The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-09-28
KAHN WARNS NATION
OF PATERNALISM
Necessary at Present, He Tell,
Bankers, but Must Not
~ Take Root.
FARMERS FAVORED CLASS
Sec'y Daniels Says Achieve.
ment, Not Money, Is the
American Ideal.
FARMERS FAVORED CLASS

| CHICAGO, Sept 27.-Otto ". Kahn n,
New York declared that the "pict,.
OF q bureaucratic paternalism fastening
it's shackles upon a nation which wen,
to war TO preserve liberty Is not a
fanciful one" in speech before N.
| convention of the American tBanksn
| Association to-day.
Through tho accident of war pa,sr.
nalism at present rules supreme h.
said. THAT is inevitable in war time
The one and supreme task before IN.
nation is to win the war. No personal
or business consideration must be DER.
mitted to stand in the way Of u.
necessities of that task
''Offcialdom Is entrenched In oov.,
beyond what it dared to hope for in II,
fondest dreams. And power Is sve..
Oficialdom and those who feed al ID
table will not easily give 1t UP.
1T would be grievous affection :,
under the emotional stress and turmoil
produced by war our people vera "a
tolerate doctrines to take a footing oil
our soil which their sober wisdom hs,e.
tofore has scornfully rejected as wil.o-
the-wisps and as un-American.
The Government, in the emergency
Of the war, has assumed the operat,o,
OF the railroads. as It has assumed
probably unwisely and unnecessarily
the operation of the telephone and tei..
graph lines. The system of pooling FOR
which many OF the railroads had IN
vain endeavored for years to obtain
legal sanction was promptly adopted
with the natural result Of grea,er
simplicity and directness of service and
OF considerable savings The whos
theory under which intelligent, effective
and systematic cooperation between tha
dinerent railways had been made iupos.
siole formerly was thrown into n,
scrap heap" Mr.. Kahn praised Az.
Adoo's handling OF the situation,
or our total national income, estirn
ated at. say, $4,000. 900. 900 annually"
Mr.. Kahn continued, mot more tina,
s2,o00,000,000 goes to those with in.
comes of, say. $4,000 and more. Yet no,
only is our taxation of those with low
and moderate incomes at a far smalls,
rate than 1t is in England, but we de.
cine to employ one Of the most ettee.
i've means to compel savings. consunp-
ton and similar taxes such as every
other belligerent nation without exec.
ton has imposed.
Everything that makes for the far
mers' contentment and well being Is 10
be cordially welcomed. Yet, we cannot
nelp wondering whether It has occurred
10 those who are so rigorous that no
business proflt shall escape the tax
satherer to ponder the fact that, accord
ing TO the latest detailed income tax re-
turns, the farmer is but a small con-
tributor. OF twenty-five selected occupa-
tons he pays the least"
Having in past loans given the lie to
the sneers and taunts OF our adversares
that We are a nero nation OF money
makers interested only in profits" belle.
was expressed by Secretary Daniels in
an address before the convention tha;
the American people in the fourth LIB
erty Loan will demonstrate again tia,
Americans have left the valley Of money
getting and have reached the heights u
money giving"
In the light OF the three previous loor,.
Mr.. Daniels told the bankers. the nato7
knows the financial interests need TO
arousing.
Even when the making OF money
seemed our consuming passion va mis-
judged ourselves" said Secretary D1H-
lels. our passion was not money even
when we gave most of our time 70 g,'-
ting it and boarding ii. Our real pa
sion was achievement and accorYrl's',-
ment Dollars represented success aul
progress and national development. And
underneath this ambition for power thee
was something deeper and stronger !r
our national character. Sometimes H
was so submerged that we even oursaivet
did not appreciate the truth that as =
people 1t is not dollars but sentiment
that is king and ruler in America =
"One day there came the posS!h'"
vision or American ideals under the he'
OF German materialism. 1t came Ike a
flash and just as suddenly there came ,
revelation alike to the bankers sri
money kings as 1t came TO the man ~
farm and in factorN"
The convention adjourned after elect
ing these officers: President, Robert =
Maddox. Atlanta. Ga: first Nicr,gT"s.-
dent, Richard s. Hawcs. ST Louis,
second vice-president, John :. prar,
San Francisco: treasurer, James -
1ioge, Seattle; general secretary, T. y.
Farnsworth, New York assistant &C.,
eral secretary, w. &. Fitzwison N''
York; general counsel, Thomas