PROBLEMS OF U.S.

Dominion, Volume 26, Issue 10, 6 October 1932, Page 9

PROBLEMS OF U.S.

Economic Difficulties PRESIDENT’S REVIEW “Chaos Faced Last Winter” FIRST RE-ELECTION SPEECH (By Telegraph.—Press Assn.—Copyright.? (Rec. October 5, 7.5 p.m.) Des Moines, lowa, Oct. 4. In the first of the three speeches scheduled for Ills campaign for reelection, President Hoover made a lengthy address here to-night. He outlined the economic difficulties of the last three years, proposed a twelvepoint programme for the rehabilitation of agriculture, and made the startling statement that last winter at the height of the Budget difficulties when gold was pouring into France other countries "the United States missed going , off the gold standard by two weeks.”

Discussing gold withdrawals and public hoarding, he said, “Never was our nation in greater peril.” He the ability to meet the situation to “Republican cool-headedness, which rejected every counsel of weakness and

cowardice,” in spite of suggestions to him of unlimited liquidation, issuance of paper money, suspension of payment of Government issues, and even a dictatorship, “any one of which would have produced a panic in itself.” In reference to drains on the supplies of gold, be said that these had at one moment reduced the amount of gold they could spare for current payments “to a point where the Secretary of the Treasury informed me that unless we could put into effect a remedy we could hold the gold standard but two weeks, because of inability to meet the demands of foreigners and our own citizens for gold.” "Such an eventuality not alone caused banks and money interests to stare the perils straight in the face, but foreboded moral and/social chaos with years of conflict and derangement.” He then explained the credit expansion legislation to which he attributed the turn in the tide of depression last July. “Foreigners returned gold to the amount of 275 million dollars,” he said, “and hoarders trotted back to the banks with 250 million dollars.” Higher Tariffs on Farm Products. President Hoover told his farm belt audience that he favoured the application of any annual payment on war debts to securing the expansion of foreign markets for American agricultural products. He promised higher tariffs than now existed on farm commodities where necessary to protect agriculture and voiced his opposition to the cancellation of war debts. Ho said that he stood for the promotion of world stability through disarmament and the maintainance of peace. As a factor in the recovery and expansion of agricultural markets he promised to appoint a representative of agriculture at the forthcoming world Economic Conference. As in his acceptance speech, he outlined in detail the progressive steps of the depression, and emphasised the terrific effects of “shocks from abroad,” naming the suspension of the gold standard in England and the recurring financial crises in Germany. He scoffed at the repeated opinion, “things could not be worse,” saying that last winter, although it was not publicly known, the nation had faced complete economic chaos., The speech is considered by the Republicans a complete answer to Mr. F. D. Roosevelt’s campaign to date. A nation-wide Press reaction featured his utterances regarding the gold standard. Received With Great Acclaim. With the administration leaders admitting that they are concerned over

the reported increasing strength of Mr. Roosevelt in the West, Mr. Hoover decided to launch bis campaign here for several reasons, namely, the State is his birthplace anti appears to be the focal point of the agricultural disaffection as indicated by the recent farm strikes. In addition, straw polls indicate that Mr. Roosevelt is so far running ahead in public sentiment. Despite intimations that there might be an unfriendly reception for the President, which resulted in an unusual mobilisation of secret service agents and police, Mr. Hoover was received with great acclaim by a crowd estimated at 100,000, while some 10,000 invited Republicans listened to his speech and applauded enthusiastically. Prior to his arrival a farm protest was held, several thousand men marching through the streets carrying banners listing the prevailing low prices of agricultural products and making jibes at Mr. Hoover.