Evening star., 1933-11-04
The Swope Proposal.


Constructive criticisms OF mistakes
made in practically applying the ad-
Ynittedly sound fundamentals of the
N r. A. plan have accumulated until
in the interest of national recovery it
Is found desirable to consider seriously
whether some notifications of meth
ods of enforcing the New Deal are not
necessary to prevent constructive crlu-
cisms from developing into destructive
assaults. The steadily increasing VOL
ume of these criticisms, many of them
we'll founded, has undoubtedly altered
the attitude OF the business men OF the
Nation toward the N. r. A.
President Hartman of the National
Chamber of Commerce sums up their
attitude toward N. R. A. in a few
words, the truth of which must ap-
peal even to casual observers, when
he says that about six months ago
they (the business mem were 100 per
cent for it. about three months ago
there was much less unanimity, and
I know of no representative group of
business men today in which some do
not question the whcle program"
It might be difficult 10 pin down any
single cause for such changing senti-
ment. An experiment which seems to
reverse the traditional order of recovery
by placing increased costs before in
creased profits must encounter obvious
dificulties. There has been feeling OF
resentment in some circles growing
from the belief that organized labor
was being unduly favored by the UNI
uire-Uncle Sam Fears have been
aroused that the licensing of news
papers under their code will inevitably
and unconstitutionally abridge Cor, as
In England in the past, Destroy the
freedom of the press. Then there is
apprehension with resentment based
on the belief that there is developing
In Washington a newly entrenched
bureaucracy, in which a few men have
been given authority to effectuate arbi-
trarily certain PHILOSOPHERS and beliefs
under the all-powerful mandate Of the
Federal Government.
Mr.. Gerard Swope, one of the coun-
try's leading industrialists, has proposed
at the psychological time new plan,
which, while retaining many of the gen.
foot nf A
scheme, would be more in keeping with
our Democratic philosophy and tradi-
tions."
The plan, as informally interpreted
and amended by Gen. Johnson, is for
industrial self-government and self
regulation, with the Federal Govern
ment retaining its power through the
N. r. A. to supervise and to veto the
acts Of whatever governing body indus
try chooses to establish. Under this
plan the administrative functions Of the
N. R. A. would be transferred to an
organization utilizing for its machinery
the United States Chamber Of Com
merce. The enforcement Of codes
once they are adopted by the various
branches of industry with Government
approval, would be left to this govern
ing council, on which industry and
labor would be represented. Violations
of codes would in theory be prevented
by utilizing the pressure OF public
opinion and when such means failed,
there would be recourse to the Fed
eral Trade Commission or to the courts
To Mr.. Swope the adoption of some
such method to make permanent many
of the features Of the now temporary
N. r. A. codes represents the choice
OF one Of two alternatives. He says.
II industry does not organize and
rovern itself, either the State or Federal
Government will-with the consequenS
paralyzing effects on initiative anu
progress.
His proposal is to begin the self-gov-
ernment of industry, under codes ap-
x,royed by the Federal Government, as
quickly as possibly and thereby ne
hopes, end a trend which is assuredly
putting the Federal Government not
only in partnership with, but in such
control of industry as to provoke sus-
picion and resentment. An orgaplza-
ton such as this" Mr.. Swope declares,
:" would unity industry and COM
merce. 1t would consolidate the many
demands on manufacturers and mer-
chants for contributions and support,
and make those various efforts more
effective and less costly. Along
such lines can the initiative and leader
ship which has been responsible Tor
the rapid progress and development OF
American industry and commerce be
retained"
Mr.. swope's plan has already re-
ceived criticiam as being too indefinite
Is to detail and Is proposing machinery
too cumbersome and unwieldly. Some
believe that its adoption now would be
premature-that industry itself Is not
vet ready for such self-government.
Spokesnen for organized labor do not
believe it sufnciently protective Of labor
interests. But its general principles
may yet come to be recognized as con-
tanning the best method Of consolidat-
ing gains under the N. r. A. without
placing them in that sort of jeopardy
which results from condemnation Of the
good kons with the bad. y
YhG Nations hopeful search today Is