Newspapers / The State’s Voice (Dunn, … / July 1, 1935, edition 1 / Page 3
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I lias been almost, xui iy-un ce y ears since i was I '-need by a speech of Marion Butler’s that rational Banking laws were-faulty. His 1^‘ hen whatever it may be now and may have re" during the intervening years, was that the raiment should repossess 'its constitutional r'll over the Nation’s money. But after a F, carne along the reserve bank system and ■i nirht all was well. It was Marion Bptler r t 0vvho in 1920, before anybody .else that I or read of, almost immediately after, the ft down on circulation by the Federal Reserve f\d predicted disaster to the agricultural sec l! of the country. , W hile I was thoroughly convinced of Mr. But 's sincerity in his early political career, I was ler, J doubtful about, accepting him as a prophet o despite the fact that I Still held to his Zoning with respect to money in 1892. But f proved a true prophet, and my faith in the federal Reserve system was Josf.. put I am now highly gratified that the Federal Reserve Board has a governor in the person of \i rriner S. Eccles whose ideas of money are al ‘ 1 identical with the opinions that I have JLed in the course of those fortyMhree years . Marion Butler convinced me' that the Na donal Banks were a menace to the welfare of the ople of America. I quote here an editorial I rrote for the Dunn' Dispatch of June 11 under Ac title: Frcles Gives Sound Reasons In Favor Of 1 The Banking Bill Marriner S. Eccles, new governor of the fed era| reserve board, holds views in accord with those of the v,titer’s so frequently expressed name |v that any money, even gold and currency based upon gold, must be strictly managed to hold a comparatively even and unvarying value. It is a stubborn fight that is being made against the administration banking bill by the coteries of bankers of the north and old-line financiers in the senate, including Virginia’s veteran senator and former secretary of the treasury, Senator Glass. But Mr. Eccles, a comparatively recent appointee of President Roosevelt’s as governor of the reserve board, is fully in aecord with the administration banking bill, which gives the board the power to control money in the interest of all the people. ' Speaking a week ago, Mr. Eceles made the following statements, with which the writer- must perforce sympathize and which, so far .as our limited knowledge of the purpose of th* bill goes*, heartily approve. You perhaps saw the statements in the news columns of the press, but let’s think over them a bit mo e. Here they are, at least th® more pertinent ones: " “Our money system, if left uncontrolled, Win behave in a manner calculated to intensify booms and depressions,” the governor of the federal re serve board said. “I believe that other action by the government is necessary for the attainment of bbmparativj? stability,” he said, “but that,is another story. * *' ‘ If we are to make aiiy progress for the at tainment of greater stability in business, we must consciously and deliberately prevent our money from increasing to feed a boom or from decreas ing to mtensiify a depression.” He nave sound money wueu vui laves in such a way as to help rathor than hinder tie full and efficient use of our productive re sources. We have sound money when the en.er&y and skill of American workers, the productive capacity of our great industrial plant and equip ment and the fruitfulness of oui land and nat nnd resources are used in such a way as to make °nr real income of goods and service as large as possible, not merely for a few prosperous y^-ars followed by a period of idleness and want, but for year after year of enduring stability. 1 his, it seems to me, should be the criterion of tie soundness of money, and not the amount of Hold that is stored in the vault of fhe treas i*y. * * * Money is merely the means by which we are able to exchange the things we .produce for things other people produce.” *"&'*. # , Asserting that dangers , of inflation could be , ened through tjne bankipgi IfigtskhUU- :MClf^ saul: . . ...... ; . ,• n f One of the means of combatting such * da^ Scr is-through intelligent control ;and (.juauas^’ 5?nt °f the money system jn Xh 'ere is,. relied no automatic mechanism Which. - upon to keep incomes and expenditure Proper Nation tfc wtr ■ 1 Knr~ _ 1 ' . -i._, at JVUi i There you..have aa'WtM. 1.* Eccm4j ’’ —and such 3W$nof during the gold regime. Compare the gold dollar with other values ip 1919 and 1932 and see if you do not find that of 1932 worth in goods and labor four or five times that of J919. ■ Eccles (Champions Administration Banking Bill . °f us have thoroughly studied the admin istration hanking b»|l. We np#si depend, in form ing an opinion of it,-largely upon the alignment for and against it. With a man of the yieiys of 'Eccless as governor ,pf the Federal Beserve Board and vigorously champioppig t]be Baling bill, iho writer, though he may have, no adequate knowl edge of the eopt^pts of that jbiU, which is being fought so persistently by Senator Carter Class and Others of the old Cold-Bug school, can but (be convinced of the merits of £he measure, not only because of its support by such men as ;Ecc!es but through the character of the. opposition. George Creel’s Picture of the Man out it our readers must similarly depend upoa the alignment of forces championing and op-’ posing the measure, it is desirable that they know more of this vigorous personality who has been chosen by President Roosevelt as governor of the Board whose functions are to be largely af fected by the passage of the Banking bill. £or the purpose of their further enlightenment in that respect, we come to George Creel’s graphic picture of the man carried in Collier's Magazine of June 29. It is unusual for the State’s Voice to republish articles from broadly circulated pub lications. Yet I feel confident that half of our readers, despite the popularity of Collier’s, which we commend to every reader, has not read Mr. Creel’s article. Therefore, with apologies to Col lier’s, though there is no evidence of copyright, I am giving. belo\y at least the most pertinent parts of the Creel article. The Young lyiprnaon P*riker Outlined Principle? of New Deal Mr. Creel begins his article by a recital of the appearance of Eccles before the_ Senate Finance Committee in the dark days of February, J933, and his instant electrification of the committee, bored by the suggestions of scores qf Witnesses who had sqpppsed they had something to offer for the g9°d °f the ^ahgn. 'Writes. hlrj Creel^ u “Before the unknown from Utah h#d speaking -for sixty"; seconds, however, tfcrnpm,. was electric* for not only did he have ifieji*-i: brand-new,, trail-bjazjng ideas—hut a gift ; tense, incisive speech that gave every idea, the drive of a bullet. ■ The trouble, as he diagnosed it, was that op tical and financial leaders had been “too telligent to see that orthodox economic? .fire out of date because they were meant for a-.situation in which famine and scarcity Were normal.condi tions in mankind’s struggle against nature The doctrines of thrift, economy and npici^ncy, the laying off of men to increase the production of those who^are ,.employed . . . without balancing the power of'consumption, is unsouna ana Gi lead only to destruction. Mass production must be accompanied by mass consumption. “Money and credit were merely means to soteial ends. What he urged was their effective control by a tmification-of the banking system und^r the Federal Reserve. Speaking as one who hadhaen a 'Republican, he made it plain that he had lost faith in $tandpatism; he refused to be womea bv fear of an unbalanced federal budget, terming it a ‘bogey’; he denied both the efficiency and the sanctity of the gold standard, and while tafe ine a firm stand against inflation, he declared boldly for what he called ‘reflation,’ and demand ed huge government spending to restore Phf*** ing power as the one way to bring r(*oveJJ;^ capitalistic system conld endu^ only if ref^med, and the profit motive must be freed ©f tts extdr Tions and greeds. : - : " ' - “Continuing in the same low even tones, Mr. Eccles advocated higher incorpe taxes* federal grants fqr the unemployed, unem ployment and fid aget insurance a haul? deposit Siaranty law, federal control of securities and stock exchanges, child labor law* minimum fr#%rtlpn and. 1 nsieqjt* X* at'- ??■ v.-\ gke-i^e-hindmo^ s^tem las life grating, ARwI ^ “j feed found that (he unassuming Mr. Ecqles had every right to call himself a Master of Finance and Industry. At the time he was head ftf a corpora tion controlling twenty-five banks in Utah' and Idaho, and had brought them through the crash without a> dollar of loss to depositors; president of a milk company doing an annual business of $5,OOOjOQO; president of one of the six compares then building J3ouL4er Pam; vicetprfcSnfeat -and treasurer of a ten^dlJi9*Miollar eMggsr pompany ; president q£ a great lumber $®mpany, #ml *'/*** vector in railroads, hotel companies ft»d ?th|C Concerns# . r-;T*-V'\. .* ; “Having said his say, Mr. Eccles went bade to Ogden, disappearing from sight as suddenly »8 he had leaped into ■dew. Along came FrankHn D. Roosevelt, however, bearing the Brain Trust in his train, and the Utah man was soon sum mimed irorp ms tastn esses as pconieree on pru ppsed legislation. Take his testimony before the Senate Finance Committee, compare it with the many New Deal laws, and the powerful influ ence of his bold thought will stand plain. * - • -' “In January, 1934, die w*s appointed an Assist ant Secretary of the Treasury, and m the follow ing November,' President itoosearelt * named hint* Governor of the ’Federal Reserve Board. Few choices have ever caused less refoiicing in the Senate, and weeks became,monthi as he wait^l for confirmation. One reason advanced for the delay was that he, as an officer and stockholder in financial institutions, was obviously ineligible. {Finally, in April, hearings were held, and it de veloped that Mr, Eccles had not only resigned from every presidency and directorate, but had divested himSelf of all holdings, taking a loss of $90,000 on one sale alone. He wa6 confirmed. “Behind the fight, however, was far more than fhe mere question of eligibility. The prime source of antagonism was 'Marriner Eccles’ open cham?* pionship of the banking bill, that measure design ed to centralize the responsibility for the govern ment's monetary policy in one national body, a»d to ve§t control of bartkihg in-the government it self, so that -‘'banks ma^ be the instruments, not the masters,: ofr’bttdmesS* frbftr -day of its introduction, flue bitt’Was attacked % the Cham ber of Cqmmeree of «the^ United States and .the 1 tibertv ‘Leaetie W ondatttfriptto; con? yitkllf 'BflO <X cOntrb{l<:& i :-d party !p power!’o«d-the work of ’pplitical 'fPaPn; . ners, (inflatiOhifetsf'*ahd fiat- mpney advositeirnr ;•; 1 it is'ln tHe?*ba<^gr0&nd of M^ri^aenEcclesitbpt* ; 4+. rrir,irtcr rLi wraeflCeQ f Opinion ily under the guid^nCfl Of 1 jyjormoti .missionaries, and trekking from the Missouri River on foot. • r v;r; “Young David seemMo,haY£ been. dynamic than ?rig^m .figure‘who (carved'gp,empir4 Pf ,thO de^ert. #he growing b(^ dw.c°4 e'd logs thrwgh $puth ?m, ^ qf a ' into ’Xd»‘ KaA r\f\f\ VjC/vJ •Mai-rjneiN's oionjer ikvwhwt herseifand foe?. WS-^ ihd f?m;%.r irpous cpnsejit te ^99^. charge of the pstate « t ’ J tJW Atll T7 tWiPtl qnanii?MHis W-On«TllV vllG W‘V):^T ™ 7* ’ 1* •*. j V ;T^aw“;' 1$91, and his :«fc#:a,tiQn.h&d ten. hwted |9 gp1* mar and high ^hopls -fcWste.M||Av; Utah Agficidhir^l GplJ^gq. f^rP91. ^f ^ J?^2 fi,yy however, heMsmt'^ slWW? h^.la^er* attending mm, waking ;»• ! learning'&» ho*3 VW, « frqm.h13 fiW^Snth year. tp the twnn$y.$rj5|>; M-§^^4 M a /Mormon *ria«#p$fc9#Mm merved ipr ita most-br<et young PW.# % phurch tf Jjs{g ^Christ of Uttfftday ?W;P£ W-Jg • ,*r fi i_* Avfprtdinff traA WPM* 01 W5 . tgin' fiegiw* '■ “Now Utah and her sister stales are PQt Wh8* Cquld be ^ ^en mast ot yPe 4a»d v*yen -closed t0“til#:f^9Ple’ Qlft’dhefS &'3wt9r tfl net simply a hign Wtehwea mpneyrMMhan}3f> .$»* «*^d9^ SfSfW ‘debtor.Itt&fl$Mjg-’-itfetig »M5l Wrlfe caunteyi^ ■**•+:&£ d ^ 3? r*w? , “Ttet is tte*w*y^tJ**t 'M^riAer»*$ brought up, and it goes farm espldisiflg :«t pmnt tal >~» ,s;& d£*Htai*# JsiSwtflM ttm •? ** . * -r*s • V . 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The State’s Voice (Dunn, N.C.)
Standardized title groups preceding, succeeding, and alternate titles together.
July 1, 1935, edition 1
3
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