Monda/, November 26, 1962

Momentum In Area Development

Theres Only One Sure Cure

Most ares development associations formed in this section of the state during the past year are beginninn: now to push forward with programs designed to meet the most acute needs of their respective counties.

Some of the groups have forged ahead faster than others with preliminary studies, gathering information about their counties and taking a careful look at what appear to be the most pressing problems. Others of the area development groups are

still in the process of compiling information before X 116 XM OVv

they decide problems should be given top priority.

Although few of the groups so far have been able to point to any tangible results of their efforts other than, perhaps statistical information the

long-range plans for meeting the needs of their respective counties. For the most part the area groups are not just organizations on paper, but are becoming working groups. Through their work at the area level, and with cooperative work at the individual county level, Eastern North Carolina should have an effective new instrument with which to help raise its economic level and that of its people.

Is More Apparent

organizations appear to have gotten off on a much sounder footing in this re-organization program than was the case during the Hodges administration when an effort was made to organize such groups in this part of the state.

It is evident that the progress made by any one of the area development groups will largely be determined by the progress made by individual counties within those groups. Little done at the area level will have much meaning unless it is implemented with detail work at the individual county level.

Most important at this stage, however, is that the area groups are attempting to outline practical,

Rate Decision !xpected Soon

By WILLIAM A. SHIRES POWER A decisicm in the highly - controversial Nantah-ala Power and Ligta Qnnpany s rate case is expected very shortly.

Finishtng touches were being imt on this long-awaited ruling by the State Utilities Commis-8i<m Just prica* to the Thanksgiving holidays. Now the best infonxuiti(m is that the decision win be announced within a few days.

The case has been before the Utilities ConunissiMi for a year and a half and has assumed major.. significance. Hearings In various phases ot the case were held over a period of several months and were wound up last summer, with the excep-tion of flling further briefs and documents. R has been under advisement by the Utilities CommissicHi for several numths.

CASE The case involves rates for electric power in a six-county area of Western North Candna served by Nan-tahala. The power company put into effect Increases averaging 32 per cent which in some cases nearly doubled electric bills for some customers.

It also involves pnHi>osed sale of Nantahalas distribution facilities to Duke Power Company, The Jong dispute involves not Only bitter protests by electric custMners and users hi the area. but protests that the increases had blocked industrial development and were proving to be an actual hardship on residents of the region. There was an exchange ol letters between Governs Sanford, who asked Nantahala to rescind the rate increases pending a decision by the Utilities Commissim, and Nantahala president John Archer who defended the firms ac-tkm.

Nantahala put the increased rates into effect imder bond. Electric membership cooperates in the area intervened in the case and there were requests that these groups be allowed to acquire the Nantahala facilities and use them to distrilxite excess power from the Tennessee Valley Authority (TVA).

ASPECTS The complicated aspects of the case and the four surrounding it focussed new attentiof) on the role oi the State Utilities Commission.

This occurred at the same time that possibly reorganization and revlsicm of the Utilities CommlssiOT and statutes concerned with utilities regulation were under study. The study of this, also nearing com

pletion, is being made by the General Staties Ckxnmission. A separate report suggesting sweeping changes in the State Utilities Q>mmissi(xi was written and issued several months ago by Utilities Commissicuier Thomas J. Eller.

LEGISLATION Governor Sanford is giving full support to c(Hirt reform legislatioi, but in effect has delegated the authority for pushing this through the General Assembly.

Sanford told newsmen that the governors office as such will not undertake to say what part of the long-range court reform program should be enacted in 1963. Sanford indicated that while endorsing court reform, he is going to leave the actual legislative program in the hands of the Bar Association and the Judicial CounciL The governor also said he is going to await the recommendar tioDs of State Insurance Com-missiouer Edwin Lanier before saying what he thinks Miould be done about insurance premium financing.

Sanford said he is ccmfident that Laniers recomipendatlons will be sound. And he added, I am very proud of the job he Is doing.

JOBS The significance of the October report on noo-ag-rlcuJture employment In North Carolina was not that it experienced a seasonal decline, which it did, but that there were 26,-600 more non-farm jobs being filled than at the same time a year ago.

In effect, it meant that there were at least 26,600 more wage -earning Jobs available and being filled in October, 1962, than in October, 1961.

This was about evenly divided between factory jobs, up by

13.800, and n<m-factory jobs, up

12.800.

One of the larger gains was an increase of 2,000 in employment by the public school system. There was a 1,400 gain in retailing.

The decline in non-farm jobs from Septembers seas(xial peak was 2,700. But it was plain from the State Labor department report that such declines as 4,400 in tobacco stemmeries, 800 In cigarette factories, 500 in broad-woven and hosiery divisions of the textile industry, 900 in construction and .500 in federal, state and local governments, were largely offset by gains elsewhere.

'The states total non - farm employment for October was 1,254,800 which was a new high for any October wi record.

Consider carefully the contrast between Russia's actions to avoid conflict over Cuba, and Red Chinas open invasion of India. * ^

Consider the possibility of Soviet fighters being flown by Indian pilots engaged in combat witn Soviet fighters flown by Red Chinese.

Such things cannot easily be passed off as part of the old communist game of playing both side.s against the middle in their struggle for world domination. In any reasonable evaluation, such events must reflect a broadening of the differences between the two great communist states, the Soviet Union and Red China.

For several years now Red China leaders have been increasingly critical of co-existence talk of Premier Khrushchev. They have denounced his failure to use armed aggression in the place of indirect political aggression in order to further the communist cause. While Khrushchev was backing away from a crisis in Cuba, Red Chinese soldiers were invading India in an undeclared war.

These factors are not sufficient to lead to a conciusion that the two most powerful communist nations will be at each others throats in armed combat in the near future. They do indicate, however, that Peking and Moscow may be drifting farther apart on basic issues. The united front they presented a few years ago is disappearing. It is no longer a case of policy being determined in Moscow and followed in Peking.

While the struggle between freedom and com munism continues, there is also building up- a struggle for leadership of world communism between the Soviet Union and Red China. In time, this latter conflict will have a significant impact upon the course of international affairs.

New Outlook Ror Fiscal Year

By JOHN ABNEY

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By RALPH ROBEY

Each year in January the President of the United States submits his Budget Message to the Ctmgress for the fiscal year which starts the following July 1. After the Congress adjourns the Budget Bureau puts out what Is known as the mid-year review. This cannot be done while the Congress Is in session because no (me then can be sure what legislation may be enacted which will affect the budget outlook. This time the mid-year review is relativefy late because the C(mgress stayed in session so l(mg, and there were the usual charges that it was being deliberately delayed for political reas(ms. Such charges are without foundation. The revised figures were put together as quickly as possible, and issued immediately.

In the Presidents Budget Message last January it was forecast that In fiscal 1963 which is the current yeartotal government expenditures would be $92.5 biUicm and total revenues would be $93 billion, which meant a surplus of $500 million. It has long been known that the spending would be higher than this and the revenues lower. SiMTie time ago, in fact. Administration sources indicated that we would have about a $6 billion deficit. Congressional authorities sources Indicated that the deficit would be some $8 billlim. The mid-year review put the deficit at $7.8 billio%.

Now it is customary for there to be a substantial difference between the Budget Message and the mid-year review, but this time the change is unusually large. As always there are three broad developments which account for the changed outlook:

First, a rise of expenditares. But the ilse this time is not in military and related activities. In fact these estimated outlays are do^^n slightly from the forecast of last January. In contrast. the spending by civilian agencies shows a growth of $1.3 billiwi. The net result is that total expenditures are now forecast at $93.7 billion.

Second, a decline of revenues. These are now e.stimatcd at $83.9 billion. The drop here is $1.8 billion in individual income

taxes, and $5.3 billion in corporation income taxes. These downward revisions are based upon new estimates. of perscmal income and corimratitm profits. The former is now predicted as $7 billiim lower than it was last January, and corporation profits are now put at ^.8 bllUoo Jess than the estimate in the Budget Message. It will be recalled, too, that the total value of all goods and services, or gross national product, was forecast last January as $570 billion for the year. It is now predicted at $554 biUion.

Third, the action of the Congress. This, of course, can cut both ways. By voting more appropriations than the Administration requests, the spending estimates must be raised; by refusing to vote new taxes, or by falling to accept the proposed effective date for tax changes. revenue forecasts must be changed. Both of these possibilities happened In the last session of the Congress.

None the less, the major factor In bringing about the changed budget outlook wa^ simply that the over-optimism of the Administration last January on the business trend is not being realized.

There is another deficit ahead pf us In the next fiscal year. How large it will be is an open question. Yet the Administration continues to insist that there is no danger of lnflati(Mi. The reasoning is that, with unused plant capacity and surplus labor, there is no chance of prices rising. For a brief time this may be true. But the over-riding fact is that with a continuation of the profit squeeze many companies either have to raise prices or go bankrupt. Under these circumstances it is inevitable that at leaA an effort will be made to lift prices.

Valle del Bravo, MexicoI dont know a line of history about this place and that is one of the things that makes it so go gorgeous.

History is to be admired, although without it a lot of us would be much happier. But it is kind of like fishing. Sometimes you feel like getting a cane pole and sitting under a sycamore. tree on a creek bank and just watching the cork on your line.

If the cork goes under, maybe you get a catfish. Or maybe It just floats there and you dip the pole up and swing the line a little farther out when the current swings it too near the bank.

Maybe your uncle has a zillion dollar rod and reel you can use but on this particular day, it is no good. You want a cane pole because it seems cooler and the country smells fresher.

Well, thats the way it is with Vaiie del Bravo. You go past Toluca. West of Mexico CJity. and wind down the sides of

green mountains. Pine ftMests and open slopes of yellow and purple flowers give you the feeling of traveling through a rainbow.

Every curve looks like it is going to drop into the v^ey and keeps you a litUe excited. But it is always the heavily pined mountains that look a little strange without snow and Indians driving burros piled up with wood and when you least expect it, you are there.

The valley is highabout 6,-000 feet-but it feels like the bottom. And there Is a big muddy lake that will he a lot bigger one day when all the feeder streams fill it. The govemr ment dammed a chink between mountains to make the lake and get a generating plant.

The little town looks like a magazine color picture of somewhere that isnt real. It looks Swiss In some ways and Spanish and Mexican In others.

You bounce through on narrow cobblestiMie streets. And people stand on balconies hang-

Other Editors Saying... Learn From Capitalists

Quote

A womans always worried about the dress shes wearing either that somebodys seen her in it, or that somebody wont .see her in It.'Oreenville (S.C.) Piedmont.

Strength For Today

Richmond News Leader)

Khrushchev Is not mellowing. His massive reorganization of industry and agriculture in the face of the failures of central planning shows no significant change In communisms contempt for private rights and aspirati(His. Khrushchevs proposal to learn from capitalism never compromises his fundamental objectives.

The changes announced Monday are wholly administrative. They do not significantly change the traditional Communist doctrine that the individual exists for the state. Although central planning is now dispersed more widely into regional committees, the same purpose is evidentto mold both worker and farmer In a five-year plan and to goad a sullen productivity to greater efforts.

Last month, the Central Statistical Board of the USSR released the results of the nine-month plan for 1962 and announced that the plan was overfulfilled. But after columns pf meaningless percentages of production inci'ease, a concluding summary revealed that many of the niost crucial items of heavy industryiron, steel, turbines, chemical equipment, tractors, and othershad not come up to the plan. The report complained, too, that many of the regional economic councils were lagging behind.

This week Khrushchev abolished the central State Planning Committee and the State Economic Committee, which apparently were not sufficiently responsive to local conditions and problems. On the other hand, a proliferation of 100 regional economic councils wps reduced to 40. Government pk I. ning is not flexible enough 10 adjust itself quickly and ec-

oncHTiically to local or changing conditions.

Similarly, last March Khrushchev set up 1,500 farm producer administrations; but a continued sag in meat and dairy production now has led him to construct a completely new and separate organization for agriculture. Planning for industry and for agriculture Is to be carried on by completely different organizational hierarchies.

But these are only practical corrections of Imprudent errors. Khrushchevs attempt to copy the success of capitalism does not leave behind the socialist presumption that the planning by one great mindor by a group of great mindsis bette? than the uncoerced decisions of millions of free men. To encourage productivity he has only an ersatz substitute for the energy released by Western competition. And even more sinister, major parts of his reform include the establishment of ad-vlsoiT workers committees. and a joint party-govemment control agency using public-spirited volunteer Inspectors, The chairman is watching you, comrade.

When the individual has no self-incentive, there are few remedies but the whip. In vain, Khrushchev has tried to instill the old revoluti(Miary patriotism into his program. Observers have note' that Pravda, several weeks ago, published some lost early versions of Lenins work which urged that the true revolution will adopt critically the successes of the capitalist system. This is exactly the line which Khrushchev took on Monday. He wants to learn from the capitalists before he buries them. The revolution is stUl going on.

ing over you to watch everybody go by.

On the ot^er side of town you see modem homes the city visitors have built on steep slopes or knobs sticking out of the mountainsides.

A sign says CARPENTER SHOP: FINE CABINET WORK and there is only a trail pitching off the road down to the carpenters house. Beyond that It falls hundreds of feet to the flatland that slides into the lake. Motorboats and rowboats and good fishing.

We chugged up winding, rain-slick roads to the Refugio del Salto. A hotel packed in several layers ot the side of a wooded ravine where one of the feeder streams tumbles down with a steady roar to the lake.

As SOOT as you walk in, you have to go downstairs to the lobby, It is that steep. And the lobby is glassed with picture windows that are wet with mist from the big waterfall.

There is a huge fireplace and deep chairs where you sit at night listening to the thunder of the fall. The fire pops and reflects on the windows but you can still see the white water like something flourescent in the darkness outside.

And then the dining room with a big Spanish balcOTy looking over it from the hall upstairs. Everything glassed so you can see the water. And outside there is a rustic balcony where you cot stand and feel the spray.

There Is a stairway leading down from this to a sort of Japanese bridge that arches across the hurrying little stream and big rocks where you can sit and look.

This Is mostly what we did at the Refugio del Salto. Sit and look and listen to the water. Nobody told us anything about history and we wouldnt have listened if they had.

It Is cane pole country that doesnt belong to the past nor the future. Just a relaxing place for today.

Quote

Miser: Person who let the rest of the world go buy. Oak Harbor (Wash.) Prop Wash.

U$s Chrislma$ Seals

Solons

Waste

Fime

Fighf TB and Other Respiratory Diseases

By EARL L. DOUGLASS .Nature of Dreams

Do dreams have an important place in life?

The psychoanalysts appear to believe so. And almo.st all

literature, ancient as well as

modern, contaias remarkable stories of the part dreams played in the guiding of individual lives. All of us at

times have strange, incomprehensible dreams. We find ourselves in situatiOTS which sometimes appear to indicate that we may have lived before. We are amazed at the vividness of certain dreams. Fatigue and over-eating can produce restlessness in sleep and nightmares, but even those who are most careful about health matters often have vivid and sometimes , terrifying dreams.

Psychoanalysis is destined to discover many things about dreams and their slgnlflcanoe for they undoubtedly do have significance. We shall

probably never be able to plumb the mystery either of .sleep or of the strange dream.s which sometimes accompany it. We should not put too much stock in strange or vivid dreant. Neither, on the other hand, should we utterly disregard them. Everyone must choose for himself or herself what appears to be the normal, helpful attitude toward dreams.

But let us not dismiss dream.s as experiences of no c<m.se-quence. 'They are of con.se-quence. Their nature we do not entirely understand. The Bible is full of examples (such as Jacobs and Josephs unusual dreams) which led to significant historical results

The stuff dreams are made, of will probably remain a mystery forever, but dreams evidently have their place in life else the Creator would not have provided that we experience dreams.

By GEORGE E. SOKOLSKY

The new Inwa come piling in. I am now up to Public Law 87-884. It all takes time and Congress seems to meet forever.

This Is a matter that stirs men's souls. The Golden Eagle may become extinct. The Bald ' Eagle is the symbol of our country, if the Golden Eagle 8om, ^ Bald Eagle will go and the rodents will eat the crops. So Congress has to a law.

It (XHild, of (tourse, be done more simply. The Secretary of the Interior (XHild Issue a proclamation in defense of the Golden and Bald Eagles and all other birds that eat rodents, but then that would slmpUfy matters and send the Representa* fives home to talk to their constituents to find out about Cuba and taxes and such matters. Instead, Congress must pass every kind of act and perhsqxs have a speech or two on the subject.

Just think of the mental effort that goes into a paragraph like:

Resolved by the Senate and House of Representatives of the United States of America in Congress assembled. That the fir^ 'two secticms of the Act of June 8, 1940 (54 Stat. 250, as amended; 16 U.S.C. 668. 668A), are hereby amen(led to read as follows: Whoever, within the United States or any Place subject to the Jurisdiction thereof, without being permitted to do so as hereinafter provided, shall take, possess. seU, purchase, barter, offer to sell, purchase or barter, transport, export or import, at any time or In any manner, any bald eagle comm(ily known as the American eagle, or any golden eagle, alive or dead, or any part, nest, or egg thereof of the foregoing eagles, shall be fined not more than $500 or Imprisoned not more than six months, or both: Provided, that nothing herein shaj] be construed to prohibit possession or transportation of any bald eagle, alive or dead, or any part, nest, or egg thereof, lawfully taken prior to June 8, 1940, and that nothing herein shall be construed to pn^Mt possession ' or transportation of any golden eagle, alive or dead, of any part, nest, or egg thereof, lawfully taken prior to the addition to this Act of the provlsltms relating to preservation of the golden eagle.'

Suppose It were aU made easy by saying that anybody caught with OTe of these birds, dead or alive, would be fined $500 or put in jaU for six months, and it was all just a proclamation by the * Secretary of the Interior. That would give somebody In the Interior Department something - useful to do, chasing eagle - shooters, while Congress debated 00 how to save our gold.

Every year, we watch the Representatives and Senators hanging around Washington waiting for the nod to vote aye or nay for a bill. Then comes around election time and they want to go home to talk to the constituents. But no! That is when the worthy Senators and Representatives get loaded down with all kinds of bills. Including important ones, and they are so anxious to go home to see the voters that they just cant be bothered reading the blUs or debating them.

Of course, sometimes somebody like De Gaulle comes along and upsets the normal manoeuvres of the politicians.

He goes straight to the people and gets them to vote the usual and permanent politicians out of office. In their place, he puts himself and calls it democracy, and the people cheer. So De Gaulle has his way. He has, in effect, revolutionized the French political system and we have to watch to see how long It takes to revolutionize it back to what it used to be. Actually,

De Gaulle has made less of the National Assembly and more of the Presidency, which our Presidents have been doing for marty years.

Nevertheless, as we are a romantic people, we have to give the Representatives and Senators much to do, so that they will not have time enough to do any very tough investigating. For Instance, why does no committee of Congress investigate the Fourth Floor of' the State Department to discover why those who put Castro on the Cuban throne are still employed by the American government?

Of course, if it Is so important to spend time passing legislation about the Golden and the Bald Eagles, how can anyone expect them to have time to go into the Cuban questions in depth?

The Little Fellows Have Doubts

By ELMER ROESSNER

One of the reasons little people are frightened away from .stocks Is the fear that they have no chance against the insiders, These insiders are supposed to push prices down after the little fellows buy and shove them up after they .sell. And when anything goes wrong, they stick together and protect one an(kher, little fellows believe.

Exchanges and brokers spend millions of dollars a year trying to dissipate that idea and then turn around and take action that seems to justify the fears.

Recently a brokerage firm recommended a stock in its widely distributed market letter. Just before and on the day the tip sheet reached investors,

partners of the firm, employees, their immediate families and discretionary accounts handled by the salesmen bought the touted security. Shortly thereafter they sold.

Thats the traditional pattern for pushing a stock up and then taking a quick profit at the expense of those clients and others who come in late.

The Board of Governors of the New York Stock Exchange severely censured the finn. It kept its name secret. It did not ask it to give back any of^ the loot. If it turned its data over to postal inspectors, it kept that quiet too.

And many little fellows, not knowing who the flnaglers are, will wonder If it is their broker who pulled the fast one, and whether it isnt better to take their money out of the market

and Invest It in craps where the investor once In a while handles the dice.

KEEPS UNEMPLOYMENT DOWN: A survey by Products Engineering magazine shows that 90 cents of the engineering dollar goes for paper work, much of it useless. One large chemical company spends $32,-000 for carbOT paper each year.

THE LORD ALPS THOSE: An American Machine A PV>un-dry subsidiary haa contracted to install Europes first snow-making machine on a slope near Lausanne, Switzerland.

CALENDAR BOOK GEARED TO NEW TAX RU1.es J. K. Lassers 1963 Tax Aid Records A Appointments book has space for dates and space to itemize business expenses in ' cOTformlty with tighter income tax provision^. There's even a line each day for cocktails for business guests. (Its $5.95 by Business Reports, 1 West Ave., Larchmount, N. Y.)

MAKING GOOD IDEAS OUT OF SOUR ONES On the theory that poor Ideas can sometimes be W(M*ked around into good ones. State Farm Mutual of Bloomington, m., has a form In which employees are invited to submit impractical ideas. Workers are invited to list reasons why the idea will work and why it wont. Forms are turned over to a special group. The company reports that the group has developed some practical Ideas and some that wont work at all.