Fulton County tribune. (Wauseon, Ohio) 1883-1925, 1920-10-29
us. EXPENSES TO
Be FOUR BILLIONS
Houston Estimates Cost to Run
Government During Next
Fiscal Year.
GIVES TREASURY'S PROGRAM
Appeals for "strletest Economy Not
Only In Our Expenditure, Federal,
State, County and Municipal, but
Also by Thrift Of People"

Washington. Oct. 22.-Government
expenditures Of $4.000,OO0,OOO during
the next fiscal year were forecast by
Secretary Houston of the Treasury de-
partment in a speech before the Amer
lean Bankers association.
The secretary outlined the treas
ury's program for handling the war
debt, liquidation Of which, he SAID,
must go on steadily in order that final
redemption be accomplished without
disturbance to national life.
He appealed for "the strictest econ
omy not only In our expenditures, fed
eral, state, county and municipal, but
also by thrift on the part Of our peo-
pie" adding that the program necessi-
tated the maintenance Of taxation
after this fiscal year on a level Of not
Less than $4.000.0Oo,Oo0 annually"
Mr.. Houston predicted rapid reduc-
tion In the gross national debt through
the coming year, particularly the 81
85O,OO0,000 short-term certificates out
standing. The treasury program, he
added, would result in reducing this
below $2,OOOO00,0O0 and perhaps to
$500, 100000.
@y the end of the fiscal year 1922,
Mr.. Houston declared, the treasury
should have redeemed its entire "foat-
ang debt" or the short-term certificates,
when the Victcry notes maturing the
next year would become practically the
Floating debt" and probably be ac-
cepted in payment Of federal taxes.
Turning to the demands Of agricul-
fural interests for government help,
Mr.. Houston said that scarcely had
a reduction In the cost Of living mani
Tested itself when every producer man
fested resistance"
Every producer Is willing for the
products of every other producer to
decline, but protests the decline Of his
own," he continued. "There is much
human nature in this, but not much
reasonableness."
A proposal for the organization Of
S100,000,000 corporation for foreign
trade financing under auspices Of the
American Bankers association was
put before the annual convention By
its committee on commerce and ma
rine.
By cooperating with merchants,
manufacturers, exporters and produc-
ers, the report said, and taking advan-
tage Of the Edge law, the corporation
could Issue a billion dollars in deben-
ture bonds for sale in the United States
and the extension credits abroad.
John McHugh, chairman Of the COM
mittee, presented the report, which
recommended steps to put the corpora
ton into business operation by Janu-
airy 1, and solicitation Of subscriptions
to its capital stock from the public.
I'VE recommend the organization un-
der plan Of large corporation as
preferable 10 smaller one," the re-
port said, because It will attract the
best expert talent, win have the eff
cheney attaching to large organization,
will give the utmost protection to the
investor and viii readily create a mar
ket for its debentures by Its avowed
purpose of creating thrift"
The report said the economic future
of the United States was bound ND in
the future Of our trade relations with
other peoples"
Under existing conditions, It added.
manufacturers, unable to grant for
eign customers credit necessary to con-
tinuing foreign purchase, have been
forced to restrict their activities in
the foreign field"
"Under the Edge law such a cor
poration as contemplated would be
permitted to issue debentures aIainst
foreign securities carefully purchased
by IL to the amount Of ten times its
capital, so that 1t would have a maxi
mum ability financially Of about a
billion dollars" the report said.
II was further suggested that the
corporation directorate be made nm
from similar geographical areas 10
those Of the federal reserve bank dis
tr1cts.
The committee said It was Satisfied
such a corporation would be success.
fu1 from a financial standpoint, and
would be a potent influence in pro.
noting thrift and production" In the
United States.