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The Bismarck Tribune
Bismarck, Mandan, Burleigh County, Morton County, North Dakota
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Editorial Comment Editorials printed below show the trend of thought by other editors. They are published without regard to whether they agree or disagree with The Tribune's policies. A Better Dollar (New York World-Telegram) The increased confidence here and abroad which seems to have resulted from dollar devaluation is understandable. For several months there was complete uncertainty as to the fate of the dollar. We had departed from gold, and no one knew where we were going. As a result we were pretty much at the mercy of speculators, foreign and domestic. Indeed, almost every business transaction partook of the nature of speculation because of the instability of the medium of exchange. Now we have a modernized gold bullion base and have stabilized within a ten-point range, between 50 and 60 cents of the old gold dollar-with the figure of 59.06 cents to start with. Of course, that does not satisfy those who want absolute and immediate stabilization at a fixed point, never to change, world without end. But the realists understand that final stabilization is impossible until we are more certain of the price level at home and the value of foreign money. To find the most efficient value of the dollar in terms of purchasing power we shall have to experiment a while longer. There is really no reason why this should terrify any one. The range of experiment is small and carefully limited. The will of the administration to move moderately instead of running off on a printing press spree has been sufficiently demonstrated to merit future confidence. And the very idea of managing currency should seem natural enough to this country, where we have had a system of managed credit under the Federal Reserve System for so long. The problem is at bottom the same. The significance of the new monetary law and the president's latest gold proclamation is that now for the first time we have the wherewithal to carry out this policy. For the first time there is full legal authority to operate, and for the first time there is a sufficient reserve fund with which to operate. The $2,792,000,000 profit taken by the government through devaluation and nationalization of the gold supply has made possible a two billion dollar stabilization fund, with an additional three-quarters of a billion for general reserve. Thus the government now has the freedom and the tools with which to work in its efforts to create and maintain an honest dollar. By removing much of the monetary uncertainty which retarded recovery the administration, in effect, invites private capital to come out of hiding and go back to work making investments and making jobs. The invitation should be accepted. The worst freedom is better than the best prison.-Ernest Torgler. Communist acquitted in Reich fire trial.
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Editorials printed below show the trend of thought by other editors. They are published without regard to whether they agree or disagree with The Tribune's policies.
A Better Dollar
(New York World-Telegram)
The increased confidence here and abroad which seems to have resulted from dollar devaluation is understandable.
For several months there was complete uncertainty as to the fate of the dollar. We had departed from gold, and no one knew where we were going. As a result we were pretty much at the mercy of speculators, foreign and domestic. Indeed, almost every business transaction partook of the nature of speculation because of the instability of the medium of exchange.
Now we have a modernized gold bullion base and have stabilized within a ten-point range, between 50 and 60 cents of the old gold dollar-with the figure of 59.06 cents to start with.
Of course, that does not satisfy those who want absolute and immediate stabilization at a fixed point, never to change, world without end.
But the realists understand that final stabilization is impossible until we are more certain of the price level at home and the value of foreign money.
To find the most efficient value of the dollar in terms of purchasing power we shall have to experiment a while longer. There is really no reason why this should terrify any one. The range of experiment is small and carefully limited.
The will of the administration to move moderately instead of running off on a printing press spree has been sufficiently demonstrated to merit future confidence. And the very idea of managing currency should seem natural enough to this country, where we have had a system of managed credit under the Federal Reserve System for so long. The problem is at bottom the same.
The significance of the new monetary law and the president's latest gold proclamation is that now for the first time we have the wherewithal to carry out this policy. For the first time there is full legal authority to operate, and for the first time there is a sufficient reserve fund with which to operate.
The $2,792,000,000 profit taken by the government through devaluation and nationalization of the gold supply has made possible a two billion dollar stabilization fund, with an additional three-quarters of a billion for general reserve. Thus the government now has the freedom and the tools with which to work in its efforts to create and maintain an honest dollar.
By removing much of the monetary uncertainty which retarded recovery the administration, in effect, invites private capital to come out of hiding and go back to work making investments and making jobs. The invitation should be accepted.
The worst freedom is better than the best prison.-Ernest Torgler. Communist acquitted in Reich fire trial.
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Editorial Details
Primary Topic
Benefits Of Dollar Devaluation And Monetary Stabilization
Stance / Tone
Supportive Of Administration's Moderate Monetary Policy
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