The Washington times., 1931-12-08
MESSAGE ASKS
INCOME TAX
INCREASE
Broadening Of Nations Credit
Structure Is Emphasized
As Business Need

traffic) and revision of the
method of regulating the car
riers.
8. LesSening the severity Of
existing antitrust laws to per-
y. NIT such "demoralized indus
tries" as bituminouS coal, oil,
and lumber to work out their
own salvation.
Concerning the grave issue OF
unemployment, which promises to
occupy considerable Of Congress
attention this session, the Presi-
dent reported that the Govern
ment was spending $780,000, 900
on public works this year, that
the nations response to the re-
cent drive for funds to relieve
distress had been magnificent"
and that he Is still unalterably
opposed to anything approaching
the dole. He declared:
'T am opposed to any direct
or indirect Government dole.
The breakdown and increased
unemployment in Europe is
due in part to such practices"
For the first time since his
occupancy of the White House.
Mr.. Hoover's annual message
contained no mention Of prohi-
bition.
Plans Special Message
Near the end, under the head
ing of Law Enforcement" he
said:
81 shall present some recon-
mendatiOnS in q special mes
sage looking to the strengthen
ing of criminal-law enforcement
and improvement in judicial
procedure. connected Herewith"
But of prohibition itself there
was no reference.
The President took cognizance
of Democratic threats to revise
the tariff by proclaiming his op-
position to it and warning Of the
consequences Of such action. He
said:
II am opposed to any general
congressional revision Of the
tariff. Such action would dis
turb industry, business, and
agriculture. 1t would prOlOng
the depression"
Notwithstanding deep cuts into
both military and naval sppropri-
ations, the President declared
''both our Army and our Navy
have been maintained in a high
state of efficiency"
Cites Need Of Arms Cut
He expressed the hope for fur
ther disarmament, saying:
"If the world is to regain its
stan ards Of life, it must fur
ther. decrease both naval and
other arms"
Only brief reference was made
to the critical Manchurian stu.
alton. He said the difficulties
between China and Japan have
given us great concern" but he
reserved further comment on in
ternational relations for "a later
message"
The President did not renew
his recommendation for Ameri-
can adherence in the World
Court, which, in view Of his for
mer ardor, caused some surprise.
The presumption was, however,
that he will deal with this mat
ter in the later message on for
eign affairs. This message also
likely will request ratification OF
the war debt moratorium, which
was excluded from today's com.
munications.
Places Blame on Europe
| In analyzing the cause anc the
! effect of the economic depres-
sion, Mr.. Hoover placed most of
the blame abroad. He pointed
out that:
although some Of the causes
Of our deps ssiOn are due to
speculation, initiation, unsound
foreign investments, and mis-
management of financial i1sti-
tutionS, yet our self-cOntained
national economy, with its
matchleSS strength and re-
y sources. would have enabled
us to recover long since but
for the continued diSlocatiOns.
shocks and Set-backS from
abroad"
An important factor contribut-
ing to the depression, he said,
was the withdrawal of money
from banks for boarding, which
compelled bankers to call loans,
refuse new credits, and liQuidate
securities.
Has Faith in Future
Mr.. Hoover declared for sharp
reduction in Government expen-
ditureS. and to that end asserted
he was not in favor Of any more
expeditureS for veterans relief
"until the country has recovered
from the present situation"
He again recommended govern.
mental reorganizations, proposed
the creation Of an independent
agency to handle public works,
suggested most of the functions
Of the shipping board should be
lodged in the Commerce Depart-
Hnent, and renewed his recon-
mendation for effective reguia-
ton" of interstate power. Muscle
Shoals he will deal with in a
later message. He reported nego-
tiations are now in progress with
Canada over the construction of
the st. Lawrence waterway.
Z.