Every evening, Wilmington daily commercial., 1922-03-29
Circulation Every 1dOO'
Evening Iester dav 1 ANN
WEDNESDAY. MARCH %. 1922.
IMPOVERISHED BY TAXATION.

IMPOyERISHED BY TAXATION.
According TO an article furnished by
Mr.. Hilaire Belloo TO the first issue
OF Our World Uouston Publishing
Co. New York city,. Great Britain is
impoverished by taxation. This con-
dition. Of course. is one OF the devas-
tating results OF the World War.
Every class in England feels the
burden Of oppressive taxation. Mr..
aSelloo writes. Incomes now have
chasing power. The people OF Eng
land are taxed far more highly in pro-
portion 10 their wealth than those of
any other country IN Europe. This
absorption OF income into the national
treasury has had the dangerous effect
of cutting of much OF England's ex-
port trade. which is the very soul OF
her economic life.
The curious way In which the heavy
taxes have operated 10 cut down pro-
ductlon. and thus export. IN England.
ne thus explains: Il can give very
simple instance from my own farm.
j had intended TO buy a tractor last
year. should have bought II out of
the products OF my farm and. 10 put
81 In the cr,idcst terms OF barter.
should have exchanged 30 much
wheat with the maker OF the tractor
and that wheat would have gone 20
feed mechanics who were producing
more tractors. Instead Of that 1 have
had 10 hand over the wheat TO the
government and the government has,
with that wheat. fed. not men who
make tractors. but men keeping files
and filing UP forms. or doing garrison
work IN MesopotamiA, Palestine,
Egypt or Ireland"
Also this taxation has cut deeply
into the wealth England holds abroad,
which Is q vital share OF her wealth.
ct has" as Mr.. Belloc points out,
compelled the Englishman 10 use
capital which ne owned beyond the
seas to meet current taxation"
The great economist give an Illus
trauon Of this process. AN English
gentine railways has had TO give VI
that locomotive TO the British gov
ernment-that Is. he has given 1t W
In the form Of capital. The govern
ment has exchanged 1t for a cargo Of
wheat and with that wheat II has fec
officials Or soldiers at home anC
abroad. The wheat has disappeared
In immediate consumption and tn
country es a whole is the poorer b.
the value OF the locomotive and ~
earning power.
THE revenue OF the country &
diminished for all time by whateve
that locomotive was able TO earn 70
Its owner. or course you DO not fln'
the individual Englishman owning
particular locomotive in the Argen
tine. or paying taxes on a particula
cargo Of wheat. But that is how I
works He has shares IN Argentin
Railway; he sells them to pay taxes
the government pays its employees
and they buy bread"
"Our taxation" he continues, ct
eating with very great rapidly int
our capital. 1t is obvious that ther
must be an end TO such a process, an
already the country has becom
alarmed. II is attempting some forl
on retrenchment. but that on so sma
a scale that as yet the decline {
wealth is hardly affected. II looks a
though the cruJ will come, not IN
year perhaps. but at least by the lat
spring OF I92a; and that after this dar
either the system OF taxation mul
be modified or the yield will ver
heavily decline"
OF course other factors enter IN
the decline OF exports which h;
brought this crisis in British econom
life. England is in a very peculi'
and extremely difficult position in h
relations with tho Continent. The vel
process OF reconstruction among h
neixhbors inevitably has the effect
weakening Great Britain. THE wal
as Belloc points out, for a sho
time after It's cessation, paralyz'
certain forms Of production upon Il
Continent Of Europe. The Fren,
mines had been ruined by the Ge
mans. the French factories destroys