Indianapolis Times, Volume 46, Number 60, Indianapolis, Marion County, 20 July 1934 — Page 8

PAGE 8

TAXES TO PAY FOR RECOVERY AS SKY CLEARS Mellon’s Billion-a-Year Record of Debt Reduction Cited as Precedent. Hjt Beripf-HnWird \rrapmprr AtUnnre WASHINGTON. July 20.—There are two ways to pay the bill for economic recovery—increased taxation, and inflation. The administration has chosen the tax method, while using a mild dose of inflation through dollar devaluation and silver purchases to boost commodity prices and shave down private indebtedness. President Roosevelt, in setting up the recovery agencies, banked on the willingness of the people to pay the cost later as improving business puts monev bark into their pockets. He has found a general realization among Americans that the printingpress method of paying debts is the road to ruin. Prepare to Meet Cost So we will find the next congress preparing to meet the cost of recovery by increasing taxes. Republicans are complaining about the cost. Generally they accepted the necessity of economic stimulants and voted for them in congress. For political purposes some of their spokesmen now are taking a different tack, in effect repudiating the judgment of Republicans in house and senate. When they were in power they found the American people willing to pay the cost of a foreign war. The bright star in the crown of Andrew W. Mellon was the manner in which he carried on the work begun by a Democratic administration in rutting down the national debt, which was piled up to anew level by World war outlays. The debt reached its previous peak in August. 1919, when it stood at $25..596.000 000. In eleven years it was reduced more than $9,500,000.onn to *l6 000.000 000 on Dee. 30. 1930. Then it began to climb again as depression diminished revenues. G. O. P. Is Blamed Payment of nearly two-fifths of the debt was accomplished despite repeated tax reductions which Mr. Mellon and congress carved from prosperity. Had the Republican administration, in prosperous times, withstood political pressure and kept taxes high, the country would not now be confronted with so imposing! a debt. But the achievement in reducing the total nearly a billion dollars a year during that period I shows what can be done. When the Roosevelt administra- ! tion began on March 4. 1933. the debt stood at $20,934,000,000. It is estimated that it will reach $31,834.000.000 next July 1, which the administration anticipates will be the ! peak. Thereafter it hopes to begin scaling the figure down. This is an increase of $10,900,000.000. But in the same length of time, from March 31. 1917, to Aug. 31, 1919, the public debt increased ’ more than $25,000,000,000. It rose from $1,282,000,000 to $26,596,000,000 to pay for the World war. No one was alarmed about that.' It was accepted as the price of j war. Report Is Encouraging From the treasury has just come an encouraging report. Internal j revenue collections increased a billion dollars in the last fiscal year. The j Roosevelt recovery program already j is beginning to pay cash dividends, j But taxes are not yet up to the level 1 to which willing congress raised them to pay for the war. To prepare for further increases 1 at the next session the house ways and means committee is making a careful study this summer. To di- : vide the territory between local j units and national government. Secretary of the Treasury Henry Morgen thau Jr. has arranged a confer- I ence with state and local officials.

"LET'S NOT FORGET TO' 7 j / Include the Telephone J-eLevlwue“ in your Vacation Plans \ Luckily it isn't necessary to carry a telephone in your luggage that is usually overcrowded. Wherever you go you'll find one waiting. BEFORE you leave for Vacation Land telephone ahead for reservations ... it's the sensible, modem way. AFTER you arrive telephone back home to keep in touch with family and friends ... or office. <i The charge is surprisingly small. After 8:30 P. M. many station-to-station rates are about 40 percent lower than during the daytime. INDIANA BELL TELEPHONE COMPANY

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Local taxation is by far the heavier burden. Congress was timid about increasing taxes at the last session. Its eyes were on the elections. An actual reduction was made in present taxes on incomes up to $30,000. This potent source of revenue undoubtedly will be tapped when congress drafts the next tax bill. Income tax rates in this country are the lowest of any major nation. They look small when compared with those which the British people, tightening their belts, are now- paying and which recently produced a balanced budget in Great Britain. A single man with $3,000 taxable income pays S2O in the United States and s3ll in England; $5,000 taxable income, SIOO in this country. s7ll in Great Britain; SIO,OOO, S4BO here, $1,862 in England; $25,000. $2,520 here. $7,369 there; $50,000. $8,600 here, $19,654 in Great Britain. Hand in hand with increased taxes will go the Roosevelt economy program, which already has achieved large savings in the ordinary running expenses of the government by merging bureaus, eliminating services that duplicate or overlap, and reducing expenditures. Despite the congressional revolt on behalf of war veterans, the savings through the economy act still amount to about $375,000,000 a year. CREW SPEARS SERPENT, BUT IT WIGGLES LOOSE Latvians Tell of Battk; With Sea Monster Off Scotland. By I it it ft Prr** AARTUS. Denmark. July 20. Now sea serpents are getting off the hook. The captain and crew of the Latvian steamship Elsa Croy reported today that off Tiree island. Scotland. they harpooned a sea serpent. The chain broke. The ship's master said it could not have been a whale or shark. It had a snakelike head, thick neck, elephantine body and a long tapering tail.

U. S. HAS TOO MANY FOREIGNERS. AVERS •UNCLE’ BUTLER, 121

By t nitrd Prr ATLANTA, July 20.—‘Uncle” Wilson Butler, 121-year-old former Negro slave, looked back over a century of history today and decided that what ailed this country was too many foreigners. "The influx of foreigners is what ails this country,” Uncle Butler said, speaking in his excellent English. He neither can read nor write, however. "I know that is what is the matter because I’ve seen the south when it was being developed from sheer wilderness.” Authentic records of the South Carolina Historical Society show that Uncle Butler was born March 10, 1813. in the Saluda district in South Carolina. The aged darky, whose home is in Nashville, Ga., longs for the good old days oerore the war between the states when “food was plentiful and every Negro quarter was well taken care of.” Farmer Killed in Crash By United Prrus LA PORTE, Ind., July 20.—Henry Carpenter, 64-year-old farmer, was killed instantly yesterday when his milk truck was struck by a Baltimore & Ohio passenger train at Wellsboro, south of here.

INEXPENSIVEFOOT COMFORT Cutting corns is liable to cause blood poisoning. Plaster and salves usually take 3 days of drawing—even then results are unsatisfactory. None of these objectionable process's are necessary* when y<'u use the new discovery called "Skoot.” Put a few drops of this greaseless, white liquid on your feet. It takes out all soreness instantly and prevents friction. In a few days “Skoot” so toughens tender skin that you wonder where yottr corns, callouses and bunions have gone. Burning, itching feet feel like new. 35 cents at Hook’s, Haag's, 'Walsrreen's and all other druggists. Satisfaction guaranteed.—Advertisement.

THE INDIANAPOLIS TIMES

—==^ QpEN Saturday UNTIL 9 P. M.|=^^ FOR j# THE YOUNG FELLOWS! FOR SPORTsWfMINDED MEN' FOR CONSERVATIVE\gf MEN! No matter what style, pattern or color you JT have * n m i n( * •• • y° u are certain to find just JjpP What y ° U Want ‘ n ° Ur AST assortments! SUITS For Immediate and Mm Year ’Round Wear! ly* ms #% I | It’s one of our great all-time values! It m| iSSf e is a sale that appeals to the men who 818 illp have an eye to smart styling, appreciate mm JSm serviceable, dependable quality, and @1 >%W have a keen sense of SAYING money! |||| J&W Young en Worsteds! Tweeds! Flannels! Mixtures! Lots of Bellows Back and Norfolk jl|| Models! 3 mm g k | COOL SEERSUCKER SUITS, $2.49 July Sale! Today’s $4 and $5 Qualities! Sizes 32 to 38! For Men and Young Men! 2- P I ECE f| SUMMER SUITS, $4,95 July Sale! $6-$7 Qualities! 1 j ‘ e Linens and Sanforized Fabrics! For Men and \oung Men! CAPITOL WASHpgj SLACKS AT 94c July Sale! Seersuckers! White Stripes! White Ducks! Coverts! Otis Pinchccks! White Drill! $1.35 STRAWS, 68c ~ff $1,98 Straws,9Bc $1.98 Panamas, 98c $2.98 Panamas, $1.48 CAPITOL SHIRTS FoF|ahjONLY, 49c July Sale! Truly Sensational Values! Whites and Plain Colors! (,r cn an( * en - CAPITOL SHOES REDUCED, & $1.98 July Sale! $2.50-$3 Qualities! Sports or street styles! Broken Sizes! you^mcl: Capitol Clothes Shop 10 EAST WASHINGTON STREET

.JULY 20. 1934