New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-04-06
RATIONAL FINANCE
ISHADOWS BOURSE
5,.ris Market Stagnant and
respondent, with Occa-
sionaI FliCkerS.
ppITISH AND AMERICAN
STOCKS MAY MOVE UP
,anS Of French Funds to For
.ion Banks to Escape Taxa
ton Continues.
,sy cable to The Tribune D

frI cable 10 The Tribune
,rru 5-The Bourse last week
II 'soracterized by stagnation and de-
..ssrcy. with occasional nickers Of the
paberlike attitude of waiting for
,.,inr 10 turn up. The fall in Rus
'..,,ritics adds 60 the general gloom.
s.n" AIM, 6,auciers here argue that ac-
,,a-toall logic. speculation should now
- ,ooard securities depending on New
- and London. This is the only stimu-
aa, factor observable on the anguish
o.-is Boursc. Meanwhile the exodus
~ ,,.e,cb funds 10 foreign banks to es-
,he threatened tax on capital con-
ilnucs
rbo government and the new Finance
,rnister il seems. are bent on executing
/ 80. o,5 the other financial plans of VI.
| ~.iraux. The administration is inclined
| .. coat the recent votes in the Senate on
| IL. income tax very lightly. The Finance
| y.oister. Rene Renoult, asked the Senate
- vote the insertion i'm the finance law of
=. inclusion Of French rentes in the
measure as taxable values.
Quite recently the Senate threw out the
r,ipcipls Of levyins on rentes proposed
nv NJ. Caillaux. Thus, by relnsertng It
ogain the venerable Senator's are re-
opss,ed 10 eat their own words, or votes.
Hitherto the decisions of the upper cham
her have received greater consideration
by succeeding governments.
New Personal lmpost.
Ri, the chief item in the new financial
scheme is the creation Of n personal i'm
most levied on combined revenues taken
altogether. The Senate. which, it must be
remembered. was not dissolved when the
chamber Of Deputies was dissolved last
week. may be driven to pass the law in
haste 10 save the critical situation. and
without that careful correction and prun-
ing 10 which the Senate usually subjects
rev and untried laws. Time is pressing;
the huge budget is daily growing and
now amounts TO more than billion dol
lars. while the dreaded deficit leaves al
most two hundred million dollars 10 be
found over and above present estimates.
Jules Siegfried stated the other day that
y
German War have budgets been present
ed under such unfavorable conditions.
The government now intends to meet the
critical situation by making drastic econ
om.es I'm the public service, expected to
amount to 100000, making the outlay
fo~ Morocco a special account apart from
tire budget as such. Then some other eX-
lenses will he put off for the time being.
Iasuv. the now projected taxes are esti-
mated 10 show a return Of 100000 from
the new income tax alone
The rest of the money needed VIII be
obtained boy the issue Of short term
bonds. but the real intention Of the
present radical and Socialist government
and Of its supporters is TO make the
"boureeoisie" or middle classes pay the
bin Tie moneyed classes will be asked
to loan the state a stupendous sum TO
pay f0r the increased ornaments for
which the lenders will be further taxed,
lor TINS loan will bring in revenue TO
the lenders and therefore fall under the
proposed law 10 tax both capital and
income. Moreover. it seems not a very
capitalists by an issue of new rentes
just after the government, insisting
against the Senate to tax the old per
potual rente, which has been held to be
immune for more than a hundred years.
The governments great stalking horse
is the proposed tax on capital, or &C
CURED wealth. OF other sources. The
rfo f~ 20 70 g
Of supporters Of the measure, by a grad
uated scale of taxation, 70 levy only
lght contribution on small fortunes and
resources, but TO draw heavily on the
big fortunes. The latest ministerial pro-
LESSONS disclaim any intention Of insti-
tutng an inquisitorial investigation into
The private affairs of citizens, but on,y
70 inquire into the totally Of the capital
possessed That is way OF turning the
question.
lnquistoria Idea Resented.
The income tax and the tax on capital
sre likely to be Intellectual IN practice, even
II accepted by the country in principle.
The French. both well-to-do and poor,
keenly resent any form OF investigation
into their domestic affairs or their bust
ness. and would probably DO their best to
defeat the object OF the law In detail.
SD forms Of poll tax or personal taxes
were strenuously refused as an interior
cnce with the liberty OF the citizens since
The great revolution.
The indirect taxes levied on merchan-
disc have for the last few years brought
IN about Soo0,O0o,O0O TO the excheQuer. and
% would seem unwise to modify profitable
FISCAL regulations in order TO try some
thing new and unsavory 10 the people.
Art.c'rs have been appearing in the
press and periodicals showing that the
reign Of the moneyed middle classes IS
nearly ended Their methods Of Intense
industrialism and rcmorseless COLOMBIA
ZION 10 find new markets for their over
production is leading TO the mad com
reiition .n ornaments. which IS running
'ne nations
These pessimnt writers urge that the
present financial crisis. now daily grow
us worse IS the forerunner Of the over
'row ~ the rule Of the capitalist class
mo only Boa France. but in other Euro
n'an states. They pretend that great
nd prolonged nuanciaI crisis has al
Ways preceded the outbreak Of revolution
The coming parliamentary elections VIII
'e fought mainly on the financial situa-
uon