The Clio messenger. (Clio, Mich.) 1907-current, 1920-07-22
achieved under the broad visioued lead
ership of the president
Financial Achievements.


BY the enactment OF the federsl re-
serve act the old system. which bred
pdnics. was replaced by a new system.
which insured confidence. IL was an
indispensable factor in winning the
war and today IL is the hope and
inspiration OF business. Indeed. one
vital danger against which the Ameri-
can people should keep constantly on
guard is the commitment OF this sYs-
tenn its partisan enemies who struggled
against Its adoption and Yatnly at
tempted TO retain in the hands of
speculative bankers a monopoly OF the
currency and credits OF the nation
Under Democratic leadership the
American people successfully financed
thelr stupennous part in the greatest
war ~ all time. The treasury wisely
insisted during the war upon meeting
an adequate portion OF the war ex-
penditure from current taxes and the
bulk OF the balance from popular
loans. and, during the first full fiscal
year after fighting stopped, upon meet
receipts Notwithstanding the new and
unnecessary burdens thrown upon the
treasury by the delay. obstruction and
extravaganza of Republican con-
The nonpartisan federal reserve au-
tthorittes have been wholly free OF po-
!itlcal interference or motive; and In
their own time and their own way,
nave used courageously, though eau
tiously, the instruments 1T their dis
posal 10 prevent undue expansion OF
As "A result of these sound treasury
and federal reserve policies. the incvt-
table war In tio1 has been held down
TO n minimum. and the cost of living
has been prevented from increasing
here in proportion 10 the increase in
other oelligerent countries and In neu-
trial countries which are in close coz
tact with the worlds commerce and
exchanges
After a year and half OF lighting
in Europe and DESPITE another Year
n nf ~ n ,.1.g stf.Nt.
at home, the credit 81 the goVernmcnt
OF the United states stands ani'n-
paired. the federal reserve note 10 the
unit OF value throughout the world
and the United States il the one gr,nt
country In the world which ma nta MS
a free gold market
We condemn the attempt OF the l'"-
publican party TO deprive the Am -
can people of their legitimate pride ia
the financing of the war--an achtcr".
mant without parallel In the fuan. ill
history of this or amy other counirr
IN THIS or any other war. And. in par
tcular we condemn The pernicious at
tempt of the Republican party to Gre
ate discomfort among the holders Of
the bonds OF the government OF the
United States and L. drag our pubic
nnance and our banking and currency
Tax Revision.
The Republican congress persistentlv
failed. through sheer political coward
ltf, TO maxi Il Single move Toward
readjustment of tax laws which it
denounced before the last election and
was afraid to revise before the next
election
We advocate tax reform and
searching revision Of the war rev en- Le
acts to lit peace conditions so TINT TIE
wealth OF the nation may not be with,
drawn from productive enterprise and
diverted to wasteful or nonproductive
enterprise.
We d"mond prompt action by the
no or nit4fA NssV
OF existing taxes and their modifica-
lions and simplitication with a view to
secure greater equity and justice i'm
tax burden and improvement in ad-
Public Economy
Claiming to have effected great econ
omies in government expenditures. the
Republican party cannot show the re-
duction of one dollar in taxation as a
corollary OF this false pretense. In
contrast. the last Democratic congress
enacted Legislation reducing taxes from
IS. 600, 000. 000 designed to be raised TO
Sc. 900. 100000 for the first year after
the armistice. and to $4,000 100000
thereafter; and there the. total is left
uudiminished by our political adver-
saries. Two years after armistice day
a Republican congress provides for ex-
pending the stupendous sum of s5.403.-
39o,327.30.
Affecting great paper economies by
reducing departmental estimates of
sums which would not have been spent
in any event. and by reducing formal
appropriations. the Republican state
ment Of expenditures omits the prog
nant fact that congress AUTHORIZED the
use OF s1.500.c00.000 in the hands OF
which otherwise would have been COW
cred into the treasury. and which
should be added TO the Republican to-
tai of expenditures.
High Cost Of Living.
The high cost OF living and the de-
"a nj N n
try are primarily due to war itself. to
the necessary governmental experdi-
lures for the destructive purposes OF
war. to private extrava gance. to the
world shortage OF capital. to the in
hation OF foreign currencies and cred
it's and in large degree. to conscience
The Republican party is responsible
for the failure to restore peace and
peace conditions in Europe; which Is
imitation the world over. 1t has de-
nicd the demand OF the president for
necessary legislation to deal with sec
policies pursued by the treasury and
the federal reserve system have lin
tied in this country. though they. could
not prevent. the imitation which was
world wide. Elected upon specific
promises TO curtail public expendi-
lures and to bring the country back
TO status OF effective economy. the
Republican party. in congress wasted
time and energy for more than a year
in vain and extrava giant investiga-
tions, costing the taxpayers great
sums of money while revealing moth
Ing beyond the incapacity OF Republic
ran politicians TO cope with the prob
lens.
Demanding that the president. from
his place at the peace table call the
congress into extraordinary session
for imperative purposes of readjust-
ment the congress when convened
spent thirteen months in partisan pur-
suits falling to repeal a single war
statute which harassed business or TO
initiate a single constructive measure
10 help business.
II busted itself making a pre-elec-
ION record OF pretended thrift. having
not one particle OF substantial exist
,nce in fact. IL ragged against profits
GERS and the high cost of living without
,nacting "A single statute to make the
'ormer afraid or doing single act TO
DrinR the latter within limitations.
The simple truth is that the high cost
" living can Only be remedied by in
,reased production, strict governmental
economy and n relentless pursuit OF those
-aking advantage of postwar conditions
md are demanding and receiving outra-
geous profits.
we pledge the Democratic party 10 a
policy OF strict economy IN governmental
and TO the enactment and
enforcement OF such legislation may
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