The Clio messenger. (Clio, Mich.) 1907-current, 1921-07-21

reduction. of our internal taxation. the
refunding OF our war debt and the
adjustment of our foreign loans.
ut is vitality necessary 10 settle
these problems before adding TO our
treasury any such burden as Is con-
templated in the pending bill.
1T is unthinkable TO except a bust
ness revival and the resumption of
the normal ways of peace while main
tanning the excessive taxes of war. 1t
is quite as unthinkable 10 reduce our
treasury 10 an additional obligation
which ranges from $3,000,000,000 TO
S5.OO0.000.000. The precise figures no
one can give.
IF it is conceivably true that only
5000 100000 q year will be drawn an
nually from the treasury in the few
years Immediately before us. the be-
stowal is too inconsequential 10 be or
real value TO the nations defenders;
and, If the exercise of the opinion
should call for cash running into bill
lions. the depression in finance and
industry would be so marked that
vastly more harm than good would at
tend.
Must Meet Obligations.
"Our government must undertake no
obligation which II does not intend TO
meet. No government fiat will pay
our bills. The exchanges of the world
testify today TO that erroneous theory.
We may rely on the sacrifices of pa
triotism in war, today we face markets
and the effects of supply and demand
and the memorable laws of credits in
time of peace.
"At the very moment we are obliged
to pay 5A per cent interest for gov
eminent short-time loans TO care for
government Indebtedness, a rate on
government borrowing, in spite of tax
exemption, which ought TO prevail in
private transactions for the normal
interest charges in financing our In
dustry and commerce.
Definite obligations amounting 10
seven and half billions in War Saw
ings certificates, Victory loans and
certificates covering floating indebted
ness are to mature in the two years
Immediately following. and the over
burdenlng of the treasury now means
positive disaster In the years immedi-
ately before us. Merest prudence calls
out in warning.
"Our greatest necessity is a return
TO the normal ways of peace activities.
A OFF 70 hn mi
service men is poor palliative to
more millions who may he out of en-
ployment. Stabilized finance and we'll
established confidence are 10 be es-
sential to restored industry and com
merce.
Slump Wars Aftermath.
"The slump which is now upon us
is an inevitable part of wars after
math. 1t has followed in the wake Of
war since the world began. There was
the unavoidable REIMBURSEMENT, the in
evitable charge-off, the unfailing at
tendance of losses in the wake of
high prices, the memorable deflation
which imitation had preceded.
ut has been wholly proper to seek
to apply government relief to minimize
the hardships, and the government
has aided wherever possible. and Is
aiding now, but all the special acts
ever dreamed of, all the particular ia
vors ever conceived will not avoid all
the distress nor ward off all the
losses.
1.-The proper mental state of our peo-
pie will commit us resOlutely and con-
fidently to our tasks, and definite as
surances as to taxation and expendi-
ture will contribute 10 that helpful
mental order. The only sure way TO
normally is over the paths nature has
marked throughout all human expert
ence.
with the approval of congress the
executive branch OF government has
been driving toward that decreased ex-
penditure which is the most practical
assurance of diminished taxation.
"War is not wholly responsible for
staggering costs; it has merely accen-
tuated the menace which lies I'm
mounting cost of government and ex-
cesses in expenditure which success
full private business would not toler-
ate.
Promises to Save Millions.
81 can make you no definite promise
in figures today, but | can pledge you
q most conscientious drive to reduce
government cost by many millions. 1t
would be most discouraging TO those
who are bending their energies to save
millions TO have congress add billions
to our burdens at the very beginning.
Even were there not the threatened
paralysis of our treasury, with its fa-
tai relieves on all our activities which