Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1934-11-29
National Topics Interpreted


make moves solely to please particu-
lar segments of voters the President
appears to have started getting rid Of
duplication in the various alphabetical
agencies of the government. Further,
many conservatives are taking some
hope out Of other administrative ac-
tons lately and are willing to believe
that the shake-up among the many
emergency groups along with White
House announcements may possibly
indicate a slight return toward what
they regard as sounder fundamentals.
In move held by many observers
to indicate an attempt by the Pres
ident to eliminate some waste the
President has brought under one su-
pervisory control all Of the agencies
lending government money. 1t may
be surprising to know that there are
ten important federal offices engaged
In. loaning money. They have been
operating largely on their own pro-
grams. No attempt has been made
heretofore to coordinate their efforts.
The result has been conflicting policies
and undoubtedly waste in results.
The President now proposes that
this shall end. He has named the COM
mittee for the defined purpose Of es-
tablishing uniform policy respecting
government loans and has declared
with emphasis that the duplication
must be eliminated.
Some leaders in and out Of the gov
eminent construed this action as in
dicating a conviction by the Presi-
dent that there were too many agen-
cies floating around doing odd jobs
without restraint. Others believed
that Mr.. Roosevelt was making an hon
est effort to bring some semblance of
order out of chaos in the hope that
eventually expenses can be reduced
thereby.
In support Of this view was the ac-
ton taken by the Home Owners Loan
corporation which has cut off further
loaning on homes. In announcing it's
action the home loan board said it be-
lieved government aid in this direc-
ton was no longer necessary, thus in
ferentially at least saying that some
recovery had taken place.
The home loan agency is among
those placed under cabinet committee
control. 1t will begin Immediately to
shrink its organization, turning loose
eventually total of $4,000 workers.
The Reconstruction Finance corpor-
alton, another one Of the groups which
will be guided by cabinet committee
policy hereafter, has announced it will
not seek additional funds from the
forthcoming session of congress- Bor-
rowers who have been using that
agency will be accommodated further,
of course, in accordance with the
terms Of their obligations but the
whole tendency will be to cut down
on new loans.
And so it Is for the first time in the
current administration we are witness
ing shrinkage, rather than an expan-
sion, In governmental facilities set I'D
as part of the recovery program of
the New Dealers.
Along with the establishment of the
loan policy committee, there came an
order from the treas
May Export ury, bearing Mr..
Currency Roosevelt's approval,
which once again al
lows unrestricted exports of currency,
but not golN or silver metal. Hereto
fore it has been necessary for private
business to obtain a specific license
from the treasury before 1t could ship
currency abroad in settlement of OBJ
legations. This move is expected to
have far-reaching consequences because
1t lifts from business one of those an
noying red tape procedures to which
business always objects and a kind
of transaction that has never crept
into private business In any way.
Gold and silver, both having been
nationalized under the New Deal, must
stay in this country. Gold must stay
In the Golfers of the treasury. Never
theless, from many sources 1 hear ia
vorable comment on the relaxation of
the restrictions on movement of cur
rency because it is generally believed
the action will have a psychological
benefit. Many persons will feel that
If the government at Washington is
willing to permit shipment of curren-
cy abroad, there is no reason to fear
embarrassing situations as a matter
of dealing in currency. OF course, OBJ
viously, the confidence hitherto repos-
ing in our dollar by foreigners cannot
be fully restored as long as gold can
not be shipped but the present change
admittedly improves the situation. 1t
should be explained that the treasury
still keeps its fingers on the currency
movement and that it has the author
ity to slap on an embargo again when
ever 1t sees fit. This appears to be
unlikely, however, as long as interna-
tional trade retains anything like it's
present stability. Indeed, experts de-
clare that greater stability in interna-
tional trade ought to be one Of the re-
suits and the treasury is obviously
looking for that end to be served.
In some quarters the lifting of the
hon ~ o,.u~onnv a~No,4c ...n.