New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-05-22
LONDON NOTES.
S,,r,,I,,e UeaLth Figures of the
Seee;ou-American Shoes.
London. May IL.

TOT the fenef OF i'm
,,o,.srisbed universities accompanies increased
"a succession duties 1t is forcible
- Englishmen that the confscation of
ii''Ie. rreaItb for public revenue involves
i-,-a.,o n private benefactions to institutions
,,rg Lord Rosebery. as Chancellor Of
-5or university. points the homely moral
chat tbe Chancellor Of the Exchequer is killing
che bird that LAYS the golden eggs. When that
t,,d is killed" he adds. we shall have to look
,ncreasingly 10 the state for assistance because
70 = carves out vast sources of affiuence to it
seIf from superfiuous wealth 1t will also have 10
undertake those responsibilities which hitherto
have fallen upon that superauty" When the
Treasury after collecting a shilling income
tax as q permanent levy during a milonaire's
life DEGREES a forfeiture Of a large percentage
Of the principal I'm death and succession duties,
private munihcence for universities. hospitals
and charities languishes. Before supertaxes
were devised and Sir William Harcourt's sched-
ules were subjected 10 graduation on an increas-
ingly socalistic scale. the support of the VOL
untary schools had become so oppressive that
their patrons unable 10 hear It. These
schools now maintained at public cost and
the education rates have increased throughout
England. With enlarged levies of direct taxa
ton. the contributions universities hospitals,
charities and religious societies can hardly fail
become year after year more intolerable
nuisance, and there will be a growing tendency
on the part of the rich TO hold the state respon-
sible for all works Of mercy and every educa-
tional institution. The millionaire is human. He
ceases to recognize the obligations of any gos-
pei of wealth when the inscription over the por-
tails Of Somerset House is "Spoliation and RAJ
pine"
There is another aspect of income taxation
berry has not enlarged This is the shrinkage
Of capital through eXhausting processes of direct
taxation. While he has expressed doubt re-
specting the creation of any more colossal fort
unes in South Africa and has described the cur
rent movement against surplus wealth as gen.
eral and unreasoning. he has not laid stress on
the commercial effects OF continuous taxation and
coniscation of capital The death and success
sion duties represent q large amount Of realized
wealth withdrawn from industrial and CONNER
cial enterprises and turned into the Treasury
for the spending services. Financiers and econ
orlists agree in deplorng so exhausting and de-
structive a process. Income taxation at the
current high rate diverts millions OF surplus
earnings and savings from investment, and cuts
of a large supply OF fresh capital, and the post
norton settlements of estates effected at
Somerset House heavily deplete the reserves
svaila BILE for industrial and commercial under
takings. Capital is systematically taxed and
Iouidated for budget requirements. Whether
fortunes are made or lost in South Africa, un-
questionably under the operation Of these con-
tinuous levies Of direct taxation there must he
less money for investment in the Kingdom and
consequently shrinkage Of productive returns.
Yet who can deny that in the greatest Of mod
ern conficts-tle worlds battle for market
capital is one of the main resources? Labor re-
crIIits the army Of disciplined workers: but
capital supplies powder, shot and guns and
enables the captains of industries to concen-
trate the fire of competition, 10 defend home
markets and to capture the strongholds Of for
egn trade. A policy that reduces the reserves
Of ammunition cannot be regarded as scientific
warfare.
4 session of Parliament is chronicled day by
day in columns Of debate. and the results are
summarized in the final record Of business done
In a political sense what is more interesting.
If not more important, than readiness in debate
OF legislative Industry is the influence Of per-
sonality. The real history Of a session is the
rise progress or decline OF the political fortunes
o. leading men IN Parliament; and il is a record
that can generally be made up in a single para
graph. An inventory If regulations taken half
way in the present session would contain few
entries. The Prime Minister would be credited
at once with a steady increase Of authority.
This is not due to astute conduct Of business,
for the government has attempted too many
things and Will end by accomplishing little. II
IS as a manager OF men that he excels. He has
kept a Whiggish- Radical Cabinet, composed Of
brilliant ambitious men. in harmonious working
relations; and by his good sense, optimism and
genial pleasantly he has commanded respect and
remained the dominant figure of the Commons.
The government may be wallowing in the trough
OF cross seas. but the pilot is the only man on
board who guide the ship and enforce Obedi-
ence Because he feels physically unequal 10
prolonged stress of weather in the autumn the
vessel will probably anchor in August and
remain IN port until February. Since he cannot
be spared he cannot be supplanted, for not one
Of his lieutenants can take his place. The Prime
Minister has not kept any member Of the gov
eminent In the background; every minister has
had opportunities for showing what he can do;
yet he has himself become more necessary than
ever. only the head Of the Cabinet but
also as leader of the Commons. The growth Of
his personal influence, when the authority Of the
Cabinet as a whole has declined is the main fact
Of the session
Mr.. Balfour has also enlarged his influence
and prestige. Always brilliant debater and
tactician. he has not been an effective party
leader at critical periods when his followers re-
quired decisive action, and because he has not
known his own mind there IS now a beggarly
array Of members in Opposition. His Primrose
speech at Albert Hall Mr. Asquith's budget
ana colonial preference has rallied the Unionists
and made him the only possible leader Of tariff
REFORM The party has definite and cour-
eeous leadership on fiscal policy. and the