BECRETARY OF THE TREASURY MORGENTHAU, in his first speech since taking office, forecast an even tual inflation of $2,800,600,000 by an. nouncing the treasury expects sooner or later to apply its gold “prof. it" to a reduction of the national debt. “For the present this $2 800,000,000 is un- der lock and key,” Mr. Morgenthau said, “Most of it, by au- thority of congress is segregated in the so- called stabilization fund, and for the Morgenthau cont we propose to keep It there. But 1 call your atten. tion to the fact that ultimately we ex- pect this ‘profit’ to flow back Into the stream of our other revenues and thereby reduce the national debt” The “profit” in question accrued through a bookkeeping operation when the amount of gold fixed by law as the equivalent of $1 was reduced from 23.22 grains to 13.71 grains. This meant that an ounce of gold was worth $2067 one day and the next had a value of £35. Just previously the treasury had taken title to all the monetary gold In the country, paying for it at the £20.67 rate. On every ounce it made a “prof. it” of £14.33 the difference between the purchase figure and $35, The secretary gave in figures his es timate of the cost of the New Deal Against an Increase of $6,000,000, 000 in the national debt, he asserted, various assets should be deducted. He listed them as follows: An Increase of 21.600.000000 in the treasury's cash balance since March 4, 1933. The gold “profit,” 800,000,000, An increase In the net assets of agencies wholly owned or financed by the government, amounting to $1.0035.- 000,000. Morgenthau did not carry the prop- osition through to Its arithmetical conclusion, but the cost of the New Deal under his theory would amount to $3505,000,000, Secretary amounting to $2.- EN. HUGH 8. JOHNSON, through & spokesman, has flatly denied the story of his dispute with Donald Richberg and Secretary of Labor Per. kins over control of the NRA, but well informed persons in Washington be- lieve It is true. The President calmed the storm but put off the decision. The NRA Is being reorganized temporarily to serve until the next congress gives it permanent form, and for the pres ent Johnson retains his supremacy, To bring about greater efficiency and economy the codes of the NRA are being realigned. Industry is di- vided Into 22 classes, the initial move toward cutting down the number of codes from 682 to about 250 and group- ing them In ten grand divisions Merg- ers are relied on to make the drastic reduction in the number of codes Codes with similar or related inter ests are grouped together. Allied businesses will thus receive Identical treatment on common problems, offi: cisls sald. The codes also are ex. pected to be easier and cheaper to ad- minister, The 22 classifications In turn are based on four fundamental groups as follows : Producing Industries—Food, textiles, leather and fur, ferrous metals, non- ferrous metals, non-metallic products, fuel, lumber and timber, chemicals and paints and drugs, paper, rubber: Fabricating Industries—Equipment, manufacturing, graphic arts, construc tion, Service Industries—Public utilities, transportation, communications, amuse. ments, finance, Distributing trades— Professions and services, wholesale and retall codes. GF ERAL JOHNSON has repeated ly said that he could not afford to sacrifice his private business earn- ing capacity by remaining at the head of the NRA on a salary of $6,000 a year, intimating that he would have to retire from his governmental Job, It 1s now revealed that on July 1 his salary was Increased to $15,000 a year by order of President Roosevelt. MocH political benefit to the ad- ministration in ‘the congressional campaign is expected to accrue from the reciprocal trade treaty with Cuba which bas just been anmounced It Is the first of the projected trade agreements and little eriticlsm of it 1s likely to be heard, The domestic sugar producers, who of course do not like the reduction In the duty en Cuban sugar, were yrepared for the action by discussions of past months and ae cordingly had adjusted themselves to the situation. , The domestic tobacco Interests are consoled for reductions in duties by the limitation of imports of Cuban cigar leaf tobacco, cigars and che roots of all kinds to 18 per cent of the total quantity of tobacco used in the United States during the previous year for the manufacture of cigars, The reductions In duties on fruits and vegetables imported from Cuhs apply only to certain seasons and thus are not as objectionable to domestic producers as they might otherwise be, As against the concessions made to Cuba, which are regarded as so Im- portant from the standpoint of that country as to offer great promise of economic recovery, there should be rather widespread benefits to agricul. tural and Industrial producers of the United States. The most valuable con. cession is a great reduction In the Cuban duty on hog lard. | ELIEVING the emergency phase of agricultural adjustment is about over, the AAA officials are simplifying thelr program for the future, Tenta- tively they propose these control plans for 1935: Wheat—10 per cent reduction In acreage that of the base pe- riod, 1930.32 inclusive; desired acre- age, about 62,000,000: desired produc. tion, 750,000,000 to 775.000.000 bushels, Corn—Possibly a 15 to 20 per cent reduction in acreage, Instead of 20 to 30 per cent as specified by the 1034 program, Hogs and other livestock—No direct control, supply being regulated by ad- Justment of feed crops. Cotton—10 to 15 per cent acreage reduction under base period, 1928.32, Inclusive, Instead of about 40 per cent: desired acreage, 52000.000 to 37.000. 000; desired production, 11,500,000 to 13,000,000 bales. below GS IERGUSONISM" in Texas was struck a probably fatal blow when James V. Allred, the young at. torney general of the state, won the . Democratic nomina- tion for governor In the Democratic run off primary. By a ma- ority of about 45.000 votes he defeated Tom F. Hunter, who was backed for the nomination by *“Ma“ Ferguson, the present governor, and her hus. band, James E. Fer. guson, who formerly J. V. Allred occupied the office un. til ousted by the legislature. The Fer gusons have controlled Democratic politics in Texas for some twenty years, but their sway probably is now coming to an end. Mr. Allred is only thirty-five years old, but has come to the top swiftly. His nomination is equivalent to election, PTON SINCLAIR, the Socialist author who turned Democrat in order to run for the Democratic nomi- nation for governor of California, suc ceeded in his purpose. In the primaries he ran far ahead of George Creel, who was director of propaganda during the World war; Justus 8. Wardell con- servative, and Milton K. Young, the Democratic candidate in 1830. Sin- clair campaigned on a plan “to end poverty In California” which was set forth in a book he published. It calls for the state to take over and operate defunct factories and businesses and farms acquired because of tax delin- quencies as a means of placing the unemployed. Sinclair's opponent In the election will be Frank ¥. Merriam, the Republican acting governor. Sen- ator Hiram W. Johnson easily won re nomination and Is on the Republican, Democratic, Progressive and Common wealth tickets; his only opponent is George R. Kirkpatrick, Socialist. South Carolina Democrats will have to hold a runoff primary to decide be- tween Cole LL. Blease, former governor and senator, and Olin D, Johnston, young attorney of Spartansburg, for the gubernatorial nomination. Iz a referendum held as a guide for the leg. islature the drys were defeated. Democrats of Mississippl also will hold a runoff primary to determine whether Former Governor Theodore OQ. Bilbo or Senator Hubert D. Stephens shall represent the state In the senate. prinsy people the world over re Jolced at the annomncement that Prince George, fourth son of the King, was engaged to wed the lovely Prin. cess Marina, nlece of the late King Constan- tine of Greece. The announcement from the palace in London said: “It is with the greatest pleasure that the king and. queen unce the betroth. al of their dearly be loved son Prince FRANCIS J. GORMAN, head of the strike committee of the United Tex- tile Workers, sent to the sectional leaders the secret instructions for a general walk-out In the cotton textile industry on September 4. Tha order affects approximately 0500,000 cotton mill workers; and about 800,000 more will go on strike then or soon after in the silk, rayon and woolen mills, “1 am fully convinced,” Gorman told reporters, “that the strike not only will materialize but will be success- ful.” The administration, however, still hoped that the strike could be avert- ed through the efforts of the national labor relations board headed by Lloyd Garrison. The union leaders have made it plain that they expect the strike will be Indirectly financed by the government through the relief or- ganizations, They admit that thelr unions have not sufficient funds to carry the workers through the pros- pective period of idleness, ENATOR THOMAS D, SCHALL of J Minnesota, Republican, engaged In an acrimonious controversy with President Roosevelt concerning the former's assertion that the administration is seeking press, and the blind senator used language that was so disre- spectful to the Chief Executive Mr. Roosevelt's sever- est critics could not approve of it. The President had asked Mr. Schall for the “facts” on which he based his recent assertion that plans are under consideration Tor “a national press service to take the place of the Associated Press, the Hearst News service and the Unit ed Press.” This service, Mr. Schall sald, would “have exclusive use of all government news and be In a position to give its service only to those newspapers loyal to the Roose- velt dictatorship.” “Once these facts are In my handa™ sald Mr. Roosevelt, “they will receive immediate attention In order to make impossible the things you say will be done, because I am just as much op- posed to them as you are” The senator immediately sent to the President and made public a 650 word letter in which he sald in part: “You ask me for ‘Information’ con. cerning what you yourself have done. Are you attempting to secure the facts 80 that you may be in a position to re- fute yourself? “Your telegram to me bears out the suggestion of the constant effort to mislead and fool the public. Your de- sire to make yourself appear before the people of the United States as cham- plon of a free press may be as insin- cere as your promises to the people when you accepted the Democratic nomination at Chicago with the state- ment that you were for their platform 100 per cent. "To date you have not kept one of the covenants you pledged the peo ple at that time. Let me recall your testy anger at your disappointment in keeping out of the press code the ex- pression of a free press” Schall went on to cite what he called “specific evidence” of an inten- tion by the President to force a cen- sorship of the press so that “your acts and the acts of your Communistie bureaucrats might be hidden from pub- lic gaze” Senator Schall answer sharply rebuking him for his “vituperative™ letter “which gives no facts and does not answer my simple request.” In conclusion be sald: “The Incident is closed.” " Schall retorted In somewhat milder language that he as a representative of the people could not let the affalr rest, ORE electricity for more people federal power commission in a nation- al survey which has just boen started. According to Basil Manley, vice chate man of the commission, the survey will mit to the next congress the “most comprehensive and authentic exhibit of our power resources and possibill- ties ever made In this or any other country.” To obtain the data required the commission has sent a question. naire to every private and municipaily owned power plant in the land. “Determining the nation’s power re- quirements and how they ean be most economically and advantageously sup. plied is the primary purpose” Mr. Manley explained. “Markets must be considered, as well as power sites that can be developed at reasonable cost, either by governmental enterprise or private capital, “One purpose is to establish and maintain that balance between steam and hydro-electric power which will give America the most dependable sources of energy at the lowest sible rates.” ——— sri the Polish denials that a Washington.—Recent developments in the Nation's Capital tend to Indicate, . in the opinion of Campaign long time observers, Issues that the issues of the coming election cam- palgn and for the next session of con- gress are being sharply drawn. It (3 recognized here that the line of cleavage will be whether the Roose velt administration shall go further to the radical side or whether it shall be forced to a more conservative be- lef. There has been so much confusion in administration affairs that the issue is being forced. Each time heretofore that conservatives have fought against proposais by the Roosevelt administra- tlon or have criticized acts performed the discretionary authority granted the President by congress, the conservative element has been badly defeated. It should be sald that the conservatives have lacked any particu worthwhile. Consequently thelr at. tacks have lacked wirility and have amounted to the same thing as an at tempt to kill a bear with birdshot. Now, however, there seems to be a conservatives, both Democratic is evidenced by the formation of the American Liberty league. This group, headed by such cratic national committee head, former United States Senator James M. Wads- candidate for President, has announced Constitution. It also is prepared to make war on radicalism, Mr. Shouse, who will be the league's president, de clared jt was not antl-Roosevelt., or anti-administration but that it admit tedly will be against some features of the New Deal. Thus, for the first Roosevelt became President, fronted with frank outright tion of a serious kind on those parts of his program which the league and other conservatives believe go beyond of American My Information is that the league Is well supplied with funds and that it will be able to disseminate its views In extensive fashion, The purpose, It is sald, is to make sure that the rank and file of voters hear all sides to the vari ous questions, The non-partisan character of the work to be done is being emphasized. The names of the men who head the organization are advanced as proof of the statement that It will not dabble in partisan politics, It remains, never theless, that this group naturally must oppose a good many of the New Deal plans and in some quarters it is be lieved the New Dealers will attempt to catalogue It purely as an antiad ministration propaganda machine, It is to be seen thus that Mr. Shouse and his associates have a battle on their hands In gddition to defense of the But those factors do not Mr he is con- time since opposi history. in the American Liberty league we actually are seeing the birth of a new It is this manner that . » » The lack of co-ordination In govern. mental agencies is giving the Presi . dent fresh concern Richberg’s 4 a new program Job is being considered In order to fend off partisan attacks. Donald Richberg, Chicago lawyer and former general charge. He will attempt. where his predecessor Frank Walker fafled, to has resulted In many of the agencies of the New Deal running counter to each other, Mr. Hoosevelt wants “balanced con- trol” among these agencies. That is he wants to see that the various units whose functions may overlap are not warkiug at cross purposes and he wants to see the recovery machine set tied down so that there may be har mony among the officials of the ad ministration. * “ For an example of what 1 mean, take the case of NRA and AAA. It has been recognized for some months that the purpose behind these two groupe and upon which they have been attempting to expand government supervision of agriculture on the one hand and industry on the other have led officials in different directions. It has resulted in an undercurrent of dis satisfaction each with the other. Mr. Richberg thinks that some way must be found for this to be eliminated, Then we have the Public Works administration, the Reconstruction Finance corporation, and the Home Owners Loan corporation and now the Federal] Housing administration, It is éasy to see how many times any one of these may cross up the plans of the others. The result obviously has been difficulties and embarrassments that ought never occur and would have Mr, Richberg's job, therefore, plain. ; fraught with great difficulties Lh fraught with potential program steps on toes, observers here think they foresee a more serious disagreement among ad. ministration leaders than has yet taken place, If he succeeds In accomplishing the purpose assigned to him by the Presi. dent, Mr. Richberg will face the op- position of the newly formed Ameri- can Liberty league and the conserva- tive element throughout the country with a well olied machine to carry out his policies. ® % . The critics of Gen. Hugh 8. John- son, national recovery administrator, . have had thelr turn Their Turn to laugh. The gen- to Laugh eral, who has come famous for his frequent threats to “crack down” where Industry failed to live up to the codes which the administration laid down, has run afoul of one of his own agencles, the national labor rela- tions board, be. John L.- Donovan, a labor board ad- visor apparently because Mr. van had been active in organizing a union among employees of the NRA of whom there were some 2.000. Mr. Donovan was dismissed officially for being “inefficient” and for “insubordi- nation,” but few observers ever accept. ed that as the explanation. Now, General Johnson has been directed by the labor board to reem. ploy Mr. Donovan, and told that if he ¢id not reinstate the dismissed worker he would be violating one of the pro- visions of his ofn law and one which he bad used many times in his threats to crack down, The Incident has a ¥ig- nificance, however, as observers here There Is much around Washington to the effect that further Boe it discussion General Johnson in the Donovan case he had promises to organ. ing the crop which iis many i ; In other words, to appear In the opinion of 1 that the much and when he found the vulner. able spots In his sought to get away peated preachments f 1 # it is made J per BONS sed general prog too own program he from his oft re only to be con made an investigation of the merits of the case, No one can tell at this time how far-reaching the sion may prove to be. Some observers figure that a way will be found to eliminate Mr. Donovan from the NRA organization later but If that takes labor [teelf will rise up and there General Johnson of their interpreta. tion of the labor provisions In the recovery act. Suggestions have been heard likewise to the effect that If an employer, private or public. is not per- efficiency or insubordination. employ- ers of labor through the country, sub servient to the national recovery act and the codes, are faced with a situa- tion the scope of which cannot now even be hinted. * - » It has been anticipated generally that the administration will greater difficulty In House May the house of repre. Make Troublesentatives next win- ter with the new crop of members than obtained during the last session of congress when the house was quite subservient to the White House orders. Advance notice of the difficulties already has appeared in the shape of a fourcornered race for the speakership made vacant by the death of Henry T. Rainey of Mii nois. It is sald now that the White House is prepared to stay out of the fight because, traditionally, the Chief Executive has not messed with the choice of house leaders. It Is a fact nevertheless that the present list of entries for the speakership assure a battle between the friends of the brain trust and the more conservative, practical politicians in the house mem- bership. To date Joseph W. Byrns. the pres ent floor leader and long time repre. sentative from Tennessee, appears to have the jump on the other candi dates. It cannot be overlooked, never. theless, that Representative Sam Ray burn of Texas, chairman of the pow. erful committee on “Interstate com merce, and Representative Willlam Bankhead, of Alabama, are very much in the race. Representative John Ran kin, of Mississippl, must be considered also because Mr. Rankin has been active In assisting the Democratic or ganization In the house in the ast two sessions and he has many friends, No one ean tell, of course. what kind of a jam will result and what trading will be Initiated between the Oats Grown With Alfalfa Advised Serves as Good Nurse Crop, Protects During Winter, Halts Erosion. By C. H Varnham. Assistant in Soil Brperi. ment Fields, University of ifinels--WHU Bervice. Damage from dust storms, which proved so devastating to young alfalfa seedings in some sections, can be prac- tically eliminated If oats is sown as & nurse crop with the new alfalfa seed- ings this fall, Largely as a result of the poor stands of forage caused by the drouth and the provisions of the AAA pro- grams, it is anticipated that an excep. tionally large acreage of alfalfa will be seeded during the next few weeks, An appreciable amount of these seed. ings will be on sandy or light wind. | blown soils which are subject to wind | erosion ruir seedings | made during latter part of the | summer, | Tests at the Oqua | ment fleld, maintaines county by the College of Agricuit capable of the damage a { with by the | nation nurse seeded alfalfa or i vai Le . unt Ns made closed no damag fall grove where last outs away nif where Irrous Howevey no oats h ia was either badly entirely killed by In a larger i, sand deep, the wind -blown sand. the inches inprotected area on | field ad drifted several completely burying bluegrass, In addition to 1 ment of BOWH a8 a ni i irse crop with alfalfs fall supplies at least three vantages Grasshopper ents to the young thus the ire not floors » CR UInNe Sweet Clover Hay Rated High in Minnesota Tests Steers w en pr as well n trial universit : two kinds of hay were about equal also for winter beef | cows and Tria | like results with lambs, Cutting the cured sweet clover with an was found i able for cattle it there was | no apparent advantage cutting It { for fattening lambs. Fine grinding of | roughage makes the feed too expen- sive for cattle Cut | fairly satis | beef helfers. is have given ensilage cutter advis- feeding b was found a ary fed in corn fodde for COWS 81 when | limited quantities with corn silage and | cut sweet clover hay and when fed | with shelled corn to fattening lambs. ‘he heifers lost some flesh on a ration { of roughage only, and it was found i necessary to add a little grain to keep | them gaining. Adding linseed meal to ! the lamb ration of shelled corn and | cut corn fodder Improved it slightly | but decreased the feeding profit Prairie hay, even though of excel- lent quality and supplemented with linseed meal and limestone, proved an | unsatisfactory roughage for fattening yearling steer calves and lambs. Give Pastures Start Good pastures are an asset to any farm, and particularly to a good lve stock farm. Many farmers damage their pastures by turning stock on them during the early days of spring. The ground is usually soft and tramp- ing damages the plants. The worst damage, however, comes through close grazing of the young plants before they have a chance to get started. Plants require a reasonable top growth in order that their roots become firmly established. The young, tender grass of early spring does not have as much nutritive value as it will have a few weeks later. It Is best for the live stock and much the best for pastures if they are given a chance to get a gosd start. Use Planes to Fight Hoppers The adoption of airplanes to fight grasshoppers is another Hlustration of the resourcefulness of the western Canada farmer. Spreading of poison for grasshoppers has been so success ful In one or two areas in southern Alberta that it will probably be adopt: ed as a regular method in future. The planes were used In flying at 100-feot elevation, using four pounds of bait te the acre. The cost per section was $8 to £10, and the distribution thinly and evenly done, and so effective, with the use of oiled bait, that hoppers were still dying a week after the bal was spread. : ;
Significant historical Pennsylvania newspapers