Thinking Ahead.

The article discusses the impact of military expenditures and sustained military readiness on the United States economy, in light of a North Korean attack on South Korea on June 25, 1950 and the potential for Russian aggression in Europe. America needs industrial mobilization, sustained productive capacity, and a supply of superior weapons to protect itself and contribute to European rearmament. At the same time, the U.S. needs to protect its civilian economy from inflationary pressures. Topics include data from the military budget, estimate of the potential labor force and the rate of productivity that affect output, the tax burden of mobilization, price and wage controls, and rationing.