Western Reserve University on National Goals

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    WESTER RESERVE UNIVERSTY ASSEMBLY

    ON NATNAL GALS

    Cleveland, hio, May 11 -14 1961

    Noes Prepaed

    by

    uis Ruthebeg

    wh epec to

    oomc Gowh Tehnological dvacemead gazao of he Ecoomy

    SENT TO YOU AS A MATTER

    OF POSSIBLE TEREST -

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    WESEN SVE UNIVESY ASSBY N NANA GAS

    Cleelad hio, ay 4 196

    Noes Prepared

    by

    ous uthenburg

    wth respect to

    Economic Growth echnologcal Adancement and rganzation o the conomy

    It seems that any anayss o unaorable nluences wl lea to the conluson that polces we are now ollowng are qute nadequate or ensurngsatsactory lees o employment or ncreasng the annual rate o economcgrowth an o technologcal prgres s

    hese goals are nterdependent easures whch brng about adequateemployment wil contrbute to accelerate growth rate o the economy and technology

    hat obseraton s conrme by the ollowng recent report on Why Europes Industres Grow So Fast **

    As Walter eller the Presdents economic aiser was leang or Europe Presdent Kennedy remarke to hm

    ont coe back unless you n out why German French and Italaneconomies are growng two to thee tmes more raply than that o the

    td States

    r eller n his search or answers to the Presdents queston isundestoo to have comeup withthese bas ic reasons for Euro pe's fast

    growth

    uropeans inest a larger part o ther oerall spendng n new plantand equipment tha o U. ompanes

    "They spend less on defense an thus have more to nvest n new

    actores

    hey put more stress and money on tranng o scentsts and otherspecalsts neeed or these technologies.

    hey hae hel own prces an wages to spur growth

    Under Assembly proceure tese notes could not be presented n ther entrety

    ** NEW AND WORLD REPORT, a 8 96

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    hey talor ther prces and products to exports, thus ganng bg new markets

    he expanson that esults s leadng to ull employment, and that n turn generates stll more growth

    here s sad to be some eelng that margns o prot n the U S

    hae been squeezed so ar as to dscourage a leel o nestment that wll speed growth

    ax ncente to spur nestment by busness s suggested as oneanser or the U S

    r rston has ponted out page 57, he amazng economc recoeryo estern Germany llusrates that dedcaton, skll and hard work stll make

    progress possble It should be noted that such remarkable progress wasaccomplshed n the presence o sound and conserate economc polcy

    Some o the more obous measures that are needed to accomplsh these

    goals seem to be these

    Immedate eelopment o Eecte oregn olcy

    ax Reorm

    3. rastc Reducton o oernment ompetton wth ree Busness

    4. Equtable Labor Legslaton

    In the tme reasonably aalable to me, these complex matters an be s

    cussd only n a ew bre and wholly nadequate sentences

    I

    FOREGN POLIY

    For discussion of Foreign Policy, I am without competence, except as a

    manin the street who has observed developments formanyyears. he oregn

    policies o the United Statesunder leadership oPresidents romMcKinleyto

    Kennedyhaveinolved wide and interesting variations in principles and in re

    sutsIn 1953 a short tme beore hs death, Robert at declared to the new

    resdent, to the ongress and to the Amercan people

    he moral and political imperatives or a enate audit of our foreignairs om 1940 rebeyon question. Wecannt clean up the mess in

    ashington, balance the budget, reduce taxes, check creeping socialism,

    tell what is muscle or fat in our sprawling rearmament programs and purge

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    sbvrsivs from or Stat Dpartmnt nlss w com to grips with orforign poicy upon which a othr poicis dpnd. Notwithstanding th fact that this was said ight yars ago, thr is

    nothing in that dcaration that is not mor rgnty appicab todaySinc th nd of Word War II, or intrnationa rationships hav

    rachd an all-tim low. Blndr, aftr fantastic bndr hav convictd sof lack of rsoltion, timidity and hypocrisy. rom bad w hav gon to wors

    ndr th adrship of Roosvt, Trman and Eisnhowr. What a hritagnndy has rcivd from prior administrations!

    How can or adrs prat of a st and asting pac" and contin toassrt that "w'll nvr intrvn" aftr w v rpatdy bn caght with or

    dfnss down, hav abctly apoogizd, and hav again and again and againbn mad ridicos in th ys of th word

    Can on imagin an appraisal of or sorry sitation by th shads ofWashington Jffrson, Jackson, Lincon and Thodor Roosvt?

    Aftr th disastrs of Laos and Cba, wil Amricans ris p and dmandan nd to appasmnt and rtrat? Contining apathy in sch circmstancs

    is tantamont to srrndr.Sinc th govrnmnt of th nitd Stats awardd dipomatic rcognition to Rssia in 933, w ar facd with ovrwhming vidnc that rior poicy of non-rcognition was fy stifid Sinc rcognizing Commnist Rssia, thnitd Stats of Amrica, mor than any othr forc or agncy, has "mad hr wat sh is today.

    With cynica singlnss of prpos, Rssia has consistnty disrgardd pldgs and abrogatd somn agrmnts Sh has ston assts of incalcabl val from find and fo aik. With cod-bloodd calcation, sh hasshot down or pans and has imprisond or citizns. Sh has brtaly insltd or officias, inclding Prsidnts of th nitd Stats. Sh has flotd

    and mascatd th Monro Doctrin Th nitd Stats has consistny rtratd bfor th onsaght, aftr rpatd ad ftil fforts of appasmnt.

    Rcntly S NEWS AND WRD REPRT pbishd a smmary ofRssia s sccssf aggrsson. h rcor is w known to most Aricans,athogh many ar incind to bry thir hads rathr than fac th facts --

    What's imprssiv is spd of th Commnist advanc and Wstn rrat in continnt

    aftr continnt. ook at ths ky dats covring a

    vry fw yars:

    " 1948: Russia grabbed Czechosovakia, wrapped up conquest of EastEuropewithin three years after worldwar ended I shutting the West out

    compty.

    1949 Maina nd China and 600 milion Chinese taken over by Communists." 1954 Vitnam partitiond, North Vitnam addd to Rds' Asian rastat

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    195 Rssia, throgh Nasser, gets Mideast foothold first time inhistory

    1959: Cba falls to Cstro and slips into the Commnist orbit

    196 Red sbversion begins to pay off in Africa--Ginea, the Congo.

    "1961 Commnist hold tightens on Sotheast Asia West asks compro

    mise. And in Cba, Soviet MG s and tanks go into ction for first time in North America.

    n other words, within 16 ers Commnists have won control over more than 8 million people in 13 contries and have advanced from a base in Rssia to win sensational sccesses i for continents, inclding North America.

    S. and West, in trn, have retreated from East Erope mch of Asiaand Mideast, now are on the defensive in Africa nd in the Wetern

    HemisphereAll this is a very big change within a relatively short period of time.

    Net in Latin America? Governments openly pro-. S , antiCastro areo the spot They're brcing for retaliation by mobs trned loose byCstro and local Reds t s tossp how long some of these Govern ments can hold ot

    AntiAmerican rioting was espeially violent the other dy in Gatemala,olivia, Venezel This violence is a measre of Castro and Red

    strength. t probably means more serios troble head in GtemalCity, La az, Caracas.

    As this is written we e ced with Rssin-instited emerences inCba, in Sotheast Asia, in Africa and in Berlin. Report from a dependbleEuro pean autority indiates that not only Algeri but Morocco nd Tunisia soon

    wil l fall u nder Russian dominat ion It is sai d that a ir bses which the United

    Sta ts established at great cost in Morocco are now being preempte d by Russia.

    oreign aid, following te Mrshll Pln h s een chrcterized yrss etrvnce nd estionle lloctions Etrvnt ependitres forforeign aid have reslted in sbstantil imbalance of interntional payment s,

    dangeos otflow of gold reserves, theatened loss of confidene in the dollar. This sbect is clearly and compehensively discssed by r McCloy pes35355

    Allocti ns of foreign aid ha ve ena led overseas industrial nations to

    cope te dangerus ly wit h American industr y in al l markets of the world, in

    lding or home market S uch competi tion has caused many Ameria n com pnis to stlish plnts overses

    Sch developments contribte to nemplyment and retarded indstrialgrow. orein so cou o fo U S by incresing the nationl debt and ta brden.

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    Cosy ratd to rvision of forign poicy is th nd for rmovingCommnists and thos sympathtic with thir obctivs from a positions of

    inflnc in this contry.Informd Amricans wi ndors Mr. Manys rsrvation on pag 8

    Damag is don, howvr whn govrnmntayappointd hads ofgovrnmntay-controd organizations from bhind th Iron Crtain ar

    wcomd as nongovrnmnta dgats and ar prmittd to gain rspctabiity and gitimacy in th ys of th fr word. his appis with particar mphasis in ration to trad nionism which is assigndsch a ky ro in th sbvrsiv fforts of Sovit Commnism and i itsgoa of pntration of workrs organzations throghot th fr word

    Mr Many s nrmitting fforts to iminat commnistic infnc from Amrican abor nions dsrv th nation s gratitd Mor ffctiv coopra tion by Washington in this ffort wod b hpf.

    A nmbr of nions, priphrato ALCIO, ar commnisticay orintd It is concivab that ordrs from Rssia issd to sch nions cod parayz

    important faciitis of transportation and commnication In th vnt of hosti itis it sms possib that ordrs from Moscow cod sriosy obstrctcoopration on th part of Hawaii.

    Rvision of forign poicy cannot b ffctiv nss th dra Govrn mnt sha ngag in a para and ffctiv program which wi dtct andiminat commnistic infitration spionag and pontia sabotag not ony

    in abor nions, bt in a dpartmnts of govrnmnt, in a dcationa insti ttions and in a othr harbors in which sbvrsiv infnc now finds protction.

    Sch organizatons as th B I and congrssiona committs dvotd to invstigation of sbvrsiv activity shod b graty strngthnd. At a

    costs thy shod b protctd against commnist-inspid attack.h nmy wthin or gas may b mor dangros than th nmy otsid

    Sry dangros dvopmnts now rir that w discard sophistrbcom togh and rai stic.

    What ar th poicis and whr ar th forcs to mt ths monmnta probms? Cary past and crrnt poicis hav broght s to th dg of disastr What can b don to ovrcom th car and prsnt dangr?

    Answrs to probms so comp cannot co from th man in th stt Nor can a modrn Cato format or forign poicy.

    Sch poicis can ony b hammrd ot ndr adrship of th Prsidnt

    of th nitd Stats aftr h has tkn cons with th abst bst informdand most coragos mn of both partisCarf attnton shod b givn to th advic of Snator Godwatr who

    has bn it articat togh and coragos Among othr things, h askss to procd in tradtiona Amrican fashion by formulating and following orown olicy. With many othr thoghtf Amricans, Snator Godwatr bivs

    tat rpatd compromis ndr th parayzing infnc of or ais and thnitd Nations has contribtd to on fair aftr anothr.

    vn as w spport and nanc U N orcs n rca, r s a r

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    portd atmpt to dstroy th ladrship of Mois Tshomb in Katanga - anattack that dfats or ca and plays into th hands of th Commnists An

    Amrican ditor prsss th hop that Mois Tshomb licks hll ot of th N. Can confsion b wors confsd?

    nlss w ickly formlat and follow frsh and ffcti forign policis, w nd not concrn orsls with othr masrs for nsring growthand mploymnt bcas w shall by a grat sin of omission init dicta

    tion from Moscow of all ftr policy and practic in this hmisphr

    T RERM

    Th srial and growth of or conom dring th past thirt ars, dspit hay and initabl ta brdns, inflation corci labor nion practics wag incrass far cding growth of prodctiity, incrasing impact of forign comptition, dclining corporat profits, ar trl amaing

    Sch srial and growth ndr hay handicaps sm to dmonstrat th rsidal strngth and almost indstrctibl itality of an conomy fonddon th principls st forth in or Dclaration of ndpndnc, in or Consti

    ttion and in th conomic principls that wr nnciatd by Adam Smith in th sam yar in which ffrson wrot th Dclaration of ndpndnc

    Mr Grnwalt has wll said (pag )

    A igoros and panding indstrial conomy is ssntial to or domstic wll bing and to or position of world ladrship W dar not wakn it w mst do all w can to strngthn it . W mst act promptly to

    impro th atmosphr for igoros conomic growth Two things sholdb don Dprciation policis a s indicatd in th rport, shold b modifid to prmit rapid amortiation of nw plant and ipmnt th stp progrssion in or prsonal incom ta shold b abatd

    Thr is mch mor in r. rnwalt s statmnt that is worthy ofmphasis

    Dr Wriston s ssay on Th ndiidal dsrs high and imprishabl position among Amrican classics On pag 49 w find this ignificant statmnt

    Th powr to ta inols th powr to dstro n lss trm forms it is th powr to rdistribt walth and rshap socit, ithr to pro tct th indiidal or to impair his incnti and crippl his initiati 1\

    Ta rform rminds on of Mark Twain s mch-otd commnt abot th wathr Bt, whras w ar now bnficiaris of air-conditioning, thr hasbn ndlss talk in th absnc of an ffcti action in th ara of ta rform

    oncrn wh ssian ra s rnty prss contrtor

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    to GAS R AMRCANS How many Amicans appciat th dg to which Rssia has lid pon complling incntivs to dvlop h vigoosand xpanding conomy?

    agically, ding h sam piod in which Rssia has so ffctivly sd all mann of incntivs to stimlat accomplishmnt in vy aa ofactivity, th foc of incntivs has shaply dclind in th Unitd Stats of

    Amicancntivs fo optimm individal pfomanc a impaid by o

    Maxian stplygadatd incom tax Paadoxically, althogh Rssian Commnism is basd pon Maxian

    philosophy, Rssia, aliv to th val of incntivs, avoidd th tap of astply-gadatd incom ax, althogh Max had favod this mas as anffctiv mans fo dvloping Commnism

    ncntiv to modniz o indstial plant is vitiatd by achaic policis with spct to dpciation allowancs A shocking popotion of plant faci litis in ths Untd Stats is obsolscnt

    Ding Stalins aly gim, accoding to a aticl wittn by PtDck fo th SAURDAY EVNNG PS in 19, "an official Rssian blication anoncd th amzin discovy that i

    f is capitalism that tnds to

    aliz incoms and concldd thfom captalism is dgnat " confsd complx tax systm is s stictiv as to gnat dimin

    ishing tns Libalization of dpciation allowancs and abatmnt in pogion cold so xpand th tax bas as to gnat incasd tax vn

    n Dcmb, 99 a sis of six ditoials appad in H NDANA PS SAR his sis shold b stdid by vyon intstd in Amicagoals Dstctiv ffcts of t gadatd incom tax a flly xplod

    tight pal of this tax mas is considd it fasibl, and sch pal is advocatd Sond sggstions a offd fo obtaining ncssay tax vns thogh mass lss pssiv.

    d Clak, distingishd chaiman of h Amican conomic ondation, cntly dlivd a wllasond addss in which h advocatd pal of tth Amndmnt Aft an intsting discssion of th oigin and ffcts of

    th pogssiv incom tax, Clak said, Nothing is as vlnabl and asasily dfatd as an ida that has bn tid and fond wanting

    Cainly if w hop to ns adat mploymnt and optimm at ofconomic gowth, w mst hav aly and adical tax fom which will, amongoth things, liv Amicans of th dping ffcts of th gadatd incom tax and stictiv dpciation allowancs

    I

    DASIC RDUCN GVRNMN CMPN WH R BUSNSS

    Attainmnt of th goals of high mploymnt, acclatd gowth of thconomy and tchnology is mad difficlt by govnmnt comptition in manyaas Bcas th sbct has bn thooghly xplod in pots by thoo ommisso I sha ot k m to dsss it at dta

    SALN PAYS EM WHA HYR WRH Satday vning Post, ly 1, 97

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    A lagant examle of such cometton exsts n the geneaton dstbuton and sae o electcty The Tennessee Valley Authoty o examle

    s taxfee It chages mao oeatng costs abtal to lood contol andads o navgaton Its owe esevos flood and emove fom oducon

    many housands of aces of the aea s most oductve fam lands oda osto TVA owe outu ows ot fom hydoelectc lants bu om coal-fedboles

    The Authoty sells electct at ates below the bae tax costs of nvesto-owned ultes

    By what constuonal authty does the Fedeal govenmen nance andoeae such a monstosty?

    TVA s only one of many nstances of such unfa cometton by goven ment wth nvesto-owned ules Uon good autho t s sad thatelectcty now geneated n the Uned States and nanced by taxayes

    money adly aoaches one-thd o the total natonal outut of electcaleneg

    Lenn s quoted as havng defned Communsm asSocalsm lus electc

    Reducton o elmnaon of unfa coetton b govenment wth eebusness would stmulate economc gowth by educng dssaton of tax fundsand b nceasng tax eveues om fee busness Thus could he tx budengeneally be substantally educed

    he osed 3d Amendment whch was ntoduced n Congess n 1958by Congessman James B Utt of Calfoa would eque dsosal of allFedeal cooatons and oetes tha comee w fee busness Book value of Fedeal cooaons has been estmated at 6 bllons of dollasn 199 ese ventues ae sad o ave ncued losses of 19 blons oethan one mllon emloyees accodng to the same authoy eceve comensaton of -1/3 bllons anuall fom the taxayes of Ameca

    Such fgues outne the dmensons of waste extavagance and eadngeec uon natonal gowh that ase fom cometton by govenment wth feebusness

    OAS FOR AERCANS embod man oosals whch wll eque geatl nceased exendtues Would t no be n the ublc neest to nstueeconoes n govemen to ovde sc funds?

    Here indeed, is arichlodewhic sould becarefully appraised and

    dlgentl exloted

    EQUITABLE LABOR LEGISATON Pecetve students of labo elatons wll be confused and uzzled by

    Clak Kes statements on age 15 unde he subhead "Aea two thebalance of stength

    Why s t not ossble o useful to say hat the balance of owe leson one side n geeral the e"?

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    How can one accurately say that a rough overall balance of srength prevals between management and labor n a grea many segmens of the Amercan economy?

    r. Wrson wrtes realstcally abou labor relaons on page 52:

    Unons were organzed to protec he ndvdual because he was n anadverse barganng poston facng he power of a corporaton. In so dong they performed a vtal servce of permanen value o our democrac socey. But a unon may go far beyond s essenal servce. By makng membershp compulsory and collecng dues by check-off sharp lmtatons are lad upon volunarsm. There havebeen nstances whereoverstress upon unform wages senory rghs work quotas featherbeddng 'rules/ and oher devces accenuated losses n ndvdualtyarng from machne producon nstead of ofsetng hem. The unon

    may curb mert ncreases and promotons; may mpar ncentvesWhen the leader esablshes an effecve dcaorshp s an assaul upon reedom. Then he ndvdual s a tool not a master as n the democratc process he has a rgh and an oblgaton o be. "

    For many years the lae onald R Rchberg was among the mos effecveghers for he rghts o labor He took par n the early struggles to unonze

    ndusry co-authored he famed Ralway Labor Ac 1926 and he NatonalRecovery Ac of 1933 The legslaton o 1933 you may recall emboded hefamous Clause 7A whch he labor lobby had vanly advocated for generatons.Rchberg attempted reconclaton of ndusry labor and publc nterests as he last head of N RA n 1936

    Twenty years later Mr Rchberg courageously and realstcally reap prased he fru whch had been produced by the seeds he had helped to plant .He hen sounded the alarm He wroe a book frs publshed n 1957

    LABOR UNION MONOPOLY A CLEAR AN PRESENT ANGER In hat book he clearly protrayed a monsrous and desrucve develop ment and demonstrated "how collecve barganng has becomecollecvecoercon how he am of ndusral justce has become greed for ndustral

    domnaton and how poltcal nluence once sough o proec far dealngsnow sough o accomplsh personal poltcal goals.

    Those of us who have spen many weary hours a he barganng able who have experenced he tensons of labor dsputes and srkes who havebeen coerced by that greatly prejudced rbunal he Naonal Labor RelatonsBoard mus as he result of much bter experence agree wth Mr. Rchberg rather than wth r Kerr

    From hat cosly eacher experence, we have learned hat under cur ren condons management nvarably plays aganst cards that are sackedand agans dce that are loaded The cards were sacked and he dce were

    loaded by legslators bureaucras and cours who gnored and volated heancen precept of equalty under the law.

    The plan facs are tha labor unon leaders numercally an ngncant mnory group have become a major force n naonal stae and local polcs. Through her maneuvers hey dctate, to a great degree he course of oureconomy.

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    n the poitia area eaders of organized abor take full advantage of prvlege ad mmunity under the law Mlons of dollars derved from duesand assessments levied agist uon members are used by unon leaders toachieve ther political goals and to subsdze offceholders.

    Unon members who object to such use f ther mney are gored r punshed Thus the influence of labr leaders has become a dominant force nlegisatures I state ad nationa The same pressure grup strongy nfluenceseecutve decsions ad poices Nr are the courts of our land mmune from

    the pervase nfluence o labr leaders0

    Competent authortes agree that the recently eacted minimum wage aw wll nflate the entire wage structue ncrease costs and cause unempoyment Nevertheless polcal nfluence of labr eaders forces us to lve under thesepenaltes

    Stimulation f the economy through more realstc alowances for de precion ay be deed through politcal fluence f unon labor leaders The followin edtora s elghteng:

    "Amost all economists frm orthodox to Kenesan, support the Pres dents anunced nteton to revse deprecatn rules as ne mehd

    for stepping up the economy's growth, lowerng csts and thus mprov ng our pstion on the world market But action s being styied bysharp oppostion from the AFLCO The abor leadershp, after long

    hesitaton over the ssue, has taken ts neative stand A faster rateof deprecatn I argues the AFLCIO correctly wll speed up autmaton;and by dsplacng workers w result, t continues ncrrectly n stllfurther unempymet beyond the already uncomfrtable eve Just such was the reasonng of ter grandfathers whe Henry Ford set up the frstassemby ne ad of their grandfathers grandfathers when they smashedthe frst spnnng ennes n Manchester"

    Colluson between Brth labor leades and the Socalstc Faban Socety resuled the captre and vrtual etnctn of the Brtsh Lberal Party After the labor party cae nto power England was drven to the brnk of bankruptcyby the socastc Labor Party s atnalatn pces

    From tha bt of recent hstry, people n ths country seem to have earned ltte Here as n Egland socalstc labr eaders have alled themselves with socalistc ntellectuals The alance has everncreasng pol tcal nfluece Shall we cnue to fllw the exact path that led England t e edge of run?

    Englad was rescued b heavy transfuson of Amercan money The Unted

    tates of Aerica cannot be imilarly savedWe turn w to more dect nfluence of unon labr leaders on the economy At the end f 1960, as a result of labor union monopoly and coercon,

    prvate onfarm emplyee cmpensation ncludng benefts had advanced to220 per cent fro a 947 base of 00 per cent Output of prvate nonfarmgoods and servces had rse to abut 15 per cent and compensaton per untof output had ncreased to 38 per cent'

    * U S NWS & WORD REPORT based on U S Dept of Labor statstcs

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    urng he same perod prces ncreased, busness profs decned,compeon of foregnmde producs became ncresngy acue, many Amercn pans were bu overseas where, n pace of Amercan abor hey empoy

    reavey cheap hrdworkng foregn abor Are such deveopmens conducve o adequae empoymen and acceered

    economc growh?Monoposc and coercve pracces and capbes of abor eaders

    sem, n arge mesure, from egsaon whch voaes one of he mos ancen preceps for he governmen of free men The prncpe of equay under heaw was recognzed and enuncaed by Arsoe 2, 000years before efferso wroe he same prncpe no our own ecaraon of Independence

    Th ancen precep was observed by he founders of hs Repubc andby mny generons of our wmkers Then came o be consdered smar

    pocs o egaze speca prveges and mmunes for he eaders oforganzed bor

    In 194 he Cayon Ac graned bor unons mmuny from he anrus aws Then n 1926 he Raway Labor Ac was adoped he "frs successfuemp of orgnzed abor o use he power of governmen for s own benef

    n 92 he Norrs-L Guarda Ac med he njuncve power of he cours wh respec o abor unons, and n 95 he nfamous agner Ac was desgned o promoe he organizaon of abor unons nd o preven reasonabe proeconagan s hem

    In 947, pssage of he TafHarey Ac represened whoy nadequeeffor o resore some degree of bance Legsaon enced n he as sesson of Congress s que nadequae and mschevous

    The seres of acs whch besow spec pvege and mmunes onorganzed abor have brough abou he cear nd presen danger" of abor

    unon monopoy Innumerabe cour nerpreons and decsons, emanangfrom he quas-judca Labor Reaons Board, from nermedae rbunas and

    rom he Supree Cour of he Uned Saes have vsy exended he powersnd prveges of organzed abor

    * * * * * *

    Can Lbor Reaons Reform be resonaby suggesed s a goa for Amercns?

    If we are o reach he goas of adeque empoymen and opmum economcgroh, seems ha an obecve sudy of abor reaons nd pernen egs

    on s essenaSuch an obecve sudy by an abe and unbased commsson coud pro

    vde he bss for shnng new Lbor Reons Ac whch woud reesbshequy n he eye of he aw, proec he egme neress of abor,organzed and uorganzed, ke fuy no ccou consumer neres and deafry wh nvesors

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    IN CONCLSION

    ay nude hee emak y a fe quan hh eem epernen

    The frs s from a message recenly receved on a form headed MARTIANNTERPLANETARY IO SYSTEM. The form ndcaes ha as released by he Maran Bueau f Ec and Polcal Inforaon. I s dened aspah #3 from Aen X aned Plane Eah. " The nen f he mesage a flls

    The ord ha bes descbe he econmc polces f he ned Saeof Amerca s 'confused Amerca as he leader of he non-Communs naons s ryn o be al hns o all people. The Communs en alaan an ne pulc pnn and drve oad he al.

    There s an expresn ued on Earh descrbe a onfued person'He leaped n he addle and allped off n all drecns. ' Ths ap

    ple o naonal hnkn n he Uned Saes

    Th dspach concerns self h seven examples

    Remedes or uneplymen are ben ugenly suded by he Fedealovernmen. A he same me he ovenmen s legslang hher mnmum ages hch ll nevably ncreae unemplymen

    2 The Federal admnran fhng he nflaon hch has halved he value of he currency u s connun defc spendn hch ne f he pncpal caue f nflan

    3 Indusry s ben exhred by gvernmen peed up s rae f

    grh bu s no pemed o se asde he depecaon necesary o replace and moderne s plan and equpmen.

    The leaders of organed labor, hose members sand lose mosrm he oslecence f ls are oppsed o he legslavechane hch uld remve from ndusry he ax buden hch no

    reard l replacemen and modernaon

    5 To lf he lvng andards f s frendly cmpeors Amerca hasven aay bllonn ulra-modern ools and has elcmed no s

    domesc make he resuln flo of l c producs. Ye he

    ovenmen has paced obsacles n he ay of cos reducon hn n borders by hhldn adequae deecan alloances andby encouragn cs-nflan age raes.

    6. The Uned Saes s avoedly fghn he prncples of Communsm(arxsm) hch nclude seeply sn schedule of peronal axe

    penale large ncmes Neverheless Amerca has adoped hsprncple . People ay pesonal ncome axe up o 91%; a muchseeper rae han s mposed n Russa. Sangely enugh h ax s called 'progessve. '

    12

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    17. The government is investigating and prosecuting manufacturers foradministering selling prices while ignoring the monopolisticforces that administer costs. I

    A more general and compicated paradox is the attitude toward personalfreedom - the original and supposedly enduring nationa idea. America

    was the first place on earth where there was no limit on personal achieve ment. Naturally this new nation soon ed the world in production But

    today there is a national guit complex based on the fact that eve ciizen regardless of his contribution to the economy is not prosperous"Most of the American people who still believe in self-reliance cannot

    defend themselves against the theoreticaly huanitarian arguments infavor of group security. It woud appear that within 200 years of their

    dramatic discovry of freedom these people are about to throw it aside. Perhaps they have never really understood hat it was that they had discovered. "

    Many of you have ead Marston atess ntable book HE RS A HE

    SEA. In his chapter on Mans Place in Nature the author quotes a ictum fromrancis Bacons NOVUM OGANM

    "We cannot command nature except by obeying her.

    The chapter is concluded by the folowing significant paragraphs

    "Yet despite this abundane and progress almost all attempts to lookat man s future are gloomy . . .

    Our anxiety about the future when we analyze it turns largely on three related things the ikeihood of continuing warfare the dizzy rate

    of human popuation growth and the exhaustion of resources. But these don t ook ike insolube probems. Surey men who can manufacture a moon can learn to stop killing each other; men who can control infectious disease can learn to breed more thoughtfully than guinea pigs; men hocan measure the universe can earn to act isey in handing the mateiasof the universe. Why are we so peimistic?

    "Chiefly I suspect because we have come more and more to doubt ourability to act rationaly. Reason seems to be a property of individual

    men not of the species or of organized groups Somewhere we have lost the faith of the Eighteenth Century French phiosophers in the perfectibi

    lity of man and the rather different faith of the Nineteenth Century in the idea of progess.

    inaly may I quote the words of a man I have quoted over the yearsoftener than any other?

    Here are two sentences from a recent interview with r. Wriston

    "Changed conditions give old goals new intensity. "

    "What we want to do is to reenergize the goas eve taken too much forgranted.