The New York herald., 1921-12-10
Opening of Arms Farley Re-
suits in Big Saving
Throughout World.
NAVAL WORK HALTING
Expenditures Of Principal Ma
tiOns Annually for Defence
Reached S4,5OO,O0O,O00.
Special Despatch TO TH, NEW YORK HERALD.
New York Herald Bureau,
Wa shingtOn. ID. C.. Dec. O.

Special Despatch TO THs NEW YORK HERALD.
New York Herald Bureau,
Washington, ID. C., Dec. 2.
The United States and other princi-
pal nations were spending total OF
s4,500 100000 n year to keep their
armies and navies in fighting trim up
to the opening OF the Conference for
the Limitation OF Armament, Pacific
and Far East questions. The opening
Of the conference. it was shown here
to-day, has had the effect of reducing
these expenditures.
The decision of England to halt
work on her four new superdread-
noughts, cut expenses. In addition
reductions have been made in the ex-
penditures for naval and military pur-
poses by this country and England in
directly in anticipation of probable
results of the conference
During the fiscal year ended in June
the expenses charged to the Army and
Navy departments by the United States
1 Treasury Department totaled nearly ST.
| O00.000.000. In England expenses of
maintaining the army and navy. OK
elusive Of the air force. ran more than
$1,000, 900, 900.
Large expenditures were made by
France, Italy and Japan during the cor
responding governmental fiscal year
France. with n standing army of more
than 100000 men throughout the last
year, reported the greatest land defence
! disbursement England's army, main
tanned at nearly 100000 men. cost al
most as much as that OF France.
These reports now available in Wash
inston indicate the extent to which the
/ Hughes plan for a ten year naval holi-
day and other relief that may be agreed
upon by delegates to the conference will
! tighten the tax burdens OF the people of
Europe.
! In England tax is paid by all per-
/ sons on incomes on $500 or more a yea r.
/ This slow level of net income was in
troduced while governmental expendi-
lures were rising as a result OF the
war.
Since the arnistice there has not
! been q material lowering OF the Brit
ish income tax rate which IL Is per
/ cent in the normal scale SurtaXcs
! in England are fixed on a scale that
requires the individual earning ,s 900
year to turn over almost one-third
/ ~ his income to the Government. In
/ many cases wealthy landowners are
disposing of their estates 90 relieve
/ them OF the burden OF paying taxes.
| In France indirect taxation has mul-
( tiplied to an extent that requires the
! taxing or about one-half OF ell the
/ purchases made by the average fam
/ ilv The Government is preparing 10
Introduce new forms OF direct taxation.
according to the plans OF the Ministry.
! Wholesale prices In France still are
nearly 200 per cent. above 1914 levels
despite the anxiety OF the Government
to provide relief.
In Japan n loaf OF bread COSTS the
equivalent or IS cents, according 10
statements made by members of the
Japanese delegation to the conferences.
Rice, milk and clothing prices are cor
respondinElv high.
Prices in the United states are lower
in proportion 20 the pre-war period tnan
In any other country OF the world.
Wholesale prices are approximately 80
per cent. above the pre-war levels, ac-
cordins to the Government index