Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1936-11-12

SCuI1Ve mas the power 10 Cnange the
value of money.
The BUSINESS men, as far as my
information goes, take the position
that it is worse than useless for
them to attempt to increase their
production or mold plans regarding
their business as long as they can
not feel sure that the value of the
money they use will be the same
tomorrow that it is today.
Frequently I have heard evil
dence substantiating the observa-
tons I have made above. These
business interests provide the out
let for tremendous amounts of
money now lying idle in banks. In
other words, these business interests
are the potential borrowers of bill
lions of dollars that are not now
being used and the fact that they
are not borrowing this money
simply cuts off the use of a very
important force in our economic life.
Further, the fact that business is
not borrowing money and engaging
in expansion of production has the
very vital result of preventing en-
ployment of labor. The American
Federation of Labor announces that
there are something like eleven mil
lions of workers still unemployed.
Yet, the question must be asked how
or why business would want to do
better job in behalf of itself and help
labor by employing additional work.
ers at the same time when its own
government continually harnesses it
in one way or another. No amount of
criticism by those responsible in the
government can force business to
take a chance with its money. It
must have a reasonable guarantee
that its government will allow it to
have at least a reasonable profit
or else the money will continue to
remain idle.
Undoubtedly, we will see a very
great many bills popping around the
capitol, bills de-
expect signed to relieve
Many Bills business of this or
the other handicap
now believed to be hanging over it.
The bulk of them will receive no
consideration because the bulk of
those bills will be loosely drawn and
will be representative only of the
desires of a particular segment of
commerce or industry. But as the
situation now appears we can expect
to see something done about the
tax laws in the forthcoming con-
gress. It appears fairly certain to
me, for example, that the ridiculous
surplus earnings tax enacted by the
last congress must be rewritten.
Because the bulk of our business is
handled by corporations, it ought to
be important to give corporations
consideration as class. They had
specific attention from the New
Dealers and this despised corpora
ton tax on surplus earnings was the
vehicle upon which many of the
nitwits among the New Dealers at
tempted to ride. Business, generally
speaking, opposed enactment of the
statute but business was not able
to overcome the Roosevelt control
in congress. Hence, the tax law was
enacted and corporations are paying
the penalty.
But it might be asked whether
anything better can be expected in
this session of congress. The answer
is that there are more members of
the house and senate now who rec
ognize that the competitive system
of doing business always in opera
ton in the United States heretofore
should not be destroyed. It can be
expected, therefore, that something
will be done about that tax law and
just as certainly, something will be
done in a legislative way about the
numerous rules and regulations that
constantly interfere with the free
transaction of business. These rules
and regulations, of course, were
drafted under authority given by
congress but my conversations
among house and senate leaders
convince me that these men see the
error of their previous enactments.
They are willing to be somewhat
more bold, coming as they do fresh
from the elections. And they are
rather likely to insist upon legisla-
ton which will help rather than
hinder.
It may be, of course, that or
ganized labor will be powerful
enough to force consideration of leg
islation shortening all hours OF
labor. I do not know how it can be
done because there is every evil
dence that such legislation would be
unconstitutional. 1t probably can be
done by the state legislative bodies
but not by the federal government.
While, as / said, organized labor
may force consideration of this sort
Of thing, there is little doubt in my
mind that congress will stand out
against enactments of this type,
first, because of the apparent lack
of constitutional support and, Sec
ond, because it would constitute
further harassment Of business DUR
ing a period when everyone who is
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