IDLE CAPITAL.

Manawatu Standard, Volume LVIII, Issue 46, 22 January 1938, Page 8

IDLE CAPITAL.

IN NEW YORK BANKS.

THE STATE OF BUSINESS

AUCKLAND, Jan. 21. Five billion dollars in the Chase, City and Guarantee Banks in New York await outlets in industry and commerce but are “frozen” until confidence is restored, stated Mr Elwood P. McEnany, a New York stockbroker who was a through passenger to-day from San Francisco. Every dollar of that sum is screaming to go to work,” he said. In his view the influence of President Franklin D. Roosevelt was steadily growing less and less. He will have to think of a water-tight alibi that will explain why his plans turned turtle in the past year, ; was his comment. Mr McEnany said the situation in America was best summed up in the words of General Hugh Johnson, the original ■ head of the N.R.A. administration, when he said “Put money to work and you will put labour to work; in other words restore confidence.” There was plenty of money available in America, but financial institutions seemed doubtful of investing it. About 16,000.000 Americans had voted for the Republican candidate, Mr Alfred M. Landon. at the Presidential elections in 1936, hut since then evils of the relief systemthe failure of President Roosevelt in his project to overhaul the Supreme Court, and other matters had weakened the grip of the President on the people. Mr McEnany said that in his view the next election would show ■ a swing toward the Republican Party. Statistical returns he had in his possession showed that in the past 19 months the cotton yield had increased by half, yet there had not been any ascertainable increase 'in the number of men engaged in the industry, said Mr McEnany. In his opinion this was due to what in England was known as the doie, which had done more to undermine the moral fibre of the American worker than any legislation passed in recent years. “In the spring of 1936, when things were going well, the President said l.v could take credit for it. that he had planned it,” he concluded. “Now, in the spring of 1937, we find the apple-cart upset and the President looking for an alibi. That is why I say he is losing ground.”