The border vidette., 1933-10-14
ECONOMIC HlGHLlGHTS
Oct. 9, 1888

Oct. 9, 1888
mot apother winter like the
last" That was Mr.. Roosevelt's
pledge when be came to Office.
The N. r. A., the N. r. I. A.,
the A. A. A and the rest, to
give them the initials by which
they are now usually known,
we're brought into being for that
purpose. The President himself
has said that they all represent
emereency,as ,as distinct from long
! view measures, and the theory
is that they will be discarded
when emergency passes.
The N r. A. has done some
excellent things, and it has made
good head way. But it hasn't
done all that was hoped. Men
have been put back to workout
not nearly go many as was anti
cipated. Wages have been up
ped in most industries-but it's
obvious that many units within
those industries aren't going to
be able to pay them unless credit
strings are loosened. The prob
lem is not only to make further
gains against depression, but to
hold unimpaired the gains that
have already been made.
The way the wiud is blowing
is indicated by the latest Presi
dental announcement - be is
planning . great federal non
profit corporation to buy essen.
,ial supplies and distribute them
to the needy during the winter.
1t has been the hope that direct
relief of this sort would not be
necessary. but az matters have
developed it appears necessary,
but as matters have developed it
appears necessary if the bitter
experience of last winter is to be
avoided.
That's why imitation talk has
bobbed into the headlines again.
Many observers. including some
who have qualified as experts.
believe that if the recovery drive
is to be continued on present
lines, imitation is unavoidable.
Senator Thomas. Senate Number
l inflationist, has been threaten
ing = march of 100, 900 men on
Washington unless the printing
presses in the Treasury building
begin humming. Senator Pitt
man of Nevada, whose principal
mission in life is to get benefits
for silver, wants imitation thro.
ugh the free silver route. Farm
groups have been not on the
trail Of Secretary Wallace, be
cause be said that initiation
wouldn't be q farmers cure-all.
In the face of oil this. Mr..
Roosevelt has kept his head, his
humor and his sense of balance
unimpaired. He has learned
bow to say mo" with polite de
6niteness, and be is q master of
evasion when that seems the
| soundest course. he doesn't
want currency initiation, and he
will accept it only when every.
thing else has been tried and has
failed. His solution is of an en-.
tirely different kiuk-credit ir fla.
ton. There is no especial lack
ia the country Of money the
! problem is how to get it out of
bidding and put it to work. II
that can be done, be believes, it
will be found that currency infa
ton is unnecessary. The FEEDER
al Reserve and the Reconstruc
tion Finance Corporation will be
bis principal tools at first. %
latest report. the President was
preparing to have the latter buy
the preferred stock of banks
which are still closed, thereby
releasing billions now frozen 10
deposits which the owners can't
get. to provide additional pur.
chasing power.
Intimately associated with in.
flation and recovery, is the ques
ton of the dollar. A while ago
the managed dollar was news.
In the near. future there is goin z
to be a lot of talk about the con
pensated dollar, the creation Of
George F. Warren, Cornell
professor who was given the job
of studying dollar devaluation
and stabilization by the Presi.
dent. The compensated dollar
would, like the familiar one, be
redeemable in gold, but with this
basic difference-the amount of
gold it was worth would not be
fixed, but would vary with the
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