Jasper County Democrat, Volume 23, Number 25, Rensselaer, Jasper County, 23 June 1920 — REPUBLICAN ECONOMY [ARTICLE]

REPUBLICAN ECONOMY

No more characteristic example of Republican “bunk” has been foisted on tfie public for some time than that party’s utterly false claims of the economy and great saving effected by the late Congress. The untruth of this claim is well “shown up” in a recent editorial in the Indianapolis News (Ind. Republican), in the following uncontradict•able statement of facts in commenting on the matter* The Republican floor leader, Mr. Mond'ell, informed the house of representatives and the country that the Republican congress had effected economies amounting to $1,000,000, 000 —a good saving if it had really been made. The late convention “pointed with pride” to the economy shown by congress at its recent session. Unfortunately an analysis of the figures shows, and very clearly, that there was no such saving. Mr. Byrnes of South Carolina, a member of the appropriations committee, recently showed in the New york

Times that the claim could not be substantiated. “If,” he asked, “Mr. Mondell’s statement is true why have they not reduced taxes in a corresponding amount?” The question ls> pertinent.

The appropriations actually and directly made do show the reduction claimed. But in addition to these congress “has by reappropriations and authorizations made available for expenditures 1543,500,000 additional, making the total amount available for expenditure, $5,403,390,327,” as against the $4,859,890,327 as given by Mondell. This is at the rate of $36,000,000 a day for every day congress was in session. Congress reappropriated $156,000,000, which otherwise, under the law, would have been turned back into the treasury July 1 next The shipping board asked for $225,000,000; this was refused. But congress ordered that the amount realized from the sale of the ships should not be turned into the treasury, but be available for expenditure iiext year —thus this amount, as well as the $156,000,000 referred to above, must be added to the appropriations. For if the money had not been raised in this way, directly at the cost of the treasury, there would have had to be new appropriations to that amount.

rhe railroad administration asked for $420,000,000, and got $300,000,000 in new appropriations. But the balance of $120,000,000 was made up it. The railroad administration was authorized to use $30,000,000 out of the loan fund appropriated in the transportation act —the loan fund to be reimbursed “after the election.” file balance of $90,000,000 was provided for by Liberty bonds to be purchased by the war finance corporation from the railroad administration. In addition there was an authorization of 'expenditures to the amount of $72,500,000 but no appropriations were made to meet them. Here is a grand total of $543,500,000 over and above the appropriations actually made, money that will all be spent, all of it a charge on the treasury. Mr. Byrnes said: The Republican leaders vainly endeavor to excuse themselves by explaining that the estimates of the departments were $1,312,427,650 in excess of appropriations, and that therefore they “saved” this amount of money. No more ridiculous state-

ment has ever been made by a public official. If such a reduction constitutes a saving, the last Democratic congress is entitled to special commendation, for that congress reduced the estimates for the fiscal year 1918. by .$5,554,161,598. As a matter of fact there has been no such reduction as that claimed even from the estimates. The only proper comparison is that between the money spent in a given year and that spent in the years preceding. Though congress appropriated only $4,800,000,000, the amount actually spent next year, if the departments draw all they are entitled to, will be $5,400,0004)00.