U.S. FISCAL POLICY

Poverty Bay Herald, Volume LX, Issue 18255, 25 November 1933, Page 15

U.S. FISCAL POLICY

AL SMITH CRITICAL “BUSINESS PARALYSED” FAVORS RETURN TO GOLD (Eloc. Tol. Copyright—United Press Assn.) (Received Nov. 25, 2.C0 p.m.) WASHINGTON, Nov. 24 With the price of gold unchanged for the fourth consecutive day and tiie dollar as well as stocks, bonds and commodities gluing up easily, the most important news of the day hearing on the financial situation was Mr. A 1 Smith’s surprisingly pungent statement expressing disbelief tiiat “the Democratic Party is fated to he always a party of greenhackers, paper money printers, free silvorites, currency managers, rubber dollar manufacturers, and crackpots.” He added: “The latest fiscal move of the Administration has undermined public confidence and has created uncertainty, paralysis in business, discourages private initiative, drives money into hiding, and places the entire burden of sustaining the population on the Central Government. “Wo are told that there is a new theory of government on the road. It is a theory that the Executive are the quarterbacks of a football team who do not know a minute m advance whatsignal they will call next. There is nothing new in it. It has never pulled a

great modern nation out of the depression. What the people need to-day is what the Bible centuries ago described as ‘the shadow of the great rock in a weary land.’ Mr. Smith continued: “In the absence •f anything definitely known to bo better I am for a. return to the gold standard. Lam for gold dollars as against boloney dollars. I am for expert once as against experiment. If I must choose between private management of business and management by the Government bureaucracy I am for private management. I am ready to go through a certain amount of deflation if the choice is between this and outright money inflation.

“If I must choose between leaders of the past with all the errors they made and all the selfishness they had been guilty of and inexperienced young college professors who hold no responsible public office lint are perfectly ready to turn 130.000.000 Americans into guinea pigs for experimentation, T am going to lie for the people who made the country what it is, and I say ibis with a full knowledge of tho fact that there are many things in the old order of society which T should like changed and which I do not. applaud or even condone.” Mr. Morgenthau, arriving at Warm Springs to consult President Roosevelt, said : “Ignoring the critics of the goldbuying monetary programme, the President is going ahead therewith.”

A message from Warm Springs (Georgia) says that President Roosevelt definitely stated to-day that ho contemplates no change in his gold control programme.