Business ii Jilillflieflli i if, FINANCE Vii. LXXV Grinnell, Iowa, Friday. March 8. I968 No. 20 Wall St. War Bulls Are Doves Bears Are Hawks VC Bomb Market By DAVID HORWA'IT 5&3 Business Writer One at the more recent ad< ilitious to the ranks of anti-war wriisans in this countiy is . all Street. The dovish sympathies ol the nations investors are reflected in the stock price drops accom- panying each intensification of tillillllillllilliilillilliilllllliilllliilllliiillliiilliiHilliiiillliiilltllilllllll A A RUMDRED IN HIGH Fla NANCIAL Circles is that Stephen Warsli, b u sin e s s manager of the Oldest Col- lege Newspaper West of the Mississippi, may be among nominees for the “Ad Man of the Year" award. The award is made to the business man— ager who sells the most ads per issue at the least proiit to his newspaper. .ilililliiilliliiillliiillliiiiiiiiillliiiillliiillliiiiilliiilliiHilliiilililillliii our Vietnam war effort, and the corresponding sharp in- crease in stock prices With the Infrequent rumors of peace ne- gotiations. Wall Street‘s explanation tor this pattern recalls one oi the major objections to the war by dove politicians H that in our concentration on the Vietnam conilict, we are neglecting worsening domes- tic strains. As a result. of our tremendous expenditures on the war, the nation is suffering an increased balance or payments deiicit and expanding inflation, The eco- nomic situation further threat» ens Government wage-price con— trols. which is the greatest danger anticipated by investors at the moment, according to The Wall Street Journal. Some Wall Street investors predict that stock prices would go up dramatically should there be a peace settlement. Their reasoning is that gov- prnment iunds not tied up in the Asian conflict would be released DOVE smear— (Continued on Page 2) I—BUCKLEY RAPS FEDERAL BUDGET By Wm. F. BUCKLEY, Jr. 5&8 Staff Writer Mrr Wilbur Mills, the chairman of the House Ways and Means Committee, is being held re sponsible ior having forced upon President Johnson some of those economies reflected in the Bud- get. Nothing dire, but it does add up, or rather cut down: fewer new merchant ships, fewer new buildings on college campuses, iewer free boolu lor the schools, a little less reclamation, fewer new federal buildings, quite a little retrenchment in the space program, 2 little less agricultural con~ servation, the toregoing adding up to about a billion dollars. You would think, to judge irom the apparent weeping and gnashing or teeth within the White House, that every one or those dollars was a pet. The quid pro quo is supposed to be the new sunax. Everybody is supposed to he in tavor of the new suriax, which would bring in twelve-billion dol- lars in additional revenue, reducing the projected detieit irom twenty-billion to eightrbillion. The surtax is defended by much of the conservative community simply because it takes us in the direction of a balanced budget, and almost anything that does, the conservatives tend [0 think of as a step in the right direction, The liberals iavor the surtax because they are beginning to fear (high time) the results of runaway inflation, both politically and intellectually; because they ap~ prove the graduated nature of the onus — the surcharge accentuates the progressive ieatures ot the income tax. It is a pity that the liberals didn‘t show a concern for unbalanced budgets earlier in the history at the republic. And of course even now we are continuing to add to the national debt, so that iiscal 1911] will show an increase in the cost of debt service. . And so the taxes rise and rise, and get more and more complicated. At this point, a commuter to New York City who resides in Connecticut, linds himseli paying a property tax at home, a com- muter tax in New York City, a state tax to New York State, on top of the federal income tax. Every one of these taxes is in the process of being raised White Collar workers in New York City are worse on this year even if Ihey received a live per cent salary raise at the turn oi the year: it you count, and you must, the rise in the social security payments, the projected rise in the income tax, federal and state, and the rise in the cost of living. oiiicially put at 3% but much, much more titan that in many of the cities. What shall we propose for the Democratic Pladnnn of 19687 Subsidies for the middle class? There is a lot of talk about the loopholes How much money could be saved here, there, and elsewhere, it only loopholes a, b, and c, were closed up. It is seldom observed that loopholes in America, like black markets in Soviet Russia, are the cracks through which the electricity charges the system. If, for instance, the effective rate of taxation were as high as the 77% now proposed — or had been as high as the 91% of a few years ago — the prosperity necessary to finance the Great Society‘s jumbo budgets would simply not exist. Reflection on the taxes, the loopholes, the deductions, the ellipses, the sheer Crushing complex- ity of it. all brings to mind the quiet Sanity of such as Professor Milton Friedman, with his stress on simplicity, and disentangllng taxes for revenue for piutophobia. Dr. Friedman begins by observing that existing deductions for children are wildly unrealistic and should be instantly doubled. Then he favors the elimination] of all exemptions. Then — brace yourself — he calculates that a uniform rate of 19% would yield as much rev- enue as the crazy graduated rates with the exemptions and the loopholes and the rest of it. Throw in his negative income tax and even then you would go no higher than 25% tax. And if you were to deduct from the cost of living the tax accountants and tax lawyers, no longer necessary, who knows what a rise there would be in the general affluence, perhaps even suilicient to return to poor Mr. Johnson the merchant marine ships, the school buildings, and the tederal buildings that bad Wilbur Mills has taken from himi Cay Nineties Ads “Caiurrh Cure" “Fresh Lettuce” “Tonsoriul Baths" Ever since Satan made tho first plug for one or nature's most perfect products, the me dium and the message have been prodding man's passage to Par- idise Regained. However, the dervlshes a! profit have never attained the graceful [arm and pristine ele- gance they captured during these wonderful fiscal years— the Gay Nineties in Grinnell. For those plagued with phy- sical fitness fetishes, a copy of the 1890 5&3 carried this guarantee —- “We offer one hundred dollars reward for any case oi catmali that can- not be cured by Hall‘s Catnrrlt Cure — 75 cents a bottle.” in the unlikely case the catarrti cure tailed, local merchant- tempted readers in subsequent issues with the only medically proven packaged panacea for uncured catarrh —- “Tonscrial Baths — Especially Fine for the Ladies" Foliage seemed in be the major agency promotion dur- ing the period, and Grimel- liens were exposed to such Vegetable verbage as ”Fresh Lettuce at Hulsizer’s Green- house ioi- Thanksgiving,” and “At the Met, Jonathan Eat- ing Apples." Unfortunately, even in the best or capitalistic times, somebody has to lose in the free market. But as a wiseman once said, entrepreneurs never die, they merely switch lines; and the 58:3 was proud to print their re- vived message —- “Order hacks for Concerts or parties.” Fill? Tfii’s 0? IN ART MART Grinnell Weekend _ the poor man’s answer to Convocation,»- promises to be a capital invest< menL On April 11 and 12, experts on supply and demand in the art market will be at Grinnell to lecture on “The Museum as Tasiemaker in Contemporary Art.” The speakers will include Hen- ry Geidzalller, Curator of Con- temporary Arl at the Metropol- itan Museum of Art, N.Y.; Fete er Selz, Director of the Univce sity ot Cant, Art Museum, Berkeley; and Sam Hunter, Col- lege of Architecture, Cornell University, lthaca New York. Professor Richard Cervenc, Chairman or the Art Depart- ment at Grinnell, secs “large metropolitan areas like New York and San Francisco” as being the hirthplaces or trends in contemporary art. "Once this art receives the TASTEMAKERS— (Continued on Page 3) AD lNFINlTUM — Advert business manager, ing) of the 1920’s, see PAGES 4 8t 5a o . . Steve Warshr For an editorial column on Advertising and the College Newspaper in a world of Change, see PAGE 2; tor two classic ads (suitable tor tram- ing makes the world go ’round, at least youmallsm-wise. Public notices, want ads, and commercial national advertising pay for the production or most dolly newspapers This week the son — by necessity —- puts the spotlight on its advertisers and it! Liberal Ari: