The Skyland post. [volume] (West Jefferson, N.C.) 193?-1988, 1938-03-10

Mutt, High Commissioner to the
Philippine Islands, former Governor
of Indiana and former Command
er of the American Legion. Politi-
cal Washington takes the McNutt
boom seriously. It is being manag-
ed by Frank McT1ale, Democratic
National Committeeman of Indiana,
and is backed by Governor Town
send and the entire regular Dem
ocratic organization of the state A
McNutt campaign fund is being
raised by the "Hoosier Club" which
collects two percent of the salaries
of all Indiana Office holders.
What especially interests Wash
ington is that no sign of opposition
to the McNutt boom has come from
the White House or the Democratic
National Committee. This is inter-
preted in some quarters as indicat-
ing that the President does not seek
third term for himself and is con-
tent to let others scramble for the
ones out in front are his friends.
WONT right II. ~. II.
Gov. McNutt's supporters call him
'the first New Deal governor" and
declare that he will withdraw from
the race if Mr.. Roosevelt should de-
eide that he wants to run again.
The present plan is for Mr.. McNutt
to resign his Philippine post in Aug
ust and come back to the States to
start a speech-making and organic
ing campaign.
European affairs have taken the
japanese. situation out of the lime
light of political interest, at least
for the moment. 1t is no secret that
the shift of England's foreign poll
cy from one of almost defiance of
Italy to one of coalition and COM
promise has relieved the State De-
partment of a considerable amount
of worry. It is clear now that Eng
land is going to the limit to prevent
a European war, and that removes
the fear that this country might be
somehow involved in a conflict not
of our seeking.
The English reversal of policy,
moreover, has gone far to set at rest
the notion that any alliance with
England could be counted upon.
They have demonstrated again, it is
held here, that Britain will always
act for British interests first, and
calmly disregard the interests of
other nations, however friendly.
Wooing South America
Another phase of the European
mess, however, is causing consider
able concern; that is the growth of
Fascism in Europe with the immi-
nent possibility that Fascist trend
already noticeable in South Ameri-
ca may grow. With German and
Italian policies now controlling, or
about to control CzechosloWakiet
Austria, Hungary, Rumania and
the Balkan States, there will be a
powerful block of Fascist govern
ments occupying all of Central and
Eastern Europe, and capable of put
ting a powerful drive behind the
demand for colonial possessions in
to which to expand.
The flight of the six American
flying fortresses,". U. S. Army
bombing planes, to Peru and Agen-
tine is regarded here as a piece of
diplomatic STACEY designed to tie
the South American republics more
closely to the United States. It is
the State Departments policy to try
to build up an All-American united
front against Fascism, though
there are no official utterance on the
subject.
The situation in Brazil still gives
some of the State Department Off
Gals the filters. Both German. and
Italian influences are suspected of
being behind the recently pro
claimed Fascist form of government
in Brazil, while the number of both
German and Italian colonists settl-
ing in that and some other South
&1441CA 4C011 ID
Recovery Through Lending
The recent renewal of the Recon-
struction Finance Corporations Of
fer to lend money to businesses in
need of funds, is regarded as an
evidence that the Administrations
policy of spending money for
"pump-priming" is shifting toward
a policy of helping business recov-
cry by lending. The theory that free
spending by the Government results
in increased purchasing power is
bitterly opposed by the Treasury,
the Federal Housing Administration
and the r. F. c., among others.
Opponents of spending say that
money distributed in the form of
wages for w. P. A. work does not
work up from the bottom" to
create pools of capital, which must
~, <.v.oofol r. ovxx oroof r.oxyixyo1 II,