MAY 28, 19948 AFW HITNEY, 1370 Ontario Street, Cleveland, Ohio, MR WHITNEY · I am enclosing a copy of the joint economie report, which •h the altitude of the Cotigress concerning the Feonomie Report of the This action is necessary pursuant to the full employment bul. It has fility of becoming a document of basic importatice in our national life, ze goes on increasingly the President s béonetale. Report and the Joint Kennet will become the form i'ation of our bat or al economi le poliov. x"! note that a substantial wection of the report is given over to minority h. ch were formulated for Senators Myers and Sparkman, and CongressHart, l'atman, and iiüber, by the minority ranking member, Senator Joseph members of the institute are most pleased to have been asked to y review the staff work of the joint comn ittee and render assistatice in ulation of the minority report. Cordially yours, DEWEY ANDERSon, Executive Director JULY 13, 1948 Mr EMIL MAIET, Secretary Treasurer, United Auto Workers, C10, 411 Muiscaukee Avenue, Detroit, Mich Iwan Mr Mazvy · I am most pleased to receive your letter of Ju y * together h's et dusre of the $2000 contribution to the work of the Puble Afairs May I extend to you, and through you to the UAW CIO, my thanks for this response and my assurance that it wi ́, be carefully budgeted and used Tudate eight contributions have been received from internatio txis of the API, ༄༞ཟེ་ Cited Mine Workers Unen at 1 in dependent un es, i ta ng $1,000, ng ** g^. «r with the sum tide avai ale 5, the affirmed by ^?« Br«l«r» bost of Ruroad Trainmen, prov desin bu get of $imo with which to carry *? research program Other unions are expected to make cotit bot 2. Five been delayed becstase of meet 1 gym bol ved at ster dies On the fte funds in hard and expetel, a m. c'est le 1* «ff ive program of We wi! confit ne to work with the members of the relocalty on the want.) fog Mr. DOYLE. Dr. Anderson, may I ask this question: Suppose y were sufficiently staffed, you are not now, and a Member of Cong asked you to give a briefing on both sides of the Taft-Hartley or any other bill; would you do it? Mr. ANDERSON. Yes, sir. This particular document in question a going to set forth, the report by Dr. Emily Brown, for the first t so far as I know, a pro and con, in two columns. Mr. DOYLE. Do you make that a common practice on request! Mr. ANDERSON. Yes. We would be happy to serve Members ci the Congress in all fields in which we have competence. Mr. BROWN. I want you to be very careful, because this committee may ask you to draw a perfect lobby law. Mr. ANDERSON. You mean, draft a model law? Mr. BROWN. A perfect law. Mr. ANDERSON. As a matter of fact Mr. O'HARA. Without the word lobby in it. Mr. BROWN. Yes; without stepping on anybody's toes, of course. The CHAIRMAN. Moving along Mr. HALLECK. Might I inquire, Mr. Chairman, about one other thing, before you get into that? It bears on this. The CHAIRMAN. Yes. Mr. HALLECK. In this program that you put out, Mr. Anderson, you head it, "An Institute With a View." (See p. 72.) That means doesn't it, that you have an institute with certain views on certain problems? Mr. ANDERSON. Yes. Mr. HALLECK. You go on to say, "it meets the need for leadership of thought; it has a liberal fact-finding, idea-creating group of experts." What do you mean, "idea-creating group of experts"? Mr. ANDERSON. The example is well taken. In my statement, I give an example. Mr. HALLECK. Would you mean, by any chance, by that term, that they would create ideas in the minds of the Members of Congress who might solicit your view? Mr. ANDERSON. That is the exact interpretation. And the point I have in mind is illustrated by the green pamphlet in which the author came up with a resources conversation corps, an idea for financing the woodlots of this country. The idea is completely new and very startling and had much acceptance. Mr. HALLECK. I have just looked at your book here, and I must say, while there are certain analyses contained that couldn't cause any question, I think, quite clearly, it is not friendly to the TaftHartley Act. However, in this purpose and program on page 3, you say that the presence in Washington of this staff leads to numerous contacts with the agencies of Government and other organizations wherein the institute is able to be of professional assistance and influ ence in the solution of current problems. Do you have different folks in the department downtown who meet occasionally with you, Mr. Anderson? Mr. ANDERSON. You mean, individually? Mr. HALLECK. Yes. Mr. ANDERSON. Yes. You must recall, Mr. Halleck, that I was in Government for several years. I Mr. HAPOK. I understand; but in your work now as a director of ute, do you frequently see, for example, Mr. Davidson, of ...or Department f M- ANDERSON. Not frequently. Very infrequently. Mr. HALK. Mr. Corbin Edwards! Mr. ANDERSON. I saw him. He used to be a staff men ber of mine. ver.`t wen Corbin Edwards to discuss any matter. We happen to to the Co-op Forum, which some of you people attend to speak, I him occasionally there. But I haven't seen him to discuss 2 in some time. Hatarok. Do you see Mr. Louis Bean now and then! Mr. ANDELS N. Lous Bean and I have known each other for many We have worked on the subject of steel capacity and its use ve the days in the Senate Small Business Committee when I Aup the ir vest gat on of the scarcity of steel. Mr. Harok. Is he the man who is popularly credited with the on that we ought to put the Federal Government into the of prodaorg stee'! ANDERSON, He is the man who said that there ought to be a play with respect to the steel capacity of this country. Mr Han. I notice that one of those studies that you propo ed to do with a national polyy on alumarum. Would that involve alleged tontopol the practices of the Aluminum Corp ད Antrison. If you krew r. e. Mr. Hallock, you would know that g the first in the INEC to carry on a rather substant al of the structure and practices of the alumat.om industry of ༄ཝ་ རཎྜཝ ༈ ༞ ", We carried on, through the Serate Small Busities tve, a set es of heat age on the dunerum n du try, part of the f which was the fact that at the pre end mot ett we have a vet rive alumet um ndustry. I would I ke noting better rigt in yew of what seems to be in prospect arour i the world, th, in e the fade tide ava like to me to hre a staff of con e to come up with a poi cy with re pect to l gat nea's verately need a poi cy now with ry pect to a j A of 1 s. ty Thik of magnesium and its popori ince, f. that we have practically ro reap him the fel M.Hank. I p. t wait to say, Mr C) at it is not et te al at all of the I t.tate of Pu Ansern-best it is quite apparent to me, from the read 1 g of the its or Mr. great otseselt out by Mr. Whitney, and from the observations Iversie of the work of the institute, that while ur doubt. lly at ray we ibe sa di ti at they render a---tat ce here and there on, i fferent things in their own language they are dedicated to certain programs and to' ces that they have been aften ptg to espone, and, of co 19, at respect they are no different from may offer organ, zat ots that are carrying on a 1 ke activity, Tev, like an organ..zation We had in just the other day, say that a Member of Congress does not have a place to go to to really find out what is in the publ e interest, I take it that would be di trgu led from sottie personi, seek 1g to promote a wifi h interest, but, on the other hand, I think you would be fair enough to say that some of these people who promote interes different from yours may be just as sure that their position is in the public interest than you would be that your position is? Mr. ANDERSON. That is right. Mr. HALLECK. We are interested only in determining just how thes promotions or propaganda campaigns, or lobbying activities, are car ried on, and are trying to get the whole picture with a view to trying to do something about the current situation. Mr. ANDERSON. That is the beauty and the precious substance of democracy. The CHAIRMAN. At this point I would like to incorporate in the record a document entitled "The Council's Economic Report (a Brid Analysis and Criticism)," statement of Dewey Anderson, executive director of the Public Affairs Institute (filed pursuant to the request of the chairman of the Joint Committee on the Economic Repor Senator Joseph C. O'Mahoney, in lieu of an appearance on the panel of economic experts before the committee on January 19, 1950), to show that they do not agree entirely with all so-called administration policies. (The document above referred to is as follows:) THE COUNCIL'S ECONOMIC REPORT A BRIEF ANALYSIS AND CRITICISM (Statement of Dewey Anderson, executive director of the Public Affairs Institute) The committee has asked my comments on the economic report of the Preșident and the annual economic review of the Council of Economic Advisers. I appreciate this opportunity, for I know how important are the findings of the committee, and how much weight they carry both with the Congress and the American people. The economic report of the President is contained in 15 pages, followed by a page setting forth 12 legislative recommendations which, in his judgmeLL should be enacted by the Congress to insure economic stability and continuous growth, and to provide Government assistance to regions and people. This brief report must be judged, as intended, as a political-economic statement. It seeks to generalize the economic situation, which it does with commendable brevity and understanding. All 12 legislative recommendations seem to me as a private citizen concerned with the welfare of all our people to be highly desirable. Some of them have a direct bearing on the economic stability and growth of the economy. It is the Council's report, covering 100 pages of text and 67 pages of technical appendixes to which as a member of this panel of experts I wish to address my remarks. We have a right to expect the Council's report to embody an adequate assembly and interpretation of economic data. The President, who must rely upon this Council's work for his own guidance and that of the Nation, has the right to expect that its report presents in understandable and unequivocal terms the soundest judgment possible in this complex field of economics. It is in such terms that I propose to make a brief examination and appraisal of the Council's report. THE COUNCIL'S APPRAISAL OF THE ECONOMIC SITUATION This report is an extremely difficult one to evaluate, because of the wide range of its subject matter. One has to seek the "tenor" of its remarks, the "overriding" expression, the "controlling" point of view. In doing so, he is apt to have some other section of the report quoted back at him as carrying another connotation allowing quite different conclusions. The dominant tone of the report seems to be optimistic, both about the way in which we rode through the incipient depression of 1949, and the prospects for continued high levels of prosperity in 1950, with the further prospect that if we all pull together we can achieve such economic stability and growth as will give us a $300,000,000,000 gross national product by 1954. wrshe to the fine feelings and the hopes of the optimists in the Council, puma barjeralo y disturbed by my realag of the eccon la e fatta of life in Vaars hatar hojem. I am wondering if kit facts warrant alɔ min li de night Sabit is not rained canarily, for the il caliotis of unwarranted op'l« བས་ནས་ལས་kkiate RO Ha; &iot la sat taosa sakakav!v€ %vwa"Let bts as troubie me and offer ou tarda sin lo that wind oats, le of the •s is that of promoting large gibera ital - ns of a qualitative chatatler W. s a charge tot to be dismissed as a quarrel between even at is what I be teve has happ»n vi in this instatem Let the i, jerite by sł W w the use of qua ta' ve ata yuin Wot d have brought the t 18 ་ 1 " ༄་ྋzo*ra*c fhe" hsv *, u* { འ་ ིིམ་ཞི <my in 1949, wojcu cast grave doubts on the almly to a lieve @ 54 goa 8. 'e proper to measure the year end 14% at 147 changes elousve of the 1. Verne't contribution If we ad ust for the increase În G- vertiturta! pure aus of g œls and services དབྲང་བྱའིམ་རོ་ནས་སླར་སྡེར་ ལ པའི་ སྙམ་ སྙ can gངས་པའི་ À measure of the extent of the dee te 11. tle planova' prost, ↑ n if gisali at. 1 wice el mervi vs is afforded in the appetal x - f the report tabel 14 1 g 162 Ttale in which the data are a stud firmant Val ༄l - Wཨ 'ཊྛིཊྛི jh wral outp it of non grataral gasta #the moondi hafif 1+4) averaged s report below the thar 1948 er og and cre than » p» rovnt below the admitted startly @Gʻta 'ed level of the first half of 194 Jimination of the ecr je to tw of tonig en tur dl prody tin of goods sh- wa Matindustrial production in the second Sef of 1945 averaged over 11 percent w the withdar 1968 period and ačnost 7 pervnt below the "inc pient depresfirst half of 1949 The output of electric and gas ut ́t es wis approx mately the same in the second half of 1949 as in the after hif of 1948 but it contrast to the 1948 Rovement had fallen between the first and second half of 15+41 |