AMERICAN CURRENCY

Otago Daily Times, Issue 22064, 21 September 1933, Page 9

AMERICAN CURRENCY

QUESTION OF INFLATION

A SENATOR’S SUGGESTION

(United Press Association.) (By Electric Telegraph—Copyright.)

WASHINGTON. September 19.

Senator Pittman (Democrat), accompanied by the United States delegation to the recent Economic Conference, was called to White House to-day by the President, when Senator Pittman filed a brief for the free coinage of silver as a means of inflation. Ho contended that the President had the legal right to allow unrestricted coinage of silver produced in the United States, and that if producers were allowed to have bullion coined and used by them, 29,000,000 to 33,000,000 dollars would be put in circulation. EFFECT ON PRICE OF SILVER.

WASHINGTON, September 19,

It is understood that Senator Pittman contended that the free coinage of silver would raise the price of silver from 41 to 129 cents per ounce.

ASSISTANCE FOR FARMERS.

WASHINGTON, September 19. (Received Sept.'2o, at 8 p.m.)

Keeping pace with the renewed demands for inflation to aid United States agriculture, the Administration to-day disclosed plans for spreading 400,000,000 dollars over farm States within six months, to ease farmers’ mortgage burdens. Concurrently with this announcement by the farm credit administration, spokesmen for cotton and 'liver pressed upon White House demands for currency expansion immediately, as part of the recovery .campaign.

COTTON PLANTERS’ SUPPORT.

WASHINGTON, September 19.

Pressure upon President Roosevelt from southern cotton planters for the immediate exercise of his inflationary powers was carried directly to the White House to-day, but from there it was adroitly transferred to the Department of Agriculture, where Mr Wallace (Secretary for Agriculture), however, declared himself unable to meet the delegation, which was headed by Mr Wanamaker and Senators Thomas and Smith, of South Carolina. The delegation found that the President had been compelled to cancel all his engagements, as the result of a cold.

Mr Wanamaker, followisg his failmn to obtain a hearing from Mr Wallace, complained of being “ shuffled around.’’ and urged the cotton men to remain in Washington until they obtained a hearing by the President.

Mr Wanamaker (president of the American Cotton Association) previously asked the cotton farmers to stop ginning and the sale of cotton until they received at least 15 cents per lb for short staple middling grades, and advocated the immediate inflation of the currency.

NATIONAL RECOVERY ACT.

THE RETAILERS’ CODE,

WASHINGTON, Septerlber 19. (Received Sept. 20, at 11.50 p.m.) Controversies over price fixing and the functions of the various labour arbitration boards attracted major interest in the National Recovery Act to-day. At the hearing of the pivotal retailers’ code, the so-called planning division of the National Recovery Act, whose membership includes a group of noted economists, declared that price fixing would wreck the whole recovery programme by decreasing consumption, causing widespread business failures, and making “indefinite monetary inflation” necessary.

The strike situation having apparently heavily taxed the patience of arbitration officials, Senator Wagner, chairman of the central board, threatened to resign over alleged interference by General Johnson’s subordinates. However, the situation was smoothed over by General Johnson’s orders and local boards will not supersede the central board in the strike negotiations.

ALLEGED VIOLATION OF CODE.

NEWARK (New Jersey), Sept. 19. (Received Sept, 21, at 0.15 a.m.)

In what is believed to be the first court trial for violation of the National Recovery Act code a local clothing contractor was found guilty of violating the State Enforcement Act by -‘ailing to pay his employees back pay, owed under the code. Sentence was deferred and there is no intimation of its probable nature.