Evening star., 1933-04-22
DEMOCRATS MOVE
(. TO RUSH INITIATION


Passage in Face of G. O. P.
Resistance. ..- 4
CONTINUED From First Page)
Republican leaders said, docs not pro-
duce the expected results. the Govern
ment, having conceded the principle,
will be forced to increase the Dose"
If 1t does take and prices rise be-
cause Of loss Of confidence in the
value Of the countrys currency" they
asserted, then the Government may
we'll find, as did those OF Germany
and France, that imitation once started
feeds upon itself and soon gets COM
pletely out Of control.
THE bill may well constitute the first
step on the road to ruin which the Ger
man people took under compulsion. but
tarily embark"
Disavows Filibuster.
Reed told the Senate the Republicans
would discuss the measure at length.
but he disavowed any intention OF hl-
clustering. He told Senator Robinson
of Arkansas, the Democratic leader. he
saw no reason why the legislation could
not be voted on by next WEDNESDAY,
This pleased Robinson, but he Is ready
to clamp down the cloture rule II neces-
sary to choke of q f1libuster.
It was stated emphatically that Mr.
Roosevelt interprets the infattonary
amendment as providing him with dis.
cretionary power to be used only II
needed, with the chief aim to expand
credit through open market operations
of the Federal Reserve System
Similar legislation was INTRODUCED. IN
the House yesterday at about the same
time AZ Robirson. referring to the visit
of Prime Minister Macdonald, told tne
Senate:
"The President feels that 1t would be
of great value to him to have TINS
amendment considered and disposed OF
as soon as practicable SO that ne may
know the extent of authority he Will
have ard may be assisted in making ar
rangements Of the first importance to
the commerce Of the United States ano
the business of the world"
Senators Wheeler, Democrat. OF Mon
tana and King. Democrat. OF Utah late
Yesterday proposed an amendment 70
the silver section authorizing the Presi.
dent to remonetize silver at nxed
ratio with gold to be determined by him
and providing for free coinage OF both
gold and silver Wheeler indicated ad-
ministration support for the plan.
Al Of L. Begins Pay Fight.
William Green. president Of the Amer
lean Federation of Labor. issued state
ment last night urging workers to begin
an immediate fight for increased wages
to offset the rising prices through cur
rency imitation and the abandonment
of the international gold standard.
From Edward A. O'Neal. president OF
the American Farm Bureau Federation,
came q statement praising the Presi-
dents action in taking the Nation on
the gold standard and favoring adopting
of the Goldsborough bill providing for
. revaluation Of gold.
Opening debate in the Senate yester-
day, Reed asserted imitation SIS the
process by which governments throw
of responsibility and go on JAM
boree"
They pursue q picturesque course
for a while" he added, but they wake
up with q hea6ache. This Is the thing
for the sober men and women Of
America to remember when imitation is
proposed. There may be temporary
exhiliration. but there is always q
morning after"
Reed said $1,000 900 households in
the Nation would suffer Immediately
ir the rise in the cost Of living" and
warned Of what imitation did for Ger
many and other European countries.
"The Same Old Issue"
Senator Pittman, Democrat, Of Ne
vada, who helped frame the legisla-
ton, replied hotly that the plan was
limited and safeguarded and the Re
publican opposition was the same old
argument
Its the same old issue" Pittman
said. I'VE are thinking Of the man
who hasn't and the Senator can't get
out Of his mind the man who has.
This has been an issue now for four
years and thank God the, people woke
up at the last election"
Explaining his estimate Of imitation,
fixing expansion at $40 00O, 900 900 Reed
said the proposal would permit issuance
of $4,000 100000 through open market
operations OF the Federal Reserve
| System; q similar amount through
I printing press money; $4,000 900, 900
through initiation of outstanding cur
rency by lowering the gold content of
the dollar, and 5000. .O00. 900 through
use of surplus gold stocks.
He said the gold reserves Of the
country under present law would permit
| expansion of the currency by $4,000
000, 900 and that could be doubled by
lowering the gold content.
Although the Senate Banking Com
mittee had adopted a resolution by
Senator Walcott urging the currency
legislation be considered apart from
the pending farm bill, Robinson
announced to the Senate. after q poll
Of his party, that the original plan to
| tack it on the farm measure would be
| followed.
Senator McNary Of Oregon, the Re-
publican leader, urged "in all fairness"
that the plan be considered separately,
but Robinson insisted the original plan
| would have to be followed because of
the Presidents desire to obtain quick
action.