The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1922-01-28
Copyright, 1922. by The Argus9

Copyright, 1922. by The Argus)
Washington, Jan. %. - Congress
is determined to enact bonus bill.
The situation is truly alarming. for
no comprehensive plan has yet
been offered by anybody whereby
the funds can be raised without
adding to the cost of living and the
already numerous burdens under
which American business is strug-
Cling.
Senator McCumber, chairman of
the finance committee, favors a
sales tax for the. first year and ex-
poets the bonus to be financed dur
ing the second year out of the pro-
ceeds from the payments of inter
est by the allies on the war debts.
Chairman Fordney of the house
ways and means committee, has
more or less the same idea.
To "kid- the People.
The truth of the matter is. no.
body believes any money will be
forthcoming from the allies during
the second year. and members Of
congress know perfectly well that
by law any proceeds from the allies
must go toward paying the princi-
pal and interest on Liberty bonds.
! But the gossip is that if the Amer
ican people are told that a sales
| tax is to be enacted for only one
| year, the new burden will be easier
| to impress Then when the sales
tax is working and the people have
gotten accustomed to the sales anC
it becomes evident that no money
can be expected from the allies, +;
simple resolution extending thu
sales tax indefinitely would b,
adopted.
The sales tax would be imposed
on about four articles. including
clothing, foodstuffs and manufac
tured products. 1t would be paiC
at the source of the manufa ctureI
I or producer and the consumer viii
feel it in increased prices for th'
necessities of life. Thus the sol
der who gets the bonus will b,
able to buy much less for hi
money than he can now without thi
bonus.
! But this is a political year ant
congressman think the soldier
want the cash irrespective o
whether it is good or bad econom
les. Representative Frear OF Wis
consin, a Republican ways an
means committee member, how
ever, has spoken boldly what man
Republicans themselves know
namely. that as stated, the Demo
Gratis may sweep the Republical
party out of power in the congress
The wiser ones are already scar
ed for they have heard of the dis
content of the country that con
gress didn't reduce existing take
sufficiently and now to put on NOR
i. taxes to furnish money for a sol
der bonus would be to build eve
higher the funeral pyre.
McCumber Defends Bonus.
Senator McCumber answers mos
of the criticism by saying the est
mates as to what the bonus wOul
cost are greatly exaggerated an
THAT it wouldn't cost the countr
, more than $35O,000, 900 to 100000
r 900 the first year. Secretary Me
I Ion, however, has done a lot {
{ close uSuTIuS anu hdo HdAC Sl4OuS
! inquiries as to the psychology {
= the returned soldier to know tha
out of the various forms of soldie
: aid from grants of land, YocationS
, training, paid up insurance certi1
? icates payable at death, and cas-
bonuses of fifty dollars every thre
: months, the average soldier wi
= take the cash. Il is argued {
: course that if everybody took cas-
, the total government expendituI
! would be less than under any othe
, plan, for the whole thing woul
be over with sooner and the bi
administrative expenses in vocs
, tional training and land aid woul
be reduced to a minimum. BI
Il Continued on Page FiYe.l