The Washington times., 1933-08-30
PUBLIC OPINION
SEEN LACKING
|NPOWER
Recovery Officials Fear 1t May
Not Be Sufficient Without
Use OF Laws Force
BY International News Service

O0C VI Law y UIOC
BY International News Service
The National Recovery Admin
istration today, with considerable
reluctance, is shaping plans tt
deal with industrial minoritieS
which refuse to abide by codes OF
fair competition accepted by the
majority.
The situation has come to the
fore with developments which
have assured Administrator Hugh
S. johnson of speedily bringing
the major industries under oper
ating codes.
While johnson declared an
entire industry is bound by a
code-once it is proclaimed by
the President-he is still un
certain of the method he will
take to force the minority into
compliance. At least one notable
case is causing serious study.
$50 a Day Fine Provided
Thus far the recovery admins
traitor has relied upon public
opinion to force compliance with
a code by all manufacturers in a
given industry once the code has
been announced for the industry.
Recovery officials, however, do
not expect this method to be
entirely successful.
Under the recovery act. a code
approved by the President be-
comes the standard of fair com
petition for the industry to which
it applies.
The law declares that "any vio-
lation of such standards in any
transaction shall be deemed an
unfair method of competition in
commerce within the meaning Of
the Federal Trade Commission
act, as amended" A specific pen
atty Of $50 for each days offense
is provided in the law.
Plans For Credit
AS the bituminous coal code
neared completion, with an agree
ment already made by Appala-
chan nonunion operators on a
basic wage scale with the United
Mine Workers of America, new
phases of the recovery program
were being developed.
Johnsin is actively engaged in
working out a plan of vast credit
expansion and method of financ-
ing industry with the Reconstruc-
tion Finance Corporation and
Federal Reserve officials.
Many officials in the Recovery
administration believe currency
initiation of a moderate sort will
come during the fall as a part Of
the program.
A gigantic "buy now" campaign,
to be carried out with the ma
chinery invoked for the present
national Blue Eagle campaign,
also is being developed by John
son.
Richberg In Broadcast
AS the recovery administration
continued its grind on hundreds
of small codes, General Counsel
Donald Richberg in a radio speech
last night answered critics of the
act.
Richberg said:
"In recent weeks a few per-
sons have registered consider.
able indignation at their dis
cOvery that the recovery act
was what they have called a
labor law. Some persons have
become indignant at the dis
COvery that the law was being
administered with great conSid.
Grafton for the interests of the
men who support themselves
and their dependents by earn
ing wages"
The law, he declared, contem,
plates collective bargaining as a
necessary part of the battle
against depression. He added:
"It would be indeed helpful
In this time If persons who are
mentally unable to accept the
necessity and value of having
genuine and responsible labor
organizations for the self f-prOtec.
tiOn Of labor interests and the
Stabil;zatiOn of industry would
emigrate to some backward
country where there are no free
schools and where the level of
common intelligence is very low
and would cease to clutter up
progress in the United States
with the rubbish of OutgrOwn
ideas and dead PHILOSOPHERS"