Americus times-recorder. [volume] (Americus, Ga.) 1891-current, 1918-08-14
TAXING LUXURIES.

| IiAilIiCoAdLC J1iII IhC LChNSAANy 10 81 vi
particularly among statesmen of the
economic calibre such as make up our
Ways and Means Committee, to adopt
| purely emergency measures, with the
sole purpose of getting money any
| how. almost regardless of the Incl
| dence of the tax In fact, there is
some reason for procedure on this
| basis, since it would be palpably i'm
possible to secure an agreement on
economically logical lines within the
cine when definite action must be
taken; and at least one advantage,
IN that any measure as crude as the
last War Tax Law or the new one
likely to be enacted is all the more
sure to be abrogated after the war
and not perpetuated as was the vici-
Gus system of protectionism.
But at a time when the minds Of
the PEOPLE are being turned to the
subi"cu of taxation it does no harm to
discuss some of the phases from rea4-
Iy economic standpoints, even if with
no expectation of present results. One
pleasing feature Of the blind cropping
in which our congressman are nov
INDUCING is that it is bringing cHt
a genera realization of the fact that
taxing the products of industry does
not encourage industry, but on the
contrary reduces production.
This is seen in the avowed purpose
of taxes on luxuries, with the object
of restricting luxurious spending and
consequently the production of OBJ
jects of luxury. Under normal con-
ditions there is no excuse for this
whatever. At the present time it has
it's advantages in certain directions,
hut there is grave danger of its be-
ing greatly abused To put prohibit
tive tax on platinum so as to prevent
the individual from using it when
the Government needs all that can be
got is one thing. To deliberately re-
sjrict the consumption of wool by
similar measures is also in the same
line, and perhaps cotton and leather
as we'll; though as to these it is hard
to understand why it should be nee
essary with the largest cotton crop in
history and the statements We get
that there are great stocks of hides
in storage waiting for higher prices
A more effective way of getting at
them, as a temporary measure, w0nid
seem to be to tax those in present
holders hands and probably force
them on the market however indie
feasible this would be as perman-
ent policy, when it would simply tend
to discourage future production.
But when it comes to tax luxuries
land who shall say what luxuries
are } for the purpose of diminishing
extravaganza, it is quite different
matter The plan as a whole is
hazy outcome of the hoary fallacy
that goods are bought with and taxes
paid by concrete ntoney-coin or bills
when in reality goods are always
exchanged for goods, and all that
Government BGLS III IdASo ID 1AN
title to goods or to services to be
performed. Men can be forced u
quit working on fine clothing or fur
niture or jewelry by practically shut
ting off the market for their pro-
ducts; but this does not mean that
they can be forced into digging coal
Or making munitions unless there is
something provided in the intricate
machinery Of exchange to pay for
their labor. People who buy luXurles
do not buy munitions, and the only
way that the Government-the sole
purchaser of munitions-can get from
them the money" unexpended IN
.uxuries is to take from them IN
taxes the title to goods or services
which they have acquired; to very
| ...-.,4 .~.o,+ tbrOupb tho sale of lux