Falfurrias Facts (Falfurrias, Tex.), Vol. 35, No. , Ed. 1 Friday, January 2, 1942 Page: 4 of 6
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FRIDAY, JANUARY 2. 1942
(Continued from pace S)
them make them very difficult for
Congressmen to oppose. “Social Se-
curity” is a poisonous pill, sugar-
coated. The United 8tates can eas-
ily commit suicide by taking too
much “Social Security” poison. Of
course, one fair way to collect more
money would be for Congress to put
an excess profits tax on wages 1-
dentical with the present excess tax
on profits. This would both raise
all the needed funds and put an
end to the labor racket for the dur-
ation of the war.
Rents And Strikes
Rents will not decline during
1942; whether to make long or
short leases is debatable. Those
owning large, old style houses
should sell them during 1942 for
any price they can get. I say this
because of the action of carpenters,
brick layers, plumbers, and painters
who are fast killing the geese which
lay their golden eggs. You can no
longer afford to make over a large,
old house into apartments as you
once could. Again I say—try to get
out of debt during 1942.
There will be fewer strikes in
1942. The strike business has its
"ups and downs” like the stock
market. Labor leaders, like Wall
Street bankers, strike while the
Iron is hot; they speed up while the
going is good. With both labor lead-
ers and bankers, their jobs are
purely a business. The “business"
of the average labor leader will not
be so good in 1942 as in 1941. As
the tax payers of the nation (and
this Includes every reader of this
column) realize that during 1941
they lost about 20.000,000, man-days
(or five times the loss during 1940)
the American people will wake up
and stop this nonsense. Statistics
show that 1941 had 3,500 major
strikes involving over 2,200,000
workers. This is about double the
average of the preceding five years.
Congress should insist on a secret
ballot by workers before a strike
can be called.
Farm Prices Will Be Better
I estimate that if farm prices are
not controlled, the farmers in 1941
may receive an increase of 20% ov-
er 1941. This could Increase the
national income 10% and raise farm
consumer purchasing power to
nearly double what it was a few
years previous. Cash farm income in
1942 should reach about $13,000,-
000,000—the highest since 1920.
This figure compares with $11,-
000,000,000 for 1941, and $9,000,000,-
000 for 1040. During 1941 food prices
increased about 12%, but 1942
should show a distinct tapering off
of this upward curve. By substitu-
tions and the elimination of waste,
most people can absorb this food
price increase without either fur-
ther wage increases or a reduction
in living standards.
High Living Standards
Readers who are squawking a-
bout increased prices should re-
member this fact:—Considering
1929 wages and living costs at 100,
the wage index has gone up to 106
while the retail cost of food has
dropped to 80. In other words, the
average American has today left
over for non-food purchases $1,045
compared with $887 in the year of
1929. To put it another way, all
wage workers are at least 20% bet-
ter off today than in 1929. What
possible excuse is there for more
strikes or even wage increases?
These high standards will hold up
during 1942, notwithstanding our
war with the Axis Powers.
Firmer Commodity Prices
Wholesale prices will average dur-
ing 1942 about 10% over the "1941
average". But do not get excited!
These prices are now about 10%
below (he 1926 level which the U.
S. Bureau of Labor Statistics con-
siders “normal". Those who expect
a less-than-lo% increase point to
*lt the large stocks of food sup-
plies. raw materials, and merchan-
dise now on hand; <2i the heavy
advance purchases which consum-
ers made during 1941 which could
keep them going for some time; (3»
the high taxes of various kinds
which 1942 is to witness, together
with the curtailment of installment
credit; and (4* a gradual increase
of unemployment in the non-de-
Those who expect a greater-than-
10% increase point to (1) the
steady decline in available non-
defense goods regarding defense
materials, the making of which
goods will be curtailed, (2) the in-
creased purchasing power which
will come from the farm sections
even if wages in the war industries
no longer increased; (3) a shortage
and speculative buying and hoard-
ing which cannot be prevented.
Psychology and fear are more po-
tent than law: (4) the fact that
higher tax^s and more bond sales
will result In greater disbursements
which must come back to increased
purchasing and higher prices.
I believe that these eight reasons
about balance one another and
that the net result will be an in-
crease of not over 10%, as above
indicated. This, however, does not
necessarily require an equal in
crease in the coet-of-living for
Stock To Go Up?
The stock market was a “selective
market” during 1941 and will prob-
ably continue to be such during
1942. While the market as a whole
was declining, certain stocks were
moving upward. Among these were
war stocks, movie stocks, motor
coach stocks, chewing gum stocks,
soft drink stocks, and’ certain chain
store stocks. On the contrary, the
stocks of companies making mostly
refrigerators, oil burners, auto parts
and the like have declined much
more than the average market.
This has also l»een true of the elec-
trical appliance stocks and the
“small-loans" stocks. As declining
stock prices came in 1941 accom-
panying advancing business activi-
ty, it is logical that advancing stock
prices should come in 1942 accom-
panying declining business activity.
Certainly stock prices will recover
sharply from present quotations
even if not topping 1941 highs. The
companies to buy into are those
which are enjoying increased con-
sumer demand and are having no
ELEANOR POWELL IN “LADY BE GOOD’
A scene from “Lady Be Good” starring Eleanor Powell, Aim Sothern
Robert Young and Red Skelton which wil be shown at the Cactus Thea-
tre Sunday and Monday.
government interference. Fire-in-
surance stocks look good to me for
1942 investments. Besides, they
should be a good inflation hedge.
Defense Costs For 1942
During the calendar year 1941
our government spent about $16,-
000,000,000 with revenue of over
one-half this sum. It Ls estimated
that this will be nearly double in
1942. I estimate the government
debt increased during 1941 about
$12,000,000,000. Bankers recently
estimated that on December 31,
1942 the government debt will be a-
bout $65,000,000,000 compared with
only $20,000,000,000 in 1922 and less
than $2,000,000,000 in 1917. As a
result we are slowly approaching
state capitalism. The Federal Gov-
In this connection let me say that
according to the U. 8. Chamber of
Commerce, U. S. taxes in 1941 were
higher than English taxes whether
measured on a per capita or per-
centage basis. My estimate for U.
S. federal, state, and local taxes
for 1942 is $25,000,000,000. This gives
a per capita figure of about $180—
for every U. S. person; while the
British figure will be only $173 per
person. Based upon national in-
come, it is estimated that U. S.
taxes take 25% of our national in-
come while the British taxes will
take only 22%.
Just a word to various groups
who read this forecast: (1) To man-
ufacturers and investors:—Get out
ernment may some day control .... , . . .
banking, transportation, and farm-' °t ^e objective case. Stop kicking,
ing. I am bearish on long-term gov-1 but help more to row the boat. If
England is likewise Increasing
its debt by leaps and bounds. This
makes me wonder why we talk of
uprising in Germany. Could not the
English, Japanese, Italians, or even
American people get tired and quit?
^Jibings of Joi|
You've rung the bell
for us, and we're
ringing it now for
you—ringing in 365
Howdy grand and glorious
Folks day* hap-
ij pine** and prosper-
ity for 1942.
This in our wish
for von at this happy
New Year season.
S. L. Salinas
J. C. Thomas
REAL ESTATE LOANS
you believe in “private enterprise’
show more of this enterprise in
your own plans and polices It you
love personal liberty, be willing to
fight for it, to be taxed for it, and
accept the risks that go with it.
If you wish to avoid having the
government, make it yourselves.
There never was any cyclone celler
for private property or for private
12i To wage workers and others:
—Smash the racketeers whether in
labor circles or government circles.
Insist that workers shall vote by
secret ballot as to whether or not
they shall strike after hearing arg-
uments from both their labor lead-
ers and their employers. (I am will-
ing to agree that no corporation be
allowed to put on a “lock out" with-
out a similar vote by its stockhold-
ers.) I beg labor in 1942 to en-
courage the Department of Justice
in eliminating all rackets.
(3) The Babsonchart shows to-
tal U. S. Business today at an all-
time high. Production and con-
sumption records are being made
all along the line. More are em-
ployed and at higher wages than
ever before. But if 1942 is as good
as 1941 we will be lucky.
We should work, study, and co-
operate as never before! On our
shoulders rests a great responsibil-
ity. This is no time for politics or
pettiness in any form. The stakes
are too high. The very life of our
country and. our way of living hang
in the balance. Let us join whole-
heartedly in giving our all to serv-
ing humanity in this, its hour of
need. Only real sacrifices, effective-
ly co-ordinated, can tip the scales
for righteousness and insure secur-
ity. The fight calls for all we Amer-
icans can give of time, money, and |
blood. Most of all it means that we -
should ask of God forgiveness for)
our past selfishness and wasteful-1
ness. Let’s begin the new year with
an honest prayer that each of as Jf
individuals shall be better men and .
SAT .KBBOOKS, cafe counter
checks, manifold books etc. for
every purpose. What impression do
your sales slips make? Let us show
you samples of salesbooks for ev-
ery purpose. Falfurrias Facts.
PRINTING—Your hometown print-
er can serve you best. Falfurrias
Happy New Year!
At this joyous season we
wish to express our sin-
cere feeling of good will
and friendship to the
many friends and custom,
ers whom it ha& been our
privilege to serve during
May you ride"high,wide
and handsome” every day
In 1942, and may the best
of everything be in store
for you and yours.
DANDY’S CAFE &
OUR WISH FOR YOU
^ All ilosrd for 1942,
and the top of the world
to you as we awing into
tks new orhit of Better
Days to Come. May the
joyous spirit of the New
Year pervade you, and
may 1942 pour gifts into
your cup until it u Idled
...more sunny hours
...more joy mid gladness
...more peace of spirit
...more true friendships
...more health and happiness
...new joy in living
ALWAYS SOMETHING NEW
I I OPE springs eternal in the
human breast," and there could be no
better time for bright new hopes than now,
as we turn back a time-worn page. That
many a ray of sunshine may fall upon that
new page to which we now turn is our New
Year’s wish for you.
Drop in and see us. We’re always at the
same old stand, ready to serve you 100%.
Grant Lumber Co.
★ * * A THOUSAND THANKS ★ * ★
Let us all make merry and be jolly, for there is
reason sufficient. New leadership is at the Wheel
of Time and brighter ports are in the offing.
As for ourselves, under the same leadership
anjl with the same friends to help us we expect
to reach new heights of service to this community
in 1942. A thousand thanks for past favors.
We wish you a holiday of unbounded merriment
and joy, and a New Year replete with benefits
Gardner Chevrolet Co.
...epad wm fan mtir.
GOOD DUCK TO YOU
Another year . . . another page . . . Father Tim*
in the role of a youngster!
In a world grown young over night we wish you
an abundance of jollity and merriment, and, in a
larger sense, the complete happiness of realization
in the days to come.
May we hope for a continuance of the pleasant
‘Nations which have meant so much to us in 1941 f
Western Auto Asso.
H. H. Hampton
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Behrent, Howard. Falfurrias Facts (Falfurrias, Tex.), Vol. 35, No. , Ed. 1 Friday, January 2, 1942, newspaper, January 2, 1942; (texashistory.unt.edu/ark:/67531/metapth878842/m1/4/: accessed March 21, 2018), University of North Texas Libraries, The Portal to Texas History, texashistory.unt.edu; .