Show Panacea Offered Business Ills by Economists' Economists Plan Leading Experts of Country Country Country Coun Coun- try Agree on Program to Restore Values B By CLAUDE i A. A JAGGER Copyright 1932 Press by the Associated NEW YORK Jan 16 A 16 A group of the leading economists of the United States Stales after two months of Interchange interchange inter Inter- inter inter-I change of or opinion have agreed upon a program of economic action which I they believe should revivify business II restore values increase employment and strengthen banks I Warren M. M sons Persons Person prominent economist in an exclusive excusive interview with wih the Associated Press today said taid the program has ha been indorsed by trade associations congressmen government government government gov gov- economists farm rm organizations organizations lons and prominent individuals individuals Its ls' ls success he said depended upon wide widel cooperation of important interests particularly industrialists and bankers bankers bankers bank bank- ers and that it i seemed assured Their program is i relatively simple and Dr Persons explained represents represents represents the least leas common denominator I of effective platforms upon which agreement seemed possible FOUR CONCLUSIONS They start out from these four general general general gen gen- eral conclusions I 1 Though some important adJustments adjustments adjustments adjust adJust- ments of various elements clement of cost and overhead remain remal to be made the general gen gen- eral cral contraction of credit and dc deflation deflation tion ton of prices pries have gone far enough have substantial sub sub- 2 The United States can business recovery without waiting for a solution of Europe's dif dl- dl dif dif- 3 Recovery is I possible on a sound money basis without recourse to monetary monetary monetary mon mon- panaceas but but but- 4 The depression will not cure itself itsel and requires prompt i intelligent intelligent intelli intelli- el- el gent and vigorous action acton Then the economists recommend nd the te four following steps l I 1 The Te enactment of the bill bi establishing establishing lishing the reconstruction finance corporation corporation cor cor- or-I or to deal dell more effectively with emergency situation 2 Proper economy in municipal state and national budgets and increased increased in in- creased taxation 3 A liberal federal reserve policy designed to check credit credi contraction and ad encourage some expansion 4 4 A commercial banking policy cooperating with wih the reserve banks in checking credit decreases and ad encouraging encouraging encouraging aging increases including a n an Increase in increase increase In- In crease in sound investments b co cooperation cooperation co- co opera operation tion in aiding necessary treasury treasury treas treas- ury financing Cc c borrowing treaS I from federal reserve banks when necessary necessary necessary sary to meet these and other sound needs POLICIES SOUND They express the conviction that prosecution of these policies is sound involves no important risks and should exert exer powerful pressure presure to toward to- to tOl ward sard these four ends I 1 Stopping the downward trend of prices 2 Returning hoarded money to the banks I 3 Restoring the normal value of I 1 securities 4 Starting the beginning of busIness business business busi busI- ness recovery Economists and ad others in the action acton taken Dr Persons explained freely offer ofer their services in a nonpartisan and disinterested movement to defeat further economic suffering and destruction destruction destruction de de- de- de but other interests particularly industrialists and bankers must be relied upon to make any program effective The program he said was not drawn up to advance any private I interest of members of or the group other than as private interests interest may maybe maybe be served by general business I ery cry Dr Persons consulting economist and former professor of or economics economic a at Harvard is chairman of ot the group FIRST PROBLEM The first problem he explaIned was to ascertain if i there was a soun sound economic program which could be b expected to work and the second waso was wa wasso wasso so to develop It that a representative group of leading economists of th the United States could jointly indorse i iThe it It The third problem was to obtain th the support of or all al interests in i the country necessary to make mae the program tive tive The first frt two problems ar are solved and the third is in rapid process process proc proc- ess of or solution United on a sound program w we can and will wi defeat the forces of deflation de de- de- de lation divided we shall ourselves b be defeated and impoverished and ou our gold standard Imperiled It is for u us to o decide whether in 1932 enlightened cooperative action Is to replace unenlightened lightened individualistic action whether business expansion is to re replace replace replace re- re place contraction and whether th the wages of or employed labor are to b be resumed or substituted for doles to unemployed unemployed The economic group Is as yet in incomplete incomplete incomplete in- in complete as Dr Persons said he is js receiving further Indorsements indorsement bunow but bu now includes PLAN INDORSED Professor Profesor T. T S. S Adams of oC Yale member of the fiscal committee of the league eague of nations Professor E. E L. L Bogart Bo- Bo gart art University of Illinois retiring president resident of the American Amerian Economics association Professor T. T N. N Carver Harvard president of American Economic Economic Economic Eco Eco- association Professor J. J M M. Clark Columbia Professor John R. R R Commons Commons University of Wisconsin Professor John Joh H H. Cover University of f Chicago Victor Clark consultant in n economics Library of Congress former forer editor of Living A Age e Professor Profesor sor or J. J S. S Davis director food foo institute tute Stanford Professor Profesor Carroll Carrol W. W Doten Massachusetts Institute of Technology E. E Dana Durand former director of the U U. S. S census Profesor Professor Profesor sor or J. J T. T Ebersole Harvard graduate school chool o of business formerly economIst economist economist mist U. U S. S treasury department Professor Professor Pro- Pro fessor Irving Fisher Yale David FrIda FrI FrI- da day ay Washington economist Professor Jacob acob H. H Hollander Holander Johns Hopkins university Virgil Virgi Jordan economist economist McGraw McGraw-Hi McGraw Hill publications Professor Edwin W. W Kemmerer Princeton monetary consultant to several governments gov- gov Max O. O statistician interstate commerce commission Professor larr Harry E. E Miller Mier Brown unIversity university unI- unI Professor Harold L L. L Reed Cornel Cornell Father John Joh A. A Ryan Catho- Catho tic lc ic university Washington Professor T. T Leo University sity of or lf h- h can sian Walter Walet New I York university Professor Profesor Walter E. E E Willcox Cornell Cornel vice president I lash Institute U. U tute tate de Other economists indorsing the program program pro pro- pro gram gam Include Edwin R. R R A A Seligman emeritus professor of political economy econ om omy Columbia William Wilam A A. 1 economist Metropolitan Life Insurance Insurance ance company W. W R. R I Ingalls Ingals director American Amerian Bureau o of Metal Statistics Professor Paul H. H Douglas University of or Chicago Frederic Bennett Bennet Tucker Athony Anthony Co |