davidaulloa/AmericanStories huggingface dataset:
Evening star., 1932-05-12
Sales Tax Need Shown
Examination of Plans Shortcomings Shows They Are
Minor Compared to Benefits Which
Would Follow.
It has been argued that the adoption

1t has been argued that the adoption
Of sales tax would tend to hasten the
bankruptcy of many firms now in finan-
cial difficulties. There is only one
answer to that argument. Once the
buoget Is balanced and confidence re-
stored, business will show substantial
improvement, and any firm which has
been able to weather the storm so far,
will have no difficulty in continuing to
do so.
Danger Is Nullified.
An argument advanced by text book
writer's against the use of the sales tax
Is that 1t encourages government to
become extravagant. A slight increase
in the rate will produce a tremendous
amount Of revenue without diSlocating
business to any great extent Organized
minorities would be constantly pressing
their representatives for such an in
crease to support pet projects it is said.
quite likely that is true, but it seems
to us that at the present time this is
an argument for rather than against
the sales tax. If the country we're
assured that the Government could
swing any DEAL 1t might undertake,
the danger of major collapse would
be NIL. On the other hand, it must be
ADMITTED that the argument would be
very potent indeed if conditions were
normal.
The sales tax is said to be regressive.
The income tax is progressive-that is,
the greater the income the higher the
rate. Now man with an income of
$4,000 has to buy food and clothing
Just the same as the man with an in
come Of S1,000000. In the case of the
small salaried person, however the tax
on such articles would amount to a
much larger percentage of his income
than a similar tax on a rich person.
In other words, a man with a small
income would pay larger percentage
OF it in taxes than the man with q
large income.
Necessities Not Taxed.
The answer to that is, of course,
that under the bill framed by the
Ways and Means Committee neceSsi-
ties are not taxed. The ability to
chaser Is able to bear at least a small
tax. The situation Is certainly not
as bad as in the case of the general
property tax. The sales levy can be
avoided by refusing to buy. The prop
erty tax, on the other hand, must
always be paid, either directly or in
the form of rent.
These arguments against the sales
tax, therefore, are not entitled to
much weight, especially at a time like
the present, when it is absolutely i'm
perative that the Governments finan-
cial structure be put on a firm basis.
Even in times of prosperity. the sales
tax is a source of revenue which should
not be neglected by the Federal Gov
ernment. We shall attempt to show
that concluSively in a subsequent ar
ticle discussing the arguments in favor
of the tax.
The next article. appearing to-
morrow, will discuss the shifting of
the sales tax to the consumer.
Evening star., 1932-05-12
Senators Subpoena
Brokers i'm Probe
Of Stock Market
Men Who RefusedtoO Open
Books Are Ordered
to Appear.

BY the Associated Press.
A large number of subpoenas have
been issued by the Senate Banking
Committee to compel the appearance
tomorrow Of stock brokers.
Chairman Norbeck said today TIE
subpoenas had been issued calling for
the appearance of men who refused to
permit investigators to examine their
books in the committees stock market
inquiry.
The names Of the brokers were not
made public.
Norbeck said the number who would
appear depended upon the number
who have yielded since the subpoenas
were issued.
A meeting of the Steering Committee
in charge of the investigation has been
called by Norbeck for tomorrow morn
ing, at which time a decision will be
made as to the procedure against any
brokers who may refuse TO turn over
their records.
Evening star., 1932-05-12
TARIFF ADJUSTMENT
is URGED AT HEARING
Industrial Representatives Declare
Currency Decline Abroad
Hurts u. S.
ny the Associated Press.

By the Associated Press.
Enactment Of the Hawley bill to ad-
just tariff rates to compensate for de-
precautions in foreign money was urged
before the House Ways and Means Com
mittee today by several representatives
Of industry. Thomas j. Doherty rep
resenting the Iron and Steel Institute,
testified that goods imported from
countries whose curTencies have de-
preciated had increased from 38 to So
per cent Of entries under normal money
conditions
THE Government is involved because
It is getting less revenue" he said. THE
individual citizen is involved because
due to deprecated foreign currencies a
great deal Of cheap foreign goods is
coming in to aggravate the unemploy-
ment situation"
Charles H Herty of Atlanta indorsed
the bill on behalf Of the China clay
industry. He said the depreciation of
the pound in England "eatS up" the
protective tariff rate on China clay.
w. B. Greeley, former chief of the
United States Forest Service testified
for the West Coast Lumbermen's As
sociation.
Evening star., 1932-05-12
THREE DIE IN FALL
FROM GIANT STACK
Section of Big Cleveland Chimney
Hits Wreckers' Scaffolding.
Five Save Lives.

BY the Associated Press.
CLEVELAND, Ohio, May l2-Tnree
men plunged 100 feet to their death
yesterday within a great smokestack
they were removing at the plant of the
Cleveland Electric Illuminating Co.
They fell when scaff olding built in
side the stack collapsed, burying them
under masses of timbers and debris.
They were dead when rescuerS finally
reached them
The victims were Mike MarZik, Mike
Divich and Joseph Capor, all of Cleve-
land.
Five other workmen saved themselves
by grasping scaffolding ropes and drag
gtng themselves to the top of the
chimney.
Cause Of the accident was ascrfbed to
the breaking away of a great piece Of
the stack. which struck the scaffolding
and caused its collapse.
Evening star., 1932-05-12
ROB|NS0N'S PLAN
STRONGLY PRAISED
Young, Smith and Baruch
Hail Senate Proposal
for u. S. Relief.
BY the Associated Press.

BY the Associated Press
NEW YORK, May 12-Owen d.
Young, Alfred D. Smith and Bernard
M. Baruch all commented favorably
last night on the So 900 100000 Demo-
cratic public works program proposed
in the Senate today.
Young, chairman of the board Of the
General Electric Co., who is consid-
cred by many as a likely dark horse"
candidate for the Democratic preSiden-
tial nomination, called Senator Rob-
inson's proposal "the first comprehen-
Sive program which has been offered to
correct out present situation"
Smith, also an aspirant for the nom
ination, pointed out that he had sug-
gested such a program in an address
last January and later in a published
article.
Baruch, prominent financier, de-
scribed the program as sound, neces-
sary and effective" provided it is pre-
ceded with a balanced budget and
proper taxation to take care of inter
est and sinking fund requirements.
Young Sees Benefits.
Young's comment follows:
Senator Robinson's proposal in the
Senate today seems to me to be the first
comprehensive program which has been
offered to correct our present situa-
tion.
ON the one hand, it should restore
confidence by its inSistence on a bal
anced budget, thereby keeping the bonds
and the money of the United States
sound.
"On the other hand, 1t undertakes
afirmatively to put men and materials
now idle at work to provide US with
necessary, productive and self -liQuidat-
ing construction.
BY 30-hour week, work and earn
ing power will be spread to a large
number Of the unemployed. The relief
fund will be available as advances to
proper authorities to tide over present
uffering
Economies in Government operation
and heavy taxes to balance a budget
can, and / think will be, faced with
much greater courage and confidence
when they are part of a program which
contemplateS as a whole the relief of
suffering, affirmatively putting men
back to work and starting business in
materials
The experiment with the euualiza-
ton fee on wheat believe worth max
ing in the interests of the farmers.
II successful there, 1t can then be ex-
tended by experience to other agri-
cultural commodities.
Feels Need for Action.
"In any event, all agricultural prod
ucts should feel quickly the restoration
of confidence and buying power which
Senator Robinson visualiZes as q result
of his plan.
This plan, promptly adopted. should
aid in putting to work the increase in
our money volume and bank credit now
being provided by the Federal Reserve" 4"
Smith restricted his comment to a
long summary of the program which
he had suggested. 1t contained nine
points:
/. That an emergency public works
administration be set up to function for
one year, "or until the emergency is
over
2. That a public works administrator
be appointed by the President, with re-
gional assistants.
8. That the administrator have pow
ers corresponding to those of the various
Federal administrative agencies created
during the war.
4. That there shall be a prosperity
Evening star., 1932-05-12
CITIZENS MAKE PLANS
FOR JULY q PICNIC
American University Park Asso-
citation Adopts Resolutions on
Community Development

Plans for a July celebration and
picnic at Fort Bayard Park were made
last night by the American University
Park Citizens Association meeting at
Hurst Hall of the university
-Four resolutions on general phases
of community development were adopt
ed urging that zoning for detached
homes be continued commencing build
ers for improving standards in homes,
recommending that consideration be
given to placement of homes at a dis
tance from the front building line to
present a pleasing community appear
ance and impressing on public officials
the need for public Improvements in
the fast-growing community.
The next meeting will be held in
September. Herbert L. Brooks. presi-
dent Of the association, presided.
Evening star., 1932-05-12

n 70 tax has yet been devised that
did not contain certain de-
VI fects, and the sales tax is no
4 exception. An examination OF
its shortcomings, however. re-
veals that none of them is serious,
certainly not serious enough to outweigh
the advantages of a balanced budget
and the business revival that may be
expected to follow that happy event.
The principal arguments advanced
against the sales tax are that it results
i'll pyramiding, is difficult to administer
disturbs business until the necessary
adjustments have been made results IN
extravaganza by Government in times OF
prosperity, is regressive and is shltted
to those least able to bear it, especially
in times of depression.
Pyramiding means that the tax is Gu
mulated, because of sales made before
the completed product is sold. For ex-
ample, a cotton grower sells to firm
which manufactures yarn, the yarn
maker sells to firm which manufac-
lures fabric and the latter sells his
product to the manufacturer Of auto
mobile tires, who sells to jobber; the
jobber sells to retailer and the re-
taller to the consumer. II there were
tax on each separate sale, the cost
of the tire would be greatly increased.
The bill prepared by the Ways and
Means Committee follows the Canadian
law, which has stood the test OF many
years experience and imposes the tax
but once-namely, when the completed
product is sold by the manufacturer.
Sales to other licensed manufacturers
are exempt.
Gross Sales Basis.
It is said that the law would be diff
cult to administer. In that respect. the
sales tax would certainly be far superior
to the income tax, which fairly bristles
with technicalities. The basis of the
sales tax would be gross sales, and
there would be no questions involving
depreciation, inventories, gain from the
sale of capital assets. interest, losses
and bad debts. The principal trouble
would be with the exemptions, but
Treasury regulations could be expected
to cover the details in regard to them.
The trainers of the original bill sought
to avoid this difficulty by making the
exempt list very short. Later, they
added all food, wearing apparel. farm
machinery, and medicines mot patent)
Cases might also arise in regard to
what constituted manufacturing. For
example, is laying pavement or curing
tobacco manufacturing? There is
however, a wealth of court decisions on
this subject. which, undoubtedly, would
be followed by the Treasury Department
in interpreting the law. The Canadian
statute has gone a long way toward
solving these two difficulties and would,
quite likely be a great help IN enab-
ling us to surmount them.
Evening star., 1932-05-12
PLANE LOOPS 328 TIMES

CORDOBA. Argentina, May II (P).-
An army airplane Of the Bewoitine type,
manufactured in the military factory
here, yesterday was put through 1928
successive loops for what was claimed
to be world record performance for
a military airplane.
Lieut. Martin r. Cairo was the pilot.
Evening star., 1932-05-12
POPE GRANTS AUDIENCE

VATICAN CITY, May IL (P.-Pope
Plus XI granted an audience today to
Edward j. Hanna of San
Francisco, who presented Mgr. Thomas
F. Millett and Father Richard Collins
who are accompanying him to the
Eucharistic Congress at Dublin.
Archbishop Hanna said he found the
Pontiff in excellent health. Afterward
he paid a visit to Cardinal Pacelli,
papal secretary of state.
Evening star., 1932-05-12
COTTON ADVERTISING
! WILL COST $4,000, 900
Nationwide Drive TO Stimulate
! Retail Sales in $4,000 Stores
Set for Next Week.
By the Associaied Press.

BY the AsSocIated Press.
NEW YORK. May IA Nation
wide advertising and promotional CAM
paign to stimulate the sale Of cotton
products, involving an expenditure Of
some $4,000 900, viii be carried on
next week
In announcing plans for the second
annual National Cotton week, the Cot
ton Textile Institute last night said
most Of the money would be spent by
retail distributors for newspaper ad-
vertising.
Close to $4,000 department stores.
mems and women's apparel shops. drug
stores, shoe shops, grocery stores and
variety stores win participate.
Evening star., 1932-05-12

Gossarner wells with artificial eye
brows tinted 10 match the wearer's hair,
end embroidered In the proper place,
? Ass belng worn in RaxiA -
Evening star., 1932-05-12
Pueblos Served Transients.

Transient quarters, or apartments, "
used by the Pueblo Indians Of the thir-
teenth century have been found In Ari-
Zona caves.
Evening star., 1932-05-12

Note-This article, uritten by an
expert on tdIation methods in the
United States, is the second OF a
series designed to sIlotU t1hy the sales
tar should be adopted instead OF in
discriminate reDenue-rGiSing meas
ureS.
Evening star., 1932-05-12
DRYS WIN IN BELGIUM

DEFEAT BattIe 70 Modlty curb on
Liquor Consumption.
BRUSSELS, May IL P).-Belgium'
"drys" have won their battle with the
'wets" to prevent modification Of the
country's liquor laws.
They defeated amendments to the
present strict laws, which amendments
would have made purchase and con-
sumption of liquor an easier matter
than is now the case.
Evening star., 1932-05-12
TUM0R KILLS DRIVER
Growth on Brain Revealed After
Auto Smash-up.

A tumor of the brain was revealed
by an autopsy yesterday to have caused
the death of Henry A. Marsden, SO,
whose car, out of control, plunged into
a lamp post Tuesday night.
1t is believed the man suffered a
hemmorhage, caused by the tumor, and
lost control of the car. He was treat
ed at Garfield Hospital for fractured
skull
Evening star., 1932-05-12

70 tax has yet been devised that
did not contain certain de-
4 fects, and the sales tax is nc
Y exception. An examination o1
Evening star., 1932-05-20
BATTAL|NO MEETS
PETROLLE TONIGHT
BIood-and- Thunder Battle in
Order as Bat Goes After
Revenge.

BY the Associated Press
~ HICAGO, May 2o.-Episode two
of Billy Petrolle's and Bat Bat
\ 4 talino's blood and thunder hstic
show will be presented in the
Chicago stadium tonight.
This pair Of rough Italian boys
staged episode one in Madison Square
Garden last Winter, Petrolle winning
by a technical knockout in the twelfth
and last round. Tonight's showing is
billed for 10 rounds, and both have
made the usual predictions that the
bout will not go the limit
The bout shapes up as another one
Of those crucial" affairs, especially for
Battalino. After very creditable term
as world featherweight champion, the
Hartford youngster made a raid into
the lightweight ranks to knock out Al
Singer. He tried to take care of his
featherweight affairs, but was unable
to make the weight for bouts with Lou
Feldman and Freddie Miller, losing his
title by official edicts of the National
Boxing Association and the New York
Athletic Commission.
Successes In heavier divisions fol-
lowed until he met Petrolle. Petrolle
almost knocked his nose of, and Bat
Is back to get even for that one, and
prove that he is still a championship
contender.
Petrolle has been washed up two or
three times, but always has come back
just little bit better each time.
Petrolle was to S and to 5
choice. Around $4,000 spectators were
expected to sit in the stadium's red
seats.
Evening star., 1932-05-20

second forced across the tying tally, but
the runs were put on by Crowder.
In the tenth, however. the Nationals
hoped on Wells for triple, two passes,
a single and a run. Then Brown came
on to pass Myer and push across the
final marker of the fray.
Three homers driven into the right
field bleachers marked the first three
innings Of the second game. Ruth got
his eighth of the season with one on
in the first frame, to give the Yanks
a two-run start. After the Nationals
had checked this score in the second,
West hit homer in the third follow
ing single by Manush. In the home
third, though, four runs were made, a
circuit drive by Dickey accounting for
the third and fourth.
The Yanks got another run of Rag
land in the sixth. Then the Nationals
got busy. When Ruff1ng went wild in
the seventh and Rhodes also had trouble
with his control the johnson band tied
the score. In the eighth wild pitching,
mixed with three hits, got the Nationals
three more runs, and in the ninth they
clouted their way to two tallies.
Brown started unsteadily in the sew
enth, but great catch of Lazzeri's
drive by West kept Lloyd out of trouble.
Sammy got the ball over his left shoul-
der in deep center while under full
headway. Thereafter Brown had every
thing his way.
Evening star., 1932-05-20
Upset Dope With Double York Pitching Wabbb
WALBERG FAILURE
AS MACK REGULAR
Southpaw Is Routed in Five
StartS-Cubs Win in IL
Innings, Boost Lead.
By the Associated Press.

By the Associated Press
~ ONNIE MACK, able leader Of
the Athletics, appears to have
Y lost hope that Rube Walberg,
the big left-hander, who won
20 games for him last year, will recover
MS winning form and be Of any material
assistance.
Walberg, one Of the big factors in
the AS drive to third straight Ameri-
can League pennant last season, has
been a great disappointment. He has
started five games, been knocked out
OF the box in all-and thus far Is
charged with four losses and no wins.
Mack, as a result, has about quit
starting his former star and has fallen
on Grove, Earnshaw and Mahaffey to
carry the burden. Only once in the
last three weeks has Walberg been given
a starting assignment, and that time he
was crowned by Cleveland.
THE rookie Merit Cain was regarded
l. as a possible replacement for Wal
berg in rounding out the staff's
big four, but he failed when given O
starting spot against Detroit the first
Of the week.
With all his pitching problems, how
ever, Connie Mack still can summon a
smile when he observes the way Jimmy
Foxx is betting the ball The stocky
first baseman is having one Of his great
est years.
He came up in the first inning yes
terday with the bases loaded and crack
ed the pellet over the left field stands
for his eleventh homer and enough
runs to beat the Boston Red Sox, 4-2.
TT was the AS third win in a row and
i boosted them to an even 500 stand
ing for the first time in a month.
Burleigh Grimes was hit hard, but
silenced Cincinnatis guns In the pinches
as the Chicago Cubs went IL innings
to win, 4-3, and increase their lead In
the National.
The Pirates got to Joe Shaute and
Jack Quinn for two runs in the last of
the eighth to edge out Brooklyn in their
final, 81.
Half of the clubs in each league
spent the day travelling.
Evening star., 1932-05-20
Rain Clouds Gold
Lined i'm St. Louis
BY the Associated Press.

BY the Associated Press.
CT. LOUIS, May 20.-"Welcome as
- the showers in May" might ap-
propriately be the theme song
Of the st. Louis Cardinals and the
Browns.
Lifting the ban against so-calle6
synthetic double-headers," SO far as
the two clubs are concerned, an
nounced from New York yesterday, is
expected 10 put more clicks in the
turnstiles, with Sunday twin bills as
the drawing card, and boost the flow
Of money into the treasures of the
two clubs. A light Summer shower
on a week day hereafter will enable
both Cards and Browns to throw in
an extra game to draw bigger crowds
to their bleacherS on Sundays.
Twice already this season the Car
dinals have postponed week day
games, blaming the weather. The
ardinals-Dodgers game scheduled
for May o was postponed because 1t
was cool In the morning, though the
temperature was IS degrees at the
starting time for the game. Again
last Monday, the Cardinals Braves
game was postponed after a rainfall
Of two-hundredths of an inch
had fallen at 10 o'clock in the
morning.
Evening star., 1932-05-20
JOHNSON EXPECTS
THREETEAM RACE
But Pilot Rates His Club Bet
ter Balanced Than Yanks
or Mackmen.
BY EDWARD J. NEIL,

AsSOCldLeQ RIeSS SpOrtS writer.
n TEW YORK, May 20.-The
M visitors locker room in the
1 Y Yankee Stadium was full
Of steam from showerbaths
and bowling, exultant, naked saw
ages. Only one man was in full,
philosophical control of his senses
as he sat, naked as the rest,
squatting Mahatma Ghandi, on
the top Of baggage trunk.
you see," pointed out Walter John
son, that's how a ball club can look
when the pitching goes very bad.
That's the way our boys looked losing
four straight to the Browns That's
how the Athletics looked until Grove
and Earnshaw started pitching"
He was talking about the New York
Yankees, the current hysteria of the
American League, who had just been
made to look very bad indeed, losing
both ends of a double-header to john
sons Senators, 8-6 and 1921.
Pitching Prime Factor.
"The Yankees have been getting
great pitching in that winning streak
and so they looked immense. Then
the pitching goes bad, like 1t did there
today, and they look like any other
ball club, only worse.
But don't let it fool you. They'll
look good again when they get the
pitching, and just how much pitching
they're going to get over a full season
Is what's going to determine how high
they stay They can't win unless some
of their young pitchers come through.
Brute strength won't get the Yankees
by"
The great Highlander Of another
decade paused just long enough to see
If any Of his gleeful athletes had over
looked q vacant shower, but no one
had
"Of course, we can't win without
pitching either" he continued, "and the
Athletics are in the same boat. We all
look good when the boys are turning
the batters back for us. And we look
terrible when they don't.
Expects a Dog Fight.
'But I look at the situation like this
right now. This Washington club Is
better team than, last year. The YAM
KEGS have improved. particularly their
youngsters and their pitching. The AS
are coming back right now, but they're
not quite what they were last season.
So you can see it's going to be q dog
fight among these three, right down
through the season.
1T don't figure much on what's hap
pening right now, because it'll be pretty
far behind by the time August comes
around. I think we've got hetter club
than the AS know we're q Better all
around team than the Yankees-better
balanced, better defensively and equip
ped with better pitching for a season
grind.
But I've got this hunch. Wen be
Just heads apart, all three OF US, by the
time September rolls around.
Evening star., 1932-05-20
D. C. BASKETERS WIN
INTERCITY TOURNEY
Haverhill, Brooklyn, Boston and
Woonsocket Beaten for
A. z. A. Frat Title.

A. z. A. Fraternity basket ball team
Of this cityH won the organizations
Eastern Conference championship by
defeating the teams of Haverhill, Mass,
80 to IL; Brooklyn, N. Y, "a to Is; Bos-
ton, "a to 10, and woonsocket, Conn,
% to 20.
Members Of the Washington quint,
who received gold medals in recognition
Of their victory, were Norman Frieden-
berg, Bits Goldberg, Shorty Levin. Gus
Mirman, Able Abelman, Meyer Koonin
and Bert Abramson.
The District teams record for the
season was as victories in 80 starts.