The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1920-11-29
CAPITAL, A FUGITIVE.

If n citizen be charged with a crime Justly
or unjustly. and conditions are such that he
fears for his safety, no becomes n fugitive,
Two effects follow this; The ranks of pro-
duccrs are reduced TO tho precise extent that
there are fugiuves: the demand on the produc-
uvity OF others Ia increased in like proportions
Capital liz now fugitive--is seeking 10
avoid tho tax gatherers who arc searching for
It everywhere In productive enterprise for the
purpose of laying unjust, inequitabic ana un-
scientific toll upon 1t. 1t has sought and is
seeking sanctuary In tax exempt securities even
though they be IA low order of profit bearing
Investment
Two effects have been noticeable for
some time and are becoming increasingly
noticeable; Capital for productive onter-
prise is becoming difficult TO secure and
can be had at all only by paying a rate siffi-
ciently high to offset the toll demanded by the
tax gatherers on all capital 80 employed, and
capital hitherto employed In productive enter
prises is constantly demanding release that IL
may find sanctuary in investments OF a non
taxable nature
There Is ttlo doubt that IL tho war sscuri-
ties OF the governpont were nontaxabie they
would be quoted at par today.
Here we have a very simple and easily under
stood cause for some OF tho difficulties we are
experiencing as a nation. Our government
structure and our government practices are un-
sound from tho standpoint OF accepted ocono-
mics.
win n taxman standing at every approach
and every egrcss, YOU not going to with
draw your funds from nonproducuvo Invest
ment. even though It Is OF low interest rate,
and invest In productive enterprise no mat
ter what Its prospect or potential dividend rate
may be. All the laws that men might enact
cannot keep money at such "A task under such
circumstances. No moro than could productive
enterprise have been maintained in the days OF
fcudalism when property was only as secure as
the armed force OF the overlord who claimed
ownership,
II IN not evidence contrary to this argument
but evidence In support OF IL 10 point out that
oaptai did for season continue in production
after the incongruous taxation system has bee n
set In motion. Because tho reason IL apparent
and easily understood by the most unsophls'i .
Gated. Prices Immediately lowered until they
had attained "a point whore unusual demands
made on overhead by the 1axtlon system could
be met and an acceptable profit still retained
Labor demanded and received n higher wage
and the pyramid process continued until at last
the purchasing public, driven to an extremity
stopped buying But the taxgatherers went
nerriy on about their business Of lcvyng toll
There being no way whereby tho excessive toll
could be passed on TO the purchasers capital
sought sanctuary. That Is the whole Of IT,
That is why revision Of the atrocious taxation
sysem-a spreadng OF the public debt over a
long period OF years enabling the government
20 reduce its tax demands is imperatiyely necos-
| sary before a secure readjustment OF the indus
| trial and financial system IL possible.
Such legislation should bo the very first the
new congre,s undertakes, after IL has officially
declared the war al AN end and Withdrawn from
the executive department the war authority
| temporarily vested there