Evening star., 1933-09-13
j. s. TO AID BANKS
ON n. R. A. CREDIT
Governments Full Power Put
Behind Drive for Buy
ing Power.
Continued From First Page.)

Of the products they must sell. particu-
larly cattle hogs and many Of the
grains. have failed to increase in pro-
portion, or, in some cases, to increase
at all.
In the Thomas amendment provision
is made for open market dealing in
Government securities by the Federal
Reserve banks as a measure of inf1a-
ton. A second provision is the issu-
ance of $4,000, 900, 900 of Treasury notes.
A third is for reduction Of the gold
content of the gold dollar. and q fourth
has to do with the acceptance of silver
in war debt payments due the United
States
Senator Harrison would not say
which of the proposals for imitation
under this act he most strongly urged
upon the President. The open market
dealing in Government securities, he
said, however. is already under way and
had increased from $4,000 900 to $685.
100000 a week and there was prospect
Of its going even higher. This imitation
proceeding. he said, was slow and would
not fill the bill. 1t is understood that
the Mississippi Senator favors reducing
the gold content of the dollar as a
last resort. BY the process of elimina-
tion, then, it appears that he must favor
the issue of Treasury notes without
further delay.
Today Senator Harrison conferred
with the director of the budget. Lewis
Douglas. and Dean Acheson. Under
secretary of the Treasury 1t is re-
ported that Secretary Of the Treasury
Woodin will return to Washington to-
morrow and doubtless Senator Harri-
son Will take up with him also the
question Of imitation. Mr. Woodin has
been given credit for being a con-
servative influence in the administra-
ton on the question Of imitation, how
ever.
Farm Prices Lagging.
When the Thomas amendment was
put through Congress there was an
overwhelming sentiment expressed in
both houses for imitation as a means
OF getting the prices of commodities
raised. The demand was made for the
use OF all the various inflationary
measures, provided they were needed.
In the opinion of Senator Harrison
the time has come for the use of the
measures. 1t appears that through the
operation of the N. r. A. prices of
all kinds of manufactured products are
on the way up. many of them already
having made appreciate increases. But
the farm prices are tagging.
Before Senator Borah of Idaho left
Washington recently for Idaho he is
sued statement, warning that some
measures of imitation must soon be
adopted.
Senator Harrison. a strong supporter
of the Roosevelt administration. praised
what has been done by the President
toward raising commodity prices. He
added, however. that the administra-
ton has SO far not used the great
powers conferred in the Thomas amend
ment to bring about currency imitation
Without further delay, he said, these
powers should be used.
No special session Of Congress before
January is looked for by Senator Har-
rison, either to deal with the question
OF prohibition or taxes
There is nothing to any suggestion
that a special session may be called
he said emphatically.
Senator Harrison favors, he said. an
agreement between this country, Great
Britain and France to purchase silver.
If this cannot be worked out, he favors
the purchase of silver bullion by this
Government and the issuance of silver
certificates against it.