The Richmond Virginian. (Richmond, Va.) 1910-1920, 1919-08-21
Leading Educators See National
EconomyinP roposedBudgetP

New York, August 2o.--with action
Just taken in the senate and similar
action in the house likely within
few days authorizing special select
committees to consider and report on
budget bills now before both houses,
representatives of the leading educa-
tional institutions in the East today
put themselves on record as favor1ng
the National Budget committees plan
to secure the adoption of budgetary
ssystem by congress.
The educators took the standpoint
that a prescribed system of estimates
is particularly essential to the nation
at this period when industry is recov-
erihg from the effects of the war and
when the need OF creating new sink
IN funds and paying off war debts is
pressing.
They also pointed out that America
is the only civilized country in the
world whose finances are not admins
tered under budget system, that
the need for national thrift Is Just as
important now as 1t was during the
war and that administrative extrava-
gance must be eliminated II the nation
hopes to continue as a world leader.
Among the men who expressed be-
lief that the finances of the United
economically, were DIR. Elmer Els
worth Brown, chancellor of New York
university; DR.. Samuel McCune Lind
say, professor of Social Legislation
at Columbia university; Prof. G. w.
Bacon, director in Constitutional and
International Law at the college Of the
city of New York: Prof. Joseph
French Johnson. dean of the School
of Commerce. Accounts and Finance
of N. Y. T., and Prot jeremiah Whip
pie jerks. Research professor Of Gov
eminent and Public Administration
and chairman of the board of direc-
tors OF the Alexander Hamilton Insti-
tute
DR., Brown said:
we are just emerging from a
period OF strife which has thrown the
entire world into confusion. The
period OF reconstruction is at hand,
and great sums OF money will have to
be expended in order that the nation
may again resume the normal activi-
ties OF Industrial life. Thrift Is Just
as essential now as it was during the
world conflict.
"A national budget system would
provide for an economical admins
tration Of government. / believe that
II estimates OF expense submitted by
heads of each OF the ten major de-
partrents of government were review
ed by permanent organization OF ex-
perts, the country would save large
sums of money annually.
DR. Lindsay said:
"A federal budget Is the only system
under which an efficient administra-
ton of the financial affairs OF our gov
eminent can be obtained. 1t is a
guarantee against the costly duplica-
ton of effort in all departments.
Il believe that budget system
should definitely TX upon the president
or the secretary of the treasury, il he
gives up other than fiscal function In
the treasury, the responsibility OF pre-
pairing and furnishing congress with
complete working plan OF the ad-
ministration. This will include esti-
mates Of revenue as well as estimates
OF expenditure. 1t should fix upon
congress the responsibility of Great
ing a single committee to consider all
financial matters. 1t should place
upon congress the responsibility Of
enforcing a system of Independent
audit and report which will enable
that body intelligently to supervise the
work of the administration"
Prof. Bacon said:
THE old adage about laying some
thing by for rainy day applied to a
government just as II applies to an
individual. The sooner we cut down
national running expenses, the sooner
we may expect taxes to go down.
would welcome the adoption OF a ma
tional budget system by congress par
ticularly as thrift measure during
the post war reconstruction period"
Prof. Johnson said:
Citizens of the United States will
be paying of accumulated war debts
for at least twenty-five years. We
must expect that taxes will continue
high for that length OF time. 1t Is
necessary that congress should guard
against unnecessary and wasteful ex-
pendisures and cut the costs OF ad-
minsstration TO the bone.
Every successful business house
operates under a definite budget plan.
The head of every household draws
up in advance a statement of the pro-
posed expenditures of that unit, It
is just as important that n nation
should set an allowance for itself and
learn to live within the bounds Of that
allowance. Congress should he gov
eminent by budget, just as large
corporations and households make
their requirements conform to income
limitations"
Prof jerks in advocating a stable
system Of government finance, called
attention to this clause in the annual
report of former President Taft's
commission on economy and effici-
ency:
The United States is the only great
nation whose government ID operated
without a budget. This fact seemi
TO be more striking when It u oonsid'