Evening star., 1933-05-08
Confidence-Inspiring Reassurances'


ing to the people Of his stewardship
delivered last night over the radio to
millions Of listeners, has undertaken 10
dispel doubts regarding currency infia-
tion and so-called dictatorship" grow
ing out of the wide powers granted him
by Congress. The Presidents state
ment was both clear and reassurins
Furthermore, it carried to the people
q note of hope, although he frankly
warned them that the Nation could not
ride back to prosperity, except Tor a
day. on a wave of mere speculation;
that recovery must be based on more
substantial stuff, on rise IN commcolty
prices, more production and increased
wages.
The country has awaited with inter-
est and some anxiety statement from
the administration regarding the pro-
posed imitation Of the currency. since
President Roosevelt placed himself back
OF the Thomas amendment to the tarm
bill. which provides several alternatives
for expansion of the currency. Mr..
Roosevelt told the country last night
that there was not the slightest inten-
ton on the part of the administrator
to permit a runaway imitation OF the
dollar; that the powers granted him
would be used only when, as and II
necessary" His aim he clearly set
forth, saying:
The administration has the definite
objective of raising commodity prices
to such an extent that those who have
borrowed money will, on the average.
be able to repay that money in the
same kind of dollar which they bSr-
rowed. We do not seek to let them
get such a cheap dollar that they will
be able to pay back a great deal less
than they borrowed. In other words,
we seek to correct a wrong and not to
create another wrong in the opposite
direction.
The mere fact that power Is in hand
70 accomplish an end not infrequently
brings about that end without the use
Of the power itself. The fact that the
President has been given wide powers
to increase the credit structure, to In
Aate the currency and to decrease the
value of the dollar, Is already operat-
Ing toward the end desired, although
the law has not yet been finally written
On the statute books. To the people
the President has explained in clear
terms the reasons why this country
has abandoned, for the present at least.
payments In gold. He has indicated
there is no desire to draw away from
gold as q standard for money, and that
silver may be, to partial extent, also
. good base for currency. 1t Is In
respect to the Presidents exercise of
his far reaching power to depreciate
the value Of the dollar by cutting out
. large fraction Of its gold content. or
by utilizing some other of the imitation
alternatives given to him. that there
still remains a distressing element OF
anxiety mingled with the hope and
confidence which as a whole the Presi-
dents bold program inspires. There
will be many of the sound money
men, Democrats and Republicans, who
once reflected the vastly predominating
thought Of the Nation, who will pray
that the vital purposes of the Presi-
dents plan may be accomplished with
only a minimum Of resort to the power
Of dollar debasement which the Presi-
dent promises to use only when, as
and if necessary"
Answering the charge that the ad-
ministraticn is being given dictatorial
powers over agriculture, industry, trans
portation and other activities, the
President insisted that there had been
Q deplorable lack of planning in in
dustry and agriculture so as to keep
production within the limits Of con-
sumption. Under the program OF the
administration, he said. 1t is now pro-
posed to have tine Government plan
with the industrialist and the agricul-
turalist, and, having come to reasonable
plans to have the Government see that
those plans are carried out. The Pres
ident called these activities partner
ship" of Government with industry,
with the Government leaving the
profits to industry and to labor.
The President said that well con-
sidered and conservative measures will
be proposed to give the industrial
workers of the country fairer wage
return and to put an end to cut-throat
and unfair competition. If he can &C
eomplish these ends, the economic sit
uation is likely to cure itself very
largely. 1t is in their failure in the
past that production has outstripped