Evening star., 1919-09-21
ERA OF EXTRAVGANCE@
NOT ENDED WITHWAR
Neither People Nor Government Practicins
the Economies Necessary if Debts - e,
~:a Are to Be Paid. -

,ssY
of taxation as the principal end. must
be preached If not practiced - to
bring the bacon home. 1t will. be
preached. The republican party has q
majority in both houses of Congress
and it must make record for econ
omy in the present session and the
next session Of Congress, or else It
must meet the criticisms Of the demo-
Gratis at the polls.
1t is inconceivable that the repub-
licans will increase taxes between
now and the election in November.
1920, except. perhaps, the indirect
tariff taxes. Yet Mr.. Good has ex-
planned very carefully that a deficit
Of 1851, 1,273,345.26 probably faces the
country at the close Of the present
fiscal year. The democrats, when they
were in power last winter passed q
revenue law and provided that the
taxes in the coming year should be
reduced 25 per cent. So the taxes col.
lected next year will be less than
this. In other words from JanuaYys4
to June 80. the end of the fiscal year,
the taxes will be less than they are ut
present. 7'"af
Mr.. Good estimated the revenues OF
the government for the fiscal year
as follows; internal revenue. iDclud-
ing income and excess profits and ;es-
tate taxes. $4.s4o.ooo.ooo: custouss
$3.50. .ooo,00o; public lands. $3.00o.0Uo
miscellaneous. including sales of ext
cess war materials. $500, 900; pay
ments on the victory loan, $1.032,000.-
600; postal service, $404,92S,240, a to.
tai of $7,239,s2S.24o.
Pouring Out the Millions. rss
The total appropriations for the fiscal
year. Mr.. Good figures at $7.345.S17.-
2S3.5S-and he admits that still other
appropriations running into hundreds ~
millions of dollars will be added before
the next regular session of Congrass
closes. The bill just passed by the House
employees and increases in compensatieti
under the war risk insurance act At1
expected to boost the appropriations
about $150.000, 900, and they are not -ins
cluded in Mr.. Goods estimate. In nd:
dition to these appropriations there are
other moneys to be expended which via
bring the total required for the dscal
year up to more than $4,000. coo, 600. Qna
of these items is some two or three.ual-
lion dollars of certificates OF indebteds
ness, a short-term note adopted by the
government to obtain money quickly
from the banks and to be retired when
the revenues come in.
Under the law. the Treasury Depart
ment is s~empowered to issue up to $10.-
000. 900. 900 Of these certificates of in-
debtedness. But while they may be paid
of either by incoming receipts Of money
or by the issue of other certificates Of
Indebtedness, eventually they must be
paid. ....-.s.s
The federal government is faced
with the proposition of paying out
81, ,000, ,000, 900 in interest on its ma
tional debt during the fiscal year.
In round numbers the national debt is
s25. .00o. .0o0, 900. The government will pay
out as much for interest on the ma
tional debt as it took to run the entire
government for a year before the
country entered the war. And so tar
there has beer. ne provision made for
paying or this national debt. If Il il
ever to be paid, it seems as though .
sinking fund or a plan whereby ths
government may ge into the market
and purchase it's bonds and Thus re-
tire them should be established. L.
there any wonder that the men upon
whose shoulders is placed the respsn-
sibilities Of making appropriations -,nf
government funds are pleading sfor
economy? Is.
Unhappy European Powers. ~
But while tho United States il faced
with the difficulties Of natiousi
finance. this country is SO much bet.
ter on than tho other powers in this
respect that Americans can well con-
gratulate themselves while pityinx
the rest of the world. The United
States has a national wealth estf-
mated at $2s5.o0o, 900, 900. and its ma
tional debt is about $25,oo0. .ooo. .ooo,
The United Kingdom has a national
wealth of $4,000. 100000 and a ma
tional debt of $4,000. DOT. 900; France
has a national wealth Of $50, 0,ooo, ,oon.,
900 and a national debt Of s2s. ZOO. 900. :
900: italy has a national wealth of
s2o, ,oo0. 100000 and a national debt Of
SIC. .000, 100000.
Germany has . national wealth OF
$4,000, 100000 and her national. .dsbt
is about $4,000. 900, 900: Austro- Hun
gary's national wealth is put at $5s.-
900, 100000 and her national debt ~
$25. .0o0, 100000. These figures Mr.. Good
gave to the House. too. while he was
warning against an alleged attempt
to "internationalize" the war debts Of
the countries involved in the war, II
would be easy to see that the Unatsd
States would be called upon to hold
the bag" under any such plan. Ana
yet it has been charged that under tRs
league of nations. and with the ape
proval of the so-called international
group of fnanciers in this country,
such q plan is in contemplation.
The year 1919 is not the frst recon-
struction period through which the
United States has passed after q great
war, and passed successfully. AZ tie
close of the civil war. which lasted
four years. the country was faced Xtfh
the high cost of living. Sugar vas
selling for 50 cents a pound. the plain.
est kind Of cotton goods reached IS
cents q yard and other necesezx3eo
were high. On the other hand, vaUoe
were comparatively low-very Low, -
compared with the postwar wages-ef