The border vidette., 1933-11-25
ECONOMIC H,oHL,GhTs
1-22 33

cltlZen Knows less ABOUT tnan
money. He uses it daily, but
the tokens with which be bar
ters, aren't really money at all.
Their only value lies in the ere
dit of the government issuing
them. Real money is seldom
seen-itis gold aud is jealousy
boarded by treasures.
AS a result, the average citi
zen was pretty we'll puzzled when
the y. S. Govern ment announc.
ed that it bad started world
gold buying campaign in an eff
fort to raise commodity prices
He couldn't see the connection.
AS matter OF fact. the connec
ton is simple enough if simply
explained-its very much like
an auction. The more people
you get to bid for an object, the
more valuable it becomes. That's
true With gold. When ihe Un
tied States went into the market
there was another important bid
der for the yellow metal. and its
price rose accordingly. At the
same time the value of the dol.
lar. which has a definite gold
backing, declined, and commodi
ty prices went up. Briefly de
scribed. the dollar has been
cheapened. and it is worth less
wheat. clothing or gasoline than
it was . while ago.
At the moment, the worlds
free gold supply, if melted down,
would amount to q ten foot cube.
worth about $400, 100000. Since
1892, when Columbus discover
ed new world, all the gold mined
would amount to a 4O-foot cube
and over half OF that has vanish
ed, either through being sunk in
ships. made into jewelry, or
boarded.
Most important foe of the U S.
gold policy is the British EN-
pire. London is the worlds
largest gold market, and any
buying campaign will naturally
center there. Dollars exchang
ed for pounds, 10 order to buy in
the English market, thus in
creasing the international supply
of American currency and in
creasing the demand for English
currency. A more expensive
pound must follow, discoursging
Britain's foreign trade. Matters
are at deadlock. It's going to
be = monetary battle of the
giants, with the two greatest &
nancial powers OF the world op
posed.
Criticism OF Administration
policies, which was practically
non existent few months ago,
has been gradually appearing.
becoming more widespread.
There is q definite feeling of
nervousness, mostly on the part
of large scale business men.
Their theme song is "Individ
ualism, Where Art Thou?" and
the villain in the piece is the
fact that the government is
steadily assuming more stringent
control over all phases of busi-
ness. showing no signs that it
will relax it's policy.
The business men cheered the
recovery plan recently presented
by Gerard Swope, General Eec
tries able, far sighted president.
Briefly stated, the Swope Plan
proposes the setting up Of an
organization very similar to the
NRA with this essential differ
ence-control would be in the
bands Of boards OF business men
instead of government officials.
Not pleased by it at all were
labor leaders who doubted that
the boards Of big corporation
executives would protect Work
ers.
President Roosevelt said of
the Swope proposal that the
present time is not propitous for
a change in plan-that the next
few months are expected to bring
forth hundreds Of other plans" I"
Then he issued summary Of
reports showing late achieve
ments of the NRA, including: /:
New employ ment for 1000, 900
people; increase in indussrial
outlets; a 20 per cent rise in
hourly wages and 40 per cent
drop in working hours. To bis
defense came distinguished Pro
fessor Edwin Seligman, saying
that the depression is actually
ending; that for the first time in