The evening world. [volume] (New York, N.Y.) 1887-1931, 1921-07-14
AVS MOVEMENT is LACKING
IN LEADERSHIP.

IN LEADERSHIP.
Sentiment for a revenue first pol
Icy is overwhelming in the Senate
he said. but the movement to drop
the tariff as yet lacks leadership and
definite direction Also II has not
been decided what method shall be
employed in bringing up tax revis-
ion for discussion, in view OF the re-
quirements that revenue bills shall
originate in the House. 1t may be
done by the Introduction OF a bill to
repeal the excess profits tax. This
would bring the subject before the
Senate and open the way to general
debate on revenue revision.
THAT, or some other method. will
be followed whei. the time comes. 1t
Is possible. OF course, that the House
will get the revenue bill over to the
Senate sooner than anticipated, in
which event believe the tariff would
be dropped at once and a new tax bill
reported by the Finance Committee"
Senator Watson OF Indiana, n mem
Der OF the Finance Committee and a.
protege of Penrose, Is actively aiding
the movement. Penrose himself. as
Chairman of the committee, Is rep
resented as acquiescing in the plan,
but refusing to assume the RESPONSE
bility for putting II into effect This
attitude is readily understood by col
leagues, who recall that he returned
to Washington after a years absence
determined to revise taxes before
anything else. that he tried to per-
suade Congress to take up the tax
measure before the permanent tariff.
and that each time he was reversed
by the insistence of the So called
"afragarian bloc" in the Senate and
House. supported by President
Harding. on a high tariff revision.
FEAR EFFECTS OF BILL ON
THEIR FUTURES.
Many OF these same Senators, who
formerly looked to the tariff as the
guide to Republican salvation, are
now convinced that 1t could easily
lead them to other than the promised
land. They have gradually reached
this decision, partly because OF crit
icism of the Fordney bill. but more
particularly because no one has been
able to say exactly what the measure
will do in actual practice.
Opinions expressed by competent
economists and experts have raised
doubts in Senatorial minds as to the
effect of the Fordney bill on foreign
trade, the effect of any prohibitlve
tariff policy on the collection of
Americas foreign loans. its general
effect on business and industry, and
it's value to the country as a whole
in view OF the unsettlement OF cred
its, exchange and kindred problems
arising from the war.
Then there Is the always present
fear that high tariff law would IN
crease the cost OF living in the face
OF deflation in the labor market
! iIlanppa In Industry
imposing a double hardship on mil
lions of people dependent on daily
| or weekly wage for their existence.
Between this haunting fear and the
other economic considerations. the
tariff has grown increasingly unpop-
uiar with conservatives in Congress,
both as u party policy and an imme-
diate issue.
PRESIDENT HARplNo's STAND
HELPS OUT.
President Harding's expressed dis
appointment over the slowness OF
revenue revision is stimulating this
group to renewed activity against the
tariff. They also have the argument
of the Presidents opposition to the
oil schedule, OF general dissatisfaction
over the Fordney lumber schedule
drawn in the interest OF minority
OF the lumber producers, the in
evitable Joker in schedule X, which
gives more protection to manufac-
turers than to wool producers, and Il
innumerable other items in the bill
as reported to the House, and nov
under debate.
II Is realized that the tariff bill
would have to be almost completely
rewritten by the Finance Committed
and the Senate after weeks OF ad
ditional hearings before anything ap'
proximating satisfactory measure
from an economic and party view
point could he given 10 the country
And even then II il admitted the bill
would be a combination OF patch,
work and guesswork. loaded to tn,
muzzle with possibilities OF part!
disaster.
All these reasons have contributed
10 the Senate's present state OF mind
and there Is every likelihood tina
President Harding. having used tn
House majority as n check on tn
Senate in the matter OF the disnrm
ament and peace. proposals. will nov
use the Senate TO block the tartff bill
as II Is expected to pass the House,