The evening world. [volume] (New York, N.Y.) 1887-1931, 1920-09-23
HOOVER DECLARES
HOUSING PROBLEM
HAS MANY ANGLES
Tells Senate Reconstruction
Commission Completion of
Barge Canal Is Urgent.
RAILROADS BIG FACTOR.
Cities Should Not Proceed on
Individual Lines or Com
petition May Result.


organization OF Federal Government,
departments, completion OF the state
Barge Canal and the return 10 invest
ment fields Of banking FUNDS diverted
70 commercial purposes, to-day were
urged by Herbert Hoover NJ a pro-
gramme for solving the housing prob
lem when he appeared before tho
United States Senate Reconstruction
Commission at 10. 20 West soth
Street Senator W. A. calder presided
at the session.
MT. Hoover gave warning that ~
every city tries 70 solve It's problem
along individual lines che result will
be competition. which will defeat tho
ends aimed at
There Is no question that somo-
thing must be done to meet the emer-
geney." Mr. Hoover said II do not
care 20 express an opinion as to the
wisdom OF subsidies such as are grant
ed in England. or the proposal now
pending In New York TO exempt new
houses from local taxation.
Il should think that n the power
OF this inquiry (the Senate oOmmittee)
Ia vide enough. Il would DO well 10
extend your inquiry TO the question Of
reconstruction OF departments IN the
Federal Government. We have the
most antiauated organisation and adj
minlstration OF government. Nothing
like Il can b. found In any other ao-
tivity In the United staies-and It is
not a credit 70 our skill or intelh-
genoe"
Mr.. Hoover said that the transpor-
tation problems are unavoidably a part
OF tho housing problem.
Both transportation and building
troubles were the direct results OF the
war, Mr.. Hoover said
ITO meet war emergency needs we
bore down ON both OF these indus
tries" ne declared. 'The textile and
some other branches OF industry were
expanded under war conditions, but
there was a stofpage OF development
In transportation ana building. n
Railroads and houses ara part OF
our national plant and equipment. We
must increase them to meet the needs
OF the people. savings are tho basis
for financing this movement"
To increase the amount OF savings
available for production, reorganiza-
ton OF the POSTAL Savings system was
advocated by MT Hoover. Figures re-
Gently published In The Evening
World, showing that a per cont. OF
tho total number Of National Bank
depoaits IN New York State are "tlmo
loans" we're brought TO Mr.. Hoovors
attention and drew the comment,
Long term money fundamentally be-
longs 20 plant and equipment. Long
term money should be- I'm long term
loans. covering investments. Short
term deposits belong 20 commercial
development for current consump-
ton" This rule, he declared to be the
A b c Of banking and the present con-
diuon in this regard, ono Of the post
war evils that much be corrected.
The State Barge Canal, as the old
Erie Canal now Ia known, IL carrying
only one-tenth OF the freight n should
bear, Mr.. Hoover said. and blamed
this on the humps" In various 500
tons OF the canal, which prevent
boats OF intended draft from using the
| waterway.
There 10 less freight going through
the canal now than IN me days wnor
mule power was used, he said. This
canal should DO completed without
DELAY, with uniform depth oil
twelve and one-haf feet, opening
transportaUon 20 the Great Lake.
and the territory beyond"
| THIS MI Hoover said, he believes
would bring down freight rates ol
building mAtorin!H ana heavy freight
which the railroads now Caunu
handle In the quantities required.
lie went GA ruClrd as Opposed /,
plans for exemption Of any invCst
ments from income taxes but sa4,
emergency might justify some tempo
rary aid. Tao Income TAX, he said. d
the fairest and best method OF taxa
ton and effort EhIuld be used to mar
row the nOld OF exempt Investment
rather than 20 increase n.
The excess profits tax he condemnC
as unjust and ineffective. II rs mcrcl
a method OF collecting from the ulti
mate consumer, he declared. ana whe
! applied 10 th" building Industry, u
, building materials becomes q perma
luCnt tax on capital