Winnipeg Free Press

Winnipeg Free Press (Newspaper) - May 25, 1950, Winnipeg, Manitoba Freedom of Liberty of religion Equality of civil rights Winnipeg. Free press printed ind published by the Winnipeg press company 300 car too Street Winnipeg. Manitoba. Authorized at second class matter by Post Jilce department Ottawa. Victor Sifton. Publisher. Lord general manager. Grant Dexter. Ell Tor. Bruch Hutchison associate editor. Winnipeg thursday May 25, 1950 military Exchange in these Days when individual items of military equip ment Cost hundreds of thousands of dollars the Deal announced in Ottawa whereby Canada and the United states will buy and million Worth of arms from each other annually May not seem of great moment. But it is in fact the most important piece of defence news announced in years. Ever since the War the Canadian govern ment has sought to find a formula whereby this country could buy arms in the United states without adding to the already of the Dollar deficit. In part the problem was met by manufacturing in Canada under License. But this As every one realised is hopelessly uneconomic since the size of any Canadian order must be Small yet the whole machinery of production capable of fulfilling a far larger de Mand must be set in motion. What has Long been sought was some agreement whereby Canada could manufacture such military articles As her Industry was Best fitted for not. Only for herself but for the United states and use the Money so earned to make Pur chases across the Border. But such a scheme has until the present announcement run directly counter to the buy Ameri can legislation. As Long As a source of Supply existed within the United states the . Defence forces Are bound by Law to buy in that country now a loophole has been discovered. A clause in the legislation provides that the . Forces can buy outside the United states if it is in the Public interest of that country to do so. It has been decided that such an Exchange with Canada fits the clause. Thus a partial return has been made to the Hyde Park agreement of 1941 under which both nations coordinated their Industry filled contracts for each and their allies and divided their Industrial capacity to avoid duplication and overlapping. Under this agreement signed by president Roose velt and prime minister Mackenzie King it was agreed As a general principle that in mobilizing the resources of this continent each country should v provide the other with the defence articles which it is Best Able to produce and above All produce quickly and that production programmes should be coordinated to this the present International situation has revived the need for such an agreement. Without it this country cannot play her full part in the North Atlantic pact. Our resources great As they Are cannot meet the military requirements which Are inherent in the Alliance. Without some form of Exchange which permits Canada to produce for North America and in return buy from All North America this country will be unable to help itself and its friends As it should. Nor can North America s european allies struggling to overcome the devastation of the last War and at the same time to re equip their forces under the Atlantic pact afford to put such a proportion of their Industry into War equipment As this continent. For them to do so would weaken their internal economies which Are equally a part of their ability to defend themselves. Thus arms must come from this Side of the Atlan tic. Under the arms programme surplus War equipment is being sent from the United states to Western Europe. But the total amount of arms available to the Western allies remains the same whether it is stockpiled on this continent or in Europe. Actual re armament which will be increasingly Neces sary As technical developments pass beyond those of the Sec Ond great War make it imperative that the Industry of North America is coordinated to provide the necessary equipment. For Many months there has been Complete recognition in the defence departments of both countries and in the More enlightened sections of Industry that the most effective results can Only be achieved if there is Complete co ordination on a North american basis of defence planning. The joint . Canadian mobilization planning committee held its first meeting nearly a year ago in Washington. It too is part of the pattern. From its deliberations will come recommendations upon which both governments May act. Gradually the area of such co operation is widening. There is still a Long Way to go but a major stumbling Block has been removed by this month s agreement. The gain will be to both nations and the whole Western Alliance. Has occurred in China in 100 the effectiveness of communist efforts to Cope with the famine May be judged by their nature. They Are transferring some wheat rom inner Mongolia and some Rice from Manchuria but their main measures organizing Vil Ages under the. Slogan productive to collect wild roots and vegetables the single bowl of Rice movement and other austerity directed at rationing misery rather than providing genuine Relief. It is significant that in spite of this extreme distress there has been no word from communist or other sources Aid being provided or even offered by the sos Iet fatherland. Why in restoring insulin pituitary extracts and other important drugs to the Tariff free list the Canadian government has made a sensible Retreat from its pre Vious indefensible position. Under the Tariff changes in this year s budget these drugs were taken off the free list and made subject to a 20 per cent. Duty. Last week however the govern ment brought in a Tariff act amendment moving them Back to the free list. Although it has done the right thing in regard to these and other specifically named drugs the government for some reason that evades Ordinary understanding has still left one of the most import ant groups of All the antibiotics on the duty list. Some time ago the Tariff Board recommended that penicillin streptomycin a neomycin and the other anti biopics be free from duty. But the department National Rev Enue opposed this. When the Bud gel was brought Down it deferred to the wishes of the department removing these substances from the free list pending a thorough investigation and considered re whatever the results of this investigation and they seem to be a closely guarded secret the original budget announcement has been permitted to stand. Last Veek s amendment while Restor no the others to the free list made penicillin and the other antibiotics definitely dutiable. Drugs in this group Are widely used. Some Are cheap but others pending cheaper methods of production Are still costly the government should avoid any step which would increase that Cost but instead of trying to keep the Cost Down the government a. Added sharply to it by imposing Garden scene flood time 0 new alcoholism treatment hopeful approach be of the Best attacks that has been made on the prob pm of alcoholism is the Campaign being waged by alcoholics Anonymous. This organization made up of former alcoholics has approached its problem with sym Pathy and determination and the measure of its Success can be seen in the expanding number of human lives which it has redeemed. Yet the people in . Itself will Tell you that it is not the final answer to the problem. It can and does save Many men and women and their families from lives of wretchedness. But it by no Means saves them All. Even with its effectiveness . Has its failures. So too do All other cures and treatments which operate on the theory that alcoholism is a Dis ease of the mind. New treatment renal and sex glands to release their hormones. If everything is functioning properly these glands pour their chemicals into the blood Stream. These do their part in activating other parts of the body including the heart and the re sult is bodily Well being. But if the pituitary Falls Down on the Job and the other glands remain unstimulated the result is a body ill at ease tense jittery and easily subject to the temporary stimulation Given by alcohol. In or. Smith s studies it was found that there was a consistent pattern of poor functioning on the part of these glands. His answer to this was to administer hormones of the pituitary and adrenal glands including the new anti rheumatic hormones act and cortisone As Well As adrenal cortical extract known As Ace. He record in Saskatchewan r Power colossus. The Lethbridge Herald looking Tver the Alberta Border at the million hungry horse Power dam now being built by the . Department of the Interior on the Flathead River in Montana is re minded of the fabulous Paul Bun Yan and his Blue of by Clearing operations in the Reservoir site. The successful contractor for this work shading his bid lion under his nearest competitor and faced with a Mammoth Job that might lose him his shirt unless he applied plenty of imagination to it came up with a Bun Yan esque wrinkle. This was a big four ton Ball with chains attached on opposite sides of the diameter hitched in turn not to the Blue of but to huge Caterpillar tractor. With the Ball making a v behind the cats the operators move Down the Valley flattening the Trees literally tearing them out by the roots. It is interesting to note that the hungry horse operation Itsel to minor proportions when set into its framework Tola new Power development now under schedule in the Pacific North West area of the . The 5-state Northwest p o w e Pool now has Well Over million horsepower of instilled capacity among its member units to whic1 hungry horse will add another . As units Are install Over the next four years. Gran Coulee dam in the same syster has installed capacity with 5 More 130.000 . Genera tors to go 1957 it is anticipated the Over All system capacity May be increased 50 per cent. Besides new generation by private companies 1 the Pool the Interior department has plans maturing or underway for half a dozen Large new develop ments in the Columbia rive although that Region Alread Hai hundreds of Power Plant Reat and Small the economic brought about by the 20 per cent. Duty. To the Many thousands of canadians whose costs of getting we Are thus increased some explanation is surely in order. Taxes still there for the first time since the Middle War years corporation in come lax in 1950 is expected t displace personal income tax a the largest single source of income for the Federal Treasury. This year the budget estimate new Power in the past ten years Are for million Revenue fron so has been such that the sup y of electric Energy is not nearly keeping Pace with demand. The Region has been subjected to per Idle Brown outs to conserve pow during the past two years. The Northwest Power Nique combination of private and Public Enterprise that has welded together the largest individual Ower system in the As Long since made Paul Bunyan ook like a Piker. China s sorrow the latest news coming from Side China makes it Clear that he famine in the North and Cen ral provinces far from being a Linor affair As claimed by communist sources is the worst this Amine Ridden land has expert med in a Century. Even the communists have admitted that millions of peasants re in urgent need of Relief. The area is much wider than at first reported. The famine has ripped Many provinces South As veil As North of the great Wall including the traditional famine Belt Between the Yangtze and Yel of Rivers and provinces South of the Yangtze such As Hunan i Angs i and Kiangtung. A week ago president1 Truman announced that an attempt would be made to Send . Surplus Grain to the famine stricken area pro Viding it could be distributed under . Supervision. The experience with Nunra Relief supplies going to communist countries has no doubt prompted this proviso the president wants the Grain to go directly to relieve distress not to be put to political uses by communists. He said he did not know whether the Effort would succeed As the communist government was attempting to deny the exist ence of the worst famine which corporation income tax As again million from personal income tax. Last year s figures were and million respect vely. Last year s Revenue fron personal income had already be gun. To show the results of the Ower lax Rale and increased exemptions announced in Marc 1949, but effective from january 1, 1949, having fallen off Mil lion from the previous year. The effect in a full financial year of the reductions will be that much greater As noted above. Attention is drawn to the shifts Over the years in the states authority has come Forward with an entirely new Conception of alcoholism and an entirely new treatment and he is so confident that he is on the right track that he predicts the defeat of chronic alcoholism within five years. The Standard theory about Alco holism has been that it is a psychiatric problem. A Man drinks to excess because he is emotionally and because liquor helps Lim to escape from reality. Bui this theory is sharply disputed by or James j. Smith director of research on alcoholism at new York University Bellevue medical Centre. He says in effect that a r , state enterprises by w. R. C. Leg in a it is rather Aston Ishing that the . Social St state enterprises of Saskatchewan should show year after year record of loss and failure. It is remarkable because the Imes Are so favourable that priv Tely owned enterprises Are hav no More than Normal Success. Yet each year the sad Story in Olds a Story of losses carried by taxpayers of enterprises which ave closed Down after suffering Leavy. Of others continued Espute losses and of a number which show what the . Is the planning Board costs. And a fourth is municipal taxes which Man becomes an alcoholic not be cause of mental maladjustment As to convince him that the treatment of acute alcoholism no longer presents a patients suffering from it As Well As from . S will be brought under control Well within 24 hours by Ace Given by he went on to say that when this regime is followed the patient s craving for alcohol disappears a sense of Well being is induced promptly appetite is restored the nervous ten Sion and disappear the patient becomes Calm and usually sleeps without incidentally or. Smith says that a hangover either in an alcoholic or in any person who has Over indulged in alcohol can be readily abolished by Ace administered attainment in sight. But simply because some of the either by muscle or by vein glands in his body Are not doing their proper Job. Operating on this theory he and those under his direction have de Vised a treatment that has been pleased to Call profit but Linch can be shown because certain important costs Normal to private Enterprise Are not paid by a state industries but by the taxpayers. Unsuccessful when conditions Good it is time surely after five years of this that the . Government did something about it. Must be left out. It is the surplus of made on automobile Accident insurance. Previous years the surplus was retained by the insurance office to build re serves and alternatively it was promised to reduce premiums. These three items add up to and when they Are removed from the Profil figure reported by the ., then the profits of the new socialized industries Are reduced to for the year. The fish Board closed Down in 1949 and the Tannery acid shoe fac tory in 1948. Together they had incurred operating losses 027 and their closing saved the state industries from further losses in the year being considered. Would amount to about on remarkably successful and one the property owned by the slate industries. Together these four items amount to a year. The net profit claimed by the . Government its new slate industries without paying these costs is therefore the so called profit is in fact non existent and there is a real loss of about the of costs which the stale industries do ice pay and which Are paid by the taxpayers Are in effect a sub b at the very least a Public enquiry preferably by a Royal commission should be held to learn Why they Are unsuccessful when conditions Are so favourable. For the fiscal year ending in 1949 the . Government claims a total profit from state enter Prises of that includes the profits from telephones and the Power commission two utilities which have operated Success fully and profitably for some decades and under several govern ments. Telephone profits were and those of the Power commission were the . Includes these two utilities in their annual report on state industries and thereby makes he profit picture look much Bel it even this is not a real profit because the stale industries claiming it did not pay the Normal costs of Industry but those costs must be taken no account by the taxpayer be cause he. Foots the Bill. The first such Normal Cost is interest interest on Saskatchewan s debt averages about 4 per cent. That is what the taxpayer Las to pay Jor the Money the Ter. But the enterprises to be As raised by the Sale of ten year 3 Revenue yields As Between direct assessments represented by per Sonal and corporate income and excess profits taxes and indirect levies largely customs and excise duties and taxes on commodities. In 1928-29, for example the Rev Enue from indirect taxes was Over five times that of direct. By the Middle thirties the ratio Vas considerably lowered and by 1943-44 direct taxes had taken Over the Lead which they have since maintained indirect taxes being Nad Equale to finance huge War time expenditures. But since 1945-46 the margin Between these two classifications has been narrowing again. That year it was millions. In 1949 53 the spread had shrunk to millions and As projected for the coming year it will be Only millions. , total tax Revenue in the same period has not declined proportionately. I government sorrows. Advances to the state industries amount to four per cent of 000 is. The taxpayer has such is the 1949 instalment of the sad Story of Saskatchewan s . State industries. Hat he thinks will provide the Inal answer to the problem. He Lold about his in a paper presented before the recent annual meeting of the medical society of the state of new York. It is de scribed by or. Waldemar Kaempf or. Smith has no doubt As to the Efficacy of his treatment in redeeming an alcoholic and keep ing him sober and feeling Well. But he does not consider this to be a solution to alcoholism. A ays the goal in the treatment of alcoholism must be to devise her apy which will enable the person who is today an alcoholic and who fert science editor of the new today cannot drink to drink Norm York times As the outstanding ally. Although this goal has not paper of the meeting. After studying More than alcoholics or. Smith came to the conclusion that the Rool of the trouble was the poor functioning of the master pituitary gland at. The base of the brain. This gland releases chemicals called hormones which in turn stimulate the and yet been reached work being done at present indicates that its attainment is in sight and i think it will be reached Well within five years if it families and individuals numbered in the millions will owe or. Smith a debt of gratitude that can never he paid. Cold War strategy w Estern thinking on the strategy and economics of the cold War is still based or. Two postulates one already mentioned that Europe must make its own plans and America will supplement the Effort the other thai each a Ion mus contribute what it can to the general defence of the West without risking the Prosperity and stability of its own Economy. The mental revolution needed now is that the Powers should cease to ask themselves what military and economic re from the London economist solid foundation full strategic and economic partnership. Such a concept is inevitably beset with difficulties. Although the fix ing of a percentage of the National income ensures a general Equality Effort it does not follow that the local Effort will always be appropriate or that excessively difficult adjustments of National pol icy can be altogether avoided. For instance much european thinking to pay that for the Money ad-Jj-0 War Ancl ask instead Vance to the industries. Sources they can afford to devoted in the pooling of Effort conceives sinking fund costs what scale of Effort is essential to its successful prosecution. When the order of magnitude is roughly established and agreed a second Cost not paid by can go on to examine How flu series is sinking fund. Of the the Burden can Best be distributed of it in terms of an even larger contribution from the United states. Yet the United states is already spending some 7 per cent of its National income on defence and perhaps 3 per cent upon for industries is sinking fund. Of the invested was messed Are those state industries started in the first Rosy period of socialist enthusiasm which were intended to make profits enough to pay for social services. To gel the Correct picture these two Long standing utilities must be left out. This year a further Small sum per cent Bonds for which a sink ing fund was promised. The sink ing fund annual charge would be but no such payment is reported by any Industry or by All the industries together. A third Cost not paid by the industries is a year which the dead and the River he dead lie so quietly there. The living even in their hurried among the various partners. If on i a sober military estimate the effective defence of Europe requires some thirty divisions there is Little Point in the Western allies discovering that they cannot safely afford More than ten. Equally in the United states a military budget geared Only to America s capacity to pay May not have much bearing on the great reassurance How Many european nations could gladly and easily accept the raising of their War contribution to ten per cent of their National income the knowledge that the american Effort would not fall much below billion would be a tremendous reassurance to the rest of the free world leases from the Sterling balances o asian dominions should be counted As a cold War contrib nor is the United states it self immune from these difficulties. There is some reason to suppose that the military contribution of the United states although it May pass the test of the percentage of National income is by no Means adjusted to the policy of effectively pooling Western military re sources. In the last week a group of eminent american academic leaders have publicly questioned the Basic strategic thinking of the United states government. They criticise its Over Reliance upon the atom bomb and upon Long Range strategic bombing and argue instead that ground forces tactical air Force for the close support of troops on the ground and a concerted Effort to overcome the menace of the submarine can contribute far More to the effective defence of Europe and the prevention of general War than can Reliance upon a single instrument of mass destruction. Yet there is a sense of wait to and fro even in their for the new Atlantic Tributino wow Aiso i. Of i. J v i i i till Vin 1 to of a _ he Over St John s and Kildonan. Break have not forgotten the dead. Council might Well be the in by b there is the sandbagged Corner ing up of common defence Esti old old stones. They have known Eyen Whin today s scripture As we have therefore Opportunity let us do Good unto All men especially unto them who Are of the household of Faith. Galatians birthdays lord Beaverbrook London England born Maple ont May 25, 1879. This before. The River their River those sunlit hours they knew and whose Long while silence had lain its Finger on their lips. Known it too when the Moonlight shone and the shadows crept to the Bor Dering Trees tangling in their branches. Their s the knowledge of its rising stealing on cats feet up the Bank up up running on Tiger paws into homesteads ruining As t went. So the River is up again and inexorably claiming what Are its own those old Beds those olt courses asserting its rights fiercely contending for them. The dead lie quiet. Let the River run. It will grow tired at last. It Wil Settle Back leaving Little licks of leaving stretches of ooze leaving a dumb stunned wonder Vith the living that will be with them until they too share the Wisdom of the dead. Handbags carefully Ime pressed sandbags forming a. Rampart for Hie dead. What about those country grave Ards where the water lies deep Blile Raling Al testimony Grey in to anonymity these dead lie a needing. They of have known the River have followed it when youth and Hope carried their canoes upon its breast. Courage found place in these crafts. The living carried that courage with them when they left the waste of creeping surging Waters behind them. Back will go the River tired of its fury. The lands will lie Green about As though they had never tasted defeat. Back will go the living and their dead will be wait ing for them. Waiting telling them the Story of. and tenacity. Telling them that now the River gods land is m. H. But it would entail corresponding Only really crucial Issue Wyeth r e or not enough is being done to win the cold War. The first task composition of the con still determined. It is Foi after months of France has sue similarly in the related sphere of economic Aid there is still no joint machinery for determining what May or May not be necessary in say the next economic Aid pressure Only that strategic issues needed in persuading the United Stales to accept the local struggle indo China As part the ism the French Are now to draw on the unspent balance of Ameri can Aid voted for China. Similar five years. If the Western Powers difficulties might arise if Britain would co ordinate their estimates and statistics they could then at empt to match them by a genuine pooling of. Their joint resources. Detailed comparisons of performance Are so complicated and invidious that probably the Best available yardstick of each individual nation s Effort would be a percentage of its National in come. This method of distributing a common Burden equitably has been used with Success before Anc the creation of a common cold War fund would not Only provide a valuable successor to the mar shall plan but would give it the such strategic issues As these would not be settled by the Mera setting up of a joint cold War it would be a first a first gesture towards the concept of co operation and pooled sovereignty. More far reaching and More painful sacrifices would still lie beyond. It is for this reason that t he London talks cannot achieve in orld wide resistance to common mediate and sensational results. It s True that the inexorable pres ure of communist expansion is driving the nations of the nto closer and closer co operation it the More nearly they approach he Point at which a genuine Sac Rifice of sovereignty is necessary instance the changing at a whole strategic concept in to suit the vital interests of other More painful and difficult the process must seem. But at least a Start can be made to wards the new concepts of pooled Effort and joint strategy for it is an illusion to think that the free nations still have the luxury of Choice. In isolation they will lose the cold War in Unity they., can still win it. These and nothing less Are the stake. To put Forward the not Alto Ether unreasonable View that re from the Golden books from the ode on Vici etude by Thomas Gray now the Golden morn aloft Waves her Dew be spangled Wing with Vermeil Cheek and Whis per soft she woos the tardy Spring till april starts and Calls around the sleeping fragrance from the ground and lightly o or the living scene scatters his freshest tenderest Green ;