Evening star., 1933-01-26
Tells Smell He Backs Action
Against Countries of De-
preciated Currencies.
HOUSE REPUBLICANS
VOTE TO RAISE RATES
Hoover Also Discusses British Debt
Note and Economic Farley
With Minority Leader.
BY the Associated Press.

By the Associated Press.
Representative Smell of New York,
the minority leader. said today Presi-
dent Hoover was in accord with an
agreement by House Republicans to
seek action to raise American tariffs
against countries of deprecated cur-
rencies.
He had conferred with the Chief
Executive for nearly an hour, telling
newspapermen they discussed also
Great Britains note of yesterday on
wa debts and economic discussions to
be had after March T.
Economic Problems First.
Smell expressed the. view that it
would be better to discuss economic
problems first with Great Britain and
other debtor nations before making any
settlement on war debts.
Should the 6ebt question be settled
first, he said. there would be less hope
of gaining economic agreements salts
factory to the United States.
Sources informed of Mr.. Hoover's
thought said yesterday the Chief Execu-
tive felt stabilization Of deprecated
foreign currencies would aid in So
luton OF the economic tangle.
The President was reported to feel
also that unless some action was taken
to stabilize foreign currencies 1t might
be necessary for the United States to
enter the European race to raise tariffs.
To Smell. Mr.. Hoover expressed his
pleasure" at the action taken by q
caucus of House Republicans late yes
terday, at which a resolution was
adopted favoring action to make the
tariff more effective.
Tariffs Deprecated.
II see no reason" Smell said, why
We cannot force a vote at this session
on some of the bills now pending to
bring about this effect. I recall Rep
resentative Rainey (the Democratic
LEADER saying last year that the Re
publicans will not reduce the tariff and
HI Democrats do not dare to-
The fact remains that our tariffs
have been lowered by deprecated cur
rencieS abroad. favor the most direct
action possible a resolution that would
allow the Secretary Of the Treasury to
raise tariffs in proportion to the amount
OF depreciation in currency in the
country of export.
IF had my way, I would cut
J..
Mills. tomorrow you put that system
into effect"
Secretary Mills entered the Presi-
dents Office few minutes after Smell
departed
Asked his opinion on SHELLS proposal
to have the Secretary of the Treasury
increase import duties in proportion to
the depreciation of foreign currencies,
Secretary Mills said lit could be done
through the Tariff Commission. If
such resolution were passed by Con-
gress, the commission with it's present
machinery and background of informa-
tion could put it into effect within so
days."
Opposes Hill Bill.
Before a House committee, mean
while, John j. Hopkins. special assist
ant to the Secretary Of the Treasury,
opposed the Hill bill for automatic
tariff increases against foreign coun-
tries with deprecated currencies.
The logical way to approach this
problem would be to have the Tariff
Commission determine the proper rates" 4"
he said.
Such legislation could we'll direct
prompt investigation to be made within
60 days.
Then the commission might be re-
quired to report to the President, say
ing whether substantial injnry was
being done to the domestic producer.
The commission could well accom-
pany this report to the President with
a recommendation for change in duty"
Hopkins agreed the commission would
need additional powers to handle the
deprecated currency problem.
House Republicans Meet.
House Republicans late yesterday
voted unanimous advocacy of immedi-
ate legislation to restore normal tariff
protection against foreign countries
with deprecated currencies. They
acted in closed conference only a few
nours after it was learned that Presi-
dent Hoover felt tariff increases might
be the only recourse if currency stabli-
zatlon were not obtained abroad.
A resolution was proposed by Rep
resentative Smell and accepted with
out dissent. 1t urged 'the enactment
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