The Waterbury Democrat., 1937-11-03

Slump ... Open Admin istration Capitalism
 Conflict Forecast {.
 President Loses Busi.
 ness Men Allies.
 Washington, Nov. 3 -- This lS another of those screwy periods in New Deal history when pun- dts solemnly ask each other and their readers whether Roosevelt Is going ito go to the right or to the left"
 When this question Is raised, nll veteran observers who are capable of learning by experience a,lto- matlcally lean back and predict with Q yawn that subsequent wig glinRs of the administration will veer toward the port rather than the starboard side,
 ! Hits Wan Street Foes
 Nevertheless, the degree of pros- sure from the so-called right proh- ably is heavier to tho square inch than at any previous time. It reach- cd unprecedented strength just be- fore the Presidents Federal Reserve dedication speech. But Roosevelt ignored desperate conservative pleas to give business various reOssur- Rnees.
 Lately the Federal Reserve Boards reduction 0f stock market
 margin requirements from 55 Co 60 per cent has been widely ln. terpreted As an administration concession Co Wall Street, It was, But the only reason for lt was the fact that Roosevelt and Chairman Eecles were especially anxious Co Impose . new 30 per cent margin requirement on short sales and made the reduction just Co make it appear that they were doing more than kicking Walt Street In the face. Net effect was A sock at RooseveltS real or fancied foes in Wall Street.
 Roosevelt intimatos who have seen him lately agree on two points:
 First, his well known gaiety, buoyNney, optimism, and eonfi- dcnce are as coSpicuouS aS over,
 Second, tho President believes that At least ono cause of the stock market decline, If not of the buSi- ness decline itself, was q delib. erAtely engineered plan by eer- tain groups intent on diserediting the administration,
 Some of his more conservative intlmatoS admit that this alarms them,
 Biames Business
 M must be remembered that New Deal theory, however vague it may be on some particulars, Is tn general aimed Nt keeping the capi- talistie system funetioning on Nll six, If that be possible, The President, you may be sure, be- tieveS that practically all business troubles arc brought upon Itself by business,
 Ile is convinced that rebellion by industry against New Deal laws, plus . certain amount of deliberate sabotage, has been e factor In the current slump, if blg business men had not pre- fcrred to defy the National Labor Relations act, he believes, indus. try would not have stocked up inventories at high prices last spring, lf business men were not so greedy In their demand for profit, he feels, they would have Fcfralncd from raising prices to what hc considers m almost dis. astrous extent,
 The New Deal idea S that bust. ness mon should be content with small unit profits and make their money out of volume. Meanwhile, Doctor Roosevelt figures that his Job Is to keep business frein wounding itself and eommiWins mayhem on the general welfare mad that if ono of his remedies doesn't work, another will,
 Double. Barreled Hatred
 coupled With JhB httitude k the fact that the "hate Roose- welt" attitude Of most business men has stirred up an increasing irritation in P, D, R. He's 0 "gootI hater" himself. It may or may not Do tough on the country, but the man who felt four years age that he could depend on co DOT cent of business to cooperate witl, his program now feels that he can depend on about 10 per cent and that tho rest of business Is SC selfish as to require federal mass tery.
 The state of the Presidents mind continues to be a most i'm. portant factor in the current situ. ation.
 (Copyright, 1887. NEA Service, Incl