THE NOME NUGGET
Published Monday, Wednesday and Friday by The
NOME PUBLISHING CO.
Nome, Alaska
Telephone: Main 125 p. o. Box 618
W. A. and EMILY BOUCHER .Editors
$1.50 PER MONTH 9 $16.00 A YEAR
Entered as second class matter October 14. 1943. at the postoffice
at Nome, Alaska, under the Act of March 3, 1879.
Wednesday, July 28, 1948
THE BERLIN CRISIS
^HILE THE MOUNTING CRISIS in Berlin makes.it
increasingly academic to talk about the causes
of this desperate situation, the American people are
not so completely immersed in the ominous event it
self that they lack all interest in the subject of its
origin.
The painful fact about the situation in Berlin is
that we undertook the administration of an occupa
tion zone in the city under an agreement with the
Russians, and that we are now trying to maintain
our authority there despite supsequent abrogation
of the agreement by the Russians.
Since we have only a token military establish
ment in Berlin and in Germany as a whole, and the
Russians have a full-blown army of conquest in be
ing and capable of moving virtually unopposed to
the English Channel, it is obvious that if the issue
is to be resolved by force we are going to be pushed
out of Berlin and the Russians are going to move
in.
In other words, we accepted an administrative
responsibility in Berlin which the Russians could
make militarily untenable for us any time they de
cided to do so—and all the immediate evidence
points to the fact that they have now decided and
are iminently close to the implementation of their
decision.
Knowing the Russians as we do now, and should
have known at the time, it seems incongruous and
inexplicable that we should have made an agree
ment with them putting us in such a pocket — in de
fiance of all political experience and especially all
military concepts.
The American people have an emotion stronger
than that of mere curiosity concerning how and why
they got into their present plight, which- has such
imminent and terrifying aspects of war.
An associated Press writer, Mr. Wes Ghallager.
has assembled some facts to enlighten the Ameri
can people.
In 1944, says Mr. Gallagher, the European Ad
visory Commission was set up by the United States
Great Britain and Russia to formulate a program
for the occupation and administration of Germany
when the war was victoriously concluded, and Mr.
John Winant was the American member.
It was this commission which worked out the
existing system of occupation zones in Berlin, with!
the Russian zone entirely surrounding the city and
the American, British and French zones in Berlin com
pletely cut off from their sources of support and
supply.
When the American State Department purport
edly urged Mr. Wynant 19 insist upon a corridor be
tween Berlin and the west over which the United
States would have undisputed jurisdiction, he is
said to have refused "on the grounds that it would
imply distrust of the Soviets and their intentions,"
as Mr. Gallagher reports the matter.
And when the state department persisted, Mr.
Winant is understood to have been sustained in his
viewpoint by President Roosevelt.
With Mr. Winant and Mr, Roosevelt both dead,
their personal responsibility for the untenable Ber
lin pocket remains implied.
But as Mr. Gallagher succinctly says:
"If a western land corridor had been negotiated
on the basis that it was to be part of the occupation
territory, the present plockade of Berlin probably
would not have arisen."
ohrsri our fiareetnent concerning the Berlin
I
"A VICIOUS CHARACTER*
pocket was a blunder, and we are now on the brink
of a new war because of that blunder.
Why do the American people so often find them
selves in times of grave crisis under the adminis
tration of blundering men?
They have been administratively blundered into
two great wars, and now it appears that even as
the second of these great conflicts was raging the
blundering groundwork of the third holocaust was
laid.
Whether or not the present Berlin crisis resolves
into ultimate peace or war, the American people
should acquaint themselves with the historical back
ground of the crisis, and in the future strive for a
leadership in national affairs to which the national
security can be more safely entrusted.
LEGISLATIVE OVERSIGHT?
'J'HE FOLLOWING ITEM appeared in the July 9th
issue of the Wrangel Sentinel and bears repeti
tion as it sort of has a bearing on businesses in the
Territory which had been allowed a reduction in
the amount due the Territory for Alaska Unemploy
ment Compensation Act:
"Decision handed down by Federal Judge An
thony J. Dimond at Anchorage the first week in July
declaring the experience rating act passed by the
last legislature void and of no effect, mav cost some
of the large taxpayers around $800,000. The act is an
amendment to the Alaska Unemployment Compen
sation law which provides for credits to certain em
ployers who have paid substantial amounts into the
unemployment fund. Since the act became effective
.last July credits have been extended upwards of
$800,000, all of which will have to be paid back to the
unemployment fund if the Dimond recision is up
held by the appeal court. Pending appeal no further
credits will be extended. The salmon industry, large
mining companies and big contracting firms who
have paid on a large number of employes are the
ones mostly effected.
"Dimond ruled the act had not legally passed
the legislature because on its third reading in the
House the bill had been read by number only. Or
ganic Act provides that a reading might be had bv
'title' only but makes no provision for by 'number/
Gov. Gruening called the attention of the Senate to
the error when the act went up to him from that
body after passing both houses, but the Senate fired
it back, alleging it was o.k. The Governor, under the
circumstances, let the act become law without his
signature. Action was later brought by Felton N.
Griffin of Anchorage, former head of the AFL, chal
lenging the validity of the law and that challenge
now has been upheld by decision of the court with
the result that some of the big taxpayers, who
thought they were going to get come reductions,
may have to dig instead."
Truman Demands
Price Control To
Avert Depression
(Continued from Page One'
restrained than it was on his
western trip, or in his acceptance
speech to the Democratic National
Convention. Then he referred re
peatedly 'to the Republican-con
trolled 80th Congress as one of the
worst in the nation’s history.
The president did not spell out
the details of his price control
program. He left that a question
to be answered by an administra
tion bill promised later this week—
perhaps tomorrow.
But he did say the controls
should be authorized for scarce
commodities which basically af
fect essential industrial produc
tion or the cost of living. That
would seem to mean things like
steel, and meat.
Even before he spoke, GOP
leaders made clear that Mr. Tru
man could pin no real hope for
action on more than one or two
minor points in his message.
The chief executive hit hardest
at the rising cost of living. But
he led off by saying that another
crying need is for more and cheap
er housing.
So he called for the Tai't-El
lender-Wagner bill to meet the
“acute” housing shortage.
“This is the bill we need." he
said. “We need it now, not a year
from now.”
In addition to selective price
wage controls and a return to the
wartime excess profits tax at a
rate he did not disclose, the pres
ident asked Congress to:
1. Restore consumer credit con
trols—such as those which speci
fied down payments and the time
in which ins ailment purchases
had to be paid off.
2. Arm the federal reserve board
with more power to regulate “in
flationary bank credit.”
3. Grant him power to regulate
speculation on the commodity ex
changes.
4. Grant him power to impose >
allocation and inven ory control'
over “scarce commodities which
basically affect essential produc
tion or the cost of living,” the
same term he used for his price
control measure.
5. Strengthen controls over rent
with adequate appropriations for
enforcement to prevent “further
unwarranted rent increases.”
6. Give him standby power to
ration “those few products in short
supply yhich vitally affect the
health and welfare.” He said that
unless further shor!ages occur^
this authority “might not have
to be used at all.”
The president asked for auth
ority to limit wage increases only
where they would “force a break
in a price ceiling.” *
Aside from his reference to Com
munists here and abroad counting
on an American depression, Mr.
Truman made no direct reference *
to this country’s strained rela
tions with Russia.
But he did assert that:
“In these tense days, when our
strength is being tested all over
the world, it would be reckless
folly if we failed to act againsf#1
inflation.”
•
The president devoted only a
single paragraph in his 3,000-word
address to “urge upon Congress’^
the controversial civil rights pro
gram he sent to capitol hill last
February.
As he said he would, the chief