Brunt of New Tax Program Falls on Lower Income Groups
Analysis notes the tax plan shifts burden to poorer households while public debate continues on Korean evacuation policy. Editorials underscore economic impact and international tensions.
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Newspaper
Dillon Examiner
Location
Dillon, Montana, United States of America
Date
Jan 31, 1951
Page
3
Analysis notes the tax plan shifts burden to poorer households while public debate continues on Korean evacuation policy. Editorials underscore economic impact and international tensions.
President Truman proposed tax increases exceeding eight billion dollars annually and a defense outlay of 140 billion. He urged broader wage price controls and larger armed forces while forecasting reduced consumer goods production and 18 percent of 1951 output devoted to defense, far below wartime peaks.
President Truman signed a civilian defense measure costing an estimated 3.1 billion dollars. The law directs federal leadership for state and local plans to shield civilian life and property in ten target areas against atomic, biological, or other attacks. States must match federal air raid construction funds, drawing criticism such as New York Governor Dewey's claim of insufficient funds.
As UN forces retreat toward Pusan and a possible withdrawal looms, Washington debates evacuation while American troops are urged to form the core of a larger future army. Mrs. Rosenberg cites a 260000 increase in fighting forces by June 30 and a draft expansion to 3.2 million, with 18 year olds urged. The FBI reports 9000 draft law violations investigated in six months and 2200 cases monthly.
Critics led by Senator Taft charge President Truman violated law by sending troops to Korea and Europe without Congress. The piece cites historical precedent and the North Atlantic Treaty obligations as supporting executive action, with agriculture outlook noting tight 1951 crop prospects and the need to rebuild surpluses for world food needs.
General Motors unveils Le Sabre a low jet styled experimental car by the Styling section led by W. F. Earl and associates. The vehicle operates as a on road laboratory with a V eight engine 300 hp plus supercharger and a dual fuel system using methyl alcohol and premium fuels.
The piece notes White House pressure for unity by placing two top Republicans in key posts, possibly Governor Dewey as secretary of state, with Acheson potentially stepping aside. It recalls FDR’s unity pre Pearl Harbor, cites Navy chief shifts under Matthews and Sherman, and mentions Senator Morse’s defection from supporting reactionary Republicans and Sen. Langer’s protest of the new policy committee.
The 1951 Department of Agriculture estimate puts American farm total assets at 134 billion, about 2.5 times the level a decade earlier. Farmers hold roughly 22 billion in liquid assets across banks savings bonds and cooperatives, with farm debt near 13 billion. all growth is in non real estate categories.
The government bans starting almost all new commercial construction until February 15 to conserve materials for mobilization. After the freeze, private projects must seek approval from the national production authority. The NPA says the ban preserves essential resources.
The LeSabre prototype, in development four years, uses aluminum and magnesium alloys in its body and engine. Its jet inspired lines may appear in future cars though aluminum and magnesium would keep costs high for average buyers. Designers warn the tech could be years away.
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