The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1934-12-19
Liberal Viewpoint
BY DIR. HARRY ELMER BARNES


lTHE New Deal is violently attacked from both
Il sides. Recently. Ralph Robey wrote burn
ing book entitled Roosevelt Versus Recovery"
perhaps the most vehement Tory assault on the
New Deal.
Now Benjamin Stoberg and Warren
vinton throw their hats into tie ring with an
article in the American Mercur5 on the New
+ Deal Versus Recovery" This analyses the New
4 Deal from the advanced progressive point of view
/ and is TO my mind, the most fundamental
/ criticism of the New Deal yet written, in the
same way that Louis Hackers Short History OF
/ the New Deal is the best historical summary
of the Roosevelt Administration yet contributed.
! 1 am as much prepared as ever to defend the
/ New Deal against the Tories Mr.. Roosevelt
still stands out like ST. George against the pirates
/ of the Old Guard. But, unfortunately, he seems
/ to me extremely vulnerable to attacks from the
! progressive angle.
Like Professor Hacker, Messrs. Stolberg and
Vinton find that THE One Big Happy Family
/ Theory on which the New Deal has been built
simply does not work in the terminal stages of
/ finance capitalism. Each important member OF
the family is at the throat of each of the others
The big industrialists elbow out the little fellow.
as the DarroW report whatever its other weak
nesses, made very apparent. Capital squeezes
labor, and the creditor class corners the farmers
and the lower middle class The Government has
tried to keep the peace by robbing Peter, who
is already broke, in order to pay Paul.
NTESSRS. STOLBERG and Vinton point out
Iva that the basis for the depression and our
present troubles is that same hogging of the So
cial income by the few which the income sta
tistics of 1888 reveal to be still going on in spite
of the alleged crusade to save the forgotten man
THE depression was Matched during pros
perity. Our present ills are hangover from the
q t.
ownership increase its income by leaps and
bounds The top 100000, who in 1929 reported
incomes of over $4,000, had increased their
revenues by 1856 per cent; the top 10000 by
1895 per cent the top 1000 by 2O75 per cent.
And the 400 real rulers of America increased
their incomes by 2345 per cent in these six years.
The bigger the ownership the better it did,"
During this same period the working classes
increased their real earnings by only 40 per
cent. The farmers we're actually getting less in
1929 than they we're in 1923. In other words,
during prosperity the national income was being
grossly acknowledgement" The result
The crash of 1929 and the subsequent futile
efforts to bolster up those who we're responsible
without making them pay the penalty for their
exploitive policies and their evil deeds.
NIR ROOSEVELT made his great mistake by
LA not Matchmaking the banking system when
he had the God-given opportunity early in
March, 1888 There is little doubt that in those
crucial days the New Deal could have national
lied our banking system During that week Mr.
Roosevelt was God"
Had Mr.. Roosevelt done this, then there
/ mioht have been a real New Deal in which the
Government could actually have taken charge
instead of disSipating its efforts and resources
in the effort to salvage a Shaky credit system
which had already been Quilted by its own malice
and indebtedness.
The farmers have Jared best under the New
Deal but though they have saved their homes
and farms for the time being they are still sad
died with the mortgages and debts which most
Of them can never pay. The Government has
secured the mortgage holders more handsomely
than even banks regard as necessary. Moreover,
the higher prices that the farmer has to pay for
the goods he buys have eaten up most of the
advantage coming from higher farm prices and
Government bountieS.
Capital has away with the NFA and sue
ceSsfully def1ed Section IA, as vel as debating
the codes under which it operates. While I'M
employment and relief have steadily mounted
during the last year. dividends increased Is per
cent between June and November of the present
year They seem to be the only item which is
getting out of the depression.
THE New Deal accepted the American Fed
a Grafton of Labor as the proper spokesman
for labor, and Mr. Green boosted when Section
IA was passed that he would organize Is million
workers. But he did exactly what might have
been expected of him, essentially nothing. To-
day, the American Federation of Labor has only
2,824,000 dues paying members and its tota.
membership is just about 100000. In the mean |
time, company unions have grown twice as rap
idly as real labor unions
The middle class, vast but diversified and I'M
organized is hopeleSsly squeezed between Big /
Ownership above and the workers below.
Sooner or later the New Deal must make its
decision as to whether it is going to serve the
upper class or the maSSes-the manipulation
versus the forgotten man. Perhaps it has already
done so.