Show r WARNS Af S AGAINST ST l OUR SWOLLEN VOLLEN CURRENCY Congressman Luco of Massachusetts speaking in House Thursday warned members of oC imperative need of strict strIct est cst ct economy In vI view 0 of oC dangerous financial situation He lie le pointed out that that dally daily statement treasury reports 3 3 of oC federal reserve notes in jim circulation against which is only II 11 6 in gold sold and lawful money leaving leaving balance of or se secured secured secured se- se cured by commercial paper This This ho he declared to bo be fiat flat money and in fn lat last six months months it has S ha been beon Increased b by an nn average of a month month To this he said Is duo due tho the continued continued con con- ris rise in prices Not on only has currency swollen but also that which does the tho work of money bank deposits Tho The comptroller reports their thel increase by nearly in fn two months All AhI l this means moans the use of oC sr gr great at amounts for speculative purposes LI Like e conditions condi condl tons have preceded every great commercial com com- mercial crisis unbridled crisis luxury extravagance ex cx- tra on e cr every hand with wIh laton lation Tho The government can apply but butone butone butone one remedy that of raising raisinS the discount rate This has begun and should bi bt carried further urther |