several years ago. In addition to this large sum, the Utilities Commission since 1954 has added to the fund each year amounts ranging from $20,000 to $200,000 as conditions permitted. The interest drawn each year by this sinking fund has likewise added to the total sum available for the project.

It is gratifying indeed that bids on the project were well within estimates of the cost and well within the funds available.

It is equally gratifying in this era when a considerable portion of capital expenditures by governments at every level is done on the strength of future revenues, that Greenville is able to finance this important new facility out of funds that have carefully been put aside, rather than by borrowing money against futute "revenues^

Time For Extra Care By The Lawmakers

With the last days of June running out and Congress anxious for adjournment before the national political conventions, a natural setting is created for the passage or unwise legislation and the rejection of needed laws in the rush for adjournment.

If is a situation in which every legislative body on both the state and national level finds itself when adjournment is near at hand and the backlog of business to be handled remains huge. In the interest of time debates are cut short,' committee considerations are hurried, floor actions are taken in rapid succession.

Under such circumstances, it is relatively easy for unwise legislation, usually in the form of amendments, to gain approval and become^law. It is a time when appropriations that otherwise would be rejected are added to pending bills and are pushed through in the headlong rush to wind up the business at hand.

The days immediately ahead are important indeed to members of Congress and the people of this country. Though this session of Congress has been tedious and lengthy consideration has been given many matters, much work remains to be done before ad journment. Leaders are now pushing for a more rapid pace as the legislative wheels of the nation turn. Members of the House and Senate are anxious to wind up their affairs in Congress.

In spite of the adjournment deadline which they face, members of Congress must be more careful of their votes in these final days of the session than ever before. They will be pushed for quick answers on important matters. They will be asked to vote yes* or no on matters to which they have given little if any consideration.

This is a time for extra caution. It is the time to be on the look-out for hasty conclusions that will result in poor legislative proposals being enacted.

Legislation passed by Congress in June and early July is just as important, just as binding, as that passed in January or April when there is no rush to get the business completed. If bad legislation gets through, it is just as detrimental to the nation and to the people, in January or July.

1

Unemploymen

By GEORGE SOKOLSKY

An End To Mile.

Copyright, 1960, King Features Syndicate, Inc.

In 1904 and 1905, Theodore Roosevelt established the principle that as the United States, under the Monroe Doctrine, objected to any European power intervening in the affairs of Latin America, the United States had a moral responsibility to maintain order and protect life and property in these countries.

In his 1904 annual message. President Theodore Roosevelt said;

". . .It is not true that the United States feels any land r hunger or entertains any projects as regards the other nations of the Western Hemisphere save such as are for their welfare. All that this country desires is to see the neighboring countries stable, orderly, and prosperous. . .

Then he declared American policy as follows: ,

. . .Chronic wrongdoing, or an impotence which results in a general loosening of the ties of

civilized society, may In America, as elsewhere, ultimately require intervention by some civilized naticm, and in the Western Hemisphere the adherence of the United States to the Monroe Doctrine may force the United States, however reluctantly, in flagrant cases of such wTongdoing or impotence, to the exercise of an international police power. . .

Theodore Roosevelt never begged the issue. He was first of all an American. It was in that spirit that in this same message, he laid down this guiding statement?

. . .We would interfere with them only in the last resort, and then only if it became evident that their inability or unwillingness to do justice at home and abroad had violated the rights of the United States or had invited foreign aggresr Sion to the detriment of the entire body of American nations. . .

In his 1905 annual message. Theodore Roosevelt wrote few contemporary America:

Other Editors Saying, Worlds Egg Basket

(Gi^dsboro News-Argus)

Dream of making southeastern and central Eastern North Carolina the egg basket of the nation comes nearer being realized.

This week in Pender County dedication of the Carlisle Egg plant was the time for a big county wide celebration. This market has a capacity of 2,500 ca.ses of eggs a week. Its goal is the purchase of $2.5 million worth of eggs annually from farmers of Duplin, Pender, Wayne, and Onslow and farmers in nearby counties.

The state has heard of the great progress in recent years in poultry and egg production in Pender and Duplin Counties. Wayne County is getting its part of that development. Even close students of the changing agricultural situation were surprised to discover that poultry in Wayne has moved up to fourth place in gross income for poultry.

Back of the cheering in Pender and Duplin over the opening of the big plant there is a story of pioneering. We see the results of progressive enterprises and promotions begun years ago.

Heeding the petitions of forward-looking men such as Vivian Whitfield, Pender commissioners in 1945 authorized the employment of a poultry spe-

ciali.st. 'Two years later Pender became an early small rural county to build for its farmers a cooperative freezer locker plant.

Pender farmers about that time made a start in a cooperative move to sell graded and certified eggs direct to the consumer, The little band had its own trade name and attractive cartons for its product.

There was the start of what grew into the plant Pender and adjoining counties now are celebrating.

The egg plant on such a big scale gives a complete service in the poultry Industry for a region roughly extending from Wilmington to Wilson.

What is the basis for dreaming of making that region the great egg (and poultry) basket of the nation?

Climate is ideal. Soil Is rich and land plentiful for the production of feed. The region is within a few hours drive for trucks of the nations greatest centers of population.

Despite the depressed poultry market of recent months, poultry is holding its own. It has attracted operators who are in the business to stay and meet what competition comes. Other counties join with little Pender in celebrating the opening of the Carlisle operation.

?oiicy

. .There are, of course, limits to the wrongs which any self-respecting nation can endure. It Is always possible that wrong actioDS towanP"^^ Na-Uon, or toward citizens of this Nation, in some .State unable' to keep order among Us own people, unable to secure Justice from outsiders.and unwiDlng to do justice to those to protect our rights; but such action will not be taken with a view to territorial aggression, and it will be taken at all only with extreme reluctance and when ib has-become evident that every other resource has been exhausted.

Fidel Castro might read the Roosevelt 1904 and 1905 messages in detail. True, times have chained but tlwy have not changed tiat much.

The people of the United States are growing very weary of his nonsense and his next step, a mutual security treaty with Soviet Russia, may have to be his last.

Up to now President Eisenhower has taken the position that the United States will not be the aggressor In any situation. This attitude, well known to all countries, is the foundation of policy for other countries. They approach the United States impudently, assuming that President Eiswnhower wiU turn the other cheek. No country fears us. because Inaction is anticipated- President Eisenhower. it is believed universally will fill out his term without taking acUon against Castro. no matter what Castro does that is antagonistic to the United States, short of blowing up Miami Beach,

The policy cannot much longer prevail. It is an encouragement to weak and backward nations as well as to the Soviet Universal State to flout the United States on small matters as* weU as large. The poUcy has become a peril to wwld peace. From a moral standpoint. It may be justified on the ground that we are not the first to act in a fighting war. but in this period of the 20th Century, war is fought by other means than military and therefore an adjustment in thinking on this subject Is necessary. This is particularly true as regards Cuba.

The application of Jehovah Witness pacifism to American policy is imposgible when its enemy Is armed for war, Khrushchev would not have dared to maintain his posture in Paris were he not sure that nothing would be done about it. Nor would Fidel Castro, In a word, the non-aggression policy has stimulated impudenpe.

The next President, no mat-(Continued on page eight)

.r..nday, June 27, 1960

Stocks n Bear Market

By ROGER BABSON

BAB80N PARK M.ass.. I have been thinking of this subject for some time, and have about concluded that seeing what happened in the last bear market mky be the best way of answering this question. It will be noted that I have arranged the Industry groups according to their percentage of decline.

STOCKS WHICH DECLINED

ONLY ! to 20 PER CENT

Am(mg the Industry groups that suffered the least are the ship-building and tire and rub-ber-goods stocks, which declined about 15 per cent. Home electrio appliance stocks fell 17 per cent, department-store stocks went off 19 per cent. This listing is likely to change, however, and stock groups which may suffer the leut in the next bear market may be those relating to the supplying of electric power, the oil and gM prodoceri. and bituminous c(^ mining. Fertilizers shoiild have increased use, with the need to feed a growing population; this should enable this ii^ dustry to tame under the cate* gory of relatively small dedfines. Stocks of companies owning large tracts of timber lands which supply the basic raw materials for crtsin synUietie fibers and plastics may also be able to hold their own, especially because of their inflation-faedge characteristics.

STOCKS DOWN 10 TO 90 PER CENT

The industry groups which showed up next best included the following: Soft drinks and cam^ foods, which declined 20 per cent; shoes, down 23 per cent; chemicals, publishitor. azui motion picture, down on^ 23 per cent; building materials stocks, down 26 p- cent; farm machinery off 27 per cent; aircraft manufacturing down 28 per cent; and industrial machinery stocks down 29 per cent. Aircralt manufacturing, however, may fall off m<K-e.

STOCKS WHICH DECLINED 90 TO iO PER CENT

Stocks in the auto, sugar refining, brewing, mail <M*der, general chain store merchandising, and cement groups declined around 30 per cent. Paper stocks fell 32 per cent. Stocks in ths textile and am^rel and steel industries declined 30 per cent. Radio broadcasting groups declined 37 per cent. Meat packing stocks declined 39 per cent. Because of their timber land and ore holdings, certain of the paper steel, coal, and gas stocks may do better in the next bear market. Unless there is massive unemployment, the merchandising and aii^arel groups also may suffer to a lesser degree than in the last bear market.

STOCKS WHICH DECLINED

MORE THAN 40 PER CENT

The groups which suffered the most included the radio and television manufacturers, and mining and smelting, which were off 41 pw cent. Truck manufacture stocks dropped 42 per cent. Air and rail transportation stocks were off 45 per cent. Copper, lead, and zinc stocks fell 49 per cent; also aluminum stocks. The carpet and rug group declined more than 50 per cent. Ovr the long run. stocks of natural resource companies should ultimately prove valuable to the Investor with patience.

WHAT ABOUT ELECTRONICS STOCKS?

During the last bear market, the electronics stocks were not populaj. There was then no atr tempt to fire long-range missiles, or to circle the mooo with rockets. This is something which has developed during the present bull market, which has been in existence for about ten years. This electronic and space work might change the positions of many of the groups listed above.

My own opinion Is that these electronic and space socks would be listed with those which showed a decline of over 40 per cent. I. of course, am in favor of a gradual reduction in armaments. On the other hand, if gradual disarmament comes about, I fear that the electronic and space stocks could severely suffer. In fact, a good many of the other stock groups mentioned above would do well to hold their record of the last bear market.

'Riots Economic Conseauences

Experience Is a dead loss If you cannot sell It for more than It costs. Anderson Independent.

"The natural progre.ss of things is for liberty to yield and government to gain ground. Thomas Jefferson.

By ELMER ROE.SSNER

Economic consequences of Japanese rioting about President Eisenhowers visit and the American treaty will be worse than predicted here earlier.

More reports that merchants are cutting orders of Japanese goods come in. The sole reason is that the merchants fear buyers resistance to Japanese made goods. In some places, anti-Japanese boycotts are being organized.

Although the acts preceded the Japanese demonstrations. a Federal grand jury indicted a Boston company on the charge that it removed "Made in Japan labels from womens sweaters. And from Japan comes reports that exporters are fearful that American refusal to buy Japanese goods will destroy them.

OTHER PREDICTION.S

And here are more lookaheads in business, based on analyses of developing trends:

Costlier canned fruit. Strike.s of California cannery workers are causing the rot of vast quantities of apricots, cherries, peaches, asparagus, pears, etc., forcing prices upward late this year.

No new medical law. Despite the vote-caU'hing drama of Sen. Estes Kefauvers exposes of the drug industry, no restrictive laws will be enacted this year. Congressmen are in too much of a hurry to get to Presidentialand <> personal politicking.

New i ncome high . Personal income this month will top the rate of $400 billion a year for the first time in history. The rate was of $400 billion a year for the first time in history. The rate was $399.4 billion in May and since then the wage and salary segment has Increased enough to push the total above the 400 mark

MORE SOVIET TRADE LIKELY

Kc-exaniiiiation of Red tr||dc.

International events are forcing ^ the United States to take another

look at its Soviet-trade policy and the chances are better

than even that relaxation of restrictions will be recommended.

' Moderate aluminum price

Past expanding aluminum production is thrust into a market that doesnt grow as fast, and although new uses of aluminum-some sensationalare bekig

devised, there is still enough of the stuff to prevent a price hike,

Ciieaper copper. Disruption of the Chilean economy by the series of earthquakes has generated fears that copper prices may soar. However, the amount of available copper indicates a price rise is unlikely; In fact, softer prices may be ahead.

Costlier heating oil. Despite the world oil glut, home heating oils will go higher in summer when they uslially recede. Residual oil imports have been cut back, creating a tight supply situationon which heating oils thrive.

OLD PROMOTER PLANS

CABLE CARS FOR PICNICS

There was that gleam in he Old Promoters eyes when he walked in today. The gleam spelled "proposition and it wasnt long before he was explaining it.

"I am organizing a company to build cable cars, he said. "There wdll be no cables. Iio v-ever. And we wont sell them to run on tracks, but for people to install in their backyards. Imagine the fun of havinp a picnic in a cable car. with tlie kids working the grips and brakes, and clanging the bell just as If they were passing the St. Francis Hotel in Frisco

Watch your language! I warned.

"San FancLsco, he corrected himself. "Now for a slight investment

"A nickel is all you get, we said. "Thats the original price of a ride on a cable car. and thats all Ill risk on being taken for a ride again. He left, disconsolate. He will be back.