Masonry Magazine August 1973 Page. 31
Washington Wire
The Administration is encouraging tough action by the Federal Reserve. Officials want to see a major slowdown in the explosion of money and credit. They are still worried that the expansion isn't being brought under control, despite the smaller gains in Gross National Product in the second quarter. They still fear big increases in business spending for inventory and plant. Most important, officials worry about too much growth in the money supply. It keeps adding new inflationary pressure at a time when cooling is needed.
The Federal Reserve's current goal is to get monetary growth to slow down. It has pushed interest rates up to record levels to achieve this objective. Officials seem prepared to see interest rates keep rising. They intend to make the cost of money high enough to discourage many borrowers.
Industry-wide trade practice rules are on the way from Federal Trade. The Commission has regained its potent tool against unfair trade practices. It again has the right to set rules to bar such practices. It will use it. A Federal appeals court has upheld the Commission's rule-making authority, overturning an earlier decision by a lower court that went against the FTC.
New rulings are in store regulating door-to-door salesmen, franchising, gas-octane ratings, mail-order merchandising, and unfair credit practices. FTC will now abandon much of the time-consuming case-by-case rule-making of the past.
Battles will soon erupt in the states over welfare aid to strikers. Business groups and organized labor will shift the locale of their fighting, following a new decision by the Department of Health, Education and Welfare. HEW has adopted a policy of allowing the states to decide this tough issue. It wrestled with the controversy for several months before making a ruling. The issue arose when the courts held that, under existing HEW regulations, a state could not refuse to let strikers receive welfare benefit payments.
Business argues such payments put government against it in bargaining. Labor contends that these payments are meant to assist needy persons, and that denying such aid to the strikers has the effect of unfairly punishing their families.
These new HEW regulations represent a victory for the business view since firms do better in the states than in Washington.
The Consumer Product Safety Commission is immersed in controversy, and it has only just begun to act. More battles are clearly in the offing. Both industry and consumer groups are outraged by its first regulatory act, a modest decision that mattresses must be made of fire-resistant materials. Manufacturer and consumer groups are taking the Commission into the courts.
The Commission has a large agenda of items that it wants to look at, including hazards detected in infant cribs, soft-drink bottles, bicycles, mini-bikes, swimming pools, snowmobiles, power lawnmowers and power tools. Also coming is study of nonflammability requirements for carpets, clothes, and building materials; rules on housing components, like electric wiring; safety standards for toys; and rules for repair or replacing faulty goods.
The Commission's aim is to reduce injuries and fatalities to consumers. Each year, consumer products are associated with about 20 million accidents. Safety requirements are sure to add to costs of things consumers buy. And Commission actions may drive certain consumer products off the market entirely.
Free inspections of security devices are available for many firms. The Department of Housing and Urban Development will carry out inspections for businesses that apply for burglary insurance under the Federal program. The new program provides insurance against loss from break-ins or robbery. The coverage ranges from as low as $1,000 to as much as $15,000 in damages. The HUD rules require applicants to secure doors and accessible openings. Inspections of required devices will enable firms to know if they qualify. Those businesses already covered may obtain inspections at nominal charge.
Industry may be able to avoid trouble with the new product safety law, thanks to plans being drafted by the U.S. Consumer Product Safety Commission. This could prove especially helpful to those due to bring out new products. Specifically, the Commission is inviting firms to check out products with it. The regulators say asking for an opinion won't guarantee the desired reply. But they are anxious to promote a cautious marketing philosophy in industry.
Nagging Doubts About Estimating*2
Am I Getting buried in requests to bid low profit jobs- just "coasting" on what comes my way? There's never time to look at everything. Can you tell which jobs offer the best profit opportunities-before committing yourself to bid?
Relieve this nagging doubt- SEE PAGE 5
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