Evening star., 1936-02-13

-SGSSm
Less caution will be displayed later
in regard to the bonus taxes, because
the New Dealers half expect Congress
to walk out without enacting bonus
taxes.
But the important thing now is that
the New Deal program has been pri-
vately concluded, that it contemplates
approximately s635,000,000 of new
taxes and no more (no income, sales
and corporate increases). No addi-
tional legislation will be requested.
No pending legislation is considered
important, except routine continuance
of neutrality and routine Government
appropriations bills.
That is all business men and poll
ticians need to expect.
Real Expenditure Cut Seen.
Hottest inner discussion now con-
Germs President Roosevelt's sincerity
in curtailing expenditures.
New Deal moderates are jubilant.
As they describe it, the public pulse"
Is right for sharp curtailment. It
was not right when the budget was
drawn up last Fall. They assert Mr..
Roosevelt is taking hold of this is
sue more enthusiastically than any
thing in New Deal history. They
promise real effort, and not Just
political effort to establish a better
campaign front.
The change on the inside has come,
they say, within the past week.
What wrought it is clear. The
bad reaction to farm, and bonus
tdres encouraged an economizing
line OF thought, but the groDth OF
the Ldndon campaign must not be
and has not been overlooked. Coz.
Landon's thrift record has struck q
popular chord.
Nobody's word on the extent of the
curtailment will be worth much, how
ever. until the savings are laid down
officially on the dotted line.
Pittman Gets Cooperation.
Senator Pittman said some sharp
things about Japan out in Nevada
before Congress opened. Upon his
arrival here shortly thereafter, he
indicated he had been misquoted by
the press.
The speech he delivered in the
Senate Monday was about the same
one he made in Nevada with few
fancier trimmings. There will be no
assertion of misquotation this time.
You may deduce that this indicates
Pittman must have spent the inter-
vening six weeks finding out what a
good speech he had made in Nevada.
There is more to the repetition than
that.
On Capitol Hill it is said he let
the State Department have four days
advance notice of his speech and its
contents. The department made no
effort to tone him down. Apparently
1t shares some of the senatorial dis
pleasure at certain unmentioned
japanese propaganda circulated re-
Gently in this country by an able
Japanese spokesman. To quiet this
gentleman was one of the hidden
purposes Of the speech.
Mr.. Hoover's frank court testimony
about the necessity of investors
hedging against imitation caused some
uneasy moments among governmental
financing authorities. But only a few.
For the present their inner situ-
alton is encouraging; the infation-
lists in Congress haze been Debated.
The OUTWARD nloDement of gold
recently threlD a scare into the
Frazter-Lemkeyites, from which
they are not due to recover before
Congress ddjourns.
This and the Presidents promise
OF spending curtailments have caused
a much better feeling all around.
Treasury Secretary Morgenthau did
considerable casting about for a con-
Servative Under r-Secretary of Treasury.
but found few eager applicants for
that job. Financing the New Deal
debt is hardly one of the softer Gov
eminent positions.
The Black Committee has run into
constitutional trouble trying to collect
answers to questionnaires from various
business corporations. Private at
torneys have advised several corpora
tons to resist, under the fourth
amendment. There will be a peck of
trouble about this when the COM
mittee starts hearings.
Congressman do not remember It,
but they passed law in 1921 pre-
venting Government ofIicials from
recommending new taxes. The statute
specifically states that mo recon-
mendation as to how the revenue
needs Of the Government should be
met shall be submitted to Congress
by any officer or employe of any de-
partment. unless at the request of
either House of Congress"
Both J. p. Morgan and Mrs. Roose-
welt, In their definitions of the leisure
class, neglected to mention the H.
0,000 unemployed.
tcopyright. 1885,,