The daily worker., 1930-01-28
Hoover's Increase in Employment
Prosperity Is Permanent"-SOme
More Bluff!
By /. AMTER.

WHEN in November Hoover called the Ma
:" tiona Business Conference, he lied when
he stated that it was for the purpose of study
ing unemployment and proposing measures for
the relief of the unemployed. When the bank
ers and manufacturers gathered in Washing
ton under the leadership of the United States
Chamber of Commerce and proposed plans"
for providing work. they knew they lied. When
Hoover reported after the conference that
about $9,000,000 of emergency work was being
provided by the railroads, state and municipal
governments, he lied.
When the manufacturers promised" not to
reduce wages, in order not to worsen the con-
dtions of the workers, he lied
When on January % Hoover declared that
the situation was improving, he again lied.
When Secretary of Labor Davis (marvellously
ironical name for his office), echoed the presi-
dents chorus, without quoting any figures
based upon fact, he lied. When Charles Erwin,
the Jeffersonan socialist, places cerdence in
the statement of the officials of the United
States government, then he is too stupid to lie.
When on January %, the National Business
Survey Conference, appointed at the Hoover
conference, state that trade recovery is now
complete" it lies. When the president repeats
the statement, he repeats the lie.
When the president is ignorant of the re-
ports of the departments of the United States
government, then it is wonder that he lies.
The Federal Reserve Board states: "Production
and employment-ndustria production, as
measured by the Federal Reserve Boards in
>dex, which is adjusted for seasonal variations,
declined by per cent in December, following
upon decline of 9 per cent for the preceding
month The largest decline in December,
as in earlier months, were in automobiles and
iron and steel Production in the textile, shoe,
lumber and non-ferous metals industries also
decreased considerably. Stocks of cotton tex
tiles, copper, zinc and lumber increased in De-
cember. . Building contract awards also de-
clined further in December. Residential
tracts continued to be in small volume and
there were large decreases in awards for COM
mercial buildings and public works and utilities.
Freight car loadings in December, as in
the preceding month, showed more than the
seasonal decline. -. Sales at department stores
in leading cities were 2 per cent smaller than
in December, 1928. Decreases in sales were
reported for ten Federal Reserve districts"
Francis H. Sisson, vice president of the
Guaranty Trust Company of New York, speak
ing before the New York State Bankers Asso-
citation, declared that "there has not appeared
yet any concrete evidence of true indus
trial revival beyond the purely seasonal ad-
vance in activity that always occurs after the
holiday" He forecast "high level" of activ-
ity by the end of the year, but poor showing
for the current first quarter. If the industrial
situation in November and December showed
a decided decline, then mere seasonal ad-
vance that situation certainly is exceed
ingly poor.
On top of this, Miss Perkins, State Indus
trial Commissioner of New York, states that
there has been steady decline in employment
since October and even during the first fifteen
days of January. Employment figures for De-
cember, 1929, were lower than for any year
since December, 1914. ''Current indications"
she added, ''are that January will be even
worse than December"
The New York Times, commenting on Miss
Perkins statement, admits that there is de-
crease in employment, thus giving the lie to
Hoover and Davis.
On January %, Hoover accepts the report
of the National Business Survey Conference
and concludes that mo further unusual meas
ures are necessary" this being "unquestionable
proof that. prosperity is permanent"
Robert p Lamont, Secretary of Commerce,
presented "highly favorable report for the
construction industries" having been assured
"that the industries were well on the road to
rapid progress" The conclusion of it all is
that Hoover has decided that mo unusual meth
DDS need be considered for the stimulation of
business beyond the policies of progress which
ordinarily mark American industry"
What is the conclusion? The conclusion is
that the pledges of the railroads, states and
municipalities were empty air. They had and
have no intention of institutng relief measures
even in the form of public works. The govern
ment of the United States and the U. S. Cham
Der of Commerce buffed the people into ''con-
fidence" in the government and the existing
capitalist institutions to overcome the economic
crisis. Promises could easily be given, just as
Henry Ford talked in high terms of colder
workers." whom he does not employ in his
plants! Just so much buncombe and bluff
What are the facts? In the textile indus
try, 30,495, 100 spindles were operating in De-
cember, or at 88.2 per cent of capacity, COM
pared with 34,S39 ,O28, or 1909 per cent in No
vepber and 34,930,682, or 99.1 per cent in De-
cember, 1928. Active spindle hours for De-
cember totaled 6,769932181 or an average of
1856 hours per spindle in place, compared with
1911 606,790 and 226 for November, and 7,71O,-
948,023 and 219 for December year ago.
These figures speak louder than Hoover's
bluff! In the first week of January there
was decrease of 81 PAT cars from 1929, or
SIS per cent, and Of 79540 from 1927, or 3-8
per cent. The price of steel products in the
middle of January was more than per cent
below the average of last April to July, and
is the lowest of any month since December,
1927, and, with that one exception, lowest since
July, 1922.