Evening star., 1932-04-21

Criticism Of the Reconstruction
Finance Corporation in radio talk by
Franklin D. Roosevelt. following q
study of the relief offered by this
agency Of the Government, receives
little support from the press. Comment
is confined almost entirely to Repub-
lican and independent papers, which
give special attention to Mr.. Roosevelt s
charge that the administrator Is able
ITO think in terms only Of the top
of the social and economic structure
and his statement that the Government
Sought temporary relief from the top
down rather than permanent relief
from the bottom up"
He knew, or should know" accord
ing to the New York Times dnde-
pendent), that he was commenting on
plan to aid recovery which had been
conceived by the best financial and
business brains of this country. 1t was
designed. and it has thus far worked,
for ending bank failures. preventing
boarding, enlarging credit facilities, and
thus preparing the way for a reStora-
ton of confidencs and resumption OF
business activity. He can hardly
be ignorant of the way in which the
closing of little local banks has been
STAYED and almost stopped. II he had
looked into the matter at all, he would
have discovered that small banks, by
means of the loans quietly made to
them. have been paying off their press
ing Indebtedness, without having TO
sacrifice securities at depressed prices
and so have obtained more funds 10
loan. even to the little fellow with
whom Gov. Roosevelt so deeply SYM
pathizes, and even to put of the fore
closure Of mortgages ON farms and
homes"
Referring to statements by George
" Mclaughlin, a banking authority
and official of the Finance Corporation,
as well as a member of Mr.. Roosevelt's
own party. the New York Sun (inde-
pendent) asserts: "Of the 858 banks
and trust companies assisted by the
Finance Corporation only 81 are in New
York State. No large banking institu-
tion in this State has asked for help
from that source. ON the contrary,
saws Mr.. Mclaughlin, through theiS
own facilities they have been assisting
small banking institutions Loans have
been made by the Finance Corporation
TO 81 banks in Iowa. The Joint Stock
Land Banks and the Agricultural Credit
Corporations in other farming states
have been assisted"
THE slump has been kept with us. II
it was not originally caused" in the
opinon of the Ann Arbor Daily News
independently. by industrial stagna-
ton and financial upheavals; conse-
ouently relief must be provided in
form that will help manufacturers and
banking interests" The Daily News
holds that 1T is not reasonable to be-
lieve that the Presidents economic pro-
gram has failed 10 consider the little
fellow and is intended only to help
the rich get richer" The South Bend
Tribune independent Republican, is
convinced that "the benefits were de-
signed to reach farmers as wei as wage
earners."
with O review of the entire speech.
including its comments on the tarih,
the Rochester Times-Union dnde-
pendenD makes the statement: Gov.
Roosevelt Is extremely careful not TO
advocate any drastic or radical meth
DDS of creating income or jobs for the
infantry Not only Is there no sug-
gestion in the speech Of direct relief
to the unemployed by money grants,
but the plan of a big bond issue for
public works to create employment is
called an illusion Of economic magic
On one point the Governor is specific.
He directly attacks the present tariff
In this he has many, probably most,
trained economists with him. Yes. Gov.
Roosevelt's heart Is in the right place.
He sympathizes deeply with the hard
lot OF the jobless worker and the
farmer. Sympathlzes, but Is mighty
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