The Galveston Daily News from Galveston, Texas on September 25, 1978 · Page 7
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The Galveston Daily News from Galveston, Texas · Page 7

Galveston, Texas
Issue Date:
Monday, September 25, 1978
Page 7
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By LLOYD BENTSEN U.S. Senator WHEN IS a government program not a government program? When it is the Bentsen employment tax credit. Unlike virtually every other government program, the employment tax credit operates at'no net cost to the American taxpayer, in fact it helps to reduce the individual's tax burden by creating new taxpayers to help share it. It doesn't add to inflation, as government spending programs generally do. Instead, it helps hold down prices by reducing the cost of labor to business and industry. It involves no red tape, no bureaucratic maze has been built to administer it, and it is working very well, much better than had been predicted. It is like other government programs only in that it was enacted by Congress. Beyond that the similarities end. I began developing the employment tax credit in mid-1975 as a tool to combat unemployment which had skyrocketed to more than eight percent that year. That Nov. I introduced legislation to establish this Bentsen Savs Tax Credit •. Not Just Another Program Monday Morning, September 25,1978 £iV cfcs 7-A new approach to creating jobs. It was hard at that time to get anybody in government to listen to my proposal. With unemployment soaring, most people in Washington were more interested in creating make-work government jobs to take care of the immediate crisis. But I felt then as I feel today that the country and the worker would be better off if government were to encourage private industry to establish long-term productive jobs. Instead of encouragement, the actions of government over the previous 45 years have made it more difficult for businessmen to hire new workers or even hang on to those they had. Increasing payroll taxes, increasingly complex income tax forms and a growing number of government regulations have all added substantially to payroll costs. Our country remains rich enough and dynamic enough to provide a job for everyone who wants to work. But the policies of government too often make it harder to hire people when they should be making it easier. And the response of government when unemployment results has been to concentrate on temporary, government-created jobs. I feel this is a mistake. I believe the emphasis should be on incentives to create jobs through our free enterprise system. In late 1976 the tide turned, the employment tax credit idea took hold and in May 1977 it was enacted into law by Congress. It awards a $2,100 tax credit for each new worker hired by business or industry. And, of course, the taxes paid by these new workers—plus the accompanying reductions in spending for unemployment compensation- more than offset this cost. Preliminary indications are that the employment tax credit was a smashing success during its first year of operation. According to an econometric study by Dr. John Bishop of the University of Wisconsin the new tax credit may have created some 400,000 new jobs in the construction and retail industries alone during its first year. Bishop says: Statistically significant increases in employment are found to have occurred in construction and retailing in response to the credit. The...estimates imply the credit by March 1978 had induced an eight percent increase in employment in construction and a two-three percent increase in retailing. For the industries studied the total increase in employment seems to be 400,000 (with a band of uncertainty of plus or minus 180,000). In addition, the Bishop study indicated that the jobs tax credit helped hold down the rate of inflation. "The consumer price index for commodities," he said, "was slightly less than one percent lower than it would otherwise have been.'' This is why I have described the employment tax credit as a government program that is not really a government program. It is, instead, an innovative effort to mold a partnership between government and our private enterprise system to create jobs for all Americans who wish to work. We need other ideas like this one. CONTACT 744-0222 Questions or comments must relate to local area Issues, situations or conditions. Please follow the simple instructions you will hear when you call CONTACT at 744-0222. This is C.M. of Galveston. I would like to know why the oil terminal is going into Pelican Island before the environmental report comes out in November? It seems that we should wait until the environmentalists let us know if it is safe or not. Thank you. The Northville Industries Corp. crude oil terminal will not be constructed until all governmental requirements are met and all necessary permits are obtained. The essence of the story we had in the paper was that Northville and the Galveston Wharves have agreed to proceed with planning the facility — not actual construction. Engineers employed to prepare the environmental study have completed their work, and the report will be submitted to the U.S. Army Corps of Engineers in November. It is anticipated that all the preliminary details can be completed Social Security Corner QUESTION: I checked at the Bureau of Vital Statistics regarding my birth certificate. There is no record of my birth. That office gave me forms which I can use to apply for a delayed birth certificate. Should I get a delayed birth certificate? ANSWER: 'A delayed birth certificate is not necessary for social security purposes. A delayed birth certificate is only as valid as the supporting evidence you furnished to get the certificate. The supporting evidence would be as good as the delayed biriii certificate. Howevor, you may wish to have liie delayed birth certificate for some other purpose. QUESTION: I understand that the Social Security amendments of December 1977 changed the requirements for earning social security credits. Could you please explain the change? ANSWER: Before the December 1977 amendments, an individual received one quarter of social security credit for each quarter in which he worked under social security and earned at least $50. An individual usually had to work in all quarters to receive his four quarters of credit for the year. The amendments provide that a person now receives one quarter of credit for every $250 he earns in covered employment. He need not work in every quarter of the year. If he earns $1000 for the year, he receives four quarters of coverage for that year. and that construction can start next year. Could you tell me when they are going to have the open house for the public at American Indemnity's new building? They are waiting until the building is completed to schedule the date and time. I'd like to find out the address for the Guinness Book of World Records. Write to Guinness Superlatives Ltd., 2 Cecil Ct. London Rd., Enfield, Middlesex, England. Or, if you just want to buy a copy, check with local booksellers. I'd like to find out how to become a locksmith. R.T. of Galveston. There are several locksmiths in Galveston. You might ask one of them or check with the junior colleges to see if they have a course. I'm a student at College of the Mainland and also a taxpayer in the district, and I was just wondering why the maintenance department would repair a division stand in one of the restrooms with a piece of cruddy plywood in a multimillion dollar building. Thank you very much. Joe Faulk, director of buildings and grounds for College of the Mainland, said they have had problems with people breaking the marble dividers that originally were there. They are temporarily replacing the broken ones with the plywood until the vandalism ceases. I would like to know why the owners of the lot on 25th Street between Mechanic and Market Streets do not clean their lot. If I don't clean mine I get a notice from the city telling me to do it or else. I would appreciate any information on this, and I want to thank Contact for giving me this privilege to air my grievances. C.M. of Galveston. We do not investigate this type of complaint. Call the city of Galveston Hotline at 762-1222. What's in It FUN, FUN, FUN! Did you know that there are comics and puzzles, movie schedules, sports and much, much more in store for you . . . not to mention the money you can make by becoming a newspaper carrier. That is what's in it for you, fun, entertainment and security. WASKOM RUSSELL is being congratulated by Steve Parsons, right, principal at O'Connell High School, for being chosen as a seinifinalist in the National Achievement Scholarship program for Outstanding Negro Students. Waskom has qualified by participating with some 60,000 other students in the Preliminary Scholastic Aptitude Test in 1977 for consideration in the 1979 achievement program. The program's efforts will concentrate on providing scholarships for as many of these outstanding students as possible. CRAjGDV'S MOVING SPECIALS! La Marque Hitcteock Galveston 411 Laurel Bayou Plaza fort Holiday Mall 744-3611 LAST 6 DAYS BLITZ! We are moving in 6 days and everything is tagged to sell. We would rather SELL IT than MOVE IT! ENTIRE STOCK i DRESSES »COORDINATED Sportswear Groups (JR. & MISSES) 10%-20%30% OFF OUR NEW LA MARQUE ADDRESS WILL BE 1005 BAYOU RD. MOVING SPECIALS! !*•* » SWEAT! • COATS LOUS! (JR. & MISSES) ENTSRE STOCK SUITS by • TOBIAS • PANTELLA • WILDFIRE • ANGLE FLIGHT • BROOK FIELD • RATNER 10%-20%-30% OFF *•• by 10% 20% 30% OFF MEN'S SHIRTS • Hang Ten • Qrnan Pacific • Jantzen • Mr. Calif. \ • JOEL • Munsing wear 10% 20% 30% OFF JEANS PANTS SKIRTS 10%-20%3fl% LEVIS DEKIM SLACKS CORD SWEATERS OFF OFF

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