The Kennewick courier-reporter. [volume] (Kennewick, Wash.) 1914-1938, 1933-05-11

ES| back to the house
for concurrence.
Ez The anti-infation-
Sen. inofnas lists, led by Senator
David A. Reed of Pennsylvania,
made desperate but hopeless
fight, arguing that while con
trolled" imitation, as promised Dy
the amendments sponsors, might
temporarily restore a measure OF
prosperity to the nation, previous
experience here and abroad showed
that control could not be main
tanned and that the ultimate results
would be disastrous. Reed, Tydings
of MARYLAND, Democrat, and 9TH
ers seemed terribly dismayed by the
prospects for the future and their
sincerity could not be doubted.
Senator Thomas OF Oklahoma
himself led the debate for the af-
firmatiye, opening with the startling
statement that the amendment, If it
prevailed, should transfer value to
the extent of almost 5000, 00O,-
600 from the creditor class to the
debtor class. OF course, the effect
of this assertion is greatly weak
ened when one realizes that our
people cannot really be divided into
such classes. There is scarcely a
creditor in the land who is not also
q debtor, and vice versa. But this
point and many another were ig-
nored by the proponents Of infla-
ton. Senator Pat Harrison Of Mis-
sissippi, for instance, on the second
day Of the debate, confined his eff
forts mainly to haunting the Mel
lon-Mills-Reed" group for its al
legged failures during the Hoover
administration.
The Wheeler-King silver coinage
amendment was accepted by the
senate. It would enable the Pres
ident to fix the ratio between gold
and silver and to provide for un-
limited coinage of both metals at
the ratio so fixed.
TUST what imitation, even If "con-
- trolled," will do to the nation
and It's business is a question on
which economists and financiers are
as far apart as the poles. For the
present the prospect Of its adoption
and the abandonment Of the gold
standard have served to create al
most boom In certain lines Of
business, and the prices Of COM
modities have begun to rise. But
how this will in the long run bene-
fit the ordinary citizen has not
been shown to the satisfaction of
most of us.
An especially dangerous clause in
the Thomas amendment is the one
giving the President power to de-
value the gold dollar to the extent
OF 90 per cent. Senator Borah, an
infationist, argued that this would
be declared unconstitutional. 1t
may be this power will never be
exercised by the President, but If
1t Is 1t will be followed by steps to
abrogate the gold clause in bonds,
mortgages and other contracts.
Provision for such action is made
In the pending Goldsborough bill
which provides that existing con-
tracts shall be satisfied by payment
OF their face amount in legal ten
der, that after its enactment, gold
clause contracts cannot be made
legally and that any profit made
from exchanging gold for legal ten
DER would be subject to 100 per
cent tax.
Some experts are of the opinion
tnat the imitation bill may never be
used; that it is "a mere bluff in
Tended to have the very effect it is
now Misunderstanding and reyers-
ing the downward course of prices"
and giving the President a better
position in the economic converse
lions with foreign statesmen. as did
tne abandonment of the gold stand
ard, which also was inf1ationary.
WAR debts and reduction of
ornaments came to the fore
"a tne White House conversations
as Prime Minister Macdonald con.
Guided his part of -
the parleys and pre- E SIS
pared to depart
Tor home. and for 8
mer Premier Ed
GUARD Herriot of
france began his sss''s:s
sessions with the
President. These
three gentlemen
met together, and
after an Informal
dinner, Mr.. Roose- - s's'1'Ss1
welt took I'M Tho M. Herriot
I. aihent question with them.