Nogales international., 1930-03-07
&dit0Egiials o Egii
Hoover And Prosperity

If the things that have occurred in the last year
had taken place with Democrat In the White House,
and present economic conditions existed with that
party in power, not Republican spokesman or organ
but would be crying about democratic hard times.
It has been difficult to tell the difference between
Republican prosperity" and so-called Democratic
panic
With steadily growing Capitalization OF power at
Washington, the multiplication of boards and COM
missions, many Of them with great power to control
or affect the currents of business the federal admin
istration is in large degree responsible Tor economic
conditions During recent years. the country has heard
much about Republican prosperity" When prosper
ity existed the Republican administration claimed
credit for it. By the same logic it must accept respon
sibility for adverse conditions.
There has been prosperity and there is degree
of it now, but it is not general and it should do no.
harm to point out that while some lines are making
large profits others in state OF depression some
of them showing actual losses One but has to look at
the recent treasury department statement on 1928 in
come tax returns to that prosperity has been in
the main for few, while the masses, the average
wage earners clerks and farmers, find the struggle
to be difficult.
Returns for 1923 showed the number of persons
with net income of one million dollars or more in
creased from 200 in 1927 to 1876 in 1928 Their total
net income was more than one billion dollars so that
approximately 500 individuals had incomes Of about
four per cent the total income of all the more than
four million persons filing returns. Those with IN
comes of 100000 more each, numbered 1880.
Their total net income about four and quarter!
billion dollars or nearly one-sXth the total income of
all the more than four million people who filed income
tax returns. UnQuestiOnably these few individuals,
numbering only one in every eight thousand of the
total population, have been prosperous were until
the stock market panic last fall.
But what of the millions of farmers, aboring
men, clerks small struggling business men and
others?
It is the Democratic contention that tariff fav-
orism, and other favoritsm in Republican policies,
legislative and administrative have enabled few in
divduals and special interests to gain huge Incomes
while the masses have to struggle to make ends meet
What is true of individuals is also true of corpora
tions While 81 943 corporations reported total net
income of 81 203 414 for 1925 there were "a 854
other corporations which had net income whatev-
er, but actually reported deficit Of 7754,271 807
Tariff discrimination had much to do with that.
Contrast with the huge incomes and profits of al
few individuals and some OF the giant corporations
the conditions of the farmer The Department of Agr
culture reports for the crop year 19S29 that the per-
farm reward for labor and management was only
$685. This ptance is all the return the average
farmer got for the labor of himself and the members
OF his family. Meanwhile, his taxes going up.
For every dollar the farmer paid in taxes in 1913 he
paid $42 in 1927 and $246 in 1928 His interest charg
have also been increasing and today through the
failure Of the Federal Farm Bank to function in the
spirit in which it intended to Junction. the farmer
is being made to pay larger interest rates and heavy
commissions On renewals
Attention has already been called to the heavy
increase in bank failures last year, and the large
Der of business houses closing their doors. Brad
streets report for January, just issued shows com
mercal failures during that month to have increased
296 per cent December 84 per cent over January
of last year and to be 80 per cent above the January
average for the last five yers The unemployment sit
uatiOn is serious. In Washington, according to the
daily newspapers five thousand skilled workers are
idle, and several times many common laborers
This is the situation in city where the federal gov
ernment is spending millions of dollars of the tax
h11i16 r. ho
more serious in cities where Uncle Sam cannot step
into the breach.
These conditions reflect serious situation, and
an indictment Of the Republican administration
self for prosperity when it did exist (Mesa Journal
Trihunel