L tll | By BRUCE MAGNUSON Labor Secretary, Communist Party Canada’s economic growth has come to a dead-stop. In the second quarter of this year, the gross national pro- duct— which means the value of all goods and services — increased by six- tenths of 1% at market prices. After allowing for price increases, and the 2.2% gain reported in the first quarter, it means a total increase of two-tenths of 1%, which, the DBS says, “amounts to a virtual standstill in terms of con- stant dollars.” Labor income, which increased 3.1% in the first quarter of this year, cil last week: 6% for the wage earner. representative. 1969 1970 13 29 19 .26 69 89 69 52 34 39 59 67 69 .78 .77 (14 02.) 88 1.19 1.39 ‘49 (15 oz.) —_.59 17 (16 oz.) 15 19 99 12 16 .09 13 59 85 49 7 49: 65 37 45 33 39 42 39 12 13 19, 75 49 59 07 07 49 58 72 89 30 35 39 05 other supermarket chains. STUUUONUUOGUNAANUULASUUUAUUEDULGEUUCSLUGEUOUAEEOUECOUGSOAECOUUOAAOOUCEEOUEDUUOUEOUUUEOOGUEUEAOUOESUUOLEOOOUUOEOUEUEODOGUUE If the Canadian wage earner is to stay even with last year’s standard of living he needs much more than Dr. Young’s Prices, rents, professional fees, have increased all along the line and not within the confines of 6% either. Your Committee has done a little survey on the important matter of food price increases in one year, August 1969 to August 1970, and while the following figures pertain to one store in one part of Metro we feel the end result is. fairly Below are all items advertised in August 6th, 1969, Tor- onto Star for Loblaws on Page 26. A comparison shopping of the same items on August 6th, 1970, at Loblaws Jane & Wilson store shows that in spite of the fact that we have no more “FREE” Art Pictures, “FREE” Family Trips to Canadia, both of which are listed in this advertisement, prices have increased. Football tickets offered on the same advertisement have in- creased over 37% from last year’s price. All items listed are same size and brand except where sizes have decreased, another way prices are raised without the consumer becoming aware. (10 0z.) Hair Spray (14 0z.) Cereal (15 oz.) Evap. Milk Total on 1969 items $11.67. Total on 1970 items $13.73. This represents $2.06 on an order of less than $12.00 or a whopping 17.7% increase from 1969. The Committee is convinced that the same is true with LINN a rose only four-tenths of 1% in the second quarter, the smallest increase since 1961. Taxes increased. Personal income after taxes declined by 1% from April to June, the first such quarterly de- cline since 1961. Business capital spending declined by 6.3% in the second quarter, com- pared to a decline of 2.9% in the first quarter. : Unemployment continued to climb to nearly 600,000, or close to 7% of the labor force. Official figures, even when seasonally adjusted, do not tell the whole story. Total number of un- SUUUEUEUUUUUEEEUCEEUUELGIOCETEUECEEUQEUEEUOEEEEAUGDUECEEOUECEEQEGCEUOCCEUOCCUEOCEEUROOGEROGCCUTEOEEEOROUCEDEOEEEO EEE O BS Food costs up by 17.7% Below is a section of the report of the Consumer’s Affairs and Union Label Committee to the Metro Toronto Labor Coun- Item Lettuce Cantaloupes Beef & Roast Roast Shoulder Fruit Drinks Tea Bags Pineapple Juice Coffee Creamer Instant Coffee Soup Jelly Powder Cod Fillets Turkeys Cherry Pies Tuna Sandwich Spread Bologna Toilet Paper Minced Beef Lamb Chops Canned Drinks Cat Food Cottage Roll Facial Tissues Marmalade mm Q PACIFIC TRIBUNE—FRIDAY, SEPTEMBER’ 4, 1970—PAGE 8 VEOUOUUUEOEAOOEQORERSOROEEORUCEREREOUEOEUORECODOQUEGEOEOOUEROOEOCGREOGORCOEEQGRC/CGGUCEEUEROROUESOUOLCUGOREOEEOUOOOOOEREOERUOOORECOOEDOOEEOCOOURDOODDSOGOROGORDOUEEDUEOOOUCOUOODORROOUUREOED UNITE FOR One million jobs, peace, Canadian independence! employed is closer to the million mark. All this is reflected in a marked trend towards a decline in consumer spending. Taxes and inflation now claim more than the workers have managed to gain in nominal wage in- © creases. Without the workers’ con- tinued struggle for more money in the pay envelopes, the drop in buying pow- er would be catastrophic. For instance, the Metro Toronto Labor Council at its Aug. 20th meet- ing heard a report from its Consumers Committee. This report showed prices, rents and professional fees increased all along the line without any regard for Trudeau’s 6% guideline. A survey of fcod costs in August 1969 and Aug- ust 1970 revealed a whooping 17.7% increase on a grocery order covering 28 items valued at $12 a year ago. But the Trudeau’ Government con- tinues to blame organized labor for in- | flation and unemployment. An editorial in the July, 1970, issue of Steel Labor takes issue with this argument in the following questions and answer form: - “.. . Was it the labor movement that tied the Canadian economy to the unhealthy inflationary state of affairs that has arisen in the US economy as a result of the Vietnam war? “It was the policy of so-called ‘quiet diplomacy’ of Liberal Gov- ernments, (past and present), and the unutterable greed of interna- tional capital based in the U.S. and Canada that did that. - ‘Was it the labor movement that saddled the Canadian economy with ‘tight money,’ soaring interest rates, skyrocketing profits, untrammelled speculation in land, upward zooming prices on everything from baby food to motor cars, nickel, steel, copper, profiteering, and a deliberate slow down of the rate of growth of the Canadian economy? “These things were done by gov- ernmental policies and those who: want to ensure that Canada and its people remain a private preserve for gouging higher and higher profits.” As Hubert A. Prefontaine, Welfare Consultant to the New Brunswick Government, wrote in the Toronto Star, April 7th, last: © : “The anti-inflationary hysteria be- ing currently fostered by the Trudeau Government is nothing but an arti- ficial smoke-screen which serves to hide Canada’s real problems.” What, then, are the real problems? They are the problems of a system with socio-political instability and up- heavals, aggravated in Canada by our subservience to United States impe- rialism. On August 8th, last, Toronto’s Globe and Mail carried an article from the Financial Times of London, cap- tioned — ‘Current economic problems testing world capitalist system’. In ‘this article, Samuel Brittan wrote that recent stock market convulsions, the persistence of US inflation, the weak- ness of the US dollar, the large US payments deficit in early 1970, and it itt _—_ Housing crisis Every municipal council is awalé there is an acute housing crisi) Municipal councils, as their oon tribution to its solution, shoul and could take full advantage ? already existing legislation. This is the direct responsibility of mun’ cipal governments. For instanc® the city of Toronto has done awe with its housing authority, at ? time when housing shortages 4! at epidemic proportions, and un employment at an all-time high. The National Housing Act, See tion 35A, provides funds for low: rental housing with the federd government putting up 75% of the cost and the provincial govern” ment 25%. The city’s share is limi- ted to 121/,% of the operating deficit. Under Sections 35C and 35D long-term loans are available for 90°, of the construction cost bearing an interest rate of 8/4 /o for a term of 50 years. Further more, under Section 35E the fed” eral government will contribute UP to 50%, of the annual operating losses incurred. , Loans for senior citizen's |oW rental housing are also available: with the city only called upon put up 10% of the overall costs ? such projects. Funds are available if city coum” cils will go after them. But ¢!7 | councils do not seem.to want ' do this. The pressure of real estate interests is great. They want '€ perpetuate the housing shortag® because it means higher prices and higher rents. Pressure from the people co” change all that, and win tens thousands of low-rental homes across Canada for the working people of our nation. suuueeenuuucesnouueegnoneenvocevsnoceggguuceness@@illl” the world-wide increase in union mill tancy have adet “caused many people to wo o whether the world capitalist syste is not going through some sO quasi-moral crisis.” i The reality goes far deeper ae that. We are at a turning-point 11 ve historic contest between two yes systems of human society, when es cialism is. proving to be superior oF crisis-stricken capitalism in the ine at which productive forces are veloping. : The organization of industria glomerates by means of mono i mergers is a form of industrial oe cialization designed to meet the Or, growing requirements for new cap tal investments called for by the N- technology. In this process the C@P” talist state acts as coordinator and fun 1 coh poly