Patman Calls Rate Rise 'Terrible on Little Fellow': Unemployment
Rep. Wright Patman (D-Tex.p yesterday assailed the new increase in Federal Reserve money lending rates as ÛÏa terrible and a cruel thing on the little fellow.Û</br></br>Rep. Wright Patman (D-Tex.p yesterday assailed the new increase in Federal Reserve money lending rates as ÛÏa terrible and a cruel thing on the little fellow.Û i Patman, chairman of the ,House Small Business Committee, renewed his demand for a congressional investigation of the Nation's monetary and credit systems.</br></br>| The Federal Reserve Board yesterday approved an increase from 2 Vi to 3 per cent in the lending rate of Federal Reserve Banks, effective yesterday.</br></br>Patman called the action evidence of ÛÏa determinaÛªtion to further crush the people jover unearned interest.Û Ad-j ministration sources on the I other hand saw it as a step to ^counter a possible upturn in inflation.</br></br>1 "It is not necessary," Patman said. ÛÏWe have too many unemployed now and this will make things worse. It will make it harder on the little fellow who has to borrow and easier on the big fellow whe has the money to lend.Û [AFL-CIO President George Mcany said the Reserve; Board's move to tighten credit, will increase unemployment and may undermine recovery from the recession, United Press International reported.