Sign of Recovery: Co. Hiring Part-time Deputies for Foreclosures
  

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Volume CLXX    November 5, 1930     Worcester, Mass.     Price One Cent
Proud Supporter, National No-Recovery Administration: "We Do Our Part"

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East of Here

BRUENING CALLS FOR BUDGET CUTS; FEARS INFLATION

Says jobs programs threaten
"social stability and democracy"

Economic conditions in Germany have deteriorated to the point where women are forced to sell their skirts and chairs.

Here:

Local, State, and National    Leaders: Business Confidence
    Is Key to Ending Slump

By Samuel Insull
Financial Editor

NEW YORK, N.Y. – Wise leaders of both politics and finance agree that restoring business confidence through tax cuts for the affluent is the key to ending the current economic slump.

President Herbert Hoover, speaking for informed opinion at a "confidence-building" ten-course White house banquet, emphasized that balancing the budget and tax cuts for the wealthy would spark a new round of business investment.

"Why should businessmen hire more workers when they face the prospect of punitive taxation at rates of up to 40 per cent?" Hoover asked. He derided the idea of putting the jobless to work building roads, bridges, airports, and housing as "essentially Communistic."

At the State House, Gov. Allen said that business conditions were improving, citing the decision of his neighbor William Weld to take on several new laundresses and groundskeepers at his Beverly Farms estate.

"Mr. Weld also told me that he hired a number of boats to assist him with his Canadian import business," Gov. Fuller said.

Asked if he was concerned over the possibility that deteriorating financial markets in Europe could affect the local economy, the Governor said that it was impossible for events in Europe to harm Massachusetts workers. "Next thing you'll be telling me, we should worry about the Japs" he joked.  "No tickee, no shirtee."

In Old Sludgebury, Mayor and President of the American Asbestos Mills Hollingsworth N. Vose said that business conditions locally were improving, notwithstanding the third 10% pay cut he imposed on the workers in his mill.

"You have to remember that even the lowliest mill worker is much better off than his brutish Irish forebears a hundred years ago," Mayor Vose said, lighting up another of his trademark Kents. "No one has to eat rotten potatoes here, when I am told that area restaurants throw out several tons a day of edible food waste," the mayor said.

He said that the thousands of workers he laid off in the next two years would be attractive to any entrepreneur looking for obedient labor, "as long as we don't hear anything more about that job-killing minimum wage."

The mayor dismissed concerns about Germany's inability to balance its budget and recapitalize its struggling banks: "We just have to remember that they still haven't paid their war debts.  I say let them stew in their own juices for a while.

"What they really need over there is a strong leader who can lock up those Communist agitators somewhere and throw away the key," he said.

Some German women have been forced by destitution to star in hard-core depictions of group sex.

From Geoffrey Dawson
Foreign Correspondent
[By Cable to The Massachusetts Spy]

BERLIN, Germany – Determined to hold the line against massive demonstrations demanding jobs, bread, and shelter for the millions of destitute Germans facing a second winter of unemployment and misery, German Chancellor Sid [Check name – Ed.] Bruening promised to protect the value of the Mark by imposing his Government's austerity program.

The well-attended and occasionally unruly demonstrations broke out across Germany, including mass protests in Berlin, Hamburg, Frankfurt, and Dresden, where marchers carried giant torches illuminating the baroque masterpieces of that historic city.  Their banners demanded economic justice and reminded the government that it existed to serve the people, not rich bankers and industrialists.

In Munich, protesters camped out in the English Garden and warned they would not leave until their demands had been met. Near their encampment, heavily armed gendarmes awaited Government orders to arrest the trespassers in nearby beer halls.

However, as debate continued aimlessly on bills that would put the unemployed back to work by building houses, schools, secret military bases, and a bizarrely wide sort of through highway the Germans call "Autobahnen," the Chancellor made clear his implacable opposition to deficit spending to relieve the agony of the German people.

"The only path to economic growth lies in austerity and maintaining a strong currency.  Only then will business have the confidence to invest and hire more workers," Bruening told the Reichstag. "All liberty involves sacrifice."

From all parts of Germany, he declared, business men are advising the government that they are ready to invest capital and place new orders provided the government's financial and economic program is put through at the earliest possible moment.

Underlying the Chancellor's reluctance to give into demands to issue bonds to finance deficit spending on social welfare programs is undoubtedly the fear that Germans have over igniting another round of hyperinflation, such as the one that destroyed the country's currency and economy just seven short years ago.

Bruening is reported to be concerned about maintaining the confidence of global bond markets, which have recently demanded a half percentage point premium to hold German Government debt as compared to the benchmark French bonds. 

In a speech to be delivered on Deutsche Rundfunk's public affairs program Was hochs du denn? later this evening, the Chancellor will warn his restive citizens of the dangers of reckless and uncontrolled government spending.

"If government spending brings on another round of hyperinflation and currency destruction, the damage to Germany could be incalculable. Our major cities could be reduced to wastelands, our country would be at the mercy of the Americans, the British, and other foreign debt holders, and the peaceful and democratic way of life we enjoy in Germany could be annihilated. It would be nothing less than genocide," Bruening will say.

Bruening's critics have warned that failure to address Germany's unemployment and poverty crises could lead Germans to embrace the radical programs of the Communist left or the National Socialist right.  

However, the Chancellor is said to regard Germany's radical fringes with contempt. He derided the protesters as "crazy anarchists" and "free love advocates," who will abandon their makeshift encampments as winter sets in. 

He also dismissed the far left and far right opposition parties in the Reichstag. "As soon as the demand for house painters improves, that's the last you'll see of Herr Hitler!" Bruening joked.  

According to dispatches from our London and Paris Bureaux, the French and British Governments have responded favorably to the Chancellor's decision to hold the line on spending.  "There is nothing more important than maintaining a stable currency," said British Chancellor of the Exchequer Neville Chamberlain. "At least I can't think of anything."

Chamberlain said that England should follow Germany's example and cut spending particularly on what he called "fripperies" like "so-called fighter planes and aircraft carriers."  He predicted that such expensive modern weaponry would do nothing more than "rust away" from disuse.

Material from The Associated Press was used in this dispatch.

Adv't: Hobos camping in city parks are reminded that such trespassing is punishable by 30 days at hard labor at the city labor camp. Old Sludgebury Parks Department "Serving the Citizens."