Evening star., 1935-11-29
BUSINESS FACTS
DENIED ROOSEVELT
Data Heretofore Freely
Furnished Administration
Is Declared Misused.
BY DAVID LAWRENCE.

iStration good deal Of concern. 1t
Is the growing unwillingness Of manu-
featuring companies and businesses of
various kinds to cooperate with the
Government IN furnishing much of
the statistical data that has been sup
piled Voluntarily for the last decade
or more.
These officials are reluctant to ex-
press opinions as to the reasons for
the coldness that has developed, but
1t is undoubtedly due to the hostile
attitude Of the Roosevelt administra-
ton toward business IN the last two
years and to the misuse by the Gov
eminent bureaus Of information given
them in confidence.
In one instance, data furnished
gladly in, response to questionnaires on
labor problem was compiled and
converted into an argument against
employers. In another instance, flg-
ures given for one purpose were turned
over to other agencies that are alleged
to have used them to the disadvantage
of those who had supplied the in
formation.
Whatever the reasons, the fact re-
mains that the multitude OF question:
naires are not getting for the New
Deal the Information desired in order
to understand current economic con-
dttions. This is all the more re-
grettable because the original purpose
in gathering most Of the statistics was
to aid business itself In understanding
its own problems.
Laws Could Be Passed.
It is possible, Of course, for laws
to be passed requiring the necessary
data for Government surveys of vari-
Gus kinds, but this is the kind of
statute that can be knocked out in
the courts rather easily If the expense
Of supplying the material can be
proved to be unreasonable and in the
nature Of an arbitrary tax on admin
istrative expenses.
It would be most unfortunate II the
present lack OF understanding between
Government and business were to de-
velop more intensively as time goes
on. The root of the trouble Is in the
inconsistencies in Government policy
and in the message and the acts Of
the President in announcing last Sum-
mer his intention to wage war on what
he believes to be large and unwieldy
units in business.
When, for example, 1t Is known
that the President Is on the war
path against bigness as such, it is not
likely that businesses will wish to put
into the hands Of the Government
ammunition with which to have a
barrage against itself laid down by
the New Deal. The multiplicity Of
queStionaires. too, has created bad
impression. Business men have for
years been anxious to answer questions
that could be helpful, but some of the
recent questionaires they have received
carry in them spirit of accusation
and an impression that the Govern
ment is on fishing expedition.
Bitterness Accentuated.
The attitude Of congressional COM
mittees, too, has accentuated the Bit
terness that exists today among busi-
ness men with respect to voluntary
cooperation with the Government. At
a time when business is straining every
nerve to build up a reserve to take
care Of future hazards, industry is
being loaded by Congress with pay roll
taxes that grow progressively each year
At time also when business is strug-
Cling to find ways to increase its out
put. which means more work for the
unemployed, restrictive measures on
the getting Of new capital are not
removed
Notwithstanding all the talk about
how well the securities and Exchange
Commission has functioned, q look at
the current figures will reveal that an
insignificant amount of money Is being
made available for new capital and
that all the financial operations in
the capital markets today are either
borrowings by Government or refund
ing Of existing private debt.
Declared Unhealthy Spirit.
The spirit that exists between the
administration and the business world
Is positively unhealthy and consti-
tuteS a bar to sound recovery. For
If the sword Of Damocles is to hang
over the heads Of business men who
otherwise would venture to borrow
long-term money and thus make work
for millions now idle, there is bound
to be in 1896 lag in the recovery
process.
The disposition of some people in
side the administration-thes so-called
conservatives-is to recognize these
facts and urge Mr.. Roosevelt to ac-
cept orthodox philosophy in economies
for the coming campaign year anyway.
The argument made by opponents,
however, is that, once reelected, Mr..
Roosevelt will set sail on o radical
course once more.
The other side of this, however, is
that, If business can establish a good
pace in 1885, the basis for sound re-
covery will be laid. Before next year
is over, too, some more decisions from
the Supreme Court upholding consti-
tutional principles Of the past may
be expected. And 1t is not to be for
gotten that the unanimous decision
Of the Supreme Court in the Schech-
ter case last May did more to bring
on the present stage of recuperation
than anything that happened In the
year 1885.