Show 0 national topics interpreted by william bruckart national press building washington ID C washington a 1 11 on although it has been several weeks since the supreme court ot of the united states call it rendered its history reaud ra tion making decision in the gold cases there Is no slackening in the disturbance from the effects of the administrations gold policies even in the light of the court ruling while the court held that congress had no power to enact legislation invalidating the gold clause in goNer government Dment bonds it said in tile the same breath that collection from the government by a bond band holder was another story since the gobern go eminent hns has taken gold out of circulation collection appears virtually impossible but the appearance Is not going to stop bond holders from seeking what they regard as justice it Is now apparent that the governments action Is going to be regarded both here and abroad as repudiation that 19 I 1 a nasty word mord ben applied to governments and its repercussions likely will be heard for a good many years while the repudiation of the gold payments will affect comparatively few people directly the significance of the action in III a political way Is becoming more and more apparent the repudiation in its effect on the bond holders may be only temporary but its effect politically will be far hung flung I 1 think it is generally considered now dow that the gold question will become a paramount issue in the next nest political campaign and it Is not impossible that it will vill continue to be an issue over a period 0 of years this Is so because admittedly actual damage has been done to american prestige in foreign lands it Is made to appear therefore that there will be a combination of international ter and domestic influences at stork ork henceforth with respect to this governments gold policies domestically the issue was born in the presentation in congress of two bills designed to restore partially at least the status of this government as regards the gold policies to that obtaining before the devaluation of the dollar simultaneously former president herbert hoover la in one of the few express expressions loDs made since retiring from office declared his belief that the return of gold pay pa ments was Dec necessary essary and sital altal to stabilizing lising conditions and establishing reestablishing re the united states in world favor of course with the abundant democratic majority in congress the gold bills will get nowhere N cry ry fast likewise mr goovers Llo overs civers expression can and will result only in providing ammunition for new deal supporters whose answer to criticism usually is a question whether it Is desired to return to the conditions that caused the depression nevertheless I 1 hear considerable tits cassion to the effect that those these ripples must be considered as only the beginning ning ahey will have tile the effect of causing III many people to think about the problem discussions will take place in the homes ond and in the shops there will be those who contend for sound money of the old stile equally vehement defenders of the new deal will arise thus the issue becomes joined and it Is not outside the realm of possibility lity that monetary questions will become as important in as they AN were ere in the ura uran an free silver days now as to the practical operation of the gold rulings there can be no operation of doubt that the con gold rulings ution glies congress power to coin money and regulate its value the supreme court always has sustained this power so when congress by resolution allowed president roosevelt to seize all of the gold in this country and hold it in the treasury it accomplished indirectly that which it could nut not do directly in this way it forced tile the invalidation of thousands of contracts wherein one party promised to make payments in gold congress made such payments impossible and those ulio ho were to be paid have nothing left but disillusionment As to the gold payment clause in tile government goern go eminent ment bonds ube the supreme court said that congress had no right to enact legislation the effect of which was to vold void that payment it would seen seem therefore that hint some way should be found to force the lie government to mike blake good that way lies iles only through tile the court ot of claims ot of tile united states and when that court is denied jurisdiction in suits to recover tile the bond holder Is left with a right but that right Is unenforceable since the government goern ment can be sued only with its permission on top of these circumstances and ns as a long range proposition co nIder uble able attention has been directed to the relationship between the gold clause decisions and inflation there Is a direct link this link without doubt should be watched by all of those who think of the future of this nation inflation or of the credit has been going on continuously since mr roose noose velt veil took ollice the federal government has set no DO limit to the borrowing which it will undertake in its pro grum for y tile supreme court lias has said dle elly that government se securities curRies are worth whatever liate ver tile and congress tie de tein ihie them to lo be worth because the dollar can be value up or down na its as cl ell clr cum stances warrant i hut but the value which the P president reside lif and congress place pance upon the dellav dallain may differ materially from the va valued lug which the public places upon the eua rency tho the public will view the dolt dol dot t lar in terms of its purchasing power 1 public confidence in the currency therefore becomes tin an absolute feces eilt sity and once it Is shaken it if history means anything it takes a long hara pull to get imback it back so if congress shows show a willingness to repudiate obligations obligation as it has shown already the public sooner or later begins to wonder what the end ni will I 1 bo be a throughout lil history story wherever aal whenever such a condition has art the public seeks to convert this its doubt doub ful currency into material things tholia of a utilitarian value which itt it may use up money being inedible Is sought to td la be exchanged for things to eat cat to wear to sustain life and comfort this lj is what is meant in expressions the night flight from the dollars or the flight from any other currency about which we have heard so much since tha world war the situation in congress in the last few weeks meeks has pro prodded sided a test for foi president Roosevel ts up to the political acumen it president has been far more mora a test of hla his skill than otherwise would have been the tha case because for almost two years ha has had a congress so obedient to hit his command as to merit the description lort of a rubber stamp legi legislative slathe body now hoi however Never the president Is faced face with the necessity for political maneu vers vars of the highest order and upon the tha results of 0 ills his tactics much will dea da pend lie he can cement the links of the tha J democratic party or he can cause then them to disintegrate by the courses he fol 01 ol lows some curiosity has been aroused by the fact that for the first time since he ha became president mr roosevelt omitted in sever several it instances lately to send administration drafts of bills for con gressional consideration ills practice hitherto had been to have the bills drafted in executive departments and submitted with nith a recommendation that they be enacted in that form until some of the factions in congress began to feel their oats this plan worked very well A change has come over some of them however find and they are now in upon preparation of the leals lation themselves another significant development 4 and this links to circumstances of ser seir eral months ago was the presentation by senator wagner or of new york of a bill to settle labor disputes this lilla allf does not have administration approval i indeed it is quite contrary in some ol of its phases to the policies which mr roosevelt has sponsored in his deal ings with organized labor it seems important tant therefore that senator wagner who for so long was vas regarded as mr Roosevel ts alter ego in thi tha senate should deliberately otter offer legislation to which the administration had haa not agreed with further reference tol ta senator wagner who comes from mhd M presidents home state of new york it Is interesting eien eca if unimportant that senator wagner did not support tho the president in the batters lat efforts to force the work relief bill through the senate since senator wagner lias has been consistently a new dealer many ober observers vers are asking with some logic whether the new deal supporters have begun to crack up 0 it will be recalled that in asking fo an e tension of the Dat national ional industrial recovery act for a Ext extension ensio n period of two years year of president roosevelt merely outlined in his message the fundamentals ot of the plan lie was recommending ile he carefully ai a i aided reference to any draft of such a bill it occasioned some surprise that this was so but closer analysis of 0 tile situation situ aaion should have developed develop ei reasons there fur most lost of these reasons are traceable directly to the circumstances cum cuLa stances I 1 mentioned above namely the necessity tor for tactical skill la ilk maneuvering the political strength aal available lable to the president observers here generally are agreed that mr rosievelt Rouie velt can turn 01 on fall stearn steam and hold a powerful majority la both alloth house rind and senate but the ques tion Is whether this Is the wiser course from a political standpoint in this connection the expression has been heard times lately among amod democrats I 1 who have been regarded regarded reg arYed al 91 among the leaders that it might cot 1101 be well to prod stubborn mules too fat far 11 t the best information I 1 can gather that while mr roosevelt did not dot a draft of nita extension legislation a bill mill v be forthcoming in it a coull t of weeks front from the senate finance conr cittee that will have had bad prior approval from the white house something of the same course Is S scheduled for the louse side thus t the he pa lirO becomes cow complete the fine italian hand band or of the administration conic comes into view the story we get around Is that tills this course of action w will c be used more and more as a means of avoiding open disputes and stua noss ness on the floors doors of the house and sell se ate 0 w western tern newspaper union unload |