Plentywood herald. [volume] (Plentywood, Mont.) 1908-current, 1935-07-11

ate. assumed responsibility for tn,
misunderstanding. None the less
hostile speakers insisted that Thu
was a face-saying declaration ana
that the Mississippian took tn.
rap for the executive.
While the Presidents program O
higher taxes on wealth indicates q
trend towards redistribution, it Is
not much more than a revenue rails.
or. However, it does mark the full
recognition of an intention to use the
taxing power to attack an economic
system that 1t is estimated permits
one-tenfh OF one percent OF our fam.
lilies at the top to get as much as
forty-two percent OF our families at
the bottom. Moreover, tax experts
wonder how many OF the great for
tunes Of today will be affected. The
p~OsseesoTs have seen the signs long
enough to make every effort to get
them under cover as far as possible.
Along this line 1t is noted that last
year there were outstanding shout
$44, 900 900, 900 in securities that
tax exempt. The constitution
al amendment to end such issues In
future is also a part OF the program
that has been advocated by Secretar-
les OF the Treasury. Glass, Houston
and Mellon.
The gold clause cases came to the
front page again when President
pnnco~ytsc .,.tv Atrhth a.
Congress asked for legislation max
Ing 1t impossible for any one to sue
the government for the 69-cents diff
ference between the value OF the
present dollar and the old gold dol
lar. Readers recall that the Sup.
RENE Court, in upholding the gov
erDments right to change the gold
content Of the dollar refused damag-
es to the plaintiffs because the de-
preciated dollars were worth more in
purchasing power than the gold dol
lars loaned the government. How
ever, IL an actual loss could be
shown, the Court said the govern
snent would be liable. This might
become important II prices rise above
the level Of the war4bond era and
bond holders sue-theref0re Cong
ress was asked to terminate any
consent which the United States
may have voluntarily given to be
sued on its securities, coins or cur
rencies -
With more than nine billion dol
lars in gold the Treasury continues
its policy of storing 1t in interior
vaults rather than in less vulnerable
coast cities. Several months ago
about one-third of the precious met.
al was moved from San Francisco to
New plans include all I'm.
pregnable s~ubterranean vault at Fort
Knox, Ky, to hold most of the bill
lions O stored in New York and
Philadelphia. Thus the nations re-
serve is to be safeguarded from pos
stble invaders by its mountains-l
he Rockies In the West and the Ap-
in the East.
stt |
Readers may be interested in the
national debt which, at about $685.
100, 900 900, sets a new high record.
III 1CIO Tic utut WdS l,6VU,VVu,VVv
and the war carried 1t to 1854
BOO, 900 by 1919. SURPRISES cut it to
SIG, 1856 900, 900 by 1880 but the de-
preston added $4,000, 900 900 during
The last three years of the Hoover
administration. Since President
Roosevelt assumed office the debt
has gone up about $4,000, 000, 900.
go
The cost OF carrying the debt,
however, has decreased cOnsderab
ly. In 1921, when 1t was smaller. an
average interest rate Of 4.34 per cent
made the governments annual
for interest 1899 900, 900. To
lay the average rate is less than 8
and the annual cost Is alb
put $500, 900, 900. With the $4,000
)OO, 900 work relief funds added the
.otal cost will be less than the in
terest paid in any year from 1920 to
1924.
Naturally, the nations credit is
important. In spite of all the talk
Of "reputiating solemn obligations
and abandonment Of the gold stand
ard one finds the market for govern
ment bonds unusually strong, with