Voice of action. [volume] (Seattle, Wash.) 1933-1936, 1934-12-14
TheFRONT
LINE ALAN BY MAX
Townsend Old Age
Pension Plan

The hackers of the Common
wealth Bill Economic Reha-
Utilization Act of 1885, which
was discussed in this column
last week, are defending them
selves with the excuse that the
bill was only draft bill and a
new bill will be drawn up any
way.
We are anxious to see the
new bill. But one thing is clear
in advance: Any bill that starts
out to save money for the
bankers and to protect the cap
italist system, will do so at the
expense of the masses. So the
harder the Commonwealth
Democratic leaders work over
their bill, the worse it will be
for the working class.
We see a similar example in
the Townsend Old Age Pension
Plan, which is gaining consid-
cradle support throughout the
country on its promise to take
all people over the age OF 6O
out of the productive work and
supply them with 5000 a month.
The entire $500 must be spent
every month. This, according to
the plan, will edo away with
unemployment, crime, poverty,
greedy accumulation and bring
back prosperity"
How does the plan propose to
raise the money? By using war
funds? BY taxing the incomes OF
the rich, as called for by the
Workers Unemployment Insur-
anee Bill?
Not at all. Because, accord.
ing to DR.. Townsend, "the plan
interferes in no way with our
present form of government"
And it proposes to raise the
money by 10 per cent sales
tax.
The sales tax is the plan OF
bankers throughout the coun-
try for reducing their income
tax and putting the entire bur.
den on the masses Of people.
The sales tax puts a tax on ev.
erything the workers and farm.
ers have to buy-and every pen.
ny they earn goes into buying
food, clothing, etc. But the cap.
italist, whose income is much
greater than the amount he
spends, would be taxed only on
his spending and not on his in
come.
Is it any wonder that the
bankers in New York have al
ready put through a sales tax
which boosts the cost of living
for every worker? Governor
Martin announces that only
sales tax in Washington will be
able to meet expenses"
But even with a 10 per cent
sales tax, the Townsend Bill
could not keep the promises il
makes. The eight million PEG.
pie eligible for the pension
would require, under the plan
$1,6OO,OOO a month. Even if sales
were as high as in 1928, a 10 pei
cent tax would only provide
about % per cent of the money
needed.
The bill proposes to increase
the volume of business by in
creasing the amount OF none!
in circulation. 1t is under cove
of this false theory that all thu
New Deal policies of subsidiz
inn business, have been made
But business does not in
crease as the amount OF none,
in circulation increases. Not tn
volume of business, but price
jump up! An increase in price
lowers the standard of livin
and cuts down the volume 0
business.
Only by abolishing the cap
italist system, can this probler
be solved as it is in the Sovie
Union.
The Workers Unemployment
Insurance Bill tHR 1888 and In
itiative A. makes no attempt t
prolong the life of the capita
list system. 1t is concerned onl
with the welfare OF the masses
not with the pockets of the ricl
1t is concerned with the ric
only to the extent of maxim
them provide for relief for tn
16,0OO,0OO unemployed.