Evening star., 1933-09-25
DRIVE FOR n. R. A.
CREDIT MAPPED
New Idea Worked Out in
Move to Increase Income
of Farmers.
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Continued From First Page)
Farm Credit Administration. to ask for
speeding up the administrations farm
mortgage refinancing program.
Meanwhile, the Public Works Admin
istration, promising renewed pressure
for greater cash expenditures, an
nounced it had approved projects which
would provide 100000 man-weeks Of
quick-direct employment. 1t said ST.
600 100000 of its S3,300,000.000 had
been allotted, though only S59,139. .756
has been drawn from the Treasury for
real expenditure.
Simultaneously, Hugh S. johnson. N.
r. A. chief, planned Blue Eagle buy
ing campaign, intended to help indus
try take on additional employees and
raise wages.
JohnSon's appeal. as he put 1t. ito
buy to the limit of prudent needs" has
been delayed by various circumstances
within NJ. R. A., notably the difficulty
of completing the coal code.
Secretary Wallace Speaks.
With reference to the impediment of
dragging farm prices, Secretary Wal
lace, ptlOIt dIGSllulilS ldoG u1SiI . VAitC
House meeting, said. in a radio ad-
dress, that unless there is an increase
in world trade, 4o,0o0.ou0 acres Of farm
land must be withdrawn from cultiva-
ton.
president Roosevelt. George Peek
and all of US in the Agriculture Ad-
iustment Administration are convinced
that this dilemma of bursting ware
houses and starving multitudes must
be solved" he added.
It was indicated that those who con-
ferred last night with President Roose-
velt-Woodin, Wallace, Cummings,
Gov Eugene Black Of the Federal Re
serve Board, Jesse Jones, r. F. c:
the budget; Walter Cummings, chief
of the Deposit Guarantee Corporation;
j. F.. T. O'Connor, controller OF the
currency-were practically unit in the
thought that major objective should
be the release to depositors OF funds
now tied up in closed banks.
Most of this locked-up money Is In
rural communities.
Reviewing the situation, the conferees
found that when the national banking
holiday was concluded last March,
frozen deposits totaled $4,000, TIA 600, or
approximately IL per cent OF all de-
posits last January l, and that in the
meanwhile this percentage had been
reduced to approximately s74e, ,o0o, 900,
less than 4 per cent Of the January
/ total
Sees Hopeful Outlook.
Leaving the White House. Woodin
said Everything looks very hopeful"
What the administration Is particu-
iarly concerned in now is that the
banks are sure of the support which
the Government is ready to give.
The law providing for insurance OF
bank deposits becomes effective jan
uary l. Certain requirements must be
met by banks which are not members
of the Federal Reserve System, to be-
come eligible for this insurance.
There have been reports that some
banks, in order to obtain this eligi-
bility, are remaining too liquid and not
granting much needed credit to indus
try and agriculture. This was gone
into thoroughly last night.
Thinks Credit Is Idle.
The President wants the banks to do
their part He has the power to issue
new currency, but apparently he does
not believe it is necessary If the banks
pump out the credit which he thinks
is now idle.
Departure Yesterday of Felix Frank
furter of Harvard from Boston for Eng
land was regarded as another step in
Mr.. Roosevelt's policy of keeping d1-
rectly abreast of financial matters the
world over.
Officially off for some lectures at Ok
ford University, Frankfurter, neverthe-
less, was credited with presidential
mission in other lands, largely the
gathering of information for the White
House, because of his closeneSS to the
Chief Executive.
Only few days ago, DR.. George War
rem of Cornell returned from several
weeks spent in Europe studying none
tary conditions. Within a compare
lively few hours of his return, he was
executive mansion, detailing his
findings.
Two Others Views Sought.
DR.. James H. Rodgers of Yale, on a
similar mission, was understood to have
been asked to bring home what he has
discovered in monetary and financial
fields, while James M. Cox. of Ohio, who
went to the London Conference, re-
Gently presented his views.
To lift farm price levels to parity
Will uluuStIy, SupplcIIcAt w Vic du-
ministration's general farm program
is being pressed In other quarters
through purchase of surpluses for re-
lief use and plans to lend Federal
funds to raise agricultural prices.
The loan plan, exemplified in the
program for advancing 10 cents a
pound on cotton and extending this
policy to other major farm products,
along with the buying Of surplus food
stuffs, was regarded as lengthy stride
toward the long-sought parity.
To help the consuming population
meet the expense Of added prices, the
administration looked toward the NJ
r. A. wage and hour codes and the
public works fund, with every effort
being bent to get the $500, ,000, 900 in
construction money actually out over
the country.
Acreage Cut Declared Vital.
Secretary Wallace. in saying that
unless world trade is restored 10000, 900
acres of American land must be taken
out of cultivation, indicated he ex-
pressed the view of the President
HAc things are rnw those l0 mn mn