The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1924-05-06
BARNES SCORES
CONGRESS ON
TAX POLICY
1000 Chamber Of Commerce
Members Hear Chief at
Annual Meeting
BY international News service.

CLEVELAND. Ohio. May e.
Every American agency which at.
1ects public opinion faces the prob.
lem of creating a general public
understanding and making public
I opinion effective in Influencing
properly the policies of government
Julius H. Barnes, president Of the
g@Chamber of Commerce Of the
# United States, declared in an ad.
dress here today featuring the open.
ing or the twelfth annual meeting
4 OF that body.
NJ ss More than four thousand dele,
gates were present, representing
/ business association in all parts OF
H1the United States, when the formal
sessions began.
Z. Industry Complex.
Industry" Barnes said, has
evolved from its early reliance on
man power alone to its modern
character Of machine and power
equipment and, therefore, its in
rcreasing dependence on capital and
credit, which government so in
timately, and vitality Affects
He pointed out that the Govern
Ment touches the flow Of liquid CAPT.
Z tal and money in three major as
poets
by control of currency issuance
by control of policies of the
Federal reserve system.
3. by tax laws, which might tend
20 brighten a large section Of the re-
investment capital from active ven.
lures.
When Secretary of the Treasury
mellon proposed a revision Of the tax
etructure, Barnes said, (which re-
leved seven million individual tax
payers and at the same time revised
the unwise surtax rates to point
which in his Judgment might fairly
be expected to produce more national
revenue and at the same time more
fairly balance the chance of gain
against the chance of loss inherent
An all industrial ventures, there was
Q great popular demonstration Of ap-
proval and relief"
Scores Congress.
The action of Congress, however,
An refusing to accept the plan pro-
posed by Secretary Mellon, Barnes
said, had produced "slow discourage
ment and growing misgiving and dis
trust" as the Congress substituted
proposals that carry the stamp of
the obstinacy of untested personal
opinion or of partisan consideration"
This misgiving," he continued,
was again intensified by the sus-
picion of insincerity which discusses
relief of the national treasury and
yet levies the additional burden Of
the bonus grant,
As result of these "discourag-
Ing conditions In a7ifo Of a011nd
fundamentals, and in the face of
the first hopeful solution of Euro.
pean instability in five years, IS
Barns declared, ''has developed a
hesitancy in the business world"
However, in spite of the fact, he
asserted that the terrific deflation
of 1920-21 has not yet been fully
absorbed in all lines OF industry
so sound are the fundamentals of
American business that the spirit
Of courage, confidence and enter.
prise could be revitalized quickly by
intelligent team play between Gov
eminent and industry"
A growing picture of the accom-
plishments of American industry
in the face Of discouragements was
painted. Barnes said that with only
8 per cent of the worlds population,
the United States annually produces
almost one-half of the basic ma
terials of the world, and consumes
these products in an almost equal
ratio.
Informed public opinion, relying
fully upon the general dissemination
OF information through the public
press, was the comedy advocated for
the evils pointed out.