The Western news. [volume] (Libby, Mont.) 1933-current, 1935-12-26
SEEN and HEARD -
around the A@ N
NATIONAL CAPITALA< /
By Carter Field ~
rAMnuS WARRINGTON CORRESPONDENT
FAMOUS WASHINGTON CORRESPONDENT

Washington.-There Is more unanim-
lty-in private conversations among
both Democrats and Republicans. New
Dealers and reactionares-tha the
silver policy OF the United States gov
eminent Is weird than on any other
controversial subject. probably.
There Is not so much public crlti'
cism Of 1t. for various reasons, most.
ly concerning the electoral votes OF
certain strategic western states.
But the truth Is that no one ex-
plains 1t satisfactorily. probably be-
cause II Is rather difficult for anyone
to explain something he does not I'M
derstand, and the only two persons
credited with understanding the silver
policy are President Roosevelt and
Secretary OF the Treasury Morgenthau.
Neither OF them does any talking. If
one excerpts the occasional retort OF
Morgenthau that he Is still buying
/ silver" and Is carrying out the man
| dates OF the silver law
The most intelligent theory as to the
actions OF the administration runs
| something like this.
First, 1t was forced on the admins
tration. Had 1t not been accepted, the
probability is that congress would nave
rushed through some other Imitation
| measure. It Is not impossible that con
cress might have forced the use OF
printing press money to finance gov
ernmental needs, and pay the national
debt as many advocated.
Second, having accepted the silver
law. the Idea of tremendous profit
to the treasury developed In the minds
OF Roosevelt and Morgenthau. The,
had lust made a profit In gold for thu
treasury of something like two billion
eight hundred million dollars Incl
dentally six hundred million Is still II
the treasury, and two billion was con
verified Into the famous but mysteriou
equalization fund. about when. Tx
the silver policy. nobody knows any
thing except Roosevelt and Morgen
than. and they won't tell
Profit Looked Good
So the Idea OF making a prnnt 0
: silver OF about two billion, to be mad
: by buying and communicating si9e
, chean, and revalnlng It later-as col
3 was reyalued-at a much higher price
; was very appealing.
d Up to this point. as matter OF fac
there is no doubt about the precise q
8 cnracy OF what happened. Now come
o the more nebuous part.
@ Having conceived the Idea OF n-b
q profit, obviously the more cheaply s
q yer could be bought. the greater q
3 profit would be. So every now AT
then Morganthau would act as thonf
r the silver buying policy had been ana
!. doned. This always resulted III q
- price of silver falling. and from q
4 standpoint OF accommodating LOT
n silver at low price, everything "
IA snlendId. With the slight excepti
70 that the government has nearly alWa'
k since the policy started PAID mo
a for newly mined silver produced
this country than the world price.
But as result OF his clever stra
= gems 10 convince world silver holdt
o. that the price was not going 10
IL vance the world gradually came
RI the conclusion that the whole SLY
81 nrIce boosting objective OF this e
~ eminent Ind vanished. So the Wor
to believing the price OF silver Wonlh
\ MS soon MS the silver experimentaih
Of the United States were conclud
TX began to dump silver,
10 With the result that II the Uni
70. States tomorrow abandoned It's Wn
all silver policy (which It positively
,at nof) the result would be RAJ
-. hpayy loss to the treasury on Its sil
for operations To date
On Whereas, II Morgenthau had 9
in. nlied with the spirit OF the silver !
tho and kept up brave front OF fors
fa- the nrlce of silver up, the world VIC
Ids NOT he dumping silver now but n
iny lnc It for the alleged objective 4
hin toned In the silver iaw-sl.-s
ounce.
age Substitute for MIRA
leir 80.
70 President Roosevelt Is still
slrp WINGED thatllaass'is.sasl-oe : s 3,g !
for MIRA. Further, he IS still
an yitrced that an essential part OF