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Show THE PAGE TWO News Review of Current Events the World Over Hitler Demands Return of German Colonies Ameri- can Fleet to Maneuver in North Pacific Discord in World Power Conference. By EDWARD C Wtrn Nwpr thousands of the party convention in Nuremburg, were roused to great enthusiasm by a proclama tion from Reichs-fuehre- r Hitler to the effect that Germany, having rearmed and scrapped most of the Versailles treaty, was ready to press its demand for restorar tion of its colonies. This, he TmJmA asserted, was nec essary 10 uie ecoAdolf Hitler nomic independence of Germany and would be achieved within the nex; four years. Said the thancellor: "It is regrettable that the rest of the world fails to understand the nature and greatness of our task. If b certain British politician declares Germany needs no colonies as she may buy her raw materials, then this remark is about as bright as that of the Bourbon princess who. When she saw a mob crying for bread, wondered why if the people bad no bread they did not eat cake. "If Germany had not, for fifteen years, been squeezed dry and cheated of her entire international savings; if she had not lost her entire foreign holdings; if, above all, she Still possessed her colonies, we eould much more easily master the difficulties." Then, addressing the convention directly, the fuehrer launched a new campaign against bolshevism and the Jews. "Bolshevism seeks to exterminate governments based on a community of race and blood and replace them Jewish element of no oy race," Hitler warned. "Sooner or later sovietistic authority states will end in anarchy, since Jewish elements possess only despotic faculties, never organizing reconstructive ones. "The rock of foundation of the state is an authoritarian will. Unlimited individual liberty leads to anarchy. All states have experienced the destructive eflect of de- HUNDREDS of pre-wa- non-Arya- n mocracy." C OLLOWING closely upon the vis-- " it to France of Gen. ef Poland, France and Poland signed a military treaty of friendship. It was reported, too. that France had agreed to lend 600.000,-00- 0 francs for completion of Poland's new railroad linking the coal fields with the port of Gdynia, rival of the Free City of Danzig. Josef Beck, Polish foreign minister, told Berlin the Franco-Polisaccord would have no eflect on friendly relations with Germany; but nevertheless there was considerable anxiety in Warsaw concern-te- g Germany's reaction. Rydz-Smigl- h his desk after an illness months, Secretary of the Navy Claude A. Swanson immediately made an announcement that will be of deep in- BACK at terest to Japan. The annual fleet maneuvers, which last May were shifted to the Canal Zone as a conciliatory gesture to Japan, will be held next year in North Pacific and waters. Hawaiian and probably the L Tokio press will Sec. Swanson yelp again. With the announcement Secretary Swanson asserted Japanese plans to retain overage submarines and destroyers involve a "violation" of the London and Washington naval treaties, which are to expire December 31 by Japanese abrogation. He followed up his charge with ti e statement that the United States has completed plans for two new battleships and is prepared to begin construction "at a moment's notice." The fleet maneuvers, officially designated as "fleet problem No. 18," will be held during late May and early June. The area of operations, it was indicated, will be the triangle between the Aleutian Islands, Hawaii, and Seattle, where the fleet problem of 1935 was conducted. Vessels and planes probably will work as far west as the Wake Islands. Armament of the new battleships is at present limited to 14 inch guns, but Admiral William H. Standley, chief of naval operations, said frankly that if Japan does not agree to this limitation by next April, "the Sky is the limit" are AMERICAN dairymen to Secretary of State Hull against the reciprocal trade treaty with Brazil which, they assert Is seriously injuring the in- of the by encouragement manufacture of imitation butter. Under the treaty Brazilian babassu jiL unknown in United States markets prior to 1935, now is being used dustry at the rate of W. more than a million PICKARD Union. pounds a month for manufacture of a butter substitute. Mr. Hull referred the protests to Assistant Secretary Sayre, who pointed out that the provision for free importation of the nut and oil was authorized by congress in the trade agreement act of 1934. He added that the success of the program was of vital interest to the American dairy farmer, "who has more to gain from the of prosperous domestic markets for his products through the restoration of an abundant foreign trade than by a policy of excluding even the most remotely competitive products." 'TWERE - was glee in government circles when it was announced that the United States treasury offering of $914,000,000 in 20 to 23 s year two and per cent bonds dated September 15 was oversubscribed nine times. Of course those who are informed know that the reason is the bai.ks, insurance companies and other investment institutions are glutted with money for which they have been seeking profitable employment. Of the treasury's latest offering $400,000,000 of bonds is to raise new cash and $514,000,000 is to provide for the exchange of 1.5 per cent notes maturing September 15. three-fourth- of delegates, from tJ UNDREDS many nations, were present when the third World Power conference opened in Washington, with President Julius Dorpmueller in the chair. Prospects were good for a useful discussion of the vjf;jff problems connected with the industry. Y J U..4 . i J: uui uibcuru crepi in in the proearly ceedings. At a round table debate on public regulation and h ifafrrnOTi(tifiitif'rf nwnpKhin nf utili. Julius Ues M p David. Dorpmueller g 0 representing Mayor Fiorello La Guardia of New York, said the only way to reduce electric rates is by threatening public ownership. Three prominent private utility men promptly "took a walk," and John C Dalton, manager of the County of London Electric Supply, criticized Davidson's talk as a "tirade." The discussion started in connection with a paper by John E. Zimmerman, president of the United Gas Improvement company, who held that power "yardsticks" such as the TVA and Boulder Dam cannot be compared with private utilities unless operating conditions are similar. Such yardsticks, he said, will lead to competitive methods already proved "wasteful and unsatisfactory." In papers taking the opposite view. Prof. William E. Mosher of Syracuse university, and James C. Bonright of the New York State Power Authority, held that public competition with private companies is "indisputable evidence" of declining faith in regulation. ' 1 ACCORDING to the New York dispatches from Washington are usually most reli- able. President Roosevelt is considering for submission to congress, in a event of his plan of governmental reorganization. The plan possibly would involve, the Times stated, the consolidation or abolition of some of the major departments and bureaus. "Whatever the President finally proposes," the Times said, "one may hear in informed cuarters now that the regular cabinet posts might be decreased A possibility, the Times stated, would be consolidation of the army navy and air corps in a department of national defense. "The administration proposes to follow a definite policy of curtailing or dismantling emergency units that have outrun their usefulness," the paper continued. ..." rebels resulted m the ca pture of on the French border, and the defenders were mercilessly slaughtered save for those who were able to take refuse in France. The town was reduivii to smoking ruins, and the victors promptly started an advance westward against San Sebastian, their main objective in Die north. Recognizing the fact that this large resort city could not long be defended, the government administration there ottered to surrender the place if full amnesty were promised; but declared if this were refused the city would be burned to the ground and the 623 fascist prisoners held there would be shot. There was great discord among the defenders, the anarchists insisting on destroying the city anyhow. Then the Basque nationals took a hand, assuming control of the city and sending a lot of the anarchists to Bilbao. This move resulted in a virtual armistice while negotiations for surrender of the city went forward. Later it was reported that the rebel forces had rejected the terms of surrender, and shelling of the city began. The civilian inhabitants were fleeing in panic. South ot Madrid the government forces were said to have made progress and theie were claims that Talavera had been taken and that the Alcazar in Toledo was practical- ly battered to pieces by loyalist artillery. The rebels' advance on Madrid from the south and west was supposed to have been halted. The Madrid government was re- organized and Francisco Largo left wing Socialist, was made premier. French workers in Paris in a great demonstration insisted that the government abandon its nonintervention policy anr. give active aid to the Spanish government. Premier Blum, while not concealing his sympathy with the Madrid crowd, declared that if France dropped neutrality, Italy and Germany would be able to give the Spanish rebels much speedier and more effective aid than the French could give to the loyalists. of twenty-fou- r Representatives powers were scheduled to confer in London on plans for the establishment of a nonintervention control committee. Portugal, however, was TIMES-NEW- wnai I run, still t t g Xlf J" M 1 1f J v BRISBANE S thinks THIS WEEK .about: Camels and Communists. WorlJ's Chemists Buav The New Our Huge Gold Pile The great fighters in Asia and Europe in the days of Frederick the ARIZ. FLAGSTAFF, new about the fable. The onl in the moral, i Hell-Brot- h novelty is One night a camel came and begged to be allowed to poke his cold nose inside an Arab's tent, So the Arab, being Arab, says yes. Pretty soon the camel claimed his ears were chilly and could he shove In as far as his earsT And the Arab said that was O. K. Next the camel ... I got permission to put his neck in out of the weather, and. ; after that, his forethen his legs and front hump, closely followed by his rear Irvin Cobb hump, and finally his hindquarters. When morning came the camel was infiirta th tpnt rnmnlptolv fill. mg it and the Arab had been crowd- ea ouisiae ""a were n was poor hlvering wretch, as homeless as a good-hearte- I ' ' j i i ba'nt. j ' Moral Every time I hear of an imported Communist smuggling himself into our midst, I think of tt eoM-nnsr- UP PAmpl ft Holding the Bag. TO now our government has all invitations to jump into the sian-Britis- snarl, but watch for an h Washington. The Department of Commerce has lately released its annual "World Re- E c o n omic True Picture Z effort to Induce America to join in when the time comes for dividing up control over poor old Spain's ports, islands and remaining colonial possessions. Not that we'd want anything out of the grab-baand not that they'd 1918. quiet have been restored to our home circles, but at the height of the rush one involuntarily was re- SENATOR GEORGE W. NORRIS minded of the ancient story of the Republican, who Frenchman who ..et with his friend said he wished to retire from public he could prove every man, however life, is a candidate for in spite of himself. A petition placing him on the ticket was filed by more than forty thousand of his friends, and only one thousand sig natures were necessary. Mr. Norris is seventy-fiv- e years old. Chairman Farley of the Democratic party said the filing of the Norris petition made him "very happy." Gov. Eugene Talmadge of Georgia, severe critic of the New Deal, was defeated for nomination as United States senator by the present incumbent, Richard B. Russell. In Washington state Gov. Clarence D. Martin was renominatod by the Democrats and former Gov. R. H. Hartley was named by the Republicans. Gov. Ed C. Johnson of Colorado captured the Democratic nomination for senator and will be opposed by R. L. Sauter, Republican. Arizona Democrats refused renomi-natio- n to Gov. B. B. Moeur, selectR. C. Stanford of ing Phoenix. In Connecticut the Re- instead Arthur M. and dramatic HEROIC actions marked the collision of the excursion steamer Romance and the steamship New York in a dense fog ten miles off Boston, Mass. The Romance sank in twenty minutes, but every passenger and member of the crew was taken safely aboard the New York. The rescued numbered 2C8, most of the passenger:: being women snd children from Greater Boston. The New York then turned back into Boston harbor with a twelve foot hole in her bow. There was no panic aboard the Romance, and the officers and crews of both vessels displayed discipline and bravery that elicited high praise. has FRANCE'S government conditions in Europe JULIANA, crown princess of the has found her fuare so threatening that it must spend a huge sum for national de- ture husband in a German prince, The fense. So it adopted a program for Bernhard zur increasing the efficiency of the army announcement of their betrothal which will cost $930,000,000 in the was hailed in the Hague with utnext four years. The proposal was most joy. Juliana, who is twenty-seveis beloved for her jollity and made by Edouard Daladier, mininter of defense. The first instalgood humor, and also she has been ment of $280,000,000 will be dis carefully trained for the throne. bursed in 1937. Prince Bernhard, twenty-fivyers The program calls for an in- old, has been working for the Gerof mechanized trust. has been increase No man date tensive dye units and also for rearmament, set for the wedding. Furthermore, it provide- - an nx MARKHAM of crease in the size of the professional MRS. BERYL army and the creation of a special put her name on the ized group of long service noncom roll of fame as the first woman to missioned officers such as already make a solo Right across the north exist in the French navy. Atlantic from east to west. She The program also provices tor started from Londor. for New York, but her fuel gave out and she was strengthening the frontier fortifications. But the chief improvement forced to land her small monoplane will be made in the air force which at Baleine cove near Louisberg, will be increased by 2,000 planes. Nova Scotia. Lippe-Biesterfel- n, Here then is an official declara tion from that agency o. the govern ment most concerned with conv merce and industry which says that corporations and employers of labor maintained as far as they were able the payrolls and interest pay ments during the depression. It says likewise that had corporations failed to do this, our unemployment problem would have been much greater, the income of those who hold securities, whether in large or small amount, would not have received dividends on their stocks or interest on the bonds and, as-result, it is obvious the buying pow er of the country as a whole would have been sharply reduced. That is to say, had these payments both to labor and capital, been curtailed there would have been even a lower level of retail business than ob tained during the depression. It ought to be added as well that had a lower level of business resulted. the manufacturing industries from which the retail stores buy their supplies would have closet down their plants in even greater num ber than they did. As we look back over the last five or six years it is easy to see how things could have been very much worse, it is easy to recognize that the strength that comes from amassing capital in corporation form has developed in this country one ot the greatest shock absorbers that any people ma have when those corporations, those businesses, are permitted tc develop under sound management and with as little governmental interference as the general public welfare will permit. Now, as to the reason why these businesses were able to accomplish the things they did: The answer is simple. Managements of businesses must follow the same practices in guiding the financial affairs of those businesses as you or I do in the management of our personal afa find you getting out. It's all over now and peace and ganda. outwardly pure, had a dreaded sec-rin his life. So, to test it, he sent to each of the ten most respected notables in Paris an anonymous telegram reading as follows: "All is discovered. Flee at once." And next morning nine of them were gone and the tenth had committed suicide. et "Backward" British Justice. - reel producers ENGLISH news fined $10,000 and that's important money in any lan- for titling a film. "An guage Attempt on the King's Life." Mind you, they weren't punished for any injury this title might do his majesty. Incredible though it sounds to us, the charge was: "Contempt of court for prejudiclnt the case against McMahon (the man who tried to shoot King Edward) before he was brought to trial." For contrast, take a not altogether forgotten criminal case. Possibly you may remember a certain murderer's trial and what sort of publicity went before it, and what actually occurred whilst 'twas being held, and what the aftermath has been, with attorneys and and yes actually some of the jurors peddling their private views for public consumption; and the governor of a great state displaying curious and violent activities, even when the verdict had been called a fair one by the high courts? Backward race, these Britishers, trying people by the evidence and not by the newspaper and the e That law levies a new tax on corporations. It does not touch us as individuals except indirectly. The tax applies to surplus, to the savings of business, a savings designed to meet just such conditions as those through which we have gone and which business was able to meet because heretofore it had been permitted to pile up reserves to carry it through the rainy day. Official figures from the Depart ment of Commerce show that the payments for wages, salaries, interest and dividends from 1930 to 1934 amounted to $21,288,000,000. In 1935, according to incomplete figures business paid out $1,500,000,000 for these same purposes, thus making the total for five years approximately $23,000,000,000. Now, in normal times these fig ures would not prove exciting. Unand der present circumstances those through which wp have been passing, they border on the sensa- tionaL This is true because these payments have been made, not from the earnings of the businesses during the years in which they were paid, but from earnings of earlier good years when a part of the profits were laid aside as a protection. It would seem therefore that since business has performed a social service of this kind under its own management that it ought to be al lowed to continue. I am convinced that it is a much safer method than to have the federal government mess around through laws such as the tax on surpluses, for it must be remembered that under the law which I have criticized, no corporation can build up again such surplus as has happened in the past. I might mention further that the effect of this law is going to be to prevent small corporations from ever growing large. I mean by that, if a corporation, through careful management and frugal savings, was able to expand its plant facilities, increase its production and thereby increase the number of workers it employs, it will be unable to do so. It will be unable to accomplish this for the reason that the operation of this tax law prevents it from storing its savings. The law takes such a heavy toll of any stored-uearnings that no corporation can afford to store them up. They must be passed out in dividends during the yea. they are earned or else the government puts its tax hand into the business treasury. One might say that such a distribution is helpful and undoubtedly in the cases of some owners of securities it is helpful. But questions of this kind must be treated in the whole and not on the basis of isolat- ed cases. Consequently, it takes no stretch of the imagination to see how a business is forced to distribute its earnines. to distribute them in good times when a comparatively small number of its security "owners need the funds and the result is obviously a shortage of reserve for that rainy day. In other words. a corporation is compelled to be a spendthrift or else pay a tax that is designed as a punishment fairs. This brings us to a point of es moving-pictur- 8aJn "Deficits of great magnitude cre ated yearly during the depression to meet payments of wages, salaries. interest ,and dividends sapped the vitality of the entire business struc ture and could not have been sus tained indefinitely." Travelers' Homecoming. CALIFORNIA travel bureaus of incoming tourists. But then again, on the other hand, part of it may be due to returning residents who went hurriedly away when the papers started printing a certain romantic diary. If your sins do not always find you out, at least they frequently of two Portuguese CREWS mutinied and decided to take the vessels to the aid of the Spanish government forces at Mal aga or Valencia. As the ships started to leave their buoys the shore batteries opened fire. Twelve of the mutineers were killed and twenty wounded, and the others speedily gave in. The Lisbon gov ernment said the men were under the influence of communist propa- has ment: g since view'" painted orn- elally a picture of general conditions that I believe to be the most accurate obtainable under present chaotic conditions. I might add that it is one of the few official analyses coming out from the government these days that is not colored in any manner or form. The reason this review is so interesting is because it points out what can be expected to happen by a disclosure in detail of what has happened in commerce and industry. To that extent it delivers a rather definite body blow at some New Deal policies affecting busl- ncss. Since It does this sort of thing, the review is entitled 'o more faith and credit than usually is accorded government publications, whether compiled by the Roosevelt administration or those before it. Political leaders always want to put their best foot forward and the New Deal under Mr. Roosevelt has not failed to carry on this tradition to the fullest possible extent. The section of the "World Economic Review" that was most interesting to me contained this state- give us anything. They'd merely expect us to hold the bag afterwards, which would make two bags In all this little new one and the big one we've been holding ever holding out. publicans nominated Brown for governor. Thursday, September 17, 1936 NEPIII. UTAH S. cur- rent interest. In preparing for the rainy day, all Rainy Day business, whether great or small, Fund lays aside a cer- of its profits. This is called a surplus. The surplus is invested. It is Tnade to yield a return in the form of interest or dividends. It is seldom touched. It is tain percentage treated just as you and I would treat our savings accounts just as cameras. we deal with our Christmas savings account A Gentleman's Dinner. BACK EAST, a distinguished Thus, the arrival of slack times, dull business, no profits, the arrival of the time when we must live on our own fat so to speak, does not find us without a reserve because that is what a surplus is The records of the savings bank and of the life insurance companies through the last six years show definitely how many hundreds of thousands of people had to draw on that surplus just as the Department of Commerce statement now reveals how many corporations drew upon their supluses in order to main tain their organizations, pay the workers and be honest by paying razor-bac- k the interest on their debts. All of ham with watercress salad, this sounds like a Chautauqua lec soused in a plain oil ana vinegar ture on savings. But however it dressing. may sound, it links in directly to Fifth, toasted southern beaten legislation that was enacted in the biscuit and a mere morsel of last session of Congress, a law country rat cheese predriven through under the lash of ferably from Herkimer county, New President Roosevelt after it was York. conceived by a bunch of radicals IRVTN S. COBB. who constitute the majority of the C Welters Newspaper Unioev brain trust at Washington. chef rises up to outline the American gentleman's ideal dinner. He names eight courses, which is too many, and no domestic flavor about any part of It. In rebuttal, I crave to offer a menu of all native products. First, Lynnhaven oysters on the half shell, with western celery and ripe olives. Second, terrapin stew. canvasback duck, Third, rice-fe-d with lye hominy and bakec wine-sa- p apple. Fourth, one very small slice of I d Great and Napoleon had little Idea of war's future. But marvelous things, some of the greatest. Napoleon especially, might have done with t o d a y's Inventions. Frederick the Great's father selected the tallest men he could find for his guard, probably Arlhar BrUban kept them away from the firing line. In battle they would have been killed first, hit by the bullets that go over the heads of shorter men. The wholesale killers of the old days prepared their killings by marching men up and down, drill- them encouraging them with titles, brass bands to lead them. fancy uniforms. All that means little now. About 100 miles from Berlin there is a station called Leuna. There most useful work is done, in theory and through study of the manufac- ture of synthetic petroleum; and there most important, learned men with big heads, spectacles and an amount of education that would make you dizzy if you could imagine it concentrate their brains on the preparation of better, more efficient poison gases and high explosives. Every country has its similar death laboratory; men perhaps as efficient as those of Germany, though Germany is the kingdom of chemistry, the teacher of other nations. i ' Henry Irving, on the stage of his theater in London, prepared an im- pressive presentation of the witches in "Macbeth," old, toothless hags, with preparing their power to summon spirits from the dead and make them foretell the future. Far more efficient are those solemn German chemists, physicists and other professors, preparing the of poison gas, upon real which the future of civilization and the domination of the earth may depend for many centuries. We had our periods of universal barbarism and cannibalism, our ages of flint, bronze and iron, our many interesting forms of ruler-shi- p, planned to give one or a few control over all the others. We had the age of military feudalism, and many think that we are now seeing the end of "industrial feudalism." There may be in the centurie j ahead of us a period of airplane-ruie, wrucn wm Pison e peoples of the world ax corn- Palely suojeci to a single aiCla--rship as were the ancient galley-slave- s, swinging thetr oars under the lash. There are a good many things we haven't seen and many to which we devote too little thought including perhaps the fact that it is dangerous to be too rich if you are not prepared to defend yourself against burglars. There is another phase of these Those thousands of millions in businesses that de gold that we are hiding away in a payments by serves attention. hole in the ground, as ingeniously Show The dividend as any squirrel hiding his hickory ments, in fact nuts, may bring us trouble somemany of the earn day. The thought of those ten thouings reports of business lately have This cir sand millions' worth of gold bars shown a decided cumstance has prompted Democrat and dollars, hidden not very far beic Chairman Farley and Attorney low the surface, might cause some General Cummings to enthuse ingenious Asiatic or European to somewhat about business recovery, say to himself: Each of them insist in recent politi"For one or two billions I could cal statements that prosperity ac- prepare the necessary machinery, tually is here; that it is not "just flying ships and poison gas Includ around the corner," as Mr. Hoover ed, to conquer the necessary areas once predicted while he was presi of the United States and frighten dent the others Into submission. Having But there should be some atten- laid down my layer of gas, I would tion paid to the meaning of the divi- descend and take the ten thousand dend payments and increased earn- millions and go home with a clean profit of eight billions in gold." ings. They should be analyzed. It is true that .some industries, like the automobile industry, for exMussolini races his big Italian ample, have increased production built automobile, the engine burnbeyond the hope of any students of made of Italian farm economics and that they have re- ing alcohol, no gasoline. Some lawstored to their payrolls a consid- products in America makers suggest comof workers the erable percentage of 10 per cent alcouse the pelling they once employed. Some other hol in all fuel for American autoindustries likewise have moved for- mobiles. Fuel alcohol can be made ward and promise to get on their from and the law, it is said, feet again in sound fashion. Yet I would corn, work to 2,000,000 men om give find a number of authorities in the farm land. of acres 80,000,000 to be continue who business world doubtful. They fear that the foundation is not sound. It seems impossible to believe the These facts have not deterred Mr. hideous accounts of the maltreatfrom ment and cruel deaths inflicted upon Farley and Mr. Cummings that women in the civil war now raging shouting from the house-top- s this is prosperity, resulting from In Spain. Roosevelt policies. Their declaraThat men should fight and murtions, however, are just as falla- der each other is to be expected, cious, just as political as some po- since they are at best "half tiger, litical pronouncements that I have half monkey," and often the monheard from the Republican side to key gives way to the tiger. But the effect that business is picking up that they should inflict shameful ill on debecause of prospects of electing treatment and hideous Governor Landon as President All fenseless women seems utterly un- ot these statements in my opinion believable, even when you know are pure hokum for the reason that what men are, in a mob. C SUn Fenturea Syndicate, Ine. the facts generally speaking do not WNU Swvlfi. bear out any of them. . hell-brot- hell-brot- h p , pay-fjptu- rn up-tur- d-- CT Western Newapcper Unloa. th |