Comment from the Caoital —
IS THE UNITED STATES GOING BROKE?
by Vant Neff
It s no secret anymore. Even
, determined double
t t.k by White House spokes
n has failed to hide the fact
tnat the American dollar is in
hipr trouble.
Here’s what is happening,
know, the dollar by
> -elt is only a scrap of paper,
its real value depends on the
k'old reserves that back it —
Kohl that is stored in vaults
at Fort Knox.
Hut, what you may not be
aware of is that gold reserves
have been allowed to dribble
away until they’ve now sunk
to a dangerously low level —
the lowest in twenty-three
years.
Our finances, then, have
deteriorated sadly. But why?
The answer is government
overspending. We’ve been giv
ing away too much of our
substance — both on the home
front and overseas.
As a result, we’ve been
spending more money than we
take in. More and more United
States dollars have fallen into
the hands of foreign banks and
governments. Right now, this
totals up to a whopping big
deficit of $26 billion.
Since, in all our dealings,
the U. S. is on the gold stand
ard, these dollars can be
sent back and gold demanded.
That’s just what’s been hap
pening and that’s just where
our gold has been going.
John F. Kennedy has pub
licly expressed his “concern”.
Actually, it’s much more than
concern that he feels. And it
should be. Privately, it’s been
admitted that if Germany and
P’rance decide to present their
dollar credits for payment in
gold, the U. S. could be stone
broke.
This, of course, probably
won’t happen. Any nation that
cashes in all its dollar credits
would, in effect, also cut off
all business ties with the U. S.
And that’s not like to happen
exet-pt in an emergency.
Emergencies, however, seem
to occur with disturbing fre
quencies these days, and the
American monetary system is
nothing to play risky games
with. Bankers say this is no
way to run a bank, and I say
this is no way to run a
country.
Let’s take a cold, hard look
at where these overseas dollars
are going and what they are
being used for.
Some of them are spent
legitimately. To support our
troops stationed overseas, for
example. To bolster the de
fenses of our allies in the Cold
War. And to help out friendly
governments in genuine finan
cial distress.
But we keep hearing reports
that the huge chunks of money
that we send overseas axe
often woefully misused.
Consider Brazil’s new capi
tal city — Brasilia. A very
plush set-up, indeed, with a
price tag of about $400 million.
Who, in effect, footed the bill?
We did. Did it win us new
friends? Nope. More and more,
they are calling us “Yankee
robbers.”
And what about some of the
other countries on the receiv
ing end of the Great American
Handout — such as the newly
formed African states? Are
they really true friends of
America ? In view of the politi
cal company they keep, and
their expressed sympathies,
there’s good reason to doubt it.
India and Pakistan provide
still another two examples of
how the U. S. Gravy Train has
jumped the track. Pakistan is
now buddying up to Red China
because we’ve been too nice to
India. On the other hand, India
is cooling off toward us be
cause of our aid to Pakistan.
Goings-on like this might be
funny except that it’s our
money that’s involved.
The fact is that the Ameri
can tax-payers’ dollar has been
strewn over the international
landscape, with all the re
straint of a sailor on a spree.
The idea seems to be that
cheap, easy money is a sure
fire cure for whatever ails the
world. All we have to do is
keep pumping out a copious
flow of American cash. This,
in some miraculous way, will
cause such threats as the
spread of international Com
munism to dissipate harm
lessly into thin air.
Obviously, the theory is
sheer hogwash. The only thing
that’s dissipated into thin air
is the value of the American
dollar.
Is Dr. Walter W. Heller the
big brain behind this strange
philosophy of overspending?
Heforc he became the Presi
dent’s Chief Economic Advisor,
I)r. Heller tried to inflict his
theories of government eco
nomics on the governments of
Italy and West Germany. Ills
advice was scorned, especially
in Germany, where Heller s
notions of “planned deficits
were regarded as impractical
and absurd.
Having rejected Professor
Heller’s theories, the German
economy has become one of
the most stable and solvent in
all of Europe, and it got that
way through a healthy respect
for a balanced budget, honest
leadership, and sound money!
In the meantime, shrewd
European leaders, such . as
Adenauer and PeGaulle, view
the Administration’s fiscal
fumbling with growing alarm
and shrinking confidence.
And their attitude is shared
by well-informed businessmen
all over the world.
After all, what do you ex
pect them to think when the
United States asks for a loan
from the International Mone
tary Fund — a practice ordi
narily indulged in by down
and-out countries. They can
remember when we helped set
up the Fund, and backed it
with the prestige of our dollar.
And now here we are, waiting
in line with our palm extended.
In the face of this, the Admini
stration urges the Congress to
blow another four billion on
“foreign aid.”
As a result, foreign banks
and governments with dollar
credits are now cashing them
in for gold. To put it bluntly,
they’re getting out before it’s
too late.
And so down, down, down
go our reserves.
It’s shocking that so pros
perous a nation as ours now
finds itself on shaky ground.
And it’s imperative that some
thing be done about it fast.
We’ve got to stop squander
ing our substance on hare
brained projects. We’ve get to
discipline our government to
control its spending spree. And
we’ve got to insist that other
governments shoulder their
share of responsibility for the
world’s problems.
In other words, what’s need
ed is good old-fashioned re
spect for the dollar.
Jumping to Conclusions
• • •
By HAL BOYLE
NEW YORK (iP — Nothing is
impossible in life to a man who
has the character to eat stewed
prunes every morning for break
fast.
But to me the worst of all foods
is mutton, sometimes known as
lamb. I’d rather eat a pair of
wool sox, flavored with ketchup.
I dislike mutton so much that I
refuse to count sheep when I have
insomnia.
Nothing ruins optimism in a fel
low more than the realization that
there ;s no one on earth who will
die and leave him money.
The reason a man loses his tem
per when his shoestring breaks is
that he can’t find anyone else to
pin the blame on.
The most discourteous teen
agers in America dwell in New
York City. Not nt out of l;t
school kids here './ill get up and
yield his subway seat to ar e'derly
man or woman.
Bowlers arc- usually bigger liars
than fishermen, a d i: th ■ Lord
ever made an honest golfer he
must have take?, him to heaven
very young.
When a wife takes off h^r wed
ding ring, it’s because she wants
to do something with her hands;
when a husband takes one off,
he’s looking for trouble.
A bride never forgives a bride
groom who has to stifle a yawn
during the wedding ceremony.
He’ll hear about it all the rest
of his days.
The two greatest crosses the
average wife has to bear in this
world are a stingy husband and
a tight girdle.
“I feel sorry for a man who
invariably wears a white shirt to
work every day. To me it’s a sign
that he lacks imagination — or
is henpecked.
The people who enjoy poverty
most are sel-made millionaires.
They never tire of recalling how
much more fun they had when
they were young and poor and I
struggling.
Nobody is more ignominious than
' t smalltime gambler in hock to a
-her bookie.
i I ■ ever trust a man who looks
1 forward with relish to serving on a
! jury I suspect him of being £.
j secret sadist.
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FALL IS FATAL
BOSTON — A 65-year-old
Boston woman toppled 35 feet to
her death Saturday after success
fully passing her grandchild from
the rooftop of their burning build
ing across a four-foot gap to an
other roof.
Mrs. Lena Hall handed the baby
she was caring for to a neighbor
on the other roof but slipped and
fell to her death when she tried
to reach safety herself.
GLUE POT
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Cigars — Cigarettes
Tobacco
Candy
Fresh Ice Cream
Every Day
ALL KINDS OF
SODA POP
WORLD NEWS BRIEFS
By The Associated Press
In Paris — One man was killed
and seven were wounded in a
noon hour gun battle in Paris today
as a holdup gang snatched a bag
full of money and ran into a dozen j
policemen lying in wait.
The gang and a dozen policemen
shot it out for several minutes in
a narrow street just off the busy
left bank Boulevard Du Montpar
nasse. The dead man was the driv
er of the getaway car. Four police
men were among the wounded.
The three members of the gang
were reported in serious condition.
In Tokyo — Canada agreed to
day to sell Japan 800,000 tons of
Canadian wheat at a price lower
than the prevailing international
quotations.
A contract signed in Tokyo
called for Canada to ship 100,000
tons of wheat monthly over a per
iod of eight months beginning De
cember. The price was set at $1.96
per bushel.
— • —
In Saigon — A relative of the
Ngo Dinh family in South Viet
Nam has said he’s received per
mission to bufy the bodies of Pres
ident Diem and his brother, who
died in the weekend coup against
the government.
— • —
In Washington — The United
States has received no official
word on the formation of a new
caretaker government in Viet Nam.
— • —
In Berlin — The Russians have
stopped another American Army
convoy on the highway into
Berlin.
— * —
In West Germany — Eleven
miners, trapped underground in a
West German iron mine, are help
ing in efforts to rescue them.
— ® —
In Algiers — There's still no
effective cease-fire in the border
war between Morocco and Algeria.
In London — The British Labor
Party leader, Harold Wilson, says
the New Prime Minister’s campaign
for a seat in Parliament is a con
test between the old and ti e new
Britain.
— • _
In New York — The Coast
Guard has found two 17-year-old
Freeport, N.Y., girls who had been
missing in a boat since yesterday.
The shivering girls had spent 15
hours in their disabled boat in a
bay on the south shore of Long
Island.
_ • —
In Austria — Sixty-two-year-old
businessman George Baker, found
er and board member of National
Airlines, died today in Vienna,
where he was vacationing with
his wife.
— • —
In China — The Communist
Chinese claim to have wiped out
90 members of guerrilla bands sent
to the mainland by the Nation
alist Chinese.
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In Hungary — Communist Hun
gary held memorial services to
day for those who were killed de
fending the government in the
195(3 uprising.
— • —
In Greece — Premier Constan
tine Caramanlis and his party
have lost a national election in a
surprising upset.
— • —
In Paris — NATO Secretary
General Dirk Stikker warned
against hoping that the quarrel be
tween Russia and Red China will
lead to Soviet alignment with the
West.
— • —
In the Western Interior of Vene
zuela — A policeman was killed
and eight others wounded by the
explosion of a terrorist bomb in
a jail holding 40 Communist and
pro-Communist prisoners.
At the U.N. — The Palestine
conciliation commission said there
is hope of progress in solving the
problem of Palestine refugees.
— • —
It was just like winter this morn
ing over a good part of the nation.
Temperatures slipped below freez
ing in the Middle West, the East
and into part of the South.
It was only 19 degrees at Hib
bing, Minn. — 26 at Richmond,
Va. In Northern New England,
there's a foot of snow from a week
end storm.
Lawrence Okpealuk. pleading
guilty to giving liquor to a minor,
was hit with 200 days of which 100
were suspended.
Ray Attatayuk was found guil
ty of being drunk in public and
received 10 days for his trouble.
Seven were suspended.
Fine Job Printing at the Nuggel
UNITED STATES
DEPARTMENT OF THE INTERIOR
BUREAU OF LAND MANAGEMENT
Fairbanks Land Office
516 Second Avenue
Fairbanks, Alaska
July 8, 1963
NOTICE FOR PUBLICATION
Notice is hereby given that JOHN M.
VALENTINE, Russian Mission, Alaska,
together with his witnesses, Charlie
Kozwnikoff and Anisum Eelkoff, both
of Russian Mission, Alaska, has filed
Application to Purchase for his Home
site Settlement Claim. Fairbanks Serial
Number 028297, for lands described as:
U. S. Survey No. 36-44, situated on the
right bank of the Yukon River in the
village of Russian Mission, Alaska.
containing 1.23 acres.
During the period of publication or
within 30 days thereafter any person,
corporation, or association having or
asserting any adverse interest in or
claim to the tract of land or any part
thereof may file in the B'airbanks Land
Office, under oath an adverse claim set
ting forth the nature and extent there
I of; and such adverse claimant shall,
I within 60 days after the filing of such
adverse claim, begin action to quiet title
in a court of competent jurisdiction in
Alaska, and thereafter patent shall be
issued in conformity with the final de
cree of the court.
ROBERT F. HILTON
Chief, Lands Section
Pub.: Sept. 23, 30; Oct. 7, 14, 21, 28; Nov.
4, 11, 18, 1963.
KAKARAK
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