The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1919-12-03
PRESIDENTS MESSAGE TO CON.
GRESS ASKS REOROtNZ\-
TION OF TANATlON, ETC
Continued from page u

lively. The auditors should be highly
trained officials, with permanent ten
ure In the treasury department, free
of obligation to or motives OF consider.
alton for this or any subsequent admin.
istration, and authorized and empower
ed to examine into and make report
upon the methods employed and the re-
suits obtained by the executive depart
ment OF the government. Their re
ports should be made to the congress
and to the secretary of the treasury.
Must Simplify Taxes
I trust that the congress will give
It's immediate consideration to the prob
lem Of future taxation. Simplification
OF the income and profits taxes has be.
come an immediate necessity. These
taxes performed Indispensable service
during the war. They must, however
be simpNfieG, not only TO save the tax
payers Inconvenience and expense, but
IN order that his liability may be made
certain and definite.
with reference to the details Of the
revenue laws the secretary OF the treas
ury ana the commissioner Of internal
revenue will lay before YOU for your
consideration certain amendments nee.
rssary or desirable in connection with
the administration OF the law, recon
mcndations which have my approval
and support. It rs OF the utmost i'm.
portance that in dealing with this mat
ter the present law should not be dis
turbed so far as regards taxes for the
calendar year 1920, payable in the cal.
cndar year 1921. The congress might
wcll consider what the higher rates Of
income and profits taxes can in peace
times be effectively productive OF reve.
nue. and whether they may not, on the
contrary be destructive Of business ac-
tivity and productive Of waste and in
efficiency. There is a point at which,
in peace time, high rates Of income and
profits taxes discourage energy remove
the incentive tn new enterprise encour-
age extra VACANT expenditure, and pro
duce Industrial slugnation with conse-
Quent Unemployment and other attend
ant evils
Change in Political Schools
Tic problem is not an easy one. \
fundamental change has taken place
with reference TO the position Of Amer
ica in the worlds affairs. The prciu-
'toc and passions engendered by decades
uf controversy between TWO schools OF
rolitical and economic thought--the one
believers in protection OF American in.
dustrics, the other believers in tariff for
revenue only, must be subordinated TO
the single consideration OF the public
interest in the light Of utterly changed
conditions.
Before the war America was heavily
the debtor OF the rest Of the world and
the interest payments she had to make
10 foreign countries on American secur-
tiles held abroad the expenditures Of
American travellers abroad and the ocean
freight charges she had to pay to 9th
crs. about balance the issue of her pre-
war favorable balance Of trade.
During the war, Americas exports
have been greatly stimulated and in
creased prices have increased their
value.
ON the other hand. she has purchased
p large proportion OF the American Sc
curltics previously held abroad has
loaned some $4,000, 100000 to foreign
governments ana has built her own
ships
our favorable balaNce Of trade has
thus been greatly increased and Europe
has been deprived Of the means OF meet
ing its heretofore existing.
europe can have only three ways Of
Wc"tmg the favorable balance OF trade
IN peace times
liy imports into this country of gold
or Of goods or by establishing new
credits Europe is in no position at
The present time 10 ship gold TO us
r1r could we contemplate large fur
ther imports of gold into this country
without concern.
The time has nearly passed for in
ternational government loans and it
viii take some time to develop in this
country a market for foreign secur-
ties.
Must Revise Tariff
Anything, therefore, which would
tend 10 prevent foreign countries from
settling for our exports by shipments
OF goods into this country could only
have the effect OF preventing them
frorn paying for our exports and there
fore Of preventing the exports from
being made
The productivity Of the country
greatly stimulated by the war must
find an outlet by exports to foreign
countries and any measures taken TO
prevent imports will inevitably curtail
exports, force curtailment OF produc
ton, load the banking machinery of
the country with credits to carry un-
sold products and produce industrial
stagnation and unemployment,
If we want to sell, we must be pre-.
pared to buy.
Whatever, therefore. may have been
our views during the period Of growth
OF American business concerning tar
III legislation, we must now adjust
our own economic life to a changed
condition growing out of the fact that
American business is full grown and
that America is the greatest capitalist
in the world.
Old Policies Must Yield
NO policy OF isolation will satisfy
the growing needs and opportunities
Of America. The provincial standards
and policies OF the past which have
held American business as If in a
straight Jacket, must yield and give
way to the needs Of exigencies Of the
new day in which we live, day full OF
hope and promise for American busi'
ness, II we will but take advantage OF
the opportunities that are ours for the
asking, The recent was has ended our
,.oI,tion ood fhrouu ilnou ug "a great