Henderson daily dispatch., 1937-07-16

items. The compilation of this measur-
ing-stick of business has cost me
many hundred thousands of dollars.
Ihls chart has a normal line repre-
sentlng the growth OF the country
point. In view of the extraordinarily
long depression area through which
we have just passed, I believe that
the new prosperity area is good for
years to come. Money is exceptionally
cheap, a big housing shortage exists,
and several new industries are on the
point OF becoming big businesses.
What About Politics?
Many readers will say: "Your sta
tistics do not prevent Roosevelt from
killing the goose which has just again
started to lay few golden eggs" NY
answer to this is that the President
cannot now afford to do so. He wants
this country to enjoy good business
more than you or l. or any one else.
The Democratic party can remain in
power only so long as business re-
mains good. The President has tried
various quack schemes from the MIRA
to cornering the gold market. He sees
that all these have failed.
Mr.. Roosevelt has now come to the
conclusion that the best way to have
good business and reduce unemploy-
ment is to let business make all the
money it reasonably can and then
make it distribute the money through
greater taxes, higher wages, and es-
pecially enforced dividend payments
This is now the official Administra-
ton program. 1t may not appeal to
wealthy people. It may keep them
from buying stocks, forcin gthem to
ouy non-taxable bonds. This program.
however, should greatly benefit the
great mass of newspaper readers. It
means that you can buy stocks in
good companies and be sure of good
dividends, and yet not have the in
come taken away from you by high
income taxes.
Balancing The Budget.
During his first administration.
President Roosevelt was not interest
ed in balancing the budget. He was
willing to have the government go
deeply into debt, believing that this
excess debt could be paid off during
the next period Of prosperity. Now
this time has come for paying off
the debt. Only one way exists for do
ing so and that is with increased Fed
eral taxes. Federal taxes come onlv
from imports, sales, profits and in
comes. To get taxes from these sour
ces, business must be good. The ad-
mlnistratiOn's whole Financial pro-
gram will collapse unless we have
prosperity from now on. The Presi-
dents future depends solely thereon.
Another decline now means death to
the Democrats.
why, then, does not the President
stop these strikes?" you ask. Prob
ably one reason is that he owes some
thing to Lewis and is, perhaps, afraid
OF him. Another reason is that the
President honestly thinks higher
wages will mean more purchasing
power and ultimately result in better
business. Moreover, in this he may be
right. The main reason for his appar-
ent inaction is that business, stock
prices, and especially steel output
were increasing too fast during the
winter. Some check was needed. Al
Though the President has ten@por-
arily hurt business by flirting with
the CLIO, he is extending the pros
perity area by so doing. Good times
will now last longer than if business
were allowed to hum along as it was
doing earlier in the year.
Is Europe a Menace?
Some of you pessimists will say
that another World War is liable to
start at any time in Europe, or in the
Far East. do not say that such
war will not come some time. But I
am sure it will not come this year.
There can be no general war so long
as England and France continue their
present policies. Japan would like to
unite with Germany and fight Rus
STA, but neither can afford to do so
just yet. Mussolini is making a lot
of noise; but so does any animal
when out on a limb. Some say Eng
land is cowardly; but let me tell you
she is very, very wise. When in doubt,
follow the English. Englishmen are
now buying American stocks.
Only three men are threatening
the peace of Europe today, viz, Hitler,
Stain, and Mussolini. Reliable and
confidential information has convinc-
ed England that sooner or later one
or more of these dictators will die or
see his crazy dictatorship blow up.
This means that England need only
to wait and let the people OF these
countries eliminate the present dan
ger. In the meantime, England is
working day and night to rearm and
again become the worlds greatest
power. Anyhow, am going to Eng
land in September, and will then send
x,o,, cnroo f;rc+ hand information from
there. In the meantime, do not let any
one get away from you stocks OF gooo
American companies not handicapped
by big bond issues or heavy cumuia-
tive preferred issues.