The Western news. [volume] (Libby, Mont.) 1933-current, 1936-04-30

Cling now bearing so heavily on the
federal and local governments.
The idea of an import excise tax
on textiles, Instead of a tax on cor
porations' undistributed earnings, Is
expected to make a big hit IN. New
England, New York and New Jersey,
and will be calculated to cause q lit
tie discomfort with the Democratic
program In the Southern textile Sec
tIon, particularly In the Carolinas.
Incidentally. II any strength should
develop for 1t, the proposal will be
most embarrassing to Secretary OF
State Cordell Hull, who Is still en-
thusiastic about his reciprocal trade
agreements. and Is gradually hammer
Ing down the protective tariff wall by
this system. Many casual readers over
look the point that every time Hull
agrees to a reduction In a duty on a
given product In a treaty with one
country, that reduction promptly ap-
plies also In favor Of every other coun-
try with which the United States has
a most favored nation clause" treaty.
And that means most of them.
Appeal to Farmers
For example, when In the recent
treaty with Canada the duty on I'M
ported liquor was reduced from s. to
$3.50 a gallon, the same reduction
promptly applied to Scotch and Irish
WHISTLES.
With a view to appealing to the
farm belt. the Republican ways and
means committee members will recon-
mend heavy excise tariff duties on
agricultural products OF all sorts. This
Is aimed at offsetting the appeal OF
the New Deals AAA farm benefits,
now changed to soil erosion payments.
This phase Of the report-while no
attention will be paid to 1t by the
Democratic majorlty--is expected to
prove rather embarrassing to Demo
cratic house members. For the major
ity members OF the ways and means
committee have agreed that there are
to be no excise taxes whatever In
the bill, despite the fact that Presl-
dent Roosevelt and the Treasury de-
partment have insisted there should
be.
or course the President and the
treasury contemplated very different
excise taxes from those the Republican
ways and means members will recon-
mend. They were thinking Of something
more like the AAA processing taxes.
incidentally, the prospect still re-
mains that when the tax bill becomes
law 1t will contain this type of taxes
Not In the form In which 1t passes
the house, but In the senate draft,
and In the final conference agreement
which will be signed by the President.
Quoddy Project
Passamaquoddy may get new dress
and become not only respectable. but
an actual asset to the New Deal,
Having pulled couple OF rabbits out
Of the Maine hat in the last two weeks,
Roosevelt and Farley would surprise
nobody In Washington II they adopted
a suggestion from the Navy depart
ment. It Is simply to abandon Quoddy
as large electric producing plant,
and convert 1t into a naval base
hn
by the tides to justlfy-in political
arguments at any rate-the original
claims about Harvesting the tides.
There Is plenty Of water there, 1t is
pointed out. and Of sufficient depth to
produce a good harbor, providing a
couple of breakwaters are built
But the big argument In favor of 1t
Is that such a naval base would be
at the nearest point In the United
States to Europel 1t Is almost two
days. sail closer to Europe than New
York, and one days sail closer than
Boston,
It liz also argued that the tremendous
4O-foot tide would greatly simplify the
dry-dock probiem-would make. with
some comparatively simple construc
tIon. natural filling and emptying ba.
sin In which ship repairs could be
made.
Discussions have not reached the
stage OF serious recommendation
from the Navy department as yet but
the idea Is rather appealing to some
New Dealers who have been worried
about Qnoddv as political issue.
Causes Some Worry
II has been especially worrying be
cause the marching up the hill and
down again, with congress turning
thumbs down on project the PresI-
dent had started. with the President
Off fishing during the funeral, natur-
ally attracted considerable attention In
Maine. The state Of Maine folks, poll
tIcos here think are a very hard-head
ed lot. with strong objections to see
ng their money wasted. SO II the prof.