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JOHN H. BANKHEAD, ALA., CHAIRMAN
MORRIS SHEPPFARD, TEX.
K^Y PITTMAN, INEV.
HENRY F. ASHFCRST, ARIZ.
ALVA B. ADAMS, COLO.
PATRICK MC CARRAN, NEV.
JOHN H. OVERTON, LA.
CARL A. HATCH, N . MEX*
^>SEPH C . O'MAHONEY, WYO.
ENNIS CHAVEZ, H. MEX.
JOSH LEE* OKLA.
D . WORTH CLARK, IDAHO

CHARLES L. MC NARY. OREOI
HIRAM W . JOHNSON, CALIF.
JOHN G. TOWNSEND, JR., DEL*
GERALD P. NYE, N. DAK.
CHAN GURNEY, S. DAK.

aiCmfefc $>{<xi** d e r m i c
COMMITTEE ON
IRRIGATION A N D RECLAMATION

ARTHUR SARTAIN. CLERK




October 19, 1939

Honorable Marriner S. Eccles,
Chairman, Board of Governors,
Federal Reserve System,
Washington, D. C.
Dear Marriner:
A month or so ago, Hugh Russell Fraser sent me
a copy of his new book, "Democracy in the Making .» It is
an excellent work and he has received extremely favorable
comments from the reviewers.
While reading it, I came across parts of a letter
from Professor Nathanial Beverley Tucker to President Tyler,
written in 1841. Apparently, Professor Tucker was one of the
ablest students of his day and a close advisor of President
lyler. It occurred to me that this letter, written so long
ago, contained at least the germs of your theory of compensator spending, even at the expense of deficit financing.
At any rate, it is a good letter.
Mr. Fraser was kind enough to send me a copy of
the letter in its entirety, and also another letter from the
Professor which he thought interesting. I am sending these
to you, and, if you have time to read them, you might find
them of some interest.
I would like to keep these letters permanently, so,
sometime after you finish with them, I would appreciate their
return•
With kindest personal regards,
Sincerely yours,

MCsap




October 25, 1939.

Dear Worth:
Thank you for your letter of October 19
and for the copies of Professor Kathanial Beverley
Tuckerrs letters to President John Tyler, which,
as you noted, are particularly interesting to me*
The case he mentions ^ith reference to
Missouri is especially striking and accords with
l y ovm general viewpoint. Of course, my ovu viev*s
a
as to cosipensatoi*y functioning by the Government
in its fiscal and monetary policies are by no means
new. I am not optimistic enough to hope that they
have gained any greater acceptance today than in the
past, and I gather from Professor Tuckerfs letters
that the whole subject was befogged by politics,
superstition and ignorance in those days just as it
is now*
It occurred to me that you might be
interested in glancing over Lord llacaulay#s discussion of the public debt problem in England a
century ago. Very likely the learned Professor
Tucker ras familiar v?ith MacauLay. Anyway, I am
enclosing an extract from his "History of England".
I have referred to it a number of times in the past
when there has been an outcry about Government expenditures ruining the country and putting intolerable burdens upon posterity. It is quite in
line with Professor Tuckerfs vievqjoint*
I am also returning herewith tho copies of
the Professor*5 letters in accordance with your request.
With best regards,
Sincerely yours,

Honorable D. Worth Clark,
United States Senate,
Washington, D. C.

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