Evening star., 1926-12-07
Economy.

Our present state of prosperity has
been greatly promoted by three impor-
tant causes, one of which is economy,
resulting in reduction and reform in
national taxation. Another is the
elimination of many kinds of waste.
The third is general raising of the
standards of efficiency. This combina-
ton has brought the perfectly aston
fishing result of reduction in the in
deX price of commodities and an in
crease in the index rate of wages. We
have secured a lowering of the cost to
produce and q raising of the ability to
consume. Prosperity resulting from
these causes rests on the SecureSt OF
all foundations. 1t gathers strength
from it's own progress.
In promoting this progress the chief
part which the National Government
plays lies in the field Of economy.
Whatever doubts may have been en-
tertained as to the necessity of this
policy and the beneficial results which
would accrue from it to all the people
of the Nation, its wisdom must now
he considered thoroughly demonstrate
ed. II may not have appeared to he
a novel or perhaps brilliant concep-
tion. but 1t has turned out to be pre-
eminently sound 1t has not failed to
work 1t has surely brought results.
IT does not have to he excused as
temporary eXpedient adopted AS the
lesser evil to remedy some abuse. 1t
is not a palliative seeking to treat
symptoms, but major operation for
the eradication at the source OF n
large number of social diseases.
Nothing is easier than the eXpendi-
ture of public money. 1t does not APP
pear to belong to anybody. The
40
II on somebody But the results of
extraVa ganCe are ruinouS. The prop
erty of the country. like the freedom
of the country. belongs to the people
of the country. They have not en-
powered their Government 10 take
dollar of it except for necessary
public purpose. But if the Constltu-
ton conferred such a right, sound
economics would forbid it.
Extravagance Is Condemned.
Nothing is more destructive of the
progress of the Nation than Govern
ment eXtraVa ganCe. 1t means an IN
crease in the burden of taxation, dis
Spation of the returns from enter
prise. decrease in the real value of
wages, with ultimate stagnatlon and
decay. The whole theory of our in
stitutions Is based on the liberty and
Independence of the individual. He
Is dependent on himself for support
and therefore entitled to the rewards
of his own industry. He is not to he
deprived of what he earns that others
may be benefited by what they do not
earn. What he saves through his pri
Nate effort is not to be wasted by
Government extravaganza.
Our national activities have become
So thai iS OpppSSa1.N ~ Scruti-
nize each item of public expenditure
if we are to apply the principle of
economy. At the last session we
made an immediate increase in the
annual budget of more than $780,
600, 900 in benefits conferred on the
veterans of three wars. public build
ings and river and harbor improve
ment Many projects are being
broaChed requiring further large out
lays. l am convinced that ii would
be greatly for the welfare of the coun
try if we avoid at the present ses
sion all commitments except those of
the most pressing nature. From a
reduction of the debt and taxes will
accrue wider benefit to all the peo-
pie of this country than from embark
ing on any new enterprise. When
our war debt is decreased we shall
have resources for expansion. Until
that is accomplished we should con-
fine ourselves TO expenditures of the
most urgent necessity.
The Department of Commerce has
performed most important funC-
tion in making plans and securing
support of all kinds of national enter
prise for the elimination of waste.
Efficiency has been greatly promoted
through good management and the
constantly increasing cooperation of
the wage earnerS throughout the
whole realm of private business. 1t
IS my opinion that this whole devel-
opment has been predicated on the
foundation of Il protective tariff.