The Oskaloosa herald., 1918-07-18
70 nusIness ourLooK.

The subject of taxation is now abb
sorbing public attention and Congress
will be Obliged to give ii close atten-
ton in spite of the recess. MANY
extreme and impractical suggestions
are being offered for raising the enor-
nous amount required for conduct Of
the war; says Henry Clews, of New
York. President Wilson has signed
an army appropriation bill of $4,000
90O, 900 for the current fiscal year, and
Secretary McAdoo announced a pro
gram still larger, the latter presuma-
bly, including loans to our Allies. II
is also expected that about one-third
of the latter sum will be raised by
taxes and two-thirds by loans. When
it is remembered that the last reve-
nue. bill raised over $4,000, 000,0 900 it is
evident that taxes must be increased,
and that Liberty loans will make much
larger demands upon our financial
resources than ever. There is not
the slightest doubt but that the coun-
try will meet the strain with compare
tive ease and cheerfulness. This
generation is perfectly ready to pay
the price for making the world a
free and decent place in which TO live.
Congress, however, has a difficult task
ahead, and its greatest danger lies in
the mass of confusing and incompetent
advice Perhaps the best sugges-
lions that can be made are % sim
plicity of plan, avoiding the confusion
OF the last tax law; (2) just dis
tributiOn of the load, refusing favor to
any class and placing the heaviest
taxes upon the largest incomes, and
90 a careful avoidance of any taxes
which discourage necessary prOduc,
ton or threaten TO exhaust sources of
revenue. For the public there is
only one course TO adopt; that is,
economy in both essentials and non,
essentials, particularly the latter; al
so the turning of all energy available
in money and muscle toward helping
the Government win the war. Indus
try must be stimulated at home to af'
ford this aid, but a stricter discrimin
alton is required as to what is neces'
sary and what is not. There is a
great deal of shallow criticism con
Icerning profiteering-a term which has
not yet been satisfactorily defined and
which is often carelessly used. Prof,
iteering is both a moral and economic
issue, and it is frequently impossible
to draw the line. That any concern
or individual should exact exorbintant
profits out of war transactions, or take
INSCRIPTIONS advantage of the ma.
tons need, or exploit food, clothing
or other public necessities. when hun
dreds of thousands are making every
possible sacrifice, even t. offering
their lives, is abhorrent to every fair.
minded and patriotic impulse. Such
conduct depends mainly upon the in.
diyidual, and is fortunately rare. II
is difficult TO decide where profiteering
begins and ends, much depending upon
circumstances. For unusual profits
during the war there is often ample
defense Risks are unusually great;
incurred; plant depreciation is ex
cessive; quantities of equipment are
quickly strapped; great waste is Of
ten inevitable and inducements must
be made to stimulate enterprise; all
OF which tends to demands for high
profits If such industries are to be
adequately maintained There is an
other justification of high profits. and
that is their source Of public revenue
through taxation. In no better way
can the money to carry on the war be
obtained. II insures an indirect and
unfailing source of funds for the Gov
eminent"