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Fair Labor Standards Act of 1938 WAGE AND HOUR DIVISION: Regional offices are maintained in Boston, New York, Philadelphia, Cleveland, Chicago, Richmond, Atlanta, Birmingham, Dallas, Minneapolis, Nashville, Kansas City, and San Francisco.

CHILDREN'S BUREAU: Katharine F. Lenroot, Chief.

The Fair Labor Standards Act of 1938, popularly the objective of a universal wage of 40 cents an known as the Wage and Hour Law, has as its hour, the Administrator is required to appoint principal objective the elimination of labor con- and convene a committee for each industry subject ditions detrimental to the maintenance of the to the Act. It is the duty of these committees to minimum standards of living necessary for health, recommend, with due regard to economic and comefficiency, and well-being of workers" and the petitive conditions, the highest minimum wage elimination of "oppressive" child labor in the up to 40 cents an hour which will not substantially United States by fixing minimum wage and maxi- curtail employment in the industry. The mem mum hours for employees engaged in Interstate bership of each committee is equally divided among commerce or producing goods for interstate com- members representing employers and employees in merce, and by establishing minimum-age standards the industry and the public. After a public hearfor employment of minors in or about establish- ing on a recommended minimum wage, the Adments whose goods are shipped or delivered for ministrator may issue a Wage Order establishing shipment in interstate commerce. It is the de- the recommended rate for the industry; he may clared policy of the Act to correct and eliminate require the committee to reconsider its recommenthese conditions without substantially curtailing dation, or he may dissolve the committee and employment or earning power.

appoint a new one to consider a minimum wage The Fair Labor Standards Act was passed by for that industry. In no case may the AdminisCongress June 14, 1938, and approved by the Presi- trator issue a wage order which does not give effect dent June 25, to become effective in 120 days. It to the wage recommendation of a committee, An created a Wage and Hour Division in the De- amendment to the Act enacted by the 76th Conpartment of Labor, headed by an Administrator, gress exempts Puerto Rican industries from wege as the agency for the administration and enforce- orders issued for continental United States, and ment of the wage and hour provisions. It as- provides that wage rates lower than the statusigned the administration of the child labor pro- tory minimum may be established in Puerto Rico vision to the Chief of the Children's Bureau in only upon the recommendations of industry comthe Department of Labor.

mitteees expressly appointed for the island. The United States Supreme Court unanimously Minimum wages at less than the statutory miniield (Feb. 3. 1941) that the Fair Labor Standards mum wage may be fixed by the Administrator for Act of 1938 was a valid regulation by Congress learners, apprentices and handicapped workers. under the Commerce Clause of the Constitution, The Act exempts from the wage and hour proind that the procedure of the Wage and Hour visions all employees employed in an executive, Division in appointing industry committees and administrative, professional, or local retail caissuing industrial minimum wage orders on their pacity or as outside salesmen (as those terms are recommendations is in accordance with the Statute. defined by the Administrator); employees engaged

Controversy over the effect of the 40-hour week. in retail or service establishments, the greater with its penalty of time and a half for additional part of whose selling or servicing is in intrastate hours, on the National Defense effort developed in commerce; employees of interstate air lines; em1941. However, William S. Knudsen, Director - ployees in the sea food and fisheries industries; General of the Omce of Production Management. agricultural employees; employees of local weekly publicly favored its retention,

or semi-weekly newspapers of less than 3,000 Pending the fixing of a minimum wage for each circulation; employees of street railways and local industry through the industry committee process, bus lines; employees in the area of production (as the statutory minimum wage rate must be paid defined by the Administrator) engaged in hanall workers covered by the Act. From October 24, dling, packing, storing, ginning, compressing, pas1939, to October 24, 1945, the Act fixes 30 cents an teurizing, drying, preparing in their raw or natuhour as the minimum wage. From October 24, ral state, or canning. agricultural or horticul. 1938, to October 24, 1939, the statutory minimum tural commodities or in making dairy products: wage was 25 cents an hour. On October 24, 1945. and switchboard operators of telephone exchanges 40 cents an hour becomes the minimum wage for having fewer than 500 stations. all industries covered unless it be shown for an The immediate effect of the Fair Labor Standindustry by a preponderance of evidence before ards Act was to raise to 25 cents an hour the an industry committee and the Administrator that pay of an estimated 300,000 employees of American such a wage would substantially curtall employ- industry. At the same time it was estimated that ment in that industry.

it shortened the working hours of 1,300,000 work The standard work week was established at 44 ers. When the second step of the Act was reached hours from October 24, 1938, to October 24, 1939, October 24, 1939, it was estimated that 690,000 and at 42 hours from October 24, 1939, to Octo- employees received pay increases to 30 cents an ber 24, 1940, when the standard work week became hour, and 2,382,000 had their work week short40 hours. All persons covered by the Act (ex- ened to 42 hours. The 40-hour week which went cept railroad employees and persons whose work into effect October 24, 1940, shortened the hours affects the safety of interstate bus and truck oper- of approximately 2,000,000 workers. ations) who are employed a greater number of More than a million workers, a large portion of hours per week than the standard must be paid for them women, received wage rate increases as a the excess hours at a rate not less than one and result of these wage orders: For cotton, silk, and one-half times their regular rate of pay. In in- rayon textiles, 3712 cents an hour. For woolen dustries found by the Administrator to be of a textiles. 36 cents. For garments, including knitted seasonal nature owing to climate or other natural apparel, 40 cents. For full-fashioned hosiery. 40: conditions, employees may work up to 12 hours for seamless hosiery, 36. For hats, 40, except straw & day or 56 a week (for not more than 14 weeks a and harvest hats for which the rate is 35. For year) before overtime payment is required. А millinery, 40. For shoes, 40. For trunkline railrelaxation of the overtime provisions is also made roads, 36; shortline railroads, 33. For leather, 40. in the case of certain collective bargaining agree- For pulp and primary paper, 40. For carpets and ments with representatives of employees certi- rugs of wool and wool-yarn, 40; of other flbers, 35. ned as bona fide by the National Labor Relations For luggage and leather goods. 35. For converted Board, and in the case of certain agricultural proc- paper products, 40. 38, and 36. depending upon essing and handling operations.

product. For embroideries. 3712. For portable In the fiscal year ended June 30, 1941, 48,449 lamps and shades, 40. For enameled utensils, 40. inspections for compliance with the Act were made For drugs, medicine and toilet preparations, 40. by the Wage and Hour Division, eleven times as For rubber products, 40. For gray iron jobbing many inspections as were made in the two previous foundry products. 40. For clay products, 34. For fiscal years combined. These inspections revealed | jewelry, 40. For wood furniture, 40. For lumber 31.493 employers in violation of the Act. 18.975 of and timber products, 35. For gloves, 35; work the violations being of so serious a nature as to gloves, 32'2. For handkerchiefs, 323. require the restitution of $10,916,527 to 354,271 Section 12 of the Act, which is administered by employees.

the Children's Bureau, prohibits producers, manuDuring the same period 1,691 civil suits for in- facturers and dealers from shipping or delivering for junctions to restrain violations of the Act and 60 shipment in interstate or foreign commerce, goods criminal prosecutions were institutedIn criminal produced in establishments situated in the United cases tried during the year. $99.767 was paid in Stales in or about which within thirty days prior fines. The Division was successful in all but hall to removal of such goods, child labor has been & dozen of its litigation cases.

employed contrary to the minimum age provisione To reach as rapidly as Is economically feasible of the Act or regulations issued thereunder.

The Act sets a basic minimum age of 16 years for The Act also provides for the employment of general employment and provides that a minimum 14 and 15-year-old children in occupations other age of 18 shall apply to occupations found and than mining and manufacturing under rules and declared by the Chief of the Children's Bureau to regulations issued by the Chief of the Children's be particularly hazardous for minors between 16 Bureau, which limit the employment to periods and 18 years of age.

which will not interfere with schooling and to As of Aug. 1, 1941, the following occupations conditions which will not interfere with health have been found and det)ared to be particularly and well being. hazardous: Cccupations in or about plants manu- The only exemptions from the application of the facturing explosives or articles containing ex- child-labor provisions of the Act relate to the plosive components; occupations in or about any ernployment of a minor in agriculture while not coal mine; occupations in logging, and occupa- legally required to attend school, to the employtions in the operation of any sawmill, lath mill, ment of a minor as an actor in motion pictures or shingle mill, or cooperage-stock mill; occupations theatrical productions, and to the employment of involved in the operation of power-driven wood- a minor under 16 working for his parent or a working machines, and the occupations of motor person standing in place of his parent, in an vehicle driver and helper.

occupation other than manufacturing or mining.

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Federal Trade Commission FTC-Federal Trade Commission-William A. Ayres, Chairman; Garland S. Ferguson, Ewin L. Davis, Charles H. March, Robert E. Freer. Address, Washington, D. c. Branch offices are maintained in New York City, Chicago, San Francisco, Seattle and New Orleans..

The Federal Trade Commission was created as the request of the Attorney General of the United an independent agency by the Federal Trade Com- States, or upon its own initiative, the Commismission Act of Sept. 26, 1914. This law was sion conducts investigations of a special or genamended by the Wheeler-Lea Act of March 21, eral character. 1938, which broadened the scope of its jurisdic- Recent investigations include the automobile, and tion and made more effective the enforcement of agricultural implements, industries; agricultural its provisions. Declaring unfair methods of com- income, distribution cost accounting for manupetition and unfair or deceptive acts or practices facturing and wholesaling and a series of industrial in interstate commerce to be unlawful, the act and financial corporation reports, while others empowers and directs the Commission to prevent presently in progress include those having to do persons, partnerships or corporations (except with distribution methods and costs. banks, common carriers, air carriers or meat Other activities of the Commission having to do packers, which are subject to regulation by other with national defense and the present emergency acts) from using unfair methods of competition include the following: and unfair or deceptive acts or practices in inter- The Commission is represented by its Chairman state commerce. The Clayton Act, the Export on the Price Administration Committee of the Trade Act, the Robinson-Patman Act and the Office of Price Administration and Civilian Supply, Wool Products Labelling Act of 1939, effiective July ang is cooperating and assisting in this phase of 15, 1941, delegated further powers and functions to the work of the National Defense Program in the the Commission. The general purpose of the Com- interest of the consumer and general public. mission is to prevent the use of unfair practices so The Commission is further represented by its as to promote free and fair competition in interstate Chairman on the Economic Defense Board. contrade, to prevent the use of unfair and deceptive cerned with developing and coordinating policies, acts and practices therein and to investigate and plans and programs to protect and strengthen the report on various aspects of domestic industry and international economic relations of the United foreign trade. Special attention is given the use States in the interest of national defense. of false and misleading advertising generally and The Commission has consulted with the Army particularly with regard to their use in the sale and Navy Munitions Board in the preparation of of food, drugs and cosmetics

plans for wartime control of prices, costs and By direction of the President, the Congress, at profits.

Federal Power Commission
FPC-Federal Power Commission-Leland Olds, chairman. Address, Washington, D. C.
The Federal Power Commission was created involved.
under the Federal Water Power Act of 1920, re-

The Act directs the Commission to determine organized in 1930 and its powers enlarged under the actual legitimate cost of original projects, adthe Public Utility Act of 1935, which gives it ditions and betterments thereto and to determine jurisdiction not only over water power projects on their fair value as of the date of license or denavigable streams or affecting the interests of

termination. interstate commerce, or upon public lands as pre- The Commission has jurisdiction over the transviously provided but also over the interstate

mission of electric energy in interstate commerce, movements of electrical energy. The 1920 act pro

the sale of electric energy at wholesale in intervided for the improvement of navigation through

state commerce, the exportation of electric energy the development of water power on streams subject to Federal jurisdiction or on public lands by private owning or operating facilities used for the trans

to foreign countries and over all public utilities and governmental agencies acting under licenses

mission or sale of such energy, issued by the Commission. One provision of the

The Natural Gas Act of 1938 parallels the FedAct reserved to the United States, under what is eral Power Act in general (except that there are commonly known as the recapture provision, or to

no license provisions in the Natural Gas Act) and any state or municipality designated by the Commission, the right to take over any licensed project confers upon the Commission regulatory authority, at the expiration of the license period upon the similar in scope to that conferred in the latter payment to the licensee of the net investment, not Act, over the transportation and sale for resale in to exceed the then fair value of the project / interstate commerce of natural gas.

United States Information Service USIS- United States Information Service, Miss Harriet Root, Chief, Washington, D, C.; Mrs. Edythe Chriss Roberts, New York Branch, Room 1112, 512 Fifth Avenue.

The United States Information Service, now a The Service directs persons desiring appointDivision of the Office of Government Reports, ments or interviews to offices where these may be Executive Office of the President, was established arranged in 1934 in response to the need for a central office For both the public and the Federal offices the through which questions on the Federal Govern- Service compiles current directories and reference ment might clear,

material not otherwise available and maintains The Service furnishes to the public, on request, files of Government documents and publications. factual information on the structure, functions, The United States Government Manual and the and operations of Federal departments and Digest of the Purposes of Federal Agencies are agencies, and serves as a central office to direct publications of the United States Information general inquiries into proper channels.

Service. The Manual is an authoritative reference In addition, the Service assists all Government book designed to inform every citizen on the ordepartments in serving the public through the ganization and functions of Federal departments direct routing of inquiries and general public and agencies. The Digest outlines briefly some of business.

the iniorination in the Manual.

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Securities and Exchange Commission
SEC-Securities and Exchange Commission-Edward C. Eicher, Chairman; Robert E. Healy, Ganson
Purcell, Edmund Burke, Jr., Sumner T. Pike, Commissioners. Address: Washington, D. C. Regional
offices are maintained in New York City, Boston, Chicago, San Francisco, Denver, Atlanta, Fort Worth,
Seattle, and Cleveland. Branch offices are maintained in some of the Administrative zones.

The Securities and Exchange Commission was The purposes of the Securities Exchange Act
organized July 6, 1934. The Commission is com- of 1934 are in general threefold. First, it is de-
posed of five members. not more than three of signed to correct unfair practices in the securities
whom may be members of the same political party.

markets and to this end stock exchanges are

placed under the jurisdiction of the Commission: They are appointed by the President with the ad

manipulation of the prices of securities are provice and consent of the Senate for a term of five

hibited; and trading in securities is subject to the years One of the five commissioners is annually

Commission's regulations. Next, the Act aims to elected chairman.

make available currently to the public suficient The laws administered by the Commission and information concerning the management and its functions under each are:

financial condition of corporations whose securities Securities Act of 1933-The supervision of the are traded on national securities exchanges to registration of security issues and the suppression enable the investor to act intelligently in making of fraudulent practices in the sale of new securities, or retaining his investments and in exercising his

Securities Exchange Act of 1934-The supervision rights as a security holder. For this purpose, & and regulation of transactions and trading in out- registration statement disclosing full information standing securities, both on stock exchanges and is required for each security listed on an exchange. in the over-the-counter markets.

This information is open to the public and must Public Utility Holding Company Act of 1935- be kept up-to-date through the filing of azınual The regulation of the financial practices of hold- reports. To guard against the misuse of inside ing company systems controlling gas and electric information, the Act requires officers, directors, utilities.

and large stockholders of listed corporations to Chapter X, National Bankruptey Act—The prep- report all transactions in securities of their aration of advisory reports on plans, and partici- respective companies. From Jan. 1, 1936, to June pation as a party, in corporate reorganizations. 30, 1941, officers, directors and large stockholders

Trust Indenture Act of 1939—The supervision of of listed corporations filed reports with the Comindentures used in the public offering of new se

mission covering 205,000 transactions, involving curity issues.

the purchase or sale of 126,000,000 shares of stock Investment Company Act of 1940-Investment

of their respective companies. Advisers Act of 1940--the registration and regu

The Act also provides a system of regulation of lation of investment companies and investment

over-the-counter brokers and dealers through advisers.

voluntary associations under the supervision of None of the foregoing statutes administered by the Commission. Individual brokers and dealers, the Commission guarantees investors against loss. however, are required to register with the ComDuring the year the Commission adopted a mile

mission, and at the close_of the fiscal year there under the Holding Company Act requiring com

were 6.065 so registered. The National Association petitive bidding in the sale of securities of regis

of Securities Dealers, Inc., with around 3.000 tered gas and electric public utility holding inembers, is registered with the Commission as & companies and their subsidiaries. The rule was

national association of brokers and dealers. recommended by the Commission's staff after a The third purpose of the Act is to regulate the number of years of study of methods to insure the use of the national credit to finance trading in reasonableness of fees and commissions and the

securities. This is accomplished by the regulation fairness of terms and conditions in the sale of of margin requirements and is administered by utility securities.

the Board of Governors of the Federal Reserve The proposals were the result of almost a year's System. study of the securities laws by members of the

There were 2,350 issuers having securities regisCommission's staff and representatives of the

tered on national securities exchanges as of June securities industry, which also involved extensive 30, 1941. There were 2.694 stock issues and 1,342 conferences between the Commission and the bond issues registered on national securities exindustry.

changes, while 1,077 stock issues and 252 bond Facilities for the registration of securities under issues were admitted to unlisted trading privileges, the Securities Act of 1933 and the qualification of Sales of stocks and bonds on all registered national identures under the Trust Indenture Act of 1939 securities exchanges amounted to $7,200,969,000 were set up in the Commission's Cleveland and during the year ended June 30, 1941. San Francisco Regional Offices during the past The Public Utility Holding Company Act of 1935 year. The Commission also amended its rules to is designed to eliminate abuses and to provide a permit the delivery of registration statements and greater degree of protection for investors and conindenture applications to any of its regional offices sumers in the fnancing and operation of public for forwarding to Washington. Most of the Com- utility holding companies. Holding companies are mission's regional offices are equipped to give a required to register with the Commission and, certain measure of legal assistance on registration subject to certain exceptions provided in the Act, problems.

registered companies cannot issue or sell securities The Securities Act of 1933 is designed to compel or acquire securities or utility assets without the full and fair disclosure to investors of material approval of the Commission. The Act calls for facts regarding securities publicly offered for sale, the simplification of the corporate structures of and to prevent fraud in sales of securities, when reistered utility holding compan an the conoffered or sold in interstate commerce or through finement of their business to economically inte the mails. The Act requires that, with certain grated units. The Commission has no power to exceptions, every issue of securities to be offered regulate the rates of public utilities. for sale to the public through such means must At the close of the 1941 fiscal year, there were be registered with the Commission by the filing 53 public utility holding company systems regisof a registration statement.

tered with


Commission, comprising 147 There were 337 registration statements filed registered holding companies and including 1,457 under the Securities Act of 1933 during the fiscal individual holding, sub-holding and operating year ended June 30, 1941. Registration statements companies. The total consolidated assets of these covering securities amounting to approximately companies approximated $15,000,000,000. Nearly $2,610,684,000 became fully effective during that $4,000,000,000 of utility securities have been issued period. The number of registration statements since the Act becaine effective, effective at the end of the 1941 fiscal year was Chapter X of the National Bankruptcy Act makes 3,823, while the number of stop and consent re- it the duty of the Commission to act as a partici. fusal orders in effect was 175. The Commission pant in reorganizations at the request or with the examined 1,048 offering shects relating to oil approval of the court in order to provide inderoyalties, involving an aggregate offering price of pendent expert assistance to the courts. The approximately $23.600,000.

Chapter also empowers the Coinmission to prepare An important feature of the Securities Act is advisory reports on reorganizations for the benefit the protection which it affords investors against of the courts and investors. In cases when the such outright fraud as bucket shops and "sell and scheduled liabillites of the debtor corporation un. switch" devices. There have been 693 swindlers dergoing reorganization are over $3,000,000, the convicted to date as a result of anti-fraud actions court automatically refers the proposed reorgani. by the Commission, In addition, approximately zation plan to the Commission for an advisory 850 individuals and firms have been enjoined by report. This report is an independent analysis Federal Judges from violating the law, and at the designed to provide the court with a non-partisan close of the fiscal year, 351 additional individuals survey of the plan, appraising its fairness and had been indicted for stock fraud and were soundness and revealing any weaknesses or a waiting trial.


During the fiscal year ended June 30, 1941, the the more conscientious trust institutions, and to Commission became a participant in 40 proceedings place the trustee in a better and more strategic for the reorganization of 46 corporations with position to protect security holders. There were total assets of $135,000,000 and aggregate indebt- 74 Indentures Aled in connection with registration edness of about $98.000.000. At that date, the statements which became effective during the past Commission was actively engaged in 114 cases, Ascal year. In addition, twenty applications for involving 142 corporations with aggregate assets of qualification of Indentures covering securities not $1,894,000,000 and total indebtedness of $1,202,- required to be registered under the Securities Act 000,000. The Commission submitted five advisory became effective. reports on reorganization plans to the courts dur- The Investment Company Act of 1940 provides ing the year and, in addition, fled four supple- for the registration and regulation of all types of mentary advisory reports in proceedings where investment trusts and investment companies. The reports previously had been rendered.

Investment Advisers Act of 1940 provides for the The Trust Indenture Act requires that bonds, registration with the Commission of individuals or notes, debentures, and similar securities publicly organizations engaged in the investment advisory offered for sale be issued under an indenture which business. As of June 30, 1941, 436 investment meets satisfactory standards and has been duly companies with total assets of approximately qualified with the Commission. The purpose of $2.500,000,000 were registered with the Commission, the act is to bring all indenture trustees up to the while 753 investment advisers' registrations were high level of diligence and loyalty maintained by in effect.

United States Tariff Commission USTC—United States Tarif Commission-Raymond B. Stevens, chairman; Oscar B. Ryder, vice chairman; Edgar B. Brossard and E. Dana Durand, commissioners; E. M. Whitcomb, acting secretary. Address, Washington, D. C. New York office, Custom House.

The United States Tariff Commission was created tion and Domestic Allotment Act. As a result of by the Revenue Act of 1916. Previously several the findings and recommendations of the Tariff temporary boards and commissions had been ap- Commission in investigations under this provision pointed to assemble information on international

of law the President proclaimed quotas on imports trade and tariff problems, and the tariff board of of cotton and cotton waste and on wheat and wheat 1909-12 had published several factual reports on

flour. An investigation concerning cotton textiles the wool and cotton schedules. It was in recogni.

has not yet been completed. tion of the need of Congress for such disinterested

The act of 1930 was amended in 1934 by the information on all commodities, that the legisla

passage of the Trade Agreements Act, which tion setting up the Commission in its present form

authorizes the President to enter into reciprocal was enacted. Thus, the Commission was established agreements with foreign countries, providing for as a factfinding body and though subsequent legis

the reduction of tariffs and other trade barriers. lation has augmented its activities, they continue

The changes in United States tariff rates permitted to be primarily investigatory and advisory. Broadly under this act are limited to 50 percent of the speaking, therefore, it is the expert investigating existing rates. and advisory body of the Government in the field

The Tariff Commission is represented on all of international trade, tariffs, and other factors interdepartment committees concerned with the related to international trade policy. The Com- reciprocal trade agreements program. Agreements mission supplies Congress with information on

have been concluded (as of Oct., 1941) with 22 trade, industries, and commodities in connection

countries, as follows: with subsequent tarifi revisions and with other Country

Effective Date matters related to international trade. Since the Belgium

May 1, 1935 increased activity in connection with national Brazil

January 1, 1936 defense, the Tarifi Commission has cooperated Canada (2d agreement)

January 1, 1939 closely with the Office of Production Management, Supplemental Canadian agreement Jan. 1, 1940 the Office of Price Administration and Civilian Supplemental Canadian agreementDec, 20. 1940 Supply and with the various special boards and Colombia

May 20, 1936 committees by supplying detailed information with Costa Rica

August 2, 1937 respect to various commodities and their im- Cuba

September 3, 1934 portance in domestic and foreign trade.

Supplemental Cuban agreement.

Dec. 23. 1939 The Tariff Acts of 1922 and 1930 increased the Czecho-Slovakial.

April 16, 1938 functions of the Tariff Commission by enacting the Ecuador

October 23, 1938 80-called flexible tariff provisions and by directing | El Salvador

May 31, 1937 the Tariff Commission to conduct investigations Finland

November 2, 1936 and initiate remedial action both with respect to France, and its colonies, dependencies, and unfair practices in the import trade and with

protectorates other than Morocco June 15, 1936 respect to discrimination by foreign countries Great Britain, Newfoundland and against the commerce of the United States. The colonies

January 1, 1939 flexible tariff provision authorizes the President to Guatemala

June 15, 1938 adjust tariff rates in accordance with the differ- Haiti

June 3, 1935 ences between the cost of production of domestic Honduras

March 2, 1936 articles and those of like, or similar, foreign Netherlands, including Netherland India articles. Rate adjustments under the flexible pro- Netherland Guiana, and Netherland vision are limited to 50 percent increases or de- West Indian Islands

February 1, 1936 creases of the rates prescribed in the act itself, Nicaragua

October 1, 1936 and the provision does not permit the transfer of Sweden

August 5, 1935 articles from the dutiable to the free list or from Switzerland

February 15, 1936 the free list to the dutiable list. The Tarifi Com - Turkey

May 5, 1939 mission is required to make the investigations re- Venezuela

December 16, 1939 garding domestic and foreign costs of production Argentina

November 15, 1941 incidental to rate adjustments under the flexible 1 By Presidential proclamation the rates of duty provision

proclaimed in connection with this agreement were The Agricultural Adjustment Act of 1933, as terminated effective April 22, 1939. amended, designates the Tariff Commission as the

Duty concessions terminated on March 10, 1938. agency to conduct investigations to determine Negotiations have been opened for trade agree. whether imports are rendering ineffective pro- ments with Chile, Uruguay and for another supgrams under

that act or the Soil Conserva- plemental trade agreement with Cuba.

Microscope Magnifies Objects 100,000 Times Natural Size

A new giant electrical microscope that, in addition times greater than is possible with the optical to magnifying submicroscopic objects to as high as microscope, because electrons-infinitesimal units 100.000 times their natural size, also can look inside of electricity--are used in place of light rays, the bacteria, blood cells and other biological substances glass lenses being replaced by magnetic and elecin the realm of the infinitesimal, has been de- trostatic fields. For example, with the electron veloped in the RCA laboratories, it was announced microscope a blood corpuscle may be enlarged to the (July 27, 1941) in New York City. The microscope size of a two-icot pillow', and a human hair to the was developed under the supervision of Dr. V. K. size of a giant California redwood tree. Zworykin, James Hiller and Arthur W. Vance. By using as high as 300,000 volts, five times the

The new explorer of the dark jungles of living voltage of the RCA electron microscope now in use. substance is a modification of the electron micro- it becomes possible, the announcement said, "tos. scope, which permits useful magnifications Afty / deeper into the submicroscopic world."

Civil Aeronautics Board—Civil Aeronautics Administration

CAB-Civil Aeronautics Board-Harllee Branch, Chairman; Edward Warner, Vice Chairman; Oswald Ryan, G. Grant Mason, Jr., and George P. Baker. Address, Washington, D. c.

CAA-Civil Aeronautics Administration-Administrator of Civil Aeronautics, Col. Donald 1. Connolly. Address, Washington, D. C.

The Civil Aeronautics Authority was established The construction, improvement, and repair or under the Civil Aeronautics Act of 1938 (approved airports necessary for national defense is vested in June 23, 1938). It was reorganized pursuant to the Administrator under the current $100,000,000 Reorganization Plans No. III and No. IV, which airport program authorized by the Congress for the became effective June 30, 1940. It is now within fiscal year ending June 30, 1942. the framework of the Department of Commerce The Civilian Pilot Training Program, also under and has been separated into (1) the Civil Aero- the Administrator, has given over 100,000 flight nautics Board and (2) Civil Aeronautics Adminis- training courses, which produced by the end of tration (the Administrator of Civil Aeronautics 1941 some 65.000 new aircraft pilots and qualified and his staff). The Civil Aeronautics Authority is several thousand pilots to act as flight instructors. no longer an operating entity.

The program has been an effective adjunct to the The Civil Aeronautics Board functions inde- national defense effort and recently has supplied pendently of the Department of Commerce, being the Army and Navy with approximately one-third governed by the five members constituting the of the flying cadets initially enrolled each month. Board. Although it is supplied by the Department as well as hundreds of instructors. of Commerce with certain so-called "housekeeping" The Administrator encourages the establishment services, it maintains its own staffs to handle of civil airways, landing areas, and other air navilegal, economic and safety matters.

gation aids and facilities. He designates and Its duties and functions include the prescribing estabilshes, operates and maintains air navigation of safety standards, rules and regulations, and the facilities along civil airways and at landing areas. suspension and revocation of various certificates, He also makes provision for the control and proincluding pilots' and other airmen's certificates, tection of air traffic moving in air cotnmerce. the issuance of certificates of public convenience The Administrator is charged with undertaking and necessity to United States air carriers and or supervising technical developmental work in the permits to foreign air carriers; receiving tariffs field of aeronautics, and planning for the developfiled by air carriers, regulating rates for the ment of aeronautical facilities. This includes the carriage of persons and property; prescribing rates testing of devices designed to increase safety in of compensation for the carriage of mail; regu- air navigation. lating accounts, records and reports; passing upon As the chief executive officer in the field of civil mergers, federal loans to air carriers, methods of aeronautics, the Administrator is charged with the competition, and interlocking relationships. The duty of administering safety regulation (excepting Board in the administration of its functions is the prescribing of safety standards, rules and required to

encourage and develop air- regulations, and the suspension and revocation of transportation system properly adapted to the certificates after hearings. This includes the etfectupresent and future needs of the foreign and ation of safety standards, rules and regulations prodomestic commerce of the United States, of the viding for the examination, inspection or rating Postal Service, and of the national defense. The of airmen, aircraft, aircraft engines, propellers, Board cooperates with the national defense appliances, air carriers, air navigation facilities and agencies.

air agercies, and the issuance of safety certificates. The Board has also taken over the functions In this connection, he recommends to the Civil of the former Air Safety Board, the offices of the Aeronautics Board proposed standards, rules and members of which have been abolished.

In per

regulations designed to promote air safety. In forming these functions it makes rules on notifi- enforcing the rules and regulations of the Board, cation and report of accidents involving aircraft: the Administrator makes emergency suspension of investigates and reviews the investigation reports safety certificates and provides for the impositon on such accidents and reports the facts, circum- and compromise of civil penalties for violations stances and probable causes, makes its reports and of such rules and regulations. recommendations public in such manner as it The Administrator further provides for the deerns to be in the public interest: investigates registration of aircraft, and the recordation of all complaints and conducts special studies and in- conveyances affecting title to aircraft. He also vestigations to reduce aircraft accidents and pre- provides for notice with respect to hazards to air vent their recurrence.

commerce. The Civil Aeronautics Administration functions Congress has vested in the Administrator reunder the direction of the Administrator of Civil sponsibility for the care, operation, maintenance, Aeronautics, who is under the direction and super- and protection of the new Washington National vision of the Secretary of Commerce. By authority Airport at the National Capital, representing an of the Civil Aeronautics Act of 1938 and subsequent investment of over $15.000.000. legislation, the Administrator encourages and fos- There are more than 6.000 employees in the Civil ters the development of civilaeronautics, and foreign Aeronautics Administration, of which nearly 4.000 and domestic air commerce of the United States. are engaged in operating the nation's airways.


Federal Communications Commission FCC-Federal Communications Commission-James Lawrence Fly, Chairman; Ray C. Wakefield, Paul A. Walker, Norman S. Case, T. A. M. Craven, George Henry Payne, and one vacancy. Address, Washington, D. C.

The purpose of the Federal Communications Com- trol, and technical developments; promotion of mission, as defined in the Communications Act of radio and wire services, with particular reference 1934, is to regulate interstate and foreign com

to the utilization of radio in protecting life and merce in communications by wire and radio to property; and, particularly pertinent at the present make available to all the people in the United

time, the effective policing of the ether in con

nection with the national defense. States a rapid, efficient, nation-wide and world

The Commission has jurisdiction over all radio wide service with adequate facilities and reason

services, including standard broadcast FM (freable charges. This program of regulation also quency modulation), television, noncommercial includes provision for the national defense and educational international, relay, facsimile, defor securing a more effective execution of com- velopmental, marine (ship and coastal radiomunications policy by centralizing authority here- telegraphy and radiotelephony), aviation (aircraft tofore granted by law to several agencies.

and airports). emergency (police, forestry, and Such supervision embraces allocation of radio special), experimental, Alaskan, and miscellaneous. frequencies; licensing of radio stations, and com- Within the last year the Commission has authorized mercial and amateur radio operators; assignment commercial operation of FM and television. of radio call letters; regulation of common carriers Program broadcast stations are not deemed com(point-to-point radio service; telephone, telegraph, mon carriers under the Communications Act. Wire and cable in the matter of rates and tariffs, service which is intrastate in character is not subaccounts, extension of facilities, operation and con- ject to Commission authority.

DEFENSE COMMUNICATIONS BOARD President Roosevelt issued an Executive order or other communications, or to take over any (Sept. 24, 1940) establishing a Defense Communi- facilities. The Board is composed of the Chairman cations Board to determine, coordinate and prepare of the Federal Communications Commission, the plans with respect to the relationship of radio, Chief Signal Officer of the Army, the Director of wire and cable communications to the national Naval Communications, an Assistant Secretary of defense. The board has no power to censor radio State and an Assistant Secretary of the Treasury.

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