Minneapolis spokesman. [volume] (Minneapolis, Minn.) 1934-2000, 1962-06-22
A Liberal Administration
Makes A Reactionary
Proposal

1t would be tragic piece of irony If the Ken
nedy administration, which has both expressed and
demonstrated great faith in democratic processes
for the long range solution of great national
human relations problems were to deal damaging
blow to one of the great inventions of democracy.
We refer to the Kennedy proposals for a drastic
modification of the progressive income tax by max
ing large cuts in the upper brackets.
If the human race survives its present crises
and this passes into the ages of human history
feel sure that the progressive income tax will
stand out in that history of the greatest, If
not the very greatest of the political, social and
economic devices of democratic society Its benefits
beyond calculation. 1t is a major factor in the
dynamics of our economy. 1t has provided gov
eminent with the means to meet the challenges and
threats of power-motivated anti-democratc govern
ments. and to deal adequately with own econ
omic and social crisis. 1t has had a profound, If
Unreasonable, effect in stimulating voluntary sup
port for education and for scientific and philan-
thropic enterprises 1t not be sure proved to
be Great Leveler" but it has established the
principle which must be basic in any decent society,
that those who enjoy the greatest material benefits
from society shall have the greatest material re-
sponsibilities.
The Kennedy administration to be sure, Is
not proposing to upset all this-onIy to chisel
away at 1t n considerable bit. The excuse, which
mas support from some mighty surprising quar-
tiers, Is that this is necessary in order to restore
confidence" of the business community, and to
stimulate business activity to take up the
employment lag.
This strikes US quaint idea. 1t was outdated,
futile and altogether mischevous when Herbert
Hoover applied somewhat the same "trickle down"
theory a third Of century ago. 1t didn't work. and
the entire country suffered appalling hardship until
Mr.. Hoovers successor began applying economic
succor where it did some good-providing jobs for
those who needed jobs, building the rural economy,
energy stimulating home ownership restoring the
countrys forests-all kinds of similar activities at
the grass roots.
Apparently the immediate occasion for the
proposed modification Of the income tax Is the
recent performance of the stock market. But
hope that the objective is not to provide funds to
drive the stock market index even higher than
its recent insupportabe pealx
understandable objective is to stimulate
business and industry to provide more jobs and
check the dangerously growing unemployment.
Lighter tax obligations would free more money for
investment and more investment would mean more
jobs; the theory goes.
But would it? Everybody who works the
firing line of employment knows that two things
are happening that enormously complcate the
problem.
1. Automation is going on at a runaway pace,
eliminating jobs at frightening rate.
2. Every advance in automation renders more
and more of our people unemployable. And this is
affecting not only the uneducated and unslled, but