Evening star., 1932-10-14
Diminishing Postal Returns
Create Demand for Chan ye

Announcement Of reduced receipts
from mail service impresses on the
public mind the law Of diminishing
returns" especially in view OF sugges-
ton from a congressional subcommittee
that first class postage be restored to
cents after doubtful trial Of the higher
rate. 1t is pointed out that some busi-
ness houses are handling their own
deliveries of statements and bills. and
there is fear that the practice may be-
come permanent. It Is also felt that
the Government overlooked the primary
purpose of the Post once Department
as an aid to communication.
The Scent postal rate" advises the
San Francisco Chronicle. "is aQ exam
pie of what the wrong kind Of taxation
can do to the thing taxed and to the
Government receipts" That paper con-
ceoes that "the result did not kill the
goose that laid the golden eggs." but
holds that "the goose has been badly
crippled" The Oklahoma City Okla
homan suggests that until the 1892 tax
laws were passed it was generally be-
lieved that the Postal Service was one
of a few selected governmental services
which should be supplied at cost to the
consumer, but in the general scramble
W DolA1lCC Vic buNSck bliAo " AlClPiCi
heretofore considered sacred, was aban-
doned, along with the economic prin-
ciple upon which 1t was founded" That
paper states: 1T has been learned that
people can do without stamps as well
as without food If they have no money
and that, in view Of the proposed
restoration of the old rate, 1t is crafty
ing that it will make it easier for the
unemployed man to make connections
with q job and for the average citizen
to keep his Congressman at Washing
ton in the path Of Righteousness.
~ X \
The high postage, according to the
Hartford Times, has led many utility
companies and large mercantile estab-
lishments to distribute their monthly
bills and statements through the use
of their own employees" and the Times
observes that 1.-The fact has become
clear that the Government has invited
the law Of competition to enter the
field" It concludes that there Is nc
solution except to bow to the situation
largest returns" The Charlotte IN. CO.
the tax on checks, and points to the
practice of using counter receipts and
drafts, adding that high taxes, high
postage rates and high commodity
prices eventually defeat their own pur-
pose"
Experience with postal rates." in the
opinion of the Fort Worth Star -Teiei
gram, discounts any attempt to use the
revenue Of the Post Office Department
for any other purpose than that Of
properly extending the service and
keeping as far as possible from under
the operations Of those gifted by au-
thority with the franking privilege.
The Star Telegram sees proof Of "the
fallacy of the theory that Q billion
dollars gross at cents per ounce will
gravitate gracefully into one and hall
billions at cents"
There Is even the danger. states
the New Orleans Times-Picayune, that
business may devise so effective a means
of handling much Of its former mai
that the Post once Department woult
lose permanently large part of it:
income" That paper concludes thai
If this meant impairment OF the Posta
Service. with lowered salaries and los.
of efficiency, it would be . nationa
calamity" The Rock Island Argui
quotes an executive of the National As.
sociation Of Post ONCE Clerks to ths
effect that zone result Of the increase
Is enforced idleness among postal work.
ers," and recalls the statement from thu
Subcommittee on the Post once ant
Post Roads favortng the introduction o1
. bill on the opening day Of Congress
In December to restore the 2-cent rate.
AT best" says the San Antonio Tx.
press, there Is too much tinkering Will
the postal rates-and all to no purpose
Experience with the 2-cent post card
which killed such business almost com
pletely-should have taught Consres
lSett9 than = yaA1a l1ttsT rates with ~