Unemployment and Taxes

The Humphrey-Hawkins Full Employment and Balanced Growth Act, which never came to a vote last fall because of the pre-election congressional rush to adjourn, will be re-introduced in the new Congress, possibly under an expanded sponsorship and in a slightly amended form designed to make it more acceptable to its congressional critics. But in purpose and intent it will remain the same.

Now, there is no economic issue ever that is more important than relieving unemployment and the related ills of misemployment, underemployment, and withdrawals from the labor force. Unemployment brings misery to the wageearner and his family: everyone knows that. In addition, however, the market’s failure to make use of a perishable natural resource makes all of us poorer, the loss far exceeding any strict dollars-and-cents measure. A large part of the United States’ role as world leader is predicated upon our economic prowess. Our capacity to deter potential belligerents rests not only on our defense capabilities narrowly defined, but also on our production base.