SATURDAY, FEBRUARY 7, 1953
Ike
Price
Cigarette,
Gas Prices
May Rise
. WASHINGTON, Feb. 6 (A P)
Eisenhower went
a long way today toward re
storing the nation to-a free
wheeling economy.
Kipping aside the contro
versial controls system set up
during the Truman" adminis
tration,_ Eisenhower issued
two-fold executive orders:
1. Abolishing all federal con
trols over wages and salaries—
thus clearing the way for quick
pay boosts for perhaps a million
workers. .
!. 2. Junking price curbs on thou
sands of items, including all meat,
clothing, . furniture, . restaurant
meals, bar and- tavern drinks.
Both orders are effective imme
diately. .
Merely 'Opening Shots'
New automobiles and used cars
made since 1946 remained under
price lids, but these and all other
curbs face 'sudden-death orders-
in the immediate future.
The White House emphasized
that today’s decontrol orders were
merely the opening shots in a bar
rage “under which all prices will
be decontrolled.”
Under the law, Eisenhower still
retains authority to reimpose
both wage and price controls un
til they legally expire on April
30. He could do that in the event
of any sudden wild inflationary
-repercussions.
Decision Brings Applause
The President specifically omit
ted asking Congress for any stand
by authority to clamp down con
trols after April 30, howeyer. j
The President’s orders, an
nounced soon after'he emerged
from a two-hour session with his
Cabinet, stirred widespread ap
plause and some misgivings. ‘
Advocates of a free-market
economy hailed the action Vas
marking a return to the free en
terprise system of supply-versu?-
demand. Spokesmen for retailers
- foresaw no over-all rise in the
cbst of living.
Higher Prices Seen
On the other side, some offi
cials and economists expressed be
lief that some, prices . would rise,
at a cost of 500 million to a bil
lion dollars to American consum
ers'in the next three to six months.
These officials forecast higher
prices for gasoline, cigarettes, beer
and bread among dayrto-day items
in the-family budget. They noted
' that cigarette manufacturers al
ready said publicly they planned
to raise prices by 1 to 2 cents a
pack as soon as price lids are
lifted.
Jelke Demands
Open Hearing
NEW YORK, Feb. 6 . (TP) A
General Sessions judge ' today
threatened a news blackout of
Pat Ward’s lead-off testimony at
cafe society’s big vice
'testimony loaded with the names
of.playboys who bought h'er love.
The threat brought a. storm of
protests from newspapers. The de
fense. also demanded an ,open
hearing.
“It’s my constitutional right to
have you there —we want you
there,” reporters were told by
Mlhot Mickey Jelke, Oleomargar
ine'heir, on trial for allegedly, re
cruiting prostitutes for their in
come. '
Miss Ward’s attorney, J. Roland
Scala, argued, however, that to
expose the shapely red-haired call
girl's l testimony to the public
would wreck her life at the tender
age of 19.
■ Jelke’s trial on charges of com
pUlsory prostitution—jumping the
stgte.;calls it—and living off the
earnings'of- a' prostitute is New
York’s most sensational trial in
years. .
Scraps Wage Curbs;
Controls Doomed
Dulles Pledges Aid
• THE HAGUE, Feb. 6
retary of State Dulles flew to
floodrravaged Holland today and
immediately . began laying the
basis for an extra American aid
program to enable this country
to pull its oar on the Western
Europe’s defense, team.
Dulles wants that team to be
showing real progress by an April
deadline.
But a North Sea flood has dam
aged the, economy of Holland and
Belgium, two members of the pro
jected six-nation European army,
and created havoc in Britain,
which is co-operating with the
group.
'Siiuation Terrible'
By action of President Eisen
hower’s Cabinet in Washington,
Dulles and his traveling mate,
Mutual Security Director Harold
Stassen, already had been made
members of a special Cabinet
committee to survey the facts and
make recommendations for assist
ance in the three countries.
They flew over part of the flood-
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need Jiugtes
in this ad. g ' f every one
THE DAILY COLLEGIAN. STATE COLLEGE. PENNSYLVANIA
ed area enroute from West Ger
many. Dulles’ first words on ar
rival were that the situation was
terrible.'
After a 20-minute audience with
Queen Juliana at The Hague, the
American officials sketched the
first outline of aid plans in after-
NEW YORK. Feb. 6 (JF)
Money p'ouied Holland
Flood Relief, Inc., offices at 74
Wall street today "too fast to
be counted."
Single contributions ranged
as high as $15,000.
noon conferences with Premier
Willem Drees, Foreign Minister
Johannes Beyen and Joseph Luns,
foreign minister without port
folio.
Fourth of Nation Flooded
Only last month-the Dutch had
announced the recovery of such
economic strength that they could
renounce further direct U.S. eco
nomic aid this year.
Disaster striking from the North
product of
am
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sg^§gsggsi
to Dutch.
Sea obviously had drastically al
tered that optimistic forecast. A
fourth of the nation’s arable lands
are flooded by salt water and
probably ruined for crop produc
tion at least until 1954. Losses to
property and crops and the colos
sal cost of repairing the country’s
torn dike system are estimated by
some, authprities at a billion dol
lars.
Dulles’ first concern obviously
was the impact of the flood on
European defense planning. The
Netherlands is one of the key
members of the projected Euro
pean army pact, which has en
countered a series.of roadblocks
on the path to ratification in
France and West Germany.
Flood Retards Defense Plans
Holland’s contribution pledged
to NATO defense programs this
year and next is roughly, equiva
lent to the estimated flood dam
age, one billion dollars. The 500
million dollars she pledged to
spend this year is about 32 per
cent of her national budget.
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Hollanders Start
Reconstruction
As Floods Recede
AMSTERDAM, Feb. 6 (S’) — A
vast labor force, Dutch and for
eign, swung today into the critical
third phase of Holland’s battle
against North Sea floods, the ap
proach to reconstruction.
With life saving and evacuation
just abo,ut over, the workers con
centrated on two main aims.
These were strengthening dam
aged dikes still holding back mil
lions of tons of salt water and
burning the rotting carcasses of
thousands of. drowned cattle:
Prospects of a helping hand
from the United States govern
ment in reconstruction pleased
Holland, which faces a billion
dollar damage bill, and two sis
ter kingdoms hit by storms and
floods, Britain and Belgium.
The three-nation death toll
mounted to 1941. Belgium counts
23 dead, Britain 546 and Holland
1372.
Despite the immensity of the
reclamation problems facing the
Dutch, Waterways Director Au
gust G. Maris said Holland will
never yield an inch of her inun
dated territory to the sea.
The 1800 men of the 39th En
gineer Construction Group, sent
into Holland from Dettlingen,
Germany, are using Bailey bridges
as the base for fixing the longer
gaps torn in the storm that struck
last Saturday.
t‘n your mouth*
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PAGE THREE