New Mexico state record., 1920-06-18

nues and to facilitate the retirement
Of the governments floating indebted
eess, estimated to total more than $3.-
OOO.OOO,OOO. now outstanding in the
form OF treasury certificates of In
| debtedness. This view is taken by
Secretary Of the Treasury Houston.
who believes that the economic position
of the country will be made stronger
by the prompt retirement Of the float
ing Indebtedness.
In revising present tax legislation
TO swell the revenues Of the govern
ment and permit the retirement Of the
outstanding certificates of indebted
ness at an earlier date than that con-
templated by the volume OF present
tax receipts. Secretary Houston be-
lieves that congress should not fur
ther increase the burdens of taxation
upon business and commerce. On the
contrary. Ii Is the secretary's view
that taxation on this point should be
lessened rather than increased, de-
spite the need OF reducing the gov
ernment's indebtedness at the earliest
possible time.
Increases In present rates OF taxa.
tion. he advises. should be provided
In the case of income generally. and
distributing the burden OF a further
Increase in taxes over the ax-paying
public. sparing business TO the great
est extent possible. Upon what classes
or taxpayers taxes should be increased
for the purpose of increasing tax re-
ceipts, Secretary Houston refuses to
state.
Should Pay Floating Debt. ~
Among the more important needs
of the country. Mr.. Houston says, Is
that of dispOsing of the floating in
debtedness. The view Is taken by the
secretary that the present program OF
the treasury forced to go into the mar
ket every fortnight for the flotation OF
additional certificates OF indebtedness
to raise money with which to meet
maturing securities of the same sort
and to meet current expenses OF the
government is harmful In Its effect In
raising the level OF interest rates.
If the huge amount OF outstanding
certificates OF Indebtedness could be
retired before July l. 1921. as now
contemplated, by the contribution of
greater taxes. the public would save
much money by the earlier with
| a lra Of ba L.
money market. Even the date of July
81, 1921. as the time by which the
treasury hopes to have accumulated
sufficient funds to redeem the certifi-
Gates is tentative. Secretary Hous-
ton emphasizes. and Is contingent upon
keeping congressional appropriations
from exceeding their present amount
and upon keeping the present volume
of tax receipts undlminished.
The redeeming Of Victory loan Sc
few years. Mr.. Houston says, in itself
is serious problem To which the
treasury Is giving large part of its
attention. The raising of sufficient
funds with which TO meet the matur-
ing securities will call for the best
efforts Of the treasury department. To
give a clear field for the redemption OF
securities, undisturbed by outstanding
certificates OF Indebtedness, II Is urged
by the secretary that all outstanding
certificates of indebtedness should be
redeemed and retired. II the country is
to regain stable financial footing In
time with Great Britain, France and
other countries that have increased
rates of taxation To pay the cost OF
war within the shortest possible time
Buy Bonds Instead OF Selling.
Recently the treasury department
has been doing what IL can 10 encour.
age holders OF Liberty bonds and Vie,
tory bonds TO hold on 10 them. II al
vises people who can afford 10 buy
these government bonds 10 buy them
instead Of selling them. II seems that
a great many persons who are not In
position to get accurate information
about the value OF these bonds are
discouraged because the price recently
has been going down slightly. and are
disposed to sell. The treasury depart
ment is confident that with the return
OF normal conditions these bonds Will
advance in price. II points out tina,
even at the price at which the bonds
are now selling they are extremely val
liable.
The federal reserve board called the
directors of all the federal serve banks
here the other day for conference on
the general financial situation. and af
ter every phase Of this tituntion had
been considered IL was agreed that the
country is absolutely sound financial
Iy. These eminent financicrs from all
sections of the country went nome de
termned 10 be more active Than eyei
before in preaching the gospel of saw
ing and of greater production.
Earls Efforts Of Great Poets