The daily journal. (Salem, Or.) 1899-1903, 1901-11-19

proposition to make tariff revision ON.
necessary by abolishing all internal
revenue taxes imposed during the last
war. This action does not meet with the
indorsement Of secretary, Gage. The
Secretary has never been successful in
directing Congregational legislature. He
has made many suggestions to the Com
mittee on Banking and Currency rela-
tive to financial enactments, without
result.
Mr.. Gage has his own idea for dealing
with the growing surplus. He believes
the accumulating funds in the Treasury
can be lessened by purchasing bonds; by
Increasing the number Of national banks
designated as Treasury repositories; by
increasing the funds allotted 10 the
various depositors, or by such currency
reform legislation as will put the money
now boarded in the Treasury back into
circulation.
In addition, Secretary Gage opposes
the Ways and Means plan for internal
revenue reductions because he strongly
advocates the policy Of securing tariff
eyision through reciprocity treaties.
He stands shoulder to shoulder with
Secretary Hay as the twoCabinetMinis-
ters are unalterably welded to reciprocity
as a medium of reducing an accumu-
lated surplus in the Treasury and as a
preventative of tariff revision.
Democrats Against War Taxes.
The Ways and Means Committee can
secure the passage Of legislation abolish
ing the war taxes. They will have the
assistance Of the Democrats who are
pledged to this reduction.
Mr.. Henderson, who will undoubted-
ly be reelected Speaker, sympAthizes
with the middle West representatives
and believes something should be done
for the farmers and small manufacturers
OF the Mississippi Valley.
Senator Cullum, who will be the new
head OF the Foreign Relations Commit
tee, is in favor OF moderate reciprocity.
Senator Burrows, who arrived here to-
day, believes some of the reciprocity
treaties will be ratified on the basis Of
admitting such foreign goods az are not
made in the United states and without
interfering with any home industries,
Burrows does not believe taxation
should be reduced or the relief Of the
Treasury surplus decided until it ia
known how large the appropriations ol
the next Congress will be or whether
canal legislation is enacted.
Senate Is Conservative,
Conservatism, caution and delay will
be the policy of the Senate on tariff re-
vision, reduction OF internal revenue
taxation and reciprocity. All Legislation
emanating from the House will be
pruned Of radicalism. The policy OF the
Senate in detail az indicated by promi.
nent members, will be:
/. To further reduce the war revenue
taxes, but not to abolish the entire list
A partial reduction was made by the
last Congress. Another reduction, one
of $50, 600, 900 or $40,G00,0 900, will bC
made at the coming session. II prosper
QUE conditions continue and large sur
plus remain, the rest OF the taxes may
bc abolished later There is apparently
no disposition to remove the tax oil
bucket shops, which it ia estimated
brings in $4,000, 900 a year, or to re-
move the inheritance tax.
2. To thoroughly discuss tariff revision
but to take no present steps to make il
operative,
There is strong sentiment that this
subject should be considered from every
point. While no necessity may now exist
for tariff revision, changing conditions
may make revision imperative in the
future, and the situation is to be kept
well in hand in readiness for treatment
at the proper time.
Tariff Commission Possible
There is a considerable revival OF SEN
timent favorable to tariff commission
TO study economic questions and suggest
desirable lines Of legislation. In this
way the tariff eventually could be
eliminated from politics. The Senate
once passed bill creating tariff com
mission, but it failed in the House. Al
the leading Republicans voted for the
measure.
3, To devise some method by which
reciprocity can be effected by Legislation
instead OF by treaties.
Serious objections exist to each of the
twenty-five treaties now awaiting ratif-
cation by the Senate, Each contains
"stinger" detrimental to some American
industry. Senators cannot bring them
selves to grant 20 per cent. concession
to foreign countries when the return
concession is only per cent, the ratio o
reciprocity indicated in many of tn,
pending treaties.
The principle OF reciprocity is unani
mously indorsed, hut it must be on
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