Milford chronicle., 1931-08-21
METHODS OF RELIEF
Editorial in N. Y. Times)

o from the forecasts of trade uniOI
r representatives, from the statistic!
y gathered by labor bureaus in thu
states and in Washington, the infer
ence is scarcely avOidable that many
= men will be out of work and many
= families in need when cold weather
= comes. President Hoover himself is
4 plainly convinced that such will be
= the case. Several of his recent of
/, fetal consultations have been with
. men whom he has summoned to
5 study with him the extent of the
, problem and the wisest ways OF
seeking its solution. All the reports
are that he intends to stand by the
position which he took with the last
Congress, and to oppose anything
like direct Federal grant of money
|, in aid of the unemployed. Their re-
lief, which he admits now will be
necessary on a large scale, he
would leave as a duty which the
states and municipalities and private
philanthrOphy can best undertake.
He is aware, as every newspaper
reader must be, that there will be a
strong effort to induce the next
Congress to make large appropria-
tiOns for distribution to those in
want. One of the Presidents con-
ferees, Mr.. Strawn of Chicago. has
just spoken with apprehension about
the threat, as he regards it, of
more socialistic legislation of one
kind or another than was ever con-
ceived of in England or in Ger
many" In this line two projects
have been advanced and have met
with considerable favor. One is to
enact at once great increase in
income taxes. Senator La Toilette
and others have argued that it would
be perfectly easy to get all the
money needed by levying a tax
which would fall only on "the rich"
There are serious economic objec-
tions to such a course, such as the
likelihood that it would throw more
men out of jobs by cripppling in
dustry. But it is not necessary to
dwell at present on that aspect of
the case. There is one powerful and !
conclusive argument against look
ing for remedy of that kind. The |
time element would be fatal to it.
The new Congress could not possibly
perfect bill levying such taxes be- |
fore the beginning of next year. The
first collections under the new law
could not be made before March Is.
That would obviously be too late to
help people suffering through the
winter.
AS if aware of this practical diff
Guilty, advocates of the other scheme
are proposing the issue of govern
ment loan in the amount of $5,OOO,-
100000. Against such plan there
are also strong financial reasons.
Doubtless the bonds could be sold
as an emergency measure under
powerful government pressure, but
the effect would infallibly be to i'm
pair the credit of the United States {
and to plunge the Treasury into
deeper embarrassment. But let that l
go for the moment. The avowed
intent of those who call for such a
loan is to promote great systems of {
public works which would furnish {
to hundreds of thous-
lnds. Here again the proposed re- t
ief could not be immediate. Time i
would run heavily against it. We /
nave the example of the generous t
program of public building author {
'ecent months has it come to be j
wen partially carried out. Some a
,eople hastily conclude that a great a
public enterprise like building new h
highways or dredging rivers or C
harbors or erecting Fed il
raj buildings can be devised and v
tut into execution overnight. Moth G.
ng is further from the truth. Such (;
lans have to be long in preparation. b
wen if the $4,000, 10000 loan were Il
oted by Congress and promptly b
AIKEN by the banks, it could not be
lade available, except in very small u
art, for several months. 1t would N
OF be an effective way of meeting T
ext winters crisis. President p,
ToOver in his address at Indianap- al
lis last June put the case from the ii
oint of view of practical govern hi
rental operation: a
While 1 am strong advocate III
of expansion of useful public
works in hard times, and we Va
have trebled our Federal ex- 81
penditure in aid to unemploy- lo
ment, yet there are limitations Nv
upon the application of this
principle. Not only must we re-
frain from robbing industry and 70
commerce of its capital, and I'll
thereby increasing unemploy-
ment, but such works require
l..