Слике страница

But consumer demand is not the whole corporations with incomes in excess of $100,- new markets. Increasing the profitability story. A direct stimulus to investment is 000 to initiate a tax payment schedule of new investment is the most effective way also needed. While it is true that if a whereby they will be making their tax pay to make more attractive the investment desufficiently strong increase in consumer de ments current by 1970. In the interim, al cisions which are not being taken today. mand is provided this will increase invest though their tax liabilities will be reduced It is the most effective way to make the ment through "demand pull," it is equally as a result of the corporate rate reduction, submarginal project of today the supermartrue that a more dynamic and healthy ex these larger companies will not have the ginal project of tomorrow. It is the most pansion in investment will come from a com benefit of an increased cash flow as a result effective way to maximize the benefits of bination of increasing consumer demand and of the corporate rate cut.

the tremendous technological, educational, direct investment incentives.

More significantly, the critics ignore the and human resources of the United States. Characteristically, those who are critical fact that despite the general availability of As new techniques and new products are of the inclusion of a corporate tax cut and money in corporate treasuries and credit in developed and as new markets are opened reductions in the rates of those whose ad the capital market for large companies for up new demand will be created, new injusted gross incomes exceed $10,000 per an investment needs, many small firms simply vestment will be fostered, and new jobs will num argue that business has plenty of cash are not in a position to take advantage of be available that would never have been and credit available today and there is no investment opportunities by borrowing. available otherwise. need for more direct investment incentives. These smaller companies must finance their This then is the crux of the situation.

This prompts a closer examination of why expansion and modernization for new ven We must have a stimulus to expansion that it is desirable to provide direct incentives tures out of their own internal financial is continuing, self-sustaining, and self-reinto investment through tax reductions in ad resources. They very much need the in forcing. Neither direct investment incendition to those reductions which provide a creased cash flow of the rate reduction for tives nor increased consumer demand will do significant increase in consumer demand. corporations.

the job alone as well as the two joined toLet us consider for a moment the problem Indeed, they need more than the mere re gether. A combination of the two will inof an individual, a partnership, or a corpo duction of the overall corporate rate from

teract in such a fashion as to foster an ration deciding whether to make an invest 52 to 48 percent provided by the bill. acceleration of economic activity, which ment in new plant or equipment or the For that reason the new bill contains a should continue for years to come to proprovision of services. provision providing immediate and

duce jobs and raise output more effectively Anyone facing an investment decision stantial investment incentives to smaller than the same amount of tax reduction deconsiders two things above all: First, the na corporations. For 1964 the present normal voted solely to either investment or consumer ture and period of risk involved in the in tax of 30 percent, applicable to the first demand. vestment; and second, the likelihood of a $25,000 of taxable corporate income would

III favorable return. The decision of a board drop to 22 percent. Thus an immediate This brings us to the third issue whether of directors will not be determined merely tax reduction of almost 27 percent would the early enactment of the tax program is by consideration of the extent to which total be provided for 467,000 small corporations in likely to be more beneficial to the national personal income next year is likely to exceed the United States with earnings of less than economy than a later one next year. the current figure. Certainly demand will $25,000 per year. The entire tax program in Many favoring tax reduction in the abbe important to them, for no one expects to cluding this change would provide a 17.9 stract feel that it should be enacted only in invest in order to produce when there is no percent reduction in an additional 54,000 the context of fiscal responsibility, and deexpectation of having a market for one's corporations whose incomes were less than ferred until there is convincing evidence of products. And certainly the effect of demand $50,000 and a 9.5 percent reduction for the accomplishment in the control of the inon the overall economic outlook is a matter 25,000 companies whose incomes were less crease in Federal expenditures and the rewhich will be given serious consideration in than $100,000.

duction of deficit financing. making such a decision.

The critics of reductions in individual tax In fact an effective program of expendiBut one of the vital factors in any mar rates of those with adjusted gross incomes ture control is well underway and convincing ginal investment decision is the rate of in excess of $10,000 should remember that evidence of accomplishment is already at return-the increase in after-tax income in of the 11 million businesses in the United hand: return for a given outlay in investment. This States, 10 million are sole proprietorships or 1. According to the Director of the Budget, is where the direct stimulus to investment partnerships and many are established and the need for continuing expenditure increases provided in the current tax program will play operated by individuals in these higher for defense has just about ended and will an important part. In combination with last brackets. These are the people who would soon taper off on space programs, which toyear's 7-percent investment credit and de be most likely to invest tax savings in the gether with interest on the debt, have acpreciation reform, the proposed reduction in business or businesses which they are operat counted for more than 70 percent of the the corporate tax rate from 52 to 48 percent, ing, which in turn might provide more jobs budgetary increase from fiscal 1961 through together with the liberalization of the cred or facilities.

fiscal 1964. it, would increase the after-tax profitability A second major reason for direct invest 2. Since proposing the tax program in Janof new investment in 10-year assets, for ex ment incentives is the characteristic lag of uary the fiscal 1963 deficit has declined from ample, by an estimated 35 percent. That, I indirect investment stimulus resulting from an estimated $8.8 billion to an actual $6.2 submit, is a fact which will weigh very demand pull." In other words, demand billion-and two-thirds of that decline reheavily in any investment decision. These has to make itself felt in the economy and sulted from lower expenditures. considerations apply not only to expansion in the particular sector of the industry in 3. In proposing the tax program last Janof capacity to make standard products and question before it will_significantly affect uary, the President budgeted less for the new capacity to make new products, but also investment decisions. Then, there is the civilian sector of the 1964 budget (excluding to the modernization of existing facilities further delay for investment decisions to be defense, space and interest) than in the preto provide existing products on a more effi translated into reality. If there were any vious year-only the third time that has been cient basis.

possibility of inflation in the tax program attempted in 12 years, during a period in In 1956 and 1957 business fixed investment reducing the stimulus to investment would which population has increased and State averaged 11 percent of total output. Since greatly exaggerate it. Price increases are and local government spending has grown at that time it has fallen to roughly 9 percent. most likely to occur when demand outstrips a rate averaging more than 15 percent a year. Since 1957 the rate of increase in our stock production and the utilization of efficient ca 4. Fiscal 1964 expenditures are currently of business plant and equipment has risen pacity. If production and the quantity of estimated at $1 billion below last January's by less than 2 percent a year, compared to efficient capacity expand to keep pace with estimate. In the first 3 months of the fiscal 4 percent a year in the first postwar decade. demand, the danger of inflation is kept at year 1964 (July through September) expendiFurthermore, there has been a disturbing a minimum.

tures in the civilian sector of the Federal rise in the proportion of our machinery and Third, direct tax incentives will affect fa budget were $107 million less than the same equipment which is more than 10 years old. vorably our balance of payments. To the quarter last year. Corporate profits and the ratio of expendi extent they encourage modernization and 5. This September there were 242 less regutures on plant and equipment to gross na new products they enhance our ability to lar civilian Federal employees on the payroll tional product have been below previous compete at home and in the export market in the executive branch than in September postwar levels. Our rich store of research and thereby maintain or expand our trade

last year. and development has not been joined to cap surplus. It is equally important to our bal 6. Chairman CANNON, of the House Apital and labor to produce the explosion of ance of payments to increase the attractive propriations Committee, has observed that new products, services, and jobs of which ness of investment opportunities in the new appropriations may aggregate less than the Nation is capable.

United States. These are important because last year's total—the first time that will have Moreover, critics of the tax bill on the score capital outflows for long-term private in been done in some years. that it includes direct incentives for invest vestment abroad represent a significant part 7. As for the fiscal year 1965 and following ment when business has adequate or more of our balance-of-payments deficit.

years, the President has assured the Congress than adequate funds to finance new invest Finally, one of the most overlooked as that he intends to maintain a tight rein on ment ignore several important points. The pects of creating a sustained economic ex expenditures and that a substantial part of tax bill does not afford a cash flow increase pansion is the need to utilize the fruits of the tax revenues from economic expansion to much of the corporate sector. Simul new technology in the form of new products will be used to reduce the budgetary deficit taneously with the rate reduction it requires or the adaptation of existing products to until balance is reached.

8. On this basis and barring an unfore- our competitive edge and opportunity for

our competitive edge and opportunity for spending is compelling the administration seen slowdown of the economy or inter- an increasing trade surplus, and free up our to make some choices, however painful that national contingency—the President expects monetary tools for use in event interest may be, on which programs are really esto submit a budget for fiscal 1965 with a rate differentials trigger further outflows. sential to the Nation's security and welfare deficit less than presently forecast for fiscal Delay in the passing of the tax bill may and which are expendable. 1964, despite the fact that the second stage mean more than missed opportunities; it The holddown will force the administraof the tax reduction will have gone into ef may do positive harm. The tax program has tion to restudy and cut back programs that fect and that the revenue loss from tax re become the leading psychological factor in may have some vote-catching virtue but no duction in 1965-before feedback—will be $5 the world of business and finance. It is other; it may force officials to run desirable billion greater than in 1964.

viewed, rightly or wrongly, as the touch programs more efficiently; and it will compel 9. The House of Representatives has em stone for progress and the element of prom the administration to rethink certain prophasized these factors by specifically includ- ise for the long-term future. Business ex grams that have run on inertia-as in the ing in the bill as section i a declaration of pansion and consumer buying in a large case of foreign military and economic propolicy which reads as follows: "It is the sense measure reflect confidence in the future. grams-though international circumstances of Congress that the tax reduction provided Expectations of the enactment of the tax have changed profoundly since the programs by this act through stimulation of the econ program have become a built-in factor in

were launched. omy, will after a brief transitional period, the hopes and aspirations of the business After 4 years of big annual boosts in Fedraise (rather than lower) revenues and that and financial world. To frustrate those ex eral outlays-years that have seen budget such revenue increases should first be used pectations by delay and doubts as to the expenditures climb by more than $20 billion to eliminate the deficits in the administra- future passage of the bill entail serious from $76.5 billion in fiscal 1960—it is more tive budgets and then to reduce the public economic risks that may ensue from

than time to curb the growth of total outlays debt.” diminished confidence.

and carefully rework the composition of the The President endorsed this statement be The answers to the three questions with Federal budget. This now seems a good fore the vote. which we began, then, are:

prospect for the coming year. These facts, plus the even more funda Yes, the national interest would be served There should be no mistake about one mental one, that expenditures can never ex by the enactment of a law substantially re thing, however: The good intentions of the ceed the amounts actually appropriated by ducing the rates of Federal income taxes. administration (and of Congress) on exthe Congress which controls the Nation's · Yes, this rate reduction should be a bal

penditure control cannot survive unless purse strings—makes it difficult to justify anced one designed to increase both con

Congress passes the bill to reduce taxes. postponement of a final Senate vote on the sumer purchasing power and direct invest Secretary Dillon has been perfectly franktax bill for an alleged lack of evidence of an ment incentives.

and correct—in explaining why: If this counexpenditure control policy.

And, yes, the national economy is far more

try begins to slide down into a recession, the This is particularly true in the light of the likely to be benefited by an early enactment political pressures upon the Government to cogent reasons for an early and prompt dis of the tax program than by a later one next do something about high unemployment position of this particular piece of legis year.

will compel Congress and the administration lative business.

You may well have anticipated these con

to increase expenditure programs. IneviThe economy is still expanding, but there clusions. To me, they seem to be compelled

clusions. To me, they seem to be compelled tably some considerable part of these inis still a large gap of unused manpower and by the fact that tax rates are too high, by

creases will become permanent fixtures in capacity. The economic climate is good. the logic of the economic situation, by the

the budget. It is pointless to say this is a In this setting the enactment of the tax pro need for expansion and long-term growth

hypothetical argument; exactly that has gram now would maximize its effectiveness to meet the needs of our people, by our

happened time and again, under both Demoin achieving its initial purpose—to move the fiscal circumstances with budgetary deficits

cratic and Republican administrations. economy to full employment and a more resulting from inadequate economic pereffective utilization of all our resources formance, by our determination to control

THE REAL CHOICE particularly our increasing human resources. Federal expenditures, and by the discipline It has been difficult for Secretary Dillon to

To wait until some later time and risk of our balance-of-payments deficit. I trust make this point without seeming to forecast joining the tax cut to a receding or leveling that you will be persuaded by this logic of an imminent recession, which he has not economy is to put it to its appointed task events and circumstances that has moved done. His critics keep making what they under adverse circumstances. The overrid- the administration to these conclusions and think is a bright point. Do you want this ing purpose of the tax program is not to that you will agree.

tax cut for growth or do you want it to stop a arrest a recession but to move an advancing

recession?” they ask. This is not so smart economy into a scale and pace commensurate

as it sounds. There is no either-or about with its responsibilities and our national

[From Business Week magazine,

wanting the tax cut both to stimulate more needs.

Nov. 2, 1963]

rapid economic growth, and as protection If the tax program is an effort to remedy SPENDING CONTROL AND THE TAX CUT against frequent recessions. Any reading the withdrawal from the private economy Four months of fiscal 1964 have already

of our recent economy history will show that of too much of the Nation's substance in gone by, and Congress still hasn't finished

growth has been too slow (hence we have the form of taxes, to lift the tax drag, and work on this year's budget. Meanwhile, the

had chronic unemployment) and our progto restore some needed incentives for job- administration is deep in the toils of work ress has been broken by too frequent business creating investment, the sooner the remedying out the fiscal 1965 budget, which the

dips. is applied the better. President must submit in January.

The proposed tax cut is not a one-shot If, in addition to its long-term objective, In order to increase congressional support

antirecession needle. On the contrary, it the enactment of the tax program is viewed for its program to cut taxes, the administra

constitutes an important reform of our fiscal as antirecession insurance, the time is ripe tion has committed itself to a course of

structure. The trouble with that strucfor taking out that insurance. The patient intensive expenditure control. But a num

ture-as economists as politically diverse as is well and insurable, but he is moving into ber of key Senators insist that they want

Walter W. Heller and Arthur F. Burns agreea vulnerable period of his life. By next to wait to see the actual numbers in the is that it siphons off too much money to the April 1, it will have been 37 months since administration's fiscal 1965 budget, before

Federal Government as business expands, the end of the last recession. If the economy they will consent to go along with the $11.1 tending to check and slow down the growth is still advancing, it will be the longest billion tax cut bill (to take effect over a

(of cause abortive recessions) before we peacetime recovery in the century with the 2-year period) that has already cleared the

achieve full employment. exception of the 1933–37 pullout from the House.

The tax structure and the expenditure great depression.

To the administration's credit, it should side of the budget must be weighed together. So on either premise—that the economy be said that it is making a genuine effort to Changing the tax structure in its relation to will continue to expand or begin to con- hold a tight lid on expenditure increases. that level of Federal spending that the Natract-the earlier the enactment of the tax The current, fiscal 1964 budget will probably tion really needs will remove hobbles from program the better.

wind up with expenditures totaling some growth and simultaneously lessen the likeliAnother time factor is the need to achieve, $97.7 billion, more than $1 billion lower than hood of recessions. The tax bill should be as soon as possible, an equilibrium in our in was estimated last January. The fiscal 1965 passed before Congress adjourns, lest it get ternational balance of payments. Con- budget-which Treasury Secretary Dillon had fouled up in election-year politics next sestinued deficits in our payments situation, estimated only a couple of months ago would sion-and lest (this does remain a possibilwith their potential drain on our gold supply reach $102 billion-now promises to be a

ity) it come to late to forestall the next and threat to the role of the dollar as the couple of billion dollars lower.

recession. principal reserve currency, provide a com This new emphasis on economy in the At the same time, Congress should get pelling reason for prompt action on the tax Government is thoroughly healthy. It is busy and complete its action on the expendprogram. The net outflow of long-term in- high time the administration got serious iture side of the budget. It cannot solve vestment ($2.5 billion) in 1962 was the about checking the growth of Federal spend the expenditure control problem by Fabian single biggest source of disequilibrium. A ing and recognized that big annual boosts tactics of delay or by passing the buck back rapidly expanding economy, sustained by a in Government outlays may be inimical to to the administration. If Congress will tax cut, would attract investment dollars the national interest rather than synony simply use its head-and make up its mindfrom domestic and foreign sources, sharpen mous with it. The holddown in Government the United States can have the budget and

fiscal program it needs for a sustained run of The Communist nations actually have est in the small community of professional prosperity. This means both expenditure fewer nationals in U.N. civil service than students of the Soviet Union. control and a tax cut.

their representation justifies because they do The point is that last summer, for once not offer qualified people to fill them. The in a way, the immediate direction of Soviet

Birchites, for example, circulate a memo development seemed to be quite easily preIMPORTANCE OF THE UNITED randum showing the number of Communists dictable. A great though still obscure politNATIONS

working for UNESCO, but overlook the fact ical crisis in the Kremlin, undoubtedly

if they know it—that the Communists have marked by challenges to Nikita S. KhruMr. PROXMIRE. Mr. President, I half the number to which they are numeri shchev's authority, had ended in the spring wish to refer briefly to an article on cally entitled-for fewer than the United with Khrushchev more firmly in the saddle the United Nations which was published States or Britian.

than ever before. today in the Washington Post. The arti

On U.N. policy-from the the U.N. defense Khrushchev had then used his authority

of South Korea to the latest resolution on to enforce acceptance of a nuclear test ban, cle was written by Roscoe Drummond.

Angola and Portugal, the Soviet Union has on terms the Soviets had always before reMany Senators have received anti- continuously failed to mold U.N. policy to

fused with loud indignation. His primary United Nations letters. The sentiment suit the Kremlin.

motive, beyond doubt, had been to create an in my State is far from unanimous in It opposed the election of Dag Ham atmosphere of relaxing tension, and thus to support of the United Nations.

marskjold as Secretary General—and lost. prepare the way for the revision of investIn the article, Mr. Drummond has Initially it opposed the election of U Thant. ment priorities—less resources for the armed pointed out that the Soviet Union has When it finally had to accept Mr. Thant, forces and more for agriculture, for in

Premier Khrushchev sought to impose a stance—which had been one of the subjects been far from winning one victory after

Soviet troika-veto on the independence of of dispute in the winter crisis. another in the United Nations. I quote the Secretary General-and lost.

Hence two kinds of development were being briefly from this fine article:

Many times the Soviet Union has sought forecast last summer with much more conBear this fact in mind above all others: to take over the leadership of the African fidence than usual. First, changes in the The United States has never been on the nations at the U.N. in order to use them for Soviet Defense Ministry, perhaps even inlosing side of a single substantive U.N. reso Kremlin purposes—and has lost.

cluding the dismissal of the Defense Minislution except when the Soviet Union and the Bear this fact in mind above all others: ter, Marshal Rodion Malinovsky, were conUnited States were voting the same way.

The United States has never been on the sidered as all but inevitable. The Soviets have lost most of the time.

losing side of a single substantive U.N. reso Malinovsky was known to have been one On the United States and world leader lution except when the Soviet Union and of those who challenged Khrushchev in the ship-no successful American political lead the United States were voting the same way.

winter crisis. In the Soviet Union, unsucer suggests that the United States can re The Soviets have lost most of the time. cessful challenges of this type have their altreat into isolationism and let the world go On the United States and world leader most automatic penalty. And the need was hang. They know we'd hang with it. Nor

ship-no successful American political obvious, too, for Khrushchev to bring the can the United States pull out of the U.N. leader suggests that the United States can military heirarchy under more absolute conand expect to pull down the U.N. with it. retreat into isolationism and let the world trol, in order to prepare for the second This would do nobody any good except the go hang. They know we'd hang with it. widely forecast development. Communists.

Nor can the United States pull out of the This was the radical revision of invest

U.N. and expect to pull down the U.N. with ment priorities, which the Soviet leaders Mr. President, I ask unanimous con it. This would do nobody any good except so obviously need to make, in order to imsent that the entire article be printed in the Communists.

prove the declining Soviet rate of economic the RECORD.

The United States would lose much of its growth and "get Russia moving again.” The There being no objection, the article influence nearly everywhere in the world, main bottleneck being agriculture, the maswas ordered to be printed in the RECORD, including the nations which have received sive release of resources for investment in as follows:

their independence since the end of the war. agriculture was the obvious first step. And

We would simply be throwing many of them no such release was possible, except at the OPPOSITION TO THE U.N.: SOME FACTS ARE into the arms of the Kremlin.

expense of the armed forces. OVERLOOKED

During the summer Khrushchev himself (By Roscoe Drummond)

virtually spoke of the revision of investment MINNEAPOLIS.—There is a bright British

DANGER OF AID TO RUSSIA priorities as an accomplished fact. He posimusical revue playing in New York with Mr. PROXMIRE. Mr. President,

tively boasted that he was withdrawing the wistful title: "Stop the World, I Want to there was published this morning in the

from the race to put, men on the moon. Get Off.”

More important, he talked quite openly of Washington Post an interesting article Quite an attractive idea, if it would work.

his intention to increase Russian artificial During the past 10 days I have been talk- by the distinguished columnist Joseph

fertilizer output from the present level of ing to—and with-a number of different Alsop. The article is entitled "The Big about 16 million tons per annum to the audiences in the Midwest and it is evident Non-Events.” In the article, Mr. Alsop

In the article, Mr. Alsop staggering total of 35 million tons per anthat quite a few Americans would like to stop points out that it was anticipated, on the

num. the United Nations so that the United States basis of many statements and develop

By now, however, these crucially signifcould get off. Or, to put it another way, ments, that this year in Russia there

icant, universally expected developments would like to see the United States get out would be a curtailment of the use of re

were beginning to look like the big nonof the United Nations in the hope that this

events of 1963. Some time ago, dates were sources for military purposes, combined action would bring the U.N. to a stop.

actually being given in Moscow for a special I am not suggesting that most Americans

with a release of resources for investment plenum of the Central Committee of the want to see the United States leave the in the economy, particularly in agricul Soviet Communist Party, to discuss the ferUnited Nations or want the U.N. to leave ture; but he points out that these events tilizer program, and for a second plenum to the United States. But there are enough have not occurred, and that, quite the

discuss the general problems of Soviet agriquestions which suggest approval of the contrary has occurred. He points out

culture. the idea to make it useful to look at that the heating up of the situation in

Dates are no longer being given, however, the premises on which the question is based. regard to Berlin is about the last thing

and there are no signs to indicate that the The premises appear to be these:

first plenum will surely be held, as originally Russia would do if she were about to curThat the personnel of the U.N. is dom

suggested, at the end of November. Coninated by Communists. tail her armed forces budget.

currently, there are no signs of the kind of That the Communist nations are able to Therefore, I believe the officials of our preliminary reductions in Soviet defense use the U.N. for their purposes far more effec Government should think long and hard spending, which might be expected prior to tively than we can use it for our purposes. about the wisdom of selling American a sharp shift in the investment pattern. That the United States could do better if products at subsidy prices to the Soviet

Indeed, the recent incidents on the apwe quit and left the U.N. to its own devices. Union-whether they be wheat or dairy

proaches to Berlin point in another direcWhat are the facts?

tion. products.

You do not heat up the political cliOn personnel—The authority of the Sec

I ask unanimous consent that the arti

mate again, as the Soviets have now done, retary General in carrying out the voted de

if you are just about to cut your defense cisions of the U.N. is decisive. No subordi

cle be printed at this point in the RECORD. budget rather massively. Nor do you talk nate official can veto his actions. The only There being no objection, the article about the altered political climate in the Communist official at a high level of the was ordered to be printed in the RECORD, bellicose terms Khrushchev recently used U.N. is the Under Secretary for Security as follows:

when he received an American business Council Affairs, Mikhail Suslov. The Under

group in Moscow.

THE BIG NON-EVENTS Secretary for for Political Affairs is Ralph

All this means, rather plainly, that the Bunche, an American. Each of the big pow

(By Joseph Alsop)

decisions which seemed to have been. firmly ers has a veto over any Security Council What has not happened in Moscow is sud taken last summer are instead still under affairs.

denly being discussed with mounting inter discussion and probably under quite bitter

discussion-in the Kremlin. It may be that he reduced production below his quota, a There being no objection, the article the discussion will be abruptly terminated, producer would get $2.50 for each hundred was ordered to be printed in the RECORD, and the Central Committee plenum will take pounds he reduced his sales.

as follows: place as originally scheduled before Novem MCCARTHY says that his dairy bill would ber ends. cut the surplus in half, save $37 million in


(By H. P. Quadland) Yet the mere fact that the debate is ap- taxes to support milk prices and raise farm parently continuing is significant in itself. income $150 million.

Nature, if left alone, probably would make It highlights the extreme painfulness of the

No question that most dairymen would be most land beautiful in time. Man largely choice the masters of the Soviet Union could better off taking the $2.50 and reducing is responsible for making land ugly. But no longer avoid. On the one hand, in order production.

man also can make land sing with beauty, to achieve an adequate rate of economic

if he wishes to help it flower—whether it is

The McCarthy bill uses much the same idea growth and to solve their food problem, they as the present feed grain program. It is a

a tiny yard, a street, suburban plot, a farm must break decisively with the sacred tra

on the plains, a cutover area in need of resound approach. dition of absolute first priority for the armed forces.

The two Senate programs are not opposed forestation. Ugliness and growth need not

be synonymous. to each other. They could work hand in On the other hand, if they put the sacred hand. The first would put milk pricing on planting and beautifying the land. Sound

Economic and social benefits come from tradition ahead of their practical needs, they

a more realistic basis. It would give price conservation practices cannot end at the city must prepare for a gradual return to condi

discouragement for overproduction. tions resembling those that prevailed in the

or town line without helping to foster slums

Paying dairymen to cut back production and endangering the future of the Nation. time of Stalin.

has a great deal of merit. It could help I believe that love of our land is necessary dairymen outside of the milk order areas as

for our survival. We will not love our land much as those in order areas. And it would

unless we care for it, and a growing populaSUPPORT OF DAIRY LEGISLATION give dairy producers a great incentive to get tion, which inevitably becomes further reMr. PROXMIRE. Mr. President, the milk production in line with demand.

moved from the land, tends to turn aside Wisconsin Agriculturalist & Farmer COMBINE DIRECT PAYMENTS, NEW PRICING

from natural beauty toward the vulgarities one of the finest agricultural publica

A dairy bill has been introduced in the of life.

In cities and suburbs, beautifully planted tions in the country, and it has a na- House by Representative LESTER JOHNSON, tional circulation, and is widely read by Democrat, of Wisconsin. JOHNSON'S bili spaces are needed if urban renewal programs

are not to run into the same trouble in the agricultural experts enthusiastically would combine a direct payment plan

future that cities have run into in the past. supports the dairy bill which was passed somewhat like MCCARTHY's program-with

One of the biggest threats to the permanency by the Senator, and also supports the new Federal order pricing.

of completed urban renewal projects is the McCarthy amendment to that bill, which producers would be given allotments based

If approved by dairymen in an order area,

failure of communities to provide for planted I hope will be adopted.

and beautified space. on market requirements and reserve needs. I ask unanimous consent that an They would be paid a higher price for needed

It is preferable if the plantings become part

of the long-range improvement of cities editorial entitled "We Support These milk. They would get a lower price for sur

rather than temporary expedients. Urban Dairy Bills," which was published in the plus milk.

renewal presents a great opportunity for Wisconsin Agriculturist of September 7,

This part of JOHNSON'S program would planted, open space that is a vital need in 1963, be printed in the RECORD. work similar to the Proxmire bill.

many cities. There being no objection, the editorial

Congress should approve the dairymen's I see no reason why we should ruin the was ordered to be printed in the RECORD, areas. And there should be a program that division. Often trees that have taken years

excess base plan for milk marketing order land in order to build the houses in a subas follows:

would pay dairymen to cut back production, to grow are destroyed by bulldozers in a day. WE SUPPORT THESE DAIRY BILLS both in and out of milk order areas.

Emphasis in housing by lending authorities Two dairy bills in the Senate deserve care

has been on the house; the lot may be ful study. The dairymen's excess base plan

ignored. would apply to Federal market order areas. AGRICULTURE YEARBOOK CITES Some housing developments have become The bill was introduced by Senator WILLIAM SENATOR LAUSCHE'S BRILLIANT slums in a decade because little thought is PROXMIRE, Democrat, of Wisconsin.


given to yards and streets. Other developThe program would work like this. A ma

ments, well landscaped, remain livable jority of producers in a milk order area

Mr. PROXMIRE. Mr. President, it is indefinitely. would have to approve the plan. If ap- probable that many Senators have noted An example is the plant America program, proved, each producer would get a base. the excellent contribution of Mr. H. P. sponsored by the American Association of

The base would be the producer's histor- Quadland, well-known conservationist, Nurserymen. It offers a pattern for making ical average percent of the class I (bottle to the Yearbook of Agriculture for 1963. our land more productive, beautiful, and milk) market. The last 3 years average is


For the benefit of those who may not being talked about now. Newer milk order

The program was launched on January 5, areas would have to be based on fewer have seen this item, I call attention to 1950, in New York by representatives of years.

the article, "Let the Country Sing With national organizations. A producer could sell any amount of milk. Beauty,” beginning on page 552 in which An outline of the original plant America He would be paid class I price for his class I Mr. Quadland points to the great prog

program, offered in 1950, is applicable tobase. There would be no more blend price. ress made throughout our country in re

day. I quote parts of it: The producer would get a lower price for forestation and city and countryside ise that the land is our most precious

“The program is predicated on the premmilk in excess of his base. At present this

beautification through organized tree heritage. It is believed that the objective would be at about support level.

and shrub planting programs. He spe of the program in its entirety can only be WOULD DISCOURAGE EXCESS MILK

cifically cites examples of outstandingly accomplished by replanting our forests, our Purpose behind the program is to discour successful programs age excess production. At first producers States.

15 different farms, our cities, our roadsides, our church

and school, or home and factory grounds who have been expanding rapidly might get a little less total for their milk than now.

wherever the need lies. I call particular attention to the au

"For the first time in history our farm But as the plan discouraged excess produc- thor's reference to a highly successful

population generally is prosperous. But tion, it should soon mean bigger milk checks statewide campaign as a part of Ohio's

much still needs to be accomplished for a for all dairymen.

Sesquicentennial in 1953, headed by our more fruitful and abundant farm home life. There's another big advantage to the pro- colleague, the senior Senator from Ohio Landscaping and improved design of farm gram. It wouldn't add any additional tax FRANK J. LAUSCHE, who then was Gover- homesteads, farm home fruit gardens, landload to taxpayers. The plan deserves full support; we're for it. ed by Senator LAUSCHE in 1953 was connor of that State. The program initiat- scaping and planting of grange halls, rural

schools and rural communities in general The second bill was introduced by Senator

are needed. EUGENE MCCARTHY, Democrat, of Minnesota. tinued in 1954, 1955, and 1956 with great

"Most of our cities and towns have The McCarthy bill would also set class I success. In each year, more than 20 mil- blighted areas that can be made green and milk bases for each producer in Federal mar- lion seedlings were planted.

beautiful by planting trees, shrubs, and ket orders. Then the Secretary of Agricul Mr. President, I feel that this particu- flowers. Much has been accomplished by ture would set a quota for each producer. lar article is very pertinent and of wide civic authorities, civic planning groups, park The quota might be more than the class I public interest, in that it should lend executives, and garden clubs. But here, too, base for producers in order areas. It couldn't more encouragement to the citizenry of

we are just awakening to the task ahead. be less.

A consciousness of the fact that the land Compliance would be voluntary. If a pro- our Nation in keeping America beautiful.

is our most precious heritage is sorely ducer kept to his quota, he would receive 50 I ask unanimous consent that the arti- needed by the general public * * * for its cents a hundred Government payment. If cle be printed in the body of the RECORD. own good. Open spaces, beautifully planted,

seriously are needed in all metropolitan areas vate organizations were represented on the deal of attention is devoted to instruction for recreational as well as conservational plant Ohio committee, under the direction in planting. purposes; in fact, just for us all to look at, of an executive committee, which was headed The American Association of School Adin order to fill our souls with beauty.

by the Governor and comprised representa ministrators advises sound recommendations "Safety, conservation, beauty as well as tives of the Ohio Department of Natural Re for landscaping and planting school grounds. happier motoring and recreation enter into sources, the State chamber of commerce, Annual Arbor Day tree plantings are perthe proper development of our roadsides. Ohio Nurserymen's Association, forestry as formed on some school grounds. There is Despite the great achievements of highway sociations, garden clubs, the Agricultural Ex great need, however, for more widespread officials and others, general public awakening tension Service, and the federation of soil planting and landscaping of school grounds. is needed to prepare for and provide the conservation districts. County and local It is incongruous that students are taught most efficient use of these roadside facilities committees were formed to work on publicity, principles of land conservation and plantfor all.

school and community forests, beautification ing, while many of their school grounds and “Beautiful church and school gardens are of factory sites, planting of trees and shrubs athletic fields are bare, eroded, and ugly. rare rather than commonplace. Churches around homes, public plantings, industrial The planned planting of school grounds and schools can be made more beautiful and reforestation, rural reforestation, and sources affords a basis for practical instruction in inspiring cultural centers through coopera- of planting materials.

the conservation of land and in plantlife. tion of educational groups, community im Many community plantings grew out of the Well-landscaped and planted schools provement groups, garden clubs, parent- effort in Ohio. A plant Columbus program courage school pride among pupils and teacher associations, etc., in landscaping. was a forerunner for that city's establish teachers. Beautiful school grounds encourThis work easily can be accomplished at ment of a large municipal rose garden. age community pride and greater support small expense if public consciousness is In a natural course of events, the plant for education. Landscaped and planted awakened to the task.

America program expanded into plant schools afford a more pleasing recreational "Changes are developing in home land (State, county, and city or town) programs. environment and are a facility for recreascaping and planting. Plantings are more The plant America program includes the tion in themselves. natural, for better living. Outdoor living dissemination of information that will help Landscaping and planting should be a rerooms, indoor-outdoor living on the home homeowners upgrade the values of their quirement along with the construction of all property, home fruit and rose gardens, cli- properties by landscaping and beautifying new schools, as recommended by educational mate control by planting to increase both in them. It includes standards for nursery administrators. Where this has not been side and outside home comfort, are coming stock and a guide for home landscaping. A

done, it should be accomplished by local coto the fore to enable a more enjoyable family movie was produced, "Basic Technique for operation, along with education by teachers home life. There is practical therapy in Home Landscaping.” Materials on the pleas of the reasons behind caring for the land green growing things-pleasure and health ures and values of garden living are made by planting and conserving it. combined. Plant America requires indi available for use in newspapers, magazines, The Chicago Community Trust gave vidual as well as group and community co radio, and television.

$10,000 to the Chicago Horticultural Society operation. We need to develop all our land In relation to cities, schools, highways, and to encourage schoolchildren to take up for living, not just the house alone.

factories, the program attempts to do much gardening: "We think gardening will make a "Landscaped and planted industrial sites the same within the limits of a small budget. good long-range hobby that the children will are important from the viewpoints both of An industrial landscaping competition is

benefit from all their lives. More immedicommunity and employee relations, as well conducted with awards for "achievement in ately, we think it will curb vandalism. Peoas increased value of the land,

industrial and institutional landscaping and ple who learn to grow things are less likely Plant America—for more natural living beautification contributing to employee and to destroy trees and flowers or other people's will help to conserve the land and the well- civic pride in our American heritage."

property." being and health of people. By instilling in Among the 200-odd winners of awards are

The first community planting project unthe public mind a consciousness of the fact the Reader's Digest, Pleasantville, N.Y.; Gen der the plant America banner was carried out that 'the land is our most precious heritage eral Motors Corp.; the Washington Water

in Grandby, Conn., in August 1951, during and by action in planting in accordance with Power Co. in Spokane; the Board of Water Plant Connecticut Week. All public grounds both need and the proper design not only Supply, Honolulu; church groups; the little

in the town were landscaped and planted, will plant America give Americans greater St. Cyprian School in River Grove, Ill.; the including schools, churches, and the firesatisfaction in living, but it will make them Shelburne Museum in Shelburne, Vt.; and

house, Local groups cooperated to serve more proud of their homes, their factories, the Boscobel restoration, Garrison, N.Y.

luncheon to the planters and the nurserytheir communities, and their country."

Some striking benefits of industrial land man who supplied the plants. Since this What has been accomplished ? scaping have come to light.

project was completed, the nurserymen each Governors in 39 States have issued proc A cement company found that trees and year have landscaped and planted grounds lamations calling for more planting in their shrubs helped to hold down dust and re of a public building to commemorate a Plant States. duced absenteeism.

Connecticut Week. The first was issued by Chester Bowles, Some restaurants have reported that good Another planting project, in Stow Village, then Governor of Connecticut.

landscaping increases patronage. Banks, de Mass., was sponsored by community groups, It stated: “Land in the past has been partment stores, and shopping centers use a garden club, the extension service, and abundant. Man in those days was able to landscaping to attract and win the approval

New England nurserymen. The grounds of ravage the land and move on to virgin terri of customers.

three churches, two schools, the town hall, tory. This lead to abuse. * * * Most of these The plant America movement took cog and the library were landscaped. blighted and barren areas can be made nizance in 1950 of the need for roadside

Some of the subsequent activities include green and beautiful if all citizens fully real landscaping. Meetings were arranged with the planting of dogwood trees given to Morize their moral obligations to others in the landscape authorities and engineers to find

gantown, W. Va., to start a planting project; ownership of private, civic, or State land. economical methods for functional land

a tourist arboretum in Tennessee; sample * * * Much of the future progress of our scaping. The outgrowth was an illustrated

highway plantings in many States; the esState and its rare natural beauty rests upon booklet, which outlined 10 purposes of high

tablishment of municipal rose gardens; and the extent to which we replant and care for way landscaping:

71 planting projects in Iowa towns through all the land. Our State can produce more To screen out, where necessary, blinding

the cooperation of garden clubs, 4-H, Future if we strive to make and keep it beautiful. headlight glare of cars in opposing traffic

Farmers of America, Boy Scouts, and others. Everyone will benefit in equal measure.” lanes; stop fast-moving cars with little or

Los Angeles planted 296 trees in a 10-block A highly sucessful State campaign was no damage to their occupants at dangerous

area in downtown streets in 1962. The Texconducted in Ohio, as part of the State's intersections; relieve monotony and lessen

tile Association of Los Angeles has a goal to sesquicentennial activity. Some 22 million fatigue; delineate curves and serve as di

plant 300 trees in the garment area. Living forest seedlings and more than 3 million rectional traffic guides; restore natural

flowers in containers also add color to the ornamental trees and shrubs were planted beauty; reduce traffic roar and serve as buf

area. in a year by homeowners and organized fers to adjacent residential areas; screen off

New York City's Salute to the Seasons progroups. unsightly, distracting views; serve as natural

gram, in which thousands of trees, shrubs, The sesquicentennial's "greatest tribute to snow fencing; control erosion on slopes; and and bulbs have been donated by business the past," Gov. FRANK J. LAUSCHE pointed make rest areas.

firms, is another example. out, "would be wise planning for the future." One development seems particularly in The New York City Commerce DepartHe added: "In this connection, tree planting teresting. In Tuscaloosa County, Ala., all ment issued a booklet that said: “Massed for reforestation, beautification, and recre home grounds bordering on a highway were plantings along major thoroughfares * * * ation, is of vital importance. The program landscaped to enhance the beauty of the are intended to alleviate this hunger (for encourages farmers to plant waste land; route. The plan has possibilities in im green growing things) by bringing greater homeowners to plant ornamental and shade proving and beautifying secondary and ru


to our city * * * to make New York trees; municipalities to plant trees and ral roads after the manner of azalea trails,

a pleasanter place in which to live and shrubs; establishment of school forests, as dogwood trails, and other trails, which at work * * * a more attractive place to visit.” well as other local programs featuring the tract tourists.

Along Lincoln Boulevard in Miami and plant Ohio project."

When the plant America program first in Kalamazoo, Mich., where a central mall The program in Ohio was efficiently or- was visualized, contact was made with the has been planted, and in other cities, the ganized. All State departments and 65 pri- National Education Association. A great results of such plantings have been strik

« ПретходнаНастави »