The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1933-11-03

Liquor sociate with the
Question fourth estate. in
Washington, is re
plete with cartoons and sketches
They are the work of the best of the
profession who present the ideas OF
news and conditions usually. Among
them is cartoon depicting beer keg
personified. 1t carries the caption
Don't make a fool of yourself!" The
cartoon was drawn just after three.
point-two beer was legalized.
But, while the cartoon was directed
to beer and beer drinkers, some of the
officials of the present administration
have taken the thought most seriously
in its application to the general liquor
question. AS result, they are now
engaged in studies by which they hope
to make it impossible for hard liquor
to make fool of itself when it comes
back for legal sale, probably in time
for Christmas celebrations.
Under Secretary Acheson, Of the
treasury, tells me that it is one of the
most delicate problems with which ne
has had to DEAL 1t involves social
questions of far-reaching conse-
quences; it touches vital spots in the
government financial situation because
of the probable revenue from liquor
taxes and besides these 1t still remains
political issue despite the over
whelming sentiment for repeal that
has been shown.
Mr.. Acheson pointed out how all of
these questions were interlinked, and
that fact has not made their solution
easier. For instance, he suggested
that the committee of representatives
from several departments Of the gov
eminent were searching for proper
tax level. If the rate of tax were too
high, it would make liquor cost more
than most consumers would be willing
to pay. The result most certainly
would be return of large number of
bootleggers, from whom the govern
ment would get tax only when it
caught them. If the rate were too
low, the legalization of liquor would
have netted nothing, for one thing to
be said in its behalf is that it will pro-
duce revenue for government sorely
needing it.
If the federal tax rate be too high,
also, there would be little of the posi-
BILE tax left for assessment by the
states, and they need taxes as we'll.
Further, a tax rate too high would
naturally react against the sale of the
raw materials used in distilling liquor
and force those prices down. Such q
rate obviously would hurt the farmers
who grow so much of the raw mate
rails.
Besides these tax questions, there is
still another. Mr.. Acheson suggested
that to get the maximum revenue, the
committee is looking around to deter
mine what the difference in rates
should be on wines and beer as dis
tinguished from whiskys and the high
powered stuff.
Under the new amendment, the re-
pealer, it is hoped by government
leaders that there
No End of can be a measure
p..LI of control exercised
that will rid the
country of saloons to some extent.
There certainly is sentiment for dis
tribution only in packages. That,
however, is up to the states, but the
federal government nevertheless is
studying the question.
Practical problems of the liquor
trade likewise must be considered,
and there are any number of legal
questions that must be ironed out. As
an example of the legal problems,
am told that while it is natural to sup
pose repeal will take away the foun-
dalton of the Volstead enforcement
act, there are nevertheless a good
many provisions of it which can stand
by themselves. Congress had author
ity to enact them even though the
main features of the enforcement code
must fail when the Eighteenth amend
ment becomes just matter of his
tory. This condition obtains with re-
spect to numerous other laws, includ-
ing the so-called Webb-Kenyon act,
which for years has prohibited ship
ment of liquor into states where pro-
hibition is operative. 1t was predi-
Gated on powers of congress to regu-
late interstate commerce as were sew
eral other pieces of legislation dealing
with the liquor traffic.
The committee working under Mr..
Acheson is going to the bottom of the
questions and ought to be ready to
make a report to the President within
the next few weeks. Mr.. Roosevelt
wants all of the data so that he can
advise congress what he thinks ought
to be done just as soon as it convenes.
otherwise, the federal government will
be unable to do anything about liquor
control for good long time.
Gen. hugh >. johnson, national re-
covery administrator, is having his
troubles with some of the writer's and
observers in the Capital He has re-
fused to admit one of them, a trade
magazine representative and business
adviser, to his press conferences and
has "blacklisted" another who for a
long time has served business with a
weekly 'letter" of opinion and con-
clusion respecting government affairs.
Each case seemed to have had its
origin in frank statements by the in
dividual concerned about General
Johnson's policies. The general did
not like it. He retaljated. The result
has been prolonged, and sometimes
quite bitter, discussion of the generals
rly 70 "a