The Guardian And Evening Star, with which is incorporated the West Coast Times TUESDAY, MARCH 7, 1933. THE PRESIDENT'S TASK.

Hokitika Guardian, 7 March 1933, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times TUESDAY, MARCH 7, 1933. THE PRESIDENT'S TASK.

The newly installed President of the Vmii ed States elite us ©men with a load of troubles and difficulties faring nim. The burden is both foreign and .jiuieiual, luVa tbo matt,j>. are of pressing importance for the national '%'/• being. Tine Hanking crisis has assumed large dimensions affecting tiie financial] interests of many States. The crisis is not confined to the banks only, for as a result of the stoppage of credit, large firms are affected, and some of them are going to the waul. The hanking crisis appears to be due to trafficking in bonds, many issues of which have lost their face value. Indeed in some cases values have been maintained -artificially by institutions buoying up the prices, and with fha end of credit the crash has come. This financial crisis is so far reaching, affecting institutions and officials hitherto of the highest standind, that the whole system of banking is threatened, and a new order of management will be required to ensure sane dealing and' sound finances. Funds lodged in good faith for safekeeping have evidently been used for gambling in stock to apprise the bank’s funds, but tlie' gamblers have miscalculated, 'and now bold worthless paper as the security for the fu-nds of depositors. This improper state of affairs will take a good deal of cleaning up and many .reputations Will be lost in -addition to the money sacrificed'. The onus'wilt,be on the hew Government. to devise a more stable and secure form c-f banking for the protect,i on of' the public. Then, Mr Roosevelt, will, have a further responsible burden to . carry, in devising -a system to satisfy the nations with regard to war debts and reparations. The-latter is contingent;,on the former, and the United- States is the deciding factor in the matter. Bound up with these two major issues is also the proposed World E'eonotnic, Conference, the, time for which is : slipping hy, nnd. the delay is hampering international trade, in regard to which America is one of' the chief sufferers.- The whole finance of the world is bound up with the decisions of the United States, which being the principal creditor, has the first and chiefest say. Then the new President cannot ignore the Japanese-Ohina war. There is a -certain amount of distrust of Japan in America, and it is possible for the relations of the two countries to become very delicate. The President’s diplomacy must be very circumspect, or a- false- stop may cause difficulties. Behind the new President there is a vast popular vote, and he lias a Congress which will be with him entirely. This makes his respon-sibility-the greater in respect to the important issues he has to handle. Mr Hoover who has retired from office wag an earnest President bent on achieving much, but he can say with the late Cecil Rhodes, “so little done, so much to do.” He was without the backing of Congress and for that reason wa-s prevented from developing lias own policy. His record in public life, however, has been a good one, and he has to his credit the merit of having done liis country good service both as its Chief Citizen, and earlier as a very worthy Executive Minister under the late- President Wilson.