The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1920-01-02
SIS, 900, 900, 900 Loan
To British Impossible,
Is Opinion at Capitol
CONTINUED FROM PAGE ONE


CONTINUED FROM PAGE ONE
3, 100000. The opinion Of the lead
ers in Congress was that the budget
ought to be cut to at most S4.000o000 600
and economies are under way which
will permit OF that reduction.
At the present time many ships OF
the navy are tied up because the
appropriation IL moi SUFFICIENT to pay
the crews necessary to man them.
Congress is strongly in favor of vot-
ing a bonus to the men who served
in the army in France. but has not
been able to see its way clear to do
so on account of the condition OF
the Treasury.
Might Depress Currency.
There has been a great demand
throughout the country for the re-
peal of the so-called luxury taxes.
but the revenue derived from these
taxes Is absolutely essential and
Congress as yet has been able to
devise no other means Of provid-
ing II.
A loan Of $4,000, 900. 900 to the
allies would mean the putting OF ad-
ditional great burdens upon the
people. of the ,UnitcS States. 1t
also would be likely to cause a de-
cided depreciation of the currency
of the country, which would have
the consequent result of further in
creasing the present much-com-
plained-of cost OF living.
Furthermore. IL the United States
were to extend such vast credit to
the nations of Europe. II would be
difficult. IL not impossible to provide.
either through the government or
through the banks OF the country. the
great sums which are so urgently
needed for the internal improvements
Of the United States.
Railroads Need Billion.
1t is estimated that the railroads
will need nearly 1000, OOO. 900 of credit
to put them IA proper shape 10 meet
transportation demands when the
roads are returned to their owners.
In all of the great cities Of the
United States the housing conditions
are acute. In a statement given out
yesterday. for instance. the Federal
Reserve Board stated that the city of
Chicago was so far behind in building
operations that II would take four
years to meet the requirements. Bill
lions Of dollars will be needed for
necessary building operations in the
required additional road construction
in the country districts.
Senator Jones. of Washington, al
ready has given notice TO the Senate
that Immediately after the disposition
of the railroad bill he will press up
on the Senate's attention legislation.
| already passed by the House, provid-
ing for the development OF the water
power Of the United States
Fuel Shortage Pressing.
The coal shortage AMI oil SHORTAGE
| make 1t absolutely ne ,eSssry that the
United States should begin the de-
velopment of its water power upon an
extensive scale. Senator Jones has
received letters from some or the
| leading engine building companies OF
the United States informing him that
they were receiving at tire presen: time
| about three foreign ia luirips for water
| power machinery to every one re-
ceived from within the Urilcl States
| Already American concerns because
of the lack of available water power
in the United States have been forced
in establish electro-chemical plants in
Canada, Norway and France.
| Italy and France. which are among
|
Their credits from the United states.
are very much awake TO the neces-
sity of developing their wafer power.
A French corporation, with $4,000
600 OF capital, is about to undertake
the utilization OF 10000 horsepower
fnow wasting in the River Rhone
Incidentally, this Improvement will,
through canaliZation. make IT posi-
Bile for boats TO 20 up the Rhone
to its confluence with the Rhine and
thence down the Rhine. Italy, which
| is entirely without coal, is about
to develop her water power on an
immense scale. The estimated cost
of the development of needed water
power on the upper reaches of III,
! United States rivers is SSnnOCO. 00o.
Congress- Watching Other Nations.
| Leaders in Congress have been in
forming themselves OF what Great
Britain. France and Italy have been
doing in the way of internal i'm
provements and OF the projects which
they have in mind to put under way
They do not intend TO have great
projects of internal improvements IN
Great Britain, France. Italy ana
other European countries go forward
| through the use OF United States
! money, or even through the use OF
their own money. while greatly needed
! internal improvements in the United
States are halted because of the ad-
/ ditional burden assumed by the
United States 10 relieve Europe's nee
essities, real or fancied.
1t may be set down as certain that
before European nations get an ad-
ditional dollar OF credit from the
United States government there will
have to be not only a convincing show
OF dire necessity. but also convincing
evidence that the nations asking tf>
loans have done everything possihT'
they might do to meet their neces-
stiles by drawing fully on their own
resources.
1t is well known here that the
French government, for instance, has
| not seen Mt as yet to put upon wealth