The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1934-01-17
We Are on the WAY

matter herein are also reserved.
We Are on the Way
President Roosevelt at last dis
closes the ultimate ends OF his none
tary program and the methods by
which he hopes to achieve them.
For months 1t has been clear that
the president favors the commodity
dollar, intended to prevent the fluc-
tuation in prices which has been
such handicap during these years
Of depression. The new steps pre-
scented to congress are directed along
that pathway and toward the goal Of
q controlled initiation which Is nec-
essary II we are to restore the price
level which we once knew and on
which many Of our debts were con-
tracted.
The move to impound the gold in
the federal reserve banks Is fair
enough. If the government can take
the gold Of individuals It clearly
should have tho right to take the
gold of corporations and Of minor
government agencies. such as the
reserve banks are in fact.
There may be violent disagreement
with the program to debate the dol
lar by so per cent. There is sound
argument against so drastic q change.
But there seems little doubt that the
end will be achieved and there also
is sound argument for It. Things
rarely appear In sharp blacks and
whites and such Is the case with the
present program. The decision here
is between different shades Of gray
and few Of us are capable of exercis-
ing proper Judgment.
We may do 50 with misgivings but
the sound thing to do seems to trust
the president q little further and let
him put his ideas into execution.
Prophecies may be had In plenty, but
only by pursuing the experiment to
its conclusion can we be sure Of the
result.
If it fails-as 1t easily may-those
who oppose it will have the satisfac-
ton of saying Il told you So" and
the problem will be to find way
out.
II it succeeds Is clearly posi-
ble-we may be on a better and
sounder basis than ever before In our
history. For that reason, even those
distrustful OF the scheme will hope
for its success. Few people are will
ing to cut Oft their nose to spite
their face.
The proposal to establish q two
billion dollar fund for the regulation
and control Of foreign exchange is
merely an adoption Of device which
England has been using ever since
she went off the gold standard. It
means government entry into the
field Of currency manipulation. The
president and others feel it properly
belongs there and all the theoretical
arguments favor the plan. The fact
remains, however, that it IS q new
field for the United States govern
ment and that we have yet to show
the skill which Is needed for so deli
cate an operation.
The plan Is unique in that it brings
to those who believe in the
gold standard and, ct the same time,
tends to quiet the inflationists who
think prosperity may be had by
starting the printing presses on the
pleasant job Of making money. It
may, in fact, be controlled initiation.
something the world has never be-
fore seen and which many believe to
be impossible. Heretofore the road
to initiation has been the road to
ruin, as witness the history Of French
currency in the revolution Of 1876
and the debacles in France and Ger
many after the last war.
But we have the advantage Of
our course deliberately and
without substantial pressure from
the outside. We were not forced into
it and conditions in this country are
different from those which have
prevailed In all other nations when
ever initiation has been tried. We
shall be able to pay In gold under
the new plan and the most hard
boiled realist viii not Be able to &.
more that fact.
It takes more study than the aver.
age citizen can give to the subject to
become even moderately well in-
formed. In many cases the sources
Of information are either lacking Or
are themselves % polluted With bias
that thsy ars not worthy Of trust.
An moge 6 " know = that ~ ars
on tho way to soensthine q other IN
: monetary way. None Of ~ can vt
- sure 8 u what that something =.
Raising m Old Question
i + several years now since the
famous Feik report on the proper
md possible Use Of the state normal