6“ E ARE off the gold standard,” was the terse but momentous announcement by Secretary of the FeEasUY Woodin as he returned to mess his office from a conference with Pres- ident Roosevelt; and at the same time the White House gave out the news that the Chief Executive had placed an embargo on the further export of gold, permitting the dollar to depreciate in foreign exchange, and was ready to ask congress for authority to put into action his policy of “controlled inflation.” Mr. Roosevelt himself calls this policy a program for control of commodity price levels and says it Is designed to raise prices but to keep them from going too far up. He gave assurance that there would be no resort to “printing press money.” Senators Thomas, Byrnes and Pitt- man drafted the measure to carry out the President's plan, and it was promptly introduced in the senale as an amendment to the pending farm relief bill, It provides: 1. For expansion of credit up to $3.- 000,000,000 through purchase of gov. ernment obligations by the federal re- serve banks. (This means the purchase in the open market of government bonds and was tried in the Hoover ad. ministration.) 2. As an alternative, for the Inflation of the currency by issuance of green- backs up to $3,000,000, 000 under the act of 1862, such currency to be legal ten- der for all debts, public and private 3. For use of such greenbacks to meet maturing government obligations and to purchase government obliga- tions. 4. For retirement of such greenbacks &t the rate of 4 per cent a year, §. For reduction of the gold content of the dollar not more than 50 per cent for the purpose of protecting American foreign trade from the effects of depre- ciated foreign currencies and to enable the President to negotiate an interna- tional agreement stabilizing monetary standards. €. For acceptance of war debt pay- ments up to an aggregate of $100,000. 00¢ in silver at a value of not more than 60 cents an ounce. 7. For coinage of such silver and de- posit in the treasury for redemption of gilver certificates issued aginst it, such certificates to be used for paying obli. gations of the United States. Secretary Woodin drew up the or- der concerning gold exportation. Un- der It no gold is allowed to leave the country except that earmarked for foreign account before April 15 and euch amounts as are required to save American business men from loss on commitments in foreign trade incurred prior to the proclamation of the new policy. The United States thus has placed itself on the same footing as Great Britain and many other foreign na- tions. Its money is unstable in value in International trade. It was pointed out that Mr. Roosevelt could now with greater propriety propose that all nations go back to the gold standard together, Effects of our plunge into the infla- tion pool were immediate. Prices on the stock exchanges and especially in the commodity markets went up with a rush and trading was heavier than for many months, Millions of dollars were added to the farm value of all grains, and cotton and sugar also moved upward, as did provisions. On the London and Paris exchanges the dollar sank decidedly. Neither the British nor the French were pleased with the President's action. The Lon. don Daily Telegraph sald: “Following America's latest action a demand will arise In every country for fresh de- preciation so that exporters may not lose thelr power of competition in world markets, The pew task of the statesmen Is to prevent a chaotic proe- ess of competitive depreciation of eur. rencies.” President Roosevelt OLICIES of the Roosevelt adminis. tration are being expanded and ex- tended so fast and so far that con- gress and the country are seaicely able to keep up with the pace set. One of the broadest and most revolutionary of {ts proposals was submit. ted to the house com. mittee on labor by Secretary of Labor Frances Perkins in the form of a draft bill offered as a sub- stitute for Senator : Black's 80-hour week measure which was Stergiary passed by the senate and for the almost identical Connery house bill, It Is designed to give the federal government full control not only over the hours of labor but also over Industrial production and prices. The passage of this legislation and of the pending farm marketing bill would make Secretaries PPerking and Wallace virtual life of the nution, The legal basis of the labor bill is to be found in the Interstate commerce clnuge of the Constitution and in the “unfair competition” sections of the federnl trade net, | It 18 upon these legal powers that the secretary of labor is to depend to exercise the following authority: 1. To prohibit from interstate com- merce articles produced by any indus- try working its labor more than 30 hours a week or more thangsix hours in any one day. Milk and cream are exempted; executives and managers are exempted; and certain exemptions are made in the cases of seasonal or oth- er emergencies. Boards are set up to regulate such exemptions. 2. To limit and if necessary pro- hibit from interstate commerce the production of any plant or Industrial group which is overproducing. 8. To investigate wages through a wage board, to fix and impose mini. mum fair wages: to publish the names of employers falling to raise wages in accordance with a direct order to do so; and to prohibit from Interstate commerce goods produced by any em- ployer refusing to comply with a wage order. IGHT now the eyes of the world are turned on Washington, for the series of talks between President Roosevelt and representatives of many other nations have begun, and if the hopes of the Chief Executive are real ized they will result in the finding of a way out of the world depression, Prime Minister J. Ramsay Mae Donald was the first of the visitors to arrive and the first to confer with Mr, Roosevelt and Secretary of State Hull. Edouard Herriot, former pre- mier of France, was close on Mac Donald's heels, and the others are scheduled to follow rapidly. No one of the “conversationalists” is empow- ered to really decide anything, but all of them are free to express the views of their respective governments on economic matters. It was understood that MacDonald would not talk much about the war debts, but Herriot was authorized to state France's position on that subject, The whole series of conversations In Washington is a preliminary to the coming world economic conference, and the hope of President Roosevelt and Secretary Hull Is that the way can be paved for rehabilitation of the world by the lowering of trade bar- riers and monetary stabilization. They will gladly abandon America’s tradi tional high tariff policy If the other nations are willing to co-operate and reciprocate, EPUBLICAN postmasters who have demonstrated their efficiency are to’ be permitted to complete their terms. So announces Postmaster Gen- eral James A. Farley, to the joy of several thousand G. O. P. of- fice holders and the corresponding dismay of a great army of Democrats who would like the jobs. Mr. | Farley says his party has long stood for the civil service system of competitive exam- i inations and “will not abandon that high JA Farley ground,” so he gives out this message : “No incumbent whose term has not yet expired and who has been render. ing loyal and efficient service to the government need . have the slightest fear of removal. It will be the policy of the Post Office department to allow every efficient postmaster to fill out his term.” District attorneys, marshals and collectors are not under civil service and in time these places probably will be filled with deserving Democrats Also there are hundreds of vacancies in the postmasterships to be filled Im- mediately, and these will be filled as soon as Mr, Farley's department has completed a study of examination methods, The postmaster general makes the welcome assertion that the United States post ‘office Is going to pay its way héreafter. He alms to save $72.- 000,000 in the coming fiscal year, and this, he belleves, will suffice to bail. ance the postal budget. APAN'S armies in China continued their advance south of the great wall, driving before them disorganized or traitorous Chinese troops. The Japanese at latest reporis had ocen- pled the entire triangle between the wall and the Lwan river, with its base on the gulf of Pohal, and were moving onward toward Tientsin. They crossed the river near Lwanchow and bom- barded that city and the surrounding region. There was great alarm In Tientsin, where some 400 Americans, mostly business men and their fam- flies, reside. When the Japanese started their push Into the undisputed Chinese ter- ritory south of the great wall the Lwan river was set as the limit, But the Japanese command now has an- nounced that they will continue the pursuit as far as the Chinese con- tinue to set up defenses. The Jap- anese authorities deny, however, that they Intend to occupy Peiping and Tientsin, Their apparent plan is to create a buffer area out of the triangle newly conquered province of Jehol They have gained control of all the Im portant passes through the great wall on the southern border of Jehol and the gates have been sealed und heavy guards placed at waged we’ them. UBA'S political disorders, murders and bombings, of which much has been written In recent months, have finally enguged the attention of the ad- ministration In Wnash- ington Lepresenta- tive Hamilton Fish of New York has been urging our govern- ment to employ diplo- matic intervention to end the “reign of ter- ror,” and sald he would formally de- mand that Secretary Hull take such a step unless the adminis- tration got busy very For a time Mr. Hull seemed averse to any interference, but Mr. Rep. Fish Cuban ambassador, Don Oscar B. Cin- tas, to the White House for a discus- sion of the situation. The ambassador also conferred with Sumner Welles, assistant secretary of state, and then Mr. Welles went to the White House for instructions, Mr. Roosevelt has no desire to or- of Cuba, which he could do under the Platt amendment, holding that this would cost us a lot of money and be sides would enrage President Machado and create an unpleasant diplomatic situation. Therefore his present plan is to take steps to redeem the island's financial situation, which is wretched, and to relieve the unemployment and discontent that are at the bottom of Cuba's difficulties, department wish to Increase the sugar stantial reductions to the the sugar tariff. This, naturally, wil! not please the domestic cane and beet sugar industries, whose representatives are nervously watching developments officials In Washington that opponents forts to overthrow his regime, perpe- trate some outrage against American interests in Cuba, uation in which the might be compelled to intervene, MBASSADOR JOSEPHUS iels reached Mexico City heavy military guard and after one attempt was made to wreck his train, Immediately after his arrival in the capital the unofficial crities there of his appointment let it be known that they had had a change of heart and no longer were hostile. Mr, Daniels wns formally rece Foreign Minister Casnsuranc, and pleasant chat, DAN- ved by and later presented pression on me” Cassurance sald “While it was simply a courtesy eall, we had a very agreeable chat, ing topics of general nomic, educational, interest In eco and social fields.” “1 had a very interesting and de lightful visit,” Mr. Daniels said. foreign minister was very gracious, 1 propose to avail myself of his hospi tality often” OSCOW'E famous trial of six Brit. ish engineers and eleven Russians bribery ended in the conviction of five of the Britons and tem of the Ras sians. lL. C Thornton was sentenced to three years in prison: W, Donald, who pleaded guilty, to years; Allan Monkhouse, John Cushny and Charles Nordwall were deported; A. W. Gregory was acquit ted. The ten Russians were given prison terms up to ten years unless it were the mildness of the pen. alties inflicted. The British government, which had interest, struck back at the Soviet union promptly. King George and the privy council declared an 50 per cent embargo on Russian imports and the Metropolitan Vickers Electrical Equip. ment company, employer of the con- victed men, ordered an immediate ap- who were sent to prison. YRON C. TAYLOR, chairman of the United States Steel corpora- tion, has added his volce to the chorus of industrial executives who believe the course of the de. pression has turned. At the annual meet- ing of stockholders in Hoboken, Mr. Taylor, who is noted in the financial district for the ecautiousness of his utterances, de clared: “Better ahead” 42 And In support of this bellet he cited "-C-Taylor the fact that the corporation was op- erating at 21 per cent of capacity, the first time that operations have reached this level since March, 1082, Following his address Mr. Taylor presented to the meeting a motion by a stockholder for a vote of confidence in the Roosevelt administration. It was carried without dissent by a stand. ing vote. times are ister to Denmark and the first American woman to be given such a diplomatic post, has told the newspa- per men that she intends to serve heer in the legation in Copenhagen, which is something for the daughter of Wil liam Jennings Bryan, lifelong advocate of prohibition, “Yes,” she sald, “I will serve 8.2 per cent beer, It is In Keeping with the law of my own country and the custom of the land to which I am going. Dut 1 don’t consider that important, | am really interested in the progressive de yelopmunt in Denmark which | hope to study for my country.” oe 1, Western Newspaper Union, . * Washington.—President Roosevelt is secing the start of a great national project that is for Roosevelt’s him the realization Dream of a dream he has pursed for years. His ideas for reforestation of idle lands have been enacted into law that may be met, Thousands of men are being drawn from the ranks of the unemployed In a score of cities and are receiving thelr training that they as the Civilian Conservation corps may go into designated areas to replant the forests that have been devastated by the ever-encroaching hands of in- dustry. Mr. Roosevelt looks upon the pro- gram that may cost ag much as $800, definite purpose and a definite value to the country. It is possible to employ under the terms of the Each man will be paid he is army and is fed and elothed on the The pay back to his family, thus relieving local charity of that charge. In purpose, the reforestation move ment is broader than just the plant. Ing of new trees; it is to be a scien tific job In that engineers will consider ing of soll erosion or washing, and The therefore, constitute a sources of a national character and the program as a whole bears the The President Is under no illusions shout the project. In chats with news. paper correspondents he has made it clear that he realizes the total of un employed to be given work Is only a drop in the bucket. But be contends even that number gainfully employed will have some effect on the general situation and that they are doing a useful work. Advocates of conserva tion of national resources agree that the work Is useful, yet among many In this connection, some of the ar gument used in debate on the legis It was declared, for example, that an the plan, from an unemployment standpoint, Is use of double the number, accomplish. ing a distribution of the work. Such a ers away from home without attendant expenses of food and clothing for the Hence, it was argued that work should have been made In the home communities of the men. den upon the present taxpayers for production of a future asset, * . - Considerable complaint has reached Washington about the methods em Recruiting the men for service " Criticized ©! the. forestation work Officials charged with supervision of the work say, however, that objections and crit. feisms are to be expected and that thelr instructions to the recruiting agencies naturally must leave some discretionary powers to the subord!- nates, In addition to the “red tape” so usual in government affairs and not iacking In administration of the for. estation program, reports here Indl cate a tendency on the part of some recruiting officers to be dictatorial and to arefuse to cooperate with local charitable Institutions, Corps head. quarters here denies that local charit- able agencies have not been consulted so that the most deserving individuals may get a chance to join the civilian service If they desire, At any rate, the picture of the great program for restoring the country's forests and providing work at the same time holds forth Indications of trouble. In fairness, it ought to be sald, according to general opinion here, that Mr. Roosevelt has promoted a scheme of exceedingly high purpose bit that It Is of the character that permits extreme abuse exactly as do so many idealistic plans, T have heard some of the President's supporters in congress express fear coticerning the. eventual reaction of the country to the plan. That, of course, Is a polit. ont one of the possibilities. A few years ago, It was quite the thing to lssue bonds to pay for public I m provements, Bonds and States, counties, EmptyTreasuries cities towns, school districts, road districts, levee districts, drainage districts, irrigation districts and every other subdivision of government was fssuing bonds with reckless abandon and making improvements galore. 1 have been unable to obtain from any Le source ap accurate figure as to the total amount of such honds, but with- out doubt they run into a good many billions of dollars. But now the day of reckoning is at hand. Bonds must be paid off and re- tired by many communities, or if the principal is not due, there is yet the interest to be met. And ihe treasuries are empty! S80 it was only natural that the theory of scaling down those debts should be examined and In conse quence of this, Representative Wilcox, of Florida, has introduced in the house a bill providing for any subdivision of government to declare itself bankrupt and ask the bankruptey court to help it arrange a composition with its cred- ftors. There Is, of course, nothing new or radical about that dill, It pre sents the only way out, both for the communities whieh sold the bonds dur- ing Its wild orgy of spending, and for the Investors who acquired the bonds, In the case of the community which bonded itself, the bankruptcy court presents a way by which a part of the debts can be pald and the city's finances, or whatever subdivision ft may be, can be arranged to meet new conditions. In the case of the bond holder, it is either go along with the community In a cooperative spirit, share part of the loss and provide a chance for the debtor to pay ont, or see the whole Investment go up In thin air, ® . . With reference to the Wilcox bill, I was told by a representative whose district Might Hart the city of New City’s Credit York that enactment of such would damage the credit of that great city. People would fear that its bonds also would become worthless or that they would have to accept a proposal for composition of all claims, each creditor taking a proportionate share, My answer was that any person hold- ing a bond of a city or county or road district school district or what not cannot possibly be so blind as to avoid seeing the true facts to fear: try to “kid” the has nothing so, why should It people? I mention New York as an example, and because there are a score of other cities in the same situation. They are not insolvent as long as the people can pay the taxes lald upon them. People are pot paying taxes, however, because they cannot do so, In many scores of localities, So a thorough study of the entire situation would seem to force the conclusion that some legislation such as the Wilcox bill Is inevitable. Creditors must take half a loaf as better than no bread at all The Wilcox bill proposes that when 8 comitnunily Is in default on its bonds, it may seek the aid of the fed: eral court and negotiate an adjust. ment which, If it be acceptable to three-fourths of the creditors, calen- lated on the amount of the claims or bonds they bold, the other onefourth becomes bound by the court decision or affirmation of the agreement. The bill would compel the taxing dictrict to make preparation in advance for rails ing revenue to pay off the revised debt 80 that there could be some assurance of final settlement, - . - But the Wilcox bill 1s having its troubles in getting onto the greased runways of favored legislation. De spite the fact that the theory of it is precisely the same as the Roosevelt theory about scaling down debts owed by farmers and by owners of homes ia town, there has been no nod of Instroe. tion from the White House thus far to put the legigation through, - Few people In he country recog. nize how many cities, towns town. ships and the varl Hundreds ous kinds of districts in Default the payment of In terest or principal or both. It is a condition that now has affected more than 300 communities, and May and June will see enormous additions to that total for in those months there are numerous bond issues on which either the interest «or principal ma- ture, and the issuing communities are without funds to meet the obligations, There are communities In 41 states right now where bond issues are In default, and this appalling condition s*sws no signs of ahatement, Truly, the politicians who cam- paigned for such things and who claimed to be promoting great Im- provements for the common good are no longer In a position to serve their communities from pure curiosity, I examined gome of the statistics for half a dozen or more communities whose bonds are in default, and they showed the amaz- ing result of total hond issues in one or two Instances that ware as great an the appraised value of the prop: erty in the whole community. Theo retically, you know, a bond issue of that type congtitutes a first llen (Just like a mortgage) on factories, stores, residences and other property of the community, It is easy to see, there fore, why the names of those com: munities have been omitted from this analysie, © 1933. Western Newspaper Union Howe About: Poor Advisers Drag on Progress Geniuses By ED HOWE N 1020 the President Research Committee on Social Trends. The members were the most notable of the college professors, sev. en In number, and thelr report has re cently been made, With one exception everything In it might have been ree ommended by a similar commission appointed by Joseph Stalin, the scoun- drel who heads the Soviet government in Russia. The one exception is that the members express faith in private property, but the belief Is also ex- pressed that violent revolution In America Is probable, If not inevitable, and that the Injustices we warrant such revolution, Arthur Bchopenhauer is, 1 believe, accepted as one of the ten most intelli. gent and best educated men in sll his tory. He contended steadily through out his best years that college profes. sors are the least reliable of all advis. ers, because of thelr seclusion from practical affairs, and their enormous prejudices and over education The President must have known this I wonder he did pot appoint on the commission some of the more notable men of practical sense and educat] and save us from this humiliat broadcast, The report comes at time when the Soviet doctrine is fall ing to pieces of its own weight, from having been put into effect. It comes at a time, also, when the intelligent world Is most interested In attempts appointed a practice own borders. A report forts of the encouraging renewed ef- respectable majority ev- the Russian monster would have been wiser, and more in accord with the The Rus the their own that we si id be placed on record as encouragir ir ghastly another n is not only humiliating, bu The rep glans are being starved out of le expert- ft as ort of the commis the them- more to be . ® . irs there is a new much tter of their Every twenty yes crop of young men, expected. As a ma practical fact young men, immature, rebel! 18 notior drag on sound p 8 generation gets seltled ceed with greater gence, along comes aNO young men to disp decided upon, and the over again. of whom so with ETERR things preparing t peace and oy lot ” 2 and is * * * The feats of have never greatly astonished : 1 have been more interested in the amazing manner in which common men have been able to get along with no greater effort than the practice of natural habits, 1 have concluded there is no such thing as genius, unless it is determl- nation and ability to steadily follow the simple rules of morality. History tells of a people who were once slaves, but able to overcome their masters by patient practice of industry, efficiency, reliability, saving. Such information as the masters had, the slaves acquired and improved. The rowdy masters disappeared from the face of the earth, but the slaves survived because of bet. ter habits. I wonder an American is not ashamed to fail in & country where a good living is so easily made. »* » * Women believe men hover around them because they need the counsel, wisdom and morality of the sex. Men are not attracted to women by any of these things; women them- selves say men are famous for hover. ing around silly women, and will not warry women of real worth. * - . At a time when many of the Romans had statues erected in their honor, & man asked Cato, the elder, why he had none. “He answered: “I much prefer that men ask and wonder why I have no statue than wonder that I had one.” - * - It Is aiways wise to remember that your mind is as much a part of your body, and needs as much help and man agement as your stomach, your ears, or your eyes; your mind is not a no- ble thing that functions without care, or assistance, or the teaching of ex- perience. . When I hear men are steeped In sin, it occurs to me they have done rather well In spite of it. Of twenty discov. eries of greatest use to mankind, thir teen were made in the last hundred years, as against seven in all preced- ing time, in the early days of the republic one Cotton Mather believed Ameri cans were 80 sinful they were likely to be destroyed at any time, and he expected no Improvement. Since his day the country has shown a develop. ment that the men of all time will marvel about. What Cotton Mather telleved the people needed most, they the geniuses A good many flirt with the devil, but every morning there are sufficient sober men at desks, benches, and pove'te entry wn 4 Cruditatie Gag, "Rn man arate wx tin i a
Significant historical Pennsylvania newspapers