Evening star., 1954-05-02
MogiIl Saving Program
Truly Would Cut Toxes
Writer Proposes Government
Drop Business Activities
By Fronk R. Kent


Drop Business Activities
By Fronk R. Kent
One wonders how much it takes real
ly to stir the American people into
action in their own interest. For years
now they have been groaning under
the burden of almost confiscatory taxes;
heavily oppressed by dangerous infia-
ton, due to the vast deficits which the
Government has been running for two
decades; increasingly threatened with
a Federal financial bankruptcy that
concededly would be devastating-and
with the cost of living grievously high.
OF course. a considerable portion Of
our. vast heterogeneous population is
incapable of logical thought on these
subjects and hence impossible to arouse.
But this does not excuse the apathy
and inertia of millions of intelligent
citizens who really understand our
situation. They have been told the
facts thousands Of times. The dangers
have been pointed out so often that
it has become monotonous. But no
one disputes the facts: no one denies
the danger. They all agree that mn
mense waste exists. that the present
state Of our fiscal affairs is incredibly
bad, that our enemies rejoice at our
failure to act with decision and sense.
Yet we just sit and watch things pet
worse. Thousands upon thousands of
stirring editorials are printed. Hardly
day goes by that some speech is not
made. Warnings come from almost
every side. The problem is above poll
tics-or should be-and the solution is
too clear to be debated. Somehow or
other we have got to get back to living
within our means or we are going to
go bust. There is no other end to con-
tinued borrowing. II war comes, there
is no real strength in nation whose
economy is weak and unstable. Every
body agrees about that. All these things
have been stressed until the phrase
"a balanced budget" seems hackneyed
and meaningless. 1t just bores people.
Within the past few months. SIS pre-
viously pointed out in this space. two
outstanding figures in our public life
one Republican. Herbert Hoover; the
other a Democrat, Senator Harry Byrd
Of Virginia-have again laid the facts
ION the line" Working separately, each
has come to the conclusion that suf-
ficient economies can be made in gov
ernmental non-defense expenditures to
save annually between IS billion and
81 billion without crippling q single
vital governmental function. Again,
working separately. each Of these men
is ready to blueprint how this can be
done. Neither is vague; both are
specific.
Now they have been joined by an
other notable man in the field of eco
nomics and taxation-Roswell Magill
OF New York. During the early Roose-
velt days, Mr.. Magill was an Assistant
Secretary of the Treasury and, then
undersecretary. He is a recognized
authority as are Mr.. Hoover and Sem
ator Byrd. In dealing with the Federal
finances. Mr.. Magill Is just as nonpolit-
ical as Mr.. Hoover and Senator Byrd,
but his figure is little higher. Mr..
Magill is head of an unoflcial group
which calls itself the Committee on
Federal Tax Policy and is composed OF
experienced experts in this field. Going
somewhat beyond Mr.. Hoover and SEN
ator Byrd, Mr.. Magills committee as
sertS that SO billion above what is
now proposed could be knocked of Of
the Federal spending without national
damage. In fact. the committee con-
tends that the national economic health
and defense strength greatly would be
increased.
Mr.. Magill Is even more specific than
MessrS. Hoover and Byrd. He not only
puts his finger on the departments
where waste is clear, great and undis-
puted but urges that the Government
get out Of many activities in which 1t
should have no part. Among these are
'the lending Of money. the building of
houses, insuring Of lives. crops and
cargoes, roasting Of coffee. making of
ice cream, clothing, rope. rum and
paint. marketing electricity, managing
hotels, running Of railroads and indul-
gence in many other businesses" Thus
the Magill plan goes further than Mr.
Hoover and Mr.. Byrd in that it calls
not only for economy but for the Gov
ernment simply to stop doing lot Of
things it now does and should not. Mr.
Magill says the only way taxes can be
reduced is by economy.
Everybody wants taxes reduced.
There is no disputing that. Here are
three Of the ableSt men in the country
whose disinterested patriotism and
general capacity are admitted and who
separately point the way. Why. then,
can't we have the action that would
relieve us all? The reaSon-clearly
stated by Mr.. Hoover-is the existence
of more than 200 powerful pressure
or lobbying groups, who resist all large
reductions because, inevitably, any
large-scale cuts would affect the rela-
lively small special interests they are
employed to protect. The one way to
defeat these blocking groups is for the
tax-burdened people to elect to Con-
gresS only men who will vote for econ
omy despite them. And after election
keep them reminded by letters and
kilograms Of the way they feel.
filed tho grounds npo veor ono u,bov