AMERICAN RECOVERY

Ashburton Guardian, Volume 53, Issue 287, 15 September 1933, Page 5

AMERICAN RECOVERY

PRESIDENT'S DRASTIC STEP. ,

ORDERS TO INDUSTRY.

A THREAT TO BANKERS

(United Press Association—Copyright). NEW YORK, September 13.' New York City observed a National Recovery Act holiday to-day, when more than a million spectators applauded 250,000 marchers who streamed up Fifth Avenue waving . symbolic "Blue Eagle" banners in a demonstration of enthusiasm for President Roosevelt's programme to bring higher wages and shorter working hours. The parade required over ten hours and it was late at night before the last marcher passed the reviewing stand. '■. .

Thousands of banners proclaimed the success of the recovery programme, and few, which attacked Mt Henry Ford, urged that no more of his automobiles should be purchased until he signed the code. General Johnson (administrator of the National Rocovery Act), indicated that he intended to allow the Ford situation to remain in status quo. He pointed out that Ford had not yet actually violated the code. If he did so, action would be considered.

In the meantime, in Washington, President Roosevelt's attitude appeared to be stiffening. He made an im- ■: portarit executive order to-day clarifying the petroleum code, and again threatened punitive action against the bankers and coal operators. The technical price-fixing provisions of the petroleum code have been abrogated, and in their place President Roosevelt 'assumes power personally to fix the minimum wholesale and retail prices of petroleum and its products. He ordered the incorporation of all retail dealers in petroleum and its products under the original code. As an indication that the bankers had not fulfilled his earlier plea, the President announced that the Government was considering making direct , loans through the Reconstruction Finance Corporation to industries -controlled by the National Recovery Act to meet increased pay rolls. However, he added, the Government was anxious' to co-operate with the banks if. they, were willing to perform this; service. The deadlock in the coal code negotiations continues. It is estimated that at least 30,000 miners, are out of employment in Pennsylvania. It is now revealed that an over-production crisis , exists within the industry and may nullify the Act, even if the codecs acreed upon. The railways, utility companies and other large consumers have been storing great quantities of c .oal in anticipation of higher prices, and it is feared that increased unemployment in the coalfields is mevitThe Washington correspondent of the "New York Times" says that the administration of the National Recov- ' erv Act has drafted a master code for retail merchants, including pharmacies which it hones will be supplemented for the unsatisfactory one presented by dealers on August 24 The new code includes an effort to eliminate drastic price-cutting It is expected that the code will meet much opposition from large New . York department stores., not only lorits price control features but for the elaborate provisions regulating adyertising. ;■:•'. i-'A ■**> [.;.'■■«■•« /]!':■}■'-