PACE FOUR

THE DAILY REFLECTOR, GREENVILLE, W. C

Monday, June 26, 1961

Monday, June 26, 1961

Any Day, Now

Castro Reluctant To Lose Ransom

With the arrival of a delegation of 10 Castro prisoners in the United States to re-open negotiations in the tractors-for-prisoners deal, it appears that the Cuban dictator is reluctant to give up the possibility oi gaininga ransom for prisoners he holds from the April invasion attempt of his island country.

At the same time disbanding of the Tractors for Freedom Committee that was formed to provide 500 tractors to Castro in return for some 1,200 prisoners suggests that those who initiated negotiations with Castro are no longer inte^sted in bargaining with the dictator for'his prisoners. In short the Cornmittee apparently is standing by its assertion that its offer of 500 farm tractors in exchange for the prisoners is the only bid they will make to Castro.

The question now arises: Where will the negotiations go from here? tt j

Will the delegation of prisoners sent to the United States find anyone to negotiate with?

There is no escaping the fact that initially the proposed exchange of tractors for prisoners had the inction of the President It has also been interested in negotiating with Castro on behalf of the government of the United States. In view of the status of felaons between the two countries, it is not likely that the government of the United SUtes will enter officially Into future negotiations for release of the prisoners on any exchange basis. Unless the Tractors for Freedom Committee is reorganized, or some Its place, there seems little prospect that the delegation of prisoners will find any responsible group with whom to negotiate and to "whom to explain whate%er new proposals Castro has to offer. ,

It is. perhaps, just as well.

As The Reflector stated at the outset of negotiations between Castro and the Tractors for Freedom Committee, the buying of the freedom of prisoners in return for material considerations could have set a precedent that would leave the United States open to all sorts of international blackmail from unscrupulous dictators. It could have made political hostages in many countries around the globe, pawns through which governments might badger the United States into giving away untold amounts of equipment in return for the release of political prisoners. Once the ball "got rolling, there would be extreme difficulty in finding a stopping place. _

\ Now that Castro has backed down from the deal he offered of prisoners in exchange for tractors, it is he, not the United States, who is in the defensive position. And it is a position which will reflect no credit on the regime of the Cuban dictator in the eyes of the rest of the world.

Program Would Serve

N.C. Interests Well

The position of Sen. B. Everette Jordan in the important farm legislation being proposed by the Kennedy administration, apparently places in the hands of the Tar Heel Senator the power to decide whether the bill receives a favorable or unfavorable report from the Senate Agriculture Committee.

The Momentum Not Yet Spent

Although the proposed farm program of the Administration leaves many questions in the air, it is, we think, a reasonable approach to the many problems which face agriculture throughout the United States. Passage of the measure that would place upon producers of various farm commodities a heavy responsibility for writing their own farm program should result in a more realistic approach to finding workable solutions to the nations agricultural-problems.

Waves On The

By GEORGE SOKOLSKY

By LYNN NISBET QUIETLY BUSY The tate captol waa very quiet Friday, the day after the General As-semMy shut down and went home. But the officiala and clerks In the offices both upstairs and down were not resting. From DOW until the Session Laws of 1961 are printed there will be heavy demand upon the office of the Secretary of State for certified copies of laws enacted by the Legislature, nl the printed volume is available the text of any law to be authentic must be ccfied by the Secretary of State.

There is almost as much demand for informational copies of bills as for certified copies. For that reason every available table and desk in the Secretary of States office was occupied Friday by a lobbyist and a secretary copying the newly enacted statutes.

As always there have been a few surprises. The laws as signed by the presiding officers of the House and Senateand as they will appear in the printed volumeare not alwairs like the folks who were most interested In them thought. Late changes were made or failed to be made contrary to memory of the spon-eor*. That is particularly true with respect to appropriaUons and tax levies.

The Secretary of States off-tee, like the Legislature itself, is bothered more with purely local Mils than with important autewlde matters.

Newspaper, radio and television ofces throughout the atate also have been quietly busy during the past few days, as analysts buckle down to the Jc* of evaluating the work of the 1961 General Assembly.

PERSPECTIVE Immediate conclusions expressed by the analysts is that it will require experience to adequately evaluate the work of the Legislature. Majority (pinion seems to be that there was a lot of good, perhaps more than ustttl. Ttere was also a lot of bad from negative view of failure to pwiorm rather than because of positive and action. Chief failure Is in the area of highway safety, and in failing to provide machinery for enforcing compulsory school attendance laws.

The many nice things said about the larger appropriation

for schools and the forward steps taken in the total educational field almost always are modified with suggestions that bragging may be premature. The additional money docs not necessarily mean better schools: it means only that the school folks and the public have enhanced opportunity to provide better schools. The public effort in this direction will be handicapped by failure of the Legislature to afford machinery for enforcement.

So far as agriculture in North Carolina is concerned, it appears to us that the agricultural interests of this state would best be served by Sen. Jordan's support of the bill in the Senate Agriculture Committee.

President Kennedy has repeatedly referred to the federal program for tobacco as a model program that might well be followed insofar as possible in framing workable programs for other farm products. And certainly in North Carolina there is general recognition that the tobacco program has done a great deal for agriculture.

Feud With Significance

Opinion so far expressed Is almost unanimous in criticism of the Sunday blue laws enacted during tlie closing days. The selectivity of items which are outlawed lor Sunday commerce impose an almost impossible enforcement iH^lem on the merchant and the officers. Its against the law to sell clothing on Sunday, but legal to sell novelties and sourvenirs. What category does a novelty necktie or scarf take? Home and office fiirnishinga are on the illegal listunless the furnishings be a souvenir ashtray or novelty type filing cabinet. Apparently the new blue laws do not effect the established laws for the sale of beerwhich provide that in some counties beer may be legally bought on Sunday, in that same county, however, buying a pair of sox would violate the law.

Merchants will be faced with the same problem in connection with the blue laws as they did with segregated lunch counters. The store can open on Sunday and sell merchandise from two or three counters, but not from several others. Or one store selling conservative haberdashery cannot do business on Sunday, whe the place next door selling fancy souvenir type sports shirts can operate as usual.

It wiU require several months experience to see how this law works, but gamblers are offering odds that after a few weeks nobody will pay much attention to it, except / in the big points for which it was enactedto keep out-of-state chain stores from running full blast on Sunday. Drug stores, restaurants and small shops are expected to resume normal activities of selling anything on the shelves anytime a customer shows up with money to buy It. _

The approach to the nations agricultural difficulties offered by the Kennedy program may not provide, adequate solutions for every problem, but at least it represents a mor practical approach to agricultural problems than the federal farm programs offered in recent years.

['^ew Views On

Copyright. 1961, King Features Syndicate, Inc.

The world is a-welter with great events and big men stalk the universe like fabled giants. But every once in a while, someone picks a private fight which in principle is as significant as the batUes of the great. For when all is said and done, what concerns us most deeply is the freedom of man. Twice we have gone to war about that and while we have not altogether won our way, we also have not lost. We do survive in our peculiar manner and if some despair, there are enough who are hopeful.

This little private fight that I converse about herewith deals with a machine that is used instead of postage stamps. Along-'side the stamped part, there can be an advertisement of sorts.

The manufacturer of the machine does not sell this instrument but leases it: thus the proprietary interest remains with him. although it is difficult to see that he assumes any responsibility for what is said. Thus, when the advertisement is used to encourage the sale of government bonds, no one can sue the manufacturer of the machine if the bonds go down.

However, the Post Office does not like the impression that it endorses certain advertisements, or so the manufacturers believe.

Along comes a textile manufacturer in Tennessee who wants to convince the American people that this is a republic not a democracy. He wants that stamped on all envelopes with a slogan thereanent. Personally. I cannot get excited about slo-

obless

1IS

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By RALPH ROBEV

It has bedn known for some time that a plan was in the works for doing something further with unemployment compensation. Those who have followed the record of the Kennedy Administration with care, and especially those who do not favor the New Frontier, have assumed that the change would be relatively drastic. But few if any were prepared for the plan which now has been proposed. This is a program for the federalization of unemployment compensation, although that term is not used in the recommendations.

It will be recalled that a few months ago the Congress passed an act extending the period for which the unemployed might receive payments to 39 weeks. There also had been such an extension during the Eisenhower Administration. The difference between the two measures was that in the former Administration the act merely created a fund from which states could borrow. This year the money 1s merely given to the states out of the United States Treasury, and ultimately, presumably, will be repaid by the increased tax levied on employers.

Up to the present, each state has determined how long the unemployment payments would run, the rules of eligibility, and the amount of the weekly payment. In most instances the duration has been 26 weeks and the amount of the payment has been held to a level which, it was hoped. would not be an incentive to remain unemployed. In many states, too. there has been what is known as "experience rating." which means that the amount a particular employer had to pay for each employee depended upon his stability of employment, or contribution to unemployment.

Under the new proposed program evern state must accept the dictates of the federal government or else the experienc rating will be eliminated. It also is proposed that the recently imposed temporary Increase of taxes be made permanent and

that the base per employee upon which the tax is calculated be increased from $3,000 to $4,MO. in terms of dollars per employee, this means about 45 per cent more taxes.

Under the program. 39 weeks is to become the universal standard. In the case of those states which now provide less than 26 weeks, a worker who is unemployed would get compensation for the shorter period and then, at the end of 26 weeks, would pick up the additional 13 weeks.

At present the general rule is that an employer must have at least four employees to come under unemplo3mient compensation: and there are many lines of work, such as charity and educational. that are not covered. It is now proposed to bring an estimated 3 million of these under the act. and to eliminate the four-employee rule. This would lift the number of workers covered to about 43 million.

Further it Is proposed to set federal standards for the minimum payment which a state .ffilV make. This is done by various steps but the aim Is to bring the payment to two-thirds of the acerage state wage. That goal would be reached by January 1. 1968.

Those are the principal provision of the new program: and there are Innumerable minor ones.

If this program goes through, it will mean that the federal government determines the eligibility of the recipients, the amount, and duration of the payments, and practically everything else about the system. And. with the penalty of losing experience-rating for non-compliance, It is evident that no state will ab-etain.

Of course the proposal has not yet passed and it is firmly believed that It will not pass this session of the Congress. That Is because there-is too much other pressing legislation for this to be considered. But'the bill carries over until the next session, and It Is none too early for everyone to make his views known to

his Congressman.

Other Editors Saying Economic Czar For U.S.

(Rooky Mount Telegram)

Quick congressional reaction was noted when President Kennedy listed recommendations which would give the White House emergency Income tax regulating powers and a stronger voice in Federal Reserve Board operations. This reaction on the part of congressional members was mostly unfavorablea most natural sentiment, since these powers. if assumed by the White House, would give the Chief Executive authority of a virtual dictatorship.

Taxing powers, up to now, have belonged to Congress. As administrator, or executive, has no business in a democracy, with power to tax or to regulate the economy. To provide such power would be a grave mistake. No wonder Congress frowns at this idea.

The recommendations were among 87 proposals by a privately created commission on money and credit. These recommendations and proposals. If accepted, would have profound effects on the nations financial life. One would, as mentioned, authorise the President to cut basic income tax rate by as much as 25 percent when the economic going gets rough, and to raise it a like amount to curb boom-day inflation. His action would be subject only to veto by Congress.

Less spectacular. but perhaps more basicaUy important, was the proposal to reduce the size

of the Federal Reserve Board from seven to five members, make their terms 10 instead of 14 years, and allow the President to select a chairman and vice chairman whose terms of office would coincide with his.

The net effect of all this would be to curtail the boards present wide, independent powers (which are needed in order to operate effectively) over the nations financial practices and tie It more closely to administration fiscal policy. In other words, make of the Federal Reserve Board little more than a rubber stamp to operate at the whims of the President. The recommendations are designed to shove the Board aside and set the President up as a financial czar with absolute control over the nations economy. This is merely another example of the sUtc-welfare type of bureaucratic planning that typifies the thinking of those now in power.

Continued centralization of pow-er in Washington automatically means reduced atate power and local voice in government. This trend, if maintained, means the inevitable end of government as we know It in Americar-rom government by the people to control over the people. This would necessarily include economic control, too, without which no government can operate succeaaiul-ly. Prom a free enterprise aya-tem to one planned and controlled by bureaucrata. that la the ultimate aim of the central-gov-emment advdcatea.

gana on envelopea because I never look at envelopea. However, if a free man wants to do it. why atop him? Suppose he wants to say. "Hip, hip, hooray! What then?

The manufacturer, however, views the matter differently. He says:

"The objections from the public to editorial postmark ads stems almost entirely from the fact that a great many people are under the misapprehension that they have been printed, sponsored, or authorized by the Government. This is not a question of opinion, but an established fact. This misapprehension can never be wholly overcome as long as the Government itself uses its own postmarks over adhesive stamps almost constantly for editorial slogan* and messages."

The theory of the writer of this statement is that the government can do no wrong but that the citizen must be careful. The textile manufacturer has a sense of humor and dislikes being Involved in controversy. So he has ordered a plate to read: ^

"We pledge allegiance to the flag of the United States of America and to the Republic for which it sUnds."

This cannot be controversial because it is recited by children in schools, by their mothers In womens clubs, by their fathers in service clubs. It is a slogan for universal application.

However, the stamping machine manufacturer got out of it by this paragraph:

"At the present time, the policy which we follow in the furnishing of the advertising plates is being reviewed and modified. Temporarily, therefore, we are only furnishing plates which have to do with a specific commercial product or service." _ ^

I wonder what would hai^pM if someone wanted a plate reading, "Our Father. Who art In Heaven. or maybe the Preamble to the Constitution or a stanza of the Beatitudes. These can be very controversial subjects, particularly since the United State* Supreme Court ha* ruled God out of Maryland which was founded so that men might worship God in the Catholic fashion as Penhsylvania was founded to give the Quakers a place where. they might keep their silences without their ear* clipped off for heresy.

In a statement, the meter manufacturer says:

"As a matter of policy, the Post Office never uses Its can-(Continued on page five)

By ROGER BABSON BABSON PARK. Mass. As I study events in W*B Street,

I find that the first era of speculation was in gold. This was accompanied by some speculation in Government Bonds. Prices were based on gjftjl report* from London. There were then no cables.

The Glamovroiu Railroad Era Following the Qvll War, from 1875 to 1900, most of the peculation wa* in railroad stocks. New mileage wag constantly being built, due to the large immigration and cheap labor, ac-compaa by go<kl crops, which helped railroad earnings. The Northern Pacific stock sold at $1,000 a share. There wa* much talk about railroad consolida-tlona, and the stock marke^ was especially bullish over a proposed merger of the Northern Pacific. Great Northern, and Burlington Railroads.

Then, suddenly, the Supreme Court Issued a decision preventing this consolidation. This caused a quick drop In all stock* in 1907. A member of-the N. Y. Stock Exchange Invited me to come on the floor of the Exchange and help him. I actually aw mens hair turn grey within 48 hour*. , . .

Em Of Great ladistHiJ Trusts Following the boom in railroad stocks there developed an interest In consolidations and big trusts. This began late in the 1890s. Then were formed the Tobacco Trust, the Standard Oil Trust, and other great trusts. During these years, the New York Stock Exchange took a great Interest In Industrials, It was then that Moodys Manuals and Babsons Reports were started, end Investment services - began to be" popular.

Although the above-mentioned Supreme Court Decision directly referred only to railroads, it In-dlfe<^ brought an end to this Consolidetion and Trust Era. Hence, the panic following affected both railroad and Industrial stocks. There were no big electric utilities In those days.

The Electrical Era The fourth era of glamour stocks centered around companies producing and distributing electricity. PYom 1907 to 1912 great speculation took place in these electric stocks, culminating In the 1929-1935 collapse of Elec- ^ trie Bond & Share.

The end came for this Electrical Era with the formation of the Securities & Exchange Commission. Its great powers enabled it to eliminate, rearrange, or break up any company manufacturing and distributing electricity across state lines. Although the use of electricity has continued to increase since Thomas Edison made the first dynamo, yet the utilities arc no longer considered glamour stock*. _

The Present Space Age Era I mention the above events thinking that the recent du-PontGeneral Motor* Supreme Court Decision may put a damper wj speculation In companies producing missiles, space calcules, and various electronic devices. The previous Court De-ctekms which I mentioned have been imexpected. Each has "pulled the trigger" for a change in the stock market trend. Whether this means that the present bull market is now culminating no one know*, but we should always watch for the unexpected, ciold, railroads, trusts, and electricity were as glamourous in their day as space and electronics are today. Labor Union Era TI recent' duPont General Motors Decision may bring about a reverse effect. It may unexpectedly make Wall Street optimistic. The decision was basically against monopoly, as were the decisions of several years ago. Yet, the greatest monopoly today is that of Labor Unions. What If the Supreme Court ahould suddenly dissolve the Teamsters Union, as now operated by Hoffa, whom President Kennedys brother, the Attorney O^ral. knows from A to Z?

Such a decision could rule that previous Oongresalooal legisla/-tion exempting Labor from the Anti-Trust Law is unconstitutional. Such a dadsloo, instead of creating a bear market, could oaiMe the Dow-Jones Averages to 80 sky high. Surely this Is a p^bllity, and a reason why (Oonttnued on page five)

Small Firms Can Meet Giants

Strength For Today

Bv EARL L. DOUGLASS

MAJESTY AND NOBILITY

"Man Is the only animal that laughs and weeps: for he is the only animal that Is atnick with the difference between what things are and what they ought to be."

The great essayest Hazlltt wrote that some generations ago. It might be called a thumbnail biography of man. Unlike the animals, we arc made in the image and after the likeness of God. They are to be dominated and utilized. We, on the other hand, have the capacity to be on terms of fellowship and friendship with our Creator. We are able to look at life and think of 11 In terms of eternal destiny.

Sorrietime* the contemplation

of life makes us laugh, and again it makes us weep. And Hazlitt was right in saying that we laugh or weep because we are able to discern the difference ^ between what thing are and what they ought to be. It is not stay to live life through with courage and purpose, but the challenge of life is the fountain-head of true happiness. Making the good better, correcting the evil where it can be corrected, enduring what must be endured this Is the divine plan for our lives; or to change the figure, this is the warp and woof of lifes fabric.

The angels are our companions if we will only permit them so to be. Human life Is essepUsUy majestic and noble. ^

By ELMER ROESSNER A small company can flourish despite the competition of giants If it is smart enough. One such case has been disclosed by Louis S. Edman. a publicity consultant oi Putnam, Conn.

Mr. Edman told a sales pr<^ motion convention how a small electronics firm, with his assistance, staged a sales coup right under the nosea of some of the largest corporations.

The small companys first consumer product was a $190 two-day radio set for the citizens band. No license Is required to use them. ^ \^ ^

"Investigation showed that

RCA, Genecal Electric and several other large electronic companies had similar sets on the market, some in a much lower price range.

On the face of it, the proposition was hopeless, but I discovered a curious thing: none oi these companies was taking advantage of the versatility of these radios. 'All of their advertising was in electronic magazines, publications read by hams wod eletronte specialists."

A CITIZENS MARKET .

Mr. Edman figured that the

big market for these sets were among people who knew nothing about operating short-wave radios and- who could not take complicated tests or spend time studying electronics.

He also concluded that advertising and promotion directed to hams and other experts was almost completely wasted. "It was like trying to sell McGuf-feys Reader to^a college graduate, he said. ,

"I made up a list of people who had use for such a device.

I came up with a couple of dozen categories, including farmers who had to be called in from the fields, fishermen who wished to remain in touch with their camps, salesmen who operated In limited areas, doctor* and veterinarians, taxi drlversrtruck-ers, private plane owners and so on.

The publicity man directed the sales story to these groups and the ordinary consumer. He gained mention on two television networks. the wire services, in science service and in boating magazines."

SUN SOLD OUT

The makers pilot run bf 5()0 sets was quickly sold out and.

before he had completed his ts-^ slgnment, a second run was about exhausted. Mr. Edman said: "Yet all this time similar products were being offered by gian^ competitors at a lower price," he added.

Since the coup, RCA and GE have broadened their advertising and publicity. And lince that time, too, other manufacturers have entered the field. But two-way citizens' band radios are atm woefully underexploited and underadvertised.

I know: I get letters from business firms asking me if it~4g really true that they can operate two-way radios simply by buying A set and filling out a form. And you can know, too, if you ask the same question of the next dozen people you meet outside the electronic fteld.

erhead clearance for high trailers smd auto racks. This car, by ACF Industries, Inc., Is also fitted with cushion cradles, another new device to support and cushion virtually any type of container load.

The other Is the Hydroframe freight car. devised by Pullman, Inc. These utilize a patterned device for eliminating coupling impact. This car can be Joined to another in freight yards or on sidings without the Jolt that is often damaging to the load. In fact, Pullman estimates that the new car can save railroads $100 million in damage claims a year.

TRUCKERS COMPETITION BRINGS NEW RAIL CARS

The railroad industry, after losing vast amounts of freight to truck lines, is now fighting to get some of it back. Two new freight cars are being introduced to attract more freight.

Orr ' a low-level flat car designed to provide acklitional ov-

ONLY 3 MEN OPERATE COPPER ROLLING MILL

A new Continental Cooper and Steel mill at Linden. N.J., requires only three men. The mill converts 365-pound bars of elec-trolic copper Into 2,8(M) feet of copper rods a minute. The rods are 5-16ths of an inch thick.

Two men load bars <mto a con- ^ veyor and remove the finished^ rods. The third, an engineer, sets the automatic controls and ob-servea tte operation. .