Bisbee daily review., 1916-08-24
Urges Congress to Pass Legis- lation Which Will Assure Industrial Preparedness in the United States.
CENSURES PROPOSED |, EMERGENCY MEASURE
Declares the Bill Is Wrong in Many Ways and Might Af- feet Our Neutrality--Under- wood Upholds Proposal.
(RX Review Leased Mirel

WASHINGTON, Aug. 23.-Debate in the Senate on the emergency rev enue bill today was featured by a long speech by Senator Penrose, urging in, dustrial preparedness to safeguard the country against commercial war. fare at the close of the European war and vigorously attacking the pending measure. He questioned the legality of the proposed munitions tax and general legislation toward substitut. ing direct taxation for the protective tariff
 Senator Underwood, author of the present tariff law, and Senator Nc Lean, also participated in the discus sion, the former defending the tariff law against Republican attacks and the latter charging the Democratic ad- ministration with extravaganza and deploring its tendency to resort for federal taxation that shorld be re- served to the states.
 This question of industrial pre- paredness." said Senator Penrose, "has received definite recognition in the pending bill in the provision rela tive to dyestuffs This concession made by those who abhor imports and duties and lean to the thought that nearly all of the expenses of the gov ernment, so far as possible. should be raised by taxes on incomes and other direct taxes seems to me to create surrender which gives up their whole case. If dyestuffs require a protective duty, and if they are essential to our industrial independence, I conclude that the same argument can be ap- piled all along the line"
 Referring to the recent conference of the nations at war regarding com mercial plans that will operate to their own benefit after the war, the Pennsylvania senator said:
 "In the face of these developments which are occurring and with the liklihood of still more portentious as poets of trade war arising in the near future, we are called upon to pass the pending revenue measure without any regard whatever for the menacing situation which will inevitably con front us as the war in Europe draws to a close.
 "We are drifting to a system of di- rect taxation at a time when nearly every civilized nation is going in the other direction. There is every req son to believe that with the close Of the war, new trade alliances and treaties will be made which will make it more imperative that the United States should get ready for industrial preparedness"
 If a munitions tax is to be imDosed. Senator Penrose declared. it should be applied to all who sell contraband goods to nations at war.
 Investigation discloses." he said, that the munitions tax is sectional. ununiform. of doubtful validity. ot questionable legality. and objection able in many other ways.
 'Tt is also argued that such tax would affect our neutrality. A neutral government does not protect trade in contraband It cannot engage in 1t itself. It is merely relieved Of the expense of suppressing it"
 Senator Underwood spoke at length in defense of the existing tariff. After reviewing the operations of the tariff law, and submitting a multitude Of statistics Senator Underwood said that he had "conclusively demonstrat- ed that tariff taxes now on the statute books do not jeopardize American in- dustry or threaten American labor"
 The revenue bill, Senator Under wood said, was necessitated by the de- mands of the wealth of the country for military preparedness.