GOLD STANDARD.

Press, Volume LXVIII, Issue 20551, 20 May 1932, Page 11

GOLD STANDARD.

POLICY OF UNITED STATES. FEDERAL BANKER'S VIEW. (UNITED MESS ASSOCIATION—BY ELECTBIC TELEGIUI>JI— COPYRIGHT.) (Received May 19th, 5.5 p.m.) NEW YORK, May 18 Mr Eugene Meyer, Governor of the Federal Reserve Board, giving evidence beforo the Senate Banking and Currency Committee against the advisability of enacting the Goldsborough Bill, confidently predicted that the United States -would not go off the gold standard. "There is not the slightest doubt in the mind of any responsible official of the ability or intent of the United States to stay on the geld standard," he said. "No nation lias gone off except through necessity. There is none that does not want a return to a metallic basis. Mr Neville Chamberlain, the British Chancellor of the Exchequer, recently said that his country must return to a metallic basis." Mr Meyer added that the Goldsborough plan would do harm. The Lnited States could not alone control the world price level, especially in the face of conditions more serious "than we have ever known. [A sharp break in the value of the dollar on May 3rd was attributed to the passage through the House of Representatives at "Washington of the Goldsborough Bill, instructing the Federal Reserve Bank to restoro and maintain prices at about the 1926 level by controlling the credit and currency volume. Although the opponents of the measure expected the Senate to defeat or greatly modify the Bill, fears cf inflation were expressed in many quarters.]