The Birmingham age-herald., 1923-11-23
THE TAXPAYER AND GOVERNMENT COSTS
(Kansas City Times)

Senator SHlOOl NlCWs PA by the Stars Washington corre- spondent, that the budget IS the most hopeful agency for holding down government expenditures, IS one that deserves the fullest con sideration of the American tax payer. This is especially true if he recognizes what Senator Smoot points out is the fact, that the budget will work effectively only in proportion as 1t receives pub lie support.
 This fact cannot be too strongly emphasized. The budget never mas been popular with congress, ana for a plain enough reason. It de- stroyed the system of appropria- tions by which congress was able to throw money into members dis tricts, and it thus stripped Of power many appropriation com mittees that used to enjoy high political privileges. The budget then must look elsewhere for the support it must have if 1t is to ac- complish what it was designed to do. That support should come from the taxpayers whose money it saves. If they don't support 1t congress won't.
 Americans who have criticized the federal government, and with justice, for its mounting cost, ought to consider also what Sen ator Shoot indicates as one req son for the growing cost of local government. That is the Issuance of tax-free securities. Investors will absorb any amount of such securities, for they offer a safe refuge for investors who want to escape taxes, and this ready mar ket Is a constant temptation for states and cities to spend. Gov ernment spending Is catching and has spread through all it's branches, federal and local. The check must be applied everywhere.
 The way the federal and state governments react on one another in spending is illustrated by the growth of the federal aid" theory. In congress they call this match ing dollars" with the states. The system is used on projects that have both a federal and state character, congress appropriating part of the needed sum and the state making up the balance. The projects often are worthy, but the system is generally bad. and the vice of it is that the state thinks 1t is getting a dollars worth of something for fifty cents. A bar gain is a bargain, and the states generally go In for all these fed- eral aid projects, but what the taxpayers don't see Is that no mat ter how much of the money comes the state, 1t all comes from taxes just the same.
 This is something Americans must keep in mind if they expect their government to keep within the bounds of economy. Govern ment, generally speaking, will spend all the people allow it to. The people think loosely that 1t is. the government spending the money. Government knows we'll enough it is the people. but it is. not in the nature of the institu- ton to tell them so or to try to Suip U ehSii. sDPSHullS, NHelueT Dy government or individuals, is a habit, and once formed it. is hard to break. If the taxpayers can once learn it is their money the government is spending, there will be hope of checking the evil.
 The budget, as the Utah sena- tor says. can do much, but not all. The proper theory and functions of government must be better un-' derstood by the country before extensive reform can come. In brief, what the country must learn is that government cannot prop erly or constitutionally spend a. dollar except as it is spent for. the public welfare. When govern- ment is brought back to that basis in spending, it's functions and the cost of their exercise will be greatly reduced.