An Editorial

as it becomes i,ncreasingly diffrcult to keep any substantial portion of its earnings, it will become increasingly difficult to interest investors in industrial stocks, or high type management in joining its ranks," said Mr. Greenwalt.

One of the most impressive points in his testimony before the Committee was when he related how comparatively insignificant are the taxes collected from the higher brackets. For the year 1954 all the proceeds from the personal income ta,:< brackets above 50 percent amounted to $1,075,000,000, or 3.8 percent of all the personal income taxes collected for the year. It was L-2/3 percent of all Federal expenditures for the year, or just enough to run the Federal governme,nt for six days.

It would be easy to demonstrate, perhaps, that this government loses plenty of money by killing incentive to people or firms in the higher brackets. How often do you read or hear about figures in the entertainment world frankly refusing some engagement at high pay because the net return to them would be so very close to nothing? And it happens in plenty of business matters, too.

The economic wisdom of Adam Smith grows more apparent with the passing of the years, instead of becoming obsolete, as has happened to the great majority of prognosticators.

Douglas fir forests of western Oregon and \\rashington contain enough timber to build a new house for everv family now living in the United States.

by gett slidi