Every evening, Wilmington daily commercial., 1920-10-20
SPEND FOUR BILLION
IN NEXT FISCAL YEAR
Governments Expenses Forecast
by Secretary Houston in Ad-
dress to Bankers.
nv Associated Press TO Every Evoping

BY Associated Press 10 Every Eso'hns
Washington, Oct. 20. Government cx-
penditurcs of four billion dollars during the
next fiscal year were forecast by Secretary
Houston of the treasury department.,
today, in an address before the con7en-
ton Of the American Bankers Assoc'a-
ton.
The Secretary outlined the treasurys
pro ram for handling the war debt,
iiuuidation of which, he said, must 60 on
steadily in order that final redemption
be accomplished without disturbance TO
national life. He appealed for the
strictest economy not only in our expendi-
lures, federal, State county and NUM-
cipal, but also by thrift on the part OF Our
people" adding that the program necessi-
tated the maintenance OF taxation aitor
this fiscal year on a level OF not less than
81 ,OOO, 100000 annually.
IL et me make this point clear: In say
ing that the aggregate receipts Tor the
government be maintained at hgh level
for the purposes Indicated, Am by no
means committing myself TO existing
schedules or to specific taxes, ne con-
tinued IL think II OF urgent Importance
that there be prompt restrvey of the
| situation with view TO reform Oh 'hs
| taxes. to the wiping out of inequities ana
revenue which may not be realized IL the
| present system remains intact.
MIR. Houston predicted rapid reduction
in the gross national debt through the
coming year, particularly the S2,35O,oo
! 600 short term certificates outstanding.
By the end of the fiscal year l922, he
declared. the treasury should have re-
| deemed its entire floating debt, or the
| short term certificates, when the victory
notes maturing the next year would be-
como practically the floating debt and
probablv be accepted IN payment oftcdera'
taxes
Turning to the demands of agricultural
interests for government help Mr.. Hous'
ton said that scarcely had . reduction
in the cost of living manifested itself wher
every producer manifested resistance.
"Fvery producer is willing for the prod
ucts of every other producer To decline
but protests the decline IN his own, n
said. There is much human nature IN TINS
but not much reasonableness.
This situation rs the result maln'
Of war and in no small measure the faIlur'
Of this nation and nations everywhere q
date 10 devise better arrangements 10
storage and marketing of farm products.
''Ip the circumstances it seems to som
farmers that they are in the way Of belnI
hit first If not exclusively. The hrst I'm
p,,lse Of many who are searching for Tn
wav out is 10 turn 90 the government am
especiaIlv to the treasury as the sol
instr,imentality for fun economic saliva
, ton
at is this disposition rather than sci
agprandizing efforts Of federal depart
, nents 70 extend functions which IS tn
main explanation Of mounting feeders
, budgets and of centralizing tendencie
: frequently criticised.
oIf there is a fault, and think there !
| the blame rests largely with the publl
which remains auiescent while lntereste
groups are elanorous.
A proposal to organize a slOO,W,oo
corporation for foreign trade tnancan
under the auspices OF the Amer
, can Bankers Association was ~
| before the convention today by 4
committee on commerce and marine. %
co-operating with merchants, manu-ia'
tlrrers, exporters and producers, u
# report said. and taking advantage OF Il
Edge law. the corporation could Isst
A billion dollars in debenture bonds Il
sale in the United States and the extel
sion of credits abroad. John McHug'
chairman of the committee, presentt
the TeDNE aEAEtAA AtNbAAiAAtNiAoN 80
! MT the corporation into business oper
= ton BY January /.
The report said the economic future
'Te the United States was bound up IN .
u future of our trade relations with 9th
Z peoples =
h Under the Edge law such corporatl
I, as contemplated would be permitted to
sue debentures against foreign secu
,,s ties carefully purchased by it to I
a amount OF ten times its capital SO I'll
4 il would have a maximum ability flna
4 ciaIlv of about one billion dollars, t
+ report said.