HEARINGS BEFORE THE JOINT COMMITTEE ON THE ECONOMIC REPORT. CONGRESS OF THE UNITED STATES Printed for the use of the Joint Committee on the Economic Report JOINT COMMITTEE ON THE ECONOMIC REPORT (Created pursuant to sec. 5 (a) of Public Law 304, 79th Cong.) SENATE HOUSE OF REPRESENTATIVES JOSEPH C. O'MAHONEY, Wyoming, Chairman EDWARD J. HART, New Jersey, Vice Chairman FRANCIS J. MYERS, Pennsylvania JOHN J. SPARKMAN, Alabama ROBERT A. TAFT, Ohio RALPH E. FLANDERS Vermont ARTHUR V. WATKINS, Utah WRIGHT PATMAN, Texas WALTER B. HUBER, Ohio FRANK BUCHANAN, Pennsylvania ROBERT F. RICH, Pennsylvania CHRISTIAN A. HERTER, Massachusetts THEODORE J. KREPS, Staff Director Eugene Holman, president, Standard Oil Co. (New Jersey)- A. D. H. Kaplan, senior staff member, the Brookings Institution, Ed. Wimmer, vice president and public relations director, National Federation of Independent Business, Inc., Cincinnati, Ohio.---- 98-114 33 VOLUME AND STABILITY OF PRIVATE INVESTMENT TUESDAY, SEPTEMBER 27, 1949 UNITED STATES SENATE, SUBCOMMITTEE ON INVESTMENT OF THE JOINT COMMITTEE ON THE ECONOMIC REPORT, The subcommittee met, pursuant to call, at 10:10 a. m., in the caucus room, Senate Office Building, Senator Joseph C. O'Mahoney (chairman) presiding. Present: Senator O'Mahoney, and Representative Herter. Also present: Representative Robert F. Rich; John W. Lehman, clerk to the committee; Dr. Theodore Kreps, staff director; Dr. William H. Moore, economist; and David Scoll, special counsel to the Subcommittee on Investment. The CHAIRMAN. The committee will come to order. This session this morning is being held under the authority of a resolution adopted by the Congress, Senate Concurrent Resolution No. 26, the text of which will be inserted in the record. (The document referred to is as follows:) [S. Con. Res. 26, 81st Cong., 1st sess.] CONCURRENT RESOLUTION Resolved by the Senate (the House of Representatives concurring), That the Joint Committee on the Economic Report, or any duly authorized subcommittee thereof, is authorized and directed to conduct a full and complete study and investigation into the following problems of the economy: (1) The problem of investment, including, but not limited to, (A) the role of investment institutions in the investment markets, in industry, and in the economy generally; (B) changes in sources of investment funds and the reason therefor; (C) availability and character of investment funds for national, local, and independent enterprise and the effect of such investment or lack of investment upon different classes or size groups in industry; (D) and needs, by industry, for various types of capital. (2) The problem of the effectiveness and coordination of monetary, credit, and fiscal policies in dealing with general economic policy. (3) The problem of low-income families in relation to economic instability. (4) The problem of unemployment trends and their significance in current economic analysis. SEC. 2. The joint committee shall report to the Senate and the House of Representatives not later than December 31, 1949, the results of its study and investigation, together with such recommendations as it may deem advisable. SEC. 3. For the purposes of this resolution, the joint committee, or any duly authorized subcommittee thereof, is authorized (1) to appoint and fix the compensation of such experts, consultants, and clerical and stenographic assistants as it deems necessary and advisable, but the compensation so fixed shall not exceed the compensation prescribed under the Classification Act of 1923, as amended, for comparable duties; and (2) to hold such hearings; to sit and act at such times and places during the sessions, recesses, and adjourned periods of the Eighty-first Congress prior to January 1, 1950; to require by subpena or otherwise the attendance of such witnesses and the production of such books, papers, and documents; to administer oaths; to take such testimony, to have such printing and binding done; and to make such expenditures as it deems 1 |