New-York tribune., 1920-06-11


like administration of the national
finances: and we condemn the veto of
the President which defeated this
great financial reform.
Reorganization of Federal De-
partments and Bureaus
We advocate thorough investiga-
ton of the present organization of the
Federal departments and bureaus,
with view to securing consolidation,
more business-likc distribution Of
functions, the elimination Of duplica-
tion, delays and overlapping of work
and the establishment of an up-to- date
and efficient administrative organiza-
ton.
War Powers of the President
Taxation
The President clings tenaciously to
his autocratic wartime powers.
His veto of the resolution declaring
peace and his refusal to sign the bill
repeating wartime legislation, no
longer necessary, evidence his deter
mination not to restore to the nation
and to the states the form of govern
ment provided for by the Constitution.
This usurpation is intolerable and de-
serves the severest condemnation.
Taxation
The burden of taxation imposed
| upon the American people is stagger
ing. But in presenting a true state
ment of the situation we must face the
fact that, while the character Of the
taxes can and should be changed, an
early reduction Of the amount of rev.
enue to be raised is not to be eX-
pected.
The next Republican administration
will inherit from its Democratic prede-
cessor floating Indebtedness of over
So GOO, 900, the prompt liquidation of
which is demanded by sound financial
considerations. Moreover, the whole
fiscal policy of the government must be
deeply influenced by the necessity of
meeting obligations in excess of $5,-
00,O00,000 which mature in 1923. But
sound policy equally demands the early
accomplishment Of that real reduction
OF the tax burden which may be
achieved by substituting simple for
complex tax laws and procedure,
prompt and certain determination of
the tax liability for delay and un-
certainty, tax laws which do not for
tax laws which do excessively mulct
the consumer or needlessly repress en-
terprise 2nd thrift.
We ad> ocate the issuance of asin-
! plited form of income return, author
lzing the Treasury Department to make
changes in regulations effective only
from the date of their approval, en-
powering the Commissioner of Internal
Revenue, with the consent of the tax
payer, to make final and conclusive set
Elements OF tax claims and assessments
barring fraud and the creation of a tax
board consisting of at least three repre-
nentativcs OF the taXpaying public and
the heads of the principal divisions of
the Bureau of Internal Revenue to act
as standing committee on the simpli-
ilcatlon OF forms, procedure and law
ana to make recommendations to the
j Congress.
Barking and Currency
The factis that the war, to great
/ flation through certificate borrowing
from the banks, and bonds issued at
artificial rates sustained by the low
discount rates established by the Fed
! eral Reserve Board. The continuance
or TINS policy since the armistice lays
the Administration open to severe
criticism. Almost up to the present
time, the practices Of the Federal Re-
serve Board as to crecit control have
been frankly dominated by the con-
veniencc of the Treasury
The results have been greatly in
creased war cost, a serious loss to the
millions Of people who in good faith
bought Liberty Bonds Victory Notes
at par, and extensive postwar specu-
lation, followed to-day by a restricted
credit for legitimate industrial expan-
sion. AS matter of public policy we
urge all banks to give credit pref
erence to essential industries.
The Federal Reserve system should
be free from political influence, which
is quite as important as its indie
pendencc Of domination by financial
combinations.
The High Cost of Living
The prime cause of the "hieh cost
Of living" has been first and foremost
so per cent depreciation in the pur-
chasing power Of the dollar, due to
! gross expansion Of our currency and
credit. Reduced production, burden
some taxation, swollen profits and the
/ increased demand for goods arising
from fictitious but enlarged buying
power have been contributing causes
III greater or less degree.
We condemn the unsound policies of
the DEMOCRATIC Administration which
have brought these things to pass and
their attempts to impute the conse-
causes. Much of the injury wrought
IS irreparable. There is no short way
out, and we decline to deceive the peo-
| pie with vain promises or quack rom
edies. But as the political party that
throughout its history has stood for
| honest money and sound finance, we
! pledge ourselves to earnest and cor
sistent attack upon the high cost of
living by rigorous avoidance of further
!A'iatlon In our government borrowing,
1 by courageous and intelligent delta
tlon of over expanded credit and cur
rency, by encouragement of heightened
production of goods and services, by
prevention of unreasonable profits. by
exercise OF public economy and stimu-
lation of private thrift and by revision
OF war-imposed taxes unsuited to peace
time economy.
Prolitcering
w condemn the Democratic Admin
istratlon for failure impartally to en-
force the anti-profteering laws enacted
by the Republican Congress.
Railroads
We are opposed to government own
crshlp and operation or employee oper-
alton of the railroads. In the view Of
the condition prevailing in the country
the expenditures of the last two wears
and the conclusions which may be
| ihlrly drawn from mn observation Of