Evening star., 1926-11-11
MEN AND MONEY
By VI. S. Rukeyser.
iCopHrIsht. lg2G.h

tluSlaSm. in Lne present NOrkaday
world, however. tax paying is joy
less process. Until after 1913 Ameri-
can politicians took cognizance of the
mental aGonies associated with releaS
Ing the funds of individuals to the
National Government by indirect tax
alton exclusively. The tax WAS hid
den in the price of imported articles
IN liquors. cigars and other common
ties. But in the last 13 years the IN
come tax, which does not sugar coat
the process, has been in vogue.
Andrew W. Mellon, the shy, retlcent
multimilionaire from Pittsburgh, VINO
has been Secretary OF the treasury
since 1921, is popularity credited with
being the greatest administrator OF
the public eXchequer since Alexander
Hamilton. The policy that has made
Mr. Mellon a popular hero has been
his skin in curtahng the financial
needs Of the Treasury and thus lay.
ing the basis for tax reductions.
Refund Highly Popular.
The taxpayers will believe that
there is a Santa Claus if Congress
acts on President Coolidge's sugges-
ton to return $250.000,00 OF tax pay
ments made during the current year.
The proposed refund to taxpayers,
amounting to 10 to II per cent and
made possible by a Treasury surplus,
will be found money to individuals
who receive it. and. will probably be
frittered away. However. the inVer-
sion OF the usual system Of tax pay
ment, in which individuals will be re-
CipientS instead Of payers, VIII give
the American people an entirely new
experience in public finance. When the
| short session of Congress meets, De-
| ginning December 6, the taxpayers
| will watch the fate of this executive
| proposal, and, If it is adopted, they
will hang up their stockings on Christ
mas eve. \ rebate has greater psyche
logical advantages than a reduction
announced in advance, for it gives the
taxpayer the joyful experience OF
seeming to get something for nothing.
Such events in most countries come
rarely, If ever However. in the pr1n-
cipality OF Monaco. adjacent TO the
French Riviera. the population is per-
manentIy free from the annoyanceS
of the taX-gatherer. They live a nap
by go-lucky, taX-free existence. Ana
the expenses of state are met from
the governments stake in the famous
gambling Casino at Monte Carlo 1t
Is a fine tribute to the economics or
gambling that the government wisely
forbids its own nationals to parucl-
pate in the hazards of revolving
wheels and spinning dice.
States on Spending Spree.
The typical American found that he
was not receiving the full benefits of
the Coolidge Mellon economy, FOR,
though the Federal Government re-
rluced it's expenditures, States, coun-
ties and municipalities continue 10
spend in unprecedented amounts. Ihe
peak of the spending spree was at
tanned in 1924. There was slight
curtailment last year, and expendi-
lures are again taperlng on almost
lnperceptibly this year In the first
10 months Of the current year, the
American States and municipalities
borrowed $1,141. $50 sos, compared with
sI.l66, ,306,S34 in the corresponding
period of 1925 and S1.252, ,S44,752 in
the same months of 1924.
After 80 years experience in cata-
toguing the common mistakes or anna
tnur spectators, Albert Clmann, wan
street broker. has com plie0 "ds
street Daily Dozen. This member OF
a New York Stock Exchange firm
used to edit and publish the standard
trade journal in the jewelry industry.
While a broker, Mr.. uimannS hobby
has been historical research. Student
of ticker tape during office hours, MI
tlrnann has written several histories
Nf New York as fecredtlch dICeA tho
market closed.
IIare is Mr.. Uimann's set of IL rules
for the lamb, or amateur, VINO ooes
not wish to be a sucker:
/. Don't overbuy.
. Consider well ''the tip"-also
rumors
the profits.
d. Sell when the selling is easy.
5. Don't try to get the last eighth.
6. If you really want to buy, buy
at the market.
&. Luck is lucky sometimes, but
patience gets the real reward.
Q. Reactions are not necessarily
healthy.
10. Keep in the good graces OF
the margin clerk.
IL Stop orders limit loSseS-aiso
1o. When the market looks down
and out, it is time to buy
Foreign Trade Watchdog.
Until a decade ago. O. x. Davis
used to observe the political scene
at Washington for the New York
Times. Since that time, he has been
official watchdog for Americas for
the National Foreign Trade Council,
Mr.. DAVIS. IN survey today, con-
cludes that it viii take the world 30
wears 10 overcome the retardation
of trade resulting from the war.
World trade" observed Mr.. Davis.
"has now accelerated its pace TO fill
the gap. Instead of a 6i2 per cent
tnCrease, the normal pre-war rate Of
Increase. world exports have been
ally for the past three years. But
the world will have TO increase its
exports at this rate yearly for more
than so wears TO make up for the
ground lost during the war. Even
The United States, which gained al
most 81 per cent in real exports
since 1913 and has made the greatest
gain Of all nations III volume of trade
scquired is still more than $1,000
COZ. 900 behind the export trade ii
would have had If the pre.war gain
had been interrupted.
Europe nov holds but 80 per cent
Of the worlds export trade beside the
s. per cent she did i'll 1913. Her
shortage is more than IS per cent
from her 1913 actual exports.
AS Europe has shrunk as an ex-
port contingent, English-speaking
North America has risen 40 per cent,
Latin North America and the West
Iudies by g. per cent. and South
America by per cent. Asia's in
crease is greatest Of all, 02I2 per
cent"
These changing trade ratios help
g. explain the fricti0ns among peoples
ST. the more favored and less favored
countries Mr.. Davis figures indi-
cate that the shooting oft of cannon
Or more than four years i'll Europe
Was an expensive INDULGENCE for the