Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-05-11

f1AN ANA, SuDds MAY o.-OHc VI e''~
most serious of the many difficulties con-
fronting the island of Cuba is it's imam
cal situation. Whatever may be said In
favor of Cuba's ability to. govern itself,
it must be admitted that in the man
agement Of the national finances the adj
ministration in power today has not been
an unexampled success. The fact OF the
matter is that the Cuban government
handles it's finances about like boy at
the age when his expenditures are linn
tied only by his ability to contract debts.
Likewise, Cuba has shown a disposition
to commit itself to expenditures without
any reference to the condition Of the
treasury or the prospective income of
the government.
The American minister in Havana and
the State Department in Washington are
sound principles Of finance which base
expenditures on income. That the eff
forts of the United States in this direc-
ton have not been appreciated in many
quarters in Cuba is a fact which becomes
obvious almost as soon as the investiga-
tor lands at Havana. Not only are these
efforts unappreciated, but they have met
with little response from the government.
1t is true that in some of the more
open forms OF extravagance there has
of the State Department, as, for in
stance. in the case Of the proposed one
milliOn-e ight-hundred-thOus sub
sidy for railroad in the eastern end OF
the island. The Cuban house already had
passed the measure when the words of
edmonton from Washington reached
Havana. On the other hand, the presi-
dent, since that time, asked for an ap-
preparation Of 100000 for the contin-
uation Of sewerage and sanitation work
LII
passed a bill, previously enacted by the
mouse, appropriating 81 200, coo for the ex-
tension of the famous seaside drive in
Havana, known as the 'Malecon" All
critics agree that were Cuban finances in
good shape this extension would be de-
s.rable, but few Americans feel that
under present conditions it is warranted.
Likewise, the Cuban government thinks
pensive monuments, even though there
is not money enough in the treasury to
meet the outstanding vouchers.
The truth about the financial situation
in Cuba is hard to ascertain. In fact, no
one knows ex
state OF Finances actly the pres
Not Known Exactly. status r. D os tho
sheet Of the governments operations. and
the government itself, dreading to see
the revelations such a statement would
make. hesitates to prepare one. The
principal whip used by the minority in
congress to bring the government to its
knees Is an innocent little resolution
providing for an investigation of the
finances of the Gomez administration.
Some time since, President Gomez. profess
ing that he could not think Of becoming
q candidate for reelection, came out In
a declaration for Gov. Asbert. Immediate
ly thereafter. Vice President Zayas had a
resolution introduced in the Cuban con-
gress providing for an investigation OF the
financial operations of President Gomez.
This resolution was referred to a COM
mittee and It SO operated upon the mind or
the Cuban president that he Immediately
withdrew his support from Gov. Asbert.
A little later, after Gomez had made his
peace with Zayas, member Of the house
made some pointed inquiries about the
status of the investigation, and again the
mere suggestion Of pressing the resolution
won for him the point he had urged.
It must not be supposed from all OF
against extravaganza on the part OF the
Cuban government bore no fruit. The
very same day that 1t announced that the
senate had passed the bill appropr1ating
81 10000 for the extension OF the Male
con, announcement was also made that
the government had advised the supertn-
tendent Of the hospital for the insane
that he would have to cut down the daily
allowance for the support OF the insane
from % to IA cents a day. President
Taft, in his letter to the Cuban minister
denying that the United States was con-
templating a third intervention. declared
that 1.-The government of the United
States, as an act of friendship, has indi-
Gated where dangers were. and has
adopted what well has been called pre-
ventive policy: that is. policy which
consists in doing all within its power to
avoid every reason that would make in
PREVENTION possible at any time In
spite of this advice OF marking the places
where danger 10 to be found, Cuba con-
tinues to. skate upon the thin Ice or
financial mismanagement.
How heavily the burden Of this mis-
be shown from the statement that
whereas the United States collects about
three dollars per capita In customs dH-
ties, the Cuban. collections amount to
about twelve dollars per capita. Even
this does not suffice to meet the expend1-
lures of the government. and new
double-standard tariff is being proposed
to add revenues to the treasury. This
new tariff would levy an additional &c
per cent duty against the products of al
| nations with trade balance against
Cuba.
1t is said that during the four years OF
| the Gomez administration the Cubar
go vernmen