all reflect their partnership in the whole economic fabric.  Through these institutions the railway bonds are in a large sense the investment of every family.  The well-maintained and successful operation and the stability of railway finances are of primary importance to economic recovery.  They should have more effective opportunity to reduce operating costs by proper consolidation.  As their rates must be regulated in public interest, so also approximate regulation should be applied to competing services by some authority.  The methods of their regulation should be revised.  The Interstate Commerce Commission has made important and far-reaching recommendations upon the whole subject, which I commend to the early consideration of the Congress.

ANTITRUST LAWS

In my message of a year ago I commented on the necessity of congressional inquiry into the economic action of the antitrust laws.  There is wide conviction that some change should be made especially in the procedure under these laws.  I do not favor their repeal.  Such action would open wide the door to price fixing, monopoly, and destruction of healthy competition.  Particular attention should be given to the industries rounded upon natural resources, especially where destructive competition produces great wastes of these resources and brings great hardships upon operators, employees, and the public.  In recent years there has been continued demoralization in the bituminous coal, oil, and lumber industries.  I again commend the matter to the consideration of the Congress.

UNEMPLOYMENT

As an aid to unemployment the Federal Government is engaged in the greatest program of public-building, harbor, flood-control, highway, waterway, aviation, merchant and naval ship construction in all history.  Our expenditures on these works during this calendar year will reach about $780,000,000 compared with $260,000,000 in 1928.  Through this increased construction, through the maintenance of a full complement of Federal employees, and through services to veterans it is estimated that the Federal taxpayer is now directly contributing to the livelihood of 10,000,000 of our citizens.

We must avoid burdens upon the Government which will create more unemployment in private industry than can be gained by further expansion of employment by the Federal Government.  We can now stimulate employment and agriculture more effectually and speedily through the voluntary measures in progress, through the thawing out of credit, through the building up of stability abroad, through the home loan discount banks, through an emergency finance corporation and the rehabilitation of the railways and other such directions.

I am opposed to any direct or indirect Government dole.  The breakdown and increased unemployment in Europe is due in part to such practices.  Our people are providing against distress from unemployment in true American fashion by a magnificent response to public appeal and by action of the local governments.