, 1935-06-10
WASHINGTON
Nv Raw Tucker

"htMMMNN
BY Ray Tucker
Planned-The administration and
Big Business face each other like
two kids who can't make up their
minds whether to fight or be
friends. Mr.. Roosevelt has de-
hberately stepped down from the
New Deal cab. He has invited pri-
Nate industry to take the throttle.
That 10 the meaning OF the on
fusing maneuvers at Washington.
Dan Roper's Business Advisory
Council has split wide open In the
face Of this presidential def. Some
want to stoke up the prosperity
special" in a big way and shunt
the Roosevelt train off the track
Tor good. They are begging their
colleagues 70 seize this opportunity
&c discredit NRA. They urge use Of
cash reserves TO stimulate produc-
ton and employment-even If II
means temporary losses.
But politics and economics clasis
here. Anti-Roosevelt factions fear
that he has outmaneuvered them
that he stands TO win either way.
Recovery without the NRA may
prove their point. The voters may
not be interested In academic argu-
ments II good times return. Should
NRA-leSs efforts fail. Mr.. Roosevelt
will be quick to chortle: Il told you
SC" Back to the Blue Eaglel
e
Irritant- The president neatly
anticipated this dilemma. In fact.
he welcomes 1t as an escape from
his present p~redicament. Privately
and publicly he has said. in effect.
that big business Is now on tAal
He Is willing TO "let 1t stew In its
own Juice" as n adviser puts II.
Mr.. Roosevelt shifted strategy
suddenly. At first he decided 10
champion the people against the
supreme court. IL seemed like a
popular and dramatic issue. Then
he beat a retreat which amazed
some New Dealers. He complied
scrupulously with the letter Of
supreme court law. He bowed him
self out, and handed the baton TO
the NRA's critics-temporarily.
Other considerations directed the
apparent retreat, though the White
House does not emphasize them.
Wall Street reacted bearishly to his
call for a crusade against horse
and buggy" dicta. Even democratic
politicians sold short on Capitol
Hill. Official PRONUNCIATION Of the
cooes' death was not handled TO
White House satisfaction. 1t irri-
tated officialdom.
CounseI-Behind the scenes there
has occurred a revision OF the New
Deal cast which may be more i'm
portant than the drama on the
Stage. In mapping his future moves
Mr.. Roosevelt has turned from the
radicals" TO the conservatives in
his official family. Although he has
not entirely abandoned the theorists
he has temporarily dropped their
theories and technique.
Those two NRA feudists-Don
Richberg and Hugh JohnSon-agree
Tor once. They want the president
10 rush through another NRA meas
ure as II the supreme court had not
held I'D a red light Of warning
Prof. Felix Frankfurther OF Har-
ward advised him TO 90 ahead as If
nothing had happened 10 jolt him
cut of his tracks.
But his cabinet advisers. who
cont relish these outside volunteers.
rebelled. Attorney General Cum
mings and Solicitor General Stan
lev Reed advanced legal and po-
litical realities. Secretary Morgen-
than also bespoke caution. The
stop-look- and listen boys are now
IN high humor and standing.
Leaning New Deal economists
barely stifled a groan when Mr..
Roosevelt minimized application OF
NRA codes to government contracts,
grants and loans. What Shocked
them was his estimate that federal
expenditures for supplies amounted
TO only l per cent OF the annual
volume Of production.
Republicans will seize on this
admission. For two years the ad-
ministration has contended that
these expenditures OF billions we're
designed to prime the recovery
pump." They we're justified on no
ether basis. The federal govern
nent was supposed 70 be spending
its way to general industrial &C
tivity. But l per cent. 1t is contend
ed won't take us very far toward
good times.
II NAV be a mistake TO leap on
this estimate. however. The presi-
dent Is given TO underestimate. He
predicted a treasury deficit for the
ie34-35 fiscal years Of $2.OO0OOOOOl
o than the actual figure that
will show on the books at the end
OF this month.
FIuid-Washington looks for Don
Richberg to Join the growing legion
OF RooSevelt's forgotten men" IL
now numbers such luminaries as
Dean Acheson. Lewis Douglas,
prof. Rogers. Prof. Warren. Hugh
johnson, Adolf Berle and Jimmie
Moffett. But the fall of the Chicago
lawyer is the most flaming OF all
the New Deal descents. SO Is the