Evening star., 1932-08-25
The White House Conference.

That observant and informed COM
rentator on public events, Mr.. MARX
Sullivan throws interesting light on the
meeting of business leaders, gathering
IN washington today from all parts OF
the country for their conference with
the President tomorrow. He recalls that
the organization which these men rep
resent was set up originally to meet
critical situation that failed, fortunately,
to materialize. With committee OF
business men and bankers, headed by
Owen D. Young in New York, as a
nucleus, similar committees were organ
lied in May and June in each OF the
twelve Federal Reserve districts, their
original purpose being to arrange LOT
cooperation among the banks and to
act as liaison group between the banks
and business men in an emergency
One of the emergencies contemplated
was the possible necessity OF resort 10
clearing house certificates as substl-
tute for currency, if the bankers were
fearful of allowing currency to leave
their vaults.
That crisis passed without requiring
the use Of scrip or other such expe-
dents and the twelve groups in the
Federal Reserve districts turned their
attention to encouraging extension OF
credit and normal lending by the banks.
The real need for this latter activity,
Mr.. Sullivan points out, has also passed.
Rising bond prices and reconstruction
legislation have eased the strain on
banks. 1t is one of the most encour-
aging of recent signs that the national
group of business leaders are meeting
in Washington with at least two OF
their original functions no longer nee
ess3 3ry.
What they will hear from the Presi-
dent at the White House tomorrow will
probably be q resume of the last few
months developments, with an outline
of some Of the things that remain to
be done in pushing the ball, that has
rolled so far down the hill, up again.
The Presidents address will be broadcast
and some of the prophets say he will
approach the microphone in now
it-can-be-told" frame Of mind to give
the Nation an insight into how narrowly
it has missed further declines. The
knowledge of the treacherous ground
already passed over may be funda-
mental reason for the new spirit OF
confidence that seems to have been
born. That knowledge, of course, is
not generally shared with the man in
the. street.
The Presidents original announce
ment of the meeting was made on
August IA, when he said that Il have
called a national conference for Au-
gust 26 Of the business and industrial
committees of the twelve Federal Re-
serve districts for the purpose Of Or
\ ganizing a concerted program Of action
along the whole economic front" That
program may subsequently have been
modified to some extent, but 1t is doubt
full that the real accomplishments Of
the meeting vii; be CT a nature that
The value of the meeting will lie in
an exchange of ideas and opinions
among the members of the various COM
mittees. rather than in any attempt
to adopt definite plan Of action for
dealing with the multitudinous phases
Of depression and recovery.
The meeting itself is only small
and relatively unimportant episode in
the battle as a whole Senator Robin
son, in a statement issued through the
Democratic National Committee, doubt
less considers it a public service in
asking the country not to expect too
much of 1t. When there Is general ac-
ceptance Of the fact that return to
normal conditions is impossible without
long continued struggle and persever-
ance against odds that still exist, the
setbacks certain to come will be less
harmful