Kankakee Valley Post, Volume 2, Number 45, DeMotte, Jasper County, 23 March 1933 — Page 2

News Review of Current Events the World Over

Congress Quickly Acts on President Roosevelt’s Request for New Legislation--Reopening of Banks Spurs Upturn in Business Activities.

PRESIDENT ROOSEVELT’S request to congress that he be given authority to make cuts in the salaries of government employees up to 15 per

cent, and to make reductions in the amounts paid to veterans, that authority to include practically an entire revamping of the government policy as it applies to government expenditures, as it applies to veterans of the World war and other wars, met with a quick response on the part of the house

President Roosevelt

of representatives and the senate. The bill passed the senate by a vote of 62 to 13. Forty-three Democrats and nineteen Republicans voted for the measure; four Democrats and nine Republicans against it. The vote in the house was 266 for the measure and 138 against it. That result was not achieved without difficulty, and the difficulty came in the ranks of the President’s party, and its passage would not have been possible without the aid of Republican members of the house. In a party caucus 92 Democratic members bolted the President's leadership and voted against the measure, their opposition being to that portion of the bill giving the President dictatorial powers in the matter of expenditures for veterans. At the final roll call, 197 Democrats and 69 Republicans voted for the bill, and 92 Democrats, 41 Republicans and five Farmer-Laborites against it. Several members who were opposed to the bill but who did not wish to be recorded as against an economy measure, decided not to vote. An analysis of the vote shows that 68 per cent of the Democrats voting and 62 per cent of the Republicans stood by it, but leaders said that the Democratic percentage for the measure would have been much lower had not a parliamentary maneuver been invoked to prevent rebellious members of the party caucus from going through with their plans. Still another factor was credited with part of the favorable vote, and that was the word passed around the house cloakrooms that President Roosevelt planned to denounce the opposition in a nation-wide radio broadcast if the bill had failed of approval. It is believed the President will make a saving of approximately $385,000,000 in the expenditure for veteran relief by cutting out all men whose disability, on which claims for relief are based, was not the result of war service. The reduction in the salaries of government employees is expected to save approximately another $150,000,000. In the senate an effort was made to delay the passage of the act by proposing amendments and the senate chamber resounded to the oratory of friends of the veteran and of federal employees, battling, against certain and overwhelming odds, to win some amendment to the bill.

WHILE the President has received Republican aid in securing desired legislation for his banking, economy and beer program, he will prob-

ably not be able to depend upon it to the same extent at least for his farm program. That contemplates giving the President dictatorial powers in so manipulating the price of farm products to bring them up to what is termed a “parity” price. The contemplated law would authorize the President, acting through the

secretary of agriculture, to fix a parity price of each farm product; that is, a price at which the producer of the product would be placed on a parity with the producer of manufactured articles. For example, the secretary of agriculture might declare $1 a bushel to be the parity price of wheat. The object then would be to manipulate the price of wheat upward until the desired parity price should be reached. In order to raise the prices of farm products the secretary of agriculture under the terms of the bill would invoke various devices. He might employ the domestic allotment plan to influence the prices of one group of commodities and the government land leasing plan in the case of another group.

Secretary Wallace insists that it would not be a price fixing law for the reason that no price would be fixed by fiat. Instead, a price would be declared to aim at and the measures adopted would be those judged most likely to raise the price to the point desired. The products covered in the contemplated law are wheat, corn, cotton, cattle, sheep, hogs, milk, dairy products, tobacco and rice. Along with this the President proposes the scaling down of farm mortgages and a reduction in the interest rates through agricultural

credit agencies, all of which are to be consolidated under the direction of Henry Morgenthau, Jr.

BANKS began opening for business on March 13. On that date only banks connected wilth the Federal Reserve system and located in Federal Reserve bank cities opened their doors under licenses from the Treasury department. Banks in all clearing house cities that had applied for and been issued licenses either by the federal treasury or, in the case of state banks, by state banking departments, began opening on Tuesday, and those in the smaller cities and towns on Wednesday. There were no restrictions placed on the banks in the way of limiting withdrawals, except where the depositor was attempting to secure sums that would indicate hoarding, when the person making the withdrawal was required to state his purpose and give his name and address. The banks were also required not to pay out gold or gold certificates, the embargo the President had placed on gold being continued, and vast amounts of the metal were being returned to the banks. Up to March 13 it was estimated the Federal Reserve bank in New York had received more than $100,000,000 of hoarded gold and in Chicago more than $23,000,000 had been returned. The returns throughout the nation indicated a larger amount of gold brought back to the banks than the total withdrawal of the metal since February 1, though government did not give out any definite statement on the subject. It was after the President had repeated and emphasized the embargo he had placed on gold payments that Governor Blood of Utah signed a bill passed by the legislature requiring “the treasurer of the state of Utah and of each taxing subdivision within the state to pay all public employees under their jurisdiction in gold coin.” Where will Utah get the gold? The President, in a published statement and also in a national broadcast, detailed in simple language the reasons for the national bank holiday and the plans for opening. He was careful to emphasize the point that the time of opening any bank was not determined by its relative condition. but by the ability of the officials of the Federal Reserve banks and of the Treasury department to make the proper check for the issuing of licenses. He explained that banks that were not sound would not be permitted to open except under government supervision for the purpose of reorganizing them. The reopened banks were supplied with a liberal allowance of the new currency based on bank assets, but in practically no case was any of this needed as the deposits exceeded the withdrawals, and in many cases the new currency was returned to the Federal Reserve banks.

PRESIDENT ROOSEVELT took time out from the urging of new legislation to give some consideration to the filling of important diplomatic

posts. He has sent to the senate the names of Robert Worth Bingham, publisher of Louisville, Ky., as ambassador to Great Britain; Jesse Isador Straus, president of R. H. Macy & Co., New York department store, as ambassador to France, and Josephus Daniels, war secretary of the navy,

under whom Mr. Roosevelt served as assistant secretary, as ambassador to Mexico. At least one of these will meet with some opposition in the senate. Senator Arthur Robinson (Rep., Ind.) announced that he would offer evidence that Mr. Bingham had made speeches in England which caused him to be labeled as “apologetic American.” Advisers of the President, however, declared that he was fully satisfied that Mr. Bingham will assert and defend America’s position on all issues emphatically and patriotically.

Secretary Wallace

WORLD war veterans, the U. S. Supreme court decided, are without priority over other depositors in the claims against insolvent banks for the money received from the United States. The ruling was handed down in a case involving a deposit of approximately $6,000 which Sam Spicer had in the Hargis Bank and Trust company of Breathitt county, Kentucky, when it became insolvent. The assets of the bank were not sufficient to pay all depositors, and it was contended that money received from the United States by veterans for insurance and disability allowances was money of the United States while on deposit in banks to the credit of veterans and was therefore entitled to priority. The Supreme court decided otherwise. A TORNADO swept the TennesseeKentucky border from the Mississippi river to the Cumberland mountains, killing 30 persons, injuring more than 200 and did damage estimated at $1,000,000.

WITH a special message of only 72 words--the shortest Presidential message ever written--the President secured legislation amending the Volstead act and making 3.05 per cent beer legal in the United States. The President’s 72 words were: “I recommend to the congress the passage of legislation for the immediate modification of the Volstead act, in order to legalize the manufacture and sale of beer and other beverages of such alcoholic content as is permissible under the Constitution; and to provide through such manufacture and sale, by substantial taxes, a proper and much needed revenue for the government. “I deem action at this time to be of the highest importance.” The beer bill provides for an alcoholic content of not over 3.05 per cent, for a tax of $5 a barrel, for a license fee of $1,000 for each brewery, and the law to be effective 15 days after it is signed by the President, which means beer will be on sale shortly after the first of April. The bill was passed by a strictly non-partisan vote. In the house 238 Depiocrats voted for it, and 58 against; 73 Republicans for and 39 against, and 5 Farmer-Labor for. Twenty members did not vote, and there are two vacancies. Kansas was the only state whose representatives voted solidly against the bill, while the representatives of 18 states voted all wet. The senate amended the house bill to include wine, to make the alcoholic content of both 3.05 instead of 3.2 and to prohibit sale to children under sixteen years of age. The vote in the senate was 43 for the bill and 30 against, also along strictly non-parti-san lines. It is estimated the $5 a barrel tax on beer will produce about $125,000,000 additional revenue.

OF SPECIAL interest to Roman Catholics is tjhe allocution delivered by Pope Pius at the secret consistory inaugurating the holy year.

Pope Pius

that two others would be elevated later. The six elevated were: Pietro Fumasoni-Biondi, former apostolic delegate at Washington; Archbishop Villeneauve of Quebec, Angelo Dolci, Archbishop Innitzer of Vienna, Archbishop Costa of Florence and Archbishop Fossati of Turin. Second only to the “nefarious propaganda of communists” which, he said, threatens Christian civilization, the pontiff proselyting activities of Protestant sects in Italy and Rome. He describes these activities as being “impudently pursued'’ and urged all the faithful to co-operate against “this menace and defend the treasured riches of city and nation.” PLANS for immediate reconstruction and rehabilitation are well under tyay in Los Angeles and its suburbs, where earth tremors caused 115 deaths and property damage estimated at $75,000,000. An appeal has been made to the federal government and the Reconstruction Finance corporation for the majority of funds needed for rebuilding. Congress passed a bill, introduced by Senator William G. McAdoo of Los Angeles, for an emergency appropriation of $5,000,000 to relieve immediate distress in the stricken area. The earthquake will probably give to science the first accurate records of just how the earth shakes during such a disaster, information which may be highly valuable in construcing buildings to withstand earthquakes in the future.

Jesse I. Straus

THE French cabinet is sounding out the members of the chamber of deputies in an attempt to whip up a majority in favor of paying the

$19,261,432 war debt installment to the United States which was defaulted on December 15. Former Premier Herriot has been lobbying in the government’s behalf, seeking pledges to vote favorably in case Premier Daladier should decide to bring the matter to a vote. Herriot has been telling

the deputies that it is necessary to act quickly, as the government would like to have the payment coincide with the departure of the new French ambassador to Washington. THE new administration refuses to allow the United States to be bound by any action that is taken, but agrees to join the League of Nations members in a discussion of what the world should do about Japanese military inroads in northern China. Hugh R. Wilson, minister to Switzerland, has been named to sit at the council table with the league's special advisory committee on the undeclared war in the Far East, with two important reservations: The United States, a nonmember of the league, will not vote. It will not agree in advance to bow to the committee’s decision, which may call for an economic boycott or other coercive measures. 1933, Western Newspaper Union.

THE KANKAKEE VALLEY POST.

His holiness issued a warning that communism is attempting to exploit the world's political and economic disorders and expressed a fervent wish for disarmament and settlement of war debts. The pontiff bestowed the Roman purple on six new cardinals of the church and announced

Premier Daladier

INDIANA NEWS

Oral arguments presented for judicial clarification of the 1932 $3,000,000 state sinking fund law were heard by Judge Clarence E. Weir in Superior court at Indianapolis. Arguments were based on a friendly suit filed by Timothy P. Sexton, county treasurer, naming a number of defendants. The law provides for the diversion of interest collections on all public deposits in Indiana to the state treasurer for a creation of a $3,000,000 sinking fund. Medicinal whisky may be sold only by druggists on prescriptions from physicians or dentists, according to an opinion of Philip Lutz, Jr., attorney general, in response to an inquiry from W. H. Kennedy, acting supervisor of permits for the United States Treasury department’s industrial alcohol division. It was given as an interpretation of a provision of the new state beer control law. James Storey Drake, age eighty-one, 18 years judge of Elkhart and Lagrange Circuit courts and widelyknown citizen is dead. J. Thomas Arbuckle, Rushville, a trustee of the Indiana state prison, was named chairman of the newly created state board of clemency. Delos Dean, Rensselaer, a trustee of the Indiana reformatory, was named vice chairman and Waytie Coy, secretary to Gov. Paul V. McNutt, secretary. The first of the board's quarterly meetings will be held at Indianapolis the last Tuesday in April, A windstorm which almost reached tornado velocity wrecked many buildings in Huntington. Allen and Wells counties. The damage will aggregate $50,000 or more. More than 1,000 farmers were in attendance at the two-day annual meeting of stockholders of the Indiana Farm Bureau Co-operative association at Indianapolis. Adrian Blanton was arrested at his home at Bedford in connection with the death of Victor Edwards, Huron storekeeper. Robert Durkes, eighteen, was killed at Logansport when a car crashed into a stalled truck. Dan Samden and Walter Edwards escaped injury. Police of Boonville were notified of the disappearance of Ralph Broshears, fifteen, son of Mr. and Mrs. Melvin Broshears. Luther F. Symons, state banking commissioner, said at least one bank in each of the 92 counties would function under restrictions imposed by his department. In addition. Federal Reserve hanks at Chicago and St. Louis announced permission to reopen had been granted to 78 national banks in 64 cities of the state. Tiptbh B. Louderback. ninety-four, known ns the “marrying squire,” who during 50 years as justice of the peace married 5,000 couples, died at Valparaiso. Mrs. Sarah Jane Hiday, native of Preble County, Ohio, celebrated her one hundredth birthday anniversary at her home at Alexandria. Burns suffered by Henry W. Dreves, Evansville, while tending a bonfire in a wooded plot near his home, resulted in his death. At Bedford Georga Jenkins, age five, daughter of Mr. and Mrs. William Jenkins, burned in an attempt to bake mud cakes over a trash fire, died. Jacob C. Nie, age fifty-three, was found dead by his wife in a barn on his farm near Bippus. He had been stricken with heart disease. At the March session of the parole board at the Indiana reformatory, 219 inmates were paroled. Petitions of 14 were refused. Phillip L. Hoover age sixty-five, president of the Hoover Liniment company, Carlisle, died in an Indianapolis hospital. He had been ill last summer. The residence requirement for obtaining divorces in Indiana was reduced from five years to one year. Governor McNutt signed a bill passed by the recent general assembly. The law is yet in effect. Dr. C. H. Perry, age fifty-eight, a practicing physician at Lewis Creek, Shelby county, more than 35 years, died at the Robert Long hospital, in Indianapolis, after several weeks’ illness. State, national and county political leaders along with life-long friends from Lafayette and surrounding cities, and Purdue university officials paid final tribute to Will B. Wood, former congressman, at his funeral services. Protests against the proposed reductions in veterans’ claims and compensations have been sent to Indiana senators and representatives by the Hartford City American Legion, SpanishAmerican War Veterans, Disabled American Veterans and Veterans of Foreign Wars. With the new intangible tax law scheduled to become effective April 1, the state tax board was completing preparation of forms and stamps required. The stamps will be in seven denominations--5 cents, 10 cents, 25 cents, 50 cents, $l, $1.25 and $2.50--and each denomination will carry a distinctive color. Ellsworth Chalfant, age fifty, merchant and civic leader, died at Hartford City after an illness of two years. He formerly was president of the Kiwanis club and the Fall Fair association. He also served as an officer of the chamber of commerce.

MONEY MERELY ONE FORM OF EXCHANGE

Barter Found Too Crude for the Purpose. When a schoolboy swaps his galluses and an apple for some choice marbles or butts of a cigarette he is engaging in a trade practice which goes back pretty far in history, Reuben D. Cahn says, writing in the Chi cago Tribune. Direct exchange of commodities known as barter was the means by which the earliest exchanges were effected. But barter makes difficult the division of labor; that is. that scheme of having some folks do some things and other folks other things. The bartering shoemaker who is in need of some feed for his horse must not only find the farmer who has feed, but one who also wants a pair of shoes. But it isn't that simple. The farmer with a stock of feed, while in need of footwear, may have a still greater need or desire for some ar tide other than shoes which he expects to procure in trade for his horse feed. And there is also the question of the relationship of feed to shoes: how much oats equals a pair of kicks? Barter is a waste of time in that it introduces the necessity not only of finding an individual who has what you want and wants what you have, but one that you can strike a bargain with. Man wasn't long out of the tree be fore ways were found for surmounting these difficulties. In every tribe some commodities came to be gen erally prized and acceptable to nearly all persons. These came to be used as the means for expressing the value of other things and for effecting trades. Those who had articles to dispose of would accept the commonly prized articles, and those who would buy knew that they could do so by offering in trade a certain amount of the article of generally recognized value. The shoemaker could sell shoes to the weaver for some of the medium of exchange and at his own convenience he could use his receipts to buy from the farmer and from others. Such was the origin of money. A great variety of articles have served as money. When white men came to America they found the Indians using strings of wampum as a medium of exchange. These strings of beads had value and were acceptable to every Indian, because every Indian desired to be decorated.

BAYER SAFE! The popularity of Bayer Aspirin is due in large measure to its speed. There is no quicker form of relief for a bad headache, neuralgia, neuritis, or other severe pain. But even more important is its safety. Anyone can take Bayer Aspirin. It does not depress the heart. It does not upset the stomach. No one need ever hesitate to take Bayer Aspirin because of its speedy action. Its rapid relief is due to the rapidity with which tablets of Bayer manufacture dissolve. You could take them every day in the year without any ill effects. For your pocket, buy the tin of 12 tablets. For economy, bottles of 100 at the new reduced price. And Bayer has Speed! OUR BIG Department Store The stores of our town, as a whole, are but the big department store of the metropolitan eenter. Collectively they offer every trading advantage enjoyed by the people of the large cities. The only difference is that all departments are not under one roof nor one ownership. The variety is here, the convenience is here, the reliability is here and you can always have plenty of time to investigate your purchases. Take advantage of the service of our local merchants.

Among other hunting tribes, skins of animals were the medium of exchange. Among pastoral peoples, cattle and sheep were generally recognized as valuable, and were used in making exchanges. In Africa, cubes of salt have been used. Tea has been employed for the purpose in parts of Asia. In Virginia, tobacco long served as the standard of value. Other commodities which have constituted money, include rice, dates, coconuts,, cowry shells and many metals. The most common misconception of money arises from a failure to recognize that money did not originate with the government. It was an article of such generally recognized worth that it would be effectively used for a medium of exchange. Its use as such developed from the customs of individuals. Money was and is a commodity which circulates by weight, as do other commodities. It has value because of its intrinsic worth, not because of what a government may call it. The very name of coins can be traced back to units of measurement, in the case of metals, units of weight. The shekel of the Hebrews was a weight. The as of the Romans was originally an ingot of copper, supposed to weigh an as. The livre of the French, the Spanish peso, the English pound, the German mark, were all originally names of weights. If in their later years the monetary units did not weigh as much as origin of their names suggests, the fault lies with the kings who debased the coins below their original weights.

ALWAYS "Splitting" Headaches she learned why she was always Until miserable--and found out about NR Tablets (Nature’s Remedy). Now she gets along fine with everybody. This safe, dependable, all-vegetable laxative brought quick relief and quiet nerves because it cleared her system of poisonous wastes--made bowel action easy and regular. Thousands take NR daily. It’s such a sure, pleasant corrective. Mild, non-habit-form-ing. No bad aftereffects. At your druggist’s--25c. Quick relief for acid indigestion, heartburn. Only 10c. 3 LETTER WORDS; 8-page printed list 25c. A. J. DeLong, LaFayette, Indiana. W. N. U., CHICAGO, NO. 12--1933