Five Mile Beach weekly journal., 1921-12-30

WARS EAT UP THE TAXES
BY EDWARD G. W

taxes goes / did no have far to lOok
1t goes for wers, past, present and
prospective. Last year a little over On
per cent OF the national income went
that way. In the report of the secre.
tary of the treasury submitted to con.
gress in December, 1920, he remarks.
An analysis of government expenditure
for the fiscal year 1920, on the basis Of
daily treasury statements, develops Tia
striking fact that of the net ordinary Dis.
bursements of sc, 4O3, 100000 about % OAR
cent consisted of expenditures under h,
following heads:
Purchase of obligations of for
eign governments .............S 421,00M
War department ................. l,6l1,00I00
Navy department ............... 7S6,MO,M
Shipping board .................. eS1,0N,ON
Federal control of t-~ansporta-
ton systems and payments
to the railroads under the
transportation act, 1920 1890. 1,0S7,OW,M
Interest on the public debit. 1,020,0N,M
Pensions 213,ONM
War-risk insurance .............. u7,0O,M
Purchase of federal farm-loan
bonds %'VW,M
Total s. ,716,0O0N
Substantially all the expenditures
entering into this total, and a large
share Of the expenditures on various
minor accounts, represent burdens d.
rectly traceable to the war, to past
wars or to preparedness for future
wars. These figures serve to indicate
the direction which sincere efforts to
reduce the cost of the government
must take.
Then l found Mr.. Gilbert, the under.
secretary of the treasury, saying:
There has been much idle talk to the
effect that the excessive cost of govern
ment is due to inefficiency and extrava-
gance In the executive departments
Without doubt there has been waste and
inefficiency in the various government de-
partments and establishments, and much
can be accomplished, and has ALREADY
been accomplished, by the introduction
of efficient and economic methods of at-
ministration and the elimination of du-
~plication and unnecessary work. 1t might
well be possible to save as much as
$50, 900, 900 or S1O0, 900, 600 by careful and SCI
entiic reorganization of the governments
business.
The figures show that over 30 per
cent of the total annual expenditures
of the government are related to war
Out of total expenditures during 1920 Of
about S. 400, 900, 900, about 5h billions rep
resented expenditures directly traceabe
to the war, to past wars, or to prepared,
ness for future wars. OF this, akd0u
81, 500, 900, 900 went for the army and haHy
over $500, 600, 900 for the shipping board,
over 81, O00,0 600, 900 for the railroads, another
- mn mn w So s-k1r4rk -, fHa @1,h1{o dahf
almost $500, 900, 900 for purchase of obliga-
lions of foreign governments on account
of their war expenditures, and the remain
der for pensions, war risk allotments and
miscellaneous items related to war. An
analysis of the expenditures. of the first
six months of the fiscal year 1921 gives
similar results. The figures also show
that the total cost of running may
be termed the civil establishment proper,
departments, board and commissions and
the legislative establishment, nave not
much exceeded $3.50, 900, 900 even in the ab.
normal war years.
1 sought details. If more than 80
per cent of the entire disbursements
of 1920 went for past and prospective
ing to keep the world safe for demoe
racy? We are all familiar with the
argument that the best way to prevent
war is to be prepared for war. !
thought 1 might find out whether that
was true. l went back into the rec
ords and found that year by year.
from 1884 to 1919 inclusive, the treas
ury department had kept an accom-!
of the actual disbursements-nOt ap
preparations, mind you, but actual
money expended-of the War depart'
ment, the Navy department and fG
pensions. When 1 got all the figures
before me I couldn't add them up
In the bureau of internal revenue
they loaned me a machine and an
operator, and so 1 know and can tel
you that from 1884 to and through
1919 the War Department actually dis
bursed $4,000, 800, OO8.65. In the same
period the Navy Department spent
$6,9O7, 1863. 032.84; and pensioners @
past wars got $5,634,O 79 ,694.23.
That is a laundering total OF Wv
909, 759,041.49 for the army and navy
alone, leaving out of account us
$5,634,079, 694.23 for pensions.
I will let you decide whether any
part Of the Twenty-Five billion dollars
spent for preparedness and for wal
prevented our going to war or fouDu
us prepared when we went to wal,
The three items 1 have enumerateu
are only ribs of the skeleton OF ls
cost of war preparation and acuVie.
I have not been able to excavate any
other detail figures. But it is KNOW
that the war of 1912 cost about sloe
703,880. -
The cost of the Mexican war is esu
mated to have been $63,605,62l.
The total cost of the Civil war, ta
ing the period from June 80, lSo+ y
June 80, 1866, may be figured closs'
at $3,5OO,O OO, 900. .oo
The treasury in the winter OF i0-s
81 estimated in a report sent 10 w. -.
gress through the secretary mat :.
cost of the World war to US TO u 10
date had been $24, 100 100000, eA's
sive of our loans to the allies o.