The Cordova daily times., 1921-06-01
FINANCE.0F
 GOVERNMENT
 GOOD SHAPE
BY COL. WINFIELD JONES

BY COL. WINFIELD JONES
 WASHINGTON, June 1.-(Special ).-Despite the huge war debt and the heavy taxes there is no cause for alarm concerning the finances of this government An analysis of the situation shows that the country is really in good financial condition, in spite of the alarmist reports that are heard from time to time.
 At the close of the Civil war the per capita was $SS and the per capita wealth $719.
 The per capita debt is now $223 and the per capita wealth $2,322. Therefore the ratio between the per capita debt and per capita wealth is now about the same as it was at the end of the Civil@war. Is there anything alarming in that?
 At the beginning of the World war, half century after the end of the Civil war, the balance of the Civil war debt amounted in round num- bers to s1.000O0O,OOO. This was about half of the original debt that existed when the struggle between the north and south ended.
 Our public debt now amounts, in round numbers, to twenty-four bill lions of dollars
 Great as is our public debt it is small in comparison with the debts of other nations, and oppressive as seem our taxes they are only drop in the bucket compared to the taxes saddled on the backs of the debt ridden European nations.
 At present most of the government revenue is derived from direct taxes on business, incomes, and earnings of the people. The biggest problem that this congress has to solve is how to distribute these taxes so that all rich and poor alike, shall pay their fair and proportionate share. The Il and necessarily must continue for some time. There is no way to meet these expenses and the interest on them except by taxation.
 Congress, however, is now making and has been making great efforts to reduce expenditures of the fed OnU nyof T, I budget was $7OOO, 100000. In 1922 the budget was $4,O0O,OOO 900 a con- siderable reduction. Reduction of taxes is certain in few years and the people will be practically relieved from burdens that seem to many to be unnecessary but are necessary. As government expenditures fall taxes will be reduced, and we are already on the road to normalcy
 While it is true that the increase in government expense since the Civil war has been immense, still it has not been equal to the proportionate increase in national revenue. From 1866 to~1917, inclusive, revenues ex- ceeded expenditures during Al of these years, and in that period the increases of revenues over expendi- lures exceed $2,147 100000 which was about the size of the public debt at the end of the Civil war The great bulk of the revenue during that time was collected from taxes on tobacco, liquor, sales of public lands, oleo- margarine, and customs duties. Dur ing this whole period only about $64O,000,00O was collected by direct taxation.
 Many members of congress be- lieve that this fiscal history could be repeated with advantage under present conditions, and the people not be taxed to the limit in order to clear off most of the public debt during the lifetime of this genera tion. Most of the public debt, they believe, should be refunded into longtime obligations, as after the Civil war, and it's payment left to fu- ture generations, just as was done after that war. The congressman be- lieve that as the United States piled up the present huge debt to make these future generations free and safe from Hun dominion, future generations should pay their share of the expense incurred.
 It is interesting to observe the c0Uraa. s,R fha nor ca plta nn.& oS ~ow