Red Lodge daily news combined with Carbon County news., 1936-03-18
New Deal Sill
Blows VS. 8 for 81
Deficit Looms Bigger Than
Ever; Civil Service Is
Put on Skids.
WASHINGTON, D. c. =


Having entered its fourth year
of administration March 4 Pres
ident Roosevelt's New Deal is
still spending two dollars for
every dollar it takes in. Federal
receipts for the 1886 fiscal year
to Feb. 20 were $2,34S,2S1 700, while
expenditures stood at $4,75S, S,6S6,3S1
This .two-for-One spending pro,
crosses despite the fact that the
President said, in his first annual
budget message, that the nation
should plan for balanced budget
which in simple terms means spend
ing no more money than you take
in-during the third year Of re,
coyery," which is the 1885 fiscal year.
Now all indications are that the
1896 deficit will be surpassed by the
deficit in the 1887 budget, which has
been estimated to be more than
$4.0Oo.OOO,OOO.
New Deal Spends 10 Billion:
Since he was inaugurated on March
4, 1888, the President has spent $19,-
000,000,000, of which $1O,000,000,000
was for purposes other than the
ordinary running expenses Of the
government. A further expenditure
of more than $5,OOO,O0O,OOO is pro-
.Vided for.
Most of the spending outside Or
binary expenditures was for the
purpose of "priming the pump"
pouring Federal money out of the
taxpayers pocket on the theory that
business, once stimulated by the ar
tifcial purchasing power created,
would "pick up" of its own accord
and put the idle millions back to
work. After three years, with
money still rolling out of the treas
ury in billions for relief and made
work" (boondoggling), the Ameri-
can Federation of Labor, through
its president, William Green, esti-
mates that at the end of January
there were still 12,626,00O workers
unemployed. The increase in unem-
ployment of 1,2290OO from Decem-
ber to January was the largest such
increase in five years.
As three years of the New Deal
came to an end the National debt
had reached a total of about $32,-
OO0, 0,000,0 600, a new high for all time.
And an excellent prospect for the
near future was debt of 35 to 40
billions Of dollars. This would be
debt of $1,1OO to $1,260 for every
family in the United States, prior
lien on everything each family earns
and first mortgage on everything
it owns.
Fifty Bureaus Created.
In its effort to spend it's way back
into national prosperity, the New
Deal has in three years introduced
novel and contradictory methods. 1t
has spent $S,OOO,OOO,OOO for relief.
1t has set up fifty new agencies
(mostly alphabetical bureaus) which
have created hundreds of thousands
of administrative" laws-rules of
executive order in which the exec
utiVe branch of the government is
both judge and jury, may fine or
imprison the citizen without his re-
course to the courts, and may tell
him what to do with his property.
In the operation Of these bdreaus.
the New Deal has added 25O,OOO full
time federal employees, less than
in 100 of them being required to
pass civil service examinations. The
civil service in three years has de-
clined from 81 per cent Of all fed
eral employees to 81 per cent.
Three years have seen the crop
curtailment. program Of AAA, COM
bined with the drouth and New. Deal |
free trade policies, produce the enfg- |
matte condition Of imports Of for
efgn farm products stealing the In
ternal market away from the Amer
lean farmer at rapidly increasing |
rate. Imports of grains, bacon, |
hams, pork, beef, animal and vege.
table oils have multiplied, until in |
1885 farm products worth more
than $1,S00,OOO,OOO at current |
prices were imported to enrich the
'armers Of other countries.
Roosevelt monetary policies caused
The dollar to be devalued 20 Der
,ent in gold content, with the result
hat on the basis of gold the farm
er sold his products at prices Is per
:ent less than in 1882.
Despite the fact that in his bud
get message at the start of the year,
Roosevelt said that no new taxes
would be required, the New Deal's
new farm program, new relief ex-
,enditures and other costs made it
lpparent that 81, SOC, 100000 or more
n new taxes would be required.
-------
fresh Taxes