>AGt FOURlYfE DAILY REFLECTOR, GREENVI1.1.C, N. C.

Thursday, December 1, 1960

Thursday, December 15, 1960

Looking Ahead

Strong U.S. Foreign Affairs Team

The team of officials picked by President-elect John Kennedy to formulate and administer the nations foreign policy is probably the strongest picked by any in-coming administration in history.

With Dean Rusk, head of the Rockefeller Foun-daticn, as Secretary of State, Adlai Stevenson as ambassador to the United Nations, and Chester Bowles, as undersecretary of state, the Kennedy administra-tiun Avill have the services of three men who take back scats to no others so far as knowledge and experience in iiiteinational affairs are concerned.

I While Rusk, as Secretary of State, will head the team, it is obvious from the appointments that the ambassador to the U.N. and the undersecretary will be men who will share a large part of the respoiisibility for formulating U.S. foreign policy. Evenas expected if the' new President chooses to take a more direct hand in foreign affairs than has been the case in the Eisenhower administration, his three top appointees in thi.s field will not become rubber stamps.

Rusk, Stevenson and Bowles all have devoted a great deal of their time and effort in recent years to the study of international affairs, and they have likewise spoken out frequently in matters relating to

Budaet Details

Yet To Be Told

By LYNN NISBET

BUDGET The advisory budget commission has just bout wrapped up its recommendations for the fiscal program to be presented to the General Assembly for the 1961-63 biennium. Details of the recommendations will not be released until the report is made to the Legislature around the middle of February. It is known that the number of dollars involved will be more than ever befwe presented. That is in-envitable, because there are more pupils in public schools than ever before, more old peojrfe in need of public aid. and more taxpayers to provide the money to meet these demands.

Perhaps the best kept secret in North Carolina government through the years and now has been the budget commission recommendations in advance of formal release. Why such secrecy should iH-evail is hard to understand in view of the fact that the new Governors budget mes.iage to the General Assembly is more important than the rport and recommen-oatioos prepared by the commission under direction of the retiring chief executive.

There has been only one time since the budget system was instituted that an incumbent Governor had any authoritative voice in prefwrnation of the budget for the first Legislature of a new admin^tration. That was four years ago when Luther Hodges was already Governor by accession upon the.death of Govemw William Umstead and had been elected for a full term in his own right. Consequently there was little variance in recommendations of the budget commission and Governor Hodges Iwdgei message to the 1957 General Assembly.

CONTINUITY The executive budget act of 1952 requires the outgoing Governor to submit a iHidget to the new administration. In many details the recommendations are accorded high iwecedence. In general terms the Legislature gives more attention to the new Governors budget message than to the proposals of the has beeos. The statutory requirement for recommendations by the oatgoing people tends to make for continuity of government operations. Precedence accorded the new Governors ideas tends to make for progressive change, especially in emphasis.

No Governor has ever suggested that budget commission report did not allow enough for postage or travel expense in any department. For these details the line items in the budget

book are still controlling as to appropriations. But

The budget report submitted by Governor Cherry did not entirely please Governor William Umstead, and he emphasized his own ideas In a budget message. For like reasons it may be assumed that Governor Sanford will not completely endorse recommendations of the oudget commission report signed by Governor Hodges.

Although Sanford sat in on many of the budget commission sessions and the budgeteers have pretty good idea of his thinking, the fact is that his budget message delivered to the General Assembly early in February will be more controlling on major appropriation and tax bills than the report over which the members of the budget commission have sweated through many hoursincludr ing some late night sessions.

OPPOSITION There are rumors of brewing oi^osition to the Sanford budget program, partly because of sincere belief that it is too liberal and partly just for the sake of being against it. One man said the other day that a group of die-hard Lake supporters were planning to give the administEation as much trouble as possible just for hell of it.

It is known that a group of business men are working on a sort of loosely constructed organization to keep the Lake ideas aUve and his name before the public, looking to another statewide campaign.

There is presently no discernible connection between these groups and the Republican members of the Legislature, but the larger than usual number of Republicans could lend considerable aid in tactics designed to embarrass the administration. It is well known that a very substantial number o the votes for RepuWican Robert Gavin for Governor last month were cast by anti-Sanford registered Democrats. Coalition in the area of finances is quite possible. There Isnt likely to be much cooperation between Democrats and Republicans on the bothersome issue of redistricting and reappointment. In fact, there doesnt seem much prospect of cooperation among Democrats on that matter. And Governor Sanford is s definitely committed to it as he is to more 'money for public schools.

He proved his skill in diplomacy by gathering and holding the support of widely diverse groups during his primary campaign. That ^pe-rience will be valuable in the diplomatic approaches necessary to get his program adopted by the General Assembly.

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American foreign policy. Though they have held no official positions with the Eisenhower administration, all have played responsible roles in U.S. foreign affairs previously. Rusk served as an assistant secretary of state during the Truman administration. Stevenson, twice the Democratic presidential nominee, has spent a considerable part of the past eight years in world travel and conferences with leaders of other nations. Bow'les, whose background in foreign affairs is broad, was tapped by Kennedy as his foreign affairs advisor during the campaign.

Kennedys selection of men to fill these three top foreign affairs posts points clearly new approaches in dealing with international problems. The appointments suggest not only the adoption of new i^eas and approaches in international affairs, but likewise a more forceful administration of U.S. foreign policy than has been the case in recent years.

Further, these three appointments add considerable strength to the position of the United States as the new administration moves into negotiations with our allies, our adversaries and neutral nations around the globe. The three are men of proven foresight, experience and ability whose collective efforts should put the United States on the road to. greater international prestige as it comes to grips with world problems in the next four years.

A Community Clothes Itseli In True Spirit

Christmas is the season in which the spirit of giving manifests itself more fully than at any other season of the year.

In addition to gifts for loved ones, most peoples thoughts also turn to those of the community whose

circumstances cry out for assistance from their more Sy HfJNKY HOWARD fortunate neighbors.

It is here that the true spirit of giving shows itself most vividly. In Pitt, as in every other county, there are those who are in dire need at this Christmas season. Without a helping hand from others, they will be without food or fuel on Christmas. They will be without adequate clothing. There are many youngsters whose Christmas day would be void of a toy, a piece of fruit or even a bit of candy.

Spxlicste, Ine.

Answer To Soectaculars

Fortunately the machinery which seeks to fill these needs of the community from year to year already has been set in motion. Food, clothing, fuel for many needy families already have been assured through the benevolence of others. Toys too for many youngsters. In the remaining days before Christmas, however, more must be done if some of the needy of this community are not to be forgotten this year.

Through the efforts of the Salvation Army and the countys Welfare Department list of needy people of the community have been cempiled. Through the efforts of these agencies, people who desire to be of help to their less fortunate neighbors are provided a ready means to do so. They have but to indicate their desire to help by contacting one of these agencies.

The spirit of Christmas is shown in the spirit of giving, the spirit of sharing ones blessings. By lending a helping hand to the needy at this seasoft, a community clothes itself in the true spirit of the glorious Christmas season.

Managers Are Kennedys Choice

With the current rage of television spectaculars comes the problem for the viewer of determining, if he even cares, just which ones of the hour-long shows actually are spectacular.

Reviews of the shows have pointed out more and more weaknesses and flaws as the number of spectaculars has grown geometrically.

In fact, as they say, Everybody thats anybody has had a spectacular. The morning-after criticisms have become increasingly fierce since Fred Astaires pioneer production that was lauded by all critics.

Last night, one of the networks aired another of the news agencies answers to the entertainers spectaculars.

On Close-Up two news agencies presented Yanki No

to the American public. While the critics today will probably not review the production as a spectacular, the show was a spectacle of sorts.

Sortie of the crowd shots Illustrating the terrific influence of Fidel Castro on the Cuban people were nothing short of spectacular.

Possibly the camera work left something to be desired, but the message was loud and clear. A film tour of Latin America pointed out strongly indeed the compounding Communist influence in the poilntries south of the bordw.

Particularly impressive, in addition to Fidels sea of a million bowing and screaming wildly before him, were the films showing the extreme conditions of poverty.

The question presented by

Yanki No was whether and how the United States should help Latin Americans from their plight. And from the program, viewers bad no doubt whether help was needed.

The main problem presented was how. It was apparent the poverty-stricken class of Latin Americans in most cases could do no worse. Consequently, they would try anything. Even Fidel Castro or anybody else with a positive plan.

Yanki No may have been considered a spectacular by some. Maybe not by others.

Still, it was refreshing to get away from the opium effect of the ole song-and-dance routine and see some down-to-earth facts real problems that confront our Latin American nel^bors every day to the week.

Other Editors Saying .,, !_.eader Steps Forth

By JAMES MARLOW

WASHINGTON (AP) The picture of President-elect John F. Kennedys administration emerging from his Cabinet choices is one of quiet, highly intelligent, driving efficiency with him in control

He has been patiently surrounding himself with a bunch of managers.

Each of his five Cabinet appointments appears to be an extremely well-controiled, unassuming, nonflamboyant individual who 50 far, at least, has carefully avoided the king of pronouncements which make headlines.

The Eisenhower administration wasnt very old before Secretary of State John Foster Dulles and Treasury Secretary George Humphrey were both dominant forces. And President Eisenhower leaned on both tremendously.

None of Kennedys top appointments has such national prominence that he is apt to overshadow the president. Nothing in Uie background of any of them Indicates he would w'ant to.

With one exception Stewart L. Udall, Arizona congressman whom Kennedy chose as his secretary of the interior all the top appointees are men actually coming out of managerial jobs of one kind or other.

Two are governors: Abraham A. Ribicoff of Connecticut, the new secretary of health, educa

tion and welfare, and Luther H. Hodges of North Carolina, who will be secretary of commerce.

Dean Rusk, whom Kennedy named this week as his secretary of state, had in effect a very special managerial job. He was head of the Rockefeller Foundation.

Kennedys budget director David Elliott Bell, comes out of Harvard where he was both teacher of economics and secretary of the Littauer School of Public Administration.

Tuesday Kennedy picked Robert S. McNamara right out of a top management job to be his secretary of defense. McNamara is president of the Ford Co.

Even the three men he picked for jobs next to the top or close to it had managerial experience as governors: Rep. Chester

Bowles, D-Conn., undersecretary of state; ex-Gov. Adlai E. Stevenson of Illinois, ambassador to the United Nations; and Gov. G. Mennen Williams of Michigan, assistant secretary of state for African affairs.

The president-elect, in his search for the key men who will help him run the government, apparently sought the best advice he could get on the best men for the jobs when he didnt have strong opinions of his own.

He knew Udall. Ribicoff. Hod-ges, Bowles, Stevenson and Williams. But he never had met Rusk or McNamara until this past week. And he hardly knew BeU.

(Greensboro Daily News)

Dr. James Bryant Conant, the distinguished statesman and educator, is impressed by North Carolina.

He said as much at (Jhapel Hill Monday and Tuesday where he sparkplugged the second annual Southern Conference <m Education, sponsored by an amalgamation of ediMsation-rainded organizations in North Carolina and the Southeast.

Dr. Conants incisive mind brought illumination to many areas of Tar Heel education. He saw our chief need as Increased teacher salariesa firm effort merely to hold on to our best talent in sharp national conH>eti-tion.

But the former Harvard president also pit; decided emphasis on the need for more school consolidation. We have far too many small high schools (enrollment under 100). They constitute about 81 per cent of Tar Heel high schools across the state.

In his The American High School Today, Dr. Conant made it clear that institutions of such size cannot provide quality education. Students in small high schools become the forgotten pupils of oir educational picture.

Even with the knowledge that school consolidation can sometime* be more explosive than desegi-egation. Dr. Conant believes it is not impossible to make progress. In Texas, he told his audience, tremendous

stride* in consolidation have been made, and there, of course, the wide open spaces are wider, the distances more awesome, than in North Carolina.

This state, with Buncombe County to the forefront, has demonstrated that consolidation can work. Experience shows that local commvinities do not lose interest In their high schools simply because they are some distance away. In an era of automobiles and buses, commuting is a requisite for quality education.

Dr. Conants favorable impression of North Carolipa centered on Gov.-elect Terry Sanfords forthright and wholehearted commitment to the principies of equality in education. It was novel, even to some experienced Tar Heels, to hear an Incoming Governor commit imself in such detail and with such fervor to the educational cause. Not since Aycock has a Governor been so single-minded and emphatic. <1

And so Dr. Conant felt that with such leadership North Carolina may be 'able to pull itself abreast, and even ahead, of the national education average.

Nothing is 50 certain as the reality that quality education wUl never be achieved unless there is a leader irrevocably committed to its ideals. Governor-elect Sanford restated and re-emphasized his education philosophy at Chapel Hill Monday in a fitting setting.

Prom our mall we discover more and more benefits of new industry in Pitt County.

In addition to turning out ready-to-wear items, the year-old Grifton Clothing Company is adding itself to Griftons social calendar.

We received an invitation from Manager Dan McLaughlin to attend the company's annual Christmas Party this week.

Opinions 'n Brief

American women are so beautiful that they can wear anything; but they wont. Elbertson (Oa.) Star.

Originality still pays, even though It has to pay more now, with patent fees increased from $2S to $75.The Chicago Tribune.

Inequality will exist as long a.s liberty exists. It unavoidably results from that very liberty Itself.Alexander Hamilton.

Losing candidates disappear the day after election quicker than a $20 bill in a supermarket.Miami Herald.

A nigged Individualist is the man who isnt timid about picking his teeth. Crawfordvilli (Ga.) Advocate-Democrat.

Comparing The Fringe

Strength For Today

By EARL L. DOUGLASS COURTESY Last year the owners of a small business decided that it was not being run efficiently. They hired a new manager a teisk, vigorous, assertive man and sat back with pleasure as they watched him make a decisive reorganization of the firm. The new man seemed well qualified in training and expenence, and they admired the forceful way In which he aet to work at (mce making cfiange* in the operation of Ump business.

Today the owners are looking for another manager. The biisi* ness, though reorganized and more efficient, Is worse oti than before- This new man, who had so much to offer, lacked one vltaJ quality: courtesy. He treated everyoniB badly. Employee#

cringed and eventually quit. Customers who were offended by his brusquenesfi or Insulted by his occasional outright rudeness took their business elsewhere. The manager just did not like people, generally speaking, and he took no trouble to hide the fact.

Courtesy to others is a vital element in human relations. It is not, as some Insensitive people claim, a form of hypocrisy. It is as necessary to smooth relatlon.ship.s os oil is to on automobile engine and serves much the same purpose.

True courtesy U not just a superficial veneer. It springs from a sincere realization of the dignity and worth of our fellow human beings. It is a recognition of humanity.

By ELMER ROESSNER

American employers pay more for fringe benefits tlian enterprisers in eight industrial European countries, but they pay less proportionately than five of them. This is shown in a study by the French National Institute of Statistics and Economic Studies, translated by the First National City Bank of New York.

Many countries overseas had a considerable head start in adopting wage supplements in lieu of cash. They have created an even greater diversity of nonwagc benefits, which, as United States firms setting up branches abroad have discovered, can often run total employment costs far above the expense of basic wages, th# bank observes.

But neither the French institute nor the bank mentioned the recent case In which women workers in a hair-preparatlon factory in England demanded (and goti a beer break with beer on the boss, nor the earlier one in which a British im-lon demanded a penny-an-hour contribution to a fund to handle workers divorce troubles. ITALY'S RATIO HIGHEST

The countries studied and

their labor and fringe costs were:

(1) Hourly Wages; (2) Fringe Benefits; (3) Fringe Percentage

(1) (2) (3)

Italy ..........$ .35 $.26 74.0

Netherlands ... .44 .13 80.1

France..........47 .24 51.5

West Germany . .54 .24 44.3

Belgium........56 .17 31.0

Switzerland .... .67 .10 15.4

U. K........... .68 .10 14.0

Sweden ........94 .14 15.3

United States .. 2.22 .46 20.5

In addition, workers In the . S. get an average of 7.8 cents an hour in paid lunch and rest periods, travel and make-ready time. These were not included in the comparison because they are not considered fringe benefits In other countries.

However, there are no sharp definitions of fringe benefits or social charge* as they are called abroad.

Fringes vary from one Indiw-try to another. In Italy, for example, where fringes add nearly 75 pgr cent to wage coat#, fringes in the chemical industry al-nK)st double lha<(e costs. FAMILY ALLOWANCES HEAVY Fringes both here and abroad include a wide variety of bene

fits, ranging from cafeterias operated below cost, mandatory bonuses, employee discounts on merchandise, yacht rides an(l double pay for working on birth-days.

Europe, especially Italy and Prance, often have a type of fringe rare in the U.S.: family allowances. In Prance, a worker with two children gets 22 per cent more than his basic wage and one with three children gets 55 per cent more. In Italy, family allowances run as high as 33 per cent of the workers wage. Family grants in Britain are paid by the government.

In Italy, Christmas bonuses arc usually fixed at the equivalent of 200 hours of regular, pay.

In Japan, workers are sometimes paid when production suspends. Workers In Turkey get fobd. Free coal Is given miners in many countries. Companies in Europe and Japan often offer free housing, which Is a practice at some American mine*, mills and farms. Many modern benefits date from 1883-84, when Bismarck inaugurated a slcknesa and accident Insurance plan in Germany.

ln<x)me taxes have added

Growth

By GEORGE , 8OK0LSKY

Copyright, i960, King Features Syndicate. Inc.

The argument of growth is specious unless one considers facts The growth advocates use the steel industry as an example of the lack of growth because mes-ently this industry works, they say, at about 55 per cent of capacity. This is taken to mean that the United States is standing stUl, or even worse, has gone backwards.

In 1938, the United States had an ingot capacity of 80.000.000 tons; in 1960, the Ingot capacity is 148,000,000 tons. This enormous increase is due to the fact that steel capacity was lnerea.s-ed to meet war conditions, to ^pply not only the United States but all its allies, including Soviet Russia. Subsequent to World War n, the United SUtes not only supplied its own needs, its allies needs, but also its former foes, and some of the so-called neutral nations. In addition the United States assisted some countries such as Soviet Russia, Brazil and India to establish modem steel plants.

Thus, this country built up competitors for steel, which is not imusual. The British have done the same by the sale of textile machinery to their competitors until the British loet a market that had been exclusively theirs.

What has actually happened to the United States is that it owns a competent stand-by plant to be used as necessity requires. It is not to be expected that If we help bring competing plants into existence those plants will not sell steel in competition with us. Nevertheless, in 1938, production amounted to 31,75)0,000 tins, which was about 39 6 per cent of capacity, whereas in 1960, the American plants are producing

100.000.000 tons of steel which is 65 per cent of capacity. (The 1960 figiires are estimates based on 10 months.)

The reason 1938 is taken for comparison is that it was the last non-war year. In 1939, World War n was at first im-ntinent and then occurred. Thus, It was the beginning of an unusual period during which the demands upon the United States were extraordinary and remained so for many years.

In 1938, the steel industry employed 360,000 persona; in l%0,

465.000.

During the campaign, the argument of growth was given an altogether false over-emphasis. The figures which I here provide establish that growth has taken place. However, a market for 100 per cent of production does not exist and cannot, with reason, be expected to exist. What is to become of ttie stand-by plant and equipment is a social and political problem. Analyses of other industries wUl establish that stand-by plants exist in practically all of them that have to do with war. These stand-by plants cannot be employed to onopolize the steel market of the world without damaging other countries to such a degree that we damage ourselves.

There is an old argument that if goods are produced, they will be consumed, that there is not limit to consumption. While this W'as discussed at great length, pro and con, during the Deiwe*-sion, it has been established bf experience that the limit to consumption is price. No nation can afford to purchase nu>re than It can afford to pay for in some manner. Even the give-away programs involved political payments which are often re#entI more than hlgh-price. money payments. When commodities are exchanged among countries with a relatively similar standard of living, price is not as great a factor as when the competition is in a low standard of living market. For instance, in such a market, the United State# Steel Corporation would find It difficult to compete profitably against the Skixla Works ol Czechoelovakia, because the U.S. wage and tax cost put# a high price on goods, whereas Skoda need only put a political price on goods which means that they can be given away for nothing if political purpose so dictate. When we speak of American goods outpriclng themselves in world markets, we do not include, commodltieg which re-oeive a subsidy out of the tax-(Continued on Page 9)

Ills

pressure to the drive for fringe# In the U.S., especially for those benefits not taxed. Dollar meals for 50 cents in company cafeterias may be a net gain of $125 a year; a cash raise of that much would probably be reduced to less than $100 after taxes.

ANSWERS TO QUESTIONS FROM READERS

Q; What is the basis for ao many predictions for a rise of unemployment In January? Has It anything to do with politics? J.P.

A; No. Store# and the post office lay off extra help; colder weather cuts down road building and other outdoor construction.

Q; If the new Administration increase# defense pending, how cin mail companies get a ahare of contracts?B.A.A.

A: Ask the neare.st offices of the Small Business Administration and the Commei-ce Department lor local auidance; #ub-scrlbc to Synojosa of U.S. Government Proposed Procurement, Sales and Contract Awards, $)0 a year ($28 air mail) from the Superintendent of Document#, Wishiniton 25. D C.