The Bismarck Tribune Newspaper, October 4, 1934, Page 2

ote 7 THE BISMARCK TRIBUNE, THURSUAY, UCLUBER 4, 1934 2 ‘HONEST MONEY’ IS HELD T0 BE CURE IN PRESENT CRISIS Congressman Sinclair Would Have Congress Exercise Its Authority Belief that an “honest” money sys- tem is one of the chief needs of the United States and will lead us to stabilized prosperity is expressed by Congressman J. H. Sinclair, inde- pendent candidate for re-election, in Foreign Service magazine, a publica- tion devoted to discussion of national Problems. A part of the article is reproduced herewith in order that Tribune read- ers may be familiar with Congressman Binclair’s position on this important question. The excerpt from the article fol- lows: “Congress is authorized by the Con- stitution to coin money and fix the values thereof. It has not exercised that function except in a most limited manner. It does coin the specie money and print the paper currency, but it has made no effort until re-; cently to fix the buying value of its money. The result is that we have mever had a stable dollar. Instead of Congress controlling the volume of money in circulation, which is the most important attribute of money, it has conferred tha: power upon na-j tional banks. The effect of this has been vastly to increase the power wielded by banks in our commercial life. We find business being carried) on more and more by means of checks} and drafts. In the decade ending in; 1929, it is estimated that over 90 per| cent of the total business of the na-| tion was done with these evidences of; bank credit. This volume of bank) credit was a greater medium of ex- change than the actual cash money of the country, and performed nine times as much work. It has the same influence upon prices, dollar for dol- lar, as cash money. Inflation by Bankers “In September, 1929, at the peak of our prosperity, we had approximately five billion Yollars of money in cir- culation and fifty-seven billion dol- Jars of bank credit, subject to be drawn by check or draft. There was eleven times more credit money on, deposit in banks of she country than there was actual money with which to: Pay these deposits. Yet that fifty odd billion of deposits acted as a medium of exchange just the same as currency. That was an example of uncontrolled inflation, until some- thing happened to shake public con- dence. “When the stock market crash came, it set in motion forces that destroy- ed confidence in our whole commercial structure. People demanded cash for their bank deposits, but the cash with which to pay them did not exist. So many banks were forced to close their doors that our whole banking organ- ization was threatened with ruin. The bank holiday of last March saved the larger city banks, and with the ald of the Federal Government most of them were finally able to meet the tlemands of frighten-d depositors. Cites Credit Shrinkage “The banking resources of the| United States have shrunk nearly thirty billion dollars from 1929. We ‘still have approximately the same * amount of cash in circulation—five billion dollars—but the bank credit which had heretofore done 90 per cent of our commercial exchanges, has fallen from fifty-seven billion tollars to less than thirty billion dollars, a deflation of nearly 43% per cent in the circulating medium. And yet, with these facts well known, there are those who express concern that the government will make ‘ba- loney’ dollars if it attempts to re- store a part of this lost bank credit. “Another problem that must be met is the large amount of debt, both Public and private, which has been treated during the period beginning with the World War down to the Present time. A. very careful survey of these debts has been made, and the total has been placed at the stupendous figure of two hundred fifty billion dollars. This amounts to| Practically s dollar of debt against every dollar's worth of property in our country. The earnings of all of the people can scarcely pay the in- terest on this vast sum, let alone paying anything on the principal. Unless we are to have repudiation there must be a reflation of our Dioney and credit to pay these debts. Debt-Making System “Our money system for the past 2% years has been a debt-making system, operating for the benefit of & selfish few, rather taan as a ser- vice for all the peopl: We know that the basic money, gold, is limited in quantity. Therefore. in order to tarry on business and meet the needs Oi trade, people are forced to borrow | and thus create ‘banker's’ or credit money. This credit money is usu- ally secured on goods and chattels, ‘and is part of the circulating med- um, the same as if it were gold. “But when payment is due, gold! money is demanded, not chattels or credit money. If everybody has to Pay at the same time, credit col- i . Of depression starts. A further dis-| advantage in the use of bank credits! for money is its high cost. It may be illustrated in this way. A small community has altogether only $1,000 iy gold in its bank. The bank ex- pends this amount by loans to $10,000 @2 credit money secured on notes and . is that at the end of only of lending operations, one- Peutrir ceureeeePea ee erryrrey i i i values contract, and a period/ proved the action. marble setters’ union. . of L. Healing of a seven-year breach and reaffiliation of the carpenter, bricklayer, and electrician unions with the building trades department was suddenly halted at the annual convention of the A. F. of L. in San Francisco. when the department refused to seat delegates after the executive counci! had ap- Leaders of the “outs.” shown here In parley, are, left to right, Dan Tracy, electri- ciaoe’ president; William L. Hutchiason, John Possehl, and William H. McCarthy, president of the of the period of foreclosure and liquidation through which they pass- ed. However, refinancing at lower in- terest rates is only a palliative, or ‘shot in the arm.’ It can relieve the patient temporarily, but cannot cure| him, What farmers must have is higher prices for their products in order to be able to pay any rate of interest, however low; likewise. city dwellers must have steady employ- ment ahd fair pay. The one is the complement of the other. Added buying’ power of farmers gives added work to those in the cities. Sees Permanent Remedy “The permanent remedy is for Con- gress to exercise its constitutional au- thority and stabilize the value of money. Instead of permitting bank- ers to increase and decrease the cir- culation medium at will as they do now, thus creating good or bad times, and even panic, I would set up an agency in the United States Treasury whose duty it would be to maintain a constant, even volume of money in circulation at all times. This should be gauged to vary as the price index of commodities varies. “Thus a steady, stable price would be obtained. Other nations less fa- vored than we are doing this very thing, and to their own advantage. There is no sound reason why we should not, and thus insure an era of permanent prosperity. I would also remonetize silver at the ratio of 16 to 1, and make it a joint part of our basic money with gold. Our foreign trade would double as a result of this Policy, as it would open the ports of over half the world to us on an equal footing with other traders using their own kind of money. “In closing, I want to say that in my opinion the money problem is the most vital one confronting the Amer- ican people today, and upon its equit- able solution rests the fate of our na- tion. I am firmly convinced that we cannot endure and prosper as a dem- ocratic government, in the spirit of the founders, unless we adopt an hon- est money system.” People’s Forum (Editor's Note)—The Tri comes letters on subject est. Letters d w versial religious attack — individua quire a writers name where justicn and fair pley make it advisable. TIP FOR MOVIE MEN Bismarck, N. D. Oct. 1, 1934 Editor, Tribune: The author of this letter feels some compliments should be paid to the management of The Paramount for bringing to the public a picture that was as entertaining, educational and recreational in lieu of the usual run of more or less evil-inspiring movies that so often appear upon the screen. The writer feels that the compli- ment is due because, at first glance, the management was not so very well encouraged by his measuring stick; the boxoffice receipts, in presenting the recent movie, “The Scarlet Empress.” J. W. CALNAN Funeval Home Phone 22 expert and efficient service 18 50 needed obligates us to do everything as near- ly perfect as possible. You can rely upon us. WEBB BROS. Funeral Directors Phone 50 Night Phone 50 or 887 The measuring stick will, perhaps, completely fail at first to be complete- ly satisfactory until a public unused | to such pictures is first informed of its value in the advertising of such pre- sentations. For how many people knew about and looked for such educational fac- tors such as a real portrayal of the geography and climate of Russia, con- trol of even religion by the rulers of nations, the rule and ruination of na- tions in past history by half-wit rul- ers, marriages of nobility based upon the desire of binding nations together, in leu of marriages based upon the! laws of nature and a Supreme Being, as well as the immoral conduct of rul- ers of nations who are usually looked up to as examples rather than mere human mortals who have no control over their bodies or souls. True, some such educational adver- tising 1s being carried out on a smal) scale, such as in the newspaper write- ups of the educational features of his- torical pictures such as “Wagon Wheels” but why not follow this up to a greater extent and portray such things in the pictures used on bill- boards outside of the theater as well | ' amount of the tax levied and assess ed together with interest thereon at jsix Per cent per annum from the 13th | day of December, 1932. Such redemption must be made not later than December 3lst, 1935. in shall apply to all real estate pur- chased by or forfeited to the county and still held by it at the time this act takes effect, including cases in which the county may have sold and assigned its tax lien subsequent to the taking effect of this act. I want you readers to stop and study this law and see if it is fair to those who every year pay their taxes as they become due. If this is @ poor man’s law or a speculators law. (Big Biz). This is the way I |take it, A humble farmer with one |r @ few more one-fourth sections of | |land who lives on his farm, with the ‘crops that we had up to 1931 and 1932 did most generally pay his taxes, and I saw, time and time again, that men and corporations who owned large tracts of land and who I really did believe were more than able to pay their taxes, their land was on the tax sale list. And now they are given as in the pre-views of the produc-|the right to redeem their land with tion? only 6 per cent interest from the Of course the parts of such pictures 13th day of December, 1932, and the that need not have been portrayed|"edemption must be made not later must be overlooked until such time as than December 3ist, 1935. I will the producers will eliminate all un-|®raue that there are parts of our state necessary such parts in the future. where farmers are worse off than we ‘This writér does not wish to, have|@e here and with @ man at the head the reading public form the opinion of our nation as the Honorable Prés- that he would encourage movies, bus|!dent Roosevelt, they can get aid. I on the contrary he would encot ye 8M sure they can. I am satisfied that the people who do not attend movies| Paving taxes in these drouth strick- to select those which are of some his-|€" districts is something out of the torical scenic, geographic, musical, ur nist Nevertheless, I do not be- educational value as well as to en- courage theater managers and pro- qucers to continue presenting such Pictures to the moviegoing public, even. though the boxoffice receipts are small at first. Public opinion seems to be gradually swaying toward such conservative ideas, but in our government, every- day lives and literature. An Ardent Worker for Public Weifare. PAYING TAXES Baldwin, N. D., Oct. 2, 1934. Editor, Tribune: The good book says “By Their Fruits Ye Shall Know Them.” The solid Nonpartisan legislative assembly at Bismarck, in the winter of 1933 plac- ed upon our statue books chapter 257 8. B. No. 1, which is an entirely new law, and repeals all acts and parts of acts, in conflict herewith! 8. B. 1 real estate sold or forfeited to the county for taxes of 1931, or any prior year, including hail insurance |. :|taxes and special assessment taxes, and still held by the county at the time this act takes effect may be re- deemed upon payment of the original Se Save on shoes for men, wo- men and children at the Peo- ple’s Department Store. Sr Eyes Examined Glasses Prescribed The eye is an organ you can't afford to neglect. Dr. H. J. Wagner Optometrist Offices Opposite the G. P. Hotel since 1914 Phone 533 Bismarck, N. D. PERRY FUNERAL HOME Offers , Convenience rons De TAT leve in giving anyone a chance fo dodge paying his taxes when he can pay them. It is unjust and unfair to those who pay their taxes before The right of redemption given here-| they become delinquent, let us in- vestigate what the warm handshake really means. If it is not betraying the poor man, \ Yours truly, Julius Meyer. ON SCHOOL FINANCES Wilton, North Dakota . October 3, 1934 Editor Tribune: . The school financing question is serious. When I went to the county audit- or’s office to see how much money our school district had, of course there wasn't very much. Quest ned as to how the schools were going to tun this year he said he didn’t know, There wouldn't be much tax money coming in. We agreed if 10,000,000 Persons would think on these prob- lems instead of expecting some one else or the government to do every- thing, ways could be found to solve some of them. Within two or three months many of the school districts, perhaps most of them, will be unable to pay their teachers. We must have food. We must have clothing. And education also comes among the most import- ant things. Some way we will get the money for food and clothing. How will we get the school money? I offer the fc plan: Let the state sell to private con- cerns or to the government, emer- gency school relief bonds bearing al fair rate of interest. Then levy a small sales tax on food, clothing, gas- Oline, other things if necessary, (farm machinery to be exempt) for the purpose of paying off these bonds. This sales tax to be used in payment of the bonds and administration ex- Penses. None to be used for politi- cal or any other purpose whatever. I suppose it would take $2,000,000 or more to bolster up the school system of the sjate and I should judge. a two per cent sales tax would repay this in about three years. The popu- lation of North Dakota is around |600.000, so this amoun: would be around $3.40 per capita. For a fam- | if ly of six it would amount to about $20.40 or a little less than $7 per year. Each school district would make ing questions as to expenses for year, money on hand, ability to pay taxes, etc. Money would be allotted accord- @ crop this year al they could pay it of and gathering other states where sales tax they have no this out. Such a would have to be creat islature. A 5 per cent sales tax possibly keep the schools going but it would take longer to get the to where it was needed. Respectfully, HUGH REDINGTON, We have looked with suspicion on their (the brain trust's) activities for several months, but now we an accounting. interested chiefly in their jobs and perpetuating their own bu- ; Teaucracies—Senator Arthur R. Rob- inson of Indiana. : The Vitamin D content of evap- orated milk can be increased on a commercial scale by a new method pega at the University of Wis- col le OUR CHILD AND THE SCHOOL ~ By Dr. ALLEN G, IRELAND Divector, Phyrical snd Hedi Bdzcation Now Jersey Sime Depertaret of Poblic Inaction Learning at Luncheon “No, one really expects children to | have a knowledge of their nutri- tional needs, or calories, vitamins and the like. If left to them- selves with an op- portunity to choose, they would eat chief- ly of those things that “taste good.” Hence, a problem faces par- ents and teachers alike, for when such important information is available we can’t just let it accumulate and lay idle. It is too significant to health and success and happiness. It must be put to work in the live: of people. But the majority of parents either do not have scientific knowl- edge of foods and nutrition or they don’t know how best to teach chil- dren. Thus the responsibility falls to the educational institution of the community which these same par- ents support and to the staff of teachers who understand how to make knowledge function in the lives of children. It is in this light that the school | lunch is taking form. Instead of being just a convenience for those who can’t go home at noon, it is coming to be regarded as a learn- ing situation. It is a laboratory where one of the chief essentfals of life is practiced in a correct manner until habits and attitudes are formed. Parents say that a good echool lunch situation influences food selection and table manners at home. Principals say it makes for better school morale. And the pu- pils approve because they like it. WAKE UP YOUR LIVER BILE— WITHOUT CALOMEL And You'll Jemp Out of Bed in the Morning Raria’ to Go 2 i I ity i i it Ht i Hi i a £ | i kt i ‘3 7 i 4 £ Cy ‘| ij i F 5 i 4 i Hi il ! i i i 2 > cd a Luckies use the finest tobaccos—only the clean center leaves—these are the mildest leaves—they cost more—they taste better. “It’s toasted” a = ie = City CCC Camp; Mrs, W. C. Fait, Fin- | MRS, Hl T GRAVE gal; . Thomas J.. Galvin, Bis- eule Ae marck; Mrs, J. H. 8. Thompson, Val- ley City; } Frank Rathman Jamestown; Mrs. F. B, Peik, Carring- k ton; Mrs. Joe Cutting, Williston; Mrs. a Me ite T. H. Cousins, Carrington; Mrs. R. A * | Countryman, Mandan; Mrs. 8. M Hydle, Williston; Mrs, 8. A. Randall, + ‘ | 18th Annual State Conference |Mandan; Mrs. E. W. Cunningham, Devils Lake; Mrs, Glenn Moon, Far- at Valley City to End = {go; iin Dora Large, Valley City: Mrs, R. Putnam, Carrington, Thursday Afternoon rs J.B Meyer, Smack Ins ' Z| Moye fog) Lariat Ld convention were Mrs, J. A. Poppler, Grand wT. "Craven damestowo, ‘was re- [TOUS Mrs, Z. E Musberger, James- elected state regent for North Dakota See brs, Genie ae Devils Lake, of the Daughters of the American le M. Chenery, James- Révolution at the 18th annual state - if eee conference here Wednesday. Sessions| Mrs. William Langer conducted a No end Thursday afternon. memorial service for the late Mrs. E. tril Other officials named are Mrs. A.| A. Willson, Mandan. dey M, Powell, Devils Lake, first vice re-| Mrs. Clara Bearse, Fingal, was pre- str gent; Mrs. R. W. Shinners, Mandan, | *ented as a real grand daughter whose ent second vice regent; Mrs. Joe Cutting, | Ancestors served in the Revolutionary | . sal Williston, recording setretary; Mrs. | War. ci ret tot; ‘Mrs Guy Cook, Garrtagton, in; be uy 3 oO 8 registrar; Mrs. R. J, Meyer, Bismarck, |_ There deena nn fault among on Ubrarian; and Mra. 8, A, Zimmerman, | Yoinget, Sommine players. They are tiv Valley City, chaplain. bet i ee ed le Dr. J. B, Carr, Jamestown, state |Qnes--Darry! Zanuck, movie pro- ce president of NSSAR, and Miss Minnie ae To M. Dilley, Icenerel ere” unepal di vice president-general, were I don’t think that, just becat speakers Wednesday night. man is nominated te eee to of. bi Speakers Wednesday afternoon were | fice, his family should step in the [ Captain A. T. Brackett of the Valley | spotlight too.—Mrs. Upton Sinclair. L. ‘8a 7 7 = ti . ° J ™ orlds Fair Visitors 7 . rR tt 9, ol HERES WHERE ‘T- 3 ; P TO STAY in i 1s tl it jj O ti © CONVENIENCE... ’ COMFORT...ECONQMY. .. and ! ‘ COOKING ‘ I ———S—EE—— i é . os 8 1 (On the main traffic artery to.and from the Worlds Fair Grounds. Close to every thing worthwhile in Chicaga Write today for ‘A CENTURY OF PROGRESS, the, Worlds Fair descriptive booklet — free on request. WORLDS FAIR RESERVATIONS ACCEPTED NOW! CLARK ST. NEAR JACKSON’ BLVD: .