The Skyland post. [volume] (West Jefferson, N.C.) 193?-1988, 1942-01-15

Rv STAFF CORRESPONDENT
WASHINGTON, D. C.-Money

| WASHINGTON, II. C.-Money
collecting it, appropriating it
and controlling it under our war
time set-up - the major job
faced by the new session of the
Secenty-seventh Congress.
From all present indication, by
next summer the congress will
have appropriated in the neigh
borhood of 5O,O00,O0O,OOO addi-
tional dollars for war equipment
passed an additional $4,000, 900,
600 tax bill, concluded some plan
for forced investment of wages in
| the government and enacted leg
islation to put ceilings on prices
of consumer goods.
The senate is rushing debate of
price control legislation, since the
public has been demanding it for
many months, the house has pass
ed a price control measure, and
the senate banking committee has
warned that price increases,
which might have been control
led, already have cost the public
over $2,O00,000,0O
The price control measure pas
sed by the house in the last ses-
sion is admitted, even by those
who voted for it, to be an made
quate measure for preventing in
flation. The house passed the buck
to the senate to formulate legls-
lation which would have suf-
ficient teeth in it and the senate
has accepted the responsibility OF
enacting a satisfactory measure.
Probably the easiest job, from
the viewpoint of most congress
men, is the passing of approprla-
ton measures, even though the
appropriation demands are equal
to half of the total income of all
the people in the United States.
But congress realizes that the pub
lie is willing to approve all ap-
propriations which have a war
tag on them.
There will be some heated de-
bate over the passage of ap-
preparations which are not tied up
with the war program. A joint
committee on reduction of non
essential federal expenditures is
expected to recommend cuts OF
over a billion dollars on expendl-
lures not tied up with the war
program, but it is believed un-
likely that congress will take very
much interest in these proposed
cuts which will seem dwarted IN
Importance by the huge approp-
riations for war. Furthermore, all
government social programs
which may be attacked as un-
necessary expense, will be shown
to have a definite relation to the
civilian end of the war program.
The problem of raising the
preparations in the face OF our
money to meet the huge new ap-
present gigantic national debt will
be the big headache of congress
during this session. 1t is not ex-
pected that tax measures or sum
mer, but when they are they Will
probably increase levies on every
American to several times what
we will pay in income tax next
March.
Ten billion is the amount men
toned most often as the goal OF
new taxes. The taxes passed IN
1941, which tripled most indlvl-
duals income taxes and increased
costs on most of four purchases,
was aimed at raising total OF
$3,5OO,OOO,OOO. The new goal is
almost three times that amount.
All sorts of plans are being
suggested for collecting addition
al billions from the people, but at
this time the most likely tax
seems to be one which would be
deducted each week from all
wages. In addition to taxes, it is
quite possible that another per-
centage of wages may be deduct
ed as part of forced savings
plan, the money to be put in de-
tense bonds. If voluntary pur-
chase of defense bonds becomes
great enough this may be un-
necessary, but at present the pur-
chase rate is not satisfactory.
Commenting on this, Secretary
of Treasury Morgenthau stressed
the necessity of regular invest
ment in defense bonds every pay
day. ct am in dead earnest" said
the secretary, "when I say that
millions more must take part in
these payroll savings plans, and
must invest hundreds of millions
of dollars more, if we are to do
our lob. Our plans at the treas
ury for financing the war are
based on belief that the Amer1-
can people will want to assume
big share of the cost OF the war,
of their own free will.
"The treasury's goal" he added