Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1921-09-08
G.. 0. p. POLICY
DESIGNATED TO
ISOLATE u. S.
Continued From Page one.)

Continued From Page one.) ~
reduction of the taxes of those most
able to pay and a redistribution of taxa
ton so as to impose upon the masses
an undue proportion OF the burden"
Much of the past and present unre It
and unemployment could have been
| avoided, the speaker said, if the Unite
States had ratified the treaty of Yer
sailles and become a member of the
| League of Nations. He pointed out that
the treaty provided for the withdrawal
of any member upon two years notice.
Had the United States ratified, he said,
the result would have been that, in
stead of facing a future full of I'M
certainty" as the United States ard the
whole world now does, I'VE would have
been safely launched upon a period OF
! recuperation and prosperity"
OBSERVATIONS AFTER
6 MONTHS OF HARDING.
Mr.. McAdoo's address follows:
THE Administration has occupied the
national stage for six months and we are
beginning to get clear picture OF the
of national and international affairs In
sentence those policies seem to be des-
/ ignated to secure the least possible po-
! litical and commercial intercourse with
/ the rest OF the world
Apparently this is to be accomplished /:
H(a) BY non-cooperatiOn with the
forty-four nations now bound to-
/ gether in league for the purpose of
preserving the peace of the world
through arbitration of internati onal
disputes; and for the purpose of cut
ting down naval and military arma-
ments which are crushing the life and
prosperity out of peoples everywhere;
"(b) BY putting int effect tarin
so high that it will restrict our for
eign trade and in large measure de-
Stroy il.
Economic disaster will be the ia
evitable consequence of such short
sighted policies. Already we are fee. ing
the effects. The grayest business 1e-
preston in our history Is upon rs, and
IL will grow more acute as the policies Of
international isolation are further de-
yelOped and enforced.
"Our domestic policies are a corollary
Of the foreign policies. Excessive mill
tary and naval expenditures are con
tinued because we must prepare 10 nght
/ the world in order to remain isolated
Our new high tariff is. in effect, a
declaration of economic warfare on the
rest of the world and a step toward
physical war.
|The promised reduction in taxes can
not be made because the principal part
Of our tax load is due TO the wars We
have already fought and to the
preparations we are now making for the
1 next war.
NO REAL REDUCTION
MEASU RABLY IN SIGHT.
suffering business and individual
| taxpayers already bled white by war
( taxes. will get none OF the relief promised
/ for the year 1921 The tax bill which
recently has passed the House and Is
now pending in the Senate takes as much
money out Of the pockets Of the har
raised business, professional and work
ing men in the year 1927. as II did In
the year 1870. No real reduction of tax
burdens is measurably In sight. An
analysis Of the Governments obligations
and future expenditures based upon the
| policies already defined gives no promise
of substantial reductions In the annual
expenditures Of the Government for some
years to come.
This is true notwithstanding the
claims that are from time to time made
Of great savings Up the expenses Of
Government The margin for such saw
ings is very small unless We deal
vigorously with reduction OF our naval
and military ablishmentS-a thing We
manifeStly cannot do If the policy OF
isolation as against International co
operation is adhered to.
THE Fordney tariff bin gives the
trusts and favored interests more com
! plete control than ever before of our
home market by shutting out imports or
reducing them TO negligibiity.
ait is a discouraging fact that after
J
law and in spite Of all the other laws
| since passed to prevent or curb trusts
and monopolies, we have In America to-
| day the greatest and greediest monopolies
that have ever been organized. Open
| ing our markets to a reasonable amount
of healthful foreign competition is a
better regulator of mOnopolies than all
FOf our antitrust laws, but more than
| that, reciprocal trade with all nations
must be encouraged If we ore to have
~, Ia.
violates these principles. If it become a
law the masses must pay higher prices
/ for every necessity Of life. Already The
cost of living has begun to rise again.
High tariff and high taxes are produc-
| ing their inevitable effect.
| NEW TAX BILL FITS
| COMPANION PIECE.
The new tax bill, which has just
| passed the House Of Representatives. is
| fit companion piece to the tariff bill.
Its underlying principle Is reduction of
| .be taxes of those most able to pay and
| 40 redistribution of taxation so as to
/ impose upon the masses an undue pro-
portion of the burden. For instance, the
! reduction In curtaxes benefits only
| those who have incomes in excess of
| $4,000. There is substantially no re-
| duction In the taxes of persons having
| incomes ranging between $4,000 and
$4,000 per annum. These constitute the
! largo class of successful business, pro
fessiOnal and working people whose in
comes are derived from their own per
sonal toll and effort. There ere small in
creases In the exemptions, such as al
/ lowances for minor dependent children
and in other respects, but these are not
material
Under the present law the surfaces
on incomes begin with ! per cent on
$4,000 and progress gradually. up to 65
per cent on incomes of $5,000,000 and
| over. 1t will be seen that the present
| graduation of surfaces between / per
cent and 30 per cent on incomes be-
tween $4,000 apd $4,000 was based upon
the imposition Of surfaces ranging from
30 per cent to 60 per cent on all in
comes between $4,000 and $4,000, 900 or
more. The new tax bill gives relief,
therefore, only TO people whose incomes
range from 1000 per annum to $5,000,-