The Corpus Christi Caller-Times from Corpus Christi, Texas on August 18, 1971 · Page 5
Get access to this page with a Free Trial

The Corpus Christi Caller-Times from Corpus Christi, Texas · Page 5

Publication:
Location:
Corpus Christi, Texas
Issue Date:
Wednesday, August 18, 1971
Page:
Page 5
Start Free Trial
Cancel

CORPUS CHRIST! TIMES, Wed., Aug. 18, 1971 5A Vyage-Price Catch-Up Expected When Freeze Ends By LEONARD WIENER and , DENNIS S0DOMKA '.· © CJUew Ocify N«w* When President N i x o n 's wage and. price controls are . that botfi wages and prices will make vp some of their lost ground with a vengeance. Workers will demand £ost pay; hikes, retailers will insist c?0heir missed price boosts, an4 manufacturers will claim they must improve their profitability. Economists hope however, that the government-imposed 90-day pause will have a moderating influence and lead to more stable growth after the initial flurry of reaction at the ehdflf the freeze. "Despite the general curbs on . prices, however, some goods win cost more than before the president initiated his economic plan, These are foreign-made products on which a 10 per cent special duty will be imposed. William Korsvick, v i c e president and economist at the First National Bank of Chicago, noted that after World War n controls were lifted the cost of living soared 8 to 14 per cent a year. He said that while the curt rent control program is hardly likely to last nearly as long as the wartime curbs, he would "be greatly surprised" if the controls are riot extended beyond the initial 90 days. The economic reaction after controls are lifted will depend largely on the length of time they are In effect and the degree to which the freeze is able to combat the long-lived inflation psychology. While President Nixon emphasized that the curbs are a temporary measure with an initial life span of 90 days, he reserved the right to extend them in full or in part. Under current legislation the freeze could be extended until next April. Many critics of the President's plan fear that the longer the controls stay on the more "catching up" in wages and prices there will be once they are lifted. But, Korsvick said, while catch-up \va£e and price increases will negate some of the economic gains, the inflationary cycle will have been broken. "We will have broken the syndrome of constantly rising wages and prices," he said "There will have been a pause after which we will irlove to a more moderate and restrained posture on the part of both labor unions and businessmen." Agreeing with Korsvick's assessment is Paul A. Samuelson. the Nobel prize-winning economist at the Massachusetts Institute of Technology. He told the Chicago Daily News the freeze was "the first step toward an Incomes policy" (e catch-all plirase to cover a multitude of regulatory techniques including both outright controls and the power of persuasion). Calling the program a step toward a stronger economic stance by Nixon, he added, "I can't imagine that .the plan will end after 80 days and we'll go back to where we were." Samuelson admitted that when an easing in the controls does come there will be some cases where wages and price hikes occur "with a vengeance but the inflationary mo- mentum will have been broken.",.; 1 · , , : observers also agree that the wage-price freeze will be. extended beyond the 90- day limit. · Men Stults, chairman of the American National Bank Trust Co. and president-elect of the American Bankers Association, also advocates a 3- to-6-month extension of the freeze. Treasury Secretary John Cbnnally said the follow-up procedures to be put into ef- fect when the freeze is lifted are toeing worked out by a new cabinet-level cost of living council. The prices of foreign-made goods imported after Aug. 14 are sure to increase by 10 per cent, since'importers will be allowed to pass on to consumers the cost of the tax surcharge. Exempted from the special duty are some items that now enter duty free, such as coffee, fish and certain raw materials. Also exempt are prod- ucts that enter under a quota, such as oil, -meat, sugar, cotton textiles and dairy products. But if you want to buy a Japanese television set, a German camera or a Swiss watch you had better hurry and tray- them before the stock on hand' is depleted. All such items.en-. tering the country after Aug. 14 will cost 10 per cent more: than those imported before that date. Only 200 Boys Can Be Accepted Requires Excellence Achieves Excellence MARINE Where Marine Corps Pride is Born MILITARY Last two classes placed gradsin Rice University and Service Academies andother colleges such as The Citadel, Purdue, Michigan and LSD. ACADEMY College Prep. 7-12. PG. Naval Honor School. SACS Accreditation. High academic standards. Marine Cprps JROTC. Full sports program. Scholarships. Obtain Pilot's License. v FOR CATALOG AND FULL INFORMATION WRITE OR PHONE 512/423-6006 365 Iwo Jima Boulevard HARLINGEN 78550 TEXAS IN THE RIO GRANDE VALLEY DO YOU HAVE FRIENDS WHO LIKE TO "PLAY DOCTOR?" When friends who "had the same thing" hand you medical advice, let it go in one ear and out the other. The one person qualified to diagnose and prescribe for you your Doctor, so listen to him ONLY. ANNUAL MEDICAL CHECK-UPS CAN LENGTHEN YOUR LIFE. \ SS I ANNU -Number One {Pharmacist* 7J TJhe Matton! ...NOW FILLING OVER 24 MILLION PRESCRIPTIONS A YEAR! YES, WE FILL UNION INSURANCE PLAN PRESCRIPTIONS. .PHARMACY FEATURE: 3.49 Value UNICAP M Muttivitamins Or Plain Bottle of TOO with 24 free 33 PARKDALI PLAZA 418 N. CHAPARRAL ., ,,.., Rl 'g ht reserved to limit quantities on all items. jWolgresn Coupon] 1.49 Value Insect logger 18 Oz. Spray Can Quicker iprcy K9! ls»m «p !· 20 fort ewcry 13 OBK«« cm Good thru 8-21-71 Walq reeh Coup on SACCHARIN v/ H ;'V'," ; v : A-.--^-^;;- Vi/ortHrnpre Brti'nd.; · : ,39 Value / : RAY-0-VAC D-Celi Battery 1 · For "flashlight's or -Toy.v ' ' , : Health Centers! [Walgreen Coupon] Planters Dry Roasted Peanuts 69= Value 1.39 Value CEPACOL Moufhwash 14 Ounce Botf Ee (Umit2) Good thru 8-21-71 PUFFS FACIAL TISSUE BOX OF 200 19 with coupon 33 C Value Without Coupon 24 C Limit One Coupon per Purchase Cash Value 5 C Govf. Regulation Apply Good Thru 8-21-71 Colgate PLUS MFP MEDI-QU1K FIRST AID SPRAY 32 For minor cuts and scratches. 3-oz. aerosol... 1 BINACA GOLDEN Instant breath refresher. Concentrated. 3th 4 "on- I Vii-oz A DRASTIC SUMMER CLEARANCE UP TO 50^) SA V IMC S Regular $1.33 ·iardwood andj leavy duty Ifabric. No\v....J "BUDDY i" 24"' Foiding Picnic Bag Griiintasfer Ratchet grid adjuster; folding tripod !eg$._ 16x10x6-in INSULATED Brand insignias .1. ICE BUCKET .Id acts as, a server tray. 3- 27C s^ Center FORMULA 2O Conditioning HYPO-ALLERGENIC ;.xnscente*isoap' Hypo Allergenic Neutrogena SOAP ·Buy at Walgreens and save Suuingerlfps SWiNGERTIPS NAIL POLISH Instant nail g polish that I presses-on LEMON Shampoo leaves oily hair shiny clean. 10-oz. 18 MEH'S HO-IRON DRESS SHIRTS Nicely tailored short ; s!eevers, stripes, solids. On Bacl( Toi'Scfol Needs! Ring Binder... Aii Filled 50 sheets filler paper, 5 tab dividers. Binder has 1 . inch rings pocket in cover. 3 SUBJECT NOTE BOOK 150 sheets, coil bound.... SHEAFFER PEN Special Cartridge pen Sot O or ball point.,...w UP PENTEL Rolling Marker Pen in blue, /| $ C red or black.... Kleenerase Typing Paper 50-SHEET LEGAL PAD PLASTIC PROTRACTOR Mr. Sir! 5.OO Value Ties Stripes or Solids FEATURED AT Two cling peach halves, two mounds of cottage cheese, Jell-O squares on a bed of lettuce, toast or Ry Krisp. So Good and So Thrifty! ........ Box of 40 KOTEX 27 1.69 Value Regular or super. Limit 1 Buy Now Save! Sanforized Cotton Fruit of the Loom Gym Shorts Girl's Sizes 4 to 14 ICE CHES Sizes 2436. Solid Colors. 52-sheet tablet. 8 V 2 x 11 or 8Vixl4. ATHLETIC SOCKS BOYS' CREW SOCKS Cushion soles Orion stretch Asstd. colors. New math scales. Regular 51.27 Poly^Roll Top Pencil Box Medallion Assortment Reg. 15e Calton-Tirry WASH CLOTHS pencils, eraser 6-inch ruler. or pack 20 ENVELOPES. Reg. 44' Limit 10. , ; -- . ^ Coupon thru ! E- r _-;-^'-'J CAR CLEANER AND WAX 1.69 VALUE 69c Tyson RUBBER v u GLOVES ^JXS Lirn. 3 pr. Cou- PANTY HOSE 20 Colors or Value . . . From SHELL "Sharpie" 1000" TAPE WatercoSors Worth more Brand Assorted Shades Fine Marker with Brush 33-quart size--at savings! J -inch Tubular Aluminum * hlle Foiding CHAIR 6 x 8 rows of avocado webs, high back, wide seat for more comfort. Non-lilt 4.44 l*9sl Kg VALUE Value At.......

What members have found on this page

Get access to Newspapers.com

  • The largest online newspaper archive
  • 11,200+ newspapers from the 1700s–2000s
  • Millions of additional pages added every month

Try it free