THE ECONOMY: All-Clear Signal

One month ago President Eisenhower, spurred by the Steelworkers' David McDonald and others, was ready to go into action with the Government's depression-fighting machinery, including: stepped-up public works and liberalized Government-lending and Federal Reserve Board credit policies. But no sign of drastic pump-priming activities appeared. This week word came from the President's Economic Assistant Gabriel Hauge that these pump-priming measures would not be needed.

Speaking on the TV program Youth Wants to Know, Hauge said: "The downward settling process has pretty well been slowed down to a stop. We can look ahead to going forward again." Hauge predicted "a rising phase" of business activity during the next twelve months.