rAfil row/HE DAILY REFLECTOR, ClSENVILUE, N. C

Monday, July 31, 1961

itoadhy, July 31, 1961.

4.,

Give Em a Key to the Bade Door

The Schools Cant Do Everything

Public schools, it seems, have come to be regarded as institutions which are supposed to meet all the needs of growing children, whether they be educational, social, physical, environmental or what-have-you.

At the same time they are supposed to graduate budding scholars who can pass the toughest college entrance exams, qualify for the stiffest course of study universities can concoct, and breeze through with flying colors.

That is a big order for any one organization.

Within the past few years the public schools of the nation have come under severe criticism because the day of the student was filled with too many things other than the three Rs. Leaders in many fields saw the need for a'greatet number of scientists and technicians of all kinds in the American society and quickly pointed out the shortcomings of public education for not providing them.

The modern education system, they said, had golie overboarc^ for the frills and fancies^ There was too

3ig Problems In ! Prisons System

By LYNN NISBET

EX-PRISONERS The Economic, governmental and social problems involved In operation of the State prison system are tremendous. These problems are more acute in North Carolina than in most states because o our unique sustem of requiring the State to handle casual misdemeanants with sentences ranging from 30 days upward, as well as felons and long tenure inmates to which most state systems are limited.

Modem penology Imposes burdens upon the prison system which prlrar generations did not consider. In many instances the accepted obligation of rehabilitation and training of the prisoner takes precedence over the basic idea of punishment for crime. A large part of the tax money allocated for operation of the prison sysUm is devoted to rehabilitation and training of the men and women who have been sentenced.

This new concept Includes the Judicial function of probation, the objective being to keep some persons convicted of minor crimes from ever going to prison. A much larger item is embodied in the parole system, under which worthy prisoners are released before termination of sentence, and a still larger Item Is the poUcy of training prisoners and helping them to find jobs upon releaseeither under parole or at expiration of sentence.

Governor Sanlord expressed the extreme liberal (?) view on this point when he told a conference of State officials the other day. assembled to study the problem of employment for ex-prlsoners, that the highest purpose of our entire system of criminal Justice is to return convicted offenders to free society willing and able to meet the responsibilities and to earn the rewards of citizenship in a democracy.

JOBSMany people will not go along with the Governor to that extent, because there persists basic belief Uiat imprisonment is primarily for punishment of criminal offenses committed against the public. Most taxpaying citizens will go along with the Governors next propo-aitlon, that in any rehabilitation or employment placement program the State government should take the lead in giving lair consWeration to ,^b applicants whdPkre ex-prlsoners. He added that we can hardly expect private enterprise to employ ex-prtaoners unless we demonstrate the courage of our own declared convictions,

The conference the other day was attended by George Randall, director of State Prisons; Henry E. Kendall, chairman of the Employment Security Commission; Johnson Matthews, chairman of Paroles Commission, and Dr. Ellen Winston, commissioner of Welfara, None of these offi

cials. whose composite duties embrace all phases of employment, asked for any special consideration for ex-prisoners. Each asked only that job applicants be considered on showing of merit and ability to do the job. and that the prison record per se should not be counted against them.

The most costly part of prison operation are the repeaters, the men who come back after one discharge. Director Randall said that two ^ut of. every three repeaters |ppme beck because they could not get Jobs to earn a livingand slipped into further criminal activities.

The cost of maintaining prisoners is difficult to compute. Present figure is about $1300 a year for food and lodging for the prisoner himself. To that must be added his loss of productive income, and an indeterminant amount for welfare support of his family. Dr. Winston says the ADC (aid to dependent children) welfare costs in North Carolina because of prison related heads of families is about twice the national average.

COME-BACKSWhile the rate of repeater prisoners is high, there are shining examples Of come back into useful citizenship on part of men who have done time in prison. It was not mentioned at the conference the other day, but it has been often publicized, that the 1949 session of the General Assembly of North Carolina had three ex-convicts* in its membership, each of whom contributed substantially to good government in Ncwrth Carolina.

Reps. Thomas E. Cooper of New Hanover, Ralph Fisher of Transylvania and Junius K. Powell of Columbus had all served sentences in prison for technical violation of banking laws in the desperate depression days of the 30s. Previously Cooper had received a creditable vote for Governor in 1940, and subsequently PowcU, who had moved over to the Senate, sponsored the famous Powell Bill which gave municipalities their first real break in a share of State gasoline tax receipts fw streets.

The list of men who have come out of prison and made high places for Uiemselves in government and business would be long and would contain some very prominent names. It is doubted, for instance, that the world would have had the wonderful stories by 0. Henry if William Sidney Porter had not been sent to jail-

That emphasizes what the folks at the Governors conference were talking about. Some people are just not suited for some jobs, but the fact of a term in prison should not be counted per se against them when they apply for employment. To the contrary, the wav they reacted to situations in and out of prison might demonstrate superior qualifications.

The Daily Reflector

INCORPORATED Published Every Afternoon Except Sunday Bstabliahed 1882 DAVID JULIAN WHICHARD, Publiahtr ftitered at Poat Office. Oreeortlla. N O. aa eecond tfa Ml matter.

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much time taken up by youngsters learning the rudiments of democratic governments through their school elections, the school legislatures and the like. They could learn music appreciation at home and how to play a musical instrument after school hoursprovided of course it didn't interfere with the time they were supposed to be devoting to study. Athletics in the public schools had become big-time. The emphasis was too much slanted toward developing football heroes and seven foot basketball players along with a regiment of cheerleaders rather than young men and women who would make th deans list their freshman year in college.

All this and more has been heard, and. some of the criticism, to be sure, has been valid. The pendulum began to swing and public schools began to shift their programs to get more time on the books, less on the athletic fields and in other activities.

And now, to cap the stack, President Kennedy has joined the ranks of other experts by asserting that the schools have neglected the physical well being of the youngsters . . . some time should be devoted each day to building the American youngster physically as welllas mentally.

Sooner or later teachers and other professional school people are going to take their courage in their hands and point out to the exptrts as well as to the rank and file citizens that there is just so much of a childs development that the schools can be responsi ble for. At least a small portion of the responsibility must come to rest somewhere besides upon the schools.

They might even go so far as to suggest that the youngster could develop a muscle here and there by walking a few blocks to and from school each day rather than driving his car or being picked up at his doorstep by a school bus. And if this were ever to happen, some of the money it is now necessary to spend building huge parking lots around public schools might be used to add another classroom or two.

Public education, alas, must have more extracurricular experts than any other institution in the American society.

ustified Pride "n Production

tfSitu, 1

By GEORGE SOKOLSKY

Goldwateis Significance

By RALPH ROBEY

PreBident Kennedy, with ob-viouB pride, announced at his press conference that In the second quarter of this year gross national product was $515 billion. His pride was justified because the previous high was Just a year earlier and was $506 billion. In the first three mc^nths of 1961 the total was $50F billion.

Gross national product, it will be recalled, is the total monetary value of all goods and services produced in the nation. It is the broadest possible measure of economic activity. The main criticisms directed at it are; it goes up and down with changes in prices (this can be corrected for, using a special price Index), it is directly affected by government spending (and this item has increased by several billion during the past twelve months); and there has to be a large proportion of the total which is solely the result of estimates.

The growth from the first to the second three months of this year was $14 billion. During this period there was no appreciable change in prices, so this rise was not caused by even moderate inflation. Spending by government-federal, state and localdid contribute signifi<sant-ly and so did a change from inventory liquidation to inventory accumulation. But even when allowance is made for all this the growth was notable and most encouraging, and it is generally believed that the upswing still is continuing and the third quarter will show another substantial jump.

Another measure of activity which is widely followed is the Index ot Production, by the Federal Reserve Board. On the basis of 1957 as 100, the all-time high of this index was January 1960. For that mbnth it was 111, which means 11 percent above the average of 1957. The low was 102 fn February of this year, and for June it was 110. Included in this index are practically all manufacturing Industries and mining and utilities. The basis of the measurement is physical units, so changes in prices do not affect the index.

Private housing starts in June advanced for the second consecutive month and for the first time this year were at an annual rate of 1,370,000. Originally the government estimated that there would be 1.300,000 private starts this year, but a few weeks ago the forecast was reduced to 1.275,000, and aome experts think even this lower figure may be a bit high. It Is generally conceded that the new housing bill which became law a short time ago will have no important influence this year. This is because the measure is so compUoated

that It will take many m<mths to prepare the necessary regulations and procedures. This bill, of course, was the most extreme ever passed by the Congress, and many persons are extremely worried as to its ultimate effects. Overall construction is running at a record level.

For some reason, however, consumers are not spending as freely as their income would normally suggest. Retail trade as a whole is doing weU in most lines, although hard goods are rather sluggish. No one knows just why the consumers are so hesitant, and the nationwide surveys of consumer Intentions throw no real light on the issue. But it is clear that the future trend of the recoveryboth the speed and the durationwill depend to an unusual degree upon whether the hesitancy continues among consumers.

That we still are faced with some serious problems goes without saying. But with a continuation of the uptrend some of these will at least become less pressing.

Opinions

By GEORGE E. SOKOLSKY

Copyright, 1961, King Features Syndicate, Inc.

Great political leaders are more likely to emerge in the United States Senate than in administrative offices. Few have achieved the distinction of primary leadership that Barry Ooldwater has so swiftly and surely earned.

Barry Goldwater ran against the tide, but the tide turned for him. He pronounced himself to be a Conservative when that was a idirty word in politics. Wherea/e such mi as Senator Joe McCarthy never asserted an ideological position, except op-posltioh to Communism, Gold

water presents a positive program of conservative thinking. I have heard at least two persons accused of ghost-writing his book. I should imagine that Barry Goldwater did make the mistake of calling upon a friend to correct the punctuation or the paragraphing. It is always wrong to employ ghost-writers, but knowing Goldwater, I can say that he discusses his position more ably than he has written it. He knows what he believes to be true and no one who is said to be his ghost-writer is as able as he is. We can therefore skip s|bh trivia as whether he did or not employ a ghost-writer for his book.

Other Editors Sayings... A Boom Is Probable

'.n Brief

This country wasnt founded nor did it grow to greatness on the b&sls of leadership that lacked faith in Ideals, a willingness to vote for c(Mivlctions, We doubt that it can long survive if our present lack of faith and conviction ccmtlnue to spread. Mound (Minn.) Pilot.

It would be interesting to have new proposals from the classroom teachers themselves as to what the schools can do to improve instruction and realise the goal of quality education. We have the idea that there are teachers in every system who see ways In which the instructional program could be improved and education made better. Durham Herald. ^

Poverty is perhaps mans biggest enemy. Yet some people seem to think that there is virtue in poverty and being poor somehow makes us the Lords chosen people. Nothing is farther from the truth. Poverty is a blight and Its accompaniment usually is ignorance, super.stltion, and backwardness and stagnation so far as human progress is concerned. Laurlnburg Exchange.

(Henderson Dispatch)

A boom in the national economy and a further upward lurch of inflation may be anticipated in the wake of President Kennedys call for more billions of dollars lor defense. Recovery from the slack period late last year and early this year is already well under way in many lines, and the stimulus resulting from the nation going on a partial war footing will touch off a fresh ''^wing to higher levels This acceleration could continue for many months to come, or so long as lavish government outlays may persist. And thats lor the foreseeable future, barring some unexpected development favorable to world peace which would be so sure as not to be misinterpreted.

Americans are quite willing to make whatever sacrifice may be necessary to assure their safety. But they may be pardoned for speculating about what is being done with the $43 billion already in the kitty lor defense. They wonder if such additional financing as may be required for stepping up defense could be obtained by eliminating waste, duplication and extravagance in what is already in the cards.

Be that as it may. it is something about which very little is likely to be done. There is far less sentiment in the Federal government, from tpp to bottom, or from bottom to top, as you prefer, in favor of getting a dollars worth for every dollar spent than there is in laying hands on the money. Congress concerns Itself precious little as to what happens to the funds it appropriates, and it will be so in this instance. The country can only tighten its belt and try as best it may to shrug it off. Protection must be had at ail costs.

Flow of these additional billions into the economic chan

nels of the country cannot but have an Inflationary effect. Living costs edged upward by a tiny fraction of one percent in June, economists say,, but far more than that may be anticipated from here on.

Washington is obsessed with the idea that the one remedy for all ills and evils is to spend more money. Soviet Russia is quite aware of that, and is apparently basing at least part of its strategy on forcing the United States to spend Itself into bankruptcy. A private industry cq?erating as the government functions would already have reached that point. So also would government, for that matter, but for the fact that it has recourse to higher taxes and starting the printing presses to provide more currency at will.

The Presidents advisers have told him that the economy can easily support greater ouUasrs and higher debt obligations. That is what the President wanted to hear and is what he was told. It may or may not be sound calculation, but it is still a pleasing morsel regardless.

A government and a nation on the financial rocks would be easy prey for ruthless, ambitious Gommunlst.

A boom in the economy would of itself provide Federal coffers with increased revenues which could avoid more burdensome taxes, and that may be what the President had in mind in saying that no new levies would be asked of CcNigress before the first of the ^ar. A sharp upturn in volume of business seems a virtual certainty under the new program which will be authorized by Congress. A buying spree to get In ahead of inflationary developments will more than likely extend to all areas of the national economy, and may not be long making itself seen and felt.

Barry Goldwater is the first conservative politician who has cracked the hard crust of collegiate liberalism. He has not only spoken on an extraordinarily large number of campuses but he has established an image for leadership, so that a large number M young pe<vle have organized th&mselves into associations which accept the leadership of Ooldwater, politically and sociologically. Even Robert A. Taft did not succeed in this, he not having had the warm personality which appeals to youth.

The significance of Barry Goldwater polUically is that he has a program which is a novelty in American politics where the tendency is to be expedient. Goldwater avoids the expedient and adheres to principlehis own statement of principle, which is gaining in strength, especially in the South and among students. The election of Senator Tower of Texas represents a victory for Goldwater who supported Tower, but even more because they represent identical points^ view.

The weakness of the Republican Party since the defeat of Herbert Hoover in 1932 has been that it has labored hard to win without a program. All Landon, Wendell Willkie, Thomas . Dewey represented, in the Republican mind, candidates who could win on personality. The election became something like an Oscar contest in the motion picture business. The real difficulty that these men faced was that \merican people were seking it was not a personality that the but a leader, a man of ideas, a person who would be different from Roosevelt or Truman. The one man in the Republican Party who might have presented such an image to the country was Robert A. Taft whom the party refused to nominate for President.

The argument against Talt was not that his ideas and purposes were wrong but that he could not win. In a word, winning at any cost reiH'esented the concept of the party leadership and sponsors. They would not risk a debate over principles. And so, ultimately, they elected Dwight D. Eisenhower who did win.

But what did Elsenhower stand for? What was his program? What has he meant historically as President? The answer is that John F. Kennedy realisUcally succeeded Harry Truman, that there has been an eight year Interregnum so far as the Presidency is concerned. During the Eisenhower Administration, Congress took oontrcri. When the Executive Branch of government is analyzed such men as Sherman Adams. Richard Nixon and James Hagerty played (Continued on page five)

Survey

Of 61

Susiness

By ROGER BABSON

BABSON PARK. Mass. The laymen whom I meet and talk with often exiMress confusion as to the true statue of business a.id financial cosditlons. having been bombarded with conflicting reports from the optimists and the pessimists. Therefore, I think it would be helpful to readers to have a brief survey of economio developments through mid-year 1961.

SECURITIES MARKETS

The outstanding feature of financial conditions over the first six months of 1961 was the sharp upspurt in stock market activity. The Dow-Jones Industrial Average rose from 616 at the begin-ing of the year to an all-time high of 706 in the middle of May, before trailing off to 684 at midyear. Although part oi the increase in Investment Interest was in anticipation of some improvement in general. business later In the year, inflation psychology and speculative enthusiasm heightened buying Impatience.

Bond jnrices were on the upside untfl late in this period as easy credit conditions In the banking system sustained demand OT them. Tax-exempt bonds proved to be the exception, however, with prices depressed by the huge volume of new offerings.

dENERAL BUSINESS

Inditttrlal production continued to decline during January and February, then in March regained the ground lost in those two months. ITiereafter, output from the nations factories expanded sharply. The Iweadth and vigor of the taislness upturn were Indications that the fourth economic recession since World War II had run its course. Notwithstanding pump -priming measures initiated by the Government, the business rebound was largely the result of natural curative forces. It has been my experience that overexertion, colds, and indigestion respond best to rest, treatment, usually without my having to resort to piUs. So, too, the recessionary period provided the needed rest for the economy to appear to correct such Imbalances as excessive inventories and debt, and unduly high price and cost atructures.

The biggest source of disap-poinhnent during the first half of 1961 was ^e lethargic pace of consumer spending for goods. Monthly retail sales figures dawdled along at rates below those for the 3rear-earlier period. This, however, may have been a blessing in disguise, since consumers were building up future buying potential by adding to their savings and paying off their installment debts.

NEW BUILDING AND

REAL ESTATE

New construction expenditures continued the generally sidewiss trend of 1960. Commercial, industrial, and public utility outlays for new construction were at record rates, but these were offset by the low levels of new home building and highway construction. However, housing starts began to edge upward after the beginning of the year, and road building took an upward spurt in the spring.

Real estate prices were generally steady during this period. Suburban property values held firm because of residential, commercial. and industrial developments in outlying areas made accessible by new highways. Urban real estate values, howeve-, remained undr the handicap of traffic and parking problems. P^rm land prices oontinueei to rise, tided by prospects of increased usage of agricultural products through present for-eign-aid programs.

Employment conditions presented a mixed pattern. Unem-ploymwt rose sharply during the winter, and improved only slightly In the spring. Employment in manufacturing, mining, and construction suffered from the drop hi business, and responded only grudgingly to the rebound in activity during the spring. Factory work weeks, however, showed a steady Improvement.

Personal incomes edged downward early in the year. Lengthened factory work weeks and wage Increases, however, resUn'ed the rising trend to personal Incomes, which hit a new record level by midyear. The foregoing study indicates to me that, on the whole the economy weathered the resting period quite well, and has Mnerged ott a healthier footing.

SclentlsU tell ua that the human race is growing tller. Even so. they are still up to their necks in trouble.^Elber-ton (Oa.) Star.

A Gradual Process Is Involvec.

Strength For Today

By EARL L. DOUGLA.S.S SACRAMENTAL LIVING ^

A sacrament has sometimes been defined as the external sign of an internal grace. It is a religious act by which we seal and deepen certain relationships between ourselves and God. Different branches of the church have different ideas regarding Christian sacraments. But the general Idea of a sacrament as something sacred in character and designed to draw God and man together In closer fel-lowship-ihis is believed by al-m(t all Christians.

(Certainly U is the duty of all bellevert to try to make the whole of lile become aacrament-aJ in nature. We need to learn how to lift up the common things (rf life untfl they have divine significance. The rites of the church art very important. The

/ r t

altar upon which the sacrament is performed la holy. But the power and nature of the sacramentthat holy alliancea b^ween God and mangoes, if we allow it to do so. into every aspect of our lives, Our dally living can take on sacramental character. Our relationships with friends and loved ones can become sacramental if we allow them to do so. We can be grateful that by divine provision sacraments were instituted. We can be grateful that we can carry the spirit and significance of the sacrament out into the street, into the office, to those centers where people seek relaxation amid wholesome surroundings.

We can make life sacramental In nature. This la one of the prlDclptl teachings of sound religion. Our lives can take on sacramental aspectsand should.

By ELMER ROESSNER The economic effects of President Kennedys declaration that the effects will be gradual, and that resulting tax increase will not even bs suggested until 1962, will not slow down business consequences. In economics, present retliUes tend to run ahead of future probabilities.

In mis situation, the probabilities are strong indeed. While the expansioD of businMa, under the pressure of arms spending, will be great, it seems impossible that this expansion wUI generate enough added income to increase taxes fufflclently to avert either a rise in taxes or an increase in the naUonal dlficit.

NO JACK-POT Assume, lor instance, that government spending wUl rise $5 billion in the year starting today and that's no idle assumption. That will generate a lot of profits. taxable at around 50 per cent for corporations and up to 91 per cent for individuals. But to expect that suc)y| spending

would result in a $5 billion tax increase is to assume the un-assumable: that the ultimate profits on $5 billion of government spending would be almost '$10 billion.

Oovemment spending does not gentnrate more Income than itself. For example, suppose the government pays a certain group of civil service employees $1 billion a year. Those wages would yield, perhaps. $250 mllliOD in taxes. In additicm, the spending of the remalndM* would result in wages, retailer profits, landlord's profits, etc., of perhaps $250 million more, which in turn would yield another $30 million in taxes. And the employees, retailers and landlords would spend the difference with other merchants and supNl^rs, who would pay a tax on flieir profits. And the merchants would spend the rest of their $ains

This could go on through many stages, as any mathematician or economist can tell you, the ultimate tax gain can never equal

the initial government outlay. OTHER FORECASTS

Here are more look-aheads in business:

Auto bargsina But they will tske more careful searching. Dealers are eager to get rid of 1961 models because the 1962 affairs are just a flip of the calendar away. But dealer inventories are lower than a year ago so. to get a fat discount on a 1961 model, buyers will have to shop around until they find a dealer with an out-of-line stock.

More gold losses. The outward flow of gold has been reversed in recent weeks, but it will resume again. The Kennedy pro. gram will force Congress to step up fcureign aid. and the Kennedy defense messures will tend to in-cresse the spending of money oveneas. These fsctors wUI reduce the U S. balance of payments. resulting in an mitflov of gold

More Inflation. We cantM}f getaway from It. The defense pro

gram. with a built-in initial deficit, the coming rises in prices, the consequential rise in wags demands, and the eventual rise in taxes write inflation on the blackboard of American business.

It's inevitable. As far as possible. hedge.

OLD PROMOTER SCOFFS AT CnURCHLY PROPOSAL I see that the Church of Eng-Isnd has proposed a new auto accessory, said the Old Promoter. Its a 'thank you' sign that could be lighted at the touch of the button. A driver c(mld show thanks for someone who let him into a line of traffic or wavM hinr past.

"Sounds Uks a good idea." I said.

For England, maybe, oid old one said. But If we want to make money in the UB.A., we ought to bring out a algo that says, 'You dope! Who dya think you are? or Drop ilead! Thats another good idea I wont inveat in.

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