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...serious as anything else, however, was the Italian national habit of dismissing all economic problems with a reference to Italy's population problem. Said Zellerbach, "Large population can be a challenge as well as a problem." If Italy's 1,800,000 unemployed and 2,000,000 underemployed could get work at normal wages, the nation's home market would be increased by at least...

Author: /time Magazine | Title: ECONOMICS: Plain Talk | 4/17/1950 | See Source »

...strictures to Italy were delivered by James D. Zellerbach, chief of the EGA mission in Rome. He did not threaten to discontinue aid, but many a complacent illusion was destroyed, nonetheless...

Author: /time Magazine | Title: ECONOMICS: Plain Talk | 4/17/1950 | See Source »

...Unsold Rug. The zoo-odd Italians, including Premier Alcide de Gasperi, who had gathered to hear Zellerbach speak at a luncheon celebrating the second anniversary of the Marshall Plan, expected only a good meal and some of the pleasantly flattering remarks customary on such occasions. The familiar praise, however, was concentrated at the beginning of the speech. After that, Zellerbach's clipped, nasal voice began to tick off in unusual fashion some of the things that he thought were wrong with Italy...

Author: /time Magazine | Title: ECONOMICS: Plain Talk | 4/17/1950 | See Source »

Monopoly-minded Italian businessmen, said Businessman Zellerbach (Crown Zellerbach Paper Corp.), had. grown soft through lack of domestic competition, hence were too soft-shelled for competition in tougher international markets. It was largely their fault that exports to the U.S. had declined from $90 million in 1948 to $45 million in 1949. To remedy matters, suggested Zellerbach, businessmen must emphasize smaller profits on larger volume, and realize that "antimonopoly action is an integral part of the recovery program...

Author: /time Magazine | Title: ECONOMICS: Plain Talk | 4/17/1950 | See Source »

...government, too, was dragging its feet, Zellerbach continued. A system of taxation which puts 43 taxes on a man's morning cup of coffee "tends to discourage business initiative and increase costs." Another obstacle to economic progress was the Italian bureaucracy. "A friend visited me," recounted the EGA chief, "and noticed a rug made here in Italy. He asked me to send samples and prices. After a month or two of trying to get all the necessary permits . . . my secretary gave up in despair, and the samples were never sent. Undoubtedly, much business has been lost for Italy...

Author: /time Magazine | Title: ECONOMICS: Plain Talk | 4/17/1950 | See Source »

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