Evening star., 1921-10-30
BY /. A. FLEMING.

| Varying Views are expressed by
,, railroad and financial men concern
| ing the sudden but not unexpected
ending of the threatened strike of
railroad men.
| Sentiment generally favors ,the
! view that the progress of the rail-
roads toward readjustment has been
seriously halted through the stop
ping of the strike; that such ven-
| ture would have been turned into de-
feat in short order. and that thereby
! the needed readjustment in wages
might speedily be accomplished.
whereas under the agreement with
| the Labor Board, wage cuts may be
suggested. but 1T is not likely that
| any actual reductions will be made
! for months to come.
| And the railroads. bearing the bur-
| den of the .Adamson law impost Will
! be powcrless to increase their earn
! ingS so that they may give some
| attention to the matter of rehablilta-
| tion of lack and equipment, equip
| ment companies will find orders few
| and the general betterment in busi-
| ness, so confidently expected, may be
| Sidetrackc cd.
| OF course the railroads insist that
| they Will ask wage reductions, but
the Labor Board has agreed not TO
| consider such applications until after
| adjustment of working rules, etc
! Railroads have been able to show
net income only through the neglect
of upkecp of rails and equipment.
| The demand for reduction in freight
| rates and passenger fares is insistant
! matter that is not settled by the
| Labor Board, and it seems certain
! that cuts will be made, with IN
| creased business, especially in the
passenger returns.
| The settlement of the strike. un-
| fortunately. did not settle the ques-
| ton of railroad adjustment. but sim
| ply delayed. palliative and not
cure for the disease.
The expected ending of the strike
| threat was an evidence of the power
of public opinion. Had the leaders
| of the brot therhoods been convinced
that the public sympathised with
their efforts to prevent wage cut
| ting had they considered that their
| own members would follow them out
to man on their orders. they would
probably have permitted the strike
order 10 remain in force; but they
Sensed defeat, certain and sure, they
| sensed thousands more unemployed
and thousands of the unemployed
jumping for places made vacant by
| strikers. Verify, it was no time for
| a strike.
fSeclOuGiIS OIL lile real lSSutS uIiuoi
the plea of government ownership.
with further wild waste OF money.
as a medium for ending the strike and
making secure the preferred eco
! nomic position of certain favored
elements Of organized workers az
the expense of the public and all
other workers" was a complete waste
| of efforts.
The purchasing power of the rail-
! ROAD companies might have been
greatly improved through economies
! enforced through the final settlement
of the strike had the brothernoods
taken the chances in the use OF their
| weapon. but as il is the buying power
still remains, in the main. paralyzed.
! The farmer. as II community. was
, liGuidatcd in a great hurry. The De-
partment OF Agriculture places the
peak of his productions as 309. June ],
1920 Eleven months later, May !,
1921. the index number is 104, drop
of ST per cent.
No action thus far taken has given
him relief The result is that he is
no longer Complacent, but Is lighting;
| at least. many agencies either self
appointed or suggested, are making
| efforts to better his position-so far
without result.
The farmer is back to normal. but
his dollar is not; therefore normal is
not attractive to him
He pays two for one freight rates
and "A per cent increase for the things
he does not raise. and sells his produce
at low prices.
His representatives today bloc
Legislation.
| Legislation.
Congress has been in session eight
months practically, and, with the ex-
ception of making peace with Ger
many and the passage Of many minor
measures has made only a fair rec
ord.
Although the representatives are
more numerous by large majority
than tho senator's, it seems much
easier to secure an agreement in the
House than in the Senate.
This was explained by Senator Edge
of New Jersey in a recent address
before the American Manufacturers
Export Association He said that "as
a member of the party in control he
would not take time to picture the
many difficulties he and his fellows
met in Washington in getting def
mite constructive verdicts in legisla-
ton, but that he wished his hearers
TO realize that Congress represented
every idea, every thought, of forty
eight states, in every local condition
and every selfish interest. working
under rules which permitted unlim-
tied debate. 1t was difficult to really
produce, in a businesslike way. a
final verdict, which business men are
enlllicu ~.
Senator Edge gave his own views
on taxation as follows: For a re-
peal of the excess profits tax in its
entirety, a lowering OF the income
tax as far as possible and still as
sure needed revenue repeal of war.
excise and nuisance taxes. and to put
in the place of the abandoned ma
chinery n sales tax.
This GELS tax, or turnover tax, will
not down so easily. 1t will be turn
ing up every SO often. emphasizing
the claims of its sponsors as to its
justice and meeting the opposition of
"blocs," who fear that by some means
the rich may escape the tax GER
tainty.
Easier Money.
1t Is probable that the action of
Secretary Mellon in putting out
Treasury certificates at 4A and An
per cent is the most important event
Of last week.
Its effects have not been evidenced
as vet, but the present week should
develop some of the far-reaching ef-
fects OF the Secretary's action.
The bond market has reflected 1t to
some extent in the extension of ad-
yances and increased activity, and
will, in all probabi continue to
do so.
Federal reserve banks must quickly
follow the leadership of the Treas
ury Department and reduce discount
rates. with the government borrow
ing at AZ and Az per cent there is
small need for per cent redis-
count rate. and there might even be
a shading of the per cent rates.
Perhaps little firmer market for
money, temporary as 1t is. may nave
caused some hesitation in reduction
h,rS