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Show MONEY & MARKETS By James McMullin The Telegram's Esclvslv Obtirw Aloof Wall Street NEW YORK A complete shutdown shut-down by the three biggest motor manufacturers looks mors likely now than It did a few weeks ago. . when th possibility wsa, first discussed. Auto factories customarily close down around the first of the, year to take inventory. Normally operations op-erations are only suspended for a few days. This time, using inventory inven-tory as a peg, they may shut up shop a week or two earlier than usual and remain idle for an indefinite in-definite period. Such a step is being seriously considered, although no final decision de-cision has yet been reached. If it comes, everything will be handled quietly, plant by plant, with a minimum of publicity. The manufacturers manu-facturers who participate will take precautions to avoid any appearance of acting in concert. Two factors are operating to promote a general suspension. One is that dealers are overstocked over-stocked with new models and are not moving them fast enough to "warrant continued production at" present The other is the opportunity oppor-tunity to smash the morale and power of the United Automobile Workers while it is groggy. The union is racked with dissension, dis-sension, dues payments have shrunk to a trickle and a large proportion of the members don't seem to care what happens. If charged with union busting tactics, tac-tics, the manufacturers can point to the dearth of sales as a legitimate legiti-mate reason for their suspension. This situation will bear careful care-ful watching. It could have far-reaching far-reaching repercussions on the general industrial welfare. A political potion now being brewed behind the New York scenes may come to a spectacular boil in next year's elections. We hav previously reported that Roosevelt-Farley forces are skilfully skil-fully building up Assistant Attorney Attor-ney General Bob Jackson to succeed suc-ceed Herbert Lehman as governor of New York. Certain influential Democratic forces have already started a sub rosa stop-Jackson movement, but Jackson is merely a symbolic target The real object ob-ject is to break Roosevelt-Farley domination of the New York state Democratic organization. The men behind this move are not Tammanyites, as you might suspect They are not even identified iden-tified as anti-new dealers to date. But they represent a growing Democratic faction discontented with Roosevelt-Farley leadership and resentful of the "mismanagement" "misman-agement" of the recent New York City campaign. They concede that those now running the party can force Jackson's Jack-son's nomination if they choose. In that case the strategy will be to try to make a deal with the Republicans whereby the latter will name Democratic Attorney General John J. Bennett for governor gov-ernor in exchange for a pledge of substantial Democratic support sup-port for G. O. P. nominees to other statewide offices. Feelers along this line hav already been sent out and have met a surprisingly surpris-ingly friendly response especially especial-ly from backstage who favor a national anti-new deal coalition. This project sounds fantastic on the surface, but there are three reasons why it is taken seriously in informed quarters. One is that It will have strong financial backing if it shows the slightest indication of success. The second is personal. Mr. Bennett wants very much to be governor. He and his friends feel he has been shabbily treated by the new deal crowd in control of the stat organization. Further, he has built up a much stronger personal following all over the state thsn is generally suspected especially among veterans and Catholics. Third is the genuine confidence of the plan's promoters that they can obtain the support of the American Labor party. The A. L, P. has no great affectiop for Mr. Farley, and it will hold the balance bal-ance of power in the 1936 New York state election. The situation situa-tion is shaping to a sensational Democratic split in F. D. R.'s plause were so hearty that he was almost part of the show. It is suggested that the producers ought to sign him up. (Copyright, 1937, for The Telegram) home state that may pave the way for bigger and better splits by 1940. Financial insiders get ord that Italy's financial position is becoming increasingly difficult. They rate it only a question of time before the Ethiopian mill-ton mill-ton around Mussolini's neck compels him to try to raise money from the only available source in the western world Great Britain. When that day comes, Italian-British Italian-British relations will chang overnight It's a cinch that Britain Brit-ain wirl demand explicit guarantees guaran-tees from il duce. on pain of leaving leav-ing him to stew in his own gravy. With Mediterranean tension eased, London could, of course, take a much firmer stand in far eastern affairs. There ar times when it pays to be the "world's banker." A leading Briton, when the Ethiopian conquest was under way remarked: "Let the Italians grab K if they want to. Just wait until they find out how much it coats to run a colony. It will do them good." It's doing them good now doubled in spades. , "Normtn Darts shows signs of becoming as rabid an Anglophil a Walter Hints Pag. Jo ought to be a healthy antidote." Al Smith hasn't bad much fun out of lif th last few years. But people who watched him in a stags box at a recent performance perform-ance of th political aatir "I'd Rather B Right" say he was enjoying en-joying himself like a kid at his 1 first circus. His laughter and ap- ' |