Evening star., 1913-03-11
THE CRISIS In JAPAN.
II-CRUSHING TAXATION.
BY Frederic J. Haskin.

ing $3.50. 600 900 and exports si.6nac,H
600. And still the Japanese army de-
manded 10000 more men on the pretext
OF guarding and pacifying Korea. task
with which the present army of 2JO.OOO is
apparently considered too small to cope.
According to the japan year book or
1912 the national expenses have jumped
in eighteen years from $37 100000 annual
ly to $285, ,OO0. COO, as stated above. Prior
to the war with China the principal taxes
were on land, incomes and sake native
wine). Following the war registration and
business tax laws. an increased tax on
sake and the establishment of the tobacco
monopoly added 26.OOOCO0 yen. or $13,-
100000, to the annual revenues In 1899
the country already was preparing for its
coming war with Russia, and an addi-
tional annual revenue of $2O,COO,OOO was
provided by another increase all along the
line, and the creation of the convertible
note tax and tonnage dues. Two years
later another $1O.OO0,O0O per year was
yielded the government by third raise
of the sake tax and the creation of new
beer tax and sugar excise Only small
tax on playing cards was added from that
time to the outbreak of the war with Rus
sia three years afterward.
AS result of the war the heavy taxes
that the people paid before have been
added to twice, and
Heavy Taxes the national debt
Result of War "day' Toeay they ey0a0ps,s are pay.
ing $75, ,OO0, 600 per year more than they
did eighteen years ago. The increases
made necessary by the war with Russia
were called emergency taxes" implying
that they were for the time being. But
the country has continued to borrow, and
these emergency taxes" are now perma-
nent. Increases were made on land, In
come, business, sugar, soy, registration,
stock and rice exchanges and mining, and
the import duties were raised. The Sec
ond increase put a stamp duty on checks.
civil documents, administration papers,
and even on travelling within the empire
A person travelling 200 miles or over has
wishing to go less than fifty miles. third
class, pays an additional sen.
The shiftless policy OF borrowing from
Peter to pay Paul was adopted. 1t was
the custom of Prince Katsura when he
was premier to borrow money to redeem
bonds, and the rate of interest on thS ,
new obligation was rarely lower, even by
shade, than that of the old loan. 1t
was a heydey period of expansion and
exaltation over the defeat of Russia. Hhe
people became reckless in their personal
expenditures, and the dangerous tendency
toward moral corruption and Indulgence
in luxuries was very noticeable. Th1s
state OF affairs inspired Mutsuhito to is
sue his famous "Boshin'' rescript of Oc-
tober. 1908. in which he counseled the
people to be thrifty and diligent. The
country folk took his majesty's advice
very much to heart, but the general ur-
ban population has llonored it more in
the breach than in the observance.
An insistent demand for more sane
economics swept Marquis Saionji into
power for the Sec
Demand for ond time in May,
r 1911. In the last
sura ministry the party OF Saionji had
succeeded in reducing taxes by N,5OO.OO
but the people wanted the. knife to cut
the bone. With other things. the pro-
posed worlds fair for 1917 was abandoned
altogether, after having been put of once
from 1912. The plan to standardize the
gauge of the governments 5000 miles: Of
railroad was also postponed.
This was the problem Saionji faced:
Surely it was a situation which deserved
the cooperation of every department OF
the government. A review of the situa-
tion showed that cut OF from 10 to 10
per cent must be made in the total ex-
QenO1luTcS. III OtHeT WOTuS, d SdSlHS VI
from $2SOOO,OOO to $4O.O0OO0O per annum
was necessary In order to pull the nation
through. Naturally, the army and navy
would have to stand their share of the
cut The nation was committed to the
policy of gradually increasing its war
forces to q standing army of 100000 men
and a navy OF 50o, 900 tons displacement.
1t was seen that the annual increases
would have to be stopped for a few years.
At the same time. public opinion once
prO-army, has veered around to de-
mand for big navy. Public men and
the press thought that the navy should
be provided for. but that the army could
and should wait.
Unfortunately, the army Is the pet
project Of the bureaucrats. Katsura,
Var a 6 a a and
Army Pet Project oyama. the three
n4 most powerful men
army men, and in turn dominate the
elder statesmen who are the emperor S
intimate advisers. and to whom the men,
bers of the cabinet look for guidance. In
September 1912. the minister Of war, Gen.
Baron Uehara, refused to make cut in
war expenditures lower than 8 per cent,
and that for three years only. At the
same time he demanded an appropriation
for 10000 more men for Korean defenses.
His defiance and ultimate defeat Of his
premier then unleashed the public wrath