Evening star. [volume] (Washington, D.C.) 1854-1972, 1935-03-03
S|LVER|TES GAIN
"0PEN|NG WEDGE"
Somers Plans Bill to Ban
Expectation and Will Start
Hearings Soon.
~ the Associated Press.

8y the Associated Press.
Congressional silverites gained
significant opening wedge yesterday
in their annual imitation drive, de-
spite insistence from high admins
tration sources that no new monetary
legislation be enacted at this session.
Chairman Somers Of the House
Coinage Committee disclosed that he
was preparing bill to forbid the ex-
portation of either gold or silver and
would start hearings promptly on the
measure.
Frankly" he said, 81 am dissatis-
fled with the results of our last none
tary characterization of the gold
dollar and the silver purchase plan.
I'VE expected great things from
both of those laws. But, for some
reason, they have not produced the
expected results. Before we do any
thing further, We should call in the
country's outstanding monetary ex-
perts and get their reactions.
Increase of Prices.
1--WE are informed that cutting the
value of the dollar and instituting the
system of buying silver would increase
prices. Prices have gone up some,
but not as much as We anticipated.
There must be some reason, and
we should find it out"
He explained that he was not
finally sold on the idea Of declaring
an embargo against gold and silver
exports, but that the bill would give
his committee an opportunity to cover
the whole monetary field and decide
whether additional laws should be
enacted.
At present, gold exports are per-
mitted only for few purposes, such
as the settlement Of international
trade balances. Somers' proposal
would have the effect of putting the
United States, internationally, on a
purely managed currency basis, since
currency would have to be used in
stead Of metals for the settlement Of
international balances.
Leading House silver advocates were
not enthusiastic about the export en-
barge idea, but they did approve the
calling Of hearings.
"Going Some Place."
Representative Dies, Democrat, Of
Texas, coauthor of the silver pur-
chase act, said that means we are
going some place"
He added that arrangements had
about been completed for a meeting
''of les House members" this week in
an attempt to get an agreement to
work for legislation authorizing the
Government to buy silver from any
source at S129 an ounce against its
present market value of 50-odd cents.
That" Dies said, would increase
the purchasing power of big portion
OF the world because it would let the
silver countries get more dollar for
their silver and therefore buy more
American goods"
The silver purchase act, he added,
had brought some increase but not
enough.
Somers had not yet drawn up his
witness list, but said he expected to
try to get such persons as Irving
Fisher and Edwin Kemmerer. Treas
ury actuaries and experts, he added,
should be allowed to explain what had
been accomplished and why results
had not been greater.
Other House members understood
that there had been no change in
the administrations attitude toward
monetary legislation. Secretary Nor
genthau has said he was working on
l.
other high administration sources was
that no direct monetary legislation
would be looked upon with favor.