CONGRESSIONAL RECORD U.S. ALLIES STILL POURING MACHINERY AND INDUSTRIAL RAW MATERIALS INTO CUBA

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP64B00346R000200150014-2
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 6
• Document Creation Date: December 20, 2016
• Document Release Date: February 27, 2004
• Sequence Number: 14
• Publication Date: January 1, 1962
• Content Type: OPEN

Approved,For Release 2006/09/27-: CIA-R DP64B00346R000200150014-2
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190 CONGRESSIONAL RECORD -SENATE 1 83
Act of 1962 permitted the President to senger operations continue to demand fled practice of giving this or that Mem-
. .. .. . _F ,_~.,_ h S to considered the ber of Congress political advantage
na
T
thorities'and the Nationalist Government
on Formosa to feed the Chinese refugees.
The Senate adopted my amendment to
a war claims bill to allow claims for loss
at the hands of the Nazis by those who
later became U.S. citizens.
.4 GRICUi,TURE,
I voted against both farm bills which
passed the Senate: the omnibus bill
which was defeated 'in the House of
Representatives and another bill relating
to-wheat, and feed grains. I see real dis-
advantage to New York farmers in pro-
grams of strict production control and
supply management, particularly re-
specting feed grains so important to
dairy, poultry, and' livestock. farmers.
Food prices to the housewife are not
lowered under these programs. I remain
convinced that until Congress adopts a
policy based on the realities of the U.S.
economy in 1962, our agricultural pro-
ductivity will continue to be a drain on
the taxpayer'
The severe, drought which hit New
York dairy and livestock farmers
brought immediate favorable action by
the New York congressional delegation
in obtaining emergency authorization for
farmers to use retired land.
The much publicised Jesse Stalker
ease 'relating to producer-handlers, and
the Supreme Court decision affecting
milk marketing orders, have created an
uncertain situation with respect to
orderly milk marketing procedures in
the New' York ihilkshed, and I am pre-
pared to respond to the need for legisla-
tion, if necessary, to assure dairy farmers
an adequate return.
VOST OFFICE AND CIVIL SERVICE
I favor a pay raise this year for postal
employees, as well as all other Federal
employees who face the same cost-of-
living squeeze-even-if it is necessary to
raise postal rates to help provide for such
increases. Congress must maintain wage'
scales comparable with private industry.
An increase in postal rates appears to
be fiscally necessary to cut down on oper-
ating deficits,, but ^such increase must
take full account ' of the public interest
in the informational and' 'educational
contents of, second-class mail, and the
commercial functions of third-class mail
advertising.
VETERANS. she
I have supported bills increasing the
.compensation for disabled veterans, and
giving peacetime veterans the same
hospital and medical care for service-
connected disabilities as war service vet-
erans"get. Also, I voted for the bill re-
opening for 1 year national service life
insurance to applications from Korean
war and other veterans; this passed the
Senate but was limited in the House to
those with service-connected disability
Drily. continued to support the resolu-
tion to establish a standing Senate Com-
mittee on Veterans' Affairs.
TRANSPORTATION
The #lnancial problems of our railroads
and the rising costs of freight and pas-
e e
solution.
mass transit bill, which I cosponsored, through the manipulation of news about
to provide Federal financial assistance
for the planning and development of
comprehensive mass transportation sys-
tems in urban areas.
Hearings are now being held by the
Interstate Commerce Commission on the
proposed merger of the New York Cen-
tral and Pennsylvania railroads and the
Civil Aeronautics Board will hold hear-
ings on the proposed American and East-
ern Airlines merger. Mergers of com-
mon carriers into more efficient operat-
ing units appear to be necessary but they
must protect the public interest in rea-
sonable rates and service and the work-
ers' interest in continuing security of
employment, including, if necessary, re-
training, severence pay, early retirement
or other means, with the Federal Gov-
ernment helping as may be desirable.
The railroads need modernization but the
cost should not come out of the workers.
HOUSING
Long concerned with difficulties faced
by tenants of both commercial and resi-
dential property which is demolished to
make way for Federally-assisted proj-
ects, I sponsored legislation to extend
relocation assistance, already made a
part of the urban renewal program and
expanded with my help, to those dis-
placed by Federal. highways. Also, I in-
troduced additional legislation to help
small businesses to relocate because of
Federal housing and urban renewal.
I cosponsored the bill to create a Cabi-
'net-level Department of Urban Affairs
to coordinate the many Federal housing
and other programs related to urban
areas. The creation of this new Depart-,
ment was defeated for this session.
? NEW YORK STATE
The analysis of defense procurement
activities which my office has prepared
and released every 3 months since 1959
indicates a continuing decline in con-
tract awards given to businesses in New
York State. Our share of the national
total dropped from 15.3 percent during
the Korean war to 12 percent during fis-
cal 1961, and a further decline lowered
the share to 10 percent during the first
9 months of fiscal 1962.
To increase the number of contracts
subject to competitive bidding and im-
prove the preferential set aside system
for labor surplus areas is the aim of the
armed services competitive procurement
bill which I introduced with the cospon-
sorship of the New York State congres-
sional delegation.
I am particularly gratified that my
efforts in this session helped to secure
the $17 million appropriation to build a
U.S. Pavilion at the 1964-65 New York
World's Fair.
POLITICAL ADVANTAGE THROUGH
MANIPULATION OF NEWS ABOUT
THE PEOPLE'S AFFAIRS
Mrs. SMITH of Maine. Mr. Presi-
dent, the Boston Herald of September
18, 1962, has an editorial of basic fair-
ness. It calls for an end to the undigni-
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the people's affairs.
I am proud that under the Eisenhower
Republican administration there was no
such practice. I never received notices
except those on the basis of simultaneous
notification to all members of the Maine
congressional delegation. That is the
way it should be.
The editorial very accurately states my
position and contention when it says-
What she asks, and what ought to suit
everyone, is not favoritism but impartial
treatment.
I recommend this editorial as good
reading for the Portland Press Herald,
the Portland Evening Express, and the
Portland Sunday Telegram-and for the
White House Special Assistant on Con-
gressional Relations, Mr. Lawrence F.
O'Brien.
I ask unanimous consent that the edi-
torial be placed in the RECORD.
There being no objection, the editorial
was ordered to be printed in the RECORD,
as follows:
Senator MARGARET CHASE SMITH, Republi-
can, of Maine, is mad as a hornet at the
White House, and we don't blame her..
A year ago she complained to Presidential
aid Lawrence O'Brien that the White House
had given Senator EDMUND S. MUSKIE,
Democrat, of Maine, early notification of the
news that a million dollar contract for a
medical facility at Maine's Dow Air Force
Base had been awarded.
O'Brien, she says, promised to investigate
this inequity as between Maine Senators
(not to say as between a male Senator and a
female Senator). But nothing happened.
Indeed, she says, "Not only does it appear
that * * *'no investigation has been made
during the interval of a year-but the han-
dling of the recent disclosure of the con-
struction award of a nuclear submarine to
the Kittery Naval Shipyard constitutes a
repetition of political favoritism on a matter
of national defense in the notification given
to Senator MusKrE on the submarine award
far in advance of the release time."
We don't envy Mr. O'Brien his placatory
tasks. But we do hope he doesn't go so far
as to offer to give Mrs. SMITH a few defense
contract "exclusives" of her own. What she
asks, and what ought to suit everyone, is not
favoritism but impartial treatment.
It's time for an end to the undignified
practice of giving this or that Member of
Congress political advantage through the
manipulation of news about the people's
affairs.
WITI-TV HITS HARD FOR MORE
ADEQUATE TEACHERS' SALARIES
Mr. PROXMIRE. Mr. President, Mil-
waukee television station WITI continues
an excellent editorial policy that consti-
tutes an impressive contribution to our
great metropolis in Wisconsin.
One of its recent editorials deals per-
ceptively with a matter under considera-
tion by the Senate and the House of
Representatives-namely, the serious
problem of getting more teachers and
better teachers. I ask unanimous con-
sent that the editorial be printed at this
point in the RECORD.
There being no objection, the editorial
was ordered to be printed in the RECORD,
as follows:
 18784 -CONGRESSIONAL RECORD SENATE.
September 19
NOT JUST MORE TEAQFERS.BirrBi r'rER QUALI- be government enterprise in Europe is pri- is for productive enterprise., Mr. Kust ex-
_
smn,TEAcBElrs vately owned" plains: "It would be quite different if let us,
Not only more teachers but better quail saay, the Government owned the railways and
fled teachers should be the goat In modern The Federal budget of the United floated a multibillion dollar bond issue for
education. States is quite different. our Federal rehabilitation and modernization."
A modern school system faces `many chat-' Deficits do riot mean that we are invest-
lenges. Probably the greatest isto meet the ins more extensively in productive enter-
demands of our more complex and more prises.
competitive world. It means we need not On the contrary, Federal spending is
only more teachers but better qualified not likely to be productive in the same
teachers. Yet, In Milwaukee we do little way that is private investments in the
to encourage our educators to add to their
own training. productive development and growth of
The avgrage teacher here has Ipent 4 years plant and equipment.
In college 'to get a bachelor's degree that I ask unanimous consent that the ar-
will qualify him for a job In the public tiele by Sylvia Porter be printed at this
schools. His starting salaryis $4,900 a year,, point in the RECORD.
almost $2,000 less than the average income in _ . There being no objection, the article
Milwaukee in 1961. was ordered to be printed in the RECORD,
We say we'd like this teacher to continue, as follows:
his education, work toward a master's de-
gree, How DEFICITS HELP EUROPE To GROW
keep up with all the new knowledge
available, find pass that knowledge on to our, (By Sylvia Porter)
children. "You should read an article which has
But what incentive do we offer him? This, just appeared in the New Republic on this
Starting salary of $4,900 won't Inspire him. question of the American economy's inade-
Under the present setup the 1:eacher gets quate growth in recent years in comparison.
$100 a year more for obtaining his master's with the strong growth rates of European.
degree. economies and what should be done about
Here's what that master's degree costs him: it," said William McChesney Martin, chair-
Approximately 1,280 hours in class, many man of the Federal Reserve Board, "for the
more hours of study outside cf class, the article says things people here should under-
time and money it costs him to get to and stand."
from class, ever-increasing tuition fees, and The face o:' a man I have known since he
the possible loss of income he could be get- was the boy-wonder -president of the New
ting through evening or summer employ- York Stock Exchange broke into a broad
ment.
For all this effort, time, and expense we
add $100 a year to his paycheck. This is how
we are trying to compete not only with
industry and other States but.-with other
smile. "Of course, the reason I'm asking you
to do this is that I agree with the points
the article makes."
So naturally, as soon as I left the Federal
Reserve Board's headquarters in Washington
,
cities here In our own State. I picked up the magazine (Aug. 27 issue)
Now the teachers are asking for a better and studied the article "Deficits and Eco-
break, for more incentive. They are asking nomic Growth" by Matthew J. Kust, identi-
for a $300 pay boost for obtaining a master's fied as a "Washington lawyer specializing in
degree. The plan would cost $430,000 next International tax and financial matters."
year; It would be money well spent. We will It is not easy reading, but here in simple
encourage more people to the teaching pro- language arc the major points Mr. Kust
fession, and we will encourage them to be- makes.
come better qualified instructors. Channel 1. It has become fashionable this year to
6 believes we need this incentive in our mod- suggest we examine what Europe has been
EUROPEAN GOVERNMENT' . SPEND- `? "?? --l- owes Luc greater
economic growth to a bolder use of govern-
ING, NO ALIBI FOR ST.S.. RED, ment deficit :finance." But before we accept
INK fhis, we should inquire whether government
budget deficits have the same economic im-
Mr. PROXMIRE. Mr. President, there pact in the United States as in Europe.
has been a great deal of discussion about 2. We have kept pace with European coun-
the more rapid growth rate oi,the econ- tries in running deficits during the last
omy of the European countires, Atten- decade. Our Federal, State and local govern-
tion has been called to the-fact,that , ments had deficits in 8 of the last 12 years;
some European economies have been Britain in 9 of the last 11; France in each
of the last 10 years, and Germany in 4 out
growing recently more rapidl;J than has of the last 6 years.
ours. Some have argued with force that
this growth is forced by ECONOMY
y government s. Why, then, have
deficit financing. y, government deficits
A recent analysis published in the New ' -resulted "in such an inadequate rate of
R public was reported on by Sylvia Por-
ter in an article published last night in
'the Washington Star. Her article casts
some badly needed light on the reasons
why European deficit spending might
contribute to national growth, while red
growth in the United States while yielding
such high rates in France and Germany?"
The answer is that "Europeans have ac-
cepted, which we have not, the principle of
the mixed economy wherein the government
conducts many industrial undertakings that
are privately owned in the United States."
ink in our country would not, In Europe, governments own, by and large,
transportation, communications, power, .and
Mrs. Porter writes: ? many basic industries such as coal, gas, pet-
In Europe, governments own, by and large, roleum, iron and steel. When European
transportation, communications power and government 1:udgets go into the red, a funda-
many basic industries such as coal, gas, pe- mental cause is that they are investing in
troleum, iron and steel. When European these enterprises-which are productive,
government budgets go into the red, a funda- make jobs, spur growth.
mental cause is that they are Investing in 4. In the United States, the situation is
these enterprises--which are productive, drastically different, for "Much that would
snake jobs, spur growth. be_ government enterprise In Europe is pri-
In the United States, the situation is vately owner:," When our Federal budget
drastically different, for "Much that would goes into the red, little of the extra spending
TAXES CURB INVESTING
5. Tax policies also are a key factor. We
tax corporations far more heavily than other
countries do. "Since corporations undertake
most of the private productive investment in
industrialized countries, heavy taxation of
their earnings dissuades growth." The same
goes for our personal tax structure, which
cuts down on the savings that are essential
to greater investment in productive facilities.
We invest much less of our total production
in new machinery and equipment than Euro-
pean countries do, and the outcome is that
the United States "has an old and obsolete
industrial plant."
Mr. Kust's conclusion Is that "it is this
quite striking difference in the economic
impact" of our various government policies
"which may provide the answer to the great
difference in growth rates." He clearly be-
lieves the fundamental need is to overhaul
our fiscal policies with the primary aim of
stimulating Investment rather than con-
sumption.
Whether or not you agree, this is a
thoughtful contribution to the debate on
what we should do to get back on the road
to strong growth. And most significant is
that Mr. Martin sympathizes with this view,
for, as head of the powerful central bank
of the United States, he is among the most
informed and Influential men of the free
world
.S. ALLIES STILL POURING MA-
CHINERY AND INDUSTRIAL RAW
MATERIALS INTO CUBA
Mr. PROXMIRE. Mr. President, the
House of Representatives is about to con-
sider the foreign-aid appropriation bill,
and the Senate will do so shortly. I
am very much disturbed about the fact
that countries which receive substantial
amounts of assistance from the United
States are continuing to trade extensive-
ly with Cuba.
Yesterday's New York Times reported
that-
Cuba has been getting machinery and in-
dustrial raw materials from Canada, diesel
motors and chemicals from West Germany,
and machinery and chemicals from Britain.
The Netherlands and France also have ex-
ported goods to Cuba.
The article states that these countries
continue to make such shipments in very
large quantities.
I think the Senate should give serious
consideration to this matter when it
considers the foreign-aid bill, in the next
few days.
I ask unanimous consent that an ex-
cerpt from the article published in the
New York Times be printed at this point
in the RECORD.
There being no objection, the excerpt
was ordered to be printed in the RECORD,
as follows:
UNITED STATES FAILS To CURB ALLIES OVER
CUBA
Nevertheless, Cuba has been getting ma-
chinery and industrial raw materials from
Canada, diesel motors and chemicals from
West Germany, and machinery and chemi-
cals from Britain. The Netherlands and
France also have exported goods to Cuba.
According to figures available here, North
Atlantic Treaty Organization countries sold
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Cuba about $138 ;million worth of,goods in
1959 and purchased gooda amounting to $79
million. In 1$61, NATO exports dropped to
$86 million and imports from-Luba to $32
_ t.
In additiori, Japan conducted a $16-million
annual trade with Cuba, exchanging light
machinery for sugar. 1 Cure was the only
country in Latin America reported to have
an appreciable trade with Cuba, bartering
various foodstuffs for s'ug-ar.
TWO ALLIES CREASE TRADE
Two allied coui tr increased their trade
with Cuba duringgVi e 2-year period, 1959-
61, contrary to the general trend. Canada
was the biggest Allied trader with Cuba in
1961, exporting '$'3f,800,00 worth of goods,
slightly more'than double her 1959 exports.
The Netherlands increased her trade total
with Cuba from $8,275,000 to $10,920,000.
The United States, which ended all im-
ports from Cuba and limited sales to food
and medical supplies, is now sending less
than $50,000 worth of such supplies to Cuba
CONGRESSIONAL RECORD - SENATE
SPACE INDUSTRY SURE TO EXCEED
AUTO. INDUSTRY. IN SIZE; Rh-
QUIRES FAR GREATER ECONOMY
of the very important developments in'
the United States and, in fact, 'in the
world has been the magnificent progress
made by the space industry. All of us'
are anxious to have our country able'
to meet and to surpass such develop-,
Inents by the Soviet Union. We are
being llenged in this area more than'
in any other, except perhaps the mili-
tary acea
Nevertheless, I believe we must recog-
'
nize the enormous size which the space'
industry will achieve in the next few
years.
An article ,published yesterday in the
Washington Post states that the space'
industry is expected to exceed the auto-
mobile industry in size.
Mr. President, with no profit incen-
tive or discipline and with no budget'
discipline-because in the House com-
mittee hearings it was revealed that
the Bureau of the Budget leaves virtual-'
ly untouched the budget of the Space'
Agency. With the terrific public re-
lations buildup for developments in'
space, with ' television, radio, and the'
newspapers enthusiastically urging us
to make more and more investments in'
space, there is danger that there will
be great extravagance in this area.
In this connection, I ask unanimous
consent that an article from the Wash-'
ington Post, entitled "Space Industry
Seen Topping Auto in Size," as well as
an editorial from Fortune magazine en-
titled "Defense in Space," he printed in
the RECORD at this point.
There being no objection, the article
and editorial were ordered to be printed
in the RECORD, as follows:
[From the Washington Post, Sept. 18, 19621
SPACE INDUSTRY SEEN TOPPING A-uTO IN SIZE
ST. Louis, Mo., September '17: An aero=
space executive said today the astronautics
industry within 10 years may exceed in size
the combined automotive Industries of the
World.
The prospect was raised by M. G. O'Neil,
president of the General Tire & Rubber Co.,
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18785
Israel is one of the smaller nations but
one of the most enterprising. Surrounded
by Arab enemies, it has been making friends
constantly by its program of international
cooperation.
. In Kenya, Israel has helped organize two
cooperative stores. In Nepal it is helping
to set up a bus transport system. It has
just added Jamaica to the list of countries
given free scholarships for technical stu-
dents in Israel.
Africans from Dahomey, Niger and Togo
are studying radio techniques in Israel and
more are coming soon from the Ivory Coast.
Israel technicians have the contract to build
large bathhouses in Ethiopia. Two Israel
doctors are at work in eye clinics in Liberia,
which were set up by Israel experts. A num-
ber of students from French speaking Afri-
can nations have completed police training
in Israel.
Recipient of much foreign help itself, this
small country is busy helping others.
PROXMIRE RESOLUTION TO END
SCHOOL DROPOUTS BEFORE 17
WILL REDUCE UNEMPLOYMENT
Mr. PROXMIRE. Mr. President, re-
cently I submitted a resolution calling
on State school officials to give consid-
eration to raising the school dropout age
to 17, which in some areas is now 14,
15, or 16. I submitted the resolution for
many reasons. The principal reason is
that unemployment is so highly concen-
trated among our young people.
Sylvia Porter, in a very fine article,
commented on this question and stated:
This summer, while the general unem-
ployment rate has ranged under 6 percent,
the rate among the unskilled has been 11 .
percent. Among the 900,000 who were grad-
uated from high school In June 1961 and
didn't go on to college, the unemployment
rate last October was 18 percent. Among
the 350,000 youngsters of 16 to 24 who quit
elementary or high school between January
and mid-October 1961, the unemployment
rate in the fall was 27 percent.
Even when he gets a job, a dropout is
likely to get an undesirable one.
On the other hand, skilled workers will
find their future bright and find more
job openings than workers to fill them.
That is the reason why my resolution
should be given consideration by the
Committee on Labor and Public Welfare.
I hope the resolution will be adopted by
the Senate in this session. It is a simple
Senate resolution and merely calls on
school authorities around the country to
give serious consideration to increasing
the age for dropping out and to provide
the kind of vocational training which
can so tremendously help young students
leaving education and also help the
growth of our economy.
I ask unanimous consent that the
article by Sylvia Porter which appeared
recently in the Washington Star be
printed at this point in the RECORD.
There being no objection, the article
was ordered to be printed in the RECORD,
as follows:
RETURN TO SCHOOL, DROPOUTS WARNED
(By Sylvia Porter)
"Return to school," urged President Ken-
nedy in his Labor Day message to the youth
of the Nation, thereby putting the White
lease 2006/09/27 CIA-R DP64B00346R000200150014-2-
In a talk prepared for a national convention
of tire dealers.
He likened the impact of the space age to
that of America's discovery nearly 500 years
ago.
O'Neil said the country's steadily growing
aerospace endeavor already numbers 5,000
companies or research organizations, and has
led to over 3,000 space-oriented products.
He estimated that the approximate cost
of landing a man on the moon by 1970
would be $30 billion, and said some esti-
mates for the Government's total space proj-
ects run to $150 billion.
Calling space exploration a necessity for
national survival, O'Neil enumerated useful
byproducts of the space effort in the fields
of medicine, communications, weather, and
marine navigation.
[From Fortune magazine]
DEFENSE IN SPACE
It is high time that we forsake some of
the more exotic scientific idealism in the
space program, in recognition of a real and
somber threat. NASA's programs should be
trimmed at the fringes, and its lines of con-
trol strengthened. The Nation's defense re-
quirements should be thoroughly, openly,
and honestly integrated with the fabulously
expensive development of moon-shot tech-
nology. Congress should see to it that these
unified objectives are ensured by unified di-
rection-not just coordination-Of all space
activities by the national aeronautics and
space council. As Secretary of the Air Force
Eugene Zuckert wrote recently: "We must be
able to enforce our stand on the peaceful
uses of space."
ISRAEL FOREIGN AID PROGRAM
MODEL OF EFFICIENCY AND EF-
FECTIVENESS
Mr. PROXMIRE. Mr. President, in
connection with the foreign aid bill
which is about to come before the Sen-
ate, all Senators are aware of the many
examples of waste, and some examples
of graft and extravagance, in our foreign
aid program. The little State of Israel,
which is deficient in resources, limited
in capital, dimunitive in population as
compared with ours, and urgently in
need of capital investment on its own
account, has been carrying on an inspir-
ing foreign aid program from which we
can learn real lessons.
A recent editorial in the Milwaukee
Journal stated in part:
In Kenya, Israel has helped organize two
cooperative stores. In Nepal it is helping
to set up a bus transport system. It has
just added Jamaica to the list of countries
given free scholarships for technical stu-
dents in Israel.
Africans from Dahomey, Niger, and Togo
are studying radio techniques in Israel and
more are coming soon from the Ivory Coast.
Israel technicians have the contract to build
large bathhouses in Ethiopia.
Israel's foreign aid program is such a
model of efficiency and effectiveness, so
honest and economic in its operation,
that I. think it serves as a. real example
for us and the rest of the free world.
I ask unanimous consent that the edi-
torial to which I have referred be printed
at this point in the RECORD.
There being no objection, the editorial
was ordered to be printed in the RECORD,
 Approv o Release 2006109127 A:- DE64B00346R0002001 4-2
18786
CONGRESSIONAL RECORD - SENATE
House behind the accelerating ddve_to con published a fine article showing that
vine America's youngsters that they must American food is bought at bargain
and skills essential to fill today'ii jobs.
But a potential dropout, or a young man
or woman who already has quit school, well
might ask for more than exhortation, more
than even a warning from the President that
"returning to school may mean the difference
between possible hardship and unemploy-
ment or a fruitful life."
In this end Sunday's column, I'll submit
the "why" and "what." Make a record of
these facts, no matter who ` you are, for in
your neighborhood may be a young person
prices, and showing how the American
consumer pays far less for food now than
he has before in terms of wages and
income. The article shows that the con-
sumer pays a great deal less for his food
in this country than he does in foreign
countries; and the article spells out
what this means in terms of leisure, in-
come, and well-being. This also means
a great deal in terms of our competition
with the Soviet Union and communism
whose entire life you can be:hefitby reciting in other parts of the world where agri-
them, _lure has been such a dismal failure.
Here's the why. I think we should view the farm pro-
In the 1960's, overall employment is sched- gram in connection with the very fine
uled to rise about 20 percent, but unskilled
workers always will face the threat of unem- job which has been done by our farmers
'ployment as jobs are eliminated by automa in keeping the cost of food low. We are
Lion. all consumers. When looked at in this
This summer, while the general unemploy- way, what we have done in farm pro-
ment rate has ranged under 6 percent, the grams for our farmers is very modest.
rate among the unskilled has been 11 percent. I ask unanimous consent that the arti-
Among the 900,000 who were graduated from cle from the Reader's Digest for Septem-
high school in June 1961, and didn't go on
to college, the unemployment rage last Octo- ' ber 1962, entitled "Why Our Food Is a
ber was 18 percent. Bargain," be printed at this point in the
Among the 350,000 youngsters of 16 to '24 RECORD.
who quit elementary or high school between There be;.ng no objection, the article
ployment rate in the fall was 27 percent. as follows:
You need a high school diplarna even for
- WHY OUR FOOD IS A BARGAIN
_
I
l y ., .- -1- _
m
nia
n
a
(By John Strohm)
companies require one for a sweeper.
Even when he gets a job, a dropout is likely (John Strohm, one of today's foremost
to get an undesirable one. A full 28 percent agricultural writers, has visited 70 countries
of the male dropouts in 1961 who had ob- (including the Soviet Union and Red China)
tamed jobs by October were working as farm as a correspondent, and has conducted a
laborers, and 40 percent were working as group of Russian farm officials through the
factory laborers or semiskilled operatives. United State:,. A past president of the Amer-
About two-fifths of the female drppbuts were ican Agricultural Editors' Association, he is
working in private households ; or as other currently president of Publications, Inc., and
types of service workers. Only, 1 out of editor of Ford Almanac. This article is the
10 of the dropouts had obtained a clerical basis for a presentation Mr. Strohm will make
Congress,
job. ._at the Fifth International- Food
As a . ski'.lled worked, though, your future which will be held in New York City's
will be bright. In the 1960's, an additional Coliseum, September 8-16.)
23 million jobs are due to open up for skilled if I could show any visitor from abroad
workers and 2.7 million others will become
available a3 those holding these ;fobs transfer
to other occupations, retire or die. This
means our economy will be looking for 5
million young, educated, skilled men and
women. If you are trained, you'll not have
trouble finding employment.
Jobs which today don't seem to require
much training, such as simple clerical or
office jobs, will require training tomorrow.
As automated equipment taken over more
and more offices, employers will need trained
personnel to operate the equipment. 80 cents oul; of every dollar of disposable
The job outlook for the educated and income left for "other things." It means
skilled young man and woman is superb. more and better education for our sons and
The unedxucated, unskilled dropout ie 11k-Ty daughters. It means better homes, better
to be unplaced or displaced. That is.-the, -health, better living. It means refrigerators,
"why" behind the warning: "Return to_ automobiles, TV ,seas. And with such a
school." ively small part of our national effort
vot to ff ed ng the people, we can match
AMERICAN FARMER'S GIV A'T JOB Missiles Withthe Russians or race them to
FOR CONSUMER-T'AX1'AER the moon without giving up necessities or
luxuries, while the Russian people suffer
Mr. PROXMIRE. Finally, Mr. Presi- acute shortages of food, clothing, and hous-
dent, we are about to consider a very im- ing.
portant conference report on the farm Our national ability to feed our families
bill. There is some possibility we will with more food, of higher quality and
variety, with less money and labor than any
not have a farm program thi. year. Uh other people on earth is an achievement we
fortunately, farmers have been accused too often take for granted. Let's see what
of being a burden on other .American goes into it.
citizens, particularly on the taxpayer. I_ Mrs. America makes three trips weekly to
feel very strongly that this .'is a serious the food store, takes 27m.inu:tes on each visit
mistake; that, actually, farmers con- to look around among thousands of items,
tribute more to our well-being than buys 21 of them, and pays $7.74 at the check-
does any other group in our society. out counter. Does she wonder where all the
money goes; Maybe she
In this connection, Reader's Digest, forgets that her
husband works only 38 hours a month to buy
which is conservative on sul;h subjects, food for his family. To earn a pound of but-
and particularly on the farm subject, ter, he works 21 minutes-while a Russian
Approve FFofReFase2006t0 I :: C .IA-RDP 4:BO034 800020 004-2
just one thirg in the United States, I would
turn him loose in a smalltown supermarket
with $25-the average amount the American
homemaker spends weekly to feed her family.
For food is our No. 1 success story, a far
bigger bargain here than in any other nation.
Mrs. America pays out, after taxes, only 20
percent of the family income for food. By
contrast, the Russian family must spend 56
percent. In Sweden it's 27 percent; in Italy,
38 percent; Peru, 40 percent; Nigeria, 70 per-
September 19
works 193 minutes. A pound of rice costs an
American 5 minutes of work; a Japanese, 25
minutes, despite the fact that Japan gets
among the highest rice yields in the world.
A pound of sugar costs an American 3
minutes of work; an Englishman, 7 minutes
of work; a Russian, 75 minutes of work.
Andlest you long for the "good old days"
when prime beef was 15 cents a pound and
bread two loaves for a nickel, consider' the
real cost of food then and now. In 1912,
Granddad's family earned $11 a week and
spent 40 percent of it for food. His grand-
son's family earns more than $125 weekly,
spends $25 for food-and buys more and bet-
ter food.
You're better off than your dad, too. In
1931, an hour of U.S. factory labor bought
only 1.4 pounds of round steak, while today
it buys 2.2 pounds. It bought 8 pints of milk
then-17.8 pints today; 1.5 dozen oranges
then-3 dozen today. Since 1947-49 food
prices have gone up less than most items in
the cost-of-living index-22 percent. The
cost of housing went up 33 percent; of trans-
portation, 51 percent; of rent, 45 percent.
Moreover, while the old corner grocery
with its crackers and pickles in open barrels
and sauerkraut in tubs may be full of nostal-
gia, our food today is safer, cleaner and more
nutritious.
Researchers have bred more vitamin C into
tomatoes, more protein into corn, more lean
meat into pork. Processors have improved
nutrition by selecting crops at exact maturi-
ty, by rapid deactivation of enzymes and by
cooking in a limited amount of liquid,
which is then retained in the can rather than
discarded. Mobile packing vans move right
into the fields to film-wrap vegetables at
their peak of freshness. We've improved on
nature by enriching bread with vitamins and
iron, by "fortifying" milk.
Improved diets have helped infant mor-
tality to drop sharply. People are living an
average 9 years longer than two generations
ago. Our children are 2 inches taller than
their grandparents, weigh several pounds
more. And the sports pages tell us they can
run faster and jump higher and farther
than ever before. Children (and grownups,
too) now get two-thirds of their protein
from meat and dairy products, while these
foods represent only 2 percent of the Japa-
nese diet, 4 percent of the Indians'.
Instant and heat-and-eat foods can reduce
the housewife's daily food preparation work
from 51/2 hours to 11 hours. She buys
freedom from the drudgery of kitchen chores
in the form of cakes already mixed, meat
already trimmed, vegetables already cleaned
and washed, juice already squeezed.
The Agricultural Research Service says:
Already prepared meals that cost $6.70 for a
family of four for 1 day can be fixed by
the housewife herself for $1.80 less. But
should the housewife work 4 hours extra for
45 cents an hour, and save the $1.80? Or
should she devote her 4. hours to her chil-
dren, to community activities, to keeping up
with the world, to holding an outside job?
Unshackling the housewife from her kitchen
has had an incalculable impact for good on
our Nation-socially, politically, spiritually
and culturally.
Many instant foods actually save money.
A pound of fresh frozen peas costs about
32 cents; bought fresh, they cost 70 cents.
A devil's food cake, made from a prepared
mix, plus two eggs, costs 41 cents; made
from scratch, it costs 53 cents. Frozen con-
centrated orange juice costs only half as
much as that squeezed at home from fresh
oranges (the can of concentrate costs 2.7
cents more to process, but 3.7 cents less to
transport and 8.6 cents less to merchan-
dise).
There were 100 items in the grocery store
of a century ago; Mother found 1,000 items
20 years ago. Today's homemaker has a
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1962 C NGRESSIONAL RECORD - HOUSE
Ity, the strategies, and the tactics of
Lenin's new form of complete warfare.
Our foreign policies have failed to
meet the realities of world politics. Our,
basic foreign policy concepts have re-
mained unchanged for 30 years.
They have been defensive, self-decep
tive, and self-defeating.
The NATO alliance,, the United'
Nations, international loans, foreign aid,
disarmament, summit meetings, have
been major features of our foreign
policy. They have all proven themselves,
to be figments of our own gullibility.
Our negotiations, our appeasements,,
our vacillations, have led us only down
the road of retreat and surrender, bit;
by bit.
Mr. Speaker, I have been saddened;
and frightened by the confused,'
evasive, and capitulating pronounce-
dents emanating from our Government.'
I do not, for 1 minute, expect this ad-
ministration to reverse our disastrous
foreign policies.,,
Nor can we Pope, that this Congress
will take appropriate action to reverse
this country's march to national suicide.
Unless this country is able to reeval-
uate, reshape, and reformulate its for-
eign policies, the cause of freedom is lost.
Mr. Speaker,our policies with respect
to the Comrnui}ist cancer cannot be re-
designed by the existing foreign policy
apparatus. They are too deeply y imbed-
ded in the fabric of our National Gov-
ernment.
Only a national surge of political de-
mands on the part of the people can
bring about the needed reforms.
The impulse for a transformation from
weak and vacillating policies to strong,
firm, effective policies can only come
from the electorate, the people of this
Nation.
Mr. Speaker, former President Eisen-
hower and President Kennedy have both,
expressed their opinion that foreign pol-
icy is not a proper topic for debate in,
same desire.
I respectfully disagree with General
Eisenhower and President Kennedy.
We should contemptuously reject
Khrushchev's devious effort to prevent ,
the American people from forcing a re-
versal of this country's foreign policies
that serve him so well.
On the contrary, Mr. Speaker, there is
only one issue that is of vital importance
to our people.
That is the issue of freedom, survival,
and peace.
I make only one qualification. These
national aspirations and the foreign
policies necessary to retain them, should
not be made partisan political issues.
I respectfully suggest that every mem-
ber of this Congress present to his pr her
constituency the following questions of :
First. Whether or not this.Nation is
losing the global war to the Soviet-Com-
niunist forces.
Second. Whether ..or. not. our present
foreign policies are. adequate for dealing
this Nation are willing to make all neces-
sary sacrifices to build up an invincible
military superiority over the Soviet.
Fourth. Whether or not they favor a
strong, coordinated, political, and mili-
tary program that will reverse the course
of this war.
Mr. Speaker, on June 12 of last year, I
introduced House Joint Resolution 447.
This resolution called for a recognition
by this Congress of the total war being
waged against us by the Soviet-Commu-
nist conspiracy.
It called for action by the United
States to counter the Soviet-Communist
war with a nonmilitary, political, ideo-
logical, and economic offensive.
.In March of this year, 6 months ago,
I sent 150,000 questionnaires to my con-
stituency. The following three questions
were based upon the concepts contained
in House Joint Resolution 447.
I submit to you the tabulated answers
to these questions.
The first question was: "Do you believe
that the Soviet-Communist forces are
steadily winning their goals of weaken-
ing and destroying the Free World?"
The tabulation of the answers was:
"Yes," 5,401; "No," 1,179.
The second question was: "Do you be-
lieve that the first step in reversing Com-
munist gains is to recognize the Com-
munist organization, its purposes, strate-
gies, tactics, and weapons?"
The answers were: "Yes," 5,213; "No,"
1,245.
The third question was: "Would you
support a united free world effort to
neutralize and destroy the international
Communist conspiracy by nonmilitary
political means?"
The answers were: "Yes,"
386.
Gentlemen, the futuye of
The {ER pro tempore (Mr.
IsoNATI) . Under previous order of the
ouse, the gentleman from North Caro-
lina [Mr. ALEXANDER] is recognized for
30 minutes.
Mr. ALEXANDER. Mr. Speaker, the
American people are gravely concerned
over the situation existing today in Cuba.
The concern felt by our people over the
Communist build-up is shared by free-
dom-loving people everywhere.
The President has wisely stated that
the United States will not permit a Com-
munist-dominated Cuba to become a
serious threat to the security of this
country.
It is my feeling, Mr. Speaker, that the
Congress should let the President know
that it supports his efforts to preserve
the peace and political integrity of this
hemisphere.
I have introduced a resolution, there-
fore, which declares that it is the sense
of the Congress that the President
should take all necessary steps to un-
plement the' Monroe Doctrine with re-
spect to the current situation in Cuba.
The Monroe, Doctrine U R,s applicable
18867
today to the troubled situation in the
Caribbean as it was when it was promul-
gated by President James Monroe on
December 2, 1823. Within the frame-
work of that historic declaration the
President has. ample precedent to deal
with communism in this hemisphere.
It is my feeling that the Congress and
the President should take a strong stand
and that the United States should make
it abundantly clear that we have no in-
tention of permitting a Communist
threat to our security to exist in our
backyard.
I hope that the President will take
immediate and positive action to imple-
ment the Monroe Doctrine.
INCOME TAX LEGISLATION
The SPEAKER, pro tempore. Under
previous order of the House, the gentle-
man from New York [Mr. HALPERN] is
recognized for 10 minutes.
Mr. HALPERN, Mr. Speaker, again
I call the attention of this House to leg-
islation I have introduced to provide an
exemption from income taxation of the
first $3,000 received by an individual as
an annuity, pension, or other retirement
benefit.
On August 29, I explained to this
House in detail the purpose of this leg-
islation. At that time I called for the
support of the measure by my colleagues
and urged that the Ways and Means
Committee give the bill its fullest atten-
tion with the view of acting on it before
the current session adjourns.
I rise again today to reiterate this ap-
peal. My bill, H.R. 6504, is a sensible
and reasonable approach to a serious
problem. It corrects an existing inequity
in the tax law which currently exempts
some retirement programs, partially ex-
empts others, and applies full taxation to
still other annuities.
When an individual retires he usually
must adjust to a substantially reduced
income. With living costs what they are
today, and the gradual decline in the
valuation of the dollar, the average per-
son has considerable difficulty in building
up even a small nest egg to provide re-
serve funds during his later years of life.
Thus, faced with reduced income and
larger outlays, an individual can ill afford
a further reduction in his income by
having to pay taxes on a small pension.
As a result many workers who approach
the retirement age cannot see their way
clear to retire. They often work beyond
the normal retirement age and thus are
deprived of a few years free of the rigors
and anxieties of a full-time job. That is
why I do not think it is fair that retired
individuals be required to pay income tax
on a small, modest retirement income.
This bill is not establishing any new
principles. Actually, all it does is ask
that all retirees be given a reasonable
exemption as currently accorded social
security and railroad retirement annui-
tants. Its enactment would fulfill a
cardinal principle of a fair tax system-
that similarly situated individuals should
be taxed similarly. How can anyone
argue against this type of justice? That
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18868
CONGRESSIONAL RECORD HOUSE
Is why equity demands that we take
favorable action on H.R. 6501, the bill to
allow an exemption of $3,000 on annui-
ties,-pensions, and other retirement bene-
fits.
I fervently trust that my colleagues in
this House will join in urging early com-
mittee action on this bill so that full
opportunity can be given to the House
to vote on it before the adjournment of
the 87th Congress.
HIESTAND DEMANDS TAFT-HART-
LEY BE INVQKED,
(Mr. HIESTAND (at the request of
Mr. MILLIKEN) was granted permission
to extend his remarks at this point in the
body of the RECORD and. to include ex-
traneous matter.)
Mr, HIEESTAND. Mr. Speaker, I think
we should demand that-President Ken-
nedy invoke the provisions of the Taft-
Hartley Act to prevent the closing down
of five great Aero-Space factories by the
impending strike. The strike is sched-
uled to begin Saturday, September 22.
Congress enacted the Taft-:Elartley law
to provide for just such emergencies as
this. A national industry vitally im-
portant to the security of our Nation is
threatened.
The law clearly directs the President
to appoint a board of inquiry to de-
termine whether a national emergency
exists. This must be done :immediately
in order to prevent the strike. If this
-board decides that a national emergency
does exist, the President must ask the
courts for an injunction outlawing the
strike and declaring an 80-day moratori-
um during which time the employees and
-employers shall continue to negotiate.
At the end of the 80-day period, the em-
ployees shall take a vote by secret ballot
upon the employers' lase; and final offer:
This is the legal and duly authorized
method of settling national emergency
strikes. The informal and extra-legal
fact-finding committee of George W.
Taylor, Of course, can advi, a the ' Presi-
dent but they cannot replace the law. It
appears that this committee was consti-
tuted for the purpose of evading the
Taft-Hartley procedure. The families
of the workers who will be deprived of
their income deserve more considera-
tion. The defense of our country de-
give their s:oecial attention to reminding
us of the critical situation of the peoples
in their homeland and all the other
nations behind the Iron Curtain, fea-
tured in their monthly bulletin of Sep-
tember 1962 an article describing the
socialistic philosophy of the special as-
sistant to the President, Mr. Arthur
Schlesinger, Jr. They point out the
danger that this type of thinking may
present to the United States.
The ti-le- is-entitled "Dialog," and
is a penetrating analysis of Mr. Schles-
inger's controversial and extreme views,
which I insert into the RECORD at this
point :
MARGINAL NOTES TO OUR DIALOGS
(Dealing with the Schlesinger manifesto)
To complete the picture of today's "Dia-
logs" it is necessary to make known that
Mr. Henry J. Taylor, Scripps-Howard col-
umnist, sent this year to Mr. Schlesinger a
letter, asking whether the professor still be-
lieved what he wrote in 1947. Taylor knew
that many men, who, in their youth, were
bearers of various ideas, often acquired wis-
dom throug'a the ages. It turned out that
Mr. Schlesinger was not one of them. His
answer read as follows: "I neither withdraw
nor apologize."
If Mr. Schlesinger were a mere Harvard
University professor, conclusions to his ideas
would not lie perhaps necessary. However,
the fact that Mr. Schlesinger is at present
the special assistant to the President, and
as such, one of his principal advisers, can
hardly be overlooked.
By his ideas, Mr. Schlesinger is openly
manifesting that he has dedicated himself
to the task of promoting socialism in the
United Stares of America. It is needless
to deny that his deductions have been pre-
sented in a very attractive form and that
he has endeavored to emphasize parliamen-
tary procedure and to preserve liberties as
well. However, speaking "en passant," there
is in the Soviet Union, as well as in the
United States of America, a formal parlia-
mentary procedure; nevertheless, theydo not
enjoy liberties known to the Christian world.
But even so, many will find Mr. Schlesinger's
manifesto in theory quite attractive.
It is by r.o means necessary to amply dis-
cuss the pros and cons of socialism.
Generally speaking, its good points exist in
theory only, whereas the practice clearly
reveals the shortcomings. Existing results
of the buildup of the Union of Soviet So-
cialist Republics could hardly establish a
bright example to be followed. It makes no
difference if a Socialist buildup is achieved
by brutality,and-guns or by deceit and guile.
Professor Schlesinger does not differ with
Marx and Lenin in aim, but in procedure and
- Whether the President will invoke the tactlces solely. To.prevent the arrival of a
Taft-Hartley provisions is clearly up', to 'sudden and tough Marxism, he is recom-
the acceptance of a gentle and
endin
g
him, but it appears that a devastating m
gradual one.
strike which could throw many thou- For that purpose, and in order to achieve
sands of people out of work and serious the subjugation of the American Nation's
ly delay our defense arid space effort is mind, he and his ideological associates will
the alternative. I think the proper have to use every adioit verbal acrobacy, dis-
course is crystal clear and. I hope the lectical subtleties, humanitarian and melo-
-President takes it. dramatic appeals and theoretical and semi-
truths-if you want to catch a bird, you
DIALOG
(Mr. iDERWINSKI (at the request of
Mr. MILLIKEN) was granted permission to
-extend his remarks in the body of the
RECORD and to include extraneous mat-
ter.) -
Mr. DERWINSKI. Mr, Speaker, the
Alliance of Czechoslovak Exiles in Chi-
cago, a group of dedicated citizens who
'have to lure It., He knows very well that to
influence people you do not ask them to
think, but rather, you plant thoughts in
their minds.
Preserving liberties under a Socialist build-
up is nothing but mere utopia. This fact
has been indirectly admitted by the professor
himself through his diction; liberties "could
be," instead of "would be," preserved. Of
course, if what the professor means by liberty
exists at-present in the Soviet Union and in
the satellite countries, then his deduction
September 19
is absolutely correct. Do not "liberties" also
exist there, and, do they not enjoy "the new
and real expression of democracy"?
In spite of all theoretical assurances, we
do not share the opinion of easily persuading
anyone that socialism (i.e., the ownership
by the State of all significant means of pro-
duction) would not bring a tremendous in-
crease of power to a centralized government.
Thus, President Woodrow Wilson said in 1912
in New York: "The history of liberty is a his-
tory of the limitation of governmental
power. When we resist the concentration of
power, we are resisting the powers of death,
because concentration of power is what
always precedes the destruction of human
liberties."
In the eastern part of the world we are
witnessing today the existence of a mono-
lithic state organization, which by its nat-
ural character makes an individual become
a manipulatory unit, suppresses his Initia-
tive and personal responsibilities, and gov-
erns by merciless oligarchy and by awkward
bureaucracy.
The basic problem facing the United States
of America today is to find the means to pro-
tect individual freedom, action and responsi-
bility without slowing down those processes
and techniques which a modern industrial
society must employ if it is to develop.
Taking into consideration the experience and
outcome of socialism up to date, it can be
fairly said that Schlesinger's "Alice in Won-
derland" barely constitutes an answer.
Certain intellectual circles in the United
States of America have strong leftist lean-
ings. It makes no difference if it is an acci-
dent of history or a carefully laid plan. It
remains a reality that this course has im-
portant backing in very high and Influential
places. A group of these intellectuals
decided that in order to rdefinitely save
America from the inevitable adoption of
either fascism or communism, there had to
be some changes made. These changes then
should unequivocally be based on certain
selected aspects of Marxism, which, in their
opinion, would enrich and stabilize Amer-
ican democracy.
While the American Nation is guarding
the front door of its national home against
communism, the back door remains open.
Its new and cunning enemy is shrewdly
avoiding the odious name of communism
and slips into favor through a "sheep's gar-
ment" of different nomenclature. One time
it is called "welfarism," "New Dealism,"
"State monopoly capitalism," "centralized
government," or "democratic socialism."
The common denominator with Marxism re-
mains the same. The aim is identical,
whereas the methods are different. It is of
little or no significance if the planned sub-
jugation would be performed through the
"iron chains of communism" or by the
"silken threads of socialism."
To bring their "new religion" to victory,
Socialists have to endeavor to create a_ gen-
eral state of mind, in which belief in God
should be considered to be an abnormality
and a symptom of social disease. It is mat-
ter of no coincidence that Professor Schles-
inger blames the worker for his belief in
religion.
In conclusion, it is to be stated that con-
temporary society certainly cannot live by
a law of the wilderness wherein only the
stronger can survive. It does not mean,
however, that the desired social justice
should be brought by a reactionary and, in
practice,. failing system, which is the best
method to enslave mankind. There are, in
spite of that, still many enthusiastic
prophets of socialism. With them, disagree-
ing is honestly possible. It seems, however,
that in contradistinction we could also find
those individuals and groups driven solely
by "glorlae et -potestatis sacra fames"-"the
cursed desire for glory and power." They
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