Restrict Money Growth, Realty Committe Asks
Û¢The nations third largest industry, real estate, faces a severe crisis unless the government restricts the growth of the countryÛªs money supply to curb inflation, the National Realty Committee, a non-profit organization of owners, developers and operators of real estate thoroughout the country, has charged.</br></br>In a policy statement issued by the NRCÛªs directors. Ihe "expansionary monetary policyÛ of the Federal Reserve Board was described as a direct cause of "disastrously high interest rates reducing mortgage credit on which the entire leal estate industry depends.Û</br></br>The committee urged the Federal Reserve Board to signify clearly that it will reduce the rate of monetary expansion. It also recommended two other courses of Congressional action: Û¢	A deduction to each taxpayer or tax-paying household of S2.000 to $3,000 of funds each year in savings accounts life insurance policies and annuities, or government bonds. This would encourage the flow of funds into the savings pool essential to real estate investment.</br></br>Û¢	Enactment of the mortgage investment tax credit now before Congress to stimulate real estate invert-ment by allowin'' tax credits to mortgage lenders.</br></br>Û¢	The VRC daid. ÛÏThese legislative actions are imperative and demand immediate attention if a ends of catastrophic proportions is lo be averted in the real es-late industry.Û