The Waterbury Democrat. [volume] (Waterbury, Conn.) 1917-1946, 1934-05-22

~ stated In my mebsagO to the
congress, this legislation was roc-
commended as u step Ia improving
our financial and monetary system.
Its enactment has laid founda.
ton on which we are organizing
currency system that will DO both
sound and adequate. II In a long
stop forward, but only O step.
Broader Monetary system
As part of tho larger objective,
Bono things have been clear. One
In that We should move forward
as rapidly as conditions permit IN
broadening tho metallic base OF
our monetary system and in stab.
ilizing the purchasing and debt
paying power Of our money on u
moro equitable level. Another Ia
that wo should not neglect the
value OF an Increased uso OF silver
In improving our monetary syst0m.
Since 1929 that has boon obvious.
Some measures for making u
creator use of silver In the public
interest are appropriate for indie.
pendent action by w, On others,
international cooperation should
BIO sought,
or the former class In that Of
increasing the proportion Of silver
IN tho abundant metallic reserves
back OF our paper currency. THIS
policy was initiated by tho proela.
nation OF December q, 1898,
bringing our current domestic pro.
duetton OF silver into the treasury,
az well ns placing this nation
among the hrst 10 carry out tho
agreement on silver which We
sought and secured at tho London
conference. We have since ac-
qulred other silver In tho interest
OF sterilization OF foreign OK.
change and tho development OF a
broader metallic base for our cur.
rency. We seek 10 remedy mul.
adjustment OF our currency.
In further aid OF this policy, II
would DO helpful to have logisla-
ton broadening tho authority for
tho further acquisition and none.
tary use OF silver.
Recommends Increase
]. therefore recommend leglsla.
ton at tho present session declar.
Ing II TO be the policy OF tho Unit
cd States to increase the amount
OF silver In our monetary stocks
with tho ultimate objective OF hay.
Ing and maintaining one.fourth
of their monetary value In silver
and three-f0urths In gold.
The executive authority should
no authorized and directed TO make
tho purchases OF silver necessary
to attain this ultimate objective.
Tho authority to purchase pres
ent Accommodations OF silver In this
country should be limited to pur-
chnses ut not In excess OF 80 cents
per ounce.
The executive authority should
be enabled, should circumstances
require, 10 take over present SUR
pluscs OF silver In this country not
required for industrial uses on
payment of just compensation,
and to regulate imports, exports
and other dealings In monetary
silver.
There should be u tax OF at least
so per cent on the profits nc.
crued from dealing In silver.
Paper Currency Reserve
We can proceed with this pro-
gram OF increasing our store OF sill
yer for use as Ia part Of the metal.
lie reserves for our paper cur.
rency without seriously disturbing
adjustments In world trade. How
ever, because OF tn great world
supply OF silver and It's use In
varying forms by the worlds pop.
ulation, concerted action by all ma
lions, or at least a large group OF
nations, Is necessary IL perma-
nent measure Of value, including
both gold aind silver, IL eventually
to be made u world standard. TO
.,..f, NJ la I.
| every possibility for world agree
ment. although 1t may turn out
that this nation will ultimately
have to take such independent ac-
| ton on This phase OF the matter AZ
its interests require.
The success of the London con-
| ference In communicating an inter-
| national agreement on silver,
| which has now been ratified by all
the governments concerned, makes
| further agreement worth seeking.
The ebb and flow OF values In al.
most all parts of the world have
| created many points of pressure
for readjustments of internal and
international standards. At no
time since the efforts OF this ma
ton to secure international agree
ment on silver began In 1878 have
conditions been more favorable
for making progress along this
line.
Accordingly. have begun TO
confer with some of our neighbors
In regard to the use of both silver
and gold, preferably on a coordi-
mated basis, as a standard of mon
| etary value. Such an agreement
would constitute an important steE
forward toward a monetary unit
of value more equitable and stable
| in Its purchasing and debt paying