Evening star., 1918-07-12
SAYS ADVERTISING
IS MOTIVE POWER
Head Of Associated Trade
Papers Protests Heavy
Tax on Business.
RATED A WAR NECESSITY

TTolCSI d6dlhbI oColi ihS
motive power OF American business"
by a heavy tax on advertising was
made by Jesse H. Neal. executive OF
the Associated Business Papers Or
ganization, before the ways and
means committee today. He said he
represented 600 trade papers.
Under war conditions which have
made travel difflcult and caused a
shortage Of statesmen, advertising mas
come to the rescue of business py
keeping the manufacturers and GUS
toners in close touch, said Mr.. Neal
Advertising has become home guard
Of industry. replacing the travehhs
statesmen who have gone forward 10
fight.
The United States advertising has
set an example for the world in busi-
ness development and efficiency. II
has become q business necessity, COM
parable only to the telephone and teie-
graph as a means of communication
Mr.. Neal explained.
Figures Interest the Members
Members of the ways and means
committee were much interested In
figures presented by this representa-
tive of trade publications showing
that the publishing business mas oeen
far from profitable: that advertising
that to put a heavy tax on advertis-
ing would destroy these journals
which are so essential to Industry. ,
The question of second class postal
rates was again brought up ana Mr.
Neal made an emphatic protest
has, he said. "nullified our magnin-
cent distances" Just as the railroad
has spanned Intervening territory be-
tween the great commercial centers,
so does advertising shorten the traoe
route and expedite transaction OF
business. he said.
Denies Rates Are a Subsidy.
Mr.. Neal denied that the present
rates are a subsidy any more than
low rates on grain are a subsidy for
the farmer or the highways a subsidy
to the vehicles the country over. Mr..
Neal told how the Germans were
watching American Advertising. he
referred to the New York Mail af-
fair.
Il call attention" he said: ito the
statement that from $4,000. 900 to $780,
o00, 900 has been raised 10 promote
German propaganda and has been
sent into the United States. AS an
advertising man and speaking Tor
the advertising fraternity, let me say
that we deeply regret that Congress
has seen At to appropriate only ST.
100000 for the public information
committee to counteract the count
less millions spent for German prop
aganda" Mr.. Neal quoted host OF
public men against the zone system.
Fordney Resents Rap at Hughes.
When he quoted Charles E. Hughes.
once republican candidate for Pres
ident, denouncing the system as
backward" Chairman Kitchin laugh
ingly interrupted.
''He ought to be a pretty good au-
thority on walking backward and
looking backward
That's mean." retorted Representa-
tive Fordney of Michigan. ranking re-
publican on the committee.
Citing the conditions in Russia to-
day as illustrative of the lack Of inter-
change of communication and unity OF
thought, Mr.. Neal said there was q
woeful lack of unity among the Rus
slams, a lack of national policy Of in
accommodation and of any binding
policy except that of autocracy.
Bill Aims to Control Platinum.
A special bill to vest in the govern
ment absolute power over all plati-
mum in the United States, with provi-
sion for release Of the metal back to
private control in such quantities as
the war needs may warrant. was sug-
gested by Chairman Kitchin yester-
day.
Louis ]. weinstein Of Columbia Uni
versity urged a thirty-day suspen-
sion Of all traffic in platinum for jew
elry purposes. pending Investigation
os the government needs. He said the
War Industries Board had not com
mandeered the stock Of all wholesale
jew sa-rs. and accused the jewelers. OF
misrepresenting the amount Of plati-
mum they held. The bureau Of mines
is about to take over the license con-
troll of possession and sale of plati-
mum.