The Western news. [volume] (Libby, Mont.) 1933-current, 1935-07-18
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BY JAMES PRESTON

Announcement that President Roose-
welt is to begin a stump speaking tour
Immediately after congress adjourns in
an effort to recapture some of his pop
ularity with the masses of the people
has definitely established that the next
presidential campaign will be underway
long before next spring. The presidents
swing, coupled with the renewed activ-
ity by the republicans, marks the be-
ginning of what probably will be the
most historic campaign this country has
known in many years-probably since
Woodrow Wilson went down to defeat
on his League of Nations issue.
In this connection. the White House
secretariat was quick to follow its an
nouncement of the presidents tour with
a denial that there is any parallel with
President Wilson'S turn from a rebuff
by the senate to an appeal to the peo-
pie, only to find they stood with the
senate Mr.. Roosevelt's lieutenants point
out that, he,does not stand defeated
on the whole at the hands of congress,
as did President Wilson when he began
his swing around the circle.
There is no doubt that Mr.. Roose-
velt's first speech in Milwaukee will be
watched closely by political observers
for any further hints that he intends
to make the amendment of the Consti-
tuition to curtaiI states rights the major
issue of the campaign Not only will
republicans be waiting, but SO will
many Southern democrats who reput-
eddy have already slipped a number of
warnings to the White House to shy
away from the Constitution and the
supreme court as issues. There is too
much of a threat there of a split in
party ranks, they point out, with sena-
tors Moore Of New Jersey, Byrd of Vir-
ginia, and others within the presidents
own party already on record as OPP
posed to such campaign. Despite these
warnings, which would make it difficult
for some democrats to get back on the
bandwagon, Mr.. Roosevelt has given
no hint he has backed up on his in
dications that he does not intend to
let constitutional difficulties stand in
the way of his determination to CEN
tralize control Of local affairs more
closely in Washington.
This apparent decision to push ahead
despite admonitions from democratic.
leaders that the support Of the country
is slipping away from the reform legls-
lation is best shown by the tossing OF
the taxation message to the capitol I'M
expectedly. Probably never were the
spokesman of president in congress
more surprised than when they were
ordered to drive through a tax bill be-
fore adjournment.
AS one observer pointed out, attempts
to balance the budget can only be
made in the light of expenditures for
the coming year, and these will not be
compiled until December. Even then, it
is not possible to raise enough taxes
by any means to balance the budget so
long as billions of dollars are pouring
out for relief and made work" prof.
ects. For instance, even were it pos
sible to drain another billion dollars in
taxation off of the people today, the
budget still would be billions Of dol
lars out of balance with the constant
threat of an impairment of the national
credit.
1t is not generally realized that the
present tax. rates are already produc
ing larger revenues than the govern
ment received in any year from 1923
to 1928. They were nearly 80 per cent
larger this year than in 1882; they have
produced 1910 this year for every S2.10
they produced in 1882. The trouble with
the budget, therefore, is not in the tax
rates. The trouble is in the expendi-
lures and in the fact that business is
only partially recovered. A recovery
which makes possible reduction of
expenses will also, without raising the
tax rates, increase the revenue. On the
other hand, no matter how high the
tax rate, revenues cannot be greatly
increased without greater business
activity.
IF the Administration will concen-
trate on recovery it can readily balance
the budget says Walter Eppman, ma
tionally known writer on economic
subjects. IF it will not concentrate on
recovery, it will not balance the budget
merely by raising the rates
4 N 80 .