The times. [volume] (Washington [D.C.]) 1897-1901, 1900-12-11

be continued long without affecting the
productive energies of the people. injur-
ing industrial enterprises, and retarding
the growth of our foreign commerce.
"One cause which has contributed much
to the wonderful material development of
the United States, and which has grea .iy
increased our foreign trade, is the fact
that taxation in this country has been far
less than that imposed in other civilized
countries, which are our competitors.
''It is estimated by careful statistician
and economist that the United States
prior to 1897 collected 2 1-2 per cent of
the annual product Of her people in taxes;
that Great Britain collected about Z per
cent; that Germany collected about 10 per
cent. and that France collected about II
per cent. Thus when the products of the
United States meet those of other coun-
tries in the markets of the world. on ac-
count of lower taxation alone we have an
advantage in price of A. per cent over
our British, of Z 1-2 per cent over Ger
man. and OF IA 1-2 per cent over French
competitors.
There is no principle better establish
ed than the doctrine that trade follows
the price list and not the flag The ad-
vantage in lower taxation has enabled the
American producer to have a cheaper
price list than his foreign competitors
and has been one of the causes that has
contributed largely toward giving to
American producers the markets of the
world. Reduced taxes, therefore, means
not only leaving of much money in the
pockets of the people to develop home
enterprises and to purchase necessities
and comforts, but 1t also means aiding
cur home producers to successfully com
pete with our foreign competitors in the
markets of the world.
Economy in Public Expenses.
A recognition of these elementary prin-
ciples has always induced the Democratic
party to favor low taxes. In order 10
have low taxes it is necessary to have
economy in public expenditures. The
Democratic party has always been earnest
in its advocacy Of economy in our public
expenditures and in the administration OF
cur Government The two mean increased
comforts and enterprise at home. and
greatly increased foreign trade. The vast
revenues now collected and the eXpendi-
lures nov made by the Government, if
not remed!ed, must ultimately become
peril to our home and foreign enterprise
and business. The pruning knife should
be applied vigorously to both taxation
and expenditures.
I'VE regret that the majority members
OF the committee have not seen proper to
reform our present system of taxation and
to make many just and liberal modifica-
tions of the same. The present is as we
have stated, an opportune time to devise
a just, an equal, and permanent system
OF taxation.
with an excess of revenue of about
$50. .000, 600 over the present great expsndi-
lures, with an immense reserve fund of
$f50, ,000, 600, and with q baiaLce in the
Treasury of about $40, ,O00. 600, there can
be no excuse for the imposition of exorbi-
tant or of unjust taxation on any persons
or interests. The necessities Of the Treas
ury cannot now be urged as plea for in
Justice or inequality to anyone.
-'The financial condition of the Treasury
is most favorable fer reforms and for just
notifications of our present taxation, and
we regret that the majority fail to avail
themselves of this splendid opportunity to
prepare n just. equitable, and permanent
system Of taxation. Under the present
strong financial condition of the Treasury
this could be done with little or no dis
turtance to business. 1t is unfortunate
that such an opportunity should be lost
and that the majority should confne
themselves solely to the small remission
of taxation contained in the bill reported
by them.
I'VE favor an alteration OF the present
tariff laws. certainly to the extent that
they have promoted monopoly. II has been
proved beyond question. by evidence be-
fore the Industrial Commission appointed
by Congress. that many OF the powerful
trusts that have an absolute monopoly of
their business in this country and that
exercise their power despotically and m
juricusly to the people, largely owe their
growth 10 the customs duties imposed in
he D:Dsiey Tariff law. which prohibits
Foreign competition.
by destroying. in many cases, all for
eign competition. fhis bill has made pos
sibls home combination, with all OF the
evils CT monopoly. We witness daily the
gross injustice of these monopolies, ere
ated and fosiered by the Government, SELL
ing goods. as they continually do, to for
eign consumers. out OF the same factory
at 4 lower price than III. : sell the same
goods 10 home consumers.
Modification of Tariff Laws.
We urgently insist that the present tar
in laws should be modified so as TO pre-
vent this imposition upon cur oEn citl-
zens Any alteration Of cur system of tax
alton which continues such injustice can
not be complete and satisfactory. We favor
an alteration in our system of taxation
the accumulated wealth of the country and
correspondingly less from the producing
energies and enterprises.
I'VE also believe that justice and
equality require that a person should be
taxed rather on what he has than on What
he needs, hence we favor a system by
which reasonable portion Of the present
taxes should be collected from incomes.
or from profits. rather than that almost
the entire burden of taxation should be
placed on consumption.
I'VE believe that a provision could and
should be prepared which would accom-
piish the just ends sought In an income
tax. yet escape an adverse decision O.
the Supreme Court of the United States
such as was rendered against the in
come tax provided for in the Wilson law. |
II The present revenue laws are con-
tinued in force and the expenditures are /!
at all economical, there will be in 1902 I
more than one hundred millions of sur
il'1a- ne aIe sai-l-e.T sure at this tine
reduction OF over SO. coo .ee5 in reveane
rsr safeiY be made. 1ns Treasury ct
present has, in fact. & reserve fund ef /
sl50. 900. 00o The law under which ihjs
immense reserve fund was created PRO-
vioes. wisely or anwisely thai q skan
be rsplenished. not by tazation. s 81 the
SAFE oG bonds
Or the 9Th Of December = 7-v ss IN
yailsbie cash balance IN IL. Try
e --1autlatz 20 SI3T, fG5 s27-2S Il t. no I
any embarrassment whatever to 1t. nor
to the business interests of the country |
which could arise by reducing the revenue !