Indianapolis Times, Volume 44, Number 23, Indianapolis, Marion County, 7 June 1932 — Page 6

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Just What Relief? Tomorrow the Republican state convention will meet to write it* platform of principles. Two weeks hence the Democrats will go through the same gesture. On July 7, the legislature of Indiana, composed of Republicans and Democrats, will meet for the purpose of giving tax relief, A platform that will appeal to the voters in November might serve as a guide to the members of the legislature when they gather for the very necessary work of trying to keep the farmer out of serfdom and tl.° worker out of peonage. The promise made to the people in November may accomplished in July if the party conventions have the courage and the wisdom to take a definite stand as to how taxes are to be distributed and raised. There is no disagreement on the fact that changes must be made. The farmer can not pay. The small home owner is losing his home. If reductions are to be made in the cost of government. and reductions are forced by the fact that it is now impossible to raise enough money to pay present costs, the platform should state in definite and unmistakable terms how the saving is to be accomplished. There should be a very definite stand on the matter of money spent by the highway department. P; r;ies should not be afraid to declare themselves on the wisdom of spending more than twenty millions a year for concrete roads at a time when the trustees find no money to feed the hungry. There should be a definite statement for or against an income tax as a means of raising revenue. It is well within the realm of possibility that the two political conventions, now competing for public favor, may make the w'ork of the legislature merely a ratification meeting. That could happen if the leaders in both parties far- the facts and state boldly the things that must be done to maintain an orderly government.

Watson and Oil This year Senator James E. Watson will have no opposition lor the nomination for senator. The abolition of the primary insured that, it would have taken more than a progressive in mind to attempt the 'ask of putting principle into the Republican renntorship. In his former campaigns. Watson has always been opposed when the people had a chance and each nomination was obtained only after a bitter contest. The repeal of the primary law as to senator and Governor places the nomination in the hands ot professional politicians. The repeal was inspired by Watson. It took away from the voters any chance to express themselves on presidential nominees, on the governorship, on the senatorship. So Watson will have easy sailing at a time when p vigorous and conscientious candidate, such as Claris A'liims proved to be in 1926, might, have enabled Rep blican voters to record their protest against paying a half billion dollars to the oil interests of the country through the latest work of Watson. For it was Watson and Senator Smoot of 'Jtah who put over the big grab in the latest tax bill when th\v placed embargoes on the importation of coal, cii. copper and lumber under the guise of a tariff. The big oil companies have an overproduction. Some of them have purchased oil as low at 10 cents, a barrel. In the meantime, other oil companies were importing oil from Mexico and Venezuela. They could restrict production at home in order to force up the price. But it did them no good as long as oil came from the south. The selling price of the nil now in storage was lifted almost automatically by this embargo to the extent of an estimated half billion of dollars. That added value must eome from the gasoline tanks of those who are still driving their automobiles. While factions of farmers, of overburdened taxpayers. of those who are trying to balance the party fondness for the utilities with their private protest against high rates, are debating the governorship, some thought might be given in the Republican convention to the matter of Watson. Failure to renominate would shut off expected campaign contributions. But the oil record of Watson may arise in November to plague them. It is almost unbelievable that no voice will be raised in protest against a unanimous renomination of Watson. The record has been kept straight in the past. The men who believed in Beveridge might at least make a gesture.

Do We Need a Dictatorship? That was a remarkable address Owen D. Young made at Notre Dame Sunday. Though delivered to the youth of a graduating class, it could be studied with profit by the mature of the country, especially by our industrial and political leaders. Whether or not you agree with the views he expressed, you will find them stimulating. Wn were interested particularly in his discussion of three popular attitudes, which in this depression rapidly are gaining sufficient currency to become dogmas. First, that, labor's standard of living had become too high to be maintained. Second, that over-specialization is another cause of our troubles. Third, that the President should have dictatorial powers in such times of crisis—though Mr. Young, of course, did not use the word ‘ dictator.” We find ourselves in agreement with Mr. Young's defense of high living standards, and in disagreement with his belief that there has been too much specialization and with his intimation that our form of government, with its system of checks and balances, is inadequate in times of stress. On the first point, he gave this timely warning: • People will tell you now that our living standards were too high and that we could not hope to maintain them. ... I hope you will say that the living standards were not too high—indeed, they were not high enough—and that you intend to see to it in your time that the masses of the people of this country not only reach, but maintain, a higher standard of living for themselves than we had at the height of the last period of our prosperity. . . . -The trouble was. we could not stand prosperity. Not satisfied with the daily earnings of our labor, we urdertook to gam more by speculation. We no longer sought high living standards from honest labor, but extravagance from dishonest gains. He listed over-specialization as "another difficulty." We fail to understand, however, in what way our increasingly complicated civilization can be organized and operated efficiently except by highly specialized technicians, industrial engineers, social planners, and experts in local and national government. On the third point. Mr. Young began by expressing his historical understanding and appreciation ol

The Indianapolis Times <A SCKirrS-HOWARU NEWSPAPER) Owned and published daily (except Sunday) by The Indianapolis Timet Pubtiablng Cos., 214 22 t West Maryland Street. Indianapolis. Ind. Prire In Marion County. 2 cenla a copy: elsewhere. .1 rents—delivered by carrier. 12 cents a week. Mall subscription rates in Indiana. $3 a year: outside of Indiana. 6.’, cents a month. BOYD GURLEY. ROY W HOWARD. KARL D. BAKER Editor President Business Manager PHONE— R IIey SUM TUESDAY. JURE 7, IMI Member of United Preaa. Scrippa-Howard Newspaper Alliance, Newspaper Enterprise Association, Newspaper Information Service and Audit Bureau of Circulations. “Give Light and the People Will Find Their Own Way.”

our governmental system of checks and balances to preserve democracy, but concluded: "It is quite explainable, therefore, that a government of powers widely distributed into carefully segregated and insulated compartments should function under normal corditions and should fail us altogether when the avalanche comes "It may be that we shall have to consider some method of putting extraordinary powers in the hands of the President in times like these. ’’ • $ Theoretically, doubtless, all would agree that a dictatorship or a semi-dictAtorship works more efficiently and certainly more quickly than any form of democracy, which is cumbersome to the very degree that it is representative. But there is an "if’’ and it Is a big one. Your dictator or dictatorial minority must be efficient, unselfish, and honest. The practical problem is to find leaders to whom the people safely could entrust what Mr. Young calls "extraordinary powers." In the present emergency, we are less impressed with the failure of our political machinery than with the failure of our chaotic dog-eat-dog economic system. We are less concerned with the delays caused by our political checks and balances than with the tragic Incapacity of our office holders to use the machinery at hand. Democracy w’hich must be vacated in times of crisis for dictatorship is no democracy. Whenever our democratic machinery fails in this country, we shall be quite ready to scrap it for anything better. But first we want a fair trial for the democratic method, with more intelligent and courageous economic and political leaders. * The Social Gospel Evidence is abundant that the church in America is stirring itself in behalf of men’s bodies as well as their souls. At Atlantic City the Methodists' general conference voted for altering the Versailles treaty to relieve Germany of sole w'ar responsibility, and for drastic armament reduction and war debt revision. It urged that aliens be not barred for pacifism, that military training in civilian schools be abolished, that orientals be admitted under quota. It deealred the "present industrial order is unChristian. unethical, and anti-social.” recommended a planned industrial economy, shorter hours, unemployment insurance, old age pensions, and public works instead of armaments. At Denver the Presbyterian general assembly blocked a fundamentalist drive to withdraw support from the liberal Federal Council of Churches because the council guardedly had approved birth control. At Manhattan the United Lutheran Synod of New York roundly condemned the scrapping of middle-aged workers, demanded serious study of unemployment insurance, old age pensions, child labor, minimum wages and national planning. Reports indicate a big increase in church attendance. While this probably is due in part to a spiritual ferment stirred by suffering and by reaction from materialism, it. also must be due to the awakening social conscience of church leaders.

Investigations Pay Senate investigations pay. Hostile propagandists for several years have been trying to persuade the public that these investigations are not only an unnecessary interference with business and with more-sinned-against-than-sinning citizens, but that they also are a great waste of government money in a time calling for economy. A check on treasury department collections resulting directly from the senate Nye committee disclosures—a by-product of the original oil scandals inquiry—shows that these investigations have been profitable financially as well as morally. First, there was an estimated government saving of three-fourths of a billion dollars in recapture of oil resources in the Teapot Dome inquiry. Now the treasury has collected $3,669,784 from Henry M. Blackmer, self-exiled oil magnate, for evaded income taxes, $60,000 from Blackmer for contempt of court. $606,097 from Blackmer and the three other principals of the illusive Continental Trading Company for corporation income taxes, and $1,398,910 from an unnamed individual not connected with Continental, whose income was discovered in the course of the investigation. In addition, the government is about to collect approximately $1,250,000 of personal income taxes from Harry Sinclair. Robert W. Stewart and the James O'Neil estate. The cost to the taxpayers for this Continental investigation by the Nye committee was only $25,000.

Just Every Day Sense BY MRS. WALTER FERGUSON

HENRY L. MENCKEN is a grand debunker, but I he does not rate so high as a prophet. For instance, in a recent press interview he says. “I suspect that the United States soon will have another war on its hands and that it will be a tough one. The shew- will be excellent and I hope to enjoy it in a refined and patriotic manner." Mr. Mencken forgot one thing, however He forgot to tell us where we are to get the money for this martial spree. Probability is that the only reason some of the nations are not wading in blood right now is lack of cash. But what a powerful reason that is! Anyway,' it's interesting to speculate upon the whereabouts of our high moral purposes when the lean years come. Japan behaved a few months ago almost exactly in the same manner that brought Germany into the limelight in 1914. But did we all rise in righteous wrath and run together to give her a w’ell-deserved licking? We rose, all right, but finding our money bags empty, we sat right down again. m -m m FEW wars are entered into with gusto when poverty is prevalent. Most of the high jingoism is indulged when rulers are prosperous and the taxpayers are thriving. The nations today present rather a ludicrous spectacle. They have built up enough tariff barriers and made enough fool economic mistakes to bring on a general free-for-all. But they haven't enough cash to pay the generals. Its disheartening, however, to see that a good many of us still are looking to the battlefields for prosperity. Apparently the human animal is so stupid he never will learn. Although the last war bankrupted the world, w T e still hang to our delusions about its getting us somewhere Mr. Mencken, who is fond of viewing the antics of his fellows, may expect to "enjoy the next war in a refined and patriotic manner,' and then again he may be disappointed. For out in the hick belt we are on to this kind of refinement and patriotism, and it's not going to be so asy to get a million westerners to spring to arms to defend the rights of stock-ticker boys.

THE INDIANAPOLIS TIMES

M. E. Tracy Says: —:

Not Only Do the Prospects of About Every Candidate Depend Upon Prohibition, but the Election May Be Determined by It. NEW YORK, June 7.—Nine out ten people in this country want a chance to express themselves regarding prohibition. They want that chance not only as a matter of personal interest, but because of a deep and growing conviction that the existing state of affairs is hopeless. Drys are as dissatisfied as wets. The thought of retaining present laws by gag rule has been abandoned by all, save a few fanatics. Though there are marked differences of opinion as to the reason, it generally is agreed that prohibition enforcement has collapsed. Many look upon the resultant condition as having a definite bearing on the country’s distress. The idea that modification, or repeal, would help recovery', is gaining ground. Putting that aside, it is admitted almost universally that decisive action of some kind must be taken, that we can not go on as we are, that no nation is strong enough to stand the continued strain of such a sham. a a a May Decide Election THERE is more interest in what the Democratic and Republican parties will say about prohibition than in any other single item on our political calendar. Not only do the prospects of about every candidate depend on it, but the election may be determined by it. President Hoover would have little chance of a second term if he persisted in the role of uncompromising dry. That is why Republican leaders are bringing such pressure to bear on him and why he so frequently is reported as willing to accept a reasonably liberal plank. As for the Democrats, they might as well not hold a convention as to come out for prohibition, or a prohibition candidate. a a a Keep on Stalling STILL, there is a large dry vote to be reckoned with and. above all else, the uncertainty of politicians as to how large it really is. That explains the stalling, especially in congrpss, and the reluctance of candidates to make plain, simple statements of their position Even when candidates do appear to make plain, simple statements, they often enter into some alliance which casts doubt upon it. Here is Governor Roosevelt ot New- York, for instance, supposed to be so wet as to favor nothing less than repeal, but demanding a dry chairman for the Democratic convention. From a political angle, that may be good strategy, but from a popular angle, it is not. Independent voters, and there are millions of them this year, are looking for something better than bargains to preserve partisan harmony, and they are looking for it particularly with reference to prohibition. a a a First Chance to G, 0. PTHE Republican party has a chance to speak first. It is a wonderful chance—a chance which, as E. T. Leach says, may determine the party's very existence. I would say that the forthcoming election is practically bound up in it, that if the Republicans come out with a clean, straightforward plank for action that will give the American people an opportunity to express themselves effectively, they will have regained much of the prestige which they have lost through three years of dawdling. I would say that the Republicans can steal a very large portion of Democratic thunder merely by taking a common sense stand on prohibition. Will they do it, and if they do not. will the Democrats have enough courage and perspicuity to make proper use of their mistake? If it were left for men in the street to decide, one would have little difficulty in guessing the answer, but who can tell what the average political board of strategy will do? If it were left to such clear thinkers as Al Smith, or Nicholas Murray Butler, one could guess, but will they be allowed a voice, or be muzzled, as they w'ere four years ago?

m today #a f WORLD WAR \ ANNIVERSARY

TREASON INDICTMENT —June 7 ON June 7. 1918. treason against the United States charged and indictments issued against several prominent Americans. These included Jeremiah A. O'Leary. Willard Robinson. Emil Kipper, Lieutenant Commander Hermann Wessels, and the Baroness Maria von Kretschmann, said to be a kinswoman of the German empress. Espionage was charged. American marines continued their drive on a two-and-a-half mile front northwest of Chaeau Thierry, taking Veuilly la Poterie in cooperation with French troops. Americans took more than 300 prisoners. Another Irish ship was accounted for by a German submarine in British waters. It was the Innisfallen, and eleven lives were lost when the ship sank. Questions and Answers Is Sing Sing a state or federal orison? It is located at Ossing. N. Y., and is a New York state prison. What author uses the pseudonym "Raphael?" R. C. Smith, author of Key to Astrology." "Book of Fate," "Book of‘Dreams." W'hr.t is the average height and weight of girls II years old? Average weight, 68.8 pounds, average height, 4 feet 54 inches. “What does “Viva voce" mean? A literal translation is “with living voice.”

Getting a Little Deaf in That Ear!

DAILY HEALTH SERVICE Infection Chief Source of Diarrhea

This is the second of tiro articles bv Dr. Flshbeln on summer diarrhea in babiev BY DR. MORRIS FISHBEIN Editor Journal of the American Medical Association, and of Hrgeia, the Health Matatine. '"I”' HE chief source of diarrhea 1 continues to be infections both from within the bowels and from without. To prevent such conditions, the child's surroundings in general must be good. It must be protected against excessive heat. If it is small, it should, if possible, have breast milk; but if that can not be provided, there are plenty of preparations of dried, evaporated or synthetic milk. Cow’s milk used in summer should be pasteurized and boiled. It is well to boil all milk given a child, particularly in hot weather, and then

IT SEEMS TO ME BY H b E rTu°n oD

THE New York Academy of I Medicine gave a dinner the other night to newspaper men, and we all made speeches. First, some doctor would get up to say how much he admired the standards and ethics of journalism, and then a reporter would reply by laying it on pretty thick about the physicians. It was not quite in accord with the spirit of the evening, for it seems to me that the efforts to make your liver and mine good feature copy have not been altogether happy up till now. I used to be among those who urged the members of the medicr.l profession to abandon their secrecy and come out into the open to tell us what they were all about. But by now I have begun to lean back to the old Victorian tradition of reticence for healers. It is not impossible to present scientific subjects in a popular and accurate form, but at least it is difficult. And when a doctor begins to write for newspapers or magazines of general circulation he has a tendency to go James M. Barrie on his public. I wish these missionaries to the laymen would not condescend so confoundedly. I would much prefer to know nothing at all about my heart than have it told to me in the form of a bedtime story. MMft Scans Doctor Journalism WITH not more than one or two exceptions. I accuse every doctor who has undertaken journalistic medicine of being coy and quaint and aggressively humorous. There is a tendency to confuse the bedside manner with the literary touch. I want to get my typhoid topics straight and my erysipelas without epigrams. It is quite true that many of the old-fashioned practitioners object violently to the new-style columnar doctor. They assert that his daily stint may often represent something less than first-class medical information. But • the complaint does not end there. It is bad medicine, it is even worse journalism. Specifically. I resent the efforts of those technicians who undertake to diagnose afflictions on the basis of postcard symptoms. Several men not without standing in their profession glibly have suggested manifold and major ailments on

The Worst Pest Roaches are among the commonest and most offensive of the insects vhich frequent human habitations. It is probable that even the early cave men were bothered by these insects. They are the bane of the modem housewife in kitchen and pantry. Our Washington Bureau has ready for you a bulletin on cockroaches. telling all about their habits and how to combat them successfully and rid your premises of them. Fill out the coupon below and mail it as directed: —— CLIP COUPON HERE Dept. 185. Washington Bureau The Indianapolis Times, 1322 New York avenue, Washington, D. C. I want a copy of the bulletin on COCKROACHES, and inclose herewith 5 cents in coin or loose, uncanceled United States pcstage stamps, for return postage and handling costs: NAME STREET AND NO $ CITY STATE ...‘ I am a reader of The Indianapolis Times. 'Code No.)

! to be sure to add orange juice to provide the necessary vitamin C. When a child develops diarrhea, certain procedures are indicated. First, give little or no food for at least twenty-four hours. Never give cathartics or laxatives unless under direction of a physician. Cathartics or laxatives will drive out the fluids from the body and irritate the walls of the bowel. If the child has lost much fluid by the diarrhea, aditional fluid must be supplied either by causing it to drink large amounts, or if necessary, by injections into the bowel or under the skin. During periods of diarrhea the foods given should be low in fat and in carbohydrates. It is. of I course, of the greatest importance to know whether there is an infectious basis. The question can be answered only by a competent physician.

j the basis of nothing more than a timid proffer of “spots before the •yes and embarrassment in the pres--1 ence of the opposite sex.” It sounds logical to say that all of us should have at least a rudimentary knowledge of what ails us now or may afflict us in the future. But this theory will not quite stand the test of practical applications. I am afraid that most of us love i symptoms too much to be permitted 1 any great amount of free, full, and public discussion of such matters. a a a Hits Innocent Bystander Even the clearest and most conservative statement of danger signs is likely to hit two dozen neurotics for every actual sufferer to whom it conveys useful information. Os course, there are palpable indications of grave ailments which should send the individual to consult his doctor. But a heavy price must be paid in false worry and mistaken agony if we are to set out to make any civilized community disease-conscious. To the scientific mind, these nightmare tribulations may seem a matter of small moment, but all who are bona fide members of the great fraternity of neurotics know that the malady you haven’t got can give you twice as much torture as an actual and legitimate lesion. And so. quite contrary to most health education, my advice to uncertain patients about to consult a doctor would be, ‘'Don’t.” Or to put it a little more precisely. "Be sure you’re wrong; then go ahead." a a a All for the Regulars I AM not in the least anti-medi- i cal. My faith in all the fads is small. Every radical ought to be conservative about something, and I prefer the orthodox practitioners. Yet with a reservation. From my point of view, they ought to be orthodox about serums and vaccines, but I could wish them much more rebellious in their attitude toward life. That will come when the practicing physician is more aware of his responsibility as j m artist. Pure scientists belong in the research laboratory but never in the consulting room. A doctor must deal with phases of personality which can not be measured as yet by any instruments.

The following procedures have been suggested by Drs. Holt and Howland as being most important in preventing diarrhea in infants in summer; 1. Encouragement of maternal nursing and the adoption of measures to make this possible, particularly during the summer months. 2. Education of mothers in all matters relating to the care and hygiene of infants. 3. Adequate supervision of the milk supply, the general use of pasteurizing or sterilizing milk, and furnishing good milk to those too poor to pay for it. 4. Instruction of mothers in regard to the care of milk in the home and in all matters of artificial feeding, 5. Constant supervision of artificially fed infants either in the milk station or by visits to the home.

Ideals and opinion* expressed in this column are those of one of America’s most Interesting writers and are presented wlthoat retard to their arreement or disatreement with the editorial attitude of this paper.—The Editor.

iHe can not get along without hunches. Moreover, no branch of human fervor ought to be alien to his interest. The perfect physician would be the wisest man in the world. And, of course, he must be in re- | bellion. In fact, he can rebel long before he becomes perfect. More than anybody else, the doctor knows, or should know, that no effective fight against disease ever can be won until the social and economic structure of the world is made over. There is no point in saying, “Rest in bed, fresh air, sunlight, milk and r , ggs,” until these things are within the grasp of all and any. Least of all is there reason for ! the wise physician to say, “Don’t worry.” until a day has come when that piece of advice becomes a possibility instead of a mocking taunt. • Copyright. 1932. bv The Tlmesi I j People’s Voice Editor Times—Hoover might have added that the Garner bill was not only barreled pork, but a mighty unsavory mess of it. It might be a good idea for the unemployed if the government built anew postoffice in every crossroads town <with a gold cage for the political hasbeens*. so that the unemployed could watch the construction. and have something to brag about. But when it comes to building new postoffices costing $70.000 and up, where the cement scarcely has dried on the last one. Herbert or somebody ought to squeak. Some of the towns mentioned in the bill have new buildings, and other small communities have adequate quarters for selling the few stamps and postcards used. No one knows of a community worth salving for political purposes that has its postoffice in a tent. Hoover may have made the mistake of talking a building program before he knew what it was all about, but any man in his right j mind knows now that the people who might build the buildings i would have to use their wages to pay the taxes for building the said structures and then be delinquent. Os course, if it is discovered that some of the towns on the list have new postoffices, the thousands of dollars appropriated can be passed , out to some of the boys, to buy thou-sand-dollar electric ranges and $3,500 bulls for the poor farms back home. This is not exactly the time for a civic beautifying program to aid the political aspiratons of either a Democrat or a Republcan, when hogs are selling at $3.25, butterfat at 13 cents, wheat at 47 cents and com at 25 cents. Decent bread still j is 10 cents, puffed wheat 3 cents an ounce and corn flakes 1 cent an ounce, with profits to the manufacturer of 1,000 to 3,000 per cent. Hoover may be a bit late with his squawk, but if he and his millionaire senate and house would stop the Board of Trade and other members of that fraternity in their rapacious exploiting of the farmer—and indirectly the laboring man—the country might enjoy seeing a lot of new $70,000 stone-piles and $25,000,000 floating cook-stoves for firing salutes to visiting nit-wits. And as long as the Walkers and i Raskobs can sit on high priced craps games, and the guy who raises their bread and mines the iron for their high priced cars, has to sweat bullets to keep out of the clutches of the county officials, who want toi

JUNE 7, m 2

SCIENCE BY DAVID DIETZ Depression Proves Boon to Mergers, Which Have Been Forced to Perfect Instead of Expanding Further. AS the nation suffers the gloom naturally attendant upon a depression-clouded sky, It is comi sorting to know that occasionally an observer discerns a silver lining in some cloud. One such observer is William Haynes of New York, editor of Chemical Markets, who points out that the depression is strengthening mergers effected during the era of prosperity. Haynes just has made a study of mergers in the field of American ! chemistry and points out that “the danger lurking in the American method of merging is plainly the old weakness of overcapitalization which proved so disastrous to many of the larger consolidations of the 90’s.’’ "When it is easy to raise money by sale of stock to the public for purchase of going chemical firms to add to the merger, there is a grievous temptation not to drive too close a bargain for the purchase price of those assets." he says. "Trouble comes later when it is necessary to pay dividends out of earnings upon the basis of the easygoing valuation. "In this wise it is perfectly possible to build up an industrial machine that represents too great an investment for the production it 1 can turn out and market. “In such a ease the merger is in the uncomfortable position of hal - ing erected a coke oven in which I to roast peanuts.” a a a Blessing in Disguise HAYNES is of the opinion that for mergers, the cheek of 1931 was a "well-disguised blessing," because it dried up the sources of easy money. Asa result, further expansion was stopped and the merged companies put to the necessity of perfecting their internal coasolidation. "The sharp curtailment of chemical demand and the subsequent de- ! cline in prices forced economy upon management, making necessary the consolidation of operating units and centralization of administration and j injecting a needed caution into plaas for manufacturing and salrs expansions," he says. ‘Furthermore, curtailed production and lowered prices (reflected in the balance sheets) were translated into sharp declines in the stock market quotations of many chemical securities. This was a novel experience for the major executives of some of our greatest chemical companies. For the first time they left sharply the direct, tangible, unfavorable influence of the stockholders. Nothing else so could have emphasized all that it means for a great industry to pass from the stage of the privately-owned company to the publicly-owned corporation. “The depression of 1930 very definitely has marked this great transition in American chemical inj dustry." a a a Change in Capital HAYNES also points out that a radical change in theories of capitalization took place in the chemical industry as stock was acquired generally by the public. “Formerly it was the common practice to issue common stock against the property owned by the corporation,” he continues. “Under the old regime, preferred stocks often were sold in anticipation of future profits to be earned from expansions financed out of the capital so raised. "Modern practice Is the reverse.. Preferred securities commonly represent the tangible assets, while the common stock covers the increased earning power, the good will, and the patent rights. "Each basis of capitalization has its peculiar advantages and is subject to its own form of abuse. "Under the older scheme, water’ was pumped into a corporation by treating such intangibles as good will and patent rights as physical property and by overvaluing notorious ill repute, and today it is not unusual to find these item* credited on the balance sheet at the nomlnsl sum of one dollar. "Capitalization of earning capacity. on the other hand, lend* Itself to great and less easily detected overcapitalization. "In the first place, it conceal* the true state of the businem, and, *n long as profits are earned, makes the statements appear deceptively favorable. “Futhermore (and this ia eartainly the reason for much recent overcapitalization), the basis of earnings i* marketable at a higher rate, and fluctuations in the security values are greater, thus affording a better opportunity for speculation.”

Daily Thought

For the poor never shall cease out of the land: therefore I command three, saying. Thou shall open thine hand unto thy brother, to thy poor, and to thy needy, in thy land.—Deuteronomy 15:11. All must respect those who respect themselves.—Beaconsfield. sell his home to collect their fees on his delinquent taxes, it is very poor policy for any party leader tc attempt saddling the country with town pumps for Frogtown, Hungry Hollow and Scratch Gravel, leave alone postoffices. Some figures on this funny relief program are as follolws: There are at least 10,000.000 idle in this country. If $2,000,000,000 is spent on postoffices, this gives each laborer S2OO and leaves nothing for high priced architects and contractors and materials. At $70,000 per stone pile. $2,000,000,000 would build 28,571 buildings, and this would give each state 595 new political cages. This would require 350 laborers on each job. Gamer might sell the hot-dog concessions on each job for enough to get back some of the dough he thinks people are hoarding. If many of the SBO,OOO type are erected, this would not make any difference in the S2OO a person, unless his wages be docked to pay operators’ tax on the hot-dog stands in the larger towns. STAN MOORE. Richmond, Ind.