Evening star., 1932-03-07

Continued From First Page)
bonds" issued by the Treasury solely to
attract dollars now hidden, asserted the
drive of his forces was in no sense a
campaign to sell Government bonds,
and summed it up:
I'VE have organized a national em-
ploy1nent agency ito find jobs for idle
dollars. We do not care what the JOB
is so long as the dollar goes back to
work"
Mills IndOrses Campaign.
After the President spoke, following
Knox, the scene again was shifted. The
three remaining speakers stood before
the microphones of both major broad
casting systems, placed in the Willard
Hotel
Secretary Mills indorsed unequivocally
the campaign of the citizens recon-
struction organization. Detailing the
Governments effort to relieve credit
strain. he added that the real task Of re-
construction must be undertaken by the
people themselves.
The time has come when We can ap-
peal to them to take such steps to help
themselves as are definitely within their
power" he said.
The Treasury chief asserted that
boarding could be accounted major
factor in the inability of our banking
system to function fully in this emer-
gency and has in fact been one of the
primary causes of the later phases OF
the business depression"
Dawes pointed an oral finger directly
at those whose money has been with
drawn from banks or investments and
held in the shape of currency.
Hold Back Prosperity.
mo matter whether you have now in
your possession $40 or $4,000 in coin or
currency" Dawes said, you, and others
like you, combined, possess about one bill
lion dollars of boarded money and be-
long to a most powerful financial group
upon whose actions, in response to the
Presidents call, largely depends the re-
turn of prosperity to the United States.
las long as this currency is out of
circulation we must remain as people
for an indefinite time under the terrible
hardShipS Of an unprecedented business,
industrial and commercial stagnation
with all its consequent human misery"
The anti-hoarding drive, Col. Knox
explained, "is, broadly speaking, a Ma
tion-wide campaign to put money back
to work"
He explained the extent Of boarding.
According to statistics supplied by the
Federal Reserve Bank. between January
! and February g." ne said there had
been withdrawn from The oaIlks. end
hence from circulation 5 total Of $685.
900 00o al OF Shtch had gone into
hiding and become non -p-o5uct1rs This
huge sum should o% added 10 1875
hoardtng. ~tscA -csz1s6 billion dol
lars. The Necessity o. hating this
withdrawal Of the working capital o.
the country B1S rcvso1s- !. wRs equal
II obvious 1Eas-s E&< only one influence
sufficiently powerful a. check this ten
dency. whs<A Z persisted in. ECuli
strange 81 Business a-S ths. influence
was the po=s- and z-1s11 q ST aroused
public opinion
Explains Speed and Scope
Explaining the speed and scope of
the Organization Col Knox said that
after three weeks intensive effort more
than 1900 communities. comprising
nearly the entire urban population Of
the United States, awaited the starting
gun.
Their quest is to find the hidden
dollar" he said, and TO urge its re-
employment as part Of the working cap
ital of the country"
Senator Robinson likened the present
efforts for rebuilding prosperity to a
war.
During the World War" he said.
"our people gave to mankind an inspir-
ing example OF unity of purpose and
of patriotism unparalleled in history
Industries were disarranged. Produc-
ton was quickened and augmented
Danger was encountered and sorrow
was endured. Faith triumphed over
rear, and courage was exemplified by
sacrifice and suffering. We are now
at war with subtle forces more cunning
and destructive than foes armed with
the deadly instruments Of modern war.
Just as money was necessary to vic
tory IN 1918, so is it essential in the
present economic war. There is per-
maps an abundance Of money if the
funds now out of use and hidden could
be restored to circulation"
Pointing out that there naturally
were marked differences of opinion" as
to the causes and proper remedies for
the present situation, Senator Robinson
said there was, however, lone vital
principle concerning which general if
not universal, concurrence may be had
1t is" he said, that recovery cannot
be accomplished until the enormous
volume of money that has been with
drawn from use and boarded has been
restored to circulation"
Depositors Frightened.
There have been many bank fall
ures,' said the Democratic leader. In
consequence depositors have become
confused and frightened. Still there are
many banks which have successfully
withstood the shock and strain of the
economic upheaval. Sound loans on
existing values abundant to absorb bank
funds in excess Of required reserves may
be readily obtained once the threat and
dread Of Withdrawals by der.Ssitors have
been dissipated. Unless ar until this
fact is recognized full Advantage cannot
result from advances mads by the Re-
construction Finance Corporation. and
frozen assets will continue to obstruct
the fiow of life blood through the veins
and arteries of trade and commerce"
Discussing real estate values, Senator
Robinson said "it Is readily seen that
real estate values are not fairly calcu-
lated to continue as at present, and that
they are logically calculated to take an
upward tendency during any prolonged
period
Granting that the return of general
prosperity will be slow" said Senator
Robinson. "and that measure of fluc-
tuation in stock prices may be expected,
nevertheless every circumstance indi-
Gates that the market now is measur-
ably and permanently stabilized. Nu-
merous bonds are available for purchase
on terms that are secure, even though
the revival of business activity may
prove slow and uncertain"
May Promote Own Interests.
Recommending purchase of Govern
ment bonds, Senator Robinson said
those who have idle funds. which they
have feared to use may promote their
own interests. and the public welfare. by
purchasing these Government securities
The national budget viii be balanced" :"
Senator Robinson predicted. and the
public credit maintained even though
increased taxes are required and addi-
tional sources Of revenue must be found.
Government bonds, Treasury notes and