Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-09-06


of the Columbia Broadcasting System
from Station WMAL:
1t is a great privilege to speak to my
fellow citizens through the courtesy Of
The Washington Star
Nearly year ago, just before the
opening OF the last session of Congress
I had the honor and privilege to pre-
sent. through the courtesy of The Wash
ington Star. some views relative to an
immediate program of action for the
then coming three months session
That program was necessarily limited
in scope due to the short time Congress
was to be in session and to the agree
ment made by leaders of all political
groups that a special session was to be
avoided at all costs.
The opinion of the country as ex-
pressed at that time, through the press
and through the leaders of the groups
In power, was to the effect that Con-
RresS should pass appropriation bills
and 60 home, 50 that prosperity which
was said to be waiting just around the
corner. could have a chance to come to
us and restore to the people of America
the blessings which God Almighty had
prepared in natural resources. climate
and location for those who live within
the boundaries of its shore lines.
Accordingly. a program of co-opera-
ton was agreed to. 1t was agreed to
by the leaders Of both the Republican
and Democratic parties that nothing
should be done by Congress except pass
the necessary appropriation bills to
carry on the usual functions of the Gov
eminent. with the additional provision
that funds should be provided to be
loaned to the drought-stricken farmers
IN the South.
Country Awaits Prosperity.
The political advantages CT such a
program must have seemed apparent
20 the leaders of both political parties.
In addition. they were without doubt
smbued with profound conviction that
such program was not destructive in
character but rather constructive and
patriotic. Tremendous pressure was
brought to bear upon members of Con-
gress from various sources to carry this
program through practically as out
H4ned, with the exception of the bill to
toan money to veterans. and this was
pone. Congress adjourned; its mem
hers went home; the country heaved a
Sigh of relief and waited for the
promised prosperity to appear.
But the worldwide depression, which
began to make its first appearance in
khe United States during the month of
June, 1929, continued its devastating
course with increasing momentum and
fury, spreading its destruction through
out the world
Freedom of progress, in large mes
0re. has been given the spread of the
depression by frequently issued and
often repeated statements Of financierS.
industrial and political leaders that
there is no depression. and that if there
is one, it is psychological and due to a
state OF public mind. If they believe
inability to pay interest or amortiza-
ton payments en- farm mortgages, in
ability to draw deposits from closed
banks. 100000 Workingmen out of en-
ployment, ships lying idle in harbors.
business going bankrupt is simply psy-
Geological phenomena or state of mind.
the only words / can find to express
my opinion of their views is TO say that
such leaders have no minds at all and
should not confuse the public mind
with foolish statements. given weight
and attention simply and only because
of the fact that these persons who have
made them happen to occupy positions
OF prominence and power. Such men
must bear the responsibility of a do
nothing policy that leads to further
chaos. as is becoming increasingly APP
parent TO people everywhere
Since October. 1929, many statesmen.
bankers induStrialistS and economists
have been saying that prosperity was
just around the corner and would be
here in about 80 days. Some of them
have said, nearly every week, Nov we
have hit the bottom" This was true,
but they have failed to mention that
there was a new bottom every week
Many of them before the collapse Of
the speculative mania were proclaiming
that we had reached "a new era of
economics. permanent plateau of
prices" I am not talking to them, but
70 that portion Of the great body of
American people who are expected to
pay for the mistakes of their leaders in
industry, finance and politics.
Exceeds Five Combined.
Nationally, we are in the throeS of an
economic depression during which the
paper losses to date have exceeded the
combined losses of the panics of 1873.
1893, 1907. 1920 and 1921: and so far
es We have ways to measure the real
or relative losses in those declines. it
Is found that in all probability all of
them together did not approach the
present disaster in magnitude. Bank
clearings are now reported on the Fed
eral Reserve index to beat lower level
than ever before, since the Civil War.
and bank clearingS are a good index
of the trend of things in a country
check
The whole world is facing wholesale
defaults in debts. public and private
We have a Treasury deficit. to which
We are adding in consequence of our
daily borrowing of millions of dollars.
Our total number of unemployed per-
sons. formerly employed and now en-
playable. will not be less than 100000
by Midwinter.
ENGLAND fhara ORC nm nm
unemployed and the British Parliament
will meet next week to cope with a
deficit of S600,000,000 A coalition gov
eminent, non-partisan in character, has
been formed to meet the emergency.
Party government in England is on the
scrap heap. The new admin 'stration
hopes to balance the budget not by in
creasing taxes, but at the expense of
social relief and the existing wage level
Is it really possible that they expect
this program to restore the budget to
equilibrium and to check the decline in
the price level?
The proposed economic agreement OF
Germany and Austria was before the
Permanent Court of international JUS
tice of the League of Nations for de-
cision as to whether the treaty of YER
sailles and st. German would be vio-
lotcd by its conclusion. AS evidence on
the state of opinion in Europe and the
political character of the court. need
only point out that Austria withdrew
from the union under pressure from
France before the court rendered its
decision. The courts decision was by
divided vote of to Z. 1t is also APP
parent that judges from nations polit-
ically partisan to France voted against
the union and judges from countries
partisan to England and Germany in
European politics voted favorably on
the question. We may as we'll bear in
mind the statement of one of the OPP
ponents of the agreement. that a deci-
sion favoring the agreement would be
q decision favoring declaration of