Show budget may be balanced in 36 success depends on action of Cony congress ress and supreme court deficit reduced by EARL GODWIN 1 N it if congress washington WASHINGTO and the supreme court do not spoil the pattern the dear old budget Is right on the brink of being balanced out of the tremendous array of figures which roosevelt sent to congress on the second day of this second session the main theme of the budget balancing story atory can be told in these brief statements the needs breeds of the government for the next fiscal year are to be which Is a reduction of the governments receipts are estimated at which Is more than the government would need were it not for the jobless so we are balancing the budget with to spare except that we still will have to spend a billion or so on relief remember that if congress appropriates more than that and puts us further in debt congress not roosevelt if the supreme court knocks out the processing taxes then there will have to be money raised to pay it and roosevelt recommends taxes and not borrowed money for that item so keep these simple figures in mind they will answer complicated problems also the goverD governments ments deficit Is coming down it was in 1934 it was in 1933 1935 in the present fiscal year and for the fiscal year ending june jone 30 1937 it will be approximately a billion the cost of relief hii unless a voracious congress goes on a spending spree pree 0 0 WHY THE DEFICIT the country has always had a deficit in the budget when business suffered a depression the reason being that the government steps in to warr ward off the coll collapse apse and s spends the money somehow or other our reactionary and conservative statesmen down here do not see the point they are overwhelmed with their own importance and imagine that the budget Is balanced when a republican is elected president there has been so much confusion over our national bookkeeping that a simple statement of 0 the case may be helpful at this time when the budget Is in the public eye more than eer ee the sharp trouble occurred in 1929 29 and that year also marked the enormous national income of more than eighty billions of dollars money made by american industry we swelled up like a balloon and burst and the process of deflation reduced the national income ot of business from 60 80 billions to 33 billions by 1932 1032 that Is the simple money story of that agonizing depression the budget was going haywire then and even as late as 1932 the financial leaders of the country were tugging and hauling trying to keep the budget balanced and were in a panic in that awful year 1932 32 there were more than bankrupt bankruptcies eles tal failures lures leaving three quarters of a billion dollars in business debts the bank failure record was appalling there were bank failures from march 1929 1020 to march 1933 which represents three fifths of all such failures from wilson to roosebelt Roo Roos eielt the hoover administration was trying I 1 to stop the lie deflation but its methods Z now appear to be inadequate abey remind me of 0 people trying to stem a flood with bags of 0 mud and not using enough the thing the roosevelt administration did was to use bigger methods and more material the material used was the public credit and say what you will it did stop the panic it brought industrial leaders to washington begging the government to take their business flops and bring them to life financed the banks and restored faith in america the national income then began to rise from the meager 38 billions which Is really poverty to us it rose to CO 50 billions in 1934 find and will be close to GO CO billions in 1935 1035 now what has been the real cost of this high pressure rescue work the constant reiteration of billions in the headlines has the file effect of stupefying the he people but forget all el else seand and take the statement of marriner eccles governor of the federal reserve board and a leading expert eccles told the american bankers association at new orleans that between february 28 1933 and september 3 SO 00 1935 1035 the gross inhere interest st bearing debt rose but that the net increase after deducting the treas cash on hand the increase in the value of gold and the governments assets such as the securities held against loans in the rac etc was three billions of dollars that is all it Is less than ihan the deficit turned over to stoos veli by hoover and much at this so called debt debth Is offset by good solid property and good securities but even with the gross debt increase of nine billions dont overlook the fact that while we were piling up that debt we were also increasing our national income 22 billions an increase of 20 billions in the value of listed stocks on the stock elchan exchanges es and seven and one half billions in the value of bonds and the national morale was saved particularly in the financing program which spared millions of families from eviction contrast these strong and simple facts with the 15 billions ot of the peoples money squandered in foreign and other securities by widows and orphans who were led to invest their savings in these financial eats cats and dogs the big banks crammed tills this stuff down donn the throats of 0 the lit little ile bankers and the public bought it and went broke and this was done with the apparent okay of the three administrations preceding the roosevelt era now the roosevelt program Is being assailed by the crowd that was in the business of selling that worthless stuff As 0 at confidence IN BANKS in this blessed country today there Is so much money to go round that there are more than fifty million bank banh accounts would you believe it I 1 would not believe it until I 1 checked on it at the treasury and found there were that many depositors in banks with insured deposits and a million more in banks which will not insure deposits this means an end to worry about closed banks for those who demand such safety one of the strongest things this administration has done Is to remove the terror of loss of savings by bink bank closings and one of the tough things to remember about pre new deal banking was he soft soaping some of the bankers gave their clients just prior to closing for good there Is no guarantee that banks will not close their doors but it if they do in these insured banks depositors are safe for their full amount up to if one of these many banks falls the government takes charge and immediately pays off the insured depositors there Is no such thing as waiting three months to a year for the thing they call liquidation there Is a growing confidence in banks as depositories repositories deposit ories it seems to me this Is one of the bullseye bulls eye hits of the administration MAIL GROWING HEAVIER it if your family did not receive pieces of mall mail per person in the year ended june 30 1035 you were not up to the average that includes letters papers and parcels and Is what I 1 boil down from the tremendous mass of figures in the annual postal report mail Is growing heavier due to better times the paid postal service made more than which goes back into the treasury but there Is always the expense of free mall mail service to the government to congressmen and to papers within the county of publication li the government Is also spending money to develop airmail and at the same time develop the science and business of aviation we now have airmail service covering the entire country and will soon girdle the world with it american pioneering americans bought worth of 0 postage stamps in the ahe fiscal year ending june 30 1935 the highest in four years stamp collectors contribute to the postal service by buying worth for collection purposes all clear profit RECORD the republicans favoring gov alt alf landon of kansas as the G 0 P nominee to run against roosevelt must be seared scared stilt stiff by now lest the democrats dig up any more of lan dons liberal and pro new utterances te rances they are now saying that landon Is not a good public speaker and would have to conduct a sort of intimate man to man front porch campaign but he has done enough speaking in the past to locate himself solidly on both sides of many current questions in addition to being an arid kansas dry who will have to mal make e himself solid with the wets we find the homespun alt alf now taking a stand with other republicans against this so called centralization of power they dont like the authority given to roosevelt to stop the panic and feed the jobless but three years ago february 11 1033 1933 the governor told a gatli gathering erin of republicans at kansas city sio mo that he be approved the emergency powers con conferred berred upon president roosevelt put but another year comes canies and we find alf bitten with the presidential bee lie now addresses young republicans with the charge of paternalism bureaucracy and centralization of government ern ment those were the words he used on december 7 1933 1935 to c condemn on the things he saw as common sense use of government before he was located as a possible presidential President laJ candidate lie ile was giving the young republicans the same sort of talk he had given a month earlier at cleveland where he bad vehemently assailed the efforts of the administration to exercise regulatory measures over business but alas for landon just one year to a day previously he had wired congressman william P cole chairman of the oil investigating committee of the house of representatives cole wanted anted landon to come to tn washington to testify about conditions in the oil industry landon laddon being an oil operator the governor could not come but he wired back a telegram which adorns the public record for all time in lt it he credits the administrations regulatory measures in the oil industry with having been one of the largest es t factors toward increasing the purchasing power of the entire southwest brov proving ng I 1 ighut ia progress toward bowar re caery can ife e made by honest coordinated efforts of states and federal administration and industry oil operator landon recognized that the governments regulatory and regi m enting policies had saved t the lie oil business politician lelin landon sues goes the in another light 0 western union |