The Monticellonian., 1918-12-06

the right to establish priorii9s of cX- port and supply for the benefit of these people whom We have been 70 happy to assist in saving from the German terror and whom We must not now thoughtlessly leave to shift for themselves in pitiless competitive market.
 For the steadying and faeilitation of our own domestic business read justments nothing is more important than the immediate determination of the taexs that are to be levied for 1918, 1919 and 1920. As much of the burden of taxation must be lifted from business as sound methods or financing the government will permit, and those who eonuet the great es- sential industries of the country must be told as exactly as possible what ob- ligation to the government they will be expected to meet in the years i'm mediately ahead of them. It will be of serious consequence to the country to delay removing all uncertainties in this matter a single day longer than the right processes of debate justify. It is idle to talk of successful and con fident business reconstruction before these uncertainties are resolved.
 "f the war had continued it would have been necessary to raise at least $8, 900, ,000,00O by taxation payable in the year 1919, but the war has ended, and agree with the secretary of the treasury that it will be safe to reduce the amount to $60Q0. 100000. An i'm. mediate rapid decline in the expenses of the government is not to he looked for. Contracts made for war supplies will, indeed, be rapidly caneeied and liquidated, but their immediate liqai- dation will make heavy drains on the treasury for the months just ahead of us.
 "The maintenance of our forces on the other side of the sea is still nee. essary. A considerable proportion of tnose which are brought home will be transported and demobiiized at heavy expense for months to come. The in terest on our war debt must of course be paid, and provision made for the re- tirement of the obligations of the gov ernment which represent it. But these demands will, of course, fall much be- low what a continuation of military operations would have entailed, and $6000. 100000 would suffice to support q sound foundation for the financial operations of the year entirely con cur with the secretary of the treas ury in recommending that the S2,000,- 100000 needed in addition to the four billions provided by existing law be obtained from the profits which have accrued and shall accrue from war contracts and distinctly war business, but that taxes be confined to the war profits aecruing in 1918, or in 1919, from business originating in war con tracts.
 T urge your acceptance of his rec ommendation that provision be made now, not subsequently, that the taxes to be paid in 1920 should be reduced from six to four billions. Any ar engagements less definite than this would add clements of doubt and con fusion to the critical period of indus trial readjustment through which the country must now immediately pass, and which no true friend of the na- tion's essential business interests can afford to be responsible for creating or prolonging clearly determined con ditions, clearly and simply charted, are indispensable to the economic re moval and rapid industrial develop ment which may be confidently expect ed if we act now and sweep away all interrogation points.
 Naval Program.
 s.I take it for granted that the Con gress will carry out the naval pro gram which was undertaken before We entered the war. The secretary of the navy has submitted to your commit tees for authorization that part of the program which covers the building