Evening star., 1934-01-05
ROOSEVELT BUDGET.
STAGGERS BRITAIN
But Writers Fail to Mention
That England's Debt Is
$4,000, 100000.
BY Cable TO The Star.

BY Gable to The Star.
LONDON, January 5.-The Roosevelt
budget staggers Great Britain. But
more because of its staggering candor
and boldness than for fears as to its
failure.
Critical editorial writer's desiring to
retort against what the London Daily
Telegraph calls his gallant refinance
or orthodoxy" play up the Stupendous
increase entailed in Americas national
debt "An astronomical deficit" de-
clares the London Financial Times.
To-day will be no day of celebration
for the American taxpayer" declares
the London Financial News. asserting
% that the Federal debt will be in
creased by S17,000,000,0 900 in four and
a half years for about three-fifths Of
which President Roosevelt will be re-
sponsible); 90 that the interest on this
| at 5 per cent (Which it says the Ameri-
can Treasury will eventually have to
pay on long-term loans) and amortiza-
tion at only l per cent will be equiva-
lent to approximately 30 per cent of
the current years total budget revenue. "
British Debt Not Mentioned.
British editorial writer's, however. do
not call attention to the fact that. even
though President Roosevelt admitted
that the United States national debt
as the result of the budget proposals,
will be increased tc $4,000, 900 900,
| Great Britain's national debt is already
! S7,500, 900, or at today's rate of ex-
change. more than S38 500, 900 900
Against each head Of population, that
works out roughly at S270 for the
| American and $940 for the Britisher.
! Another outstanding distinction the
| British editorial writer's fail to draw
is that the huge increase since 1914
/ of more than f7000.000.0 900, or $685.
100000 000 was the debt on account
/ of the last Great War, and whereas
the service on Great Britains national
! debt consumed less than Is per cent of
Great Britain'S budget the year before
the war and only l6 per cent of the
national income today, Great Britain S
| back breaking national debt takes ap-
proximately 40 per cent of its budget
and 10 per cent of its entire national
income
These are Illuminating figures to con-
traSt with the London Financial News
assertion that President Roosevelt S
/ borrowing for emergency expenditures
Will increase the national debt so that
| its service would consume 80 per cent
/ Of the current years admittedly low
! revenues.
Armaments and Relief.
Another contrast that might be drawn
is that Great Britain's $35,000,000 900
increase was for shot and shell destruc-
ton. where as the American S10000,-
| 100000 increase under President Roose-
velt's emergency program will be for re-
| lief work and tangible lasting recon-
! struction.
All that can be said is that. If the
whole recovery policy is a success. il
will be due TO combination of the
present emergency measures with the
! natural economic causes now beginning
to make themselves felt throughout the
| world, and there is no reason why this
| expectation should be disappointed.
"All depends upon the soundness or
| otherwise of the belief that American
prosperity can be restored to the level
which it had attained before the onset
Of the depression: and there can be
/ few prophets who care to commit
themselves further than to say that.
given Americas enormous resources
and capacities of the people such a
restoration is possible even within SC
short period
Position Called Grave.
This encouraging judgment is from
an editorial in the London Daily Tele-
graph, a strong conservative organ
which yesterday said that President
RooSevelt's recovery program was neal
enough to Socialism to be pardonably
mistaken for it
obviously the position is one OF
! immense gravity, but there is nothing
new in that" it continues. President
Roosevelt is heading the Nation In a
! desperate fight for economic self