Indianapolis Times, Indianapolis, Marion County, 6 January 1938 — Page 16

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RI shi: ¥ SCRIPPS = HOWARD. a ” Give Light and the People Will Find “Thetr own Way

THURSDAY, JAN. 6, 1938

A LIBERAL SUPREME COURT

ELEVEN months ago yesterday President Roosevelt asked Congress to approve a plan that would enable him to create a liberal majority on the Supreme Court. ~ Yesterday Justice George Sutherland announced that he was ready to retire from the Court. He, like Justice Willis Van Devanter of Indiana, who retired last May, was a member of the old conservative majority. ~ When his successor is seated the Supreme Court will have five liberal members—Brandeis, Cordozo, Stone, Black and the new man—a clear majority. We assume, of course, that President Roosevelt will nominate a liberal, (It probably is unnecessary to express the hope that this time Mr. Roosevelt will find out all about his candidate before sending the name to the Senate, and that this timé the Senate a will think before confirming.) So time—and brief time, too,—will soon have accomplished what the President’s court plan might have done, but by normal processes that create no dangerous precedents. : We believe that a liberal interpretation of the Constitution is: what ‘the American people want and that it is essential to their welfare. So we are happy to see control of the Supreme Court passing to a majority of liberal-minded men. Yet we can’t avoid regret that Mr. Roosevelt did not wait patiently a little while. The bitter controversy created by his court plan could have been prevented. His prestige could have been spared the damage of that first major defeat. The rift in Con-. gress, now grown to menacing proportion, might not have been opened. - ~ Mr. Justice Sutherland, i in his 15 years on the Supreme Court, has written a great many long and extremely conser--vative opinions. In contrast to these are two notable opinions by him upholding civil liberties—in the Scottshoro case and in the Louisiana tax case involving freedom of expression—and these have given critics occasion to say that he could understand individual freedom but not economic freedom. He is a man of firm convictions, with which we have rarely found ourselves in sympathy. But, often as we have disagreed with his political and economic views, we have not doubted his sincerity. He decided cases as he saw them. When he retires on Jan. 18 he will be nearly 76 years old, and his long service in Congress and on the Supreme Court has earned him the rest he wants to take.

‘BUDGETING HOPES : SAID President Roosevelt, in his budget message of a year ago: “Although we must continue to spend substantial sums to provide work for those whom industry has not yet absorbed, the 1938 budget is in balance; and, except for debt reduction of $401,515,000,- it will remain in balance even if later on theré are included additional expenditures of as much as $1,537,123,000 for Tecovery and relief. - We expect, moreover, if improvement in economic conditions continues: at the present rate, to be able to attain in 1989 a completely balanced budget, with full provision for meeting the statutory requirements for debt reduction.” Said President Roosevelt, in his budget message yesterday: “The net result of these estimates of expenditures and receipts shows for the fiscal year 1939 a net deficit of $950,000,000, but. it is fair to state at the. same time that this deficit will be $138,000,000 less than. the 8 expectad deficit in the SUA | fiscal year. } Met :

FRANKLY. we it aon of anybody iS St in ‘January, 1937, could have made a better. guess than Mr. Roosevelt did as to how his budget would wind up. - We cite ‘these two quotations merely to emphasize’ that ‘Mr. Roosevelt: compounds his budgets out of guesses and wishes. * Nor is: that a" Roosevelt innovation; Mr. Hoover did the same, and with even less success. And so long as our Government continues to rely on the kind of tax structure it now has, the Chief Executive must continue to map the fiscal program on hunches and hopes. It is a cream-skimming tax system. When business flourishes, the skimming is rich,’ When business i is bad, the skimming is- thin. - Aside from about one’ and otie-half billion dollars raised by various excise and nuisance taxes, the yield of which varies comparatively little from year to year, the Govern- _* ment. depends for revenue on taxes levied against individual and corporate incomes, gifts, estates, capital stock, ete. The yield from these is extremely sensitive to changing eco‘nomic conditions. And it:is made more so because the two taxes which are keyed most closely to the principle of. ability ‘to pay—the individual income and death duties—rest on a base precariously narrow. So narrow that only about 2,000,000 persons, out. of a potential 87,000,000, pay taxes on incomes even in relatively good years; so narrow. that only estates of $40,000 pay any tax whatever. The Government’s revenue could be made more depend‘able, and Presidential budget estimates more reliable, if the tax base were broadened. And since such taxes are visible, and therefore painful, such a broadening also ‘would have the salutary effect of increasing publie Pressure. for Gove ernment Scunomies.

Member-of Onited Blass Scripps - - Howard News paper Alliance, NEA Service, and Audit Bue reau “of Ctrculations.

2 ® 3 AY incidentally, the new budget hase how much | additional pressure in that direction is needed. Al-

ugh the President has recommended a spending program :

reason of past public servi | flammatory

THE LT

Fair Enough By Westbrook Pegler

‘Small Investor Can't Be Expected To Risk His Funds While Business ‘And Government Continue Row.

NEW YORK, Jan. 6.—There may be something in what the papers say about the discouraging effect on business of the capital gains and undistributed profits taxes, but thinking back a few years, I am reminded

of some other matters which are even more responsible for the- bashful attitude of : capital which Mr. Jackson described as a sit-down strike. Only 1 wouldnt say that the money is on strike.

I would say that it is stil scared and merely hiding. The man with a hundred dol-, lars which he wants to invest for a few more dollars in annual income still remembers. the fallen empires and spiggoty bonds of 1929

Didn’t they always tell us that big business was big only in the aggregate but composed of the savings, the life insurance, the individual security of millions of little Americans? ERI . That being so, wouldn’t it” be the little Americans who today = = Mi Pegler are withholding their money from business, preferring to squirrel it away in Government bonds and savings - banks at trivial interest or to shut

‘their eyes, cross their fingers and chance it with the

insurance companies which, like the banks, then have the problem of finding sound investments? ] . 2-2 8 > : x YT is doubtful that this class of sitdown capitalists, to give them the name which Mr: Jackson called them, know anything about the taxes on capital gains and undistributed ‘profits. And if they have done any serious reading on these twins they will have heard some very interesting reasons why they should be retained to offset the reasons for their abolition. But, in a most personal and resentful

. way, they do know what happened the last time

they did their duty to the community—it's a duty

' now, but in those days it was greedy. folly, and their

anguish served them right. They were trying to put two dollars together and breed some little nickels, and when the nickels grew ‘up to dollars repeating the. process, so that in time they could retire and live on income produced by the sweat of those who foil, : : "In the lessons preached after the crash the little - Americans were told distinctly that nickels won't grow up to be dollars any more than killies grow up to be trout-or ponies develop into thoroughbreds. These are the people who nowadays apparently have decided that the only debtor who is really a safe risk is Uncle Sam, with the savings banks and: insurance companies for second choice.

Rs.

: \ is often said, and on nice authority, that business has turned square since 1929, but what: help is that, if true, to the mo:ale of our friend with a little fall money for his old age or the children’s college, who hears business itself gasping that it is being choked to death and hears the likes of Jackson and Ickes yelling thle. that business 1s a dirty, malingering liar and

with a fresh dollar who still remembers the testimony which Fred Pecora dragged out of the boys in Wash ington just after President Roosevelt took over? Mr. Roosevelt's restatement of the New Deal was sweet and showed a wish to soothe the fears of the frightened sucker, and here is hoping he can do it;

Is that any way to heal the wounds of the man |

under loose bricks in this country.

because there must be an awful lot of small money ;

“| Socony is formed by the first let-

tary of the Navy.

»

The Hoosier Forum

1 wholly disagree with what you say, but will defend to the death your right to say it.—Voltaire.

BELIEVES LUDLOW PROPOSAL DOESN'T GO FAR ENOUGH By Guy D. Sallee. f John T. Flynn, one of the capable and interesting columnists writing in The Times, states: “The Government is urged by the Maritime Commission to pay 26 per cent or $800,000 toward the construction of 20 Standard Oil tankers, a total of $16,000,000, because oil tankers are important as war - vessels. ~The Standard Oil Co. agrees to spend on each tanker $2,200,000, making a total cost of $3,000,000.” It will be remembered that the Panay was convoying three Socony Oil tankers up the Yangise River when fired upon by the Japanese.

joe. Standard oil Co. of New or : If the subsidy is granted and Congressman Ludlow’s amendment becomes a law, the Standard Oil Co. would receive only 4 per cent on their investment if war were declared. The $16,000,000 could be credited to peace-time service charges for oiling battleships now in the Far East. But members of Congress oppos=' ing Ludlow’s proposal believe the average American citizen will take his democracy too seriously and vote against wariand that Congress and the President only should say when war shall be declared. \ We who have sons and daughters subject to the: call of war believe the Ludlow proposal does not go far enough, but should state that those who vote for war are subject to first call. The war. slog in “Remember the Maine” was the cry of 1898, but since Flynn and Ludlow have placed the war advocates in the spotlight, I find one precedent to support the Maritime Commission and war adherents. In 1917 the Navy Department allocated $25,000,000 to construct a oni Bg Ala., for the purpose .of erecting concrete boats. After their construction, and when launched, they immediately sank. This brought a big laugh fois ws ‘the practical ship builders. doubt, is remembered by the Fre ident, as he was Assistant SecreBut a sigh of regret came from the boys who poured the concrete. 2 a = SAYS LUDLOW FOLLOWERS ARE IN MAJORITY ‘ By Thomas Burleson, Lebanon In a news item I noticed one-of our Representatives is charging that Louis Ludlow and his followers are misguided by persons who . are

against the interests of our Govern-|

ment and people. I believe Mr. Ludlow and his followers know just what they want and are guided only by their past experience. His followers are in the majority, and we dare any group which profits from war to leave it to a Populap vote. The Red racket has been worked

‘Municipal Court was entirely to be expected.

{rest of the state without benefit

berests.”

‘judge for his political loyalty to an-

until it is the laughing stock of this

General Hugh ohnion Says—

~ Books Cited by New Deal in Speeches Are Filled With Maeguracios:

Columnist Gives His Version of the Chicago Nomination

+ ASHINGTON, Jan. 6.—There are certain books that have become regular texts or Bibles of the radical end of the third New Deal. Generally speaking, I find them filled with inaccurate and, frequently, flagrantly false statements. Invarfably they are outright attacks on the capitalist system.’ Prominent among their ‘methods is a deliberate attempt to discredit individuals who have some public standing by

appeals t fecently “One recently pushed into public notice by the Jackson and Tokes speeches is a 500-page dia dinand Lundberg on the now famous by =

So with the class-consciousness.

5000000 spall than this years the budget deficit is § satin

C 000,000.

(Times readers are invited to express their views in these columns, religious cone troversies excluded. Make your letter short, so all can have a chance. Letters must be signed, but names will be withheld on request.)

country. And now it is naziism. Such interests are the cause of communism and all other isms. But if we are governed by a majority "in this country, the sooner He ple demand the removal of ill-advising officials, the sooner we will have a Government by and for the people. The time is at hand to call the hand of groups of trouble makers. Let us show we are for the Ludlow bill and freedom from war profiteers. 8 » 2 EXPECTED APPOINTMENT OF M’NELIS, READER SAYS By a Voter The appointment of young Mc-. Nelis to the judgeship of the

“Spoilsmanship” seems to |. be the theme of the present Administration. Mr. Clauer, county chairman who recommended him, is not the only key man in the Democratic state organization to be in the liquor business. Goodness only knows how many other similar appointments went through in the

of publicity. This setup has been in existence for seven years now. But what is almost unbelievable about this appointment is its rawness in being put over despite the organized opposition. of every progressive element in the city. It was tantamount to a slap in the face to the public, saying in effect, “this is neither a government by the people ner of the people, but | only for the people by a machine of spoilsmen for their personal. ‘in-

The appointment fot only was objectionable because it was sponsored by a man who is in the liquor business, but because by it the state machine “punished” the outgoing

other faction during the last elec-

THOUGHTS By CLIFF HANSBERRY Men think wild thoughts Oft to their sorrow,

For thoughts of today Are deeds of tomorrow.

DAILY THOUGHT

I say therefore to the unmarried and widows, It is good for: them if they abide even as I—1 Corinthians 7:8. :

UMBLE wedlock is far better hry than proud virginity.—Augus-

of Roosevelt.

tion, mixing liquor, politics and courts with petty partisan revenge. The state machine in its administration does not represent a majority; it’ does not! even speak for all Democrats, and a good many blush for shame at the petty and

unwise partisanship unbecoming to | its leaders. Even public protests

seem useless. Heywood Broun suggested once that what was wrong with business was businessmen. Analogically, what is wrong with politics is probably politicians. The party in power time and again has shown that it cannot read handwriting on walls. Or perhaps it feels that it need not. But in justice tg all Hoosiers and especially to those who voted the Democratic ticket in former elections hoping for a Rooseveltian New Deal (the greatest good for the greatest number) the Governor ought to put by partisan, spoilsman tactics and act not only fearlessly but wisely for the interests of all the people of Indiana,

NEED FOR STBONG OPPOSITION PARTY IS EMPHASIZED

By Voter

Now, if ever, we need a strong, in- |.

telligent opposition party and there is none. The wreckers of the Re-

publican Party still control the

wreckage and there seems to be little hope unless the party can ex. perience a complete rebirth; free it. self entirely from the shackles o! the Old Guard, content with thei: Old-Men-of-the-Sea roles. If Indiana’s G. O. P. had frank and honest leadership of the caliber of Bruce Barton (who may yet b2 the real harbinger of a Republican spring), the Democratic state machine would be less arrogant in its use and abuse of power, I'm sure. ss 8 =» REGRETS BOYCOTT ON

JAPANESE GOODS By Anxious for Peace

Of late there frequently appesr news stories of organizations boy'cotting Japanese goods in an effort

to call a halt to Japan's warring cn

China through economic channels: as for instance, the item that Frances Farmer does not appear on the stage in silk hose. I find such action regrettable since it not only will fail in its aims, but will hurt American business and with that the welfare of thousands of American workers, Before such a boycott can be made felt br Japan’s warlords, it will first have thrown out of wok into starvation half a population clevoted to the preparation of raw silk. And before Japan's industries felt the pinch of a boycott, our own

workers and industries which de-

pend on Japan's raw silk to make into cloth, garments and silk hose, will have been squeezed into bankruptcy and onto relief rolls. :

I don’t know the answer to the|

problem of making land-greedy war-

ords behave, but I know boycotting |

is not it.

According to Heywood Broun— aE

Merry-Go-Round = ~ By Pearson & Allen

Justification of Women's Voting’ Right Unnecessary, First Lady Says; Ickes’ Aid Looking for New Job.

ASHINGTON, Jan. 6.—In the opinion of Mrs. Roosevelt, women do not hdve to justify their right to vote. Answering a query from Mrs. Frank. Dowd of Indianapolis, “Do you think that women have made the most of their oppor-. tunities as voters and have justified their: being given the ballot?” Mrs. Roosevelt sent this reply: “I think women have justified their being given... the ballot. It never seemed to me necessary for them . to justify it, inasmuch as men did . not have to justify their use of’ the ballot, and from my point of view the suffrage is an equal right enjoyed by human beings until they prove themselves unfit to use. it properly. On the whole I think women have proved themselves as intelligent voters as the men have,. remembering, of course, the fact that they were barred from this right for so many years.” : 8 8 = Fart ' Chiatley West, the boy who 1s’ ' supposed to grease the President's. legislative program through Cons: gress, is looking for a new official job.

His official job is Undersecre=" tary of the Interior (Congressional” back-slapping is only unofficial), and the reason he wants to leave “it is a row with Secretary of the Interior Ickes. Mr. West was called on the carpet because of his investigation of alleged wire-tapping. It. was reported that he had accused. his colleague, E. K. Burlew, newly appointed First Assistant Secretary of the Interior, of tapping: the wires of high Interior Department officials. Mr. Ickes called this a lie. After he finished with Charley West, the latter moved the official parking place for his car—which was next to Mr. Ickes’—so there would be no danger of meeting his boss. : He also indicated that Be would exit from the Ine terior Department as soon as he could find the right’ ob. } Latest report is that Mr. West is now in line for a job on the Maritime Commission, from which Joe Kennedy is resigning. Only difficulty here is that the ° President wants to keep Charley as his chief messenger boy on Capitol Hill, therefore doesn’t og him to take a job that will work him too hard. the Maritime Commission requires plenty of work. Mr. West is sure to be one of the six new White uthorizes

Robert Allen

House secretaries, if and when Congress a them. : 2 # 2 JosTce Department authorities are secretly conside ering another antitrust indictment move ‘against the big three motor companies—Ford, Chrysler and General Motors. Their last effort was abruptly terminated in Mile waukee several weeks ago by Judge Ferdinand A. Geiger, who threw out the case on the ground that the Justice Department secretly had attempted an out-of court “consent decree” seflement with the three come

panies. Now the Justice

' Pending final decision, however, the Department is making an exhaustive investigation of Judge Geiger’s record in preparation for an aggressive attack agains§ him before the House Judiciary Committee.

dead

*

eT

t's a Kind of Slackeiism to Write of the Sky in These Times,

bth

date, +He had had his fingers 3: they are the

Peran

and Hugh 8. Johnson, tried to procure the romination for Newton D. Baker . .. but the Smith-du Pontforces were unsuccessful.” : - This is a whole-cloth lie. today in differen. words by the third New Dea! commentators. . Mr. Baruch was not for any preconvention candi ‘burned in the SmithMcAdoo embroglio. I didn’t count. But. We both were oppbsed {o Mr. Baker's nomination. Between the. third and fourth ballot, Mr. Baruch ot SERED a he Blackstone Hotel What Mr. Hears:

Yet 1t was repeated

most radical of 9 wis

grirom , Conn.,, Jan) 8.—Goodby to all this. Not SMPORD, Co. at any rate, will there be any ‘more. reports about life the New England fron“tier. Alrsady he charl which we hope will get us to town is skidding arourid the driveway. I know that readers will hardly mourn the cessation of country correspondence in these columns, My only excuse has been that to a street urchin the sights, sounds and the sting of winter out where the pavement ends has a quality of excitement. * It is an experience to meet snow, particularly when introduction comes in middle life. Of course, I

f view of a South

Day Will Come When Beauty wil Have Social Significance,

I die I will remember a morns ing of just last in which from across the lake my eye followed the as it splashed its show on joe and ‘snow sng the stone walls of a familiar

s sifocts whish & boss.

man. Yet till the

These are the sam

‘man can get upon a concrete dome in