Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-11-29
Appropriations, Taxes, Work
Insurance and Other Prob
lens to Be Affected.
FURTHER REDUCTIONS
DEMOCRATIC PROPOSAL
Hull Attacks Federal, State and
Local Expenditures in Re-
trenchment Demand.
BY G. GOULD LINCOLN.

The dominating note of the whole
week from tomorrow will be economic,
Senator James E. Watson, Republican
leader of the Senate said yesterday.
The depression and the economic
problem growing out Of it." said the
Senator, will have precedence in the
coming session of Congress" These
problems, he continued, -c have their
bearings on the appropriation bills, on
tax legislation, on Government con.
struction bills, including highways and
public buildings, on unemployment in.
surance legislation, and a score of other
matters which are expected to come UP
TOR consideration If not for action
With national election in the ofinR
however, the Indiana Senator might
have said that these economic problems
will be tackled to a considerable de-
gree from political point Of view.
Democrats for Reductions.
While the Republican leader was out,
lining his idSas of the program which
will confront Congress, a Democrat
ped, into the Republican management
of governmental expenditures, declaring
| that the time had come to cut to )
much lower total of ordinary expendi-
lures for the Federal Government.
Democrats" he said, should under
take as rapidly as possible to reduce
present ordinary expenditures of $3,-
440, 100000 for 1880 to a permanent
level Of from $2,750,o0o.000 to $3,o00,-
600, 0OO."
The Tennessee Senator did not
undertake to say just where he would
cut the appropriations. He said, how
ever, that retrenchment must be eff
fected.' Not only did he attack the
growth Of Federal expenditures in this
country, but also huge increases which
have been made in State and local ex-
penditures.
Senator Watson expressed the opinion
the World Court and American adj
herence to that tribunal should be al
lowed to wait their turn in the Sem
ate until after economic measures and
questions Of relief have been disposed of.
Home questions should be settled
trst," he said. Then it win be time
to turn our attention to such matters
as adherence to the World Court"
However, he said that the legislation
for the Hoover moratorium of inter-
governmental debts will be one of the
first measures to come before Congress
of necessity, since 1t must, If possible,
be put through by December Is. But
economic problems have very definite
connection with the moratorium, he
pointed out.
Watson fer "Cut to Bone"
Appropriations should be cut to the
BONE" Senator Watson said. He ex.
pressed the opinion that the. appro-
priations for the Navy would be kept
down along with the appropriations for
other Government establishments.
THE friends of the Navy will be
largely satisfied If they can get through
bill authorizing building program
which would give this country Navy
Of the full strength accorded the
United States under the terms of the
London naval treaty" he said. They
say that If they have this naval build
ing program authorized it will place
them in better position when they go
into the next naval conference, that
they will be able to say to the repre-
sentativeS of other nations unless you
are reasonable and agree with us in
this matter of naval limitation we will
go right ahead ana build up our Navy
to the strength authorized by the Lon
don treaty and by Congress-"
When it comes to making appropri-
ations for the Government, Senator
Watson said there would be an element
in Congress pressing for large sums
on the ground that the employment
situation could be aided by govern
mental expenditures and another ele-
ment standing strongly for economy Of
government expenditure because of the
big Treasury deficit Whether an actu-
al attempt would be made to bring about
a Federal dole for the unemployed, he
WAS unable to Dredict But he eX-
pressed the opinion that an effort
would be made beyond doubt to put
through insurance against unemploy-
ment recommendations of the Presi-
dent for the establishment of q system
of home loan discount banks and for
changes in the Federal Reserve syS-
(ContinIIed on page 9 Column a.