The Birmingham age-herald., 1924-12-04


 have a moderate amount of tax reduc- tion and all the tax reform that congress may wish for during the next fiscal year. The country is now feeling the direct stimulus which came from the passage of the last revenue bill, and under the assurance of reasonable system of taxation there is every pros- pect of an era of prosperity of un- precedented proportions But 1t would be idle to expect any such results un- less business can continue free from excess profits taxation and be accord ed a system of surtaxes at rates which have for their object not the punish ment of success or the Encouragement of business, but the production of the greatest amount of revenue from large incomes. l am convinced that the larg- CT incomes of the country would ac- tually yield more revenue to the gov ernment if the basis of taxation were scientifically revised downward. More over the effect of the present method of this taxation is to increase the cost of interest on productive enterprise and to increase the burden of rent. It is altogether likely that such reduction would so encourage and stimulate ln- yestment that 1t would firmly establish our country in the economic leader ship of the world.
 Waterway
 = Meantime our internal development should go on. Provision should be made for flood control of such rivers as the Mississippi and the Colorado, and for the opening up of our inland water ways to commerce. Consideration is due to the project of better naviga- tion from the Great Lakes to the Gulf. Every effort is being made to promote an agreement with Canada to build the St. Lawrence waterway. There are pending before the congress bills for further development of the Mississippi Basin, for the taking over of the Cape Cod Canal in accordance with a moral obligation which seems to have been incurred during the war, and for the improvement of Iharbors on both the Pacific and the Atlantic coasts. While this last should be- di- vested of some of its projects and we must proceed slowly, these bills in gen. eral have my approval. Such works are productive of wealth and in the long run tend to reduction of the tax burden. :.l.
 Reclamation
 Our country has a well-defined policy of reclamation established under statu- tory authority. This policy should be continued and made self-sustalning activity administered in manner that will meet local requirements and bring our arid lands into profitable state of cultivation as fast as there is a market for their products. Legislation is pending based on the report Of the Fact Finding commission for the proper relief of those needing extension of time in which to meet their payments on irrigated land, and for additional amendments and reforms ot our recia- nation laws, which are all exceedingly important and, should be enacted at once. ,
 Agriculture
 No more important development mas taken place in the last year shan tne beginning of restoration ol agricui- ture to prosperous conaltion. W must permit no division ot classes ln this country, with one occupation strlv- ing to secure advantage over another' Each must proceed under open oppor.. tunities and with a fair prospect oi economic equality. The government can not successfully insure; prosperity or fix prices by legislative tiat. 'EVery business has it's risk and its times oI depression. It is well known tnat n the long run there will be more. even prosperity and a more satisiactory range of prices under the natural work- ing out of economic laws than Wnen the government undertakes the artifl- cial support of markets and lnaustries. Still we can so order our aftalrs,, so protect our own people rom Iorelsn competition, so arrange our natiohal finances, so administer our monetary system. so provide for the extension or credits, so improve methods or dlstrl- hution. as to provide better WorKlng machinery for the transaction of the business of the nation with the least possible friction and loss. The govern ment has been constantly increasing its efforts in these directions for the rej;af and permanent establishment of agriculture on sound ana equai Daei' with other business.
 It is estimated that the value
 of the crops for this harvest year
 may reach $13,OOO, ,00O, 900. which
 is an increase of over $S,0OO,0OO,-
 GOO in three years. It compares
 with S7. LOG, ,OOO, 900 in 1913, and
 If we mako deduction from the fig
 res of 1924 for the comparatively
 decreased value of the dollar, the
 yield this year still exceeds 1915
 in purchasing power by over $1,-
 OOO. .OOO. 900 and in this interval
 there has been no increase in the
 number of farmers. Mostly by his
 own effort the farmer has decreased
 inc cost of production. A marked
 increase in the price of his products
 and some decrease in the price Of
 hhs supplies has brought about a
 parity with the rest of the nation.
 The crop area of this season IS esti-
 mated at S7O, ,0Oe, 900 acres, which
 is a decline of 3,OOO,0OO acres from
 last year, and 8,OOO,000 acres from
 1913. This has been a normal and natural application of economic
 laws, which has placed agriculture
 on . foundation which is undenf-
 ably sound and beginning to be
 satisfactory.
 A decrease in the world supply Of wheat has resulted in very large increase in the price of that commodity The position of all agricultural products indicates a better balanced supply, but we can not yet conclude that argri.. culture is recovered from the effects of the war period or that 1t is permanently on a prosperous basis. The cattle in dustry has not yet recovered and in some sections, has been suffering from dry weather. Every effort must be made, both by government activity and by private agencies, to restore and maintain agriculture to C.mplete nor nal relationship with other industries.
 Calls Conference