The commoner. (Lincoln, Neb.) 1901-1923, February 01, 1922, Page 2, Image 2
" zfr"i?ti"i y 'TW!$hTrrrr The Commoner - VOL. 22, NO. 2 THE FARMER HAS NO INTENTION OP OR GANIZING A THIRD PARTY, BUT HE DOES INTEND TO MAKE HIS VOTE PELT Why Not Tax the Profiteers? r. ft It 1 $ P. Secretary Mellon is protesting against the sol diers' bonus on the ground that it will require now taxation. Ho expresses himBolf against the salos tax and the renewal of the tax on excess profits. Of course ho opposes the renewal of the tax on tho profiteers; ho is largely responsible for the fact that tho tax was taken off the prof itoora. It was estimated that tho excess profits tax would raise four hundred fifty millions this year. Ho not only favored tho repeal of that tax but tried to make it retroactive so that it would bo virtually a gift of that much- to tho profiteers. Ho oven wont farther and recom mended a reduction of tho tax on largo incomes, asking that tho rate be cut down from sixty-five per cent to a maximum of thirty-two per cent. He wont so far as to ask that this also be made retroactive. This would have been a gift of ninety millions for this year to tho men with big incomes. Tho bill was so bad that a Repub lican caucus of tho Houso could not swallow it; by a majority of nine tho Republican caucus struck out tho retroactive clause and thus salved for the treasury five hundred forty millions (four hundred and fifty million excess profits tax and ninety millions on large incomes). The Hottse followod Secretary Mellon's suggestion and repealed tho tax on oxcess profits- and re duced the tax on big incomes to a maximum of thirty-two per cent. Tho agricultural bloc in tho Sonato organizod a fight against this reduc tion and succeeded in raising the rate to fifty per cent oighteen per cent above the amount recommended by Secretary Mellon, When the bill went into conference tho Demo crats of the Houso secured ninety-three Republi- can votes and sustained tho Senate, thus de feating Secretary Mellon on the proposition. , But this is by way of introduction. The ques tion now arises: How shall we raise tho money necessary to pay the soldiers' bonus? The easiest and most just way isto restoro tho tax on prof iteers, If there is a'nybody who can afford to pay additional taxation it is tho man who col lects an unfair profit from the public. If the law would fix an arbitrary rato as a reasonable profit and then put a progressive tax on all prof its above a reasonable proilt, the government would not only raise a large sum and raise it equitably but the tax would act as a restraint upon those who now collect unreasonable prof it. Tho masses are in bad shape; the farmers are In worse condition than they have been for thirty years. Tho laboring men are not all at work and those at work are for the most part working lor reduced wages in many cases the wages ha,vo fallon more rapidly than retail prices, so that there is actual injustice to the producing masses. Instead of laying an addition al burden upon those already overburdened, justice would lead to the enactment of a law which will put the burden upon those who are wronging the people by exaggerated profits. These are comparatively few in number and, therefore, their resentment against the soldiers because of the tax could not bo harmful. Any special tax that is levied upon any large class is likely to be regarded as unjust whereas a tax upon the profiteers would aid tho soldiers while it satisfied" the demands of justice and pleased the general public. . The Democrats have an opportunity here to render a real service to the soldiers and at the same time a real service to the public. Let the profiteers bear any special burden that the sol ders bonus makes necessary. W, J. BRYAN. PROHIBITION A SUCCESS The Associated Press publishes a statement made by Prohibition Commissioner Haynes, which presents a conclusive endorsement of pro hibition. Tho drink bill is reduced two billions of dollars in a year. The arrests for drunken ness are reduced from three hundred and six teen thousand to one hunded and seven thou sand. Seventeen and a half millions of drinkers have quit drinking. Here are three facts, What patriot can ask for a return of tho saloon in any form? Who will ask that seventeen and half millions of persons be led back into tho liquor habit? Who will ask that two billions of dollars shall bo taken from the purchase of food and clothing and wasted upon drink? Who will ask for the return of a system that will increase tho num ber of arrests for drunkenness from one hundred seven thousand to three hundred and sixteen thousand the number in 1917? Prohibition is a success and it is hero to stay. -From Tho Miami", Pla Herald. FARMER WINS AGAIN Tho Senate, by a vote of 63 to 9, adopted an' amendment to the Federal Reserve Bank act di recting President Harding in making appoint ments to tho board to have "due regard to a fair representation of the financial, agricultural, in dustrial and. commercial interests and geographi cal divisions of the country." This is a groat step in advance. The Com moner, in its October 1921 issue, urged this change in an editorial under the caption, "Make Roserve Board Representative," as follows: "It took a good while to get Agriculture, La bor and Commerce represented in the President's cabinet. These three great groups were not rep resented until within forty years. A Secretary of Agriculture was provided for something more than thirty years ago, then a Secretary of Com merce, then a Secretary of Labor. "These three groups' ought to be represented on the Federal Reserve Board. That board, by regulating the currency, exerts a large influence on the farmer, the laborer, and tho business man. The Reserve Board deflated the farmer; it is largely responsible for the sudden drop of nearly one-half in farm prices. Indeed, this drop now stands in the way of returning pros perity. No farmer had a voice in the decision that so affected his welfare. Why not have as one of the Directors of the Reserve Board a FARMER who actually FARMS and is, therefore in sympathy with agriculture? ' "If the farmer cannot buy, the manufacturers can not keep their mills going, and when tho mills close down labor is thrown out of employ ment. The Federal Reserve Board is, therefore .largely responsible- for the present industrial condition. Why not have as a Director on tho Federal Reserve Board a LABORER who LA BORS and, therefore, is in sympathy with the wage-earners? "The third group in size and Importance is tho ZktT;?01, thG banker Wh0 assumes tS speak for the business man, but tho business man who, instead of being a banker himself is a patron of the bank and is, therefore, an acute sufferer if the Reserve Board contracts ihe cur rency. Why not have as a Director on the Re serve Board a BUSINESS MAN who is NOT a banker but a man in sympathy with the busi ness men of the country? usl "What logical objection can there be to such a reorganization of the Federal Reserve Board as will make it impossible for lawyersbankers and college professors to have entire cont?ol of it? Surely tho farmer, tho laborer, and the business men who constitute at least thrPP The Senate amendment carries out the nolicv advocated by The Commoner oh to rep?efen tion for the agricultural interests. The 'WW cultural bloc" deserves credit for Its part in st Sl!i?Sit?eS?opcflo,l-OJf ihe awenament. W co gratulate the Senate and ihe farmers. The Farmers Aroused Press dispatches indicate that the farmer aroused as never before in thirty years ri are going into politics why not? Big busC is in politics; the financiers are in politics- ihl profiteers are in politics; why should the farm ers bo the only Indifferent ones? Some thirty years ago a European statesman said: "The non-producers produce more lawn than the producers of wealth." That is truo and so long as the farmer gives his exclusive attention to the ol.d jnjow and leaves the produc ing of tho laws to the non-producers he will not meet them at the summer resorts. Every time the farmer asks anything he is told that the thing which he demands is impractic able. It took him a generation to secure tho farm loan bank, and then a banking corporation held the loan up for many months, causing hun dreds of millions of dollars injury to the farm ers. The farmer knows that this government can do anything that is necessary for the protec tion of the people. If the Constitution stands in the way of any needed law, -the Constitution can be amended, as it was in the case of tho Income Tax. The power of the government to protect the people is as complete in time of peace as m time of war. The only question to be decided is whether it is necessary to exercise tho powei. If the American people believe that agricul ture is so menaced as to jeopardize the nation's welfare, they can fix a minumum price in lime of peace. as well as in time of war. They can stabilizo the staple farm products, like wheat and corn, cotton, and wool, for instance. The people can fix the rate of income for mid dlemen as well as for bankers. The power of the people to protect themselves is full and com plete. Let tho people study these quest'ons, de cide upon what they need and then select can didates to write their wishes into law. This is a people's government if the people will only take char?n of it. If big business runs the gov ' eminent, it M run it in the interests of big business; if the financiers run the government, it will be run in the interests of the financiers; if the middlemen run the government, it will be run in the interests of the middlemen; if the people, as a whole, run the government, they will run it in the interests of the people as a whole. Why not let the people rule? As the farmers constitute a very large percentage of the people, they are in position to get about what they want when they want it badly enough to demand it, and stand by the demand. W. J. BRYAN. o .THE BANKHEAB BILL Congressman Bankhead of Alabama has in troduced a bill (H. R. 6048) wliich provides for the reclamation of overflowed lands. It fol lows the plan that has been employed for the reclamation of arid lands and the reasons are identical. The. purpose q reclamation is the ad dition of waste lands to the tillable areas and swamp lands are not only as valuable when drained as arid lands are when watered but the submerged lands are, as a rule, much nearer tho markets so that the acre value of the products is greater. Many of these overflowed lands are in the south where the season is longer and where two crops, can sometimes be raised. Much of the land to be reclaimed is near enough to the sea coast to have the advantage of ocean freights. The Bankhead bill ought to have the unani mous support of the senators and members. NEBRASKA BANKS SAFE AND SOUND On another page will be found a resolution adopted at a meeting- of the 'Nebraska bankers at Omaha recently. The resolution constitutes the strongest possible endorsement of the value of Nebraska's bank guaranty law, and sub stantiates every claim made by the sponsors of the law at the time of its enactment. Nebraska's bank guaranty law has stood the supreme test, and has proven a bulwark of strength to the banking and business interests of the state in time of stress. This law was passed by a Democratic legislature. The Commoner was ah early advocate of the bank guaranty law, both for sta'te banks and for national banks. The principle was embodied in a plank 1n the Democratic national platform ot 1908. Every state bank and national bans Bhould have their deposits guaranteed for tiie protection -of tho depositors. ' Vi. -i -3 ujkiAtLtiabL