The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1930-07-14
HOOVER AND MELLON HELP
THE UNEMPLOYED


increasingly militant Communist Party, a
quickening rehabilitation of the masses, length
ening bread lines, and spontaneous strikes,
forced some response. They had to do some
thing, for Whalen couldn't be expected to crack
the head of every hungry worker in America.
A brilliant idea was hit upon. There would
be building program-a program the like OF
which the world had never seen before.
Skyscrapers, factories, apartment houses
to rise everywhere in quick confusion.
The fact that existant skyscrapers were half
empty, that hundreds of factories were being
closed down, and that jobless workers couldn't
pay their rent in old tenements was COM
pletely disregarded. Every American would
now have the opportunity to become plasterer,
bricklayer or carpenter, whether he wanted to
or not, and unemployment would disappear
overnight.
Fabulous sums were mentioned in connec-
ton with this building program. First mil
lions, then hundreds of millions, then billions.
1t seemed that all the 100000 jobless in
America would be able to find employment in
the mere carting of the worlds gold here to
pay for the thousands of buildings that were
going to be constructed.
1t was finally decided that $7,0O0,000,000
would be spent; 31a billions by the federal
government and the states, and 31s billions by
the public utilities corporations. Seven billion
dollars is an impressive sum. 1t sounds more
impressive all over America. First the gov
ernment's contribution would be announced,
then the states and then the corporations
Then detailed explanations as to how the en-
tire $7,00O,0O0,o0O would be spent would be
released again. Then Hoover would release
the entire plan, then Lamont, then Mellon, and
then the Federal Reserve Board, until those
who were earnestly trying to follow the actual
amount to be expended were made quite dizzy.
E. G. HARDWOOD, writing in the Annalist, said.
Forced construction programs will actually
prolong the Fortunately, neither
business executives congress are likely to
spend the ephemeral billions, so that the eoun-
try may yet be saved from the evils which
would surely be attendant upon the success of
Mr.. Ioover's planned prosperity !-Unfortun-
ately, Mr.. Hoovers high-sounding phrases bear
neither statistical nor logical analyss.--A
forced construction program will actually pro-
long the depression" The president of the
Mortgage Bankers Assn, in Chicago seems to
substantiate HARDWOOD. Writing in the Wall
st. journal, he declared: Certain real es-
ate bond houses have over $255 100000 of real
estate bonds on Chicago property now in de-
fault"
And the situation in Chicago is merely a
reflection of conditions prevalent everywhere
in America. According to the National Bureau
of Economic Research, the total awards of
construction contracts in 81 states for the first
four months of 1880, as compared with the
corresponding period of 1929, showed de-
crease of 1917 per cent. The Bureau incidental
ly announced that residence construction fell
off 1913 per cent in the same period.
Last week, six months after these chimerical
billions were first banded about, Mellon an
nounced the extent to which the building pro-
gram has been carried out. 1t was brief
statement The ballyhoo about billions had
disappeared. The revealing statistics were inl-
bedded in mass of irrevelant and misleading
data. Here MELONS own figures. "In the
last six months contracts for 80 new projects
have been awarded at cost of SIS, 900
in 26 states, the District of Columbia and
Hawaii"
Even if the workers to obtain half Of
these S2S,O00,000 in wages, and normally they
would get only about So per cent of it, their
share would be s14,O0OOOO. If the $4,000, 900
were to be divided equally among the 100000
unemployed, even Mellon will admit that each
would get less than So.
AS for the public utilities carrying out their
share of the program, Immediately after the
wldely-hailed conference in Washington they
rushed home to institute the most brutal speed
up systems ant wage slashes the country has
ever witnessed. Hoover had inspired them
with the possibility of cashing in on the crisis.
relatively unimportant incident serves to
throw the spotlight on the bottomless hypo-
crisy of Hoover and his entire administration.
On March 10 the House was asked to vote an
additional $250,000 to the sum already agreed
upon for the construction OF the Boston Post
Office. A congressman speaking for the bene-
fit of the folks back home, suggested that the
extra $25000l would relieve the unemploy-
ment problem The House voted against the
appropriation on the express ground that it
didn't want to substitute the unemployed
The total achievements of the Hoover ad-
ministration in the elimination of unemploy-
ment as follows
l. Pushing through of the highest tariff
bill in Americas history. 1t is expected to in
crease the cost of living about 20 per cent in
time of decreasing wages and fewer Jobs.
2. Inaugu. alton of naval program to cost
at least S1,000,000,0O0 in the next five years.
8. Mellon refunds $97,000,000 in income
taxes to large corporations. Thirty-three mil
lion dollars oil this amount went to the U. s.
Steel Co, and $645,914 to the infamous Botany
Worsted Mills in Passaic.
d. Eight thousand postal employees are dis
charged for the "sake of economy"
s. The S280OOOOO building program mem
toned above. ev
g. The Wagner bills were passed "to aid