The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1921-07-12
TELLS SENATE
EXPENSES MUST
Be CURTAILED
President Says Nation is Inn
perilled Unless it Reduces
Taxes
REFERS TO DISABLED
Says That Nation Owes First
nntv ~ nioo h1od ond Will
REFERS TO DISABLED
Says That Nation Owes First
Duty to Disabled and Will
Not Neglect Them

NOt Neglect Inem
Washington, July 12.-Enact-
ment at the present moment of
adjusted compensation legisla-
tion for veterans of the world
war would greatly imper-
ial the financial stabil-
ity of our country" Pres
ident Harding told the SEN
ate today in the second address
he has made to that body during
his administration.
Every obligation is to the dis
abled and dependent, the Presi-
dent said, and the executive
branch owed it to the country
frankly to state the difficulties
we daily are called upon to meet
and the added peril this measure
would bring"
This menacing effort to expend bill
lions in gratuities will imperil our
ability to discharge our first obliga-
ton to those we must not fail to aid"
he said.
World Depression Exists. ,...
"Our land has its share of the finan-
cial chaos and industrial depression
of the world" the president said. I'VE
little needed the growth of indebted.
ness or the limit of expenditure dur
ing the war because we could not stop
to count the cost. Our one thought
then was the winning of the war and
the survival of the nation"
After four-months survey of con-
ditions (which would stagger all of us
were it not for our abiding faith in
America the president said he was
fully persuaded that three things
were essential to restoration"
"These are" he continued:
,,,,,....t. tt.Reyisioa Including reduction Of
our internal taxation, the refund.
ing OF our war debt and the I'D.
justment Of our foreign loans"
1t is vitality necessary to settle these
problems before adding to our treas,
ury any such burden as is contemplat
ed in the pending soldier bonus bill.
Mr.. Harding said it was "unthink-
able to expect business revival whiie
maintaining the excessive taxes OF
war" and quite as unthinkable to re-
duce the tax burden while committing
the treasury to additional obligations
ranging from three to five billion
dollars"
Says Debt Would Stagger. ~
1.-THE precise figures no one can
give" he said. "If it is conceivably
true that only $2OO,0OO,OO0 will he
drawn annually from the treasury in
the few years Immediately before us
the bestowal is too inconveiveable to be
of real value to the nations defenders:
and if the exercise of the action should
call for cash running into billions the
depression in finance and industry
would be so marked that vastly more
harm than good would attend"
"No government fiat will pay our
bills" the president said. "The ex-
changes of the world testify today to
that erroneous theory"
Mr.. Harding pointed out that the
government now was, obliged to pay
S "a per cent interest on short time
loans that definite obligations Of seven
and one-half billions are to mature
within two years following.
~Overburdening Of the treasury
now means positive disaster In
years Immediately before u.s." he
said. "Mere prudence calls out In
warning."
Trying to Reduce Cost.
! The executive branch, he said, was
driving toward that decreased ex.
penditure which Is tile most practica!
assurance of diminished taxation"
81 can make you no definite prom
ise in figures today" he said, "but
can pledge you a most conscientious
drive to reduce government costs by
many millions. 1t would be most di
couraging to those who are bending
their energies to save millions to have
Congress add burden to our burdens
at the very beginning.
"The president said that while ths
United States participated lin none Of
Lne ulSJTlDuLdDlc dWdIuo VI LAc wal
the world loves heavily and will pa,
when restoration is wrought
IF the restoration fails world bank
ruptcy attends" he says.
Mr.. Harding said he would not urge
recommitment of the compensation
bill to committee if it "bore the meres
suggestion of neglect of a hint of ma
tional ingratitude."
Some OF Things Done,
He recapitulated some of the thing
which have been done for the veter
ans" saying that more than 700,O0'
claims had been adjudicated by tn
1 war risk insurance bureau to July
D at an expenditure of $47l,946, ,762
4 Nearly 100000 applications for medica
( examination had been received, IN,
E less than $4,000 awaited medical eN
animation while on July Z, 26,237 dis
s abled soldiers had been "hospitalized
: in government hospitals which con
8 tained 5000 unoccupied beds. In all
: dition, Mr. Harding said, more thai
r $500, 100000 had been paid out in a!
8 lotments and allowances and nearl
fContinno6 IN paUn CivN