Fighting Word “Inflation”
Again Rings In Congress;
Expert Tells What It Means
,pyw words so Important to the
gign-in-the-streat as "Inflation" are
g.5 little understood by him. In a
jpnps of two readable, understand-1
|bi, stories, Claude A. Jagger. fi
nancial editor of The Associated
press, helps to acquaint you with
^hat inflation means. The aeoond
will appear soon In the Cleveland
gtar.t
By CLAl'DE A. JAGGER
lAs-neU'ed Press Finanelal Editor)
NEW YORK.—UP)—A myatlcal (
word echoes through panelled and!
tapestried offices high in Wall
, reefs .skyscrapers, rumbles In the;
halls of congress, is heard In the
dignified offices of the federal
treasury, and swirls about the trnc#
leg posts of the Stock Exchange.
Tins ward Is “Inflation." Prob
ably few who hear.it and few who
use" I; understand just what It
means Yet few words, if Indeed
any other word, so qul'b^y stirs
emotions of political, financial and
business leaders these days. It
it arts arguments, destroys frlend
ihips. stirs not only anger but fear,
end caues timid capitalists to shift
their millions Into fresh havens.
Though Inflation may be little
understood. It Is well known that
In its severest forms it can bring
min unequalled by any force per- J
flaps save wax. xuc mjM iciuuie
experience with it in recent times
was in post-war Qermany, where
the currency became valueless, a
market-basket frill of money would
scarcely purchase a loaf of bread,
the »reat middle class was impov
erished, and hunger and intense
differing swept over the land. In
flation is not new, Rome saw it. In
the 1780's the infant American Re
public suffered from it. In Boston,
Samuel Adams found that a new
bat and a suit of clothes cost him
$2,000.
Money’s Value Deelinas
Very broadly, the economists say,
Inflation means a decline In the
talue of money, and a consequent
rise in the price level. It occurred
In Rome when Nero reduced the
metallic content t>f the , coinage.
That was easy to understand. With
less precious metal In each coin,
the seller of a new tunic naturally
demanded more coina. But today,
when we use chiefly paper money,
end more Important atill, transact
about 90 per cent of our business by
l use of bank checks, fhflatlon is
1 more illusory.
One of the most commonly ac
cepted theories of Inflation is that
it occurs when the effective vol
ume of money and credit increases
faster than the physical volume ol
l-ods.
Mass Emotion
Thus, if the number of dollars
available to purchase a quantity of
goods doubles, but "the quantity of
goods i-ematns unchanged, the price
of the quantity of goods doubles.
This, cf course, ia an extremely sim
plified version. It might seem Irom
this that effective control of money
and credit could be accomplished,
and prices kept stable. Indeed, that
is one of the objectives of reeeni
monetary and banking legislation.
But a vital factor which is be
yond ctntrol, economists explain, Is
mass emotion. If confidence in the
effectiveness of the control should
vanbh, the result may b« a rush to
spend money for fear it may be
worth less tomorrow. Something of
that nature happened In Germany.
Once such a movement starts,
money is spent faster and faster,
prices rise, the need for more and
n.ore money to carry on the move
ment tends to speed issuance of
puper currency. No one wants to
bold a fixed income security like a
w,qu. UQYcnunQiu*
ticasuries cannot finance them
■'plvc# by selling bonds, and are
torrpd to print atill more money,
s,iph a movement soon becomes ln
Jiation in its most virulent form.
The renewed flurry over Inflation
hi the United States has developed
0Ter the continuing spending and
borrowing by the government to
i»> off the bonus Jay printing
money.
Conservatives ask, how long can
top credit cf the government be
strained? And if money is print
will it not destroy confidence in
tho currency? Defenders of govern
mp.u spending answer that Amer
>pas per capita debt la still well
Ul;tier that of England or Franoe,
RI'd tlvwe who propcse printing
r "'icy answer that there is nearly
twwp «s much gold reserve as money
pirculation.
®AN °N UNIVERSITY MEETINGS
MM BE LIFTED DURING WEEK
*" HAPElj HILL, Feb. 10.—The
mild epidemic of Influenaa, colds
end snifnM which has beset uftl
'ersity students for the past two
vpeks had subsided today to such
" fxwl*nt that it was indicated that
p ban pfaced upon large public
mgregationa by the administration
WOuld be lifted this week.
II ASH IN 8PAIN LEAVES
1 DEAD, OTHERS WOUNDED
Madrid, Feb. 19.—(VP)—Another
an was killed and several more
funded yesterday in a clash be
™f,en victorious political leftists
police in Garagosa as the rest
Spaln Qu eted down after Sun
14 Pailiamentary election.
Electrification
Bill 1$ Passed;
T o Be Permanent
Voted By Senate Agricultural Com
mittee; Make Loans On Power
WASHINGTON, Feb. lt.-Crea
tion of a permanent, rural electrift
cation administration to spend SI,*
000,000,000 In brlnslng electricity to
the farm* ha* been voted by the
Senate agriculture committee.
It approved the Norrl* bill under
which $100,000,009 would be set aside
each year for 10 years for loans to
States, municipalities or non-profit
organizations to build generating
plant* and distribution lines in
sreas now without electric power.
The loans would be self-liquidat
ing over a period of 40 years and
would be made at a three per cent
Interest rate.
On Emergency Basis.
The committee's action was wel
comed by Morris L. Cooke, admin
istrator of the Rural Electrification
administration, which U on an
ergeney basis. It already has made
loans exceeding 94.000,000 for the
construction of nearly 4,000 miles of
distributing lines. ,
In a letter to the committee,
Cooke said:
"The policy of the utility com
panies has been to skim off the
cream of the business.
"Such a policy has precluded the
extension of sendee to nearly 90 per
cent of American farms and has
been paralyging' ln Its effect.
"Unsocial practices must give Way
to the policy of considering electri
fication of an entire area at one
time, a progressive program which
would be made possible under this
bill.”
Secretary Wallace also warmly
tndorse<f the measure. He said:
"The time Is propitious for adop
tion of a long range national pro
gram of rural electrification such as
the bill provides, and sueh a pro
gram will have my hearty support.”
In proposing the 10-year rogram,
Senator Norris, Republican of Ne
braska, author "oY the 'bill and
ponent of the Tennessee Valley en
terprise to provide cheap power,
said:
Farmer Good Customer.
“In many ways the farmer is the
best customer in the purchase and
use of electric current.
"The farmer needs all the faulty
ties which the city dweller needs,
but in addition thereto he needs
many facilities for whicb^ the efty
dweller has no use.
"The fanner, for Instance, needs
electric current to grinds feed, to
pump water and to perform many
other services about the farm
which have no application to the
consumer of electricity who dwells
In the city.”
Garden Planning
Begins This Month
(This is one in a series of articles
on Good Gardening written by tKe
Associated Press).
>. Paper Plans
The garden you plan with a pen
cil in February may be a far finer
thing than the one that actually
grows in spring: but um the pencil
anyhow. It Is best to plan the whole
thing on paper, and It’s essential
that various vegetables be so ar
ranged that the tall-growing crops
wont shade the smaller plants.
Generally speaking rows should
run north and south, but not, of
course, if that direction Is counter
to the long way of the garden. It
there's any choice, the land should
slope gently toward the south or
southeast.
Courtmartial got
Started Monday
Washington! Feb. 10.—</n—
Prasatc details of a proposed trans
action in woolen underwear Mon
day led off the military courtmar
tial of Colonel Joseph I. McMullen,
charged with having "dishonored-’
the service.
The first open court martial to
be held since the trial of General
'‘Billy’’ MltchtU a decade ago was
devoted today chiefly to a resume
by Harry H. Woodring, assistant
secretary of war, of the proposed
exchange of 700,000 suite of under
wear for other "surplus” army sup
plies.
McMullen, who acted as legal ad
visor of Woodring during the n*-«
gotlations is charged with having
accepted two round-trip Washlng
ton-San Francisco railroad and
Pullman tickets from Joseph Sil
verman, jr., who controlled the pri
vate companies interested.
All weather records for the So
nora, Tex., district were broken in
1933 with 41.31 Inches total rain
fall, which exceeded the average by
more than 16 inches.
High Court Sets
Sentences Aside
In Torture Case
Sty* Tartar* And Third Degree Not
SubeUtute For Jes
tie*.
WASHINGTON, Feb. 19—Assert*
ing that "th* rock and torture
chamber may not be eubetltuted for
the Witness stand" the supremo
court set aside th* death sentenca*
imposed on thr** Mississippi no*'
groes for murder.
Almost simultaneously the high
court refused to Interfere with
penitentiary sentences given three
men—Richard Oalatas, Herbert
Farmer and Frank Mulloy—for con
spiracy in connection with the 1919
Kansas City massacre Involving an
attempt to free Frank Nash, a con
vict. from police and federal agents.
Chief Jmtioe Hughes delivered
the unanimous opinion granting
the negroes a new trial—If the case
is prosecuted further. He declared:
"It would be difficult to concave
of methods more revolting to the
sense of justice than those taken
to procure the confessions of these
petitioners."
‘ He referred to testimony that
confession were obtained by hang
ing one of the negroes from a tret
for a time and whipping the others
while naked with a rubber strap
with buckles on It.
**ie © up i cm e vuun, iiua twice
granted new trial* to negro** con
demned to die in the Scottsboro,
Al*.. attack case.
The (ttMisslpl negro** Eg Brown.
Henry Shield*, and Yank Elling
ton—w.ere convicted of slaying Ray
mond Stewart, a whit* planter, in
Kemper county, Mississippi, on
March 30, 1*34.
"Aside from the confessions,"
Hughes said, "there was no evi
dence sufficient to warrant the sub
mission of the cage to the jury • * •
That the evidence established that
the confessions were procured by
coercion was not questioned * * •”
Action in the Kansas City mas
sacre case consisted of a mere re
fusal to review the conviction of
the men which had been upheld by
the eighth circuit court of appeals.
They Were sentenced to two year*
at Leavenworth penitentiary and
fined *100,000 each.
Wedding Announced
Of Mt. Sinai Girl
I m—mmmm
Han* Mae Me Swain Married To
. ""BrneeS McGinnis Of Beaver
Dam, In Gaffney.
> MT. SINAI, Feb. I*.-Of interest
to their many friends is the an
nouncement of the marriage of Mias
Rena Mae McSwain of Mt. Sinai
community to Ernest McOlpnls of
Reaver Dam community. The wed
ding took place at Oaffney, Friday,
February 14th. The bride, a pretty
blond, waa dressed in a crape dress
of powder blue with black acces
sories. She is the daughter of Mr.
and Me Rubin McSwain of Mt.
Sinai is very attractive and popu
lar among the younger set. She
received her education at No. 3 high
school. Mr. McGinnis is the son of
Mr. and Mrs. Jim McGinnis of
Beaver Dam comnnjnity and • a
very successful fanner. He received
his education at Lattimoi* high
school, The bride and groom were
accompanied to Gaffney by Mias
Ida McMurry and Arlon McSwain
of Beaver Dam. After the ceremony
they motored to Charlotte where
they spent the night with Mr. and
Mrs. Bryan McGinnis, a brother of
the groom. The young couple will
make their home with the groom’s
father and mother. I
Miss Nortn* Rollins of Morgan
ton spent the week-end with her
mother, Mrs. J. H. Rollins.
Mr. and Mrs. Thurman Hamrick
and Miss Selma Hamrick of Poplar
Springs, Mr. and Mrs. Ector Har
rlll of Kings Mountain spent a
■thiU Hunflotl tfieal.
Essie and Ocle Harr ill and Clive
Harrlll.
Junior McSwain has mumpb.
Mr. and Mrs. Gordon Bridges of
Flint Hill spent the day Sunday
with Mr. and Mrs. 8. A. Clary.
Mr. and Mrs. Terrence Bridges,
Shirley and Calton Bridges were
dinner guests of Mr. and Mrs.
Parris Jones of Lattimore Sunday.
Mr. and Mrs. Ernest McGinnis,
Mr. and Mrs. Olen Humphries of
Beaver Dam were dinner guests of
Mr. and Mrs. Rubin McSwain Sun
day.
Vets In Paraguay
Set Up Government
ASUNCION, Paraguay, Feb. 19.—
(FT—The veterans of the war with
Bolivia yesterday set up a provi
sional government of Paraguay and
forced President Ayala to resign.
Ayala, who had fled from Ms
palace after loyal polios lost a hard
battle which raged all day yester
day through the atreeta of the cap
ital submitted his resignation by
radio from the gunboat, Paraguay,
on which he had taken refuge. The
message was addressed to Col. Ca
mllo Recalde, leader of the revolu
tionaries, who with his followers,
proclaimed the war veterans’ hero,
Col. Rafel Franoo, provisional presi
dent of Paraguay. Ayala was then
permitted to land from the gunboat
and return to his residence with
full guarantees.
But Both Went
to Dog Pound!
ft -i .* >a ■ j
•"Take m* U you turn* you can,"
Is probably What the little pup
defiantly thought as he bunched
in the protection of this St. Ber
nard after elty authorities In
, Seattle started a dries to round
np all unlicensed doge and send
thatn to the olty dog pound. But
thn little dog end the big one
went to the pound lust the urns.
New Housing Plan
Begins In Gaf f ney
GAFFNEY, S. C.. Feb, 19.—A nett
federal housing compalgn, beginnina
sometime in the early spring and
carrying an extensive program ol
building and repair work, will lx
prosecuted vigorously .throughout th<
elty and suburbs, according to an
announcement yesterday by Floyd
L. Baker, local chairman of the
Federal Housing Administration.
Sums of money up to $50,000 at
five per cent interest will be avail
able to cltleens of the city who de
sire to either repair or remodel old
buildings or build new structure*
Mr. Baker said yesterday.
Fedeal money for the project hai
already been apropriated, according
to Mr. Baker. The major portion ol
the sums loaned wiH be made Indi
rectly through various corpora U
organiseUons, life insur
ance companies, banka and othei
lending agencies. ian
The total amdM||S^>uilding per
mits, showing ^pairs and bulldlngi
is year of 1935 wai
$19|v^vjfi$$gung to G. A. White
es.buudlng’mepector of the city
This camp*r«tlHfcLi$53.2M.22 lr
1914.
Gr«ek American*
Work On “Refuge”
GASTONIA. Feb. 19.—Chris L»
ventis, official of Ahepa, nation*
organisation of Greek-Amerlcar
citizens, revealed here Monday tha
the organisation was working or
plans for the establishment of at
orphans’ home and refuge for aget
and infirm Greek-Ametlcsns, will
Gastonia as a possible sit* for th<
project.
Mr. Leventi* said that a commit
tee, working on orders carried in i
decision reached at a recent Ahepi
convention, already had inspects
the site near Gastonia formerly
used for Monastery Bt. Stephanos
Greek-American college, and hat
taken it under advisement as a pos
sible location.
The property is at Linwood. sev
eral miles west of Gastonia, ,an<
has several buildings standing or
it.
Worker* Celebrate
Over TVA Decision
KNOXVILLE, Tenn., Feb. lb
tip)—Thousands of Jubilant TVi
workers resumed their tasks wltt
fresh confidence today while muni
cipal power advocates planned i
new drive In the wake of the cour
decision upholding the acts of thi
Tennessee Valley Authority.
Announcement of yesterday's rul
ing on TVA’s purchase of Alabarm
Power company property toucher
off a wild impromptu celebraUor
all along Uie great Tennesse val
ley and more speeches and paradei
were slated at downs of large an«
small towns In the area today
Work went forward at five largi
and amall dams, a part of the am
bilious navigation and power proj
ect and announcement was made
of a sixth dam to be begun soon
1208,000 APPROPRIATED
FOR MOUNTAIN HIGHWAY
MARION, Feb. 10.—An approp.
nation of 0905,000 has been made
for the relocation and construction
of a 15-mile stretch of highway
321 between Woodlawn, 10 miles
north of Marlon, and Linville Falls,
according to recent announcement
received here from the office ol
C&pus M. Waynick, chairman of the
state highway commission.
Rev. John M. Outler, Methodist
minis* er, owns a summer home at
Young Harris. Ga., that he built
with wedding fees.
Fallston Social
& Personal News
Claud Stamey III In IJnroln Hoapl
1*1; T. A. Lee Returns From
New Vork.
(Special to The Star)
FALLSTON. Feb. 19..The Christ
ton Endeavor society had an unique
aocial Monday evening in (he form
01 a Leap Year party. The affair
was held at the. homo of Rev. and
Mrs. H. F. Coleman and a large
group wa» present.
Claud Stamey who wa* taken to
tiie Lincoln hospital In Linoolnton
Bungay, is quite ill.
Mrs, Henry Dixon is confined to
her bed with an injured hand
which has developed blood poison
ing. Her viattors Sunday were Mr.
and Mrs James Hnrrii-. Mra. A. K
Harris and Mrs. J. S. Harris of
Elen and on Monday. Mra. Claud
Dixon and her son. Monroe, of Bel
wood and MW Virginia Harrta of
-—•—— ; ————
Zton oarnc to see her.
The ladies of the Baptist Ml«
aionary society held their monthly
meeting in the home of Mr*. T. A.
Lee Wednesday afternoon. Mrs. L
E Willis had the interesting pro
gram In charge.
Miss Flotse Stroup spent several
days at her home here because ot
quarter-ending holiday* at A. S. T.
C. In Boone where she goes to
school. She returned Tuesday.
T. A. Lee returned Tuesday from
New York City where he has been
on business for the past week.
Miss Ruby Warlick of Lawndale
waa the waek-and guest of Mr. and
Mrs. Harvey Warlick.
Mlsaea Alice Falla and Mary Lou
Hoyle spent Wednesday and Thurs
day with MU* Mary Frances Bla
rney of Folkvlllt
Miss Thelma Hc^Ic U spending
several days with Mlgs Nelle Bta
mey of Aahevtlla.
Borne of the last specimens of the
red-billed pigeon common In Texas
a century ago. am on display in a
Ban Antonio boo.
Mitt Auttell
Returnt From
Florida Trip
(Special to The Star.)
EARL, Feb. 19.- R. L. Wylie and
daughter, Miss Alma Wylie end
Bobby Joe Callahan who have been
t with flu and pneumonia are re
ported as Improving.
M. H. Sepntigh la seriously 111 with
pneumonia
Mrs Laura Rhllbeck and alater.
Ml** Fannie Earle are confined to
their bed with flu.
Mias Mary Sue Austell returned
home Monday after visiting her
brother, Heyward Auatell, and Mrs.
Austell in Trenton. Florida since
Christmas.
Mr. and Mrs. Sylvanua Jones of
Marlon were callers at the home
of Mr. and Mrs. W. D. Earle Sun
day afternoon.
Che*. Ellis of Kannapolis spent
the week-end with hts mother, Mrs.
J. P. Jane*.
* - *1 *>
J. f. Hulsey moved last w^ to
Hoachton, Georgia. * *«.
Mr. and Mrs. Clyde Borders and
family of Ninety-Nine Islands, 8. C.
Wfrr week-end guests of Mta. D. J.
Moss,
Misses Prances Orsham of Lattl
more and Helen Cl rah am of Bel
wood spent the week-end with home
folks.
R. H. Bepaugh la Indisposed with
flu.
Picket Lines Hold
Goodyear Company
AKRON, Ohio, Bah. ll.—ie—Rck
line, led by union officers, shut
off operations ot plant No. 9 of the
Ooodyear Tire and Rubber Oo. to
day and repuleed polls# who at
tempted to reach the plant*# fates.
Company official# made no com
ment but membera of the Union
Rubber Wotieen of America said
they would seek a conference with
managers over layoff* of tire build
ers which lod to the plaketlng.
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GANNON
STARTING THURSDAY
MORNING
SPECIAL LOT OF ASSORTED SIZES
AND COLORS IN TURKISH TOWELS,
VALUES TO 15c. LIMIT FIVE TO A
CUSTOMER
EACH
A Real Towel-Mighty
Big and Mighty Thirsty
Several hundred dosan Cannon Towele
slightly imperfect to go on sale at lowest
prices ever offered.
They’re the favorites with ail the fam
ily 1 If the man of the house bought the
towels . . . here's the kind he’d choose.
Big. oversize ... a good, heavy weight
that won’t give way under the strain of *
a sudden pull or hard rub-down. Woven
from select cotton yarns in thiek, dou
ble loop construction that drinks up
water faster than fast! You'll want a
dozen or more at this low price!!
GOOD QUALITY TURK
ISH TOWELS in solid
and novelty pattern?.
Size* to 29x50_...
IOC
EACH
HEAYY TURKISH
TOWELS
In Bath and Guest Size.
A Regular 22c ToWel.
EACH
This Lot Yon Will Find
Every Bin and Color Yon
Want. A Real Value In
BATH TOWELS. Stna
aa large aa 22x46.
18c
EACH
The Pick Of
Extra Heavy
BATH TOW!
22x54 in Plain and Not
elty Weaves. A Regular
60e towel.
EACH
HAPPY HOME Reck New Spring
WASH FROCKS WASH FROCKS
Newest Spring Styles.
Sizes 14 to 52
In All Biases and Styles.
Past Color.
Carolina Maid
WASH FROCKS
t: