The Bismarck Tribune Newspaper, July 9, 1917, Page 3

MONDAY, JULY 9, 1917, ~ BISMARCK DAILY TRIBUNE | - GENTER MAN MAKES 33 WLE DRNE WN ONE DAY Have Been Established by F. C. Wick Center, N. D., July 9.—F. C. Wick, cashier of the Bank of Oliver County, earoute home from Buffalo and De- troit, drove a new car which he had purchased at Flint, Mich., from Fer- gus Falls, Minn., to Center, a distance of 334 miles, in one day. This is be- lieved to be a record for the Red Trail, over which the majority of the trip was. made. Ordinarily the 200- mile drive from Fargo’ to Bismarck is regarded a good day’s run FORT TO PLACE WINE AND BEER (Continued from page one) deals only with distilled spirits, put provides absolute prohibition. $ The question likely will go to con- ference as it now stands with a strong probability that the house will yield to the changes made by the senate. : Saloon Stocks Exempt. The senate provision wouid limit consumption to stocks in retailers’ hands or withdrawn before the law goes into effect. Stocks of distilled beverages in band are estimated at spetween 200,000,000 and 300,000,000 gallons and. the annual normal con- sumption of liquor, or what is left of it after withdrawals in anticipation of the legislation, it is estimated the government will have to spend from $360,000,000 to $1,000,000,000. Revenue Loss Large. The probable loss in Federal rev- enues is placed at from $20,000,000 to '$400;000,000, although this, as well as the cost of purchase, would depend withdrawn tax-paid before the com- manderring. The senate’s action promises in- definite delay in enactmg ihe war tax bill, further delay on the food control bill and indefinite postpone- ment .on adjournment of Congress. The revised $1,670,000,000 war tax bill was withdrawn immediately tol- lowing the final vote on the liquor question to seek new sources of rev- enue in case taxation on distilled liquor is eliminated. Big Withdrawal Seen. Immediate and probably enormous withdrawal of distilled liquors from bonded warehouses before the senate provision could become effective is generally predicted: tonight. It i3 esti- mated that: manufacturers and dealers probably can raise * Ss enough to withdraw at least hal! of the existing supply, or enough to meet consump: tion demands for a year or more. One feature of the bill- the pro. hibition of the manufacture of dis: tilled spirits—will not be subject ta change in conference and’ therefors is certain ty become law. LANGER AND MISS AMIDON ON, CHAUTAUQUA PORGRAM Jamestown, N. D., July 9.—Attor- ney General William Langer and Miss Beulah Amidon of Fargo, state suf- frage leader and speaker, held promi- nent places on an excellent program given at the Spiritwood Lake chau- | tauqua, Sunday. Both delivered ad- dresses to the large crowd attend- = B. The Spiritwood Lake chautauqua this. year is proving a decided suc- cess, even beyond the expectations of promoters. Large crowds are attend- ing .each and. every entertainement offered and Manager Karr is highly elated. RAGE TROUBLE HAS NATIONAL SIGRIFICANCE (Continued from Fage Une) tle bundles filled with who knows what. Always they are afraid., Seldom have 1 seen such fear. “May I take your picture?” I ask- ed a negress. She jumped in fright. I pointed a camera at another. Had it been a gun she would not have been more frightened. Seldow will they even talk ,unless assured by someone they know. Over in St. Louis they are caring for hundreds of refugees. The Red Cross got into action at once, white girls from good homes working side by side with negro girls to check up names and care for the destitute. “Want My Daddy.” In the municipal lodging house a tot cried, endlessly: “I want my dad- dy, I want my daddy.” I asked the mother where “daddy” was. She didn’t know, and maybe never will. ‘Mrs. Lizzie Stedman last saw her husband when a detective—she culled him a “protective’—took him away. But at police headquarters they have no trace of him. She sobbed out her grief among dozens of others grief- stricken. “Her man” had worked at the aluminum factory for $3.75 a day, and they had lived here for three years, Henry Woodruff told me he ran from his home into a soldier’s arms, and that’s all that saved him. Prof. Martin Lucas, negro principal, hid all night in a swamp and escaped across the river. One man swam the river. For two months there has been trouble smoldering here. “More than 5,000 negroes have come in within half a year. Many times blacks and whites logked for the same job, I am told. Many times the negro took it cheaper. He was in many cases a country negro, and the wage he got was big—to him. ’ Reporter Escapes. Then on July 1 came the big smash, the blaze of human. wildnegs. An au- to load of detectives whirled into a negro street and was met with a vol- ley, Only two: whites escaped. Roy Albertson, reporter, was one of them. Tecaine 50 quick he hardly knows what’ happened. Sauté told me the negroes had a bad ‘triminal record, and made the whites determined to run them out. I went to the police record and I found the proportion of crime about alike for white and black. The last rape. of a white’ girl was November 10. Mostly the charges were disorderly conduct, selling li- quor without license, gambling and robbery. There are stories that negroes, to revenge the killing of some of vheir number by whites in May, had armed > to massacre whites at a signal; and] that the firing of July 1 was due to this plot and this arming. A dozen investigations are prom: ised, but shrewd ones wag their heads and say no white man can ever be convicted of crime connected with this slaughter of perhaps 100 people. News Breaking After Tribune Issue of Saturday French made raid over Germany with 84 planes in reprisal for London raids and also attacks upon unforti- fied cities in France. One plane pen- etrates as far as Essen and drops bombs upon the Krupp Gun works. - * # A dispatch from China announces that Hsuan Tung, the young emper- or, has abdicated. 3 #8 & Russians take three towns near Pinsk an dthe fall of that city is im- minent. see Many indictments found in connec- tion with German plot fostered in United States to start a revolution in India. Gerfnans acted through Hin- dus in. the United States. The grand jury in San Francisco has found 139 indictments. * 8 & Brigadier General Mann is to in- spect ‘Minnesota and North Dakota guard and to investigate efficiency and accounts, according to a Wash- ington dispatch to the Minneapolis Journal. * 8 # Proprietor of a theatre in Eapulpa, Okla., named George Kamuwitz, who would not allow an American flag in his theatre, nor permit members of visiting companies to ‘sing patriotic airs, was forced to kiss the Stars and Stripes upon his own stage with) the spotlight glaring down upon him. SUAUUAEUGONANENENGONEOGOOARONONOONOD “The | HILLMAN” THE TRIBUNE’S NEW SERIAL STORY SOON TO APPEAR ruvcesecuecneeveecaevenuesnnatieuonaraoaenninie VOTERS HAVE. WIDE GHOIGE IN THE FIRST (Continued from page one) other names, asserting that June 10 was the last date on which candidates could withdraw. He announced his determination to designate Vicks, Lurtness, Cuthbert and Plain as re- | publican candidates. d Effort was then made by means of mandamus proceedings in the su- preme court to compel the secretary of state to remove the three names. | A decision was handed down on June 29, which had the effect of upholding Mr. Hall. Republicans assert, how- ; ever, that as a party they are back- ing Mr. Burtness, although factional fighting within the ranks was ev!- denced at the mandamus hearing, when William Lemke, chairman of the state central committee, appear- ed “as a friend of the court,” giving testimony indicating his unwilling: | \ness to have iMr. Burtness appear as his party's choice. For the first time the Nonpartisan league has entered the field of na- tional politics. ‘Hitherto it has con- fined its efforts to state and county activities, but at a convention held two months ago, it was decided to contest for the congressional seat and John M. Baer, cartoonist for some time on the official organ of the league, was named as its candidate. An aggressive campaign has geen waged by the league, much vigor be- ing injected. into the meetings be- cause of disputes over the, league’s attitude toward the sale of Liberty | Loan bonds and the general methods of raising war revenue. LATEST SQUABBLE MAY INVALIDATE ELECTION That tomorrow's special election in the First district may be invalidated by the acceptance of absentee voter ballots on the part of county auditors who have chosen to ignore the opin- ion of Attorney General Langer, hold- ing that the absentee voter clause does not apply to special elections, was suggested today by Secretary of State Hall. Attorney General Langer, at the re- quest of the secretary of state, Satur- day handed down an opinion that the absentee voter provision applies only to regular general and primary vlec- tions and not to special elections. “The acceptance of absentee voter ballots by the county auditors may, éf the result is close and a contest is made by any of the candidates, result in invalidating the special election; or it may merely mean that these ballots will be thrown out in tha counties whose auditors have insisted on accepting them,” said the secre- tary of state. County Auditors W. R. Tucker of Cass and Hans Anderson of Grand Forks, the two largest coun- ties in the district, ave declared their + determination to accept absentee vot- er ballots regardless of Langer's con- struction of the law. 9 ——n b GRAIN MARKETS é Mineapolis. No. 1'Hard .... +2474 @ 252% No. 1 Northern . 37 4 @ 247% iNc. 2 Northern . Ye @237% No. 3 Wheat ... «202% @232% . 2 Hard Mont. 3 . 1 Durum .. @200 No. 2 Durum . @195 No. 3 Yellow Corn @181 To arrive .. @176 Other grades @180 0. 2 Montana . + 0W%@ 71% iNo. 3 White Oats . @ 67% To arrive . %@ 67% No, 4 White Oat 66 @ 67 Barley WN @145 Choice @ Rye ... @237 To arrive Flax ...... @279 To arrive . @279 July TY September July Wheat No. 1 Hard on track ..... No. 1 Northern on track No, 2 Northern on track Te arrive, No. 1 Nor. .... ‘Mont. No. 2, H. on track 230 July Durum 200 Spot Durum 200 Spot Durum ‘No? 2 95 To arrive Durum No. 1—No quotation Oats on track . +. 65146@ 68% Rye, on track 218 @220 Barley, on track .. «+ 80 @125 Flax, track and to arrive 280 To arrive in October ..279% July ; September . 279, Cctover . ~ 279% (High a quoted.) —_—_—————-r 14 CATTLE MARKETS | 0——_________—___--0 St. Paul | HOGS—Receipts 6,700; 20c lower; | range ¢ to $15.00. Bulk $14.65 to. $14. 7: | CATTLE—Receipts 3,200; killers 10c lower; steers $6 to $7; cows and | heifers $7 to $8.25; calves steady: | $5 to $8. SHEEP—Receipts 250; stea lambs $7 to $16; wethers $7 to $9. ewes $5 to 9. Chicago. HOGS—Receipts 4,900; fairly active mostly 20¢ under Saturday's average; bulk $14.65 to $1 1; light $14.20 to UUEUUUAGAOCOCUOUUUUOUEORCCOUOULOUOUOORDOCELUCQOOUOUOODSIUE This new serial story from the pen of E. Phillips Oppenheim, which the Tribune editor has se- lected for ita readers is so good, So powerful and expressive in its characters everyone will want to read it. Wait for it—if you are not al- ready a reader of Dakota’s oldest and best paper. Enter your sub- scription today. AUANDONDOAUEOUUEUDOONARUAROGONOONEUANOGONOGHD heavy 5.80; rough $14. to $15.- S 5 to $14.10. CATTLE—Receipts 2,000; steady; native beef steers $8.40 to $13.90; stockers-feeders $6.30 to $9.50; cows- heifers $5.40 to $11.90; calves $10 to $14.75. . wethers $7.80 to 11.10; lambs $10 to} $16.140. RAY MAN MAY NOT LIVE | Injured Internally When Auto- | mobile Turns Turtle Ray, N. D..July 9—Leonard Dakkin is suffering from internal injuries and a broken shoulder blade and arm sus- tained when his car turned turtle near here. The injured man has not re- HOW SHALL WE PAY FOR THE WAR? A Constructive Criticism on the House Revenue Bill, LOANS BETTER THAN. TAXES Five Reasons Why Excessive Taxes at the Outset of War Are dvantage- ous—Great Britain Example Worthy of Emulation—How the Taxes Should Be Apportioned. By EDWIN R. A. SELIGMAN, MeVickar Professor of Political Econ- omy, Columhia University. On May 23, 1917, the House of Rep- resentatives passed an act “to provide fevenue to defray war expenses and for other purposes.” In the original bill as presented by the Committee of Ways and Means, the additional reve- nue to be derived was estimated at $1,- $10,420,000, The amendment to the in- come tax, which wus tacked on to the bill during the discussion in the House, was expected to yield another $40,000,- 000 or $50,000,000. In discussing the House bill, two; problems arise: 1. How much should be raised by taxation? i Il. In what manner should this sum be raised? 1. How Much Should Be Raised by _ Taxation? How was the figure of $1,800,000,000 arrived at? The answer is simple, Wiaen the Secretary of the Treasury came to estimate the additional war e®penses for the year 1917-18, he calculated that they would amount to some $6,600,- 000,000, of which $3,000,000,000 was to be allotted to the allies, and $3,600,- 000,000 was to be utilized for the do- mestic purposes. Thinking that it would be a fair proposition to divide this latter sum between loans and taxes, he concluded that the amount to ce raised by taxes was $1,800,000,- 000. There are two extreme theories, each of which may be dismissed with scant courtesy. The one is that all war ex- penditures should be defrayed by loans, and the other is that all war expendi- tures should be defrayed by taxes. Each theory is untenable, It is indeed true that the burdens of the war should be borne by the pres- ent rather than the future generation; but this does not mean that they should be borne by this year’s taxation. Meeting all war enses by taxation makes the taxpayers in one or two years bear the burden of benefits that ought to be distributed at least over a decade within the same generation. In the second piuce, When expendi- tures approach the gigantic sums of present-day warfare, the tax-only pol- icy would require more than the total surplus of social income. Were this absolutely necessary, the ensuing hav- o¢ in the economic life of the communi- ty would have to be endured. But where the disasters are so great and at. the same time so unnecessary, the tax-only policy may be declared im- practicable. Secretary McAdoo had the right in- stinct and highly commendable cour- age in deciding that a substantial por- tion, at least, of the revenues should be derived from taxation, But when be hit upon the plan of 50-50 per cent., that fs, of raising one-half of all do- mestic war expenditures by taxes, the question arises whether he did not go too far. The relative proportion of loans to taxes is after all a purely business proposition, Not to rely to a large ex- tent on ioans at the outset of a war is a mistake. Disadvantages of Excessive Taxes. The disadvantages of excessive taxes at the outset of the war are as follows: 1, Excessive taxes on consumption will cause popular resentment. 2. Excessive taxes on industry will disarrange business, damp enthusiasm and restrict the spirit of enterprise at the very time when the opposite is needed. 3. Excessive taxes on incomes will de- plete the surplus available for invest- ments and interfere with the placing of the enormous loans which will be neces- sary in any eveut, 4. Excessive taxes on wealth will cause a serious diminution of the in- comes which are at present largely drawn upon for the support of educa- tional’ and philanthropic enterprises. Moreover, these sources of support would be dried up precisely at the time when the need would be greatest. 5. Exe the war able for the increasing are soon to come. Great Britain’s Policy. Take Great Britain as an exampis. During the first year of the war she Increased taxes only slightly, in order to keep industries going at top notch. During the second year she raised by new taxes only 9 per cent. of her war expenditures. During the third year she levied by additional taxes (over and above the pre-war level) only slightly more than 17 per cent. of her war expenses. If we should attempt to do as much in the first year Of the war as Great Britain did in the third year it would suffice to raise hy taxation $1,250.000,- 000. If, in order to be absolutely on the safe side, it seemed advisable to increase the sum to $1,500,000,000, this should, in our opinion, be the maxi- mum, : )a sound system ought to yield about In considering the apportionment of the extraordinary burden of taxes in war times certain scientific principles are definitely established: How Taxes Should Be Apportioned. (1) The burden of taxes must be spread as far as possible over the whole community so as to cause each | individual to share in the sacrifices ac- cording to his abili-y to pay and ac- cording to his share in the Government. (2) faxes on. consumption, which are necessarily borne by the community at large, should be imposed as far as pos- sible on articles of quasi-luxury rather than on those of necessity. (3) Excises should be imposed as far as possible upon commodities in the hands. of the final consumer rather than upon the articles which serve pri- marily as raw material ‘or further production. (4) Taxes upon business should be} imposed as far as possible upon net earnings rather than upon gross re- | ceipts or capital invested. (5) Taxes upon income which will | necessarily be severe should be both | differentiated and graduated. That fs, | there should be a distinction between | earned and unearned incomes and there | should be a higher rate upon. the larger | incomes. It is essential, however, not | to make the income rate so excessive | as to lead to evasion, administrative | difficulties, or to the more fundamental | objections which have been urged | above. | (G) The excess profits which are due! to the war constitute the most obvious | and reasonable source of revenue dur- | ing war times. But the principle upon} which these war-profit taxes are laid | must be. equitable in theory and easily | calculable in practice. H The Proposed Income Tax. The additional income tax as passed by the House runs up to a rate of 60} per cent, This is a sum unheard of in the history of civilized society. It niust be remembered .that it was only after the first year of the war that Great Britain increased her income tax to the maximum of 384 per cent. and that even now in the fourth year of the war) the income tax does not exceed 42%) per cent. It could easily be shown that a tax with. rates on moderate incomes sub- stantially less than in Great Britain, and on the larger incomes about as | high, would yield only slightly Jess than | the $532,000,000 originally estimated in | the House bill. It is to be hoped that the Senate will reduce the total rate on the highest in- comes to 34 per cent, or at most to 40 per cent, and that at the same time it will reduce the rate on the smaller in- comes derived from personal or profes- sional earnings. If the war continues we shall have to depend more and more upon the in- come tax. By imposing excessive rates now we not only endangering the | future, e inviting all manner of difficu! which even Great Britain | has been able to esca; Conclusion. The House bill contains other funda- mental defects which may be summed up as follows: (1) It pursues an erroneous principle in imposing retroactive taxes. (2) It selects an unjust and unwork- able criterion for the excess-profits tax. (3) It proceeds to an unheard-of height in the income tax. (4) It imposes unwarranted burdens upon the consumption of the commu- nity. (5) It is calculated to throw business into confusion by levying taxes on gross receipts instead of upon commodities. (6) It fails to make a proper use of stamp taxes, (7) It ‘follows an unscientific system in its flat rate on imports. | (8) It includes a multiplicity of pet- ty and unlucrative taxes, the vexatious- ness of which is out of all proportion to the revenue they produce. eo . + 8 8 © The fundamental lines on which the House Dill should be modified are sum- med up herewith: (1) The amount of new taxation | should be limited to $1,250,000,000—or at the outset to $1,500,000,000. To do more than this would be as unwise as it is unnecessary. ‘To do even this would be to do more than has ever | been done by any civilized Govern- ment in time of stress. i (2) The excess-profits tax based upon $500,000,000. (3) The income-tax schedule ought to | be revised with a lowering of the rates on earned incomes below $10,000, and with an analogous lowering of the rates on the higher incomes, so as not to exceed 34 per cent. A careful cal-| culation shows that an income tax of this kind would yield some $450,000,- 000 additional. (4) The tax on whisky and tobacco ought to remain approximately as it 1s, with a yield of about $230,000,000. These three taxes, together with the stamp tax at even the low rate of the House bill, and with an improved au- | tomobile tax, will yield over $1,250,- | 000,000, which is the-amount of money thought desirable. The above program would be in har. mony with an approved scientific sys- tem. It will do away. with almost all of the complaints thatiare being urged | against the present. It will refrain | from taxing the consumption of the | poor. | It will throw a far heavier burden rpon the rich, but will not go to the extremes of confiscation. It will ob- viate interference with business and will keep unimpaired the social pro- | ductivity of the community. is It will establish a just balance be- tween loans and taxes and will not succumb to the danger of approaching either the tax-only policy or the loan- only policy, Above all, it will keep an | undisturbed elastic margin, which must be more and more heavily drawn upon as the war proceeds. gained consciousness, and fears are entertained for his recovery. FARGO CAPTAIN GETS REGULAR ARMY BERTH em ‘it om: Capt. G. A. M Anderson, command- er of Co, B, Fargo, this morning re- ;| Dakota National Guard, and he will ceived his commission as second lieu- tenant infantry in the regular army “Captain Anderson ig a splendid drill- master with a fine record in the North make an. excellent regular army offi- cer,” said Adjutant General Fraser. JAMESTOWN SECRETARY j charge of the Jamestown association | Jamestown and throughout the south- ismarck Theatre INSTALLING IMPROVEMENTS THe Bismarck Theatre has closed tempor- arily in order that it may add some of the latest improvements in movie theatre equipment. projecting machine has The latest and largest type ‘of been purchased which carries a new and important feature, the auto- matic fire shutter. for film to burn in t It is practically impossible his machine. A clear rock steady, flickerless picture without eye- strain is assured. The theatre will be com- pletely re-decorated made which will add comfort. and re-arrangements greatly to the patrons It is planned to re-open Monday August 6th with Marguerite Clark’s biggest success entitled “Miss George Washington” “IN OHRGE AT LINGLN L. E. Goodwin Comes Today to! Tnaugurate Army Y. M. 6. A. at Fort Jamestown, N. D., July 9.—Secre- tary L. E. Goodwin of the Jamestown Y. M. C. A, left this morning for Bis- marck, to assume charge of the Army Y which has been established at Fort Lincoln for the benefit of the 500 members of the Second battalion, N. D. N. G,, stationed there. Physical Director L. W. Upshaw will have work during the absence of the sec- retary. STUTSMAN COUNTY. STILL NEEDS A SOAKING RAIN Jamestown, N. D. July. 9.—Despite rains experienced in Stutsman county recently, crop conditions in and about ern Section of the county are very serious, according to several proml- nent farmers. Crop conditions in the northern portion of Stutsman are ideal, according to tillers of the soll in that direction. Heavy rains have been experienced in that section and all crops have. prospered as a result. Crops about Jamestown and in the southern section of Stutsman county have not experienced one real “soak- ing” rain this season. In practically every instance where a .storm hag been in prospect it has veered to the north, leaving but a few drops for the betterment of crops in the south. COLLEGE HEIGHTS LATEST ADDITION TO JAMESTOWN Jamestown, N. D., July 9.—College Heights, located near Jamestown col- lege, north of the city, is the latest addition to Jamestown and lots in that region will be secured by local people Monday, July 16. It is expect- ed about 50 new lots will be sold there by the Northern Real Property company. G FARMERS’ ELEVATOR CO. BUYS LIBERTY LOAN BOND Wosthope, N. D.,July 9.—The Farm- Elevator Co, after declaring a 25 per cent dividend, instructed its manager to buy $2,000 worth of Lib erty bonds out of the surplus. HIGH LIVING AT LOW Yes we all agree to that We think every woman in COST 1S WORTHWHILE. proposition. But how? Bismrack is trying to make a dollar go as far as possible in buying for the table. But is she buying wisely? Could she study the market and buy more wisely? Yes. Of all foods none are equal to milk for children and for ‘‘grown ups’’ it is good. It is low in cost and high in food value. But many are prejudiced against milk on account of un- sanitary conditions. Can you blame them? Well milk, if clean, is the purest and cleanest food known. Our milk IS clean. It is milked and bottled by ma- chinery and never comes in contact with the hand. It is clean, pure, rich and sweet. Give it to the children to milk or our rich cream in iced many other ways and make an drink; use it in cooking; use coffee, on fruit salads and so honest test and see how good it will prove and then consider the cost. CLEAN, PURE BOTTLED MILK, PER QUART BOTTLE UNDILUTED, PURE, SWEET CREAM THAT WILL WHIP, 1-2 PINT 10c; PINT The McConkey Commercial Co. « 510 Broadway Phone 209 jerk; it pulls. gently at first, TAUUOUUANUGNUUONUGDUOUUGUUAQOUNUOQUQGUQAUEUEUGUUQUCUGUAGUGUOQUOUSONOUGOUOOUEENGUOUUOUERGUROUQEUGROOBOGRE “TF there is one enterprise on earth that a quitter should leave severely alone it is adver- tising. Advertising does not steady. It increases day by day and year by year until it exerts an irresistible power.” AURRERESEUDEEREGEREEOUODODEDE It begins very but the pull is —John Wanamaker. ‘