Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1922-10-08

OF all the groups affected by tho bill
and give them relief nearly year
earlier than any other persons bene-
htins by the bill. This retroactive
clause was stricken out In Repub-
lican Congress by a majority of nine
the majority vote coming very
largely from the West. II this
clause had remained in the bill, II
ury. for last year. $450.0OO,0O0. tho
sum which. according to estimates.
the profitcers would have paid. and
ssO,0OO,o0o that the people OF large
s5io.oOo.o0O. This would have mado
II necessary to devise new taxes To
make up the deficit and these new
taxes would have been collected from
poorer people. 1t was simple
problem In arithmetic--thc tfansfer-
ring of so much taxes from the backs
of the rich to the backs of the poor.
The striking out OF the retroactive
clause saved $40, 100000 to the
Treasury last year and thus made 1t
unnecessary to, collect that much In
new taxes. but the clauses remained
in the bill. and the proilteers and
getting the benefit OF this favoritism
shown them by the Republican
party.
hut 10 proceed with tho bill. 1t
puSSsu the Rouse NuucT ID rune NiIa-
did not permit a single Democrat or
Republican to offer an amendment
and have vote upon II. The one
amendment permitted was to be Of
Tered by the minority so that II could
be voted down as party measure.
Western Republicans to the Ncscue.
When the bill reached the Senate.
the agricultural bloc which. by the
way. is responsible for every benc-
tcial measure that has passed the
Senate, succeeded I'm raising the max
imum rate TO 90 per cent; mo charge
was made in the provision repeal
ing the excess profits taxi. In CON
ference the two committees agreed
on "A 40 per cent compromises rate
OF per cent above the 81 per cent
in the House bill. and 10 per cent
the Senate bill. should have said
In The beginning that Secretary Mel
lon and President Harding stood
back of the revenue bill as it was
presented To the House. and that
both Secretary Mellon and the Presi-
dent indorscd the compromise meas
ure: the leaders Of the two houses
also supported the compromise. And
yet. In spite of this pressure. ninety
three Republicans. nearly all from
the West. joined with 100 Democrats
and liked the new rate on incomes at
30 per ccnt-l0 per cent higher than
the conference compromise. When
before did 40 small minority in tho
House ever secure the aid of so
large fraction OF tho majority and
fin so important rate In revenue
bill; ] think there is no parallel In
all American history.
President Harding has had more
difficulty with his revenue bill than
any former President. and 1t was
tempt to relieve profitecrs and peo-
pie with large Incomes mt the cx-
pense OF tn. people with smaller In
comes.
The unrrprcscntntive Reserve Board.
The farmers have n special gr!ev-
ancc In the effort OF the adminis-
tration to defeat the passage of the
measure directing that farmer be
appointed on the Federal Reserve
Hoard That board Ia more power
iul than ans other arm of the gov
eminent 1t can act more quickly,
and more effectively than the House,
The Senate or the President. for each
OF ines" three branches OF govern
IN" administration, must have the
ala OF the other two before Ii can
do anything. while the Federal Re-
serve Board Is composed of seven
men and can act at once and arbi-
trarily. When last say list Of
the members there were two bank
erS che law requires this). two law
yers, two professors and a news
paper man. There was not "A single
representative Of Il large group. The
farmers constitute about 80 per cent
of the nations population. This is
the largest group. the labOring men
constitute the second largest group
while the third iargcs; group Is made
up OF business men. who are not
bankers thut small percentage Of
the business men are bankers) The
farmers. the labOrcrs. and the bust
ness men, who arc not bankers the
three taken together. constitute more
than half II the population OF the
nation and they are tho nnes upon
whom the rest of the people. livc
representatives, the lawyers and the
professors each two. ana the news
papers one, none of the three groups
mentioned had a representative
The senate adopted an amendment
to measure before the Senate di-
r"ctinE the appointment of a farm
cr on this board. Big business and
appointment of farmer. but the
farmers had enough influence Ia Sc
cure the adoption of the amendment
in the Senate. Then II went 10 the
House. and Secretary Mellon. said
10 be one 81 the richest men in the
United states. and one OF the big
Ecst bankers. went personally he
the senate Din in charge and pro-
tested against farmer being APP
pointed on the board. When ono OF
the members of the committee asked
nun what II" thought of the adviSa-
DIlty az appointing the Secretary OF
Agriculture on the Federal Reserve
Hoard. the newspapers quoted him
cumbersome. II the appointment of
one farmer would make the hoard
cumbersome, why was IL not posi-
Dtc to substitute 4 farmer for one of