The Birmingham age-herald., 1920-08-08

James Mid
 economy everywhere national taxes
 be reduced in excess of two
 billion dollars yearly. Annoying
 consumption tnxes, once willingly
 borne, now unjustified, should be
 repealed.
 The incomes from war-made for tunes. those of non-producers and those derived from industries that exist by unfair privilegc may be able to carry their present load. but taxes on the earnings of the wage-earner, of the salaried and professional man, of the agricultural producer and of the small tradesman should be sharply modified.
 believe thnt n better form of
 taxation than the so-caI1ed excess
 profits tax may be found and sug-
 gest a small tax, probably one to
 one and one-hnlf per cent the
 total business of every going con-
 cern.
 It is to be understood that the term "business" as used does not include income received by wageearners, salaried men, agriculturists and the small business man who should be exempt from this tax. The .profiteer and some of the highly capitalized units have used the excess profits tax as a favorite excuse for loading on the consumer by means of highly in- Hated selling prices many times the amount actually paid the government A necessary condition to the national contentment and sound business is q just proportion between fair profits to business and fair prices to the con sumer.
 CREDIT EXPANSION
 It is unquestioned that the enormous expansion of public and private credit made necessary as a part Of war | financing the diversion of the products of many ind les from their | usual channels, as well as the disturbance to general u 1 n s ! caused by the withdrawal of millions 1 of men from producing fields, all con 1 tributed to the rise in prices. Rever- 1 sion of these various agencies to a | more stable condition will tend toward a recession in the enormously inflated 1 present prices of many commodities | and property values and there are now | evidences that sane adjustment is | not far distant. Deep patriotic sentl- | ment >enthralled our people during the l war and slight attention was given to | the enormous economic changes that were then in progress and when op i served these changes were generally | accepted as one of the trials necessary 1 to, be endured and they were subnerged l in the thought and purpose for victory l While millions of free men, regardless | of wealth or condition, were giving oi | their blood and substance, many cor 1 porations and men seized the very l hour that civilization lay postrate tt 1 secure for themselves fortunes wrung ] from the public and from the govern l ment by the levying of prices that In ! many eases were crime. Under pres | ent taxation laws much capital Is l drawing out of industry and findins l investment in non-taxable securities 1 This will cease if the changes sug- 1 gested are made.
 TWO KINDS OF THINKING ! Tn the analysis of government, as the events of today enable us to penetrate 1 the subject, we see the difference be- l tween the old and the progressive i kinds of thinking. The beliefs Of the | reactionaries is that government should 1 not function more widely than It olo l in the past but they seem to forge' ! that the fundamental of our plan IS l equal rights for all and special privi- 1 leges for none. Modern lire mas deV- 1 eloped new problems, Civilization con | tinues to build along the same basie | | disposed to be. the fact remains tha, | axcant for the exchange of products | hatween individuals, commercial units 1 and nations. our development would DC s,ow All of this growth goes on uh- l der the protection of and with the Sh' i commencement of government The ieas' l therefore. that might be rendered unte 1 povernment for this continuous serVice Is a policy of fair-dealing. TO otten tnt 1 genius of man prompts him 10 pias | for government advantage ana tne I success which has been acs<eveo II this particular, has led to the iorma tion of groups whicn sech .ni' advantage. We are busy people, pre- occunied in too large degree witf nurelv commercial considerations, ant we have not recognized as we should that the failure of government to pre-
 vent ineuualities has made 1t possible | for mischievous spirits to deveioI l pretudice against the institutions O rovernment rather than against ad ministrative policy. There is a yer, important difference here
 l PROFITEERING NOT NEW This difference bears directly or I profiteering. which is today the mos sinister influence in American iiie. |. not a new thing in America. Th'
 
 wraer inc fayoring circumstances o war. For years large contributions have been made to the republican cam ! paign fund for no purpose except t' buy a governmental underhold, and t' | make illegal profits as the result, 0
 preference. Such largesses are today greater menace to our contertment an' our institutions than the countless temporary profiteers who are makinf a mockery of honest business. but wh' | can live and faten only In time of dis turbed prices. If I am called to ser
 vice as president means will be found if they do not already exist. for com
 relIinr these exceptions to the grea
 mass of square dealing American bust
 ness men. to use the same yardstick O
 honesty that governs most of us in ou
 dealings with our fellowmen.. or il
 language that they may understand
 to suffer the penalty of criminal law
 EXPECT TO GAIN .
 There is another reason for the fab lulous contributions to the present re I publican fund. Much money. of colrss