New-York tribune., 1922-03-27

throncd. Hope and faith are revealed
more clearly as the great realities.
"Under government operation of tho
railroads large sums were expended Tor
improvements and new equipment,
which were charged to the roads. On
their return to private ownership there
were great amounts of unadjusted
claims. The roads were in want OF
credit, both to settle with the govern
ment and provide themselves with
means for necessary extensions and
improvements. In order to relieve the
acute situation in which they were
found they were permitted under the
provisions Of law to fund their debts
to the government through duly Sc
cured obligations, which were placed
on the market through government
agencies. This has given the neces-
sary relief and provided funds which
have resulted in an increased employ
ment of labor.
Merchant Marine Promised
"'The Shipping Board found itself in
control of many hundreds of govern
ment-owned ships, into which there had
gone So ,5O0,0 O,0O0. Their maintenance
and operation cost many millions each
month. Their depreciation in value
was simply enormous. The great prob
lem presented was to get the govern
ment out of the shipping business with
as little loss as possible and to pro-
vide an American merchant marine,
that American goods might not have
to be carried to market in the ships Of
competitors and that there might be
sufficient ships to provide for an ade-
quate national defense.
There has been worked out and pre-
sented by the President to the Con-
grcss a plan which promises to secure
these results. For the first time with
in generations there is fair prospect
that our country will have merchant
marine, supported from small pro-
portion Of the revenue derived from
shipping and holding a place on the
seas worthy Of the American people.
There is due the United States from
foreign governments about eleven bill
lions Of dollars, mostly for money paid
by our government TO our citizens for
supplies produced here which were
sent abroad during the war. Under an
act OF Congress a commission has been
appointed by the President TO settle all
these claims and to agree upon terms
OF payment Of interest and principal
which is not to exceed II rate Of AZ
per cent for Z limit Of time not in cx-
cess Of twenty-five years. The returns
from this source, whether applied to
current expenses or the reduction Of
the public debt, will give great deal
Of relief to the present burden Of tax-
alton.
"CoMgress has provided for reor-
ganlzation Of the various departments
OF government, for which plan is being
perfected BY joint commission repre-
senting the President and the member
Of the House and Senate. The number Of
public employees has been reduced near.
ly $4,000. The army has been reduced
b. $4,000 and there is proposal for a
further reduction of $4,000, which would
mean a reduction in all of more than
one-half. There have been and are
proposed large reductions in the navaI
forces. This important and effective
work is beginning 20 show in Che ap-
preparations and expenditures Of the
government.
Achievements in Economy
prior to the war the annual appro.
priations were little over 81 100000,
000 For the last fiscal year they were
slightly more than $5,500,000 900. For
the present fiscal year it is estimated
that this will be reduced to somewha
less than $4,000, 100000 and for the mex
fiscal year, for which appropriation.
are nov being made, there will be re
duction to about $4,000, 100000.
"The interest and payments required
Tor the public debt are about 1880
600, 900. The cost Of minstering to tn.
requirements Of the veterans burea,
is about $1,500,000, 900.
"The cost Of the army and navy is
more than $So0.0OO,00O and another
/ .v,Io
present expenditures there be deducted
those items that arose from the wal
and the extra amount now being ex
pended on good roads and The army
and navy, present cost OF running the
government would not exceed the pre-
war cost by more than s200,00O,0 ,00t
or S30o,OoO,00o. This represents ~
achievement in economy which is al
most Incredible"