Evening star., 1937-08-03
ROOSEVELT HITS
RIGID CURRENCY
Opposes Thomas Plan to
Stabilize Value of
Dollar.
BY the Associated Press

0s 1h'EoN-o 4
President Roosevelt, in a letter to
Senator Thomas, Democrat, of Okla
homa, made public today, said: 1T
would be dangerous to adjust ourselves
to any rigid pattern" in seeking to
stabilize the value of the dollar.
Mr.. Roosevelt referred to "the COM
plexity of the rapidly shifting inter-
national scene at present in raising
objections to Thomas proposal to
create sliding scale of values bv
altering the dollars theoretical gold
content.
Thomas made public the Presidents
views at Senate hearing on his bill.
Mr.. Roosevelt wrote:
Il am in complete sympathy with
your objective with respect to the
elimination of unnecessary fluctuations
in the value of the dollar. The United
States is still seeking the kind of
dollar which a generation hence will
have the same purchasing power as the
value we hope to attain in the near
future
's" -VASkhONS
i am sure that you also agree with
me that stabilization of the value of
the dollar will be attained not merely
by monetary means and devices
though these are necessary-but much
more by the achievement OF balanced
and orderly recovery throughout the
whole economy and by its maintenance
once achieved.
However, in view of the complexity
OF the rapidly shifting international
scene at present. it would be dangerous
to adjust ourselves to any rigid pattern.
1t is doubtful whether procedure on
the lines you suggest will be rewarded
with that measure of success which We
could justly expect were the interna-
tlonal situation to have undergone
clarification
For that reason, I believe that to
commit ourselves definitely at this time
to formalized course of action might
we'll be premature and might, there
fore even do more harm than good
both at home and abroad.
You may rest assured that we are
watching all developments in the
monetary sphere with view to making
any timely contribution We can.
The monetary understanding
reached last September first with Eng
land and France and then with a
number Of other countries, was rightly
interpreted as being a great step for
ward in the attainment of the external
stabilization of the dollar as we'll as in
the promotion Of international CO.
operation"
Bridges Seeks Repeal.
simultaneously, Senator Bridges,
Republican,, of New Hampshire, pro-
posed legislation to repeal that part
of the Presidents monetary power
which would permit him to issue paper
currency up to 100000 100000
In a statement commenting on his
bill, Bridges said this provision "au-
thorizing the President to direct the
issue of unsecured United States notes
(greenbacks) disregards the simplest
monetary lessons of the world"
Although the power to issue these
green backs has yet to be exercised,
the law is unSound and should be
taken off the books Bridges asserted
The issue of such paper currency
would severely injure the wage Garner,
the salaried man, the savings bank
depositor, the owners of life insurance
policies and those living on fixed in
comes from investment not only In
bonds but in rents"
The President has so repeatedly
proclaimed his intention to balance
the budget" Bridges added. that he
should be the last to object to the
elimination Of this dangerous pro-
vision and It's constant threat to the
wage earners and their savings"