ment, and discussed with them the State's present financial situation. I reviewed the policy which I have pursued with them throughout this administration to adjust the State's financial program to the kaleidoscopic economic changes which have been taking place for two years throughout the State and Nation. I wish to put the same picture before all of the people of North Carolina because, ladies and gentlemen, we go up or down together. There is no period in the State's history in which a united front is more necessary for the preservation of our financial integrity and our social institutions than today. There has never been a time when reason, clear thinking, and faith were more essential to the stabilization of the State than at this hour.
I do not deny that this administration has made mistakes. I believe that I can state without egotism, however, that it has continuously tried to sense the changing economic situation and to adjust its policy and program to that changing situation. You should be interested in knowing what the situation is and what we have done to meet it. Has this crisis burst upon North Carolina without preparation on our part? Have your leaders and the administration exercised reasonable foresight? Do we have a sound program, and are we following an intelligent policy?
In the beginning of my biennial message to the 1931 General Assembly I stated "We are face to face with the supreme test of our collective common sense, of our intellectual and moral courage, and of our faith in the essential soundness of this commonwealth." I feel today that this sentence states more precisely the situation which we are now facing than it did a year ago. At that time we could only guess at the future. Today, one year of the future has become the past. I ask the indulgence of the people of North Carolina in saying