The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1936-08-27

door of opportunity to your chill
dren and to my children.
We must not lose sight of the
fact that a public debt is just as
much a liability to each and ev-
cry individual as a private debt.
The fundamental principles OF
government finance are exactly
the same common sense principles
that we-follow in the handling OF
our own family finances. So long
as our government follows these
principles our people will prosper
They will be. able to weather de-
preston, drouth and other dlsas-
tiers. But if our government dis
regards these principles, it squan-
ders our resources and destroys
the public credit, .... -, .
Now, what are these principles!
II broadest terms there are four
of them. .. g..
The government must guard
and preserve it's source of income.
The government must make
sure that it gets a dollars worth
for every dollar it spends.
The government must not get
in the habit of spending more
than it receives.
Finally, the government must
prepare for the rainy day. ,
Now let us examine each OF
the four principles in turn: ,
The first is the question OF
guarding and preserving the
source of income. Fundamentally
this is a question of the fairness
of the kind of taxes that are lev
led. Are they direct taxes LEVIED
according to our ability to pay,
or are they indirect taxes LEVIED
without regard to our ability TO
contribute to the support OF the
government? g.. :. -.
It has always been my bellef
that the government should raise
the major portion of its revenue
from direct taxes levied on the
net incomes of individuals and
corporations. When this is done.
everyone pays his fair share and
knows just how much the govern
ment is costing him. l have con-
stantly worked for legislation IN
Kansas to prevent eeneealment OF
the cost of government. On the
other hand, if the major portion
of the governments income IS OBJ
tanned from indirect and hidden
taxes-taxes upon such things as
food, clothing, gasoline and cigar
cites -then the main burden falls
upon those of small income and
the cost of government IS hidden.
In this case, it is the wage earn
er, the salaried worker, the farm
er. and the small business man,
who have to pay most of the bill:
Q Now, let us turn to the record
and see just who is paying the
cost of our government.
. What do the figures of the
treasury department show? They
show that in the year. 1882, SO
cents out of every dollar collect
ed by our federal government, was
secured from direct taxes. The
other Al cents was collected from
indirect and hidden taxes, paid,
for the most part, by people with
incomes of S25 a week, or less.
That was for 1882. Four years la
ter what do we find? We find that
81 cents out of every dollar col
leeted by the federal government
came from hidden taxes. In other
words, the share of the cost of
government falling mainly on
those with incomes of $25 a week
or less, has increased % per cent
during the three years of the pres
ent administration They are pay
ing far more than their rightful
share of the cost of govern
ment. =. ..'. O..
There are many cases in which
it is quite obvious that the coun-
try, as a whole, gets more for the
dollars spent by the government
than it would if we kept the mon