The Bridgeport times and evening farmer., 1919-05-05
HENRY CLEWS'
 WEEKLY LETTER

WEEIA& \ GM E Aaa
 We are now approaching the final stage of peace negotiations when hitches and delays should cause no surprise. It must be remembered that in order to make any progress the toughest problems were put off till the end, and the way of least re- sistance naturally prevailed in the early parleys While Italy will prob ably compromise, it is in her power to cause considerable delay and irri- tatfon. Germany may balk at the drastic peace terms which will be i'm posed upon her, though submission is inevitable. The only hope for a rapid settlement depends upon realization of German statesmen that their larger and permanent interests lie in prompt acQuiescence. Italy must recognize the large gains that she has made would have been impossible without Allied aid; and vanquished Germany may as well submit promptly and gracefully to the inevitable. As soon as peace is signed, practically af1 re- maining trade restrictions will disap- pear; and the next question to occupy diplomats will be the making of new 1HIeTuallOHdl lEGdltebI lue WAT iIctNlIi5 swept away most of those existing be- tween belligerent countries. Much difference of opinion will doubtless develop between those who seek wider international intercourse and those who desire to Denalize enemy coun- tries. The infliction of penalties will call for much wisdom and self-re- straint; for it would prove unintelli- gent and against our own interest to name suitable indemnities and then impose conditions making payment impossible.
 Hope In the New Congress.
 A special session of Congress is likely to be called in the middle of May. It will be more occupied with practical reconstruction than with visionary reforms, of which the coun- try has had a surfeit for the past decade. Taxation, appropriations, railroads, tariff and treaties will absorb Washington's attention for some months to come and the extra session promises to be a long one. Economy also is one of the most UT gent questions demanding attention. Before the war this was billion dol lar country. This current year Fed eraI expenses will reach $18,000, 0,000,- UUU 91JpUOO,OOUpOOOs anu L4AS p1 Oo- poets of a radical reduction are not very encouraging. There Is a pros pect of the country facing a heavy loss this year on shipbuilding on the railroads and on the wheat crop guaranteed price. It is quite certain that this years wastage after the war ended will be not far from $1O,OOO,- 100000. It is true considerable re- duction of expenses will be secured by partial disbanding of the army, but the proceeds of the Fifth Victory Loan have already been largely spent, and with such heavy expenditures or losses to meet it is plain no great re- duction of taxes will be possible dur ing the coming year. These are un- pleasant facts, but they might as well be faced. There is only one solution of this difficulty and that is economy, not only by the Federal government but equally so by state and municipal authorities throughout the country. The word economy seems to have been eliminated from our vocabulary, and it has become foolishly popular among those who govern to increase taxes rather than cut expenses. It is much more popular to strike wealth through taxation than to stop public waste ana eAITdNdSdnCS. CHISSS SOiIlS effective effort is made to curtan tax ation and curb the socialistic fervor for destroying wealth, capital will leave the country and deprive both labor and industry of their chief ne cessity. No time should be lost by business men in impressing upon Congress the urgency for economy in expenses; also fair treatment of cap ital, which, like labor, will go where 1t receives the best rewards.
 Satisfactory Business Conditions.
 The business outlook, though spotty where cessation of war orders and I heavy taxes interfere, is upon the whole very assuring. Taxes, which appropriate so per cent. of excess profits, discourage enterprise, deprive merit of its just reward and stimu- late extravaganza in expense accounts in order to evade taxes. But there are enough encouraging features to largely offset these drawbacks and to warrant a sturdy confidence in the future. First of these is
 The Extraordinary Crop Outlook. Growing conditions have been won derfully favorable, and we are prom | ised a wheat crop of more than a billion bushels at a valuation of pos | sibly $2,5OO, 100000. About $1,oO0,- | 900. 900 will be provided by the gov ernment through taxation, as a result | of the fixed price agreement Be- | cause of the shortage of wheat in Europe there will be a heavy export movement at profitable prices Eu- rope is also short of ether roods~ that \ we must supply; the destruction of l cattle by war necess. .atinS heavy