The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1933-11-23

spontaneous origin publ1Shed herein.
All rights Of republication Of oil other
matter herein are also reserved.
lnflation's Highway
That America has taken at least
few steps upon the pathway toward
initiation is apparent and undeniable.
II emphasis Of the fact were needed
the resignation Of o. M. w. Sprague
as adviser to the treasury depart
ment. announced late Tuesday. pro-
vided 1t. Sprague knows what Is
going on in the federal treasury and
his rather bitter statement, directed
to the president, makes his views
clear.
The gold-buying policy upon which
the government has embarked is ad-
mittedly an inflationary move. The
idea is to lift the prices OF commod-
tiles by increasing the gold price on
the theory that gold controls the
prices Of other commodities.
What does not appear, even after
careful study, however. Is how an in
crease by such manipulation will
benefit many persons.
To the farmer with a heavy mort
gage debt and low income it may
be q boon, but only in SO far as the
mortgage Is concerned. When he at
temps to translate wheat, butter and
eggs into terms Of shoes, dresses and
overalls the same ratio holds and he
gains nothing. So far as agriculture
Is concerned initiation, on the whole,
will be more Of handicap than a
blessing. What we need Is something
which will raise the prices OF farm
products without, at the same time,
boosting the prices Of what the farm
er buys. In short, Initiation will
merely continue the dislocation from
which We have long suffered.
It Is toward this inequality that
the Agricultural Adjustment Admin
istration has directed its efforts and
for that reason 1t Is entitled to more
support than are those who would
give us prosperity by starting up the
printing presses.
The doctrines which inflationists
like so much to expound are plausible
enough if one accepts the facts up
on which they are based. Exam
ination, however, knocks good many
Of the props from under their con-
tentions. Before the people go in for
initiation they should make a careful
study Of the subject. When they
have done so they will not be enamor-
ed Of the idea.
There Is no getting away from the
fact that some OF the arguments
made for the gold standard are moss
grown and more than . little silly
but they do not impair the value Of
the gold standard as compared with
no standard at all. Between the gold
standard and initiation, such as now
i being proposed, there really Is no
choice.
The gold standard at least means
stability OF one item and initiation
means no stability of anything, any,
where. We cannot have prosperity
without something to build upon.
Despite Sprague's protest against
the present policy, there are some
grounds upon which to base the idea
that President Roosevelt realizes the
dangers Of initiation and Is afraid of
it.
The best evidence Of this fact is
that he applies the gold-buying plan
only to newly-mined metal. II he
chose to exercise the powers congress
has given him, be could slash the
value OF the gold dollar so per cent,
return the country to q gold basis
and have done with the whole bust
ness. Why he hasn't done this is
conjectural because he Is keeping his
own counsel. One explanation is that
he Is not willing to take that kind
Of medicine ia allopathic doses.
Meanwhile. It is apparent that the
public reaction to initiation has by no
means solicited.
The National Grange, for example,
asserts it favors mild initiation but
makes it clear it wants no drastic
measures.
On the other side Of the picture,
John Simpson, Farmers Union chief,
would print tho astounding sum Of
q billion dollars tn greenbacks and
make everybody happy-until they
woke up With . headache.
Even 4 Hitler Must Bow to
Democracy
0ole siguificance Of the farcical
election BY which Chancellor Hitler
gained an expression Of his nations
approval Tor the things he has done
= That 4 proyes that even dictator
naast stsp out now and then and
make . bow IA the direction Of demo-
CEocy.