Omaha daily bee., 1918-12-26
A Wizard Of Finance
BROOKLYN Eagle (Dem.)

Writing to the chairman of the committee on
postoffces and post roads, the postmaster gen.
eral urges the adoption of great resolution u
It provides for the purchase by the government
of the telegraph and telephone systems, of which
Mr. Burleson is now the more immediate Gus
todian. The chairman of the committee referred
to, Representative Moon, was only the medium
through which the resolution reached congress-
Having been prepared by the postmaster general
himself, he is the recipient of the compliment
he pays when he characterizes it as great
1t is estimated that the system thus to be &C
qured would cost anywhere from $l,750, 100000
to $2,000O00000. But it is not believed by the
postmaster general that their acquisition will
involve the government in the outlaying of a
dollar. The information he has received since
he took charge of them is such as enables him
to assure the country that they can be paid
for through an amortization fund in Is years,
without increasing the rates to the public during
which interval every community in the country
will be served efficiently.
1t is scarcely too much to say OF this predic-
ton or promise that it is as great as, if not
greater, than the resolution What it takes for
granted is that the government will run the sys-
TENS at an annual profit of about $l00000,O00,
which is quite an average, but what it does not
assume is that it will look for interest on the
money invested. As to that Mr.. Burleson pro-
tests that it would no more expect any such
return than it would look for an interest upon
what it invests in postal facilities.
Presuming the purchase to be made, the gov
eminent will invest say S2,0OO,OOOOOO. Presum-
ing the prediction to be fulfilled, or the promise
redeemed, it will get its money back at the end
of Is years. Meanwhile, it will be entirely
free from the incubus of certain charges always
entering into private calculations With such
charges entirely eliminated, there should be no
difficulty in swelling the amortization fund. All
the country would do would be to watch it
grow" And all the postmaster general would
have to do would be to point with pride" to
what had been accomplished and to exploit the
advantages Of public ownership. He might even
refer to himself as wizard Of finance.
But things not always being what they seem,
it should not be forgotten that the bonds issued
by the government to enable it to pay for the
properties would include promise to pay inter
est as we'll as principal. And what should also
not be overlooked is that sometimes calculations
go astray more particularly those looking far
into the future. 1t is further worth remember
ing that some of Mr.. Burleson's excursions into
the domain of arithmetic relating to the postal
department have been more than sufficiently
fantastic
1t may be true that the properties should not
be returned to their owners in the present situa-
tion but it is the sheerest dogmatism to say that
THE interest of the public and the investors re-
quire that their retention by the government
shall be in perpetuity. Nor does the statement
that such retention cannot be considered party
question come from a source calculated to com
mand confidence. For nothing but the truth is
told of the postmaster general when it is said
OF him that in administrative circles he has no
peer as partisan and no rival as distributor
of patronage.
That he will insist upon making the joint reso-
luton party question when it comes to vote,
goes without saying. An effort will be made to
round up" all the democrats in congress. All
that remains to be seen is whether sufficient
number Of them to kill the grab" will resist
coercion or persuasion or both. AS to that, the
outlook is suspicious. The more overwhelming
the majority against passage as a setback for
what has teen called the trend in the direction
of public ownership, the better for all concerned,
not including the party in power. 1t is riding
for fall