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Radio and television makers, who had been cutting prices only two months ago, were now energetically raising them; Emerson Radio & Phonograph, for example, boosted prices of TV sets by $10 to $30, its second price boost in 30 days. The Seiberling Rubber Co. jacked up tire prices 5% to 7½% for a total of 17% to 25% rise in the past four months. Johnson & Johnson announced an average 6½% boost in wholesale prices for much of its medical supply line, meaning that consumers soon would be paying 55? for a 49? box of Band-Aids...
...income-tax boost would go into effect Oct. 1. Wage earners will give up 18% instead of 15% of their taxable incomes out of their pay envelopes. Estimated yield: $2.7 billion...
Great Britain announced that it would boost its defense budget by 45%, spending more than $9.5 billion in the next three years. At present, one of Britain's five divisions is tied down fighting Communists in Malaya, two are on garrison duty in Hong Kong and North Africa. Britain has a reserve of 4,000,000 trained or partially trained men, but they have virtually no equipment. The British army is underpaid, but so far the Labor government has not been able to bring itself to grant a pay raise which would spur enlistments-it might make trade unionists...
Last week, Secretary Brannan did move fast to ward off one possible shortage: for $64,560,000, he bought Cuba's surplus sugar stock (600,000 tons), began negotiations for 250,000 tons more from other producers. This will boost the U.S. sugar supply to a new high of 8,700,000 tons, far more than normal annual consumption...
SEITA not only wanted to dry up the black market, but hoped to boost its sales of tobacco paper in the U.S., where it once supplied 90% of the market. During World War II, U.S. companies started making their own paper, and SEITA has been unable to win back the market. Last week's deal with Reynolds and Lorillard calls for 70% payment in barter (half in paper, half in miscellaneous commodities), and 30% in dollars. In some Paris circles, the legalization of Camel and Old Gold sales also called for a new snobbery in cigarette fashions. Said...