Evening star., 1932-04-24
Britain Disappointed
BY Balanced Budget
BY A. @. GARDINER.

LONDON, April 23.-"Disappointed
stOtcism" describes the feeling of the
country with regard to the budget. All
expectations Of relief from the burdens
Of taxation are dissipated, but satisfac-
ton is felt that the budget is balanced
IN q year when many countries are
bankrupt and the richest countries,
like the United States and France. are
faced with vast deficits, - q 80
Tne achievement was due to the ex-
traordinary response of income taxpay-
ers, but general doubt Is expressed as
TO whether, in the, absence of some
drastic turn in the tide of world af.
fairs, the feat can be Accomplished
again. even with the adoption Of tariffs.
The new duties announced this week
consummate the complete triumph Of
the pfoteetionists and, apart from the
TACT thst the free import Of food and
raw materials Is still preserved, the
country is now among the high tariff
nations. But the anticipated revenue
from the tariffs is a mere flea bite IN
comparison with the vast necessities of
the treasury, and the protectioniSts.
Wno expected relief from taxation 10
result from the new policy, are severely
disillusioned
The painful fact Is clear that the
possibility of balancing the next BUDGET
rests On the income taxpayer and that
with the catastrophe decline in trade,
resources are approaching exhaustion,
including the provision for death duties.
taxstion in the case OF the wealthy
reaches l6 shillings IN the pound and,
as Sir Ernest Benn points out in the
Lonoon Times, taxation no longer Is
limited TO earnings, but is eating up
tne capital OF the country to an alarm
ing extent, with disastrous CONSEQUENCES
70 business enterprise. The question is
own fat. VII I've
The only hope of checking the rses
70 rum is by reduction Of expendi-
lures and, while the national govern
ment s praised for having stopped the
expansion Of the wild extravaeances AZ
puDhc expenditures characteristic Of
post-war years, 1t is agreed that this is
not enough and that unless further,
drastic economies IN public services Are
eHecteo national solVency is in trnr1i.
nent peril -' -'''ii'i-
Inc cnler criticism of Neville Cham
1erlain chancellor of the excheuuer. L.
directed to the fact that he lacked
courage 10 lace the unpopularity conse-
quent on using the surgeons knife
rutnlessly But this is the price of
democratic government. Even the Ma
tionaI government stands in awe of the
electorate and of Labors anxiety 10
recover power by exploiting the grtev-
ances OF the poor and the discontent-
menus OF an enormous portion of the
services.
Some unfavorable comment prevails
IN regard to Chamberlain's bald otnis-
sion to provide for war debt payments
10 America and the omission of repara-
tlons on the other side of the account.
and views expressed on the subject by
Senator Borah of Idaho and Senst0r
Heed OF Pennsylvania have attracted
attention here. The explanation. as
the Manchester Guardian remarks.
seems to be that all the governments
concerned have entered into a con-
spiracy OF silence about the war debt
question until the Lausanne conferences
In June enlightens the situation, me
result Is to impart rather q fictitious
ar 70 certain sections of the French.
British and American budgets.
For the moment the Balfour note
Poncy-which equates receipts from
Germany and the allies-stands but
that policy is not irnnutabie. and the
spectator expresses the view tlnat man.
iiestIy the time has come when reDara-
tions and the American debt must be
considered separately.
All hopes here center on the achieve
ment Of a final settlement Of repers.
tions at Lausanne. whether on basis
OF complete cancellation or heavily re-
duced payments by Germany. With
such q settlement and a favorable issue
TO the Disarmament Conference. II IL
felt that the problem Of debts to Amer
lea viii not be found dificult to solve.
In any case, reparations settlement
Is vital and preliminary to any posi-
bility Of world recovery from the present
cAlamit0us drift to universal ruin. -
(Copyrieht. 1920 2 ~ Ntf =