, 1935-01-10
WASHINGTON
BY George Durno

who first thought up the idea OF
applying a 2 per cent sales tax and
Herewith giving all persons over go
years of age $500 a month-provid-
ed they spent the $500 as fast as
they got 1t.
Senator John G., Jr., shudders at
the very thought. His complexion
goes from blood red to dead white
when the subject is mentioned as
being his baby.
Error-The senator is NOT re-
sponsible for the following discus
sion OF the Dr.) Townsend plan
This correspondent enlisted the aid
OF a very able statistician to figure
out what it would mean in dollars
decimal points. etc. Here's the an
Swer:
In these United States there are
today well over .10,0O0,00 o persons
60 years Of age and more
II each of these persons we're Civ
en- annuity of $4,000 the total would
amount to more than twenty-four
billion dollars per annum.
Aggregate sales in the United
States in 1888. as reported by the
census Of American business,
amounted TO fifty-seven billion. This
broke down into 80 billion wholesale
and Is billion retail. The year 1888
was an uphill year and better fig
ures now apply Apt 1t was the last
so far for which we have official
statistics.
Taking that year as a barometer.
the Townsend 2 per cent sales tax
could have been applied on 81 bill
lions Of sales in order to raise the
"a billions necessary to pension the
fast-spending oldsters.
Twenty-four billion is AZ per cent
Of 81 billion dollars.
Our ast-calculating statistical
and financial wizard decides Tho
good Doctor must have inadvertent-
" mislaid the Il" which should have
preceded the q" in that 2 per cent
tax business.
Harrington the day congress
opened-which also happened TO be
the second day of the sensational
Lindbergh trial-the Pan American
Always company appeared before
the post office department in wash
ington and waived its right to
hearing on the question Of why IL
foreign air mail contracts should not
be modified or cancelled.
Chances are you never read about
IL. Big news was coming in every
direction that day. Yet the Par
American action vas unprecedented
Before the crocuSes bloom you may
be giving your nevspaper-readine
attention TO this Airway that links
North and South America.
Inside word is that Pan Ameri-
can moved heaven and earth to get
a private hearing. They were due tc
answer questions put to all ocean
lines benefitting from mail subsidy
and show cause why that subsidy
was not excessive.
Heavy pressure failed to bring on
an executive session. Men who have
close contacts in the situation say
lpcst office investigators had develop
ed information to which Pan Ameri-
| can elected not to reply.
Pan American Is unique among
all commercial air carriers. 1t oper-
ates at present exclusively between
Florida and South and Contra.
American countries and the West
Indies. II has been heavily subsidiz-
ed by the government with the par
ticular blessing Of the War anc
| Navy Departments.
When all domestic air mail con-
| tracts were cancelled peremptorily
| Pan American remained aloof 80 far
as official action was concerned. Be-
ing concerned in the transportation
| Of foreign mail only. they waited tc
take their place with AZ steam
| ship lines and one other air line al
a later hearing. The ether 43 appear
ed.
Investigatos-Col. Charles A
Lindbergh, as an official Of a do
nestle line. appeared before a sem
ate committee and forcefully con-
| demned the cancellation Of those
! domestic contracts. He based his
objection primarily on the fact none
Of the lines had been given a hear
ing.
Lindbergh also is technical adviser
TO Pan American. which has nov
| waived its right to a hearing.
Carl Ristine was appointed spe'
cial assistant to the attorney gen.
eral at the time the air mail situa-
ton was hot for the sole purpose Of
following through on possible lega'
action. Since the post office depart
ment investigation of foreign mai
subsidies has been on he has moved
his office into jim Farley's build
ing. Recently he made a tour which
took him into Mexico in quest oil
information. Fifteen investigators OF
more were delving deep.
Warning-Citizens Of voteless
Washington are having their auto:
scooped off the streets and into
garages regardless.
On the assumption that mucl
snow will fall in the next month OF
so. and that parked cars will i'm
pede city workers in clearing Of
that snow. an ordinance has beer
ISSUED prohibiting parking on arter'
ial streets between ? a. m. and 8 a
m
The payroll is that there is onl,
garage space in the nations capita
10 take care Of IS per cent OF thu
autos here owned. The anti-snov
order won't fill the garages but the
flivver owners are wondering wheth-
er 1t doesn't forecast a genera
abolition Of night parting.
nafanAar-nrn ~ fornnr Drqgi-