WPeather Light snow. LL Fifty Years Of Continuous Publication Diati Editorial Defense Streamlined By Reorganization .. VOL. L. No. 73 ANN ARBOR, MICHIGAN, THURSDAY, JANUARY 9, 1941 Z-323 (PRICE FIVE CENTS Fleets Placed On War' Basis; New Admiral Is Appointed Enlisted Personnel Limit Is Raised To Provide Crews For Battleships Now In Construction Three Ocean Navy Included In Plan (By The Associated Press) WASHINGTON, Jan. 8-MP-The Navy reorganized its fighting forces today into three United States fleets and raised thelimit of its enlisted personnel to provide crews at full war-time strength for ships under construction.- Secretary Knox announced the chnges, which were authorized by President Roosevelt. At the same time the Navy Secretary told his press conference he did not believe the United States could spare more destroyers for Great Britain without "impairing" our fleet. Three Ocean Navy Under the reorganization, the Nav- al force will consist of an Atlantic fleet, a Pacific and an Asiatic fleet. Each will operate under a comman- der-in-chief. Rear Admiral Husband E. Kimmel, who will head the Pacific fleet, also' will be commander-in-chief of the combined forces. He will have the rank of admiral and will succeed Ad- miral James O. Richardson, who has1 held the post for little over a year. Richardson was ordered to report to Knox for duty, but the secretary did not disclose what his new as- signment would be. ~ The authorized enlisted strength of the Navy was raised to 232,000 men, including both regulars and re-' serves on active duty. The present personnel numbers about 191,0001 compared with 145,000 enlisted men in the -Navy last July. The increase in the limit was effected under Mr.1 Roosevelt's powers to change the Navy's authorized strength in an emergency. War-Time CrewsC Knox said that ships in service were operating with crews at full war-time strength, but that the in-, crease was desired to assure fullr strength manpower fpr new vessels as they are completed. President Roosevelt recommended in his budget message to Congress today that the Navy receive $3,358,- 558,414 during the fiscal year start- ing July 1941. This includes $1,515,- 000,000 for ship construction and ma-I chinery and for armor, armament and maintenance: The sum is expected to continue and complete construction of 448 ves- sels. Of that number, 80 already have been commissioned, but they need certain additions to armament and1 other items which will be charged against the building fund. More Auxiliary Ships Knox said that the Navy intended£ to ask Congress to authorize 280 new auxiliary vessels which officials es- timated would cost an additionalj $350,000,000. They will include sub- marine chasers, patrol boats, mine sweepers and vessels to lay nets as harbor defenses against submarines. The Navy secretary said that it was not planned to ask Congress to authorize the building of more destroyers. The prospective request for more submarine chasers led to speculation{ in some quarters, however, that- some{ craft of that kind might be madei available to Great Britain. The Navy now has 53 chasers under construc- tion.{ Prof Price Urges U.S. AidI o English "The American people cannot af- tord to let Germany win in Europe," 'rof. Hereward T. Price of the Eng- sh department asserted in a talk st night at the League before the nerican Student Defense League. t would be impossible for the ..ted States ever to be friends with or ever to collaboi'ate with a victor- ious Hitler, Price asserted. And, therefore, the "only hope for this country is to help England so that License-Freedom-Suppression' To Be Subject Of Winter Parley President Asks Unprecedented Slosson, Fuller And Carr Will Participate In Panel Led By George Shepard "License-Freedom -Suppression." the provocative symposium topic of the Student Senate's annual vwinter parley, will be discussed by three out- standing faculty members, Prof. Richard C. Fuller and Prof. Lowell J. Carr of the sociology department and Prof. Preston W. Slosson of the history department, it was an- nounced yesterday by William Todd, '42, general chairman of the parley. George Shepard, '41, will serve as chairman at this panel which )vill be held at 3 p.m. Saturday at the Union. At the same time another panel will be held on the vital campus problem of student government and extra curricular activities. James Harrison, '41, will preside over a pan- el that will include Dean of Students Spanish Club wWill Sponsor Griffin Talk La Sociedad Hispanica will spon- sor a lecture, "Mexico, Land of the Future and Romance," to be pre- sented by Mr. Robert Griffin of De- troit in the Natural Science Audi- torium Lt 8:15 p.m. today. In the second lecture of the 1940- 41 series Mr. Griffin will take his audience on an imaginary journey of Mexico. The "journey" will be il- lustrated with natural color motion pictures which depict the beauty and picturesque features of our neighbor to the south. Several of the more interesting stops to be made on the pictorial tour will be at floating gardens, fiestas and bull fights. The pictures con- trast the ancient and the modern, which stand side by side in Mexico. Recently returned from Mexico, Mr. Griffin is well qualified to speak on the various phases of life in that country. He is a lecturer of long ex- perience and his lectures have al- ready obtained success in other parts of the Mid-West. At various times in his career he has been employed on newspapers and magazines both in this country and in Mexico. The lecture will be in English and will be open to all those holding the Sociedad lecture series tickets. Others may attend by paying a twenty-five cents admission fee. Joseph A. Bursley, Dean of Women Alice C. Lloyd,, Assistant Dean of Students Walter B. Rea and Miss Ethel McCormick, social director at the League. Three panels starting at 7:30 p.m. Friday will be concerned with the international scene. Prof. Lawrence Preuss of the political science de- partment and Prof. Arthur Smithies of the economics department will be speakers at a symposium devoted to international relations after the war. Col. Henry W. Miller, military au- thority and member of the engineer- ing faculty, and Prof. Preston Slos- son will analyze the probable out- come of the war. William Bestimt, '43, will be the chairman. Divergent viewpoints will be heard on the highly controversial subject of American foreign policy when Rev. H. L. Pickerell, Prof. Howard Ehr- mann of the history department, Prof. William Hobbs, William Clark, '41, and Prof. Roy W. Sellers of the philosophy department will argue for widely different courses of action. John 'McCune, '41,, will act as chairman. Lieut. Commander Elmer Shaw Pettyjohn of the naval ROTC has been named as the principal speaker at the parley's opening session at 3 p.m. Friday. Other speakers on this symposium concerned with con- scription are Prof. Emeritus Edwin Goddard, member of the local draft board, Col. Miller and Lieut. Com- mander Wells L. Field of the naval ROTC. The last session of the parley will be at 3 p.m. Sunday. It will be ad- dressed b Dr. Edward N. Blakeman who will summarize the contents of the parley. A general discussion will follow. Hockey Team Will Encounter Michigan Tech Visitors To Present New Lineup For Skirmish At' Coliseum Tonight Michigan Tech's elfin hockey team will meet Eddie Lowrey's embattled Wolverine puck squad tonight at the Coliseum. The opening whistle will be at 8 p.m. The visitors will present a lineup dotted with plenty of new faces since eight members of the 12-man travel- ing squad have never played on the local ice before. The Huskies have suffered by the graduation of Maurice yilleneuve, captain of last year's squad, but asideI from this, indications are that Coach Ed Maki has put together a much improved outfit. The colorful Villeneuve will be missed by the crowds as much as by his former teammates. The Flying Frenchman was the offensive and defensive star of an otherwise medi- ocre squad last year and made a big hit with the crowd by his colorful tactics.% Speed and plenty of fight keynote the attack of the diminutive lads (Continued on Page 3) 1 Peacetime To Financ Rudget Of 'Defense 17 Billion 1 Production Highlights Of President's: Annual Budget Message s * WASHINGTON, Jan. 8.-(P)--Salient passages of the President's bud: get message to Congress today: "Carrying out the mandate of the people, the Government has em- barked on a program for the total defense of our democracy. This means warships, freighters, tanks, planes, and guns to protect us against aggres- sion, and jobs, health and security to strengthen the bulwarks of democracy." * * * * "This program, including defense and non-defense activi- ties, will cost about 17.5 billions of dollars (for the year). For the same period, we expect the largest national income for the nation as a whole and also the largest tax receipts." * * * * "Sixty-two percent of the expenditures proposed in this budget are for national defense. No one can predict the ultimate cost. "We shall actually expend more than 25 billion dollars for defense with- in a 3-year period. This can be accomplished, but only if management, labor, and consumers cooperate to the utmost." "The increased military expenditures permit a substantial reduction in non-defense expenditures, particularly for those activities which are made less necessary by improved economic conditions." "For the items subject to administrative rather than legislative action, I have been able to reduce expenditures by 600 million dollars, or 15 percent." "I recommend the continuance in full measure of the Social Security programs. Furthermore, I deem it vital that the Con- gress give consideration to the inclusion in the old-age and survivors insurance system and the unemployment compensa- tion system of workers not now covered." * * * * "I estimate reduction of 45 million dollars in the agricultural programs. We are definitely maintaining the principles of parity and soil conserva- tion." "The revenue for the fiscal year 1942 is expected to be 9 billion dollars. It will exceed the revenue collected in the fiscal year 1940-the last year before the start of the present defense program by 3 billion doliars." Roosevelt Indicates Subsequent Demands Will Be Made To Gear U.S. Industry Into 'Battle' Against Axis Powers Request Received By Majority Of Conoress With Equanimity WASHINGTON, Jan. 8.-(P)-President Roosevelt sent Congress a $17,- 485,000,000 budget today, a record for peacetime, and served notice that he would ask still further funds to throw America's great industrial machine into the battle against the Axis Powers. During the fiscal year which begins next June, he proposed that $10,811,- 324,000 be spent for the United States armaments program. That figure and the budget's total, as well, are to be further increased by the cost of warx supplies sent to England under his lease-lend plan. By comparison, the budget for the current fiscal year ending next June, as revised today, calls for total expenditures of $13,202,370,970, with $6,463,- 923,000 for defense. In the year which closed last June, expenditures totalled $8,998,189,706, of which the defense item was $1,579,905,425. Aside from defense, the principal items of the new budget were: $502,- 884,000 for public woks, as compared with $570,002,000 this year; $1,061,561,- 700 for "aids to agriculture," compared with $1,106,391,800; and $1,034,139,- 700 for work relief as compared with $1,501,915,000. Against the tentative total of $17,485,528,049, Mr. Roosevelt placed esti- mated Government revenues of $8,275,435,000, noting that the sum was suf- Ificient to cover non-defense items "A start should be made this year payments from current tax receipts. be based on the principle of ability to to meet a larger percentage of defense The additional tax measures should pay." 37 Solicitors Revised School Drafted By Aid Bill Educators LANSING, Jan. 8-(P)-A mini- mum salary of $800 for public school teachers is proposed in a revised school aid bill drafted by a group of educators, Dr. Eugene B. Elliott, Sup- erintendent of Public Instruction, said today. The Bill also proposes raising the property tax requirement from three mills to four mills for local schools in order to qualify them to receive state aid and payment of state aid in five installments instead of three as at present, His Highness Looks To The Future: Archduke Otto Predicts Surprise Endimg' For Second World War Go Into Action In Relief Drive Campaign To Raise Funds To Aid Refugee Students Will Continue To Jan. 21 Thirty-seven solicitors swung into action as the Ann Arbor Jewish Com- mittee began a drive to raise funds for the support and tuition of refu- gee students on campus yesterday. The drive, which will last until Jan. 21, will attempt to secure suf- ficient funds to care for the five refugee students now on campus and bring more refugee students here to complete their education. The student solicitors, who will contact every Jewish student on campus, are under the divisional chairmanship of Martin Dworkis, Grad., He will be aided by Jerome B. Grossman, '41, in charge of fraternity solicitors; Elaine Fisher, '41, for so- rorities; Joseph Levine, '41E, for the independent men; Janet Crome, '43,; for women's league houses; Helen Bittker, '42, for Stockwell Hall; and Virginia Golden, '42, for Mosher- Jordan Dormitory. The list of solicitors includes the names of Shirley Selin, '44; Dorothy Proser, '44; Dorothy Schulhof, '44; Janet Slottow, '42; Dorothy Roth, '41; Mildred Williams, '41; Virginia Golden, '42; Miss Crome; Natalie Van Gelder, '43; Ruth Schulman, '41; Sarah Kaufman, '43Ed.; Ha- 'dassah Yanich, SM; Edith Levine, '43; Agnes' Gilbert, '43; Florence Stern, '44; Miss Fisher; Beverly Sad- with, '42; Levine; Joseph Fauman, Grad.; Grossman; Bernard Sisman, '41; Myron Gins, '41; Burt Klein, '41; Julian Pregulman, '42; Richard Un- ger, '42E; Louis Hurwitz, 41D; Leo- nard Brandman, '41M; Irving Slif- kin, '43; Dworkis; Sam Rosen, '44; Bob Warner, '43; Harry Rappaport, '43; Morris Fishow, '43; Herb London, Active Newspaper Aids Communityx, Publisher Asserts "An active newspaper is one that gives definite service to its commun- ity," With this as his thesis, Philip Rich, publisher of the Midland Daily News, gave several illustrations of some methods newspapers might em- ploy to become "active," in his :talk today, third in a series sponsored by the Department of Journalism. Among movements promoted by Rich's newspaper, serving a commun- ity of 10,000 people, have been in- vestigation of rents, particularly among lower income groups, free em- ployment ads, rebating mortgage sales and free swap ads. At one time during the depression when Midland was suffering from a housing short- age, Rich revealed that his paper built a model home and left it open for inspection, thus stimulating in- terest in homes. A newspaper should remain in- dependent of any clique or party, Rich emphasized, and added that it did not matter whether a paper wins or loses a campaign, so long as its columns reflect honest opinions. Lundy To Give University Talk On Anesthetics Leading Authority To Deal With Place Of Chemistry In Solving Problems Problems in anesthesia to be solved by chemistry will be the theme of a University lecture on "Anes- thetics" to be given by Dr. John S. Lundy, Head of the Section in Anes- thesia of the Mayo Clinic at Roches- ter, Minn., at 4:15 today in the Rack- ham Amphitheatre, under the aus- pices of the University section of the American Chemical Society.' Recognized as the nation's leading authority on anesthesia, Dr. Lundy is professor of anesthesia at the Mayo Foundation and is at present working on a book dealing with his recent studies on the various aspects of the subject. Dr. Lundy is a prolific contributor to prominent scientific journals and is a member of the Associated Anes- thecists of the United States and Canada and the International An- esthesia Research Society. Today's lecture will be of import- ance to local physicians and pharm- acists as well as students and pro- fessors of chemistry. Dr. Lundy will use as few technical-terms as possible so that interested laymen may un- derstand the nature of the problems discussed. University Drops Course AKRON, O., Jan. 8--(/')-Prof. Paul Zeis of Akron University con- tends war-makers have reduced to a farce the study of international law as currently taught-so the Univer- sity announced today the course would be dropped for the spring se- mester. and national defense outlays at the rate of a few years ago. As presented, the figures left a prospective deficit of $9,210,093,049, the largest of the Roosevelt period. But how close that would come to the ultimate figure, the President himself was frankly in doubt, because the cost of aid to England had still to be added, and revenue gains from a new tax bill increasing the rates had still to be added. New Taxes Asked Tentatively, it was estimated that the public debt would rise from the present figure of $45,000,000,000 to $58,367,065,056 on June 30, 1942. The president asked emphatically for the passage of such a tax meas- ure, together with new levies de- signed to prevent anyone from mak- ing an "abnormal net profit" from the defense program. Rising tax rates levies on a rising national in- come could, he suggested, provide greatly increased revenues. He esti- mated national income for the fiscal year at $87,000,000,000-higher than 1929. Despite the size of the figures it contained, the budget was received in Congress with an almost sur- prising equanimity. It had, of course, been known for months that the totals would run to un- precedented proportions. Admin- istration leaders were quick to praise the recommendations, while the most emphatic criticism came, not from the balanced budget group, but from those critical of the president's foreign policy. Thus, Senator Wheeler (Dem., Mont.), a leading- opponent of the lease-lend plan, said the budget tables would "wake up American tax- payers to the cost of fighting another European war," and Senator Van- denberg (Rep., Mich.), observed that his digestion was not good enough to "take this budget down at one gulp." At the other end of the capitol, Rep. Treadway of Massachusetts, ranking Republican member of the Ways and Means Committee, pro- posed the appointment of a bi-part- isan House-Senate committee to co- ordinate federal expenditures and revenues, It was impossible to bal- ance the budget now, he said, but Congress should remember "that we are treading a dangerous path which, as the president once said, leads in- evitably to bankruptcy." Total Defense Necessary The message with which Mr. Roosevelt accompanied the budget began with an emphatic restatement of what he conceives to be the neces- sity of the times-a "program for total defense of our democracy," with "industrial capacity stepped up" to a point at which it can provide the essential ships, tanks, planes, and other war supplies. "It is dangerous to prepare for a little defense," he said. "It is qafe only to prepare for total defense. A wry turn of fate places this defense By BERNARD DOBER . The end of the war will probably come as a great surprise and will come about as a result of a great mil- itary victory combined with the greatest nationalistic revolution the world has seen, His Highness Arch- duke Otto told reporters in an inter- view last night. There is no chance now for a ne- gotiated peace, His Highness stated, because a peace with Germany in- cluded would be a peace based on distrust, and a peace with Germany His Highness, Archduke Otto, will be speaker at the Michigan Union Forum which will be held at 8 p.m. today in the Main Ball- room of the Union. His Highness will speak on "The Fall of Bel- gium and France." After his talk, the Archduke will answer any questions which members of the audience may ask. excude dwould onl rneea the mis- political and economic federations in Central Europe, in the Balkans and in the Scandinavian countries could be formed, he said, the countries within the federations would have greater security and protection from the larger, neighboring countries and could withstand any possible invas- *ion. Archduke Otto was in Belgium at the time of the Nazi invasion and stated that King Leopold was not to be blamed for his actions. The Belgium people fought to the best of their ability, he said, and sur- rendered when their supplies were exhausted. The country was totally unprepared for such an invasion. The "secret weapon" which the Nazis used to conquer Belgium, His Highness disclosed, was a trick; Ger- man soldiers dressed in the uniform of the Belgian Army crossed the bor- der 'and gained access to army forts and other military points of vantage. So unprepared were the Belgiaus, he stated, that the generals were at din- I Prelude To J-Hop: Sell-Out Crowd Is Expected As Eve Of Jackpot Hop Nears By PAUL CHANDLER, "Where 'ya going Friday night?" "Why, I'm going to the Jackpot Hop, and win a ticket to the J-Hop!" Such might be a typical conversa- tion on the Michigan campus this week if students were inclined to talk about such things. The Jackpot Hop, an all-campus informal dance, will be held in the Union Friday, and its sponsors are predicting a sell-out crowd. The dance itself will be one of the more interesting to be given yet One ticket to the Military Ball. Two passes to the Wayne-Mich- igan swimming meet. One ticket to the Junior Girls Play. One ticket to the Slide Rule Ball. One ticket to the Engineers' Ball. Subscriptions to the 'Ensian and The Daily. Three season passes to the Union dances. The sponsors, incidentally, include representatives from every important campus organization. Tickets may be E