| Show Relief Recovery Reform N the message read to the congress Thursday I IN President Roosevelt proposes no no- essentially new ew weapons to be trained or on the country's econ economic eco eco- n mk evils In some degree he recommends departures departures departures de de- de- de in method method method-as as in the decentralization of gold jold rather than out and out borrowing to fi finance finance fi- fi nance flance the whole ef effort o t mild modification of taxes on business simplification of S SEe E C regulations regulations regulations regu regu- lations to expedite the financing particularly of small business enterprises But running through the he entire message there is emphasis on reform along with relief and recovery So too in his fireside chat he reiterated the new deal objectives objectives objectives tives and stressed the need for continuation of the drive toward them This implies that the administration believes pump pump pumi priming was effective but when eased off prematurely the recession was invited and that the present situation indicates the need for ap app applying applying ap- ap p plying ying the original remedy In substantiation he recited that since 1932 when the income of the people had dropped to less than 40 billions from the more than 80 billions in 1928 each year has seen seen a steady rise in national income up up- t to the 68 billions of 1937 his 1937 his yardstick for measuring the he rise in the purchasing power powe of the people If then the objective set in the message maybe may maybe maybe be compressed into one phrase it is that congress prescribe means to raise the national income to around 80 billions to create purchasing power to stimulate production and gradual transfer of workers from public to private employment The recommended program calls for more or less A large part of this request has been I expected ever since the presidents president's message submitted submitted submitted sub sub- at the beginning of the pre present ent session and covering W P A farm security national youth program C C C P W A highways flood control control control con con- federal buildings and housing It had been expected that between one billion and one and one-half one billion might be asked for relief The figure set by the president Thursday Thursday Thurs- Thurs day aay was The highway appropriation appropriation appropriation is boosted to P W As A's re revivification revivification revivification re- re vivification calls for About half of the total asked is to be on a re revolving revolving revolving re- re loan basis Additional amounts will be drawn from old and unexpended funds Recoveries Re Re- from loans are figured in itt On his b basis sis the treasury estimates that only ony j jn in new money will be called for About 1400 to to be derived from the governments government's stock of 01 sterilize sterilized gold against which currency currency will be issued As an aid to banks and business business business business' busi busi- ness ness ness' the Federal Reserve is to reduce reserve requirements by about three-quarters three of a billion dollars to enlarge the nations nation's bank credit reser- reser reser reser- voir Both the last measures will be inflationary inflationary inflation inflation- nary n- n ary to some extent Whether the recession is to be combated by the means the president recommends or by some other method congress determines it is the na nations nation's nations nation's nations nation's na- na tion's misfortune that whatever is to be done is to tobe tobe tobe be done in an election year As matters stand the recommendations presen present undoubted advantages to new deal senators and congressmen A wholly new house of representatives is to be elected in November and third one-third of senators' senators terms expire expire expire ex ex- ex- ex pire with the year It is forecast that the Republican Republican Republican Re Re- publican opposition and dissident Democrats in congress will refuse to vote a blank check to the president but will seek to have each appropriation tion earmarked for specific purposes It is a a foregone foregone foregone fore fore- gone conclusion that the administration will train trai all its guns during the campaign on those who have declined to stand by the president This introduces a factor unrelated to the merits or demerits of the presidents president's recommendations for there are many who will not accept l His is plea for selfless and nonpartisan service seeking only the national welfare The message commends itself for its lack of crimination and bad temper It mildly counsels coun coun- sels els l labor bor to explore means of keeping men at work instead of seeking causes for stopping work It appeals to all classes of the people to make common cause in the recession ending effort It was as an app appeal al to to reason urging calm unprejudIced unprejudiced diced consideration It was the voice of a so sobered sobered so- so executive viewing facts in the national I situation |
