, 1935-09-29

BY Ray Tucker
kecovery<September was slight
w disappointing to New Deal eco
n0mists scanning the skies for signs
OF black pillows Of factory smoke.
nc maintained the momentum which
got under way IN late spring, all
INDEX figures revealing increased
activity. But IL did not skyrocket
as doped out by insiders.
There are some compensatlons.
however. While employment In the
non-durabe goods industries re-
NAMED stationary ut $40 possibly
q lit above that. the heavy indus
tries began 10 turn over, gaining
perhaps 4 on y points over the July
figure. Employment increases show
ed an increase in such key spots as
iron and steel, lumber. plumbers
supplies, farm implements. and
especially machine tools. The lat
ter industry, q peculiarly sensitive
barometer. was down 10 Y on the
chart In March Of 1888. Now It
stands ct about l27. which Is tops
since the best years OF the boom.
It hit 1876 In 1929.
Textiles and apparel for both
sexes kept on the climb. Improve
ment In all these fields indicate
that at last recovery is beginning
to take where IL counts. The
paralyzed giant OF private capital
may be waking up.
Lag-New Dealers knit their po-
gFtt~nf hwnure rvrp o,a lrawvhnok ~,
all this improvement. 1t warns Of
problems which may persist In
spite OF fairly substantial recovery.
Although industrial production
has increased by 1876 points In q
year, employment has jumped less
than 4 points in the same period,
and total payrolls by only rs. What
this means s that improved indus
trial efficiency permits fewer work.
ers 10 turn out a large volume OF
goods. Economists have guessed and
second-guessed at the extent OF
this situation, with its hint Of per-
manent relief rolls and expendi-
lures and taxes. but the charts
leave no room for guessing.
With 1923-le35 representing 100
except for whole prices. which are
based on the 1926 standard. the
following table tells how we're do
ing: First figures Industrial Pro-
duction: End. Factory Employment:
3rd. Factory Payrolls: 4th. Whole
sale Farm Prices: 5th- Cost OF Liv-
ing:
sept Ios4-7s0 7ss $50 7s.4 $40
Julv 1Q35-R60 7Q5 $50 IT'S 826
August lss5-s6O ST. 697 1913 $50
Sept. (est)
1885 s6.5 s21 TOO SOS ss.s
Quandary-Although his friends
doubt that Cordel Hull will try TO
return to the senate next year
there are practical difficulties
they have sensed that he has been
unhappy as secretary OF state. And
IL isn't only that he longs for the
life OF a legislator.
MI. Hull has been unable TO
bring any OF his pet policies to
fruition. Unsettled world conditions
have stymied him IN negotiating
reciprocal tariff treaties on a grand
scale. Except for Belgium, we have
got nowhere with the larger ma
tons. he can't take the preliminary
step to enlargement OF world trade
currency sterilization. Congress
paid no heed 70 his cautious words
against hastily written munitions
legislation. The swish or the big
stick as President Roosevelt cracked
down on Russia did not make a
pleasant sound In his ears.
With dictators boSsing a large
portion Of the globe, Mr.. Hull is
too much OF a gentleman to run
things In diplomatic dugout
Snarl - Mariner 6. Eccles Is q
brash young man. Although the
young Utah banker has not been
confirmed as chairman Of the
reorganized Federal Reserve board,
he Is tempting the anger of the
formidable Carter Glass. Before the
senator left Washington he limited
that Mr.. Eccles was on probation
and should watch his step.
Now the reserve governor has
dared 70 change completely the con-
tent OF the Federal Reserve bull
letin. He has transformed IL from a
factual document into an organ
expressing opinions and drawing
conclusions. IN the September isSre
he praises the new banking setup
as giving the central board more
power over the reserve system. He
apparently means 10 use every bit
or IL.
But Mr.. Glass insists that he
blocked Mr.. Eccles In his request
for more authority. The senator
warned that he would fight any
effort to tinker" with the reserve
system. You may hear a snarl from
the lower reaches of the Blue
Ridge. where Nj. Glass lives. one
OF these days.
Bright-The AAA-ers have quiet
ly built up a political machine
which disproves the old adage that
you can't organize the farmers in