Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-05-31
EVILS AND BENEFITS OF DOLE
ARE FACED IN GREAT BRITAIN
Industry Will Fall if Heavy Taxes Grow
With Continued Doles-Yet People
Menaced by Starvation.

While liberal minded men, no less
sincerely than ofhcial labor, have
always seen the necessity Of q certain
redistribution Of wealth In the interest
OF better living standards for the great
majority, the huge sums needed for
budget making since the war are the
result of special conditions.
The systems devised originally to
improve living standards under nor.
services, particularly the social service
known as unemployment insurance,
have struggled to meet the terrible dis
aster OF enforced idleneSs land there
fore penury) which ingulfed the ma
ton. The cost of financing this effort
Is draining the country, as 1t seems;
at least 1t has upset the balance sheet
to such an extent that Sir Richard
Hopkins, controller of finance and sup
ply, q non-political permanent treasury
official, says:
Continued state borrowing on the
present vast scale without adequate
provision for repayment by the lun-
employmenD fund would quickly call IN
question the stability Of the British
financial system"
These words, from such an authority.
are suficiently ominous. But the fact Is
that the Treasury already has advanced
1915 100000 to the unemployment fund!
This debt has become alarmingly pro-
gresssive, and during the last year in.
creased from $3.50 900 900 to It's present
figure-almost doubling itself. More
over, the fund now Is running behind at
the rate Of 100000 week! BY spe-
cial dispensation it Is permitted to
borrow up to $3.50 ,000, 900. but 1t Is al
ready desperately clear that this will
not carry matters through the year.
Philip Snowden, chancellor OF the
eXchequer. only recently sounded a
grave warning, directed as much TO his
own party as to the country at large
He is a tragic figure, this brave, alling
clever man; by instinct saver, events
have compelled him to be Spendthrift
He told Parliament impresslvely:
Urges Drastic Action.
II say with all the seriousness can
command that the national position Is
so grave that drastic and disagreeable
measures will have to be taken il budget
equilibrium is to be maintained and
II industrial progress Is TO be made. An
expenditure which may be easy and
tollerable in prosperous times becomes
impossible In time OF grave industrial
depression.
II believe that an increase Of taxa
ton in present conditions which falls or
industry would be the last straw
Schemes involving heavy expenditure
however desirable, will have to wait
until prosperity returns. This is neces-
sary to uphold the present stand
ard of living. and no class will ulti-
mately benefit more by present economy
that the wage-earners.
serious. No budget in thu
world could stand such an excessive
upon it by the increase Of unemploy
depression has affected both sides o
the budget Expenditure has increased
revenue has declined. There Is thi!
fact which I think we sometimes ig.
more. Productive capacity has now fal
len of 20 per cent. That means 20 pei
cent less in those resources from which
the exchequer must draw its revenue
Capital values have fallen. i
there were well grounded fear that thi:
country'S nudgeting was not sound, i
night have very disastrous consequences
which would have their repercussioni
abroad"
Obviously this cannot 60 on. But
then, neither can starvation 60 on
What, then, Is the case for the dole;
What are its visible benefits? What Its
abuses? What Is the end to be to thu
two mammoth problems: One, unem
ployment itself, and two, the financing
of Britain's huge social insurance ex
perimentS? Is the situation IRENE
diable? Is Great Britain done?
Copyright. 1891. by North American News.
paper Alliance, Ine.)