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“The, strongest memory is.weaker than 9h the*weakest ink.” = FRIDAY, APRIL 10, 1958.

The Federal Budget '

That the election honeymoon is

now definitely over, was indicated in

the budget delivered by Finance Min-

ister Fleming in the House of Com-

mons last evening. It is, in many ways, a cheeying budget; but it in- volves tax increases to the tune of

_ #$325,000,000 a year. These increases

fall on corporation and personal in-

- comes, cigarets, cigars and spirits.

\The cheering news lay in the evi- dence that Canada has pretty well weathered the economic recession. The deficit for the year e March 31 last, though astronomically high, was lower by several million dollars than the forecast of last September. A rise of 7 per cent in national pro- duction is predicted for 1959, com- pared with a gain of 2 per cent in 1958. This is based on the assumption that there will be normal crops, stable prices and no “untoward” hap- penings abroad. The country, Mr. Fleming says, can now éxpect a. ra- pid growth in employment opportun- ities. The noticeable upturn since the last three ths of 1958 gives grounds for the minister's optimism.

The problem before the Govern- ment was whether to coast along on this upsurge, with no tax increases, er to seek more money through high- er taxes aimed at reducing the deficit. te manageable proportions, and thus strengthen confidence in the gov- ernment’s sagging bond market. The

- wiser course; we believe, has been

followed, though it may not prove generally popular.

. Qur farmers will welcome the in- ereased tariff protection offered on Canadian fruit and vegetables, par- ticularly during the Canadian produe- tiem season. Conversely, there has -

« been a reduction in the tariff on some

—tmported-fabrics—and

year to $393,000, petra

other items which will be acceptable.

Altogether, the interests of our basie producers. seem to have been

pretty well safeguarded. It is hoped be reduce the $616,600,000 deficitof

with as little strain on the economy as possible. The budget is hailed for that reason by the Conservatives as a ““recovery” budget. We have yet te hear what the Opposition thinks about it. as :

Department Reorganized Important steps have been taken at Ottawa this month in reorganizing the Canadian Department of Agri- - eulture. Starfing in a very modest Way more than a century ago, the ‘Department's work and program of activities grew steadily, but compara- tively slowly, up to the end of World War II. Since then, owing to the growing complexities of the industry

' it serves, expansion of the Depart-

tS

ment has taken place at an acceler- ated rate.

A great many more scientific and technical personnel have been added to the staff; new research labora- tories ‘and other facilities have been provided in many. parts of the coun- try, and the responsibilities and work of the regulatory services have widened and become more intensified with increasing farm output. It is not surprising that new problems shoulc. have arisen out of the-growth and multiplication of duties which the Department has assumed.

Senior officials have been giving attention for more than a year now to finding a solution to these prob lems. The new plans, which came into effect on April 1, include the establishment of a Research Branch that amalgamates the former Ex- perimental Farms and Science Ser- vices, as well as the formation of a Production and Marketing. Branch

‘which combines the former Product- jon and Marketing Service.

Each of these units, will have as its head an Assistant’ Deputy Minis- ter under whom will be a Director- General with appropriate supporting staff. An Administrative Branch will fake care of ‘departmental house- keeping and wil] also embrace “the Information Division and Economies Division, the latter now not much more than a servicing ‘body for the

Depariiuent. It is anticipated that a

‘

>

fourth Branch will be established later to deab specifically with conser- vation and rehabilitation matters.

Of special interest .is the amal- gamation of the former research ser- vices into a single Research Branch under Dr. C. H. Goulden as Assistant Deputy Minister... In an article in The Country Guide, Dr. Goulden ex- plains that the primary objective is to upgrade the quality and increase the amount of research that is being done for the farmer, This is to. be achieved largely’ by the adoption of ‘&@ system which will emphasize the “team” approach (several scientists,

with different specialized train-

ing,’ working together on the solu-

, tion of a given problem), and which

is aimed at decentralizing respon-

sibility and authority to regional and

institute. directors, and to superin- tengents. :

The Country Guide expresses fear that under the new setup, the key player in many teamwork re-~ search projects is going to be con- spicuous by his absence. This is the agricultural economist, for whose employment no provison is made in the new Branch, which will spend about $30 million annually. Dr. Goilden, however, has quelled any fears that anyone might hold that either contacts with or the views of farmers and fatm organizations will be neglected under the reorganiza- tion.

EDITORIAL NOTES

An unpleasant echo from the past is the news that Britain's Fascist leader, Sir Oswald Mosley, plans to - run for Parliament in the next gene- ral election. Sir Oswald founded the. new “Union Movement” in 1948 to take the place of his prewar British Union of Fascists, but until now he has generally remained in the back- ground.

* * »

The Eiffel Tower of Paris is 70 years old. It was built as a tempor- \ary structure for the Paris Exhibi- tion of 1890 and was formally opened March 31, 1889. It is the fifth high- est tower in the world. Because it was supposed to _be of a temporary status it was built of cheap iron; but not one rivet has had to be replaced in the 70 years. k

A Toronto discussion the other

|day brought up the suggestion that

members of. the Canadian Senate should face compulsory retirement at* 15 years of age. To which the Sud- bury Star adds, unkindly: “Why not retirement at 70? The senators would automatically become eligible for the old age pension, and as the present pension is considered to be adequate for other Canadians there can be no objection on grounds of inadequacy.” * The weakness of carrying on public business by referendum. has been demonstrated in the defeat of a proposal to build a badly needed new police station for Hull, Quebec. It had the nearly unanimous sup- port of the Hull City Council and the assent of 54 percent of the rate- payers who. bothered to vote. A two- thirds majority vote was needed, and the project was killed because a well-organized minority represent- ing: only 22 percent of the taxable assessment stood in the way. — * * *

In the last 10 years the United States has invested more than $15

billion in its missile program. Mis- siles in the next fiscal year will cost about $$7 billion, about one billion more than Canada’s whole ‘budget _.will spend. Each time an Atlas or a Thor missile blasts off at Cape Cana- veral about $2 million of the Ameri- can taxpayers’ money goes.up, in the smoke, according to the magazine “Flying” which ‘worked out these figures. Even a baby rocket like the Nike costs $80,000 and those are shot off like fireworks on the Fourth, of July. * * *

“Shed a tear for Liberal Leader Pearson,” says the Globe and Mail. “His colleague, Premier Joseph Smallwood, announced the other day that Newfoundland’s labor legisla- tion was to be mildly modified. Mr. Pearson was gratified, and his ex- pressions of gratification appeared in Saturday’s papers. Also in Satur- day's papers, unfortunately, was an announcement from Premier Small- wood that he had changed his mind; t legislation would stand. Like many a politician, Mr. Pearson must feel that he can protect himself from his enemies—but who will save him from his frends.” Mr. Smallwood

may be feeling the same way!

| ginning—and the point—of the

~

~ THE CURE-ALL

Konrad Adenauer’s decision to give up the German chancellor- ship for the figurehead post of president of West Germany may profoundly affect East’ - West |

PUBLIC FORUM

This column its open te the discus

sion by correspondents of question c.

interest. The Guardian does not neses

sarily en“orse the opinion ef corres pondents.

CAUSEWAY AND CANAL

| Sir-—I am obliged to you for publishing my letter.

In-your covering editorial you quote me as saying that the can- al and causeway were both listed among “the four things first need- | ed by the four provinces’ and | go on to say that you could not find it in your March ‘copy. I, therefore, enclose you a second copy and I have marke the words with red ink. That was the be

article to which you referred:———

The Atlantic Advocate cannot be responsible for the opinions of its contributors. The article on Chignecto contributed by Mr. D.A. Young of Foundation of Canada Engineering Corporation is the expression of his own opin- jon. The main point of interest in his article is his companys estimate of the cost of cutting the canal. He includes the tidal power developments as among the major pro which he thinks could not be undertaken simultaneously for financial rea- sons. There are several tidal pro- jects under discussion and it is true that they may reach start- ling totals of estimated expendi- ture and may or may not be ec- onomic. They remain to be proved. The opinion of the Atian- tic Advocate is expressed on the editorial page in which we have defined what we believe to be the proper criterion to be applied to public works schemes:

First, there is nothing - infla- tionary about a public works scheme in a time of unemploy- ment.

Secondly, there ie nothing im flationary about a scheme that will create wealth and employ- ment in a measure greater than the cost of the investment.

We have never said and do not ' believe that Canada cannot af- ford both the causeway and the canal. -

Yours faithfully, THE ATLANTIC ADVOCATE Michael Wardell Editor and Publisher. i

(Our correspondent has added | nothing to the arguments advanc- ed in his previous letter, to which we replied editorially. In the marked copy he has forwarded, the Advocate’s statement that “Prince Edward Island wants a causeway, New Brunswick a can- al’ is underlined im red ink; but we had already quoted the whole paragraph, the gist of which was that if these schemes should prove incompatible, ‘‘it must be the can- al’. As for responsibility for the opinions of its contributors, Mr. Young's article is commended editorially and the Advocate does not dissociate itself from the views he expressed in the state- ment quoted by us. Lastly, in that part of its editorial defining ‘‘the proper criterion to be applied to public works schemes’’, the Ad- vocate was dealing exclusively with the canal scheme, which it estimated to cost “eighty or a hundred million dollars, or more.” It said nothing whatever about Canada being able to afford the causeway as well, now or at any time, or about its advantages to us or anyone else. — Ed. G.)

HOSPITAL INSURANCE

Sir,—I have tread with interest a letter from Mr. Harry Prid- ham which appeared in your is- sue of April 1. in which he com- ments on the Prince Edward Is- land hospital insurance plan and on the strike of wood workers in Newfoundland. He makes the sweeping assertion that the hos- pital plan on I rince dward Is- land will be a perfect failure and

advocates @ sales tax of 3 per

Adenauer’s Décision

By George Kitson Canadian “Press Staff Writer

| P |as machinery of all kinds, gas,

negotiations this spring and sum- mer on the problera of West Ber- lin.

Even though the 8 - vear - old German leader does not step into the presidency until midSeptem- ber, the early announcement of his decision can hardly help but diminish any influence he might

| have hoped. to exert on the big ' four foreign ministers’ talks open-

ing next month and the summit conference expected to follow this summer.

Adenauer himself said in a German broadcast discussing his decision that he has no intention of becoming a figurehead presi- dent, but the fact remains that the powers of the West German president are limited by the con- stitution and the office has been largely one of pomp. prestige and ceremony.

MAY ALTER RELATIONSHIP

Adenauer's departure as chan- cellor seems certain to alter, in the long run,’ the relationship be-

tween Washington and Bonn. The men from whom his successor will be chosen are far more in dependent of the United States

¢ent which TI understand is the policy of the Conservative Party as enunciated by Mr. R.R. Bell

in the Provincial Legisiature.

Six provinces have so far adop- ted the hospital insurance plan

. and out of these five have adop-

ted the voluntary plan: namely, New Brunswick, Ontario, Mani- toba, Saskatchewan and P.E.1., not only on the advice of their own health officials but also on the advice of qualified hospital insurance experts.

I consider that these health of- ficials and experts are better qualified to advise as to the best method to be followed) than is the ordinary layman. In a small ag- ricultural province such as ours, a sales tax is neither sensible nor practicable for the simple reason that the farmer would have to carry the greater part of the load notwithstanding Dr. Wend- ell MacDonald te the contrary, be- cause the tax would have to be levied on all purchases of the farmer for the reasons pointed

group or class in the community for he is a producer, a consumer and a manufactuer; and a sales tax would apply not only to his purchases of the necessities of life but also to his implements of tion and manufacturer such

oil, fertilizers, lime, seeds, feeds, to mention only a few of the countless requirements that a far- mer has to purchase during his yearly operations. A sales tax would therefore be an extremely costly plan for the farmer.

} have carefully followed the speeches in our Provincial As- sembly concerning this import- ant piece of legislation, and as I understand it the plan coveré everyone in the Province who wishes to take advantage of it. if I am wrong I would appre- tiate it if Dr. Bonnell would cor- rect me through the press.

ple including their family (if they have one) until they are of legal age. Ail indigent persons who are now receiving financial assistance from the government, either fed- eral or provincial, will have thei contributions paid by vincial government and are not now in receipt cial assistance, if due tion shows that they are not fin- ancially able to pay, will also paid by

he

=

the those of

have their contributions the government.

This then will leave 10 percent or 15 percent tioned by Mr. Pridham without this ‘most advanced piece of so- cial legislation; and if they are so. indifferent that they are not willing te contribute the small

only

two men have made reunification

than was he.

In this connection. Adenauer's departure has a relationship to the absence in Washington of State Secretary John Foster Dulles, recuperating in Florida after treatment for cancer. All

i

rat aE

feet. He may also complain of neuralgiadike pains throughout

are also frequently victims of low blood pressure.

REST IN ORDER

This type of person ts apt to be tired when he arises in the morning. As the day progress- es, he gaiins physical momen- tum.

through the post-war vears, these

of Germany by means of free elections the official goal of the Western world.

There already is speculation about a modification of German Policy on the free-election for-

mula if Dulles also drops out of |

leadership because of his health. Some radical developments in the Western approach to the German problem might be ex- pected should that be the case

The effect of the Adenauer de. cision on Soviet Foreign policy as it applies to Germany must await the foreign ministers’ conference in Geneva and any summit talks that might follow UNDERSTANDABLY AFRAID

The Russians are understand- ably afraid of a revival of Ger- man militarism. Behind Premier Khrushchev's reluctance to con- sider German reunification is be- Yieved to be a fear that a shift in. power in Germany might pro- duce new, aggressive German leaders bent on exacting revenge for the defeat in the Second World War.

To Khrushchey, Adenauer rep- resented at least a known quality —a hard bargainer. ever-insistent on a tough tine-in—-am with Moscow but no seeker of re- venge either on the East or the Western powers who fought Hit- ler. -

Those who follow Adenauer will be relatively new to both East and West, and Khrushchev's po- sition can be expected to harden until he has had a-chance to assess their ultimate aims.

Generally, a rest or an adjust- ment that balances work and | play more equally will return the | blood pressure to normal level. | Low blood pressure should be | watched and treated where ne | cessary, by a physician. I no serious factors are involved, it is merely a matier of under- standing the condition and learn- ing that you must not overdo things.

Some cases of low blood pres- sure are connected with emotion- al disturbances. Once these emo- tional situations are resolved the blood pressure may return to normal by itself.

QUESTION AND ANSWER L. J.: I have prostate gland

| treuble and am afraid of an dp-

| eration. Please advise me if this would be dangerous

Answer: In prostatic conditions, the disease, if uncontrolled, is much more dangerous than the operation might be.

MAXIMS

Each honest calling, each walk of life, has its own elite, its own aristecracy based en excellence of performance.

TO PAY coMP ENSATION

BONN (Reuters) — The West German finance ministry said Monday it had agreed to pay compensation to Dutch citizens who suffered losses te their per- sonal property through confisca- tions during thé Nazi occupation between 1942 and 1944.

The Big Treaseury Hole

Harold Morrison Canadian Press Staff Writer

OTTAWA CP) -A combination of forces, including the reces- sion and increasing pressure for more cradie - to - the - grave sec- urity, helped blow the big hole ia the federal treasury last year.

Political play for power may also have been a factor. Out of the general elections of .1957 and 1958 came a shift in government and pledges of increased welfare payments, more farm subsidies and a bigger split in the federal tax pot with the provinces.

Biggest in peacetime. the 1958- 59 budget deficit of $616,600.00 compares with one of $38,600,000 in 1957-58 and a surplus of $257,- 500,000 in the 1956-57 fiscal year.

Roughly equivalent to about 12 per cent of budget expenditures,

yearly amount that is required to enable them to partake of the in- estimable benefits of this legis- lationa, then they are not deser- ving of any consideration what- soever. .

As for his remarks concerning the strike in Newfoundland, I doubt if any of us are qualified to discuss the merits or demer- its of the strike. It isconly those who are conversant with condi- tions as they really exist who are in a position to do so. But in pas- sing I might méntion that we farmers, Mr. Pridham included, were a few years ago thankful that we had another Liberal Pre- mier who had ‘‘guts’’ enough to stand up for the farmers who stood to lose thousands of dol- lars through a strike at the C. .- ada Packers Plant in Charlotte- town. I would commend to Mr. Pridham the reading of Harold Bell Wright's hook, “Helen of the Old House” in this connec- tion. I will conclude my remarks. by quoting a passage from a speech delivered before the U.S. Chamber of Commerce by New York Attorney, Theodore B. Wise- man, “Labor Utien power con- stitutes 4 more immediate threat to our way of life’than does the military migh' of Soviet “tussia’’.

I am, Sik, ete.

FARMER Alberwa, ~*

the deficit might actually have totalled $828,400.000 on the basis of spending. bse CLEANED OUT FUND = ©

But Finance Minister Fieéming cleaned out a $211,800,000 special non - budget defence equipment fund, built up by the sale of Ca- nadian arms to North Atlantie partners, and used this to cut down the size of the deficit as applicable to the budget.

Recession played a double role in the huge deficit rise. I blocked any tax boost the policy- makers may have contemplated, for the general feeling among the experts is that a recession is no time for tax increases. And it ac- tually reduced the government’s tax take.

Because of the business _slow- down and because of & paring of some tax rates in December, 1957, federal budget revenues in the last fiscal year dropped to $4.770,800,000 -from $5,048,800,000 the previous year. —

Including special taxes for old age pensions, revenues totalled $5,146,800,000, down from 9%5,420,- 300,000 in 1957-58.

Expenditures, including pen sion otftlays, climbed to a record $5,673,400,000 from $5,457,400,000. WELFARE BILL. ROSE

By far the biggest the welfare bill — pensions, creased to $55 a in November, 1957; tional hospital family allowances; pensions to the needy, abled, the blind and to federal grants on unemployment insurance.

The welfare bill rose to $1,326,-

rates increased because of a Var- lety of conditions in Canada ‘and

out, socially or for job reasons, |

1 And rolis on echo out beyond

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The Buddhist emperor of In-

From this it would appear that Asoka was born 2,159 years toe early.—Fort William Times-Jour- nal

Ontarte could be crippled with- out using a single atc ‘¢ bomb. All that would be necesszry would be to cut off electricity. Think what would happen to your town without hydro! We have be- | come utterly dependent on elec- tricity, machinery and gadgets. Wf they were suddenly cut off, millions couldn't survive two weeks. The ones with the great- est chance of living wouki be the Eskimos, the Northern Indians or those white people who live in the far corners of our country or who have not yet lost touch with the wilderness. — Fergus News-Record

PLAYWRIGHT: SPRING

No player ever walked the boards

With greater pomp, more meas- ured stride ¢ .

Than this trim actor of the birds

Whose camouflage is here be- trayed . a J

By thunder-wings and fantail @read. |

The fallen column of a tree

(A hollow house for little beasts).

Sufficient stage, is set today

To satisfy his thespian tastes. The play begins that spring re-

+—quests.

A courtly drama is the theme Enacted on a weathered bole— Curious courtship, season mime. Performs, obeys a cycled rule: Serious mummer acts his role.

A tympano of trembled sound Fills the woodland’s mottled shade

From ancient, rhythmic meas- ures played By strutting talent in a glade.

—wWilliam Vincent Sielier in the Christian Science Monitor

debt and higher interest. charges, the government had to pay out

an extra $65,200,000 in debt $604 400,000.

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The Age Old Story’

Take us the foxes, the little for es, that spoil the -vines: for our vines have tender grapes. :

OUR YESTERDAYS .

(From the Guardian Files)

TWENTY-FIVE YEARS AGO (April 10, 1934) Frequently discussed plans for obtaining for Charlottetown the advantages of the Carnegie De. monstration Library, now suc cessfully functioning in other parts of the province, came to a head last night when members of the Library Committee decid- ed to raise by public subscrip- tion an amount of $1,200 nece> sary for the purchase of equip _ ment, required under the Cart —

Mr. Ira D. Reid of R.T. Hol- man left Monday morning for Montreal to attend the Frigidaire Conventon which opened Tues day. This convention is held each year to keep those in charge of out Canada posted on any developments. Mr. Reid will turn to the province im a days.

i

TEN YEARS AGO (April 10, 1949) =

Four P.E.I. Air Cadets are home from a three day

tional flight from Summerside on

Belief that there will be an ear ly start made on the Trans-Cam ~ § ada Highway project, was ex -

just for your

opinion!

see page 14

—

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the United Staies. With a