The Barnwell people-sentinel. (Barnwell, S.C.) 1925-current, February 07, 1935, Image 2
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Barnwell Pteopl
well, S. C. Thursday, January 31, 1935
CURRENT EVENTS
ut
1
a
PRESIDENT PRESENTS "SOCIAL
SECURITY PLAN"—GOLD
RULING DEFERRED.
Pr«sicl«nt
RooMv«lt
ty aDWARP W. PICKARD
£). W«Ktern Nawapapar Union.
'T'HK oiogt far-flunK Innovation the
New I>eal has proiiosed thus far—
the "social security plan** proposed by
President Roosevelt—has aroused a
storm of discussion.
Administration adher
ents greeted the
scheme with wild en
thusiasm, „ while the op
position, led by Sena
tor Borah, Idaho, has
voiced vigorous criti
cisms.
All business In con
gress has been side
tracked to permit Im
mediate action on the
proposed measure.
Public hearings have
■Iready been started In the senate
finance committee, and the house ways
and means committee has postponed
consideration of the bonus bill to work
on the security plan. This Is feeing
done at the President’s behest. The
plan provides:
Flexible, but compulsory unemploy
ment Insurance under a federal-state
system restricted to workers and
financed by a fl per certt tax on pay
rolls after January 1, 1038. The gov-
ernment will aid In bearing administra
tion costs, and the treasury will han
dle the fund. Ninety per cent of the
pay roll tax Is to be refunded to em
ployers who contributed to state un
employment plans. A maximum of $15
a week of compensation to begin four
weeks after the worker loses his Job
and to last for not more than sixteen
weeks 1s contemplated.
The second part of the/plan pro
vides for old-age pensions. The gov
ernment Is to cooperate with the
states and pay a maximum of $30 a
month to persons over sixty-five. The
national government Is also to aid
states In formulating a plan for per
sons under sixty-five which will be
financed Jointly by employer and em
plqyee through a pay roll tax; the
funds to be handled by the federal
government: the amount of pensions
to be a percentage of the employee’s
wage; with non-manual employees re
ceiving more than $250 a month to be
exempt from the plan.
The third section of the scheme pro
vides for appropriations to give bet
ter facilities to caring for mothers,
and de|>endent and crippled children,
and Ht* fourth section would furnish
larger appropriations for public health
altL'inveatlgation and research.
V
Cost of the entire program to the
federal government will be $100,000,-
000 next year and $200,000,000 In suc
ceeding years. The cost to the states
will be $75,000,000 next year and $150,-
000,000 In succeeding years. Some Idea
of the size of the plan may be gained
from the report of the President's cab
inet which said seserves for old-age
pensions must be maintained after
some years at $15,250,000,000.
C*UKOPRAN statesmen anxiously
watched developments In the can
tons of Euiien and Malmedy on the Bel
glan frontier *as gendarmerie re-en
forcements were rushed to arrest Nazi
agitators who have been advocating an
nexation of that territory with theater-
man relch. loyalists renort a ^ cam/
palgn of terrorism has been carried on
against those who have refused to Join
an organization directed by the Brown
Shirts. The Belgian government Is ex
pected'to lodge a complaint with the
League of Natlons. - —^ t ^
A celebration was recently held over
the Saar vpte, and manifeateea were
posted on the street corners urging the
residents to ••follow the example of. the
Saar. Return to the fatherland." Thou
sands of. Incendiary pirmphlets, said to
have been printed in Uermany, ‘ have
also been distributed.
The cantons which were taken from
Germany under the Versailles treaty
have considerable commercial Impop-
tance. Formerly a part of Rhenish
Prussia, they have an area of about
400 square miles and a population In
excess of 30,000 people. Btipen boasts
spinning mills and other establishments
connected with the textile- Industry,
Iron foundries, machine shops and tan
nerlea. ' ~ w ’ .
'/
TP HE final fate of NBA seems to be
* up to tiie President Reports from
the capital say the National Industrial
board, successor to Gen.
Hugh Johnson, who
asserts NBA Is “as ;
extinct as the dodo."
has avoided a direct
recommendation that
the Institution be
made permanent Since
this was evidently
done with the ap-
Presl-
^^ORTH DAKOTA, for many years
a political hotbed, ran true to
form, as Impeachment proceedings
were pushed against Gov. Thomas H.
Moodle, Democrat, by the dominant
Nonpartisan Woe In -the legislature.
Charges are made that Moodle*
“usurped” the office when he “knew"
he was disqualified to serve. It Is
claimed that Moodle Is not a United
States citizen, and that he has not been
a resident of the state long enough to
permit him to hold office.'
Shortly after the Nonpartisan league
faction In the house rushed through
the resolution of Impeachment, Moodle
retaliated by stationing National
Guardsmen at the executive offices to
thwart possible attempts of foes to
seize the official quarters. These were
Inter removed when legal requirements
for Impeachment proceedings were met
by the house.
dent, the future of the
Blue Ragle seems to
Donald b ® 80luewha t Clouded.
Ri<*hh«rn Th ® l)0,,rd . Which
Richb.ni Donald Rlchberg I.
chairman, pointed out three possible
courses which the President can follow.
The first course would be to make
NRA permanent, but in simplified
form. Under this plan, every Industry
would have to go ^nder a code 1 fixing
wage and hour limits and prohibiting
child labor. Trade practice provisions
would be entirely voluntary. In rare
cases where price- fixing Is employed,
the govern mentj not the Industry,
would fix the price.
• The second course wou
tend the NRA as It nmV
^ fur a limited period. .
♦ Ion of this kind Is enact
will expire automatically on June 16.
The third course would amend and
extenll the NRA.
DEALERS sighed with relief
1 ^ as the Supreme court recessed
until February 4 without handing down
its decision In the gold ca^ps, thus
giving the administration more time
In which to prepare legislation de
signed to handle the situation In the'
event the court renders an adverse
decision.
At the same time the court promised
to decide a case presenting a clear-cut
test of the constitutionality of the na
tional recovery act, and which will
probably have considerable effect upon
the ultimate* fate of the already be
draggled Blue Engle.
The Justices during the next* two
weeks will write opinions on cases
heard recently, Including In all prob
ability the momentous suits testing
validity of congressional action in
canceling gold payment clauses in
IIOO.OUU.OOO.OUO worth of public and
private securities. It Is expected that
the court will render Its decision soon
after February 4, since it has shown
a disposition to rule as quickly as pos
sible In all matters Involving New
Deal legislation.
Sen. Hiram
Johnson
L EGISLATION which would permit.J
the small investor to buy govern
ment securities and which provides for
radical changes In government finan
cing has been Introduced In the house
by Chairman Doughton of the house
ways and means committee. ^
The bill, prepared by the Treasury
department, places the administration
squarely again*! inflation. It provides
authority to raise money necessary for
the public worka, social security and
almllar measures, meet federal deficits,'
and might even be used to provide
funds for payment of the soldiers'
bonus.
Under provisions of the measure
there would be ten-year bonda In
amounts as small as $28, and as ex
plained by the Treasury department,
would be sold below par. There would
be bo Interest, but each six mouths
the bonds would appreciate In value
at the rate of 2% per cent, plui cou-
pounded earning!.
Huge sums are Involved: first; the
creation of a revolving bond authorlza-
tfoo fund of $24100,000,000; and tec-
cafi, the consolidation of the twe pres
ent revolving foods of $10,000,000,000
each tore a Joint 99piOOO.OOO.OQO fund
MUa, certificates sod notea.
ASUINGTON’S most talked of ro-
• • mance culminated In the marriage
of Anns Roosevelt Dali, daughter of
the President, and John Boettlger,
newspaper man. The ceremony was
performed In the Roosevelt town house
In New York, and the couple left Im
mediately on a short honeymoon trip.
Mrs. Roosevelt, mother of the bride,
told reporters she was not surprised,
although a few weeks ago she denied
any knowledge of an Impending mar
riage between her daughter and Boet
tlger. Rumors of an attachment be
tween the couple have been current for
more than a year.
The bride was divorced from her hus
band, Curtls B. DaH, In Reno last July
31. Four months earlier Boettlger se
cured a divorce tn Chicago.
DatifICATION of the world court
protocols received a setback when
Sana tor Hiram Johnson, ^Republican,
California, bitterly denounced such ac
tion as a “back door
entry" to the League
of Nations, and sen
ate leaders rather
than risk an Immedi
ate vote, delated defi
nite action. /
Senator Johnson's
attack came on the
heels of a special
message to the senate
from President Roose
velt who asked for
early ratification , of
the protocols. It was
the most determined movement yet
made to put the United States Into the
court — ■ ‘ \
Other senators, It is said, were
ready to follow Johnson’s lead, par
ticularly Senator Borah, long time foe
of the court •
Johnson supported his opening at
tack on the court by offering four em
barrassing reservations to the resolu
tion of ratification: . „
1. Prohibit the court from entertain
ing Jurisdiction on any question re
lating wholly or In part to Its internal
affairs. . -
2. Permit recourse to the court only
fey agreement through general or spe
cial treaties between the parties In
dispute. * .
3. Prohibit t^e court and the league
of nations from trying to assume-Jur
isdiction on any question which de
pends -ttpon or relates t«rthe Monro*
Doctrine.
4. Declare the United States, fey
Joining the court, assumes no obliga
tion*. -
Through Johnson’* action; 'these
questions must be voted upon befbrfe
a final vote can be reached on the
resolution of adherence.
Although the question has been side
tracked for a time. It will'fee brought
np soon, It Is said, and Senator Rob
inson, Democratic leader, has stated
that he was confident, of ratification.
A SPIRATIONS of half! dozen candi
dates for the more or less obscure
office of Vice Pfesldent were definitely
dissipated when word was quietly
panted that President Roosevelt will
again team op with the genial Texao
In the 1036 campaign.
Considerable talk has been circulated
that a mors liberal running mate for
the President would be desirable tn
the next campaign, and It was sug
gested that the choice might tell on
Secretary Wallaco or Secretary Ickes,
hut aa apparently reliable source Indi
cates there #m b* no change la the
winning combination ofi 1992.
be to ex-
nda, but.
legMa-
.the act
W;
D EFENSE attorneys for Bruno
Haupirnnnn Indicate they will
Continue to pin their hopes on the
mysterious laador Fisch, little German
furrier, whom they claim was the kid
naper of Baby Charles Lindbergh, and
who used the accused ex-carperiter as
an unwitting accomplice. Fisch died
from tuberculosis in Uermany.
Efforts have been made to link Fisch
with every phase of the case—the
Lindbergh household, the ransom notes,
and tl»e ransom money. Cross-exami
nation of the defense counsel always
swings back to the theory that Fisch
was really the murderer of the child.
This will be used In connection with
the expressed alibi bf Hauptmann that
he was calling for his wife at ^her
place of employment on the night of
March 1, 11)32, and several witnesses
to confute the state's claim that Haupt
mann was seen near the Hopewell
(N. J.) estate on the day the crime
took place will be called. Several oth
er “surprise" wlpelSes are exacted
to be produced by Edward Reilly, chief
attorney for Hafeptmann.
Meanwhile the state continued Its at
tempts to show that Hauptmann
financed his brokerage accounts with
the $50,000 ransom money. Two certified
public accountants, both government
men, were called by the state to estab
lish their claim that- although the ac
cused was In the market In a small
way prior to the kidnaping, his ac
counts suddenly- IncreasetL-afteir- the
BRISBANE
THIS WEEK
Old Age Pensions ^
Does Lashing Do Good?
Those Cosmic Rays
6,000-Year-Old Graves
because old-age pensions as planned,
moderately, by the President, would
cost one billion dollars a year. Con
servatism might better; worry about
Doctor. Townsend's plan to give two
hundred dollars a month to everybody
past sixty years of age, and cost at
least twenty-four thousand millions a
year.
Conservatism might also worry about
billions spent uselessly In state, na
tional or local government (*0818, and
taxes that run above thirteen thou
sand million dollars a year.
At Wilmington; Del., three, young
men, eighteen, twenty and twenty-three
years old, were lashed In public, a
crowd of one hundred looking on.
After the lashing, on the hare back^
the youths began ten-year prison sen
tences foi burglary. The lash fright
ens criminals more than Imprisonment,
as was proved in London, where an
epidemic of “garrotting" ended as soon
as the lash was used. But what will
be the mental state of those young men
when they leave prison after long as
sociation with Experienced criminals,
and constant brooding on the humili
ation and pain of the lashing?
Can it be hoped that they will be re
formed, or be anything except con
firmed criminals, and eneuiies of so
ciety? *
fiys
closed out an account listing fifty
shares of atock and received an equity
of $600, but afterward transactions
totaling $350,000 In the nqxt thirty
months were carried on by him.
This sudden increase, the defense
asserts, was the result of Hauptmann
being the unsuspecting “front” for the
shadowy Fisch. The little furrier. It la
claimed, was often seen with Haupt
mann In a New York broker’s office,
and although all the transactions were
carried In Hauptmann’s mune. It was
really Fls^b who was conducting thq
market operations and who furnished'
the capital.
The question of the banking and
brokerage - accounts br-dooked upon fey-
both sides as very important In Its
hearing on the trfotive of the crime.
The state asserts Hauptmann wanted
money In order to live without work
ing,, and to satisfy his passion for
stock market speculation.
AR flamed again In Manchukuo
as the Japanese massed 4,000
troops" In preparation for a drive Into
Chahar province, west of Jehol an<f
northwest of Peiping. Infantry and
aviation units are being sent from
Chengte^, capital of Jehol province,
against Tanln arid Tokochen, adjacent
to the Jehol-Chahar border. The Jap
anese claim both towns belong to the
Manchukuo regime. Notice to vacate
the towns has already been Issued to
the Chinese controller of the- province.
Japan's action Is seen by Chinese
leaders as a determined gesture to In
timidate Mongolian\ princes of Inner
Mongolia and to cut Rie overland route
connecting Peiping wiyi Ursa, capital,
of Soviet controlled Outer Mongolia.
Th<> situation la viewed^ with consid
erable apprehension by Sriylet Russia.
The drive will bring Japanese military
operations Into direct contact, with the
borders of .Outer Mongolia, afed prac
tically all high officials of th\ terri
tory who have been attending^ the
Soviet anniversary celebration^ tn
cow have hurried back to their pro
vinces.
A learned German says he has dis
covered the source of “cosmic rays"
that bombard all spaced constantly
passing through your body, although
you don’t know It, driven by the ter
rific energy of billions of vrilts. The
professor suggests that the bombard
ment may occasionally break flown a
few of the atoms In the humany body,
thus slowly changing hemllly.
That sounds like a great deal of Rou
ble. to change heredity, which depends,
really, on the right girl choosing tfi e
right kind of father for her children.
Doctor Sukenik; professor of arche
ology in the Hebrew University of Jeru
salem, has discovered graves six thou
sand years old, that go far back of
Moses and Job and others well known.
These graves were dug, and filled,
long before the Jewish nation had
made Jerusalem their principal city,
when other, earlier races inhabited the
site of “old Jerusalem."
National Topics Interpreted
by William Bruckart
National Presa Building Washington, D, C.
ransom money was paid. At one time Talking Into a telephone In the White
prior -to—the kidnaping;—Hauptmann House, with amplifiers aT the other end,
the President greeted six hundred
members of the Holland society, at din
ner in New York. He felt pride In
contributions made to this country by
- -the men of-Holland through three hun
dred years.- The Roosevelts are of
Dutch .origin, but unlike his distant
cousin, Theodore Roosevelt, the Pres
ident did not recite any childish Dutch
poems about cows in “the kopjes.” To
know what the old Hollanders really
were, aa fightera and “stayers,” read
Motley.
Washington.—It Is seldom that any
genuine widespread Interest is evi
denced In de-
Supreme Coart cislons by the Su-
Ha» Loot Word preme Court ofr 1
the United State#.-
Although ’Chat distinguished body of
nine men holds In Its hands power co
equal to that of the President and of
congress, some way 4t has never been
a part of the government to which at
tention has been -directed nationally.
Of course, there are more people who
are not lawyers than who are familiar
with laws and that may be the answer
to Che fact that the Supreme court can
be said to be little known.
But It seems now that the court, la
to be a center of attracthm Just us
Interesting as either the executive or
legislative branches. The reason Is
that the highest legal tribunal In the
land has before It tor decision some
of the most momentous legal contro
versies to engage .the country since flte
days of the Civil war. Through many
months, questions concerning the New
Deal, their legality and constitution
ality, have been wending their slow,
tortuous way through the lower courts,
through the courts of appeals to the
court of last resort under the structure
which we know as. our government.
One of these, as I reported to you
previously, has already been decided.
In that instance, the SupVeme court by
a vole of eigljt of! the nine Judges de
termined that president Roosevelt had
gone beyond the powers accorded him
under the Constitution In prohibiting
export, of oil from the state where It
was recovered. ,
Within a very short time now the
most Important case of all affecting
the New Deal will he delfride^.J refer
to the so-called gold cases. Five ques
tions are before the court and If It
decides adversely to the government’s
claim on any of them, the monetary
policy upon which the New Deni has
beeen operating becomes virtually null
and void. The court .beard lengthy
arguments by high powered lawyers
on the part of the government and on
the part of private citizens who claim
that their rights have been abridged
by the Roosevelt money policies and
they naturally are seeking redress.
No one dares to make a prediction
concerning pending action by the Su
preme court. It can be only p guess
at any time In advance of a rule by
that groUp of men because with one or
two exceptions 8lncr~the nation teas
founded, l^s decisions have never
out alu
Names that sound strange to West
ern ears figure in the case of Tony
Fon Lew, “Chinese doll bride.” She
• n £ h ®r-«.I!ggefl father,-Mr. r Qln Lem,
are accused of arranging marriages,
taking money, and then not marrying.
Mr. Rack Lew Gee, angry Chinese
merchant, says he paid $1,800 to mar
ry the toy bride, but got no bride.
Other Interesting names figure In a
discussion that almost caused war be
tween the Los Angeles Hop Sing Tong
and the Four Families Association.
Chinese names sound strange to our
ears, but Jones or Robinson would
sound ridiculous to the Chinese. Fon
Lew and her pretended father ran
away to China, but will be brought
back and Gin Lem will fee tried fo?*
violating the Mann act An accusa
tion that will always puzzle him.
The Saar plebiscite, as was certain
In advance, proves to fee superficially
a victory for Hitler, In reality, It
proves the devotion of Germans to
Germany under any conditions. A
With the population of the Saar
more than 95 per cent German, voters
were isked whether they wished once
more to resume German citizenship,
throw In their lot with France, or re
main suspended in the air as wards
of the Leagne of Natloas. It was
certain that Germans would vote for
Germany.
leaked out ahead of the time they are
formally handed down from the bench.
Lawyers throughout the land are
watching and- waiting-tor the court’s
findings. But, the most fidgety of all
lawyers are those in the government
who recognize that an adverse decision
by the court will flatten out the New
Deal and force a wholesale revision of
policies. Ism told that this group of
lawyers is none too \certnin of its
ground. True, they made what Is rec
ognized as a strong argument In sup
port of the government’s'feosltlon but
the difficulty seems to be \from their
standpoint that the Constitution was
written before the brain trust came
lift ©"action an*d tfie ConsttttffRui Itself
provides the only ways by which If
may be changed. Brain trust Ideas,
however good they may be, necessarily
are worthless and useless If they ren-
travene the basic provisions of the
Constitution • to which the nation ad
heres.
• • •
. Among the questions before the Su
preme court In the gold cases, that
one brought forward
Important b y a suit to com-
Question pel the government
-.to pay gold in re
deeming one of Its own bonds is by far
the most Important' Indeed, that case
can be said to have an overwhelming
Importance. If the court rules that
the governmentV^annot void Its con
tract—fqr a bond Is generally recog
value to a few cents over $35 an ounce.
Without going into' all of the details It
means that to gain the same amount of
gold now which a dollar would have
brought prior to the Roosevelt admin
istration action one wlfl hqve to,pay
$1.69. To state It another way. If the
gold contracts involve $1,060,000,000,
those who are obligated to pay In gold
will have to pay $1,690,000,060 at the
present rate. Obviously, debtors under
that circumstance will find themaelvea r
hetweefi ttf6* upper and nether
stones, well squashed, if the court
rules adversely to the government’*
policy.
Attorney General Cummings In his
plea to the Supreme court made the'
argument that an adverse decision
would mean chaos to the country. •!:
believe there can be no doubt about
that. But the point_la deeper. Roose
velt administration policies were, ham
mered through congress and received
the legislative body’s rubber stamp by
direction of the President
What Is going to be done about it? I
don’t knovy. Further I don’t believe
the administration"'
What»to knpws what It Is go-
' Bt Done? l n K to do in event
the court rule*
against the government In these cases.
There have been numerous confer
ences, frequent speculations by subor
dinate officials and many guesses by
Individuals. The President himself
said In a press conference the other
day that he would nbt djscuss the gold
question while the matter was pending
before the Supreme court. It was *.
simple way to avoid expressing his
hopes or his fears.
It is to be noted, however, that dur
ing the ten days In which the court
heacd arguments In the gold cases, a
considerable number of senators and
representatives sat glued in their seats
In the gloomy old Supreme court cham
ber under the dome of the t’apItoL .
They were obviously wonde?H»g. Nona
of them thus far has offered publicly
a suggestion as to what he will dp lo
event the monetary policies are over
turned. After all. If the Roosevelt pro
gram is upset, congress simply will
have to enapt some new laws and that
was the chief reason why so many of
the congressional leaders were seen la
attendance at court.
The court will rush Its decision. Of
that thete can be no doiifet A 1 waysTit”
has put-cases of paramount IrapdF"
tance to the nation ahead of those that
affect only a small number of private
litigants. Everyone believes, therefore,
that In this Instance the Supreme court
has laid aside mnsi-nf its other work
In order to devote Its attention to a
thorough-going examination ~ of tha
present problems.
Lawyers tell me Midi If the court re
jects the Roosevelt policies as unten
able under the Constitution, congress
will have to put through some n*w
laws on the subject at break neck speed '
In order to avoid a hiatus that would
flood the courts with an unprecedented
Dumber of suits. % .
-.-T k -V- -
, The agricultural adjustment .admln-
‘mremfl has n^W coTfon TropTS?
_ _ . th* coming season at
To Restrict io.500.000 hales —
, Cotton Output the same as last
, (.year. At .the same
time, we have begun to hear talk in
Washington of a plan to seek a world
agreement restricting the output of cot
ton after the riiannef of the attempt to
restrict the world production of wheat,
a move that went exactly nowhere.
Determination of the same produc
tion for cotton In 1935 that was used
as the base In 1934 Is accepted as tn
line with the administration’s plans for
raising prices artificially through cur
tailment of production. It had-been
expected that the 1935 crop might bs
as high as 12.000.000 bales^ ftet since
the administration h^*^ decided to-
cany on further Ite^e^perlraent Into
rr
Dtzed' as a cdnrract-to pay back the "rt 1 "' 1 *; prtc. r^lalitj fletaa^y^rodoe-
tlon limitations some of the background
of tbat jjoMcy and the American rela
tionship to world conditions warrant
T HB Increasing Importance of the
Orient as ,an outlet for American
trade, and the swift convergence of Eu-
rbpean air lines upon that area have
prompted rapid advancement of plans
for establishment of an experimental
air transport service which Is expected'
to reduce transportation time between
the Orient and the New World by 00
flying hours.
Col. Charles A. Lindbergh, It has
been announced, will take a leading
part In biasing the new trail across
the Pacific. At present he Is awaiting
the outcome of the trial of Brnno Haupt
mann, accused of tits Lindbergh baby
murder, lire. Lindbergh Is not oxpect-
od to accompany bar husband oa tbs
trip.
Our national defense anthorlties are
delighted because a great American
navy plane labeled XP2H-1 flew non
stop to the Canal Zone from Norfolk,
2.600 miles. In 25 hours. Amelia
rt recently flew 2,400 miles in
19 hours, alone, wlthont sleep.
And a Russian plane has flown 7,500
miles nonstop.
Uncle Bam, to equal Russia, need
only multiply that 2,000-mile nonstop
Right by throe, and add L500 miles to
the total
California hak horse racing with
gambling. Great-.crowds attend tho
tree#,and the totalfeetting In the pari
mutuel system is heavy. The state
will gat part e< tire money, not a great
deal cltiaeha will iose\ their money
and the gentlemen of the race track
will walk await after e*cb season with
large soma supplied by
California.
* tomr#^«nwsnidi»u. i
■1
.a
borrowed money under the term named
In that bond, then the seizure of gold
by the goternment In 1933 like
wise Is voided. In other—
every person holding a government
bond containing a promise to pay In
gold'* Is entitled to have that gold
from the treasury. It takes no stretch
of the-imagination to see what-effect
that will have ■ on the whole money
program.
Likewise, if the coprt determines
that an ludlvldyal who has promised
to pay In gold must observe the terms
of that agreement, the administration
is again to a hole. Since contracts,
agree menu or bonds containing the
promise to pay In gqld are'ln general
use and have been written since time
Immemorial the amount of such pay
ments Is virtually Incalculable. I have
beard many estimates of fehs total
amount of money Involved by the so-
called gold clause but I hesitate to
use any of them because It Is patent
on the face of things that an accurate
figure la Impossible. . - . -
One can get down to brass tacks On
the effect of affirmation of the gold
clause, however, by tbe simple appli
cation of the ratio of gold to the pres
ent dollar. When those gold contracts
were written a dollar in correney was
redeemable for a dollar to gold. At
that time gold was valued at around
$21 an ounce. Tho Roosevelt adjfmlo-
arbitrarily Increased that
r V..
nation.
The American production until a few
years ago was about 60 per cent of
the world’s cotton output Now It Is
down to about 43 per cent of the total.
Last year, the world consumption of
cotton, according to the Departibent
of Commerce figures, declined by about.
700,000 fealea whereas the world con-
samption, excluding that used' in the
United States, Increased by something
■ over 1,800,000 bales. It Is to be noted
further that although American ex
ports In general Increased last year,
/th# quantity of cotton shipped last
year fell off by approximately 23 per
cent
For several years now, we have been-
hearing more and more of efforts by
foreign nations to Increase t trier cot
ton production. Brazil bag been mak
ing a determined drive to develop cot
ton as a major prod del 11exi can cot
ton production hat Increased to s sub
stantial way. Egyptian cotton produc
tion la on the increase; The British
guidance has served to spnr production
of cotton la India and at the moment
there la ho sign of any slacking of
tho Increase there. All of tills i* hap
pening while oflr own southern cotton
fields are being limited In their c«*
paefty to produce that staple com
modity. .
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