Evening star. [volume] (Washington, D.C.) 1854-1972, 1933-04-20
ROOSEVELT TO WIN
broadcast POWERS
Issuance of Unlimited New
Currency Provided in Ad-
miniStration's Bill.
LEADERS IN CONFERENCE
Consider Reduction of Dollar
Gold Content as Carried in Legis.
lation-Thomas Backs Plan.
BY the Associated Press.

BY the Associated Press
Intent upon getting quick au-
thOrity to direct a controlled in
flation," President Roosevelt and
his economic counselors collabo-
rated with congressional advo-
Gates of currency expansion today
in the drafting of legislation
slated to be acted on without de-
lay.
The legislation would give to
Mr.. Roosevelt authority to issue
unlimited new currency as legal
tender under the old "greenback'
law.
1t has been asserted repeatedly. how
ever, that Mr. Roosevelt is set against
any printing press" unsecured cur
Tency.
The new legislation also would en-
able the President to reduce the gold
content of the dollar by international
agreement or otherwise.
To overcome constitutional objections
to the latter proposal it was tenta-
lively agreed to limit this authority to
dollar by so per cent-the same prin-
ciple as is involved in his control over
tariff rates.
Reacting to the skyward swing Of
stocks and commodity prices, congress
sional leaders appeared to be standing
behind Mr.. Roosevelt's campaign. But
quick action was desired by those in
authority, to get the situation fully in
his hands as soon as possible
Congressional inflationists argued in
interviews that the net result would be
to make unnecessary the Roosevelt pro-
posals for refinancing of farm and
home mortgages.
Easier money conditions would make
this unnecessary, they commended
The prediction came from Capitol
Hill that the drastic measure would be
In readiness and introduced late In the
day. as an amendment to the farm
bill in the Senate.
Senator Pittman, Democrat, of Ne
vada, said the administration was in
substantial agreement" with congress
sional proponents of the controlled in
f1ation proposal and that it probably
would be offered late today.
There appeared to be in the Roose-
welt program a definite idea for some
form of bi-metallism 1t was made en-
phatlc that whatever new paper Is is
sued will be backed up by precious met
els. 1t was assumed this would mean
both gold and silver.
Wants World Agreement.
However. the President wants first to
N-nrE a inf
bi-metallism and that is definitely in
mind, in his imminent world economic
conversations
Congress has the power to delegate
to the President authority to change the
gold content according to the flexible
tariff provisions which we're sustained
by the Supreme Court" said Senator
Pittman.
There will have to be some limits
put in. In this case, it very probably
will be limited to so per cent
Under the silver section the Presi-
dent would be authorized to accept up
to s100,000000 in silver from any coun-
try as part payment on the total war
debt from all countries, with a limit
OF so cents an ounce on the silver.
There will be checks and safeguards
In the PLAN said the Nevadan, adding
1t would seek to use the instrumental
ity" OF the existing banking set-up and
silver certificates could be issued against
the metal received by the Treasury on
war debts.
Speaker Rainey told reporters the
administration imitation tactics were
directed to meet assaults on American
commerce by foreign nations.
The Presidents move was toward BIZ
metallism, he said, and would place
the Executive in a position to meet
the nations that depend upon the
pound sterling on their own ground"
Unless those nations come with us
to some international sterilization of
money. they are lost"
Rainey said there had been a CON
certed" drive by European nations
against the American dollar" and
that they had been attempting to
take all of our gold away from us to
leave us stranded and reduce us to a
fourth or fifth class power
He called the Presidents action the
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