The Washington herald., 1914-03-21
AN UNWELcOMED PARALLEL.

Somehow just at the present time mind goes back to
the curious and altogether pleasant parallel presented by the
of affairs that exists today regarding finances
and that which existed almost exactly twenty years ago.
Then, as now a Democratic administration had been
brought power through the just discomfort of the people
with the pepeuaon of ideas of government and finance that
long since should have been amended abandoned aoethe
Then now the desires of the people in this respect were so
eager and nsstent inspire Congress with recessness IN
the passing of laws Then tariff bill was passed.
history the Wilson tariff which cut the government
below the point which adequate amount OF
for the expenses OF the government was proVaeo anu
then now sought make this deficiency by means
of Then, the income tax law was at
tackled the ground of its oonstiutonay Then the point
raised against the that the new tax was po
er apporoned among the States Now the point raised that
of post aeto character in that it attempts to
collect incomes that began to accumulate SIX months
previous to the enactment of the statute " .
We incline ourselves the opinion that the point raised is
strong We think it is very probable that the supreme
Court will upset the income this ground Just as 1t upset
the law May 1895 the ground that it called tor an
improperly apporioned tax BUT whether we are right IN this
view the unwecome parallel between 1914 and 1894 IS
obudng itself with ominous clearness The tariff bill that
has passed proving inefficient as raiser OF govern
ent revenue the former did Last year the de
encv in the for the first months OF
the fiscal year $6SO 3l5 In the first seven months OF
the present fiscal the deficit Ihs is bad
enough is universally admitted that the new income
law will also fail to raise the amount OF money that 1t was
expected raise If its contuonalty upheld by the
Supreme and must consider the great probability that
the collection of the under the law will be stopped by an IN
junction until the pronounces the legality OF the
when the consuonaiy of the income tax asSaed and
we should suppose that the will be followed now
All this directs attention pointedy to the extreme
foosnes of the particular provision of the tariff bill by which
something $50O0O0 in revenue has been lost to
the by the tremendous made in the duties on
raw sugar Experience already demonstrated that this cut i'll
duties reduced the of to the consumer III
any degree whatsoever has resulted immense and needless
loss and has benefited nobody except the
foreign of who compete with
We have the of President Wilson's administration
very deeply at heart We believe the best interests OF the co
try call for this call for it with uncertain voice 1t IS
with sinking of the heart therefore, that recall the result OF
the Congressional in 1894 when business disturbances
aceabe entirely deficiency the government rev
neswep the Democratic Congress out of existence and lett
President Cleveland the White House bitterly disappointed
and utterly poweress man.
We repeat that all this dire result solely due to de-
fcent government 1t deficit in the Treasury
instead of balance which led doubt to the ability OF the
Treasury to redeem gold AS people deposited their
reenbacks Treasury and asked for payment IN gold upon
Them the notes deposited had to be paid out again IN qu
daon of Indebtedness nasnuch as the gov
ernnent was keep all its funds employed IN meeting
IFS obeatons This the socaed endless cham OF green
hack REDEMPTION which has such terrible place in our financial
annals and which only decade ago led practical suspe-
sion OF GOLD payments the government We hope sincerely
that the prewsome parallel will be followed to its bitter end;
and President Wilson's administration has entirely Its power
to avert this fatality if it will be enough to so amend
the tariff law and amend that all chances OF failure
of government revenue will be avoided