Powers of the President during crisesSmith, J. Malcolm (John Malcolm)
History
Powers of the President during crises
Smith, J. Malcolm (John Malcolm)
Constitutional history -- United States; Executive power -- United States
Significant as may be the readiness of democratic governments in time
of critical economic or crucial war emergency to enter the market
place or to produce, either to the exclusion of private enterprises
or in competition with them, these are exceptional circumstances;
rationalization of the economy is principally achieved by coercing
private owners and producers to act consistently with a governmental
definition of the public interest. It is such examples of direct
governmental control of private entrepreneurs, producers, and
distributors that are to be examined in this chapter.
CONTROL OF GOODS AND MATERIALS
In surveying the possible alternatives of a nation aware of a
threatened or existing shortage of strategic raw materials or finished
products it is appropriate to review first negative and general
controls and thereafter to consider those which become increasingly
particular and positive. An initial precautionary move in such
circumstances is to prevent the escape of scarce materials from
the country. Also relevant thereto is the conservation of domestic
supplies. Beyond conservation, implementing these safeguards are
affirmative programs encouraging increased domestic production of such
materials as well as their importation from abroad. Such programs have
been reviewed under the heading of government acquisition. It will
be recalled that in addition to stockpiling strategic materials, the
government created and operated new productive facilities in an effort
to insure adequate supply. However, in addition to these measures
the government generally has been unable to escape the necessity of
establishing priorities and allocations systems to insure that whatever
supply is available is utilized for successful prosecution of the war
or to combat effectively any other domestic emergency.
_Restrictions on Export_: Congress, in the Tennessee Valley Authority
Act of 1933, stipulated that no products of the Corporation could
be sold for use outside of the United States, its Territories and
possessions, except to the United States government for the use of its
Army and Navy, or to its allies in case of war.[318]
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