The Fairmont West Virginian. (Fairmont, W. Va.) 1904-1914, 1914-09-14

the line the DuTuen OIL the IAN VIII
fall upon labor.
We submit the following comment
from the World as coming from the
highest Democratic newspaper u
thority in the land, in order that
our readers may realize that in tx
pressing its opinion on this subject
the West Virginian was not actuated
wholly by partisanism. The World
says:
THE expectation of the authors of
the war-tax bill introduced ycster
day is that the levy of 3 per cent
upon railroad and steamship freights
will yield $65,OOO,O 600 a year. We
have had stamp taxes upon freight,
bills, but in the form in which II Is
now presented the measure proposes
an entirely new burden upon com
mercc.
chairman Undcrwood's cxplana-
lion of the bill makes light OF the Ell
'cct Of the tax upon prices. In com
1arison with the nearly $2,00O,0OO,-
700 year of railroad freight receipts
100000 is indeed a small
sum-, but to get this mount into the
treasury 1t is probable that the peo-
plc will pay three times as much.
This IS IA tax designed to be passed
along. Every time it is passed along
it will grow in size. When it reach
es the consumer, who cannot pass II
along, it will be noticeable.
mo matter how small a tax upon
commodities and commerce may be.
it. almost always serves as an cX-
cusc, honest or. dishonest. for in
creased prices. Long experience
with tariff taxes upon imports must
have convinced the American people
that opportunities of this kind ar"
rarely neglected. When Mr.. Under
wood was urging his tariff-reform
bill last year it was estimated that
a reduction of $5O,OOO,OOO IN Gus
toms revenue would mean a saving
to consumers OF $4,000 900.
ut has been seen also that prices
once increased by taxation are SLOW
to decline. In this fact may be dis
covered the most important cause o!
tho high cost Of living. We laVH
| adhered to indirect taxation for 50
long a time that wc are b"alloOninS
| all our industry and business. There
| never was a financial imitation in
the history of the world to equal our
! tax and price initiation.
"The system is wrong and Il
| ought to end. 1t never will end If
/ Democrats, in imitation of Republic
| cans pursue it. as in this case.
Stamp taxes upon commercial pape:
would meet the situation perfectly.
They would rest where they were
| placed. No price of food or cloth
ing would be touched. There Is no
objection to them anywhere. In
fact, whenn ew sources Of revenue
were demanded it was generally
agreed in business circles that tn"
| resort would be to stamps.
"What, then, car DO the reason
| for Democratic unwillingness to ac-
cent n Democratic tax that is SIM
pie, honest and direct, and for DEM
| ~ocraticc agerness to adopt a Repub-
| lican principle VIGOROUSLY unjust in
practice and thus far rejected by the
! Democratic party in all Its economic
policies? We confess ignorance. The
thing is a mystery. 1t needs eXpla-
nation. II the president cannot set
his party right on this issue, he and
it are both in danger.
"If, instead Of %resorting to the
customary stamp taxes upon COM
mercial paper. n Democratic congress
shall adopt Il war "a upon railroad
bills Of lading. it will become respon-
siblc for a political and economic
error of which 1t will not soon hear
tho last.
"The very reason urged by a mcm-
Der of the Ways and Means Commlt-
zee rs an excuse for this taxation IS
the most powerful argument against
1t. 1.-THE mar who pays the tax,
he says, Twill charge a portion of 1t
ID to himself, another portion to tho
nan to whom he sells, who in turn
| oan add a little to the price to his
customers. In this way the tax will
be distributed all down the line
Not one cen of the tax will be
| charged to himself by the may who
pays. Every mill of it will be dis
tributed all down the line with
many a cent, nickel and dime added
thereto. That is not the worst of 1t.
The prices of commodities thus in
creased will not be decreased, no
matter when the tax may be re-
pealed.
STAMP taxes upon commercial
paper connot be distributed all down
the line. They are paid by people
who can afford to pay them. The
instant that they are repealed they
come to an end.
"By adopting a tax which can be
distributed all down the line the
Democrats in congress will be aban-
doning n Democratic principle and
accepting u Republican principle.
Just taxation ought to hit the man
-. tIn prOpnrfu 0St n0cih1V In Wow