Speech Transcript:

 To the Senate and House of Representatives:

In accord with my constitutional duty, I transmit herewith to the
Congress information upon the state of the Union together with
recommendation of measures for its consideration.

Our country is at peace. Our national defense has been maintained at
a high state of effectiveness. All of the executive departments of
the Government have been conducted during the year with a high
devotion to public interest. There has been a far larger degree of
freedom from industrial conflict than hitherto known. Education and
science have made further advances. The public health is to-day at
its highest known level. While we have recently engaged in the
aggressive contest of a national election, its very tranquillity and
the acceptance of its results furnish abundant proof of the strength
of our institutions.

In the face of widespread hardship our people have demonstrated daily
a magnificent sense of humanity, of individual and community
responsibility for the welfare of the less fortunate. They have grown
in their conceptions and organization for cooperative action for the
common welfare.

In the provision against distress during this winter, the great
private agencies of the country have been mobilized again; the
generosity of our people has again come into evidence to a degree in
which all America may take great pride. Likewise the local
authorities and the States are engaged everywhere in supplemental
measures of relief. The provisions made for loans from the
Reconstruction Finance Corporation, to States that have exhausted
their own resources, guarantee that there should be no hunger or
suffering from cold in the country. The large majority of States are
showing a sturdy cooperation in the spirit of the Federal aid.

The Surgeon General, in charge of the Public Health Service,
furnishes me with the following information upon the state of public
health:
MORTALITY RATE PER 1,000 OF POPULATION ON AN ANNUAL BASIS FROM
REPRESENTATIVE STATES First 9 months of 	General 	Infant
1928 	11.9 	67.8
1929 	12.0 	65.8
1930 	11.4 	62.0
1931 	11.2 	60.0
1932 	10.6 	55.0

The sickness rates from data available show the same trends. These
facts indicate the fine endeavor of the agencies which have been
mobilized for care of those in distress.

ECONOMIC SITUATION

The unparalleled world-wide economic depression has continued through
the year. Due to the European collapse, the situation developed during
last fall and winter into a series of most acute crises. The
unprecedented emergency measures enacted and policies adopted
undoubtedly saved the country from economic disaster. After serving
to defend the national security, these measures began in July to show
their weight and influence toward improvement of conditions in many
parts of the country. The following tables of current business
indicators show the general economic movement during the past eleven
months.
MONTHLY BUSINESS INDICES WITH SEASONAL VARIATIONS ELIMINATED Year and
Month 	Indust-
rial Production 	Fac-
tory Emp-
loyment 	Freightcar loadings 	Depart-
ment Store sales, value 	Exports, value 	Imports, value 	Building
Contracts, all types 	Industrial Electric power consumption
1931
December 	74 	69.4 	69 	81 	46 	48 	38 	89.1
1932
January 	72 	68.1 	64 	78 	39 	42 	31 	93.9
February 	69 	67.8 	62 	78 	45 	41 	27 	98.8
March 	67 	66.4 	61 	72 	41 	37 	26 	88.0
April 	63 	64.3 	59 	80 	38 	36 	27 	82.2
May 	60 	62.1 	54 	73 	37 	34 	26 	82.0
June 	59 	60.0 	52 	71 	34 	36 	27 	78.1
July 	58 	58.3 	51 	67 	32 	27 	27 	79.2
August 	60 	58.8 	51 	66 	31 	29 	30 	73.5
September 	66 	60.3 	54 	70 	33 	32 	30 	84.0
October 	66 	61.1 	57 	70 	33 	32 	29 	84.4

The measures and policies which have procured this turn toward
recovery should be continued until the depression is passed, and then
the emergency agencies should be promptly liquidated. The expansion of
credit facilities by the Federal Reserve System and the Reconstruction
Finance Corporation has been of incalculable value. The loans of the
latter for reproductive works, and to railways for the creation of
employment; its support of the credit structure through loans to
banks, insurance companies, railways, building and loan associations,
and to agriculture has protected the savings and insurance policies of
millions of our citizens and has relieved millions of borrowers from
duress; they have enabled industry and business to function and
expand. The assistance given to Farm Loan Banks, the establishment of
the Home Loan Banks and Agricultural Credit Associations--all in their
various ramifications have placed large sums of money at the disposal
of the people in protection and aid. Beyond this, the extensive
organization of the country in voluntary action has produced profound
results.

The following table indicates direct expenditures of the Federal
Government in aid to unemployment, agriculture, and financial relief
over the past four years. The sums applied to financial relief
multiply themselves many fold, being in considerable measure the
initial capital supplied to the Reconstruction Finance Corporation,
Farm Loan Banks, etc., which will be recovered to the Treasury.
Fiscal year ending June 30 	Public works (1) 	Agricultural relief and
financial loans
1930 	$410,420,000 	$156,100,000
1931 	574,870,000 	196,700,000
1932 	655,880,000 	772,700,000
1933 	717,260,000 	52,000,000