davidaulloa/AmericanStories huggingface dataset:
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

man news agency. but was recently
discharged on the ground that he was
a Communist.
The Nazi police also arrested T. C.
Catchpole, an Englishman, interna-
tional secretary of the Society of
Friends (Quakers), after searching
his home for five hours. After Wig
oroUs protests had been made by the
British Consulate the police released
him.
Pierre van Psassen, European cor
respondent for Canadian newspapers,
was beaten up and thrown into prison
by Nszis for having reported fascist
outrages against Jews.
According to the Rssse1 "Rassen-
Beohachter" Nazi daily, reports that
8 Jewish shopkeepsr, named Eich,
living in the town of Slatov, was ar
rested for insisting that the body OF
q Jew had been defiled by fascists
in Koenigsberg. In revenge a Nazi
gang Immediately shut up all the
Jewish shops in SlatoW.
Capt. Goehring, Nazi Interior MI
mister yesterday issued an order for
bidding all foreigners to leave Ger
many without special police permis-
sion. Permission will be refused to
any foreigner IF there is danger that
the person leaving Germany will
spread untruthful news abroad.
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

Ton, acted as chairman. The three
speaker we're Paul Cline. organizer
Of the Communist Party. Charles
Erwin, Of Washington, representing
the League for Industrial Democracy.
and Rev. Peter Ainslee, Of the Chris
tisn Temple
Erwin, the first speaker, we'll
known Socialist, concentrated his EN-
tire speech against relationships in
general, regardless of where and by
whom" and in defense of "democ-
racy" 1t was perfectly obvious that
he was aiming at the Soviet Union.
He did not say word against the
Hitler regime as being tine bloody
class dictatorship of German indus
rial and financial capital against the
workers.
Cline, following Erwin pointed
out to class character Of the fascist
dicta torship and showed how the
treacheries of the socialist leaders
paved the way for the Hitler regime
He called for broad united front
Of workers, intellectuals, Jews and
all opponents of fascisn. Cline wss
given a big ovation
On Saturday &, demonstration Of
over $50 workers vas held in front
II the German consulate. The de-
nonstration was preceded by q pa
rsde with plscards through the main
section Of Baltimore. Speakers wers
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06
BY NATHANIEL BUCHWALD
European Correspondent, Daily
Workerl

IN turning the leaves Of my note
1 book to find certain needed data,
I have found an entry made some
time ago. At the time I intended to
work up the notes into an article,
but a correspondents notebook, like
the road to hell, is always paved with
good intentions. So here is that entry
"in the raw.
Morning in a Soviet smoker. Very
crowded. People going TO work. Peas
ants with sacks sprawling over bench.
Workers headed for nearby big fac
tories, textile, steel. Many well-dress-
ed and shaved. Windows open
Rather novel. Explanation: two Red
Army men near windows. These not
afraid Of fresh air. They'll bring back
to village good health habits and
modern standards. How odd: army
carrier OF culture. Conversations:
worker speaks to deaf companion,
loud-about a mutual friend, from
same village. Now factory foreman
after three years work. Has house,
several hens near factory. Planning
buy cow Wife working factory. Now
when nursery minds kids it's all right
for women to work factory deaf one
approves. Rolls cigarette using ma
chorka and newspaper. Diagonally
across-talk about new electro-sta-
ton. Listener tremendously inter-
ested hear station being built in parti-
culsr locality. Remembers place from
civil war. inquiries health Maria Pet
rovna companions wife) and Ca
pacity station in same breath. Mos
COW to supply dynamo, all else local
production. Maria Petrovna all well
now. Two months sanatorium Cau-
casus cured completely.
Girl about II, checkered grey coat,
white knit bonnet, shoes and rubbers.
Obviously F. 2. U. student. Now tray
cling without books. 1t must be the
day of practical work. Tomorrow
books again. Old worker, grey mus
tache, brown jacket, grey cap. Would
take him for day laborer in U. S.
Carries br1ef-case, absorbed in PRAY
d. Man stretched out on bench,
snoring. Heavy boots leave only six
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

plete1y tying Up deposits OF more
than $5,000,000,0O0. Prof. Willis, for
mer secretary of the Federal Reserve,
writes: "Let us take it for granted
that the depositor no longer demands
cash in unusual quantities. Is it true
that in that event the crisis will have
been passed, SO far as the banks are
concerned? Certainly not, if the
present bank failures occur one after
another to bring the confiding de-
positor to the realization that he has
again been deceived"
Throughout the whole discussion of
the bank crisis, the fundamental
question Of the real value of the bank
assets remains. What does a bank do
with the money deposited in it?
Largely, this money is placed into
loans or security investments, mort
cages, commercial paper, etc. These
are the assets of the bank. Upon
what does the value of these assets
depend? The value Of the assets de-
ponds upon whether or not these
assets are protecting income, or profit.
It must not be forgotten that the
assets of banks are not real capital
in the same sense that means Of pro-
duction, such as factories, mines,
railroads, etc., are capital. The assets
Of banks are nothing more or less
than claims upon wealth that the
workers will produce. To a large ex-
tent value Of these claims are ficti-
thus because they are based solely
upon the expectation Of future pro-
fits. The value of the assets depends
upon the possibility or exploiting the
workers.
What has frozen the assets Of the
banks today? The worldwide crash
of all production has made these
claims upon the profits of production
very doubtful. Therefore the market
for these assets dries up. The banks
are frozen, the bank crisis begins.
Thus 1t is obvious that what Is a
Sound" asset before the economic
crisis, the decline in production, be-
comes a frozen" asset after the
crisis. Roosevelt talks about sound
assets. But these assets will be sound
only If the crisis lifts, only if pro-
auctions begins, only If the capitalist
class can produce at profit by ex-
plotting the workers. The financial
crisis is rooted IN tf1s economic crisis
A report issued by a group OF lead
ing bankers submitted beyo-e the ser.
ate committee on banking and fin
anes, sexes ''sl,aeU ner es.E u ~
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

country's banks with 80 per cent of
the country's assets are in serious
condition" It was estimated by the
National Industrial Conference Board
q few weeks ago, that $3.50 country
banks in the National banking sys-
tenn with about seven billion dollars
in deposits, had no surplus, no undi-
vlded profits, and only 16 per cent
OF their capital remaining. Numer-
lcally, the report states, 80 to 95 per
cent of the country's banks are in
"precariouS position" and that a fur
ther decline in prices would greatly
aggravate the situation"
Roosevelt talks about Sound assets"
Here is a sample Of the assets of
some of the largest banks in New
York, the strongest money center in
the country. The Corn Exchange
Bank is tied up in frozen real estate
loans to the extent of 10 per cent of
its capital, Manufacturers Trust is
similarly involved to the extent of
119 per cent Of its capital. National
banks do not reveal their real estate
loans, but their situation Is probably
worse. Is it any wonder that in New
York City, the best market for real
estate mortgages in the country, more
than 20 per cent Of the mortgages,
totalltng more than thres billion dol
lars, are in default? Such is the
character of the Sound" assets.
The clinching tacts which demon
strate that the bank crisis has not
been solved are as follows:
The Controller of the currency still
permits hanks to list their assets at
values arbitrarily chosen by them
selves rather than st present market
values. Under such system it is
obvious that many a solvent" bank
Is really bankrupt.
And even more significantly, the
Controller has announced that he
will not require National Banks to
issue quarterly statements of condi-
ton at this time. State superintend-
ents OF banking are also emitting
the customary calls for such state
n1ents. One could hardly need more
conclusive proof than this govern
mental unwillingness to permit the
condition Of the banks to be known
at the present time.
The solution Of the bank crisis is
dependent upon a rise in prices. In
the complete absence OF any indus
trial recovery, it Is certain that the
government WHY have to resort to cur
yerey imitation II the mountains Of
suHE sssats sse y b scve& ~.
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06
By M. HOWARD

In the first article we showed that
i n f a tion is a proces S
which is not Immediately reflected in
the commodity markets. We showed
that the capitalist class has created
all the machinery necessary for in
flation, and that the tendency to-
ward initiation of the currency is
manifested by the issuance of paper
currency after the emergency" Of
boarding is apparently over. In this
article we continue the discussion.
The perspective for initiation is also
definitely tied up with the question
of foreign markets. The leading i'm
perialist powers of the world, Eng
land, Japan, France, and the U. s..
are struggling more fierCely than ever
for advantage in the field Of foreign
commerce. In this struggle the coun-
tries with deprecated Currencies have
an advantage since they can produce
and sell products at lower prices in
terms Of more stable currencies. In
1882, American trade declined 80 per
cent compared with 1881, French
trade So per cent, and Gernlany's 40
per cent, while Britain and Canada
had declines OF z and ie per cent
respectively, rejecting, at least, a
temporary advantage due to depred-
ated crIrrencies.
IN this struggle there are contra
dictions as well as antagonisnas. Tbs
leading powers want to be the fin
ancial centers OF the world at the
same time that they want to beat
down their competitors by initiation.
1t will be noticed that England has
been steadily piling up gold, taking
advantage OF the bank crisis in the
U. s., SO that now England has prac-
tically the largest gold supply in her
history. These financial maneuvers
are, Of course, the reflection of the
profoundest imperialist antagonism OF
the present period, the fight between
England and America for the markets
in the colonies, in South America, in
China, the Dominions and the coll
onies.
The capitalist press is already spec.
ulsting on the possibility Of Eng
lands going back on the gold stand
ard at the expense of America. It Is
probable that Britain will apply fin
ai1cial pressure in this direction in
order to restore the pound as ths
fixed point IN international finance,
but the economic basis for the gold
standard does rot exist ~ England.
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06
BRITISH CABINET FORCING THRU EMBARGO BILL
VICKERS co. BACKS DOWN; Balls THREE SPIES
of
K Taken Against

MOSCOW, April ; Especial Gable
with the statement of Public ProseC-
utor Vishinsky on March 20 offering
to release the British engineers &C
cused of sabotage If the Metropolitan
Yickers Company put up bail for
them, w. H. Thornton, John Cushny
and an aide, Gregory, were released
yesterday as soon as their home com
pany deposited their bail.
MetrOpOIitan-V ickers had at first
refused to put up the bail, trying
to bluff the Soviet Government into
releasing the accused men uncOndi-
tionaIIy. The men released signed an
agreement obliging them to leaveMoS-
COW and to appear before the Soviet
court.
LONDON, April SIN the House
of Commons debate on the British
Embargo bill aimed at Soviet i'm
ports. Sir John Simon, Foreign Sec
rotary, made an open threat OF break
ing off relations with the Soviet
Union.
Sir John violently attacked the So
Wet Prosecutor Vishinsky for subject
ing Monkhouse, one of the accused
British engineers, to prolonged ques-
tioning, an ordinary procedure in all
examinations before trial Monk
house was later released on his own
cognizance).
The British Government also Is
sued an official White Paper, detail
ing the diplomatic correspondence be-
tween Sir Eslnond Ovey, British Am
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

Even flower boxes were emptied in
the search. This marks the concen-
tration Of the fascist drive against
the Jewish workers and the poorer
middle classes. No raids have been
made in Grunewald or West End, the
sections where the wealthy Jewish
bankers and industrialists live.
Because OF their appeal to the Hit
Ter government protesting against
persecution Of Jewish and radical
musicians in Germany, the Nazi cabi-
net yesterday forbade the playing of
compositions on the radio by any of
ths signers of the protest, including
Arturo Toscanini, Walter Damrosch,
Serge Koussevitzky and other world
famous musicians
Charge.
The Pan German Press Service. =
nsws agency run By the Nazis,
charges that the United States Con
sulate in Berlin is "an atrocity lie
factory This endeavor to suppress
authenticated reports of Nazi attacks
on foreigners has led American Con-
ul-General Messersmith to protest
theoretically to the Hitherto Foreign
Once.
Harold Frazer, British subject, has
been arrested by Nazi special police
and taken to an unknown destina-
ton. Frazer was employed by Ger
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

Stuttgart 27O Communists were aSe
rested, and 800 more CommuniSa
workers were jailed in Leipzig. This
workers arrested in Leipzig now total
LOO.
Socialists Surrender
While the Communist Party con-
tinues its undaunted fight against
the Fascist murder gangs. the Social
lists are voluntarily giving UP all re-
sistance. The Iron Front" has dis~I
banded Of its own accord, while thsl
'Reichsbanner" now has also decided
to lquidate, in spite Of the Social
lists pompous phrases Of what they
would do off Hitler ever dared to at
tack the workers organizations"
At the last meeting of the FETCH
stag fraction of the Socialist depu-
ties, q resolution was submitted to
the effect that Socialist deputies
should no longer take part in the
Reichstag sessions.
Reports from Saxony state that
numerous locals Of the Social Demo-
cratic Party have decided to diss
band, the members declaring that
they are giving up all political acs
tivity. Thousands of Socialist offs
Gals, city councillors, magistrates
and the like have resigned thRir
functions and left the party.
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

only the ambassador who opened re-
lations with the Soviet Government
but also the ambassador who ter
minated them"
This open threat led Iitvinov to re-
ply that the Soviet Government was
not going to let the course of Soviet
justice be turned aside by intin1ida-
lions that British might be accus-
toned to use to Mexico or some other
small country.
Several LABOR members of Parlia-
ment jumped to their feet asking Sir
John why, if the British Government
was SO energetic in Moscow, it did not
demand the Immediate release with
out a trial" Of Harold Frazer and
George Padmore, alleged Communists
and British subjects arrested sum-
marily by Nazi special police in Ber-
lin.
Tories Hiss
Sir Stafford Grips, former solici-
tort General, was Missed by the Tory
majority of the House when he at
tackled the cabinet for the tone Of
their language towards the Soviet
Government. He lasted out at Sir
Robert Vansittart, Foreign Under
Secretary, for telling Soviet An1bas-
sador Ivan Maisky that 'the Metro
politan-Vickers charges we're 9. stage
performance and a very bad one at
that" He added that eff the de-
mand for liberation OF the men with
out a trial had been made by the
United States Ambassador on behalf
of United States citizen in this
country, you would be the first per-
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

shestidnievka (six-day week includ-
ing days rest).
do you ever go to theatre, Ma
rusya 2" Her face frightened up and
her eyes beamed. She just loves the
theatre. In the village they have no
idea what it is like. In the workers
club of her factory they have fire.
quent performances. Sometimes a
professional company comes there to
play performances Of the biggest
"hits" Of the Soviet theatre are given
in factory clubs, generally by the ORR
ginal casts. She has seen ''The
Queen of Spades" in the Grand
Opera House, Hamlet" at the Vach-
tangov Theatre and "The First Ca
Valry" in the Theatre Of the Moscow
Trade Union Council.
A SHOCK TROOPER
Marusya Is an u6arnitsa (snock
worker. Her winter coat is thread
bare, but she proudly displays slip
Of paper, an order" for a new coat.
She was told at the factory store that
her turn would come in about two
weeks. Have you the money to buy
new coat?" Yes, she has been say
ing for the past three months for a
coat and some material for new
dress In a few days she will get her
months pay. She will manage it.
Marusya was considerably embar-
raised when asked her whether she
was q member of the Party. IT was
like speaking out openly one of her
most cherished hopes. She told me
she was not ready to join the Party.
She would study some more and
prove her devotion TO the proletariat
through good work and through full
filling her "nagruzkas." Then she
would perhaps be admitted. This, in
substance is the story of Msrusya,-
two years ago, semi iIliterate peas
ant girl. This is-in miniature-one
of the great results of the first Five
Year Plan
BY the millions these raw, back
ward peasants, men and women, were
drawn into industry in the course
OF the four years of the "piatiletka. !"
They were rernolded into new men
and women. They went through a
great school, learning to master mo-
dern mechanics ana 30 run socialist
enterprises.
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06
BUDGET CRISIS; FROZEN ASSETS

As this takes place, American bank
erS are considering the idea Of re-
Stunning international gold payments
in order to maintain Wall Street as
the money center of the world. In
order to do this, America will have
to increase the inflationary pressure
on the internal currency, still further
reducing its gold backing. The forces
of imperialist antagonism are I'M
doubtedly making for unsound cur
rency. 1t must be remembered that
the sterilization of capitalism was in-
dictated by the sterilization of the
leading world cllrrencies. Now that
capitalist sterilization is ended, the
world currencies can never again be
stable.
The perspective for initiation is in
ttnlately connected With the federal
budget. Despite the optimistic re-
ports of the capitalist press, and the
ruthless attacks upon the veterans
compensation and the wages of feder-
al employees, the budget crisis is far
employees, the budget crisis is far
from being solved. The deficit for
the first nine months OF this year
is about s1,40O,0oo,o00. This deficit
does not include the two billion loan
ed to the RFC., hundreds Of mil
lions of which have gone into loans
that Will probably never be repaid.
The government has poured billions
into bankrupt banks, into railroads
TO meet bond interest payments, and
into co1lapsing industries. This means
that the government is placing the
burden Of supporting the profits Of
monopoly capital directly upon the
population from whom these enor-
nous expenditures will have to be
made up in the form of taxes.
The government Is faced with the
necessity of increasing its income.
Being a capitalist government, it will
naturally take the increased income
not rom the rich nor from reduced
expenditures on the army and navy,
but directly and indirectly from the
masses Of the people. Not only win
the government slash wages and vet
Grams pensions, but it will institute
indirect taxation through currency
initiation. The budget crisis, the
wholesale support Of bankrupt in
dustry endangers the stability Of the
currency The necessity for larger
taxes means currency initiation
The fundamental causes OF ths
cr5sts are far frcn. getting lighter.
They are intensifying. one quarter
e the hanks still are eIosed. eor-
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

JElCGS.
The workers of Berlin enthus-
iasticaIly greeted the reappear-
ance in defiance of the suppression
edict, Of the "Rote Fahne," which is
to be published regularly once q
week.
The first number, containing four
pages, had an editorial on HAS
Ernst Thaelmann been assassin
ated?" while another article dealt
with the cowardly and treacherous
behavior Of the Social Democratic
Party, especially the visit Of Wells and
Leipart to Hitler.
Workers Write.
Several columns of the eRote
Fahne" were filled with details OF
the Nazi atrocities perpetrated on
class conscious workers. Many big
factories contributed workers corre-
spondence, telling how the fight
against Fascist terror developed in
the workshops.
The street units of the Party, espe-
cially those in the proletarian dis
tricts, are issuing their own papers,
which are circulated in thousands of
copies.
Meanwhile police raids are con-
tinuing throughout Germany. In
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06
NAZ DIFFERENTIATION or CULTURE

Against all the arts of bourgeois
life, Hitlerisln has leveled an attack.
But against proletarian culture it is
waging war of determination. For
ten years proletarian culture has
flourished in Germany In spite Of
being underpaid, half-starved, thrown
out of their jobs, the German workers
have brought forth their own books,
magazines, newspapers, plays, moving
pictures. They have formed their
own associations for sport and ex-
ercise in the open air, built play
grounds for their children.
Now all this is being suppressed
with special violence. Women are
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06

sons TO resent 1t.
It is practically certain that ths
Conservative majority OF the House
Of Commons will pass the Embargo
Bill tomorrow, empowering the Brit.
ish Cabinet to prohibit the import
OF all Soviet goods into Great Brit
ain and to impound all Soviet funds
on deposit in Britain.
Persia Follows British
A report from Bagdad states that
Persia is planning to follow Britain's
lead and prohibit all Soviet imports,
with the possible exception Of Soviet
oil, which has a natural monopoly
in the North Of Persia.
The Anglo-Persian Oil Company is
making active preparations to take
away the Soviet Persian market,
sending large shipments Of oil from
Abadan through Basra and Bagdad
to Kernlanshah.
This dispatch from Mesopotamia
throws a glaring light on the true
motives of British diplomacy in the
Moscow sabotage case. Now that
Persia has come to an agreement
with the British oil trust on the oil
concessions, Great Britain Is putting
pressure on the Persian Government
to join in the anti-Soviet embargo
campaign. Britain is trying in this
way to set up again the old econo-
mic barrier all around the Soviet
frontiers, which now already covers
the Manchurian, Persian, and Brit
ish trade frontiers.
The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-04-06
BY MALCOLM CoWLEY

In the midst of the political ter
ror in Germany-the murder of Com
munists by the hundreds, the arrest
and torture by thousands and ten
thousands of the bravest representa-
tives of the proletariat-The Daily
Worker has not neglected the other
side Of the picture. It has not failed
to say that the terror against the
workers is also terror directed
against civilization itself.
What form Of cultural activity has
failed to suffer at the hands of the
brown-shirted yahoos? Schools have
closed; teachers discharged because