The midland journal. (Rising Sun, Md.) 1885-1947, 1934-08-17
by William Bruckart

crossed as to success of the deposit
insurance plan. They look upon it as
placing a premium on unsound bank
ing. I think no one can doubt the
psychology of this guarantee in cases
where bank managers really desire to
be crooked. They can feel obviously
that their depositors will be protect
ed for the most part and If they
"bleed" their bank the wrath of the
bulk of the citizens in a community
will be dissipated obviously by prompt
repayment of their deposits from the
federal corporation. These observers
contend further that the federal law
has not had an opportunity for a real
test. 1t Is their thought that period
of five years or more will be required
to gain an idea Of how the machinery
Is going to function. It Is to be noted
that there has been no assessment
levied on the banks which are MEM
bers Of the pool thus far beyond the
original cash contribution for the
membership purchase. The test will
come, therefore, when the $400, 100000
fund has been exhausted and the
banks which are members of the pool
must again dig up funds to replenish
the larder.
Senator Gerald P. Nye of North
Dakota, Republican Independent, is
on record with the
Nye Predicts prediction that
Neuu Party new political party
is bound to come,
and that he believes it is now gaining
rapid Roadway. The senator was not
quite specific in his declaration. how
ever, because he gave the impression
that he recognizes many of the prob
lens confronting organization of q
third party. He has SHE'D away from
campaigning for Republican regulars
seeking senatorial seats this fall and
to that extent has definitely put HIM
self in the position to be active in any
third party movement.
The thing which Senator Nye and
other independents on the Republican
side are lodging is President Roose-
velt's direct action in drawing from
liberal members of both Republican
and Democratic utilization. 1t is re-
garded by political students here as
quite obvious that only a few of the
Republican Independents ever will
stay put in a party organized as they
believe Mr. Roosevelt to be organizing
new party. 1t is the old story of
new party ambitions existing in too
many spots. They exist among Re
publicans now in the North and the
Northwest and in some sections of the
Middle West, and they exist among the
radical wing of the Democratic party
in some sections of the South and in
most parts of the Middle West. But
as far as washington information goes
there are few points upon which
these various groups are yet able to
agree.
Old line Republicans and the con-
sentative wing of the Democratic
party are paying little attention, how
ever, to the threats of party defec-
ton. Those with whom have talked
apparently rely on history as the basis
for the conclusion that the current
political uprising will die down in due
time.
Many deficiency experts" are ap-
pearing in the New Deal governmental
agencies a n d tn e
Federal CIerksheads of clerks are
Lose Jobs beginning to fall.
The process of sep
arating workers from the federal pay
roll always is a difficult proposition
and so the efficiency experts are NOV
ing very slowly. But authentic re-
ports indicate there will be sharp
reduction in the government payroll
shortly after election. 1t seems pos
sible that a few will join the ranks Of
the unemployed even before election
but the number is likely to be incon-
sequential according to the informa-
ton have obtained.
The appearance of the efficiency
boys, however, has started many
Washington correspondents on the
trail of something deeper. While none
Of them, as far as know, have been
able to learn definite and irrefutable
information as to plans. there Is no
doubt in their minds that the payroll
reduction presages something in the
way of tax legislation in the next
congress. How far twill go or what
new taxation methods may result. 1t is
of course, too early to tell.
One Of the best proofs of this Is the
recent statement by Senator Carter
Glass, the Virginia Democrat who so
long has been an outstanding figure in
the senate ON financial questions.
Senator Glass said in speech, and
said 1t with emphasis. that there is
a pay day coming" He amplified his
remark only to the extent of saying
that the tremendous rate of spending
eventually has to be checked and that
If the credit of the federal government
is to be maintained. provision for re-
I