1955 CONGRESSIONAL RECORD- HOUSE 191 oath of office to Mr. RADWAN, form pre­ SELECTION OF MAJORITY WHIP HOUSE OF REPRESENTATIVES scribed by section 1757 of the Revised Stat­ utes of the United States, being the form Mr. McCORMACK. Mr. Speaker, I MoNDAY, JANUARY 10, 1955 of oath administered to Members of the desire to make an announcement. House of Representatives, to which Mr. RAD­ Those Members who served in the 83d The House met at 12 o'clock noon. WAN subscribed. and past Congresses know that the dis­ Dr. Frank F. Warren, president of I have the honor to be, tinguished gentleman from Tennessee, Yours respectfully, Mr. PRIEST, has been the Democratic Whitworth College, Spokane, Wash., of­ EDWARD A. RATH, fered the following prayer: whip. County Clerk, Erie County, N. Y. Mr. PRIEST now assumes the very re­ Eternal God our Father, in the spirit Mr. REED of New York. Mr. Speaker, sponsible position of chairman of the of reverence we would come into Thy I offer a resolution economic strength own domestic economy and help assure .tion of the tariff structure was taken by among our allies is essential to our secu­ a rising standard of living among our .the Congress last year with the passage rity; (2) economic .growth in under­ people by opening new markets for our of the Customs Simplification Act which developed areas is necessary to lessen farms and factories and mines. directs the· Tariff Commission to study international instability growing out of The program that I am here recom­ the difficulties of commodity classifica­ tion of imports. The interim report of the vulnerability of such areas to Com ~ mending is moderate, gradual, and re• munist penetration and subversion; anQ. ciprocal: Radical or sudden tariff re­ the Tariff Commission to be made by next <3> an increasing volume of world pro .. ductions would not be to the interest of March 15 should help enable the Con­ duction and trade will help assure our the United States and would not accom­ gress to determine whether further leg­ own economic growth and a rising stand­ plish the goal we seek. A moderate pro­ islative steps should then be taken or ard of living among our own people. gram, however, can add immeasurably to should await submission of the final re- port. · In the worldwide struggle between the the security and well-being of the United forces of freedom and those of cdmmu­ .states and the rest of the free world. The uncertainties and confusion aris­ nism, we have wisely recognized that the TRADE AGREEMENT AUTHORITY .ing from the complex system of valua­ security of each nation in the free world I request a 3-year extension of Pres­ tion on imported articles cause unwar­ is dependent upon the security of- all idential authority to negotiate ·tariff ranted delays in the determination of other nations in the free world . .The reductions with other nations on a grad­ customs duties. I urge the Congnss measure of that security in turn is de­ ual, selective, and reciprocal basis. to give favorable consideration to leg­ pendent upon the economic strength· of This authority would permit negotia­ isl~tion for remedying this situation. all free nations, for without economic tions for reductions in those barriers The improvement of customs admin­ strength they cannot support the mili~ that now limit the markets for our goods istration requires continuous effort as tary establishments that are necessary throughout the world. I shall ask all the Congress recognized by enacting' the to deter Communist armed aggressioa nation~ with whom we trade to take sim­ Customs Simplification Acts of 1953 and Economic strength is indispensable, as ilar steps in their relations with each 1~54. The Treasury Departm ~ ! nt in its well, in securing themselves against in­ other. . annual report to the Congress will re­ ternal Communist subversion. · The 3-year extension of the Trade view. the remaining reasons for delay or For every country in the free world .Agreements Act should authorize sub­ difficulty in processing imported articles economic strength is dependen';; upon ject t~ the present peril and ~scape through customs and will propose still high levels of economic activity inter-:o clause provisions: · ·further technical amendments to sim:. nally and high levels of international · 1. Reduction, through multilateral plify customs procedures. t~ade. No nation can be economically and reciprocal negotiations, of tariff UNITED STATES INVESTM-ENT ABROAD self-sufficient. Nations must buy from rates on selected commodities by not · The whole free world needs capital; other nations, and in order to pay for more than 5 percent per year for 3 years; Amer1ca is its largest source. In that what they buy they must sell. It is es­ 2. Reduction, through multilateral light, the flow of capital abroad from our sential for the security of the United and reciprocal negotiations, of any tariff ' country must be stimulated and in such 1955 CONGRESSIONAL RECORD- HOUSE 193 a manner that it results in investment United States participation in techni-· volume of world trade and investment. largely by individuals or private enter­ cal cooperation programs should be car­ The achievement of convertibility has prises rather than by Government. ried forward. These programs should be not been possible in the postwar period An increased flow of United States pri­ concerned with know-how rather than due to dislocations caused by the war, vate investment funds abroad, especially large funds. In my budget message next inflation, and other domestic economic to the underdeveloped areas, could con­ week, I shall recommend that the Con­ difficulties in many countries, which ha've tribute much to the expansion of two­ gress make available the funds required contributed to an imbalance in interna~ way international trade. The underde­ to support the multilateral technical co­ tional trade and payments. However, veloped countries would thus be enabled operation programs of the United Na­ steady progress, particularly by Western more easily to acquire the capital equip­ tions. The bilateral programs of the European countries, is being made to­ ment so badly needed by them to achieve United States should be pressed vigor­ ward our mutual objective of restoring sound economic growth and higher liv­ ously. currency convertibility. The foreign ing standards. This would do much INTERNATIONAL TRAVEL economic program proposed here will to offset the false but alluring promises The United States remains committed make an important contribution to the of the Communists. to the objective of freedom of travel achievement of convertibility. To facilitate the investment of capital throughout the world. Encouragement AGRICt!LTURE abroad I recommend enactment of legis­ given to travel abroad is extremely im­ No single group within America has a lation providing fer taxation of business portant both for its cultural and social greater stake in a healthy and expanding income from foreign subsidiaries or importance in the free world, and fo~ its branches at a rate 14 percentage points foreign trade than the farmers. One.. economic benefits. Travel abroad by fourth to one-third of some major crops, lower than the corporate rate on domes­ Americans provides an important source such as wheat, cotton, and toba~co, must tic income, and a deferral of tax on in­ of dollars for many countries. The come of foreign branches until it is re­ find markets abroad in order to main· executive branch shall continue to look tain farm income at high levels. moved from the country where it is for ways of facilitating ·international earned. travel and shall continue to cooperate · If they are to be successful, programs I propose also to explore the further with private travel agencies. designated to promote the prosperity of use of tax treaties with the possible rec­ One legislative action that would be agriculture should be consistent with our ognition of tax concessions made to for­ beneficial in this field is the increase foreign economic program. We must eign capital by other countries. Under of the present duty-free allowances for take due account of the effect of any proper safeguards, credit could be given. tourists from $500 to $1,000 exercisable agricultural program on our foreign eco­ for foreign income taxes which are every 6 months. I recommend the pas­ nomic relations to assure that it con­ waived for an initial limited period, as sage of such legislation. tributes to the development of healthy, expanding foreign markets over the we now grant credit for taxes which are TRADE FAIRS imposed. This would give maximum. years. effectiveness to foreign tax laws designed International trade fairs have been of CONCLUSION to encourage new enterprises. major importance to foreign countries · The series of recommendations I have for many years, and most of ·the trading just made are all components of an inte­ As a further step· to stimulate invest­ nations have strengthened the promo­ ment abroad, I recommend approval by· tional aspects of their industrial displays grated program, pointing in a single di­ the Congress at the apprdpriate time of in many fairs with a central exhibit de­ rection. Each contributes to the whole. membership in the proposed Interna-­ signed to emphasize the industrial prog­ Each advances our national security by tional Finance Corporation, which will ress and achievement of the nation. bringing added strength and self­ be affiliated with the International Bank Soviet and satellite exhibits, for ex­ sufficiency to our allies. Each contri· for Reconstruction and Development. ample, have been costly, well planned, butes to our economic growth and a ris­ This Corporation ·will be designed to in­ ing standard of living among our people; crease private investment in less devel-· and housed in expensive structures de­ oped countries by making loans without signed to convey the impression that the DWIGHT D. EISENHOWER. Government gUaranties. Although the U. s. S. R. is producing on a large scale THE WHITE HOUSE, January 10,1955. Corporation will not ·purchase stock, it for peace and is creating a paradise for· will provide venture capital through in-­ workers. vesting in debentures and similar obliga­ The United States, which has a larger PERMISSION TO CONSIDER EMER-· tions. Its operation will cover a field volume of international trade than any GENCY APPROPRIATION BILL ON not dealt with by an existing institution. other nation, until recently has been· THURSDAY conspicuous by its absence at these trade The executive branch will continue fairs. American visitors and partici­ Mr. CANNON. Mr. Speaker, I ask through our diplomatic representatives pants have pointed out the failure of unanimous consent that the Committee abroad to encourage a climate favorable their Government to tell adequately the on Appropriations have leave on Thurs­ to the private enterprise concept in in­ story of our free-enterprise system and day next to report and take up for con-· vestment. to provide effective international trade sideration an emergency appropriation We shall continue to seek other new promotion cooperation.· bill. ways to enlarge the outward flow of As a result, I have undertaken an in­ I may say, Mr. Speaker, that funds capital. . ~ ternational trade fair program under the It must be recognized, however,· that. appropriated by this bill will be needed direction of the Department of Com­ before the close of the week, and for when Americ~=tn private capital moves ~erce. Since the inauguration of this that reason, if I have the. approval of abroad lt properly expects to bring home program in August, participation has its fair reward. This can only be ac­ the gentleman from ·New York [Mr. complished in the last analysis by our been authorized in 11 fairs to be held TABER], ·I ask that the committee be willingness to purchase more goods and before June 30: Sixteen additional fairs permitted to bring it. up on the day re· services from abroad in order to provide are being considered for exhibition pur-· ported, the 3-day rule to the contrary the dollars for these growing remit-· poses in the latter part of the year. . The notwithstanding. · The bill is otherwise tances. This fact is a fu:r;ther compel-:" . first fair in which the United -states pre­ privileged for immediate consideration. ling reason for a fair and forward-look-· sented a central exhibit is that at Bang­ · Mr. TABER. Mr. Speaker, reserving ing trade policy on our J?art. kok, which opened December 7, 1954. At" the right to object, I can see nothing for TECHNICAL -COOPERATION - it our exhibit was. awarded first prize. us to do except to pass some bill along Over 100 American companies supplied. the line of the budget estimate that will The United States has a vast store of­ items for inclusion· in it. practical and scentific know-hO'W that is. be presented. Therefore, I shall· not needed in the underdeveloped areas of· , I shall ask the Congress for funds to· object. the world. The United States has a re­ ~ontinue this program."_ . . · ·The SPEAKER. Is there objection sponsibility to make it available. Its CONVERTIBILITY to the request of the g~ntleman from now· for peaceful purposes must remain: Convertibility of cuirimcies is required Mi8souri {Mr. CANNON]? unfettered. f<>r the development of a steadily rising There was no objection. CI--13 194 CONGRESSIONAL RECORD- HOUSE January 10 REPORT ON ACTIVITIES UNDER POSITIONS OF SECRETARY, LEGIS­ obtained unanimous consent in relation PUBLIC LAW 480-MESSAGE FROM LATIVE CLERK, CLERK, ADDI­ to bringing up certain emergency appro­ THE PRESIDENT OF THE UNITED TIONAL CLERK, ASSISTANT priation items on Thursday next. That STATES (H. DOC. NO. 62) CLERK, AND STENOGRAPHER IN resolution, including those items, will THE MAJORITY LEADER'S OFFICE come up at that time with my under­ The SPEAKER laid before the House standing that they are noncontroversial, the following message from the Presi­ Mr. McCORMACK. Mr. Speaker, I so there will be no rollcall. Those items dent of the United States, which was ask unanimous consent for the imme­ would not come out of committee unless read, and, together with the accompany­ diate consideration of a resolution

EXTENSIONS OF REMARKS

The President's State of the Union used to swing votes last fall. ·Th.e Federal action is long since past due. From ex­ Government today generates only about 13 perience we know that the executive Message percent of our electricity, as contrasted with 81 percent by private utility corporations. branch of government will not correct With the President recognizing that Fed­ this grossly unjust situation. In fact, it EXTENSION OF REMARKS eral kilowatts are but a small segment of the ·has yet to take the first effective step to OF national total, Hells Canyon cannot be con­ limit this importation of foreign residual sidered as in any way contributing toward a fuel oil. Therefore, this limitation of HON. RICHARD L. NEUBERGER possible Federal power monopoly. imports must come through congres­ OF OREGON Thus the state of the Union address ef­ sional action and we must act now. IN THE SENATE OF THE UNITED STATES fectively repudiates one of the principal arguments used to oppos.e and block a high In conclusion, let me point out that Monday, January 10, 1955 multipurpose dam in Hells Canyon-the this same foreign product has washed out . kind of dam advocated in the famous 308 coal production capacity that is vital to Mr. NEUBERGER. Mr. President, I report of the Army engineers. a defense program. If an emergency ask unanimous consent to have printed I urge authorization of such a project should come, none of the platitudinous in the RECORD a brief statement which by the 84th Congress. statements about high levels of trade will I released on January 10, 1955, regard­ be of any value in meeting the demands ing the President's state of the Union of a·stepped-up industrial effort in a fuel­ address, and the comments contained hungry mobilization economy. We will therein on the role of the Federal Gov­ Imports of Foreign Residual Fuel Oil need coal and more coal, but we will not ernment in developing hydroelectric get it unless we act now to keep our coal power. EXTENSION OF REMARKS mines open in the interim period. There being no objection, the state­ _ment was ordered to be printed in the OF RECORD, as follows: HON. ELIZABETH KEE STATEMENT BY HoN. RICHARD L. NEUBERGER, OF OF WEST VIRGINIA A Department of Urbiculture OREGON IN THE HOUSE OF REPRESENTATIVES In his state of the Union message on January 6, 1955, President Eisenhower aban­ Monday, January 10, 1955 EXTENSION OF REMARKS doned the pretense of an impending Federal Mrs. KEE. Mr. Speaker, today I in­ OF · power monopoly, which has so long served troduced in the House of Representatives as a political scarecrow for the · opponents of continued public power development in a bill to establish quota limitations on HON. J. ARTHUR YOUNGER the Columbia River Basin. imports of foreign residual fuel oil. This OF CALIFORNIA Inasmuch as the likelihood of a Federal bill is designed to check the present un­ IN THE HOUSE OF REPRESENTATIVES . power monopoly has been cited by Secretary fair competition now facing the coal in­ McKay as a main reason for abandoning the dustry of the United States. The con­ .Monday, January 10, 1955 magnificent Hells Canyon power site to the tinued unrestricted flow of cheap, foreign Idaho Power Co., I call upon the Secretary ·residual fuel oil created this unfair com­ Mr. YOUNGER. Mr. Speaker I am to reverse his stand. petition. today reintroducing my bill for 'the crea­ At McNary Dam in Oregon, on September tion of a Department of Urbiculture at 23, 1954, the President warned against Fed­ The depression now existing in the ·coal producing areas of the United States Cabinet level to deal with the special eral operation of a gigantic, overwhelming problems and welfare of municipalities. nationwide power monopoly. i::: unprecedented in the history of the On November 4, 1954, Budget Director entire industry. It is heartbreaking to These include such economic and so­ Hughes warned against committing the Na­ see the mass unemployment; workers cial problems as slums, dope, juvenile de- tion to a policy of establishing a nationwide denied the right to employment through linquency, housing, and smog. · Federal power monopoly. no fault of their own i:a one of America's Smog, fast becoming a nationwide In campaign speeches in Oregon, the Sec­ problem in metropolitan areas, was men­ retary of the Interior likewise warned fre­ major and most important industries. quently against this so-called Federal power This unemployment, with its resultant tioned by .the President in his state-of­ monopoly. unrest, has also spread to the railroads the-Union message as a problem in need But. in his 1955 state of the Union message and other major industries dependent of a strengthened combative program. to the Congress, the President flatly de­ upon the production of coal. This would fall under the jurisdiction of clared that "Federal :p.ydroelectric develop­ On a recent trip to Europe I had an · the new department, if created. ment supply but a small fraction of the . opportunity to see at first hand a number The bill, which I introduced last July Natio'n's power needs." shortly before adjournment of the 83d I think this is symbolic of the administra­ of communities where industrial recovery tion's confusion in the field of power. · It has been slow and real prosperity is still Congress, has created tremendous inter­ . emphasizes why our great public-power not in sight. Let me point out, how­ est among Washington legislators, who program in the Pacific Northwest has come . ever, that nowhere did I find the eco- feel it could lead to the solution of one to a standstill under this administration. nomic stagnation that has enveloped the of the most important problems of For many months the President and his coal producing communities of West Vir­ American cities. leading subordinates warned us of the im- . ginia since foreign residual oil began its When the Department of Agriculture . minence of a Federal power m'Onopoly. Now was established in 1862, 80 percent of the the President himself tells the Nation that relentless surge into the fuel markets of the Federal Government generates only a the east coast. population lived on farms. Now the sit­ tiny portion of the cbuntry's waterpower. To my way of thinking, our first obli­ uation is reversed, with 85 percent in '!'his, of course, is the true situatron; rather gation is· here at home, and for that urban communities and only 15 percent than the misleading talk of Federal monopoly reason I would say that the time for rural.