New-York tribune., 1920-02-20


absolutely useless. and when his er-
ror can be discovered by nothing short
of an investigating committee and
cross-cxamining counsel.
effective economy requires co6pera-
tion between tho executive and legis-
Iative branches. 1t requires courage
and sense Of public duty to resist ap-
peals, and 1t requires open public in
sistence, declaration of the policy in
aid Of that resistance.
System of Taxation
In Need of Revision
"a third thing that can be done is
to revise the system of taxation, and to
make some serious changes in it in
dcated by experience of it's effects.
ut is very difficult thing TO make
good tax law, even with the most sim
cere purpose to distribute the burden
fairly; but, If the men who mako the
law have other purposes, and are in
spired by q desire to punish somebody
by the imposition of taxes, they are sure
to get into their law provisions which
work badly.
"The men who framed the revenue
laws OF the Gath and 65th Congresses
did not conceal the fact that they looked
with suspicion and dislike upon the
great body of successful business con-
Germs Of the United States, and upon
conducted them, and that they meant
to take away as much of these mems
money as they possibly could.
"Now, tax laws are curious boone
rang-hke things, and it requires some
intelligence and knowledge of affairs to
know where they are going to strike.
No statute can determine who is really
going to pay q tax. The most danger
Gus post is that Of the innocent by
stander who goes home grumbling about
the high cost of living.
at is time for the Republican by
stander to ascertain how far these war
the cost of living by everybody who
eats and wears clothes. Let him dis
cover how far the excess profits taxes,
for example, are being added to cost,
like other business expenses, so that
we all pay them together with q profit
on them, and then let him act,
"The review of taxation will involve
the tariff. In this, new conditions are
to be considered. Before the war we
were debtor nation, paying annually
interest and dividends upon from four
to seven billions of American sccuri-
ties held in Europe, paying hundreds
of millions upon letters of credit to
American travellers and in tho remit
tances of recent immigrants to their
friends at home, and in freight and
passenger rates upon commerce both
way across the ocean, and we were
much pleased to have a favorable
trade balance which reduced the amount
of gold drained away from us in these
ways.
"All this has been changed. The
United States has become great cred
itor nation. Our debts to Europe have
been paid. Europe does not merely
owe the billions loaned by our govern
ment to European governments, or the
hundreds of millions>of foreign securi-
ties sold in the American market; but
the exhaustion of European supplies
of the necessaries of life and the raw
material for manufacture has led to
enormous purchases and exports of
American products during the past
three years.
New Tariff Needed
To Meet New Problems
"All these things 1.ave to be paid
for. There is not gold enough in the
world to pay, and we already have q
very large proportion of what gold
there is. That is one reason why ex-
change has gone down.. so that pound
ordinarily worth S4.86 in American
money was few days ago worth only
$3.37.
"The only way in which Europe can
pay America and continue to buy from
America is by producing goods and
selling them. Thus, we have acquired
an interest in the prosperity of Eu-
rope. 1t is our interest to facilitate
her production and trade Just as a
merchant is interested in the prosperity
Of the customers to whom he sells on
credit.
"Our new tariff law must be framed
to meet the new and difficult problems
presented by this change Of conditions.
1t must be framed SO that American
industry will not be ruined, especially
so that the manufacture of things
which the war has shown to be neces-
sary for the independence of the coun-
try shall not be stopped, and it must
be framed so as not to destroy the
export trade of Europe, which directly
or indirectly will enable Europe to pay
her debts and remain solvent
Cali these things, if done well. must
be done by parry which really sym
pathizes with American business and
wishes it to prosper.
More important than all is the
necessity that we shall restore our
republican form of government, with
the liberty of the individual citizen
preserved by limitations upon official
power, and put an end to the dictator
ship which we created in order to
carry on the war.
"By series of statutes unprecedent-
ed in scope and liberality, with single
ness of purpose and patriotic devotion
worthy Of all praise, the American peo-
pie conferred upon the President pow
ers broader and more autocratic than
were possessed by any sovereign in
the civilized world.
"Our capacity for effort, our for
tunes, our liberty of conduct, our lives
were freely placed at the disposal of
an Executive whose authority was so
vast that its limits were imperceptible
The authority was exercised by the
President, by his heads of departments,
his bureau chiefs, his government
agents and his personal agents to the
full, without question, because the pco-
pie of America were ready for any sac
rfice to win the war.
Strip the Executive
OF His War Powers
peace has come in fact, if not tech
nically, but the war powers of the Ex-
ecutive still continue They should be
brought to an end, 1t is not simple
thiOU for pew conditions bovo boo,,