Department of Agriculture-Continued Indemnity payments to certain dairy farmers.3 Sugar Act program. Army National Guard. Overseas eductional programs and activities. Cooperative research. Juvenile delinquency and youth offenses. Educational improvement for the handicapped. Research and training. Mental health activities. Hospital construction activities. 3 Agricultural Act of 1970 also indemnifies certain bookeepers found to have suffered losses because of Federal programs or activities. Department of Health, Education, and Welfare- Construction of health research facilities. Urban and industrial health. Services for crippled children. Maternal and child health services. Assistance for repatriated U.S. natio Aid for refugees in United States. Department of the Interior: Commercial fisheries: Vanagement investig and development of American fisheries. Federal Water Pollution Control Administrat Department of Justice: Law enforcement assistan Department of Labor: Manpower development and training activiti servicemen. National Foundation on the Arts and the Human National Science Foundation: Research grant awards. Veterans' Administration: Automobiles, etc., for disabled veterans. Readjustment benefits and vocational rehabil It will be apparent from an examination of thes is some inevitable duplication. It is in many determine the incidence of these subsidy and su The school lunch, food stamp, ind commodity di: help the farmer by increasing food consumption beneficiary of these programs are schoolchildren an While the school milk program is beneficial to the d more valuable is it to the children who receive the class postage rates are far from covering the co magazines and newspapers within this class, but subsidy is shared among publishers, advertisers, su readers. The shipping and air transport industi from subsidy programs, but private and commerci: The vast majority of the subsidy programs do, t] might be termed a multiplier effect with regard t 51-617-70 -2 CHAPTER III BUSINESS SUBSIDIES The subsidy and subsidylike programs included those of the Post Office Department, the provisi amortization of defense facilities, and aids to i Just as not all of the programs listed under agricul designed exclusively as subsidies to farmers, so no of the postal and other subsidies considered here i to businessmen. However, in general, these and t] ping and other transportation companies in the fol be considered as subsidies to business, in contrast subsidies to agriculture. Post OFFICE DEPARTMENT The difficulties in ascertaining what should and considered as a subsidy are well illustrated in th postal services which are carried on at a loss and the postal deficit. This deficit, over the 10-year 1959 through June 30, 1969 has amounted to over The subsidy element in the postal deficit diffei from the direct subsidy payments already consid are made to individuals or private businesses to en or the performance of additional services. Inste history, the Post Office has carried various class formed many other services at a loss, based on a c appropriately attributable to each class of service. of the allocation of these costs to the various post undertaken by the Post Office Department since 1 tainment Division, using accounting and statistical measure (1) the revenue realized from each class (2) the incurred costs chargeable to each class of of its "use" of the facilities and personnel, and (3) the difference between revenues and such costs for This cost ascertainment system does not attempt to ice differences as the value of priority or defermei class of mail or service, relative values of the var public, and the relative values of the items handle On the basis of the cost ascertainment calcul dollar loss has consistently been in second-class m primarily newspapers and periodicals. The rates conviction that the widespread distribution of new and other periodical literature is in the interes people and is stimulated by low postal rates. At lishers of newspapers and magazines, and perhap in them, benefit directly from these low rates and repeatedly opposed attempts to raise them. It r |