Show INSIDE STUFF E t Politics and Finance Copyright McClure Newspaper Syndicate te v v- WASHINGTON By B Paul 1 Mallon lallon The governments government's own private business chart shows why Mr Roose Roose- a controlled inflation now During During- April business was in technical position as last las September Production was tras momentarily behind consumption This lifted prices a a little Seeing the increase dealers started to lay in stocks They were afraid prices might go go higher In the end consumption failed to absorb the stocks and the whole structure bogged down again The The September flurry of business improvement lasted about 45 days Mr Roosevelt was apparently determined this should not happen again Bis uis mere promise of possible mild mUd Inflation kept the April price movement movement move move- ment in the right direction Db His problem now Is to stimulate consumption so that the up stocking L process will not again apin get ahead of Itse Itself t. t The right kind of inflation t may mar do that r t The chart shows indisputably how things are goin going It is so meticulously t accurate that tha a month is 15 required by government experts to compile com corn L r. r pile it Mr Hoover devised it when he was secretary ry of oC commerce All AU r the highest government officials still use ue it The experts adjust it for seasonal variations on the basis of ot fluctuations for tor three years ears 1923 24 2 and 25 The ave average ie for those three years I is From it you yoo can trace the history of oC th the depression since December 1931 as follows r All Types Factory Fr Frt Car Str Exports Imports Bide MONTH Prod Emp s Sales SIes l s Value Value Const k December 1931 74 74 69 81 46 48 38 January 1932 12 72 2 64 78 39 42 31 July 58 53 51 67 32 27 27 September 66 66 54 70 33 32 30 November 65 65 57 65 32 32 27 December 66 58 62 32 30 27 L k January 1933 65 65 56 60 31 29 22 February 64 64 54 60 60 29 26 19 i i March arch 60 50 56 28 26 14 Ar ril About the same as February A time All i lows VS' VS registered in March 4 Were were trace traceable ble to the bank closings B Business siness started to pick up the last week in that month and has continued contin contino tied a steady upward trend through April I The outstanding significance of the table is the alm almost st complete collapse of the building industry The figure 14 means it itis it is 14 per cent of what it was on an average for 1923 24 and 25 During the first two weeks of April the c confidential government figures figur s show show how the outlay for lor building construction construction con con- east cast of the Rocky mountains was a da day That figure is hardly enough to rebuild from a good sized fire fir The table also discloses t that of of all factors in business industrial production Pt tion keeps n nearest rest n normal rm l- l i shows also that during March our r factory employment was at its J lowest west ebb 56 6 per cent which is v even even below the lowest previous point L. L JJ the depression last July 58 3 per percent perr r cent 4 i i Financial experts here arc are not excited ex- ex cUed cited about the inflation program Their guess is that prices will vill rise no more than 25 per cent This should be enough to prevent further wage cuts They do not believe the full ext extent ex- ex t I tent of at the power will ever be used t A lot of ot tempered ill rash stater statements state state- r men meats ments are being made on b both th sides but as usual the outcome of the experiment experiment ex ex- probably will be about midway midway mid mid- way between what the extremists Senators Thomas and Reed have pre pre- e 0 The e tears which were shed for the Continued d on Pate Pace Two fio Heavy Buying of Rails Boosts Stocks All Markets Are Quieter I Br By Asso fated Pre Press Prell NEW YORK May 2 2 Heavy Heavy buying of rail shares buoyed the stock market today blocks of ot railroad issues changed chanced hands during the a afternoon especially toward the thc close at gains gams of 1 to more than 5 a share This demonstration lifted other sections of the market some somi of ot which had been rather heavy as a result of profit profit- taking but net changes for industrials were mostly narrow Sales approximated approximated mated shares against slightly more than yesterday All markets were quieter than on Monda Monday Commodities were somewhat somewhat some some- what hat ragged Cotton fluctuated nar- nar r r 1 I rawly but wheat closed strong on I bullish crop estimates Common shares of ot Santa Fe Railway Railway Railway Rail Rail- way sold as high as and closed at 57 for a n net gain of 4 87 Union Pacific was up to 2062 Delaware Delaware Dela Dela- ware Hudson 4 37 to Baltimore Baltimore Balti Balti- more more A Ohio to 15 Pennsylvania Pennsyl vania to 23 and New York Central to 27 American Telephone American Can and Bethlehem Steel were about 50 cents net lower while U. U S. S Steel at was up 25 cents Allied Chemical and Standard Oil of ot New Jersey each lost Cotton showed net gains of 5 to 2 25 cents a a bale Rubber silver hides and cocoa futures were mostly lower I INSIDE STUFF Continued From Prom Page fait PAr One dollar dolar when we went off oft the gold fold standard were shed In vaIn vIn The governments government's gold cold old expert figured fig fr ared last Tuesday the dollar that tha day was worth That Tha was WA the natural level leve U IL I had bad reached when permitted to shift for lor itself Itel a Screams of congressmen for tor postmaster postmaster postmaster post post- master patronage have died die down to toa toa toa a steady low moan The reason is that Postmaster General General Gen Gen- Te eral Farley has h devised a clever little lit lit- lt tic tle scheme to solve the situation He Hel te lopes hopes hope it i will wi placate the congressional al wolves and maintain Mr Roosevelt's Roose Booze velt's vels vel's determination not to t make such minor appointments for tor a while yet yet The essence of the plan is I Republican Republican lican inefficiency That is I alwa always s 's good ground for Democratic patron patron- age Some Democrats Democrat consider the mere fact act that a fellow is Js a ican lican lian as a sufficient proof of mental In In- capacity Farleys Farley's henchmen swear they will wi use ue only the flagrant cases cac a a a Records have been dug up In the thed d department on which about 1000 Republican Republican Re Re- publican postmasters can be fired fre In place lace of these thee Mr Farley Is i naming acting posta postmasters rs' rs These Thee actors are all al good Democrats recommended recommend recommend- ed ad by congressmen They need ned not take ake a civil service examination The Te president is I not required to send their nominations to the senate and no eon con cn there is necessary Mr Farley does doe the nominating and confirming con con- firming The only trouble is that the boys do not get their pay until they have been een nominated and confirmed in inthe inthe i the te regular way Then they will wi get back pay for what they are doing now a t a a aThe The Tho Polish design for a little entente en en- tente lento in Europe may become the he first official step toward to the International clan can system which brought on the World war var war The other grouping grouping Is also alo unofficial as a ae yet e but tho the Polish action may force orce steps In this crowd are Italy Itly Germa Germany yand and Austria Austria Great Grea Britain is I weakly on the sidelines but leaning toward Italy Ily and the Germans S a That secret telephone conversation Mr MacD MacDonald had from the Beren- Beren Bere- Bere with jarla-with the British Brish embassy created crest create ed cd a stir sUr here Actually the conversation was wa between be be- tween a a Mr Wright one of MacDon MacDon- aids aid's assistants a and d Sir Ronald Lind LInd- say It I wholly concerned this point Where do you wear top hats hat in New NewYork NewYork NewYork York and Washington It I seems seem soft h hats hats' t tre are re r required d of foreign dignitaries digi- digi upon landing in New York but they must have silk sik hats hat when they come conic to Washington Wahington In order t to avoid a change o of clothes on the train MacDonald and the he rest zet put on on onan an overcoat over their formal clothes clothe in New York Soft hats hat were worn wor there When they got ot on the te train tain they took off their overcoats overcoat and put put put-on on silk sik hats hat which made them fit li for Washington e a a Any Anyone w who o thinks Mr Roosevelt ii Is a secondary influence in his hs tam tam- ily Uy has hs another think coming Such stories spread around r und the country countr for contrary to the facts acts Mrs Roosevelt went vent to see Mr Roosevel's Roosevelt's closest associate not long ago aro She asked ked him to use his influence influence in in- fluence to o get rd the president to do 1 something she he desired done Apparently Apparently enty she had bad hd a friend she wanted ap appoInted appointed ip- ip ap- ap pointed to some office The Tle associate said sid he would take the hc matter up with the president Later he returned to say Mr Roosevelt Booze Roose Rose Rose- yell velt had hd turned him down He vl hm suggested suggested sug sug- that Mrs Roosevelt try the president direct She said she already had had adding I 1 guess ueS that ends It 11 and antI walked from the room a a a Sonny Whitney Whiney recently called caled on Budget Director Douglas with wih the president of Pan American Airways trying to convince Douglas Dougla that their line was a measure of defense defense defense de de- de- de especially for the Panama canal ca ca- ca- ca nab nal nal Appropriations for their mail mai I contracts contract are almost certain certin to be cut cut cut The Democrats also alo cut the the civil service restrictions out of the Muscle Shoals bill bi to afford a little littlemore littlemore more patronage for those thoe too to dumb to pass pa an examination Jesse Jones Jone is i running the R. R F F. C. C these thee days as a a one-man one show He sleeps sleep from 2 a. a m. m to 6 a. a m. m An early morning visitor recently watched him trying to put on his hs pants pat while answering four telephone calls call NEW YORK By Dy James Jame McMullIn The Te treasury pulled one of the boldest and smartest maneuvers on record in putting over the three three- three year note issue at 2 8 7 per percent cent They ha had plenty of advice from New York that it i couldn't be done that done that Inflation inflation iCa- iCa tion ton talk tal would sc scare re buyers off off off- of- of that the interest was wa much too low- low that the government credit would be wrecked if i the issue weren't fully subscribed subscribed and and so forth But the treasury took the gamble and won There was wa none of the blarney of ov because applicants were told they would get what they asked for The banks bank toed ted the mark in the pinch They will wi probably pass pa along as a much of thi this this' issue as they can to the public but not through an any pressure high meth The victory had double Importance It proves that federal credit is i perfect perfectly per per- o. o k Ic and makes maes refunding operations op Ope look more po possible ible than local bankers contended Insiders credit the stroke to t the president rather than to Mr Woodin The maneuver also made a pronounced pronounced pro pro- impression on European ob oh- servers They were watching it closely and its it success greatly enhanced en en- Mr Roosevelt's pret prestige e and nd confidence in American stability in well posted foreign quarters The gold clause lauso in the issue fue is I interpreted interpreted in in- locally as a significant of nothing more than an official sense ene of ot humor huor e ea a Business men men are aro sprouting gray rray h haiti hairs lr over the te Perkins Perkin amendment to the hour 30 bill bi although they are are reconciled to io the bill bi Itself Itel They claim the dictatorial given caim te powers power the labor department nt surpass lal hals hal's fondest dreams drums They fear tear that thai even a large larre corporation would be ruined If ft I its It competitors could gain rain political favoritism a a I There are several signs of Improvement Improve ment on the business busie horizon A food corporations corporation's sa sales are ue running 9 per pcr cent ahead of a year ago go rung A Avia- Avia via via- i lion tion corporation showed a monthly profit prom in March for for the first time tie in 1 its history New York department store sales have had hd a natural drop from their Easter Eater peak but the thc decline has ha not been nearly as a sharp as the stores store ha had feared a a. a Montgomery Ward is i in a favored position if i prices go up This firm started building inventories a year ear ago and is well wel fixed for inflationary developments de a a 0 e Baltimore Ohio Is pushing merger mer mer- ger plans along the lines of the te original original nal na eastern road four four consolidation It I already owns own 50 per cent of of Reading which in turn owns 53 per cent of Central of New Jerse Jersey The traffic departments of the two latter are being being be be- be ing fused and equipment will wU be pooled in the near future This Ti is i comparable to th the Van SwerIn c action acton in making J J. J J. J Bernet president dent of Nickel Plate as a well wen as a of Chesapeake Ohio It I is i notable that both of the roads working in this th direction would have been completely submerged by the plan and that their present activities must mut have ha e the approval of the interstate commerce commission S 0 a a aJames James W W. Gerards Gerard's protests as a a stockholder against Allied Aled Chemicals Chemical's accounting methods links up with wih the stock exchanges exchange's silent campaign toward toward to to- t ward the same lame objective There is I an estimated asset ase Inflation of at least lat in the tho balance sheet ahee because be cause of ot arbitrary security valuation Th corporation refuses to tell teU ay anybody any any- body the details of U Its holding and ad claims claim that Its cash position is I 10 so strong it I makes no DO difference The exchange would not not be averse to a stockholders stockholder's action Delon to compel more complete publicity a a a aAs As A predicted here herc months month ago Owen Youngs Young's political connections did him no no good in his bI efforts efort to t keep both his hL General Electric and R. R R C C. C A. A jobs jobs He will wi choose R. R R C. C A. A A at the showdown and Charles Francis Chares Adams Adam late of the Hoover cabinet will wi probably be his hi G G. G E. E successor cabinet a a a Newcomb Carllon's Carlon's transfer from the presidency to the chairmanship of Western Union Union Union-as as forecast here months month ago will ago will really be a a demotion upstairs Ho Lie will wi have hav little voice in the te company's affairs from now now on on The change means that the projected merger of operating facilities with Postal Tele Telegraph raph Is 1 much closer wih to t consummation a New York lawyers did a fancy job for their clients clent on the Harriman tangle They sold the treasury department department de de- de the Idea that prejudging the financial responsibility of the clearing clear clear- ing house houe the for the for tor deposits cear before the messy case Is i settled incourt In Incourt Incourt court might have a dangerous flare flare- back The treasury department decided decided de de- de on ungraceful treat and certai lain tain tai local banks bank are gloating a a a aA A highly placed Wall Wal streeter had the tho following comment comment to offer ofer after hd the tho gold told embargo and Inflation bill were launched I sure surD would like to t o have that man Roosevelt for Roosevel a |