Evening star., 1933-11-24
BRYAN-M'K|NLEY
FIGHT AGAIN SEEN
Monetary Struggle in Mid
west Likened to EIec-
tions of 1896.
BY MARK SULLIVAN.
Special Dispatch 20 The Star.

OPcSiai bIspdtSI ~ AHc OthE.
OMAHA, Nebr., November 24-From
political point of view, especially in
this farming West. President Roosevelt S
dilemma can be stated simply.
He has made no promise of imitation
as such. He has, however, made prom
iseS in terms of prices of commodities.
In his radio speech of May 7, and again
In his radio speech of October 81, he
dedicated himself. in strongly emphatic
words, to raise the price of goods.
While he has not himself named the
level to which his promise carries, 1t Is
well understood to be the average level
of 1926, which is materially above the
present level. In addition to that, and
above that. there Is another promise
not made by Mr.. Roosevelt personally.
but set out in the preamble of the farm
relief act. This purpose is to raise the
purchasing power of the farmers dollar
to what it was in the pre-war period Of
1909 to 1914. Putting this purpose In
terms Of purchasing power" means
that to fulfill it farm prices must be on
a plateau higher than the level of prices
generally.
Activities Under Way.
For achieving these two commit
ments, the administration has many
energetic activities under way. Since
October % the process most relied upon
has been the purchase of gold at stead
ily higher prices fixed by the Govern
ment. The Warren -Morgenthau school
of thought, now dominating Treasury
operations, holds that the gold purchas-
ing program can. by main force, so TO
speak. bring about the desired increase
in prices. As against this, very
weiehty school of thought, represented
by Prof. o. M. w. Sprague, holos tnat
the purchase Of gold will not achleve
the desired end unless the increase In
the nrice of gold is carried on to
point which would amount to a serious
degree Of imitation.
This school of thought holds that Mr
Roosevelt must now choose between TWO
courses. .a
of raising the price level cannot De
nra acticably carried out in the exact
terms Of the commitments and That rise
in prices must come as a result OF
normal business activity. or he must go
on with the purchase of gold and
with allied policies having to do with
gold and currency to a point Whlch
would amount to palpable initiation.
II Mr.. Roosevelt should choose to
saw that his commitments to an arbl-
trary rise in price level cannot be car
ried out except with peril to soundness
of the currency, it is doubtful II ne
would lose any great prestige. II Is
only the farm leaders and the poll
ticians who remember and would hold
him to his commitments in their exact
terms. The people generally would be
satisfied with reasonable, gradual m
crease Of prices such as might readily
accompany normal business recovery.
After all. the rise in prices OF some
farm crops that has already taken place
is considerable. 1t has made measura-
BILE progress toward achievement OF the
underlying spirit of the Presidents ef-
fort. The fundamental purpose OF his
attempt to raise prices has been to
make debts easier to pay. For the
purpose of debt paying wheat at up
ward of 90 cents a bushel today will
pay Off roughly, twice as much debt
as wheat at the very low price it had
when Mr.. Roosevelt took office.
Abandonment Seen.
Complete compliance by MIR. Roosevelt
with the demands of sound money ad-