The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1933-02-28
BUTLER GIVES
FORMULA FOR
PROSPERITY
Crux Of Situation Lies, DE
Says, IN international
Cooperation

NEW YORK, Feb. 2S.-(ufl'
President Nicholas Murray But
Ter of Columbia university has
made public his formula for res
toration of prosperity in the UNI
ted States. ,.+.o ~
Senator Reed Smoot, CHAIRMAN
of the senatorial committee on
finance. which has been holding
hearings at Washington on eco
nomic rehabilitation. plans,
DR.. Buffers recommendations
were preceded b. an analysis OF
the causes of the depression,
which he termed international
and worldwide both in its causes
and effects" He outlined the
First The Colossal destruction
in and by the World war OF the
worlds saved-up capital accumu,
lated through more than 200
Second, Destruction of the
CARRYING trade and international
commerce which had grown up
naturally since the Napoleonic
wars:
Third. Artificial stimulus given
production by the war;
Fourth, Mass production dis
nlacino hand labor.
Fifth, Strain on international
credit and concentration of gold
Sixth, almost unbelievable"
increase in the costs of govern
ment; -.
Seventh, Destruction of public
confidence not only in economic
and financial systems but also in
democratic government.
In the case of the United
States. DR.. Butler. regards the
following steps as imperative:
First. Immediate balancing OF
all public budgets, federal, state,
county and local, the. power to
effect this being given the pres
ident "whom the people can then
hold directly responsible" The
departments of agriculture and
commerce should be discontinu-
ed and those of war and navy
unified under a department of
national defense. saving an esti-
mated $100,000,000 a year. Pay
ments to veterans whose injuries
and illnesses have no relation to
their military service should be
stopped, saving not less than
$450,000,000 a year.
Second, The foundations OF
the monetary system should be
left secure and the banking syS-
tenn should be reorganized along
the lines Of those of Canada and
Great Britain.
"The crux of the whole situa-
ton, however, is to be found in
international understanding and
international cooperation" But
Ter said.
These steps to betterment of
the international situation were
detailed:
First, Intergovernmental wal
debts should be settled by ar.
engagements between the United
States and debtor countries SINH
lar to those arranged by the
former allies with Germany last
July 9 at Lausanne. .
Second, The government of
the United States should urge
the Forthcoming world economic
conference to diminish, and, so
far as possible. to remove ex-
listing trade barriers set by high
and discriminatory tariffs by
prohibitions and quotas"
Third, The United States should
"make plain that when it urges
disarmament it means real dis
armament and not some new
change in the proportion Of
ornaments"
Fourth. The U. S. federal re-
serve bank should cooperate with
the bank of international settle
ments in an effort to stop viol-
ent fluctuations of currencies,
break down existing exchange
controls and ''recreate a sound
international monetary system
on a stable basis" .~.
Fifth. The U. S. senate should
ratify United States membership
in the permanent court of inter-
national justice.
Sixth, "Reactionary national
ism" should be curbed and such
slogans as "Buy American" re-
placed by "Sell American"
In conclusion Butler cited 9th
er pressing needs of national
character. including: First, Leg
to free congress of the
mass OF petty details which con-
sumes its time; Second. The fed
eral government should control
huge corporate organizations not
under its supervision as life in
surance companies Or banks.
Higgins and Mrs. Higgins.