Evening star., 1937-10-30
Wealth to Share.

1t is automatic that if there is to be
a distribution Of wealth, sharing Of
wealth, there must first be wealth. And
If there is to be a constantly recurring
distribution of wealth, there must be
constantly recurring development OF
wealth. Yet automatic as this happens
to be, the new dealers, who have Wis
ualized wealth sharing and have at
tempted it, have overlooked this funda-
mental fact. 1t has begun, however, to
worry them in recent days, as reports
of business recession and stock market
losses pour in.
continue to hamper American busi-
ness by excessive and unwise taxes, by
drastic regulation and by Government
competition and American business VIII
produce less and less wealth. What then
becomes of the wealth sharing hopes
of the new dealers? Wealth may be
distributed once. After that distribu-
ton has been coslpleted, unless there
is a renewal of wealth, there will be no
that the workers of America can readily
understand. They are as much inter-
ested in business recovery as business
is itself.
1t is reported that the Roosevelt ad-
ministration is studying tax cuts and
revision of industrial relations policies.
The aim, it is said, of such studies Is
to free business from restraints so that
1t may share more closely in the burden
of recovery; may take up more nearly as
the Government drops its spending Tor
all kinds of relief projects. The Presl-
dent has promised the budget Will De
balanced in the fiscal year 1889, whlch
begins next July 1t can be balanced
only if the Government reduces its ex-
nenditures or if the revenues OF the
Government are greatly increased. He
has turned his back on new taxes, except
such taxes as may be necessary 10
finance his crop control and eyer-normal
rranary program for the farmers.
Clearly it is time that the admins
tration gave such study to the problems
of business and to removal OF the re-
straints which have hindered new enter
nrise and old. Much has been said about
the need of repeal of the undistributed
profits tax and the capital gains tax, or
at least drastic change in them. THESE
taxes have been regarded as responsible
In large part for halting business. They
probably have had their full share. But
business which is constantly threatened
with Government competition, with
stricter regulation, is not in state OF
mind to go forward.
Who is to take the rap" for the un-
distributed profits tax and the capital
gains tax, if it is decided to repeal them?
They are among the proposals advanced
by the President and his advisers Tor
sharing the wealth. In fact, the admin
istration set quite a bit OF store by the
undistributed profits tax. 1t was TO
mark a new philosophy. Well, 1t has,
but not in the way It's supporters ex-
pected. The President at Hyde Park
continues to make no promises, definite
promises, about the repeal of these taxes.
He is reported to be more concerned over
the buying power of the underprivileged.
1t may be finally understood that the
underprivileged will have a greater
chance of more buying power, If the
business is given more of chance to
create wealth. And when it has been
created, business must not be so short
sighted as not to distribute 1t, in the
sharing of wages and distribution Of
profits.