Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-07-19
A New Economy Program.

Last Summer the President called fol
economy in expenditures and proposed
expenditures in order to help make pos
sible the reduction in taxes later sp-
proved by Congress.
Yesterday the President appealed to
ments to inaugurate a carefully planned
If drastic, program of economy directed
toward cutting down their expenditures
of money, already appropriated, to
figure approximating their last years
expenditures. This should be done with
out affecting the various projects con-
templated by the Government to re-
lieve unemployment, the President said
The difference between the expenditures
in the last fiscal year and the appro-
priations for the current fiscal year
including the postal deficit, but not
including all post Office appropriations
amounts to about S20e, 100000. That
figure represents the desirable saving
to be effected this year, and the pur-
pose of the reduction is to prevent a
possible increase in taxes that would be
necessitated by a possible reduction in
revenue arising from slack times"
If the man in the street has been
left cold and apathetic over the politi-
cal charges and counter charges reiat-
ing the extent of the economy practiced
by the Hoover administration, the
President now has given him a clear
cut picture and candid statement OF
the Nations finances and the detectives
of practical economy that will win his
sympathetic support. 1t Is one thing
merely to pare estimates OF expendi-
lures and eliminate paper projects from
the budget, thereby saving millions
of dollars that were never available Tor
expenditure in the first place. But 1t
is an altogether different thing to save
money that Congress has already ap-
propriated by not spending it, allowing
it to remain in the Treasury. The lat
ter task is difficult and demands the
exercise not only of economy but OF
rare Judgment.
The comparisons of expenditures and
appropriations last year and this have
been presented recently in varying, and
confusing, light, depending upon VINO
was presenting them. Representative
Byrns of Tennessee, the Democratic
Congressional Campaign Committee
chairman, pointed to the Congress re-
Gently adjourned as a 'five-billion-dol-
lar session" and charged 'riot of ex-
travagance" that has driven away even
the myth of Coolidge economy. Mr..
Hoover, as against Mr.. Byrn's estimated
appropriations of $4,924 ,929,233, shows
that the real outlay appropriated by the
last Congress reached $4,2Q3, 254,457. In
his estimate Mr.. Hoover eliminates
postal OUTLAWS, with the exception of
the postal deficit, explaining that the
elimination is customary for the pur-
poses of comparison. Otherwise the
variations in post Office operations
would destroy actual comparisons. De-
spite the "riot of extravaganza, the
last Congress appropriated only five per
cent more than was spent in the last
fiscal year. Reducing expenditures by
five per cent should not be impossible.
Aside from spending all it can afford
TO spend on public work projects that
increase employment and the circula-
ton of money in the industries affected
the Governments greatest contribution
during the depression, will be to pre-
vent further drains on pocketbooks
through increased Federal taxes.