New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1920-05-18

among the European countries to the
greatest advantage after it has been
collected.
the excess profits tax But its repeal
"A part of the task before us is,
therefore, to show the American peo-
pie that the restoration of Europe is
a matter of great Importance to our
selves, and that such restorationis pos
Sibe only in so far as we greatly re-
strict our own consumption and make
available to Europe large part of
our savings.
I'm view of the large need for funds
in developing our own resources, and
in view also of our relative ignorance
of and lack Of interest IN foreign
investment, the task ahead of US is
one Of no mean dimensions. But the
task must be essayed and every
thoughtful and studious American
must contribute directly whatever he
can, and he must assist indirectly by
helping his compatriots understand the
situation.
Our domestic credit structure must
be carefully safeguarded. During the
means Of forcing the productive re-
sources of the country into channels
OF war production. Since the armistice
that imitation has not been stopped and
The present relation between basic gold
reserves and superimposed credit is
one that should not be allowed to be
further weakened through further
credit expansion Dehation rather
than imitation must now be undertaken.
Considering, however, the difficulties
likely to result from q violent dis
turbance of prices, the process of de-
pletion need not be artiticially stimu-
L. ont Nov.
rowing and the payment of short-time
obligations through the income tax in
stallments viii help the process
naturally.
'In short. an analysis of the present
situation demands help to Europe,
curtalment of further expansion at
home and safeguarding of our basic
gold standard.
"Whle the labor situation is one
that does not strictly come within the
field of banking and finance, yet the
fact remains that the interdependence
Of the different classes in the economic
system requires the banker TO have
regard for the financial aspects of the
labor question. Here a purely objcc-
! tive consideration leads him to the
conclusion that broad gauge attitude
is essential The cordial cooperation
OF IdDOT III production 10 ii VI iHS iictu
but it must be recognized that such CO.
operation can only be won, not forced
The report was signed by i. c
Schwedtman, John L. Rovensky and
Harry Lawton.
The committee on taxation reported
on the general question of federal tax
alton. 1t asserted that the prohibi-
/ ton amendment deprives the govern
ment Of $500 100000 year in revenue
This, the committee said, demands 8
revision of schedules to provide reve-
nue. to replace this deficit.
The committee declared the manu-
facturers were opposed to the excess
profits tax as a levy that discourageS
new ventures and confirms monopolies
The report demanded the substitution
of a general tax on sales.
The report, in part said:
"The economic welfare of the coun
try demands an immediate repeal o
the excess profits tax. But its repea
\ demands also that satisfactory sub
stitute be found. This substitute Ia,
must have certain specific advantage
of a just and useful tax to RECOMMEND
it at this time. 1t must produce ade
quate revenue, must be easily admin
istered, must be inexpensive, must i'm
; pose no unnecessary burdens anywhere