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Text of International Agreements Reached in Moscow Conference
Pledge Co-operation In Carrying on War, Maintaining Peace Text of joint four-nation declara tion : The governments of the United States of America. United Kingdom the Soviet Union and China: United in their determination, in accordance with the declaration by the United Nations of January i, 1942. and subsequent declarations, to continue hostilities against those Axis powers with which they re spectively are at war until such pow ers have laid down their arms on the basis of unconditional sur render; Conscious of their responsibility to secure the liberation of them selves and the peoples allied with them from the menace of aggres sion ; ' Recognizing the necessity of in suring a rapid and orderly transition from war to peace and of establish ing and maintaining international peace and security with the least diversion of the world's human and economic resources for armaments; Jointly declare: 1. That their united action, pledged for the prosecution of the wai against, their respective enemies, wili be continued for the organization and maintenance of peace and se curity. 2. That those of them at war with a common enemy will act together in all matters relating to the sur render and disarmament of that enemy. 3. That they will take all meas ures deemed by them to be neces sary to provide against any violation of the terms imposed upon the enemy. 4. That they recognize the neces sity of establishing at the earliest practicable date a general interna tional organization based on the principle of the sovereign equality of all peace-loving states, and open to membership by all such states, large and small, for the maintenance of international peace and security. 5. That for the purpose of main taining international peace and se curity pending the re-establishment of law and order and the inaugura tion of a system of general security, they will consult with one another and as occasion requites with other members of the United Nations with a view to joint action on behalf of the community of nations. 6. That after the termination of hostilities they will not employ their military forces within the territories of other states except for the pur poses envisaged in this declaration and after joint consultation. 7. That they will confer and co operate with one another and with other members of the United Na tions to bring about a practicable general agreement with respect to the regulation of armaments in the postwar period. Communique Reveals 12 Parleys Were Held Text of joint communique of tri partite conference at Moscow: The Conference of Foreign Sec retaries of the United States ol America. Mr. Cordell Hull: of the United Kingdom. Mr. Anthonv Eden, and of the Soviet Union. Mr. V. M. Molotov; took place at Mos cow from the 19th to 30th of Oc tober. 1943. There were 12 meetings. In addition to the foreign secre taries. the following took part in the conference: For the United States of America: Mr. IV. Averell Harriman. Ambas sador of the United States: Maj. Gen. John R Deane. United States Army. Mr. H. Hackworth. Mr. James C Dunn and exnerts. For the United Kingdom: Sir Archibald Clark Kerr. Ambassador: Mr. William Strane. Lt Gen. Sir Hastings Tsmav. and expert'. For the Soviet Union: Marshal K. F Voroshilov. Marshal of the Soviet Union: Mr. A. V. Vvshinski. Mr. M. M. Litvinov. Deputy People's Commissars for Foreign Affairs: Mr. V. A. Sergeyev. Deputy People's Commissar for Foreign Trade: Maj. Gen. A. A. Gryzlov, of the General Staff: Mr G. F Saksin. Senior Official for People's Commissariat for Foreign Affairs, and experts. Agenda Was Broad. Tire agenda included all questions submitted for discussion by the three governments. Some of the questions called for final decisions, and these were taken. On other questions, after discussion, decisions of principle were taken: These questions were referred for detailed consideration to commissions speci ally set up for the purpose, or re served for treatment through diplomatic channels. Other ques tions again were disposed of by an exchange of views. The Govern ments of the United States, the United Kingdom, and the Soviet Union have been in close coopera tion in all matters concerning the common war effort, but this is the first time that the Foreign Secre taries of the three governments have been able to meet together in conference. In the first place there were frank and exhaustive discussions of the measures to be taken to shorten the war against Germany and her satellites in Europe. Advantage was taken of the presence of mili tary advisers representing the re spective Chiefs of Staff in order to discuss definite military operations with regard to which decisions had been taken and which are already being prepared in order to create a br.sis for the closest military co operation in the future between tbo three countries. Second only to the importance of hastening the end of the war was the recognition by the three gov ernments that it was essential in their own national interests and in the interest of all peace-loving na tions to continue the present close collaboration and co-operation in the conduct of the war into the pe riod following the end of hostilities, and that only in this way could peace be maintained and the po litical. economic and social welfare of their peoples fully promoted. China Joins in Statement. This conviction is expressed in a declaration in which the Chinese government joined during the con ference and which was signed or the three foreign secretaries and the Chinese Ambasador at Moscow on behalf of their governments. This declaration published today provides for even closer collabora tion in the prosecution of the war and in all matters pertaining to the surrender and disarmament of the enemies with which the four coun tries are respectively at war. It. set forth the principles upon which the four governments agree that a broad system of international co operation and security should be based. Provision is made for the inclusion of all other )>eace-loving nations, great and small, In this system. The conference agreed to set up machinery for insuring the closest co-operation between the three gov ernments in the examination of Eu ropean questions arising as the war develops. For this purpose the con ference decided to establish in Lon don a European Advisory Commis sion to study these questions and to make joint recommendations to the three governments. Provision was made for continuing when necessary the tripartite con sultations of representatives of the three governments in the respective capitals through the existing diplo : matic channels. t ommittee on Italy. The conference also agreed to establish an advisory council for matters relating to Italy, to be com posed in the first instance of rep resentatives of their three govern ments and of the French Commit tee ol National Liberation. Pro vision is made for addition to this council of representatives of Greece and Yugoslavia in view of their spe cial interests arising out of aggres sion of Fascist Italy upon their ter ritory durng the present war. This council will deal with day-to-day questions oilier than military prep arations and will make recom mends t ions designed to co-operate Allied policy with regard to Italy. The three foreign secretaries con sidered it apporpriate to reaffirm by a declaration published today the attitude of the Allied governments in favor of the restoration of dem ocracy in Italy. The three foreign secretaries de clared it to be the purpose of their governments to restore the inde pendence of Austria. At the same time they reminded Austria that in the fij.a! settlement account will be taken of efforts that Austria may make towards its own liberation. The declaration on Austria is pub lished today. Warning Given Germans. The foreign secretaries issued at the conference a declaration bv President Roosevelt. Prime Minister Churchill and Premier Stalin con taining a solemn warning ’hat at the time of granting any armistice to any German government, those German officers and men and mem bers of the Nazi parts’ who have had any connection with atrocities and executions in countries overrun by German force . will be taken back to the countries in which their abominable crimes were committed to be charged and punished accord ing to the laws of those countries In an atmosphere of mutual con fidence and understanding which characterized all the work of the conference, consideration was also given to other important questions These included not only questions of a current nature but also questions concerning treatment of Hitlerite Germany and its satellites, economic co-operation and assurance of gen eral peace. Full Freedom Pledged To People of Italy Text of declaration regarding Italy: The foreign secretaries of the United States. United Kingdom and Soviet Union have established that their three governments are in complete agreement that Allied policy toward Italy must be based upon the fundamental principle that Fascism and ail its evil influence and configuration shall be com pletely destroyed and that the Ital ian people shall be given every op portunity to establish governmental and other institutions based upon democratic principles. The foreign secretaries of the United States and Uni ed Kingdom declare that the action of their governments from the inception of the invasion of Italian territory, in so far as peramount military re quirements have permitted, has been based upon this policy. In furtherance of this policy in the future the foreign secretaries of the three governments are agreed that the following measures are im portant and should be put into ef fect : 1. It is essential that the Italian government should be made more democratic by inclusion of repre sentatives of those sections of the Italian peoole who have always op posed Fascism. 2. Freedom of speech, of religious worship, of nolitical belief, of press and of public meeting shall be re stored in full measure to the Italian people who shall also be entitled to form anti-Fascist political groups. 3. All institutions and organiza tions created bv the Fascist regime shall be suppressed. 4. All Fascist or pro-Fascist ele ments shall be removed from the administration and from institutions and organizations of a public char acter. 5. All political prisoners of the Fascist regime shall be released and accorded full amnesty. 6. Democratic organs of local gov ernment shall be created. 7. Fascist chiefs and army generals known or suspected to be war crim inals shall be Arrested and handed over to justice. In making this declaration the three foreign secretaries recognize that so long as active military op erations continue in Italy the time at which it is possible to give full effect to the principles stated above will be determined by the com mander in chief on the basis of in structions received through the com bined chiefs of staff. The three governments, parties to this declaration, will, at the request of any one of them, consult on this .natter. It is further understood that nothing in this re olution is to op erate against the right of the Italian people, ultimately, to choose their own form of government. Austria to Be Restored To Status of Nation Text of declaration on Austria: The governments of fire United Kingdom, the Soviet Union and the United States of America are agreed that Austria, the first free country to fall a victim of Hitlerite aggres sion. shall be liberated from German domination. They regard the annexation im posed on Austria by Germany on March 15. 1938. as null and void. They consider themselves as in no way bound bv any changes effected in Austria since that date. They de clare that they wish to see re-estab lished a free and independent Aus tria and thereby to open the way for the Austrian people themselves, as well as those neighboring states which will be faced with similar problems, to find that political and economic security which is the onlj basis for lasting peace. Austria is reminded, however, that she has a responsibility, which she cannot evade, for participation in the war at the side of Hitlerite Ger many, and that in the final settle ment, account will inevitably be taken of her own contribution tc her liberation. Punishment of Atrocities Mapped at Conference Text of the statement signed b\ President Roosevelt. Prime Minist": Churchill and Premier Stalin re garding atrocities: The United Kingdom, the Unitec States and the Soviet Union have received from many quarters evi dence of atrocities, massacres ant cold-blooded mass executions whicl ;>re being perpetrated by Hitlerite forces in many of the countries thc\ have overrun and from which thc\ are now being steadily expelled. The brutalities of Nazi domina tion are no new thing and all peo ples or territories in their grip have suffered from the worst form o; government by terror. What is new is that many of these territory? are now' being redeemed by the advancing armies of the liberating powers and that in their desperatior the recoiling Hitlerites and Huns are redoubling their ruthless cruelties This is now evidenced with par ticular clearness by monstrous crimes on the territory of the Soviet Union which is being liberated frotr Hitlerites and on French and Italiar territory. (>ive l ull Warning. Accordingly, the aforesaid three Allied powers, speaking in. the in terests of the 32 United Nations hereby solemnly declare and give full warning of their declaration a follows: At the time of granting of any armistice to any government which may be set up in Germany those German officers and men and members of the Nazi party who have been responsible for or have taken a consenting part in the above atrocities, massacres and executions will be sent back to the countries in which their abominable deeds were done in order that they may be judged and punished according to the laws of these liberated coun tries and of the free governments which will be erected therein. Lists will be compiled in all possi ble detail from all these countries, having regard especially to invaded i parts of the Soviet Union. lo Poland and Czechoslovakia, to Yugoslavia and Greece, including Crete and oilier islands: to Norway, Denmark, Netherlands, Belgium, Luxembourg, France and Italy. Will Be Delivered to Accusers. Thus, Germans who take part in wholesale shooting of Polish officers or in the execution of French. Dutch. Belgian or Norwegian hostages or ot Cretan peasants, or who have shared in slaughters inflicted on the people of Poland or in territories of the Soviet Union which are now being swept eiear of the enemy, will know they will be brought back to the scene of their crimes and judged on the spot by the peoples whom they have outraged. Let those who have hitherto not imbrued their hands with innocent blood beware lest they join the ranks of the guilti', for most assuredly the three Allied Powers will pursue them to tlie uttermost pnds of the earth and will deliver them to their ac cusers in order that justice may he done. The above declaration is without prejudice to the case of German criminals, whose offenses have no particular geographical localization and who will be punished by jo*nt decision of the governments of tilt Allies. Bombay Trading Resumed BOMBAY. Nov. 1 < Pi.—-Trading in cotton futures, banned five months ago by the government -because of , wild speculation, has been resumed | under tight restrictions. Transac tions may be made through only one of India's five cotton exchanges, the East India Cotton Association, with headquarters here, said. Collective Security Agreement Signed in Moscow by 4 Powers • Continued From First Page. > sador in Moscow, the joint com munique said. Ground Laid for Later Action. The ground was laid for later action on other questions. The communique stated: "The agenda included all questions i submitted for discussion by the J three governments, "Some of the questions called for final decisions, and these were taken. "On other questions after discus sion. decisions of principle were taken. "These questions were referred for detailed consideration to com missions specially set up for the pur pose, or reserved for treatment through diplomatic channels. "Other questions again were dis posed of by an exchange of views. The governments of the United States, the United Kingdom and the Soviet Union have been in close co operation in all matters concerning the common war effort., but this is the first time that the foreign sec retaries of the three governments have been able to meet together in conference." Postwar Speed Stressed. Speed in transition from a state of war to a state of peace i; stressed by , he four-power declaration. Ap parently it overrides previous pro iposal.x. tentatively advanced by a (high authority in Washington, lor a fairly long interval between the end ot hostilities and the establish ment of peace. Nothing in any of the official re ports from the conference indicates that Russia is to go to war against Japan. Such an indication, even if it is Russia's intention, could not be expected, for the whole Russian mind and effort is turned now to word the defeat of Germany. The four powers agreed positively to confer and co-operate with each other and the other United Nations for the postwar regulation of arm aments. Italy's Neighbors Reassured. The conference acted to assure Italy's neighbors on the Allied side that they will not suffer through Italy's turn to co-belligerency with the United Nations. Membership of the Advisory Coun cil on Italy is to include the French Liberation Committee aside from the United States, Britain and Rus sia. and provision is made for add ing Yugoslavia and Greece to the council "in view of their special in terests arising out, of aggressions of Fascist Italy upon their territory during the present war." Thp conferees stated in their dec laration regarding Italy that they were in complete agreement on Al lied policy there. The representatives at the confer ence had 12 meetings, according to the joint communique. The prin cipal representatives were Mr. Hull for the United States. Foreign Sec retary Eden for Britain and For eign Commissar Molotov tor Russia lalley Is Appointed Rotating Inspector Inspector Clarence Talley, night inspector of police, today was named ratating inspector and will take ovet immediately the post of traffic in spector held by Inspector Arthui Miller. The new arrangement it for a three-month period. Inspector Miller will fill the night post for the next, three months Thereafter Inspectors James Beck ett Maurice Collins and Ira E. Keck will hat e the night assignment while Inspector Talley takes their day time shifts. Moscow Declarations Hailed as Blow to Nazi Propagandists By the Associated Press. LONDON, Nov. L—Official Britain hailed the sweeping declarations from Moscow today as the death blow to Germany's most effective propaganda weapons and as "a very considerable contribution to hastening the end of the war." After reading the communique on the tripartite decisions in a con ference room packed with scores of journalists from all over the world, a Foreign Office spokesman said that this evidence of collaboration both during and after the war knocked the props from under "Nazi propandists who have encouraged their dupes to expect dissehsion among the Allies.” The historic conference and its concrete evidence of harmony among the United States. Great Britain and Russia was hailed a.s "a source of very considerable gratification to all free peoples of the world.” The spokesman said that in the European Advisory Commission "you see the beginnings of practical col | laboration” and the forerunner of a j' general international organization" j for the maintenance of peace. It seemed apparent that the ques tion of an invasion of Europe had been settled. He said he was not at liberty to discuss if. when or where President Roosevelt. Premier Stalin and Prime Minister Churchill would meet, suggesting perhaps tnat the : three chiefs of state would not meet soon. The communique explained that the new council for Italy would sup plant the present Mediterranean Commission. The Axis is watching vou: keep 'em sighing while you keep buying— ‘War savings stamps. Gen. Bissell Named Assistant Chief for Army Air Intelligence Maj. Gen. Clayton L. Bissell, who commanded the 10th Army Air Force in India until August 19, has been named assistant chief of staff, In telligence, for the Army Air Forces, it was announced today by the War Department. He succeeds Brig. Gen. Edgar P. Sorenson, who has been given an unannounced assignment. Gen. Bissell. 47. is a native of Kane. Pa., and a veteran flyer, who served overseas in the World War. The Distinguished Service Medal recently was awarded Gen. Bissell in recognition of his services in command of the 10th Air Force. He led that hard-fighting unit from August 14. 1942. until August 19, 1943, and commanded all air forces in the Asiatic Theater of Operations from August 18. 1942, to December 1. Rated as a command pilot, com bat observer and technical observer, Gen. Bissell shot down five enemy planes during the World War to win the Distinguished Service Cross and the Silver Star for outstanding heroism. Other awards given him during the present war include the Distinguished Flying Cross, the Atr Medal and the British Distinguished Flying Cross. Gen. Bissell's present assignment in Washington is his first since 1939, when he was a member of the W'ar Plans Division of the General Staff. School Marks 80th Year On the 80th anniversary of the I opening of the Boys’ High School in Otago. New Zealand. T. M B. Muir, who was the first pupil to »nter its doors in 1863. was present I and received a special welcome. Food of Equal Importance in War and Rehabilitation, President Says iContmued From Preceding Paget enough to meet our war require ments. The support price program, cou pled with the program to meet spe cial farming costs without raising prices to consumers, is an essential part of winning the war. The sub sidies that are used cannot properly be called producer subsidies or con sumer subsidies. They are war sub sidies. The costs which thee cover are war costs. On the farm as in industry the war has pushed costs above the levels that prevailed be fore the outbreak of war. and above the levels that will prevail when vic tory has been won. These are costs of v.ar, and it is entirely appropriate that they should be met out of the public treasury, just as are the costs of producing tanks and planes and ships and guns. There is no valid reason why the present stabi lization subsidies should not be con tinued as well as the support prices to farmers, so long as they are clearly in our national interest—as they are in stabilizing the cost of living in time of war. Consumer Food Prices. In the Stabilization Act ol Octo ber 2, 1942. the Congress directed that the cost of living be stabilized as lar as practicable at the level ol September 15. 1942, Between that date and May 15, 1943, however, the cost of living rase 6.2 per cent. Tills was a serious increase, constituting a grave threat, to the entire stabili zation program. It was particularly serious because the cost of living, since January. 1941. had risen con siderably more than the Little Steel formula had permitted wages to rise. Obviously, wages cannot be stabi lized at a certain level unless there is also a stable cost of living. Ob viously, too. the millions of people with incomes fixed long before the war—salaried white-collar workers, clergymen, school teachers, other State, county and city officials, po licemen. firemen, clerks, old-age pensioners, those living on insur ance policies, dependents o! men at the front—all had to be protected against the rise in the cost of living, which was eating steadily into the buying power of their unchanged incomes. So much public attention has been directed at the increased income of workers in war plants, that it has been diverted from this great mass of our population, many of whose incomes have remained fixed all during the war. It is essential that we keep prices down also in order to prevent the spiral of inflation from beginning. As soon as the price of food goes up materially, workers naturally de mand higher wages in order to meet those prices. Higher wages will in turn, boost all production costs—for civilian and military items both. This in turn will cause farmers' costs to rise, and will result in even higher prices for food. No one can tell where the end will be. A higher cost of food can increase the total cost of the war in geometrical pro gression. In the face of this situation. I is sued an order in April. 1943. to hold the line; and, at the time it was issued, I said: "To hold the line we cannot tol erate further increases in prices af fecting the cost of living or fur ther increases in general wage or salary rates— * * * The only way to hold the line is to stop trying to And justifications for not holding it here or not holding it there." Although last May, the cost of living did stand 6.2 per cent above the September, 1942, level, not all the items in the family budget showed this increase—or anything like it. On the contrary, the greater part of the budget was firmly sta bilized. Thus, rent had increased not at all over the eight-month pe riod; housefurnishings had in creased by only a little over 1 per cent; clothing by 1.7 per cent: fuel, electricity and ice by 1.3 per cent, and miscellaneous items, such as laundry services and drug supplies by 3.5 per cent. Food Prices Rose 13 Per Cent. The major portion of the increase in the cost of living—to be precise, three-fourths—was attributable to the failure to stablize one sector of the economy—food prices. These prices rose by 13 per cent. Even with regard to the foods themselves, however, the record was not all so black. Most of the family food budget—in fact, the whole range of foods except only fresh fruits and vegetables—was held to an increase of less than 4 per rent. It was the remainder of the fond budget—the fresh fruits and vegetables—that did the real damage. Fresh fruits and 'vegetables rose 58 per cent between September. 1942. and May. 1943. and accounted for over three-fifths of the increase in the entire cost of living during that period To put this somewhat differently. 90 per cent of the cost of living had been largely stabilized. Ten per cent of the cost of living had been permitted to get nut of hand That was the situation which confronted us last May.. The "easy" way nut of this situa tion would have been to let wages rise above the base date level in the same degree that the cost of living had risen. That is what some did urge. That would have been a serious blunder. For if the line had been relaxed on the wage front, we may rest assured that the resulting pressure of costs would have forced prices and thp cost of living up once more, thus calling for still another rise m wages. Just as the Stabiliza tion Act is to the everlasting credit of the Congress the whole hearted support which responsible organized labor gave to the hold the-line policy stands to tlie ever lasting credit of labor in the United States. The responsible labor lead ership saw that the easy way out was no way out at all, and they re jected it. Instead, they threw then full energies into making effective the program to reduce the cost of living, the program to bring the cost of living back into balance with wages ine nold-tne-Une oiacr was designed to undo the damage that had been done and to prevent any further damage The rise in the cost ot living having resulted almost entirely from the increase in cer tain food prices, tiie program was quite properly designed to bring those food prices back to their Sep tember levels as far as possible. Reductions in cabbage and lettuce ,resulted from squeezing the water out of tlie price structure by re ducing excessive margins of distrib utors wherever they were found to exist. Tlie retail prices of meat and butter were reduced by 10 per cent. In these instances, tlie prices re ceived by farmers and distributors did not permit reduction without bringing returns to unreasonably low levels. Accordingly, an equal ization payment was paid by tlie Government to the processor to en able him to reduce the price of these products without loss to himself and without reducing the price he paid the farmer. The Reconstruction Finance Corp. undertook to make these payments to processors of meat and butter, so that retail costs of these foods might be held down, while the producers received large enough returns to encourage output. Tlie public Treasury has been using, as food production aids, other forms of payments tinder the Agri cultural Adjustment Act and so called section 32 operations lor sup ports ; prices. Additional or subsidy payments have been made to industry in order to secure wartime production of many essentials, including copper, zinc, aluminum and other critical materials. We have paid premiums to speed up construction of ships and other war materials. In consequence of these programs, the rise in the cost of living, which had proceeded without interruption from the early months of 1941. was brought to an abrupt halt. In June, 1943, the cost of living fell to 5.9 per cent above the September. 1942, level, in July to 5.2 per cent, and in August to 4.8 per cent. It is true that in September. 1943. the cost of living rose by nearly one-half per cent. It was not due to food but mainly to the cost of clothing. There is now being put into ef fect a program, recently announced, to reduce the retail prices to con sumers of other items: Apples, onions, potatoes and sweet potatoes, peanut butter, lard and vegetable shortening. Will Cut Present Prices. Furthermore, preparations are be ing made to establish ceilings at levels substantially below current retail prices on other winter vege tables. A major part of these decreases will be made possible without the use of subsidies and by means of a reduction of margins and returns which are excessively high. In some cases, however, it will be necessary, in order to hold the retail prices at reasonable levels, for the Govern ment to absorb part of the cost of transportation, to take a moderate loss on purchase operations, and to make direct, payments. In addition we intend to assure I to the consumer that part of the 'savings in price to which he is en titled, and to prevent it from being dissipated by ceiling violations. This program is intended sub stantially to effectuate the directive of the Congress We are confronted, however, by acute pressures else where, which threaten to break through the line. There are two situations' which require immediate action These are milk and bread basic items in every family’s diet. In the rase of milk, increases in feed costs and other costs have brought the dairyman's returns down to a level far below that of producers of other farm commodities. Adequate production of this vitally important food is threatened A program has just bees announced by the War Food Administration to help meet the milk situation. This is discussed hereafter in connection with the problem of supplying feed to dairy farmers. A program to prevent an increase in the price of bread is now being developed. In the four years following July. 1914, the advance in food prices was 67 per cent as compared with a rise of 47 per cent in the last four years. Iu the four years of the last war. the greatest rise in the costs of the average family occurred in prices for clothing and housefurmshings. Housefurnishings rose 82 per cent,, and clothing 90 per cent. The gen eral maximum price regulation of May. 1942. prevented such an ex treme increase in this war. From August, 1939, to September. 1943. the increase in clothing and housefur nishings was only one-third as much as in the same period of the last war. Since August. 1939, the month be fore the war broke out in Europe, the total cost of living in the United States has increased not quite 26 per cent, as compared with an ad vance of 53 per cent in the same period in the last war. Iced for Dairy Cattle. The price of grains used as feed for cattle has also advanced to a greater degree than the price of dairy products. Grain prices have advanced more than 60 per cent. Since 1941. while the price of dairy products has advanced only about 40 ]*?r cent. To those who recognize the im portance of milk, butter and cheese in maintaining a healthy, vigorous civilian population, this increased cost has given real concern about the supply of dairy products. In order to enable dairy producers to obtain feed for their cattle with-! out raising the price of their milk and other dairy products to the con sumer. the War Pood Administra tion has adopted a program of making payments to dairy farmers based on the increased cost of their purchased feed since September, 1942. The payments will be made directly to the dairy farmer, except in those cases where it. may be de sirable to make the payment to him through w co-operative association or other marketing agency. While the program as announced is for a three-month period, some form of equalization payment will probably be necessary as long as the margin between feed costs and dairy prices remain unfavorable. In order to relieve the pressure on our feed supply, the War Pood Ad ministration has announced a re duction in the support price for hogs effective on October 1. 1944. and has removed certain slaughter quotas. The purpose of this is to encourage hog raisers to market their hogs earlier and at lighter weights. In addition to this program, the War Food Administration is bring ing in large quantities of grain from Canada for feeding purposes. This movement has been hampered by a series of transportation difficulties, including the late blocking of Buf falo Harbor with ice and the unusual fog during this summer on the Great Lakes. In spite of these difficulties, there has been shipped from Canada to the United States during 1943 up to date, appro-.-imatelv 125.000.000 bushels of feed of ail kinds. As much additional grain will be brought in as transportation facili ties will permit. Furthermore, every effort will be made to see that the supply of feeds is distributed equitably throughout the country, the War Food Admin istration is taking such steps and absorbing such transportation costs as may be necessary to secure this objective. Rationing and Distribution. The greatest difficulty in the food program has been to bring aboi:: a fair and equitable distribution of the available food supplies. Tt is obvious that there is not enough to furnish all civilians with all the food they want. As I have said., this is the result, to a great extent, of the fact that so many civilians have so much more money to spend than there are civilian supplies of all kinds, including food, to go around. There are some who advocate taking off all restrictions on food because of the vast food production which the American farmers have raised. Rut with the great excess of purchasing power now in the pockets of the American people, the supply would never last. We might have a feast for a few months, but then there would be a real short age -not only for civilians at home, but for our own fighting men and those of our allies. I am confident that the civilian population of the United States is ready to give up certain eating habits and accept certain shortages They know that they must, if the war is to be won. A sharp line will have to be drawn between the lux uries of life and the necessities of life. A shortage in sirloin steaks or in choice fruits does not mean that the war food program has failed. In view of the fact that more food is wanted than actually exists, it is necessary to have regulations and rationing which are sometimes very burdensome. But they are the only way to insure that ever.'body gets a fair share irrespective of his economic or social or political standing. Some of them are needed to hold back from commercial channels a portion of the supply which was produced during months of high production so that the civilian sup ply can be kept on a fairly even keel month in and montl*out. This is particularly true of perishable foods and vegetables where the supply conditions change sharply from season to season. For example, last year there was a good crop of potatoes but the American people ate up the entire year's supply in 10 months so that in the last two months there were few potatoes available in many parts of the coun try. This kind of situation must be avoided We cannot afford to eat up a year's supply in 10 months, and do without for tIre balance of the year. We must find a way to husband all of these supplies, spac ing consumption evenly through the ve,-,r. Fortunately we have an abun dant supply of potatoes this year. If l> I I I l» II l l(M I 1^ I I IMMrlll, One of the difficulties has been the uneven geographical distribution of food supplies. Certain parts of the country have had abundance, while others have gone without. Part of this is caused by transporta tion difficulties; part is caused by the fact that excessive demand has made it profitable to sell within the area in which the crops are grown rather than to ship to other markets. This makes it necessary for the Government to develop pro grams to insure orderly geographic distribution of all important foods. National interest requires that every part of the country obtain a fair share. More equal geographic distribu tion and a more even distribution through the year could be accom plished by the extension of rationing to some of the important foods which are not today rationed. How ever. for the perishable items, this would entail especially serious ad ministrative difficulties. Therefore. It is planned that the Government itself either purchase or otherwise control certain foods, or absorb the transportation costs — in order to stretch consumption through the year, and to insure distribution that is fair to all parts of the country. Such operations would also go a long way toward stamping out black mar kets. These devices will be used selectively and only to the extent necessary to achieve the objective of year-round, orderly distribution. Control and distribution by ra tioning has involved many difficult administrative problems, most of which have been solved by experi ence. No one would contend that mistakes were not made. Neverthe less there has been steady improve ment. A recent survey has shown that 93 per cent of American house wives agree that a good job—a job fair to all—has been done. Unfortunately the 7 per cent who are not satisfied are more vocal than the 93 per cent who are. Many reasons explain this. Although civilians with their greatly increased purchasing power will not be able to purchase all the food for which they have the money, there will he a. sufficient, amount of good wholesome food for the people of the United States. From a nutrition standpoint the civilian per capita food supply dur ing this year of 1943 will compare favorably with the average for the prewar period 1935 to 1939. There hate been inconveniences to the American dining table—even shortages of certain foods. But no; American has gone hungry—in fact j the American people as a whole are eating more now than they did before pearl Harbor. The American people realize that unless every farmer does his share to get full production and unless every civilian plays fair and does not seek to get more than his proper share of the limited supply, they may be depriving some of our sol diers or fighting Allies of needed food to sustain them in their strug gle. I Administration of Program. There has been loose talk in some quarters about the need for a food "czar" to have full control of food— including not only production and distribution but prices, rationing and transportation. The fact is that the production and allocation and dis tribution of food of all kinds are all now under the control of one man— the war food administrator. The War Food Administration is the agency which allocates available supply of food to civilian, military and lease-lend needs. That part of the food supply which is allocated to civilians, inso far as rationing and ceiling prices are concerned, comes under the su pervision of the Office of Price Ad ministration. The Office of Price Administration does not ration food on its own initiative, but only on the recommendation of the War Food Administration. In other words, the War Food Administration de termines when the demand for food of a certain kind so exceeds the supply of that food that rationing is required. When such determina tion is made, the Office of Price Ad ministration takes charge of the ac tual mechanics of rationing. This is the most logical procedure, because it places the actual ad ministration of rationing—the ra tion coupons, the ration cards, the ration regulations—in the same body of citizens that rations gaso line. fuel oil. shoes and other prod ucts, and it leaves the determina tion of the necessity for rationing food in the War Food Administra tion. There can be no reason, in logic or necessity, for setting up a new ration board in all the locali ties in the United States for each different product. with respect to prices, it is true that the War Food Administration should be concerned with the fixing of price ceilings. It is. No price ceiling on agricultural commodities is fixed by the Office of Price Ad ministration without the concur rence of the War Food Administra tion. In other words, the Office of Price Administration and the War Food Administration either agree on a price or any disagreement is set tled by the director of economic stabilization. In this way the food administrator has a great deal to say about the price of food —but not all. For the price of food should be kept in proper relationship to the prices of other commodities: and therefore it has been deemed ad visable to put all price fixing and enforcement in one agency. There is no reason why the War Food Ad ministration should have its own corps of price enforcement officials to duplicate the work of other price enforcement officials in the Office of Price Administration. With respect to transportation it would be impossible to give the war food administrator complete con trol over the transportation of food because every car used to transport food is a car which is also greatly in demand for the transportation of other war products. Obviously there must be an agency which ap portions the transportation facili ties among the various war needs and it would disrupt prosecution of the war and result in chaos if the war food administrator were able to take a car needed for steel or weapons or chemicals or equipment and use it for food transportation. The case is exactly the same for prices as for transportation. We cannot permit any part of the pro gram, food or rubber, or any other, to have a free hand in bidding ma terials and manpower away from other equally essential parts of the war effort, if in transportation chaos would result, how shall we characterize the consequences on the price front where the relationships are even more complex- and delicate than in transportation? The fact is that the administra tion of food is now properly cen tered in one man and one agency, except only where such administra tion might encroach upon other war agencies which deal with such sep arate but relevant subjects as price control, transportation, etc. There have been many complaints about the existence of black markets in food. It is an unfortunate fact that many persons who complain of black markets are themselves indi vidually encouraging them by their patronage. Some black markets exist in ail nations which have ra tioning. The operators of these black markets are unpatriotic—and as they are caught, they will be punished. But we should all attach as much blame to those of our cit izens who hurt their neighbors and their Nation by paying exorbitant prices in black markets. Vigorous efforts are being made by the ap propriate Government agencies to stamp out black markets. Must Grow All Possible. The objectives of our food pro gram will, as in the past, be to grow and raise as much foodstuffs as is humanly possible. We shall maintain our fighting men as the best fed in all the world. We shall guarantee that every individual of our civilian population will have an ample and healthful diet. Every one may be assured that there will be enough food to go around. No one need fear that only a comparatively few people will be able to afford an adequate and varied diet. We shall assist in fulfilling the requirements of our fighting allies for food and shall also assist in as suring that the liberated peoples will be given sufficient food to regain their physical and economic strength. Our farmers will receive a return over and above their costs of pro duction that will compensate them decently and adequatelv for their long and arduous work. At the same time, the consumers of the Nation will be protected against rising costs which are properly chargeable to the war effort itself. The price support program is proving reasonably successful on both fronts: Increasing production and maintaining fair food prices for the consumer. I am convinced that to abandon our present policy would increase the cost of living, bring about demands for increased wages which would then be justifi able. and might well start a seriou* and dangerous cycle of inflation— without any net benefit to any one. Some people say -a little inflation will not hurt any one.” They are like the man who takes the first shot of opium for the sensation he thinks it will give him. He likes it, although he swears that he will not make it a habit. Soon he is taking two—and then more and more—and then he loses all control of himself. Inflation is like that. A little leads to more. I am unalterably opposed to taking the first shot by congressional, or by an other, action. The Nation cannot afford to acquire the habit. We have children to think of. Those who are advocating an in flation course will have to be ready to accept responsibility for the re sults. We have so far been follow ing a tried path, and are getting along fairly well. This is no time to start wandering into an untried field of uncontrolled and uncontrollable prices and wages. With the same determination that has led our fighting men to con quer their military objectives, we at home shall reach the objectives of our food program. We will get the production that we have set as our goal. We will see that the supplies of food are distributed fairly and equitably and at stable prices that are fair to the consumer. To do this we shall have to draw' upon that basic characteristic of a democracy — a characteristic that has its roots in the American farm community. We shall draw on our teamwork, teamwork of the farmer, and the consumer, and the dis tributor, and the Government in both its legislative and executive branches. The accomplishments of the past year have been great. We shall demonstrate to the Axis how the teamwork of a free people can make even those records fall. We shall demonstrate that freedom and teamwork make the people of a democracy the most efficient pro ducers in the w’orid—whether it be of battleships, tanks, planes, guns, or of the produce of the soil. FRANKLIN D. ROOSEVELT. The White House, November 1, 1941.