Evening star., 1934-05-02
CODES MUST STAY,
HARTMAN WARNS
Business Leaders at e. of C.
Session Hear Plea for
Cooperation.

Continued From First Page)
Government confines itself to con-
structive supervision, assuring fairness
between competitors, fairness to labor
and fairness to the public, this sys-
TEN will work to the great advantage
OF our economic life"
Fear of Autocratic Act.
Continuing, the speaker said:
If I rightly sense the judgment of
business men on the workings of the
industrial recovery act, it is that the
law has done much good; that many
undesirable busi,-eSs practices have
been eliminated, and that the foun-
dations have been laid for the orderly
conduct of business. But I also sense
a very widespread fear that an act,
based on the Self-regulation of buSi-
ness with Government approval of
such regulations, may become an auto
cratic act, for the RECOMMENDATION of
business by the Government There is
a feeling that too many codes have
been adopted, and that the entire
codification of business is unnecessary
and undesirable; that the codes have
endeavored to regulate too minutely
the functions of business; that, inf the
endeavor to raise wages promptly
costs have been increased faster than
the consuming power of the country,
with resulting curtailment of business
activity and leSsening of employ
ment; that in some cases, the differ
entails in wage scales between diff
ferent sections of the country have
not been equitable and have tended to
change business from one channel to
another, and that the increased cost
Of certain articles has been out of
proportion to increased costs of COM
peting articles, with further changes
in the channels of business.
In the carrying out of an expert
ment of such vast proportions, mis-
takes are to be expected, and with i'm
proved business activity, and with the
wide experience already acquired
under codes, it is most essential that
both business and the Government CO.
operate to preserve that which is good.
and eliminate that which is bad, in
the recovery act, and, indeed, in the
whole recovery program"
Held Gigantic Experiment"
So far as the agricultural adjust
ment act is concerned, Mr.. Hartman
voiced the opinion that ''it has been
neither a complete success nor a
complete failure" adding:
ut was admittedly a gigantic ex-
pertinent, but it has several outstand-
ing assets on the credit side of its
ledger. 1t has been accompanied by
an increase of so per cent in farm
prices, and an increase of the ma
tional farm income of from 81 000,-
100000 to $4,000 100000. 1t has re-
suited in a wide appreciation by
farmers of the value of nation wide
cooperation, and it has given hope
where there was formerly discourage
ment. In my judgment the voluntary
domestic allotment plan and the leas-
ing plan are not the permanent tools
through which agriculture will be sta
bilized. They assume the collection
OF a processing tax and the diStribu-
tion Of the funds thus collected to
those farmers who voluntarily agree
to curtail their production of specific
crops. Without them cooperation on
a Nationwide basis could not have
been secured. to eliminate unmanage-
able farm surpluses. They have in
deed taught the farmer the advan-
tage of joint action, and have been
highly educational. I, however, be-
lieve that a permanent agricultural
policy will be based on two premises,
the first being the utmost stimulation
of domestic use and foreign exports
and the second being the balancing
Of production to consumption Cn
agriculture as in industry through
codes or marketing agreements volun-
tarily accepted by the great majority
of the growers of essential crops and
through the gradual elimination of
marginal and unproductive lands.
Such codes must, of course, be en-
forced against recalcitrant minorities
If this policy is sound for industry
1t Is sound for agriculture. 1t does
not. however, connote Government
compulsion or bureaucratic control,
except as the power of the Govern
ment may be needed to compel mi
norities to accept the decision of over
whelming majorities. Certainly star