Evening star., 1921-10-31
SHOWS WAR
STRANGLE nations
Senator Says Tobacco Tax
Would Meet All Expenses
Except Those for War.

Declaring that the coming Washing
ton conference on limitation of arma-
ments must succeed, If civilization is
to endure. Senator Swanson of Vir-
ginia. in the Senate today. pointed to
the huge tax burden of the nations
because of war expenditures, past
and future.
The success of the conference is nec-
cssary, he said. to put an end to this
mad international competition in ar
maments."
Governmental expenditures" said
Senator Swanson. unless greatly re-
duced, will certainly lead to further
and finally culminate in universal
bankruptcy. Annual governmental
expenditures have attained such an
immense proportion to the yearly
earnings of the people as seriously TO
interfere with the processes OF pro-
auction and to threaten the solvency
Of our varied indispensable enter.
prises. In 1910 our annual national
income was estimated by the best and
most accurate statisticians at $So.-
600. 100000. The federal government
collected for its purposes out of this
annual increase of wealth at that time
about 3 per cent in taxes.
Taxes More Than Treble.
s'The same authorities estimate our an
nuai increase of wealth now at $50.
600, ,000, 900. of which the federal govern
ment takes in taxes for its purposes
each year 10 per, cent. The federal GOV
ernment thus exacts from Its people
more than three times as much Of their
annual earnings as it did ten years ago.
We have increased our annual wealth
in that time less than twofold and our
federal taxes more than fvefold. Our
local and state taxes have increased
practically in the same proportion.
sumo more than one sixth of the people 8
aggregate yearly earnings. This is so
excessive that il ceases to be taxation.
but becomes extortion. Every business.
industry and enterprise OF the nation Is
staggering under this increased heavy
burden.
Agriculture, manufacture. mining.
transportation, commerce and labor. all
are suffering severely from these fright
full governmental tax exactions. Every
citizen, every enterprise, feels the blight
of excessive taxation. Local, state and
national expenditures must be greatly
reduced II we are to escape individual
and governmental bankruptcy. The
mad orgy of extravaganza, individual
and governmental. must cease. Fru-
gaIity ana economy IHust SOHtTOi again
or disaster awaits US.
"These great increases in taxes are
not confined to this country, but oc-
cur in greater proportion in all parts
of the world. Prior TO the world war
England expended in taxes per cent
of her earnings. now she expends %
per cent; prior to the world war
France spent 16 per cent of her an
nual earnings in taxes. now she ex-
pends 40 per cent; prior to the world
war Italy expended in taxes 13 per
cent of her annual earnings. now she
expends 80 per cent; prior to the
world war Germany expended in
taxes per cent of her annual earn
ings, now she expends % per cent. In
these countries the tax burdens are
SO heavy and intolerable-absorb such
a large proportion of the peoples
earnings as almost to destroy the in
centive to work and produce.
Heavy Taxes DiscouraginR.
"The people cease to labor when
thus forcibly deprived of the fruits
of their toll. These dry figures. more
unfold the cause of the depression,
discomfort, restlessness and unem-
ployment which encircle the world
We can readily understand why the
peoples of these countries have no
means left after these governmental
exactlonS WIN Wnlcn 10 purchase our
wheat, cotton, tobacco. minerals and
manufactures. Of which they are in
great need. In these dry figures can
be read the story of our curtailed eX
ports. of our large accumulated sur
plus on farm. in mine. in factory. OF
reduced wages. of a merchant marine
lying in port without cargo or en-
ployment, and of our railroad system
without sufficient business to be prof.
itably operated.
1.-THE world is SO interviewer in fte
interest, SO interrelated, that dis
tressed conditions in these countries
are felt In the cotton fields Of the
south, the tobacco fields Of Virginia
and Kentucky, the wheat and corn
CONTINUED on page 4, column II