The Republican. [volume] (Oakland, Md.) 1877-current, 1941-07-03
Some Notes On Economy

mission.
Some Notes On Economy
Economy is one of the dullest sub
iects in the world. Privately. it is as
tiresome to talk about as it is bore
to practice. Nonetheless, it is still rec
ognized as essential to individual sol
vency and safety, although in public
affairs, for the last eight years, we
have been proceeding on the idea that
it is all right to mention economy now
and then but not in the least vital to
the public health to practice it-ouite
the reverse.
A more perilous economic philoso-
ply does not exist. Yet it is the one
upon which this Government has been
operating since the middle of 1888
and still is. In it lurk the seeds of
financial chaos, national degeneration
and decay. Before this war began, the
great spending policy, which is basic
in this Administration and to which
is due the great bulk of its popularity.
had brought the Federal finances to
stage where no thoughtful man could
view them without apprehension.
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The height of the debt and the
steadily increasing deficits were con-
cededly fraught with danger while the
world was at peace and some degree
Of public attention could be gained for
our domestic problems. Now that the
war has forced US to LAUGH upon the
expenditure Of many more billions for
defense, the risks of a runaway fiscal
policy should be clear to all save the
completely obtuse. The President was
quick to recognize this. Last January
in message to Congress, he pledged
himself to pare to the bone" every
non-defense governmental expendi-
ture. His Secretary of the Treasury,
approaching that a strong Federal
credit is vital to the national defense,
months ago expressed his belief that a
billion dollars could be Topped off the
normal expenses. Mr. Eccles, head of
the Federal Reserve Board, declared
that retrenchment was immensely i'm
portant.
1t was all very impressive, but what
has been done? The answer Isles
than nothing Instead Of normal ex-
penses being lowered in the coming
fiscal year, they will be very much
higher. Instead of pairing down we
have piled up. In the first place,
trick budget was submitted which
made it seem that nomal expenses
were being pared when the reversf
was true One of the tricks was to
transfer all the expenses of the War
and Navy departments, including the
normal budget to the defense budget,
as though we had neither army nor
navy in normal times. In the second
place, the powerful farm lobby was
allowed to put through a bill which
will increase the agricultural subsidies
anywhere from $250,0O0,000 to $780,
600, 900 a year. In the third place vari-
Gus small non-defense and almost use
less Administration gadgets, such as
the Office of Government Reports,
have had their appropriations in
creased. In the fourth place, various
costly projects, which, like the st.
Lawrence Waterways, are of dubious
merit so far as defense is concerned,
have been put forward with Admins
tration support.
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And now the House has just passed
a bill increasing the total amount OF
pensions by $22,238,0OO a year. This
measure would grant $40 month to
the widow of every veteran of the
last war, regardless Of the cause or
the time of his death. For the purposes
of this BILL veteran is anyone who
was in the military or naval forces
for ninety days. 1t is a preposterous
proposal, and it was killed two years
ago in the Senate committee. Perhaps
it will be killed again, but, in view Of
the way in which everybody has been
getting everything for which they ask,
there is not the least certainty about
that. 1t easily may go through.
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While the attention of our rulers,
and of the people generally, is focused
upon the terrific events happening
abroad, and while the great issue of
defense absorbs our energies, doubt
less there are those who will consider
it repetitious and in bad taste to bring
up this subject in this way at this
time. The facts are here presented
because they seem of very great i'm
portance; because to ignore them is
to connive in the concealment of a
great national danger, which no one
denies but no one wants to discuss.
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The truth is that our Federal finan-
ces are out of control-and have been
for a long time. There are two classes
of citizens who are not appalled, at this
situation. One is composed of those