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I URRENT EVENTS
PASS INR[VI[W
By EDWARD W. PICKARD
O. Weeter'a NewBp~per Union.
GEORGE N, PEEK, in his capacity
of advisor to the President on for-
elgn trade, has Just made public sta-
tistics that tend to show the United
States is losing its po-
sition as the world's
chief creditor nation,
and makes recommen-
dations that are in ac-
cord with the growing
trend against interna-
tionalism in the ad-
mlnlstration and in
conflict with Secretary
Hull's program of re-
moving barriers to in-
ternational trade by
George N. Peek
reciprocal trade agree-
menta
Stating that whether or not this
country still owes less to other natlons
than they owe to it appears to depend
on the true value of defaulted war
debts, Mr. Peek recommends these im-
mediate steps :
"1, The inauguration of a detailed
study of our direct investments abroad
and foreigners' direct investments in
the United States, to supplement the
studies now In progress of capltal
movements.
"2. A review of all natlonal policies
based in whole or In part upon our in-
ternational creditor status."
The proposal seems to lead toward
high tarlffs and a policy of allocating
our forelgn trade among other nations,
ss is done by many uf the European
countries.
Figures compiled by Mr. Peek Indl-
sate that the United States is a net
International creditor by $16,897,000,-
000, but this includes $10,304,000,000,
principal amount of war debts owed
by foreign governments, and also for-
eign bonds held by private investors
in the United States invoiced at their
face value, and a pre-depresslon esti-
mate of the value of American branch
factories abroad and other direct in-
,vestments in foreign countries. Mr.
Peek strongly infers that a re-estima-
tion of these "assets" will result in
such a scaling down that this country
will no longer be a creditor nation and
need not act as such.
By his recommendation for a re-
view of all our national policies based
in whole or in part on our international
credit status, Mr. Peek unquestionably
means that there will be no further
validity to the argument that as a cred-
itor Datlon we must open our markets
to imported goods, and that imports
need be only sufficient to balance cur-
rent exports, taklng into consideration
such Invislble items of international
trade aa shipping services and tourist
expenditures.
pRESIDENT ROOSEVELT strongly
resented the criticism of his New
Deal policies by the Chamber of Com-
merce of the United States, and re-
torted by calllng to the White House
Secretary Roper's business planning
and advisory council for an endorse-
ment of NRA extension and the social
securities program. Then to the news-
paper correspondents Mr. Roosevelt
scored the action of the chamber, as-
serting that in too many cases so-called
business organizations misrepresent
the business men for whom they claim
to speak, and that be did not hellene
a single speech made at the chamber's
meeting contained any mention of the
human side of the picture. He de-
clared the business organizations were
not indicative of the mass belief and
that he would go along with the great
bulk of the people.
Several members of the business ad-
.visory council were also members of
the Chamber of Commerce, and It is
sald they resented the President's as.
tion in seemlngly using them to offset
the attack by the chamber. Some of
them were on the point of resigning
from the Roper counch, but were pla-
cated by Mr. Roosevelt wbe assured
them their views were highly valued.
IN THE crash of a transport plane of
Transcontinental Western Alr near
Atlanta, Me., Senator Bronson M. Cut.
tins of New Mexico and four other
persons fell to their
death. The pilot was
unable to land at
Kansas City because
of a dense fog and hls
fuel gave out before
]ae could reach an
emergency landing
field atKlrksvllle.
Besides Mr. Cutting
those killed were Miss
Jeanne A. Hlltias of
Kansas City, Mrs. Wll.
Ilam Kaplan of West Senator
LOS Angeles, and Har. Cutting
vey Bolton and IL H. Greeson. pilots.
both of Kansas City. Eight passengers
were seriously injured.
Bronson Cutting, a millionaire of an
aristocratic family, was a radical Re,
publican and was one of the outstand.
ins members of the senate. He sup-
ported Mr. Roosevelt for President in
:1932, but when be came up for re.
election last fall he was not given the
endorsement of the administration.
His victory was contested by Dennis
Chavez and the case is still before the
senate elections committee. Mr, Cut-
u_ng was born on Long Island In I888~
graduated from Harvard and there,
~ter went to New Mexico. In the
World war he was an infantry eap-
taln and assistant military attache at
th9 American embassy in London. He
was appointed to the senate In 1927
to fill a vacancy and was elected next
year to a six year term.
The senate on being advlsed of the
tragedy adjourned out of respect to
the memory of Senator Cutting, and
the house cut short its session.
~FFIRMING a decision of the Su-
. A press court of the Dlstrlct of Co-
lumbia, the United States Supreme
court held unconstitutional the railroad
retirement act, ruling that many of
Its provisions are invalid. The act pro-
vided for a system of old age pensions
for all railroad workers. The decision
was read by Justice Owen J. Roberts.
It condemned many provisions of the
law as "arbitrary," placing an undue
burden on the railroads and having no
relation to safety and efficiency in the
operation of the railways.
The act was passed by the Seventy-
fourth congress Just before It closed
and had the ta~t approval of the new
administration, although President
Roosevelt said he believed it would
have to be perfected by amendment,
It set up a compulsory pension plan,
requiring contributions by both the car-
riers and the benefited employees. The
District of Columbia courts held that
the law went too far when it included
intrastate as well as interstate employ-
ees and when it gave workers retire.
sent credit for the time they had
spent In the service prior to passage
of the act.
ALL the vast British empire cele-
brated the silver Jubilee of King
George V and Queen Mary--the twen.
ty-fifth anniversary of their accession
~and for three months
there will be a contin-
uous series of fetes in
the United Kingdom
and all the dominions
and dependencies. Lon-
......... don. of course, was the
scene of the chief cele-
bration on the open-
ing day, and the me-
tropolis was thronged
with visitors. Hotels
and rooming houses
King were overcrowded and
George the ldng ordered that
Hyde Park be kept open so some of
the overflow thousands could sleep
there.
There were seven state processions
the first day. The first was that of the
speaker of the house of commons, Capt.
Edward A. Fitzgerald, with five ancient
gilded coaches; the second, that of
Prime Minister Ramsay MacDonald,
with six coaches in which rode the do-
miblon prime ministers. Then came a
two-coach procession of Lord High
Chancellor Sankey, and one of the lord
mayor of London, Sir Stephen Ktlllk.
The fifth procession was that of the
duke of York. from Buckingham pal-
ace, two carriages with a captain's
escort of the magnificently appareled
royal horse guards.
The prince of Wales, as heir to the
throne, came sixth. He had with him
a captain's escort of the Life Guards
and two carriages, in the first of which
he rode with Queen Maud of Norway
and his brother, the duke of Glouces-
ter, like him. a bachelor.
Finally, in the most gorgeous parade
of all, came George and Mary, and as
their ornate coach, drawn by the fa-
mous grays, passed, the voices of all
loyal Britishers rose in a roar of
"God bless the king and queen." The
rulers, accompanled by all the other
notables, went to St. Paul's cathedral
to give public thanks to God.
DISREGARDING the wishes of Pres-
dent Roosevelt, the finance com.
mittee of the senate adopted and re-
ported for passage a simple resolution
continuing the nation-
al recovery act until
April 1, 1936, and at
the same time making
these provlslons:
1. No price fixing
shall be permitted or
sanctioned in codes,
except in those re-
lating to mineral or
natural resources
which now have price
fixing provisions. Donald
2. No trade en-
gaged In intrastate Rlchberg
commerce shall be ellglble for a code.
3. The President is given specified
time in which to review present codes
to carry out the condltlons lald down
in the first two exceptions to the reso-
lution.
Both President Roosevelt and Don.
ald Rlchberg, head of the NRA. had
urged the passage of a new two-year
NRA bill which would set up a strictel
dictatorship over business and indus-
try. The senate finance committee.
however, would not consent to this and
Instead passed the resolution, which
was drawn up by Senator Clark of
Missouri and approved by Chairman
Pat Harrison. Twelve senators first
called at the White House and the
President seemed willing to accept the
continuing resolution until Mr. Rich-
berg came in and protested urgently :
whereul~on Mr. Roosevelt turned it
down. The committee then took the
actlou noted by a vote of 16 to 3, de-
fying both the President and Rich-
berg.
B AHIA, third city of the republic of
Brazil. wan overwhelmed by furi-
ous storms and torrential rains, and
the destruction was extended to nil
the surrounding country. Communica-
tions were demoralized, but fragmen.
tary reports told of terrible scenes of
death and devastation. It was believed
that at least 400 lives were lost and
probably 2,000 persons rendered home.
less. Rescue and relief work was be-
ing carried on as well as possible by
hundreds of eoldlers and the govelq~-
ment agencie~
THE BEACH REVIEW
TWO thousand young Catholics ot
Germany made an Easter pilgrim-
age to Rome, and on their return home
they were treated as political suspects,
stripped of their mementoes and held
for a time In a concentration camp.
• ddressing another group of Pilgrims
from Germany, Pope Plus made a
strong protest against this action of
the Nazis who, he said, "wish in the
name of so-called positive Christianity
to de-Christianize Germany, and they
wish to conduct the country back to
barbaric paganism, and nothing is left
undone to disturb Christian and Cath-
olic life."
THE senate committee named to de-
vise s means of curbing such at.
tacks on the Presldent as are fie-
quently made by Huey Long on the
floor of the senate has
not yet reported, but
It is said Senator Ben.
nett Champ Clark oi
Missourl has figured
out how it can be
done. Clark Is the
upper chamber's chief
expert on parllamen.
tary procedure and
for four years he was
parliamentarian of the
lower house. His
Senator plan Is to rewrite rule
B. C. Clark 19 of the senate rules
to include the President and so pro.
tect him from unwarranted attacks
and slanders. That rule reads at
present:
"No senator in debate shall, direct.
ly or indirectly, by any form of words
impute to another senator or to other
senators any conduct or motive un.
worthy or unbecoming a senator."
One of Long's favorite ways of
launching his diatribes is to rise to a
question of personal privilege, and
Clark proposes that in this respect the
senate rules be changed to conform
with those of the house. In that body
when a member feels he has been as.
grieved he must explain exactly how
he has been injured before he is per.
mitted to speak. The speaker decides
whether or not his injury is Justified.
Senator Glass of Virginia has failed
at various times to silence the "King.
fish" and he, too, has a plan he thinks
might help accomplish that end. He
recommends a requirement that all
amendments offered to an approprla.
tion bill be germane. Such~ a require,
meat would affect other senators, but
Glass' move admittedly is directed
against Long.
yUGOSLAVIA'S dictatorship will
be continued and enlarged, for
Premier Yevtitch's government party
won a sweeping victory at the polls;
this, despite the fact that the small
towns and villages of Croatia gave an
overwhelming vote for the opposition
leader, Dr. Vladlmir Matchek.
IN THE name of 400,000 Knights ot
Columbus, Martin H. Carmody, su-
preme knight of the order, has sent to
President Roosevelt a letter urging
American diplomatic intervention ou
behalf of Catholics in Mexico. The
matter has been up in congress at va-
rious times but quite naturally the ad-
ministration Is hesitant about interfer-
ing in what Mexico considers a domes-
tic affair.
S ECRETARY ICKES' Department of
the Interior has now been elevated
to the level of the State, Treasury and
Agriculture departments, for congress
has granted one of Harold's dearest
wishes and given him an undersecre-
tary, whose salary is to be $10,000 a
year. This was u senate amendment to
the Interior department appropriation
bill, and was accepted by the house,
243 to 92, only after considerable pres-
sure had been applied by the adminis-
tration. Many of the house Democrats
lave asserted that Mr. Ickes snubbed
them, and they would have liked noth-
ing better than to administer a rebuke
to him by defeating the amendment,
but the party leaders drove them into
line,
pOLICE of Havana apparently are
well on the way to solution of the
mystery of the fire which destroyed
the Ward liner Morro Castle, and other
recent marine disasters. They have ar-
rested three men, all natives of Cata-
lan province in Spaln, and say that
they found on their persons letters of
Instructions concerning the destruction
of the steamshlp Magallanes of the
Spanish llne, which was soon due In
Havana. The documents according to
the authorities, ordered the accused to
"take necessary action to precipitate a
disaster similar to that of the Morro
Castle." The police say the prisoners
are well-known anarchists.
~vREIGN MINISTER PIERRE LA-
AL of France and Ambassador
?otemkln of Russia finally fixed up
the mutual assistance pact between
the two countries in a way acceptable
to both and It was signed in Paris.
M. Lavnl then prepared to leave for
Moscow, planning to stop in Warsaw
en route,
It would seem that Lanai had his
way with the treaty, for it subordi-
nates military action of the two powers
to the procedure of the League of Na-
tions, to provisions of the Locarno
pact and also to the France-Polish alli-
ance.
ARIZONA'S victory over the govern-
ment in the Parker dam case
ruled on by the Supreme court alarmed
the New Dealers for the safety of
some of their other big projects of the
same nature. The court decided that
Secretary Ickes, as public works ad-
ministrator, was without authority to
dam navigable rivers unlen specifically
ordered by congress and that the~law
creating the PWA ~ad not listed any
such specific proJet~ am Um P~
dam.
===========================
Washtngton.~Probably the most not-
able incident of recent days in Wash-
Ington Is the explo-
Blast at sign of a bomb by
New Deal business. It is sig-
nificant and impor-
tant that the business voice, as repre-
sented by the Chamber of Commerce
of the United States, has spoken in
such emphatic terms about the New
Deal. It is further a matter of sig-
nificance that the business voice crlti-
sized the New Deal generally as well
as specifically, because it is the first
time in the period since President
Roosevelt took charge that anythlng
like unity in business thought has bees
presented.
The reaction was instantaneous.
First, Secretary Roper of the Depart-
ment of Commerce mustered 21 mem-
bers of his business advisory commit-
tee for a counter attack. It was al-
most drowned out by the chamber's
roar. Such was not the case, however,
wlth the President's reply. He waited
until the convention had ended to let
loose a charge that the business In-
terests were selfish. It made all the
front pages.
This brings us to the crux of the
condition precipitated by the outburst
of the Chamber of Commerce conven-
tion. It is seldom, and I believe the
record shows this statement to be ab-
solutely true, that annual conventions
of the Chamber of Commerce of the
United States have been taken serious-
ly by the newspapers. The business
men have been looked upon as posses-
sots and promoters of rather anti-
quated ideas. Their Interests have
been and are of a selfish character.
That is quite obvious and quite nat-
ural. But at this time, the voice of
business speaks more than Just busi-
ness views. It speaks politically.
Hence, when business spoke this time
the newspapers of the country paid
heed. The result was an unprecedent-
ed amount of publicity was obtained
by the chamber through the medium of
Its convention this year.
Whether this represents a change in
the thought of the country, surely no
one individual of any group is able
to say definitely. It must be recog-
nized, however, that for many months
a highly vocal minority of politlclans
has been accusing the administration
of throttling criticism. Although this
group fought vigorously and charged
the administration with having the
greatest propaganda machine ever to
exist, It obtained little publicity for
those views. Most newspapers dis-
missed them by publication of three or
four paragraphs, buried on the inside
pages of the metropolitan dailies. So,
necessarily, significance attaches to the
fact that when the business voice was
raised in apparent unity the newspa-
pers accorded columns of space to lt. It
can be construed in no other way than
as meaning there Is a larger opposl.
ton to some phases of the New Deal
at least than most of us had expected.
• S
For quite a while such groups as the
American Liberty league have pounded
away at certain
Opposlt~on phases of the New
Unified Deal. To the Wash-
ington observers it
appeared that these groups were get-
ting nowhere and getting there fast.
Of a sudden, however, the voice op-
posed to the New Deal seems to have
found Itself. Certainly at the moment
and for the first time, there tS an ap-
proximation of unity to New Deal
opposition antl that fact is reflected in
a rather Important way. I refer to
the courage exhibited in congress
where there Is more and more evi-
dence of a decision on the part of the
legislators to assert their Independence
In contradistinction to previous silent
obedience to the White House.
I believe it is too early to attempt a
prediction whether the Chamber of
Commerce leadership will last. If I
were to make an individual guess I
would say that leadership of thls type
will crumble. That guess Is predicated
upon the record of the past because
heretofore it has been true that
business always suffered defections
and presently there was bushwhacking
in Its own camp. Regardless of
whether that condition develops again,
the explosive character of the speeches
in the chamber's convention have
added a momentum to Roosevelt oppo-
sition which it has lacked heretofore.
It Is Just possible, therefore, that even
If business leadership falls in Its efforts
to curb radical tendencies among the
administration group, a well knlt oppo-
sition may now be developing.
Pursuing this assumption further,
one hears suggestions around washing-
ton to the effect that a genuine and
basic issue for the 1936 campaign may
be In the making. It would seem that
Mr. Bcosevelt will be forced Into the
position again of appealing to the
forgotten man of hls 1932 campaign
who has since been forgotten. The
conservative thought of the country
meanwhile wlll marshal behind the
home owners, the possessors of property
nnd capital and the workers whose In-
come must be taxed heavily in subse-
quent years to pay for the program
of spending our way out of the de-
pression.
Some support Is seen for this theory
of probable issues In 1936 in the ret~nt
statement of Postmaster General Far-
ley who spoke politically u chairman
of the Democratic national ¢ommltt~
[ In almost so many words, Mr. Farle~
declared tlmt the business interests
had not been favorable to Mr. Roose-
velt; that they were not now favor-
able to him and that there was no
reason to expect the support of busi-
ness hereafter. Mr. Farley, clever poli-
tician that he Is, recognizes that un-
der pre.~ent conditions there are more
votes on the side of the man who ap-
peals to those who have not than
there are on the side of the man who
appeals to those who have.
On the other hand, government sta-
tistics show that something like 65,-
000,000 persons hold life insurance
policies ; that something like 20,000,000
have saving accounts iu banks; that
there are around 10,000,000 home own-
ers in the nation, and that even at the
lowest point of the depression there
were more people working for salaries
and wages than there were unem-
ployed. Mr. Farley's guess apparently
Is that so many of these workers have
had their Incomes reduced that they
will support a candidate who prom-
Ises to improve their condition. In
their numbers lles the difference be-
tween victory and defeat.
In addition to these factors, there Is
to be considered the probability of de-
fections caused by such demagogic
leadership as the Longs and the
Coughlins. Saner thinking people
know, of course, that the programs
which Senator Long and Father Cough-
lin have been preaching far and wide
are as impossible of fulfillment as
was the EPIO program advanced by
Upton Sinclair in his California cam-
paign. But it may not be overlooked
that these men can and will pull to.
gerber several million voters.
No discussion of the controversy be-
tween business and President Roose-
velt would be com-
NRA the plete without consid-
Hot Spot eratlon of the NRA.
It is the hottest spot
in congress right now. The situation
is of such a character as to be com-
parable to a carbuncle on your neck.
Those who have had carbuncles will
fully understand.
A few days ago, Mr. Roosevelt called
the most obstreperous of opposltlon
senators to the White House for a
conference on the question of what
to do about extending the national In-
dustrial recovery act. It is due to
expire by limitation of law on June 16.
He cleverly invited Miss Perkins, the
secretary of labor, and Donald Rich-
berg, the guiding hand of the Recovery
administration, to sit In on that meet.
ing. It was only natural that two
such avid New Dealers as Miss Per-
kins and Mr. Richberg should hold out
for continuation of NRA for a two.
year period. And it was only natural
for senators who do not believe whole,
heartedly in all of the NRA principles
to insist on a makeshift, or temporary
continuation. The President put them
Into a cockpit to fight it out. The
resulting disagreement was perfectly
logical but the President had put him-
self in a position to trade with con-
gress.
Since the NRA opponents in con-
gress did not yield, they naturally went
back to the Capitol and framed their
own progTam. They propose to have
NRA continued, with some of Its un-
satisfactory features eliminated, to
April of next year. They probably will
be able to muster enough support to
pass some such legislation. If they
do, the President will accept it. Actual-
ly, he has no choice. He cannot alTbw
the policy represented by NRA to
crash completely. It would mean a
political defeat which the President,
strong as he is, probably could not
withstand.
It is a wiser and sadder Blue Eagle
that is proposed in the senate resolu.
tion contInuing NRA.
Wiser That resolution is
Blue Eagle equipped with scis-
sors to trim the tail
feathers of the famed eagle so that it
cannot operate against businesses
whose traffic is wholly within a state---
intrastate--nor will it permit price
fixing.
The senate finance committee which
drafted this resolution reported it to
the senate by the overwhelming vote
of sixteen to three. That shows better
than any words of mine how thorough-
ly determined that senate group was to
override the Rlchberg-Perkins views on
administration policy. Succinctly, the
continuing resolution provides for
changes In the current law as follows:
1. No price fixing shah be permitted
or sanctioned under any code except in
codes covering mineral or natural re,
sources industries that now embody
the price fixing principle.
2. No trade engaged wholly In in.
trastate commerce shall be placed un.
der code.
3. The President will have 30 days
in which to review present codes of
fair practlce In order to revise and
adjust each so that it will conform to
the provlsions of the new NRA.
"I think this is the best way out,"
said Senator Harrison, Democrat of
Mlssissippl, chairman of the committee.
"I feel certain we can pass this reso-
lution wlthout a great amount of de-
bate and it will give NRA time to ad-
Just ltsel~ and give the courts time to
rule on the various questions of NR~
validity."
Q ~Veatera Newspaper U~IO~
BEVERLY HILLS,--Well all I
is Just what I read in the papers,
what I gather as I roll down
gather no moss.
[know all these
* tlnually and
* and grow
~giving everybo~
pain in the neelt
I do. When I
something that
agree with em
throw me in th~
can and they
read me any
and maby
week l might
with era, but they dont walt to see.
But its as I was saying before.
other minor thought interrupted
O. O. McIntyre, Irvin Cobb, Bugs
and of course Mr. Brisbane, they
Just keep growing in popular favor,
they can write about anything, and
can make it marvelously readable.
makes it funny, and when I say
brother I mean funny. He has the
eat and most unique and original
on humor than any man in the
You know darn it that fellow
marvel.
And Cobb of course has lived
outlived wrote and outwrote all
men of his time. Humor, but
combined with a great sense of
understanding. No "Nut" humor
Cobb. Its based on years of
And by the way the best reporter
old New York World ever had.
based on years of mingling,
and getting next to all classes of
I would rather have him on a
story with me than any man I ever
He knows what to keep you
Its kinder like a good wife, that
"Yes" you all the time. They
you where you are not so hot.
Homer Croy who wrote "They
To See Paris" is another that
Just what a character should do,
Owen Davis, the great
(who has had more successes
course of years than all of
knows character. There is lots of
stories where we do thing to get
laugh, but its not the thing that the
man who we are playing would do.
thats all not done by one man, its
by two or three men working
director who can tell when a
out of tune. Cobb, Croy, and
do it.
Now this fellow Oh Oh McIntyre~ l
character, that same as one we
the stage, but he is fortunate in
ins what to do himself. NobobdY
to walk around and tell him. His
ers picture him, they ~visuallze ~
meeting these various celebrities.
see him walking among the out of
way places in New York. They
that they are getting an authentic
ture of New York in all Its
(And is read more than all the
N. Y. writers put togaether). Ha
sit down at his desk and write
umn about his typewritm ribbon
working, but darn it, thats
pening. We dent know one teu~
these people that drop in, or that
meets on the street, or at various
ties. They are Esquimos to us,
golly before we are finished we
we know em too. He likes to use
words, but he is sure to have
little ones in there, so us dumb
dont lose out entirely. And he is
to run you to the dictinary, (he
did me for I havent got any. I
you had guessed that by now).
That brings us to my older~riend,i
Brisbane, the daddy of all of era. A
I expect with more talents
mau in the ~ewspaper game. A
Judgo of what millions of people
to read. If a newspaper is
in quick sand, or if it has the
Mr Hearst sends old Dec
there. He operates. The patient
only recovers, but thrives. No
writer in America. can do that.
can write, but when they
writing then they are through.
may know how to write their
or column, but they dent know
should be in the 50 or 100 columnS. ~
But to go back to the subject of
original oration, Mr Brisbane
awful lot about a lot of things. I
know what caused
the earthquakes in
Japan till away last
week when he told
it. They are on the
edge of a tremen-
dously deep deep
canyon in the ocean,
and its the land
slipping off in this
canyon. Now that
makes sense and
Its plain aint it'!
Well thats what he!
writes. They are for-
tunate men that can do that.
always kidding about
Democrats did to the Re
then I got the Republicans on
then I will sing a praise of
lican uprising, and 1 will
Democrats down on me. My Jung
ways controversial. Thats all
havent got the range of
background of reading, the li
foundation. There is Just eo
can say in praise, or in
our Government. And when I
saying it over and over again,
stand up like those other boY~
~ont I know it.
@ IP~$. M~N~g~ Sysd~m~. Iat.