Evening Star Newspaper, April 11, 1932, Page 13

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THE EVENING STAR, WASHINGTON, D @, MONDAY, APRIL 11, How Shall We Balance Budget? General Federal Pay Revision and Reorganization of Bureaus Head Nine-Point Program W hich Seems Essential. | results of alread | tures made as a | ment. The bill | voted for veterans a | tended to put money | thus restore purchasing { lar es for public | over the country have been urged on the same ground. The second school that the way out of in reduced expend gets and relief f cther words, it v creased pi i through from the rostorati dence througt bud; (In this, the last of a series of 12 article on balancing the budget, David Lawrence summarizes the pos- sible ways by which economies can be made and mew revenues devel- oped.) Jarge expend| lus to unemplo -dollar payments circulation and power. Simi- BY DAVID LAWRENCE. To balance the budget two steps are essential—first, reduction of expendi- tures, and, second, development of new sources of revent For nearly a decade now the Pederai Government hi umulated surpluses every year, so there has been no ques- tion about balancing the budge v however, with the pinch of the de income tax receipts have fallen the next three years at least the attention of the whole coun- try is going to be focused on ways and expenditures below Teceipt: of thought argued xpa t that in- would come 1 vern- idual budge o continue borrowi eficits has been one problems of ments Whether or not to meet o of the un hie problem has become important entirely apart from from the question of taxatic It has become ldwide in its significance. LN least possible in Peoples all _over oo the world are look- / | What Must Be Done. ing critic at | Here are the steps that may or may the Government of he Bniisd. B o8 not be taken which at present seem to be e t with 2 $2,000.000.- oD et O % Taleac L . but next First, some red ficiency in gyt e i salaries and pay rol % ton It has be would not yiel much rev e of ment Government securities rise and fall | ZOUIS ROl yleld VL IUEN FECEURE B0 portance as a g ire of co-operation. on the strength of Federal credis. It Public opinion is growing insistent on and raa publ upon a reductic such a spreading | will bring in the he economic ve. i wction from top to bat- ied that this David rawrence. | properly fall within | ferred“to the Stat. done. There are many governmental to speak, on the basis of & half or|the distribution of such publications | three-quarters of the work now being | were nstalled. This would eliminate waste in dis- operations which extend over & period | tribution as well, for many free copies of years, and it is possible for some of } 1 the work to be slowed down until better times come. Fourth, a transfer to the States and are mailed where they are mot likely to be used. The Panama Canal is supported by revenue from tolls. The Post Office Department receives money 1932. of & particular expenditure, except in a | depression can be assisted only by bor- very general sense. Sometimes expen- | ditures are made year in and year out | without an actual check as to whether | the original purpose has been fulfilled | or whether it is possible to accomplish the original objective. There is no governmental agency citles of thdse obligations for the care | for carrying the malls, the entire Post | which is able to make a fight against of citizens which properly belong to, local governments Fifth, definition of the Federal func- tion so'that all activities which do not the scope of the establishment may be trans- s or municipalities, In many instances, when the transfer is attempted the States and cities will Federal vear ago were in- | Cut down the activities and in other | with their accer | tion instances will not engage in them at all. Sixth, establishment of a congres- works all |sional committee to act as a review or | examining body for the purpose of developing efficiency and economy in |y Government operations. Skeptical of Treasury Figures. Seventh, establishment forms certain of taxation and the effects of taxes. There is much that o some disinterested way m actual income tax and other reve returns, s necessary to guide Cong: Earl nsome taxes will only be facts about the taxes are e hands of competent com ongress itself. The facts are avai e if called for, but Congress has not vailed its iv Ej| liquidation at the possible moment of Governm iIn storage. The Fed Board has approximately worth of products which, however cannot be dumped now because of the opposition from the agricultural tricts, where it is insisted that the of cotton and wheat would depress es and force the closing of bar en the products are sold abroad or elsewhere. the T recelve a sizable income Ninth, development of a sy business admi special entery activities will be abolished. but of will always be maintained. In that are maintained it is necessary when in Office Department can be put on a balanced budget basis if a proper sys- useless activities, or rather unproduc- tive activities of the Government. Con- { rendered to the public. of a joint| committee of Congress to study new! $250.000.000 | m of charges is made for the service | gress a'one has the power to appro- priate money, and it is in the legisla- tive bodies that the committees must be set up to revise and examine gov- ernmental expenditures. Up to Public Opinion. Politics Inevitable. All these suggestions have been made for the mon-political point of view, but undoubtedly politics would have to do | ance. Thus the ques- | Public opinion alone can compel of consolidating aus and | Congress to adopt such a system of ninating activities is one that affects | investigation of governmental expendi- r oups and organizations | tures. It is a natural supplement to sored the appropria- | the budget system. While there is a vities. Each | demand now for economy, when times ureaus and departments has | get better the chances are that ap- Congress. and it is not propriations will increase again with- i ercome their op- | out m protest from the sidelines. bec the téndency in|Some permanent system of checking s of one group to link itself | expenditures and making them known, other groups and support a par- | so that the taxpayers can exercise a pproy n. The only way |check upon increased Government ex- > public can ever offset such a | pense is essential to the workings of is to insist upon comprehen- | the Federal budget itself. owledge about Government ex-| While the executive branch of the itures vernment and the Federal Budget ed for a reclassification of the | E is doing a great deal of work 1 budget, a description of |in this direction, nevertheless it is not which the money is spent | possible now for Government expenses ar items and an under- [to be entirely free from bureaucracy numeration of Government |and political manipulation or for the th t s 1 upervision to be entirely concentrated n any one branch of the Government. By making it possible for the legisla- tors to check the executive and for the executive department to check itc own activities as well, the taxpayer can be assured that a step, at least, will have been made toward a balanced budget not only this year, but every year, and when there is a surplus, such a step will assure a gradual reduction of taxes But there can be no balanced budget while there is a tendency to spend be- yond the means of the Government. A minority in Congress believes that this position for particularly students of Gov- to know exactly what nment is doing with its Similarly, taxpayers' organiza- going to want such informa- the future so as to gulde 1 their attitude toward govern- al expenditures. e the Federal Government is not ed like a private business and t make a profit, there ectiveness rowing more money and spending more money for public works and other pur- poses. This same group insists that for the Government to curtail expenditures and eliminate bureaus means a consid- erable addition to the unemployment of the country. Another group, par- ticularly, has insisteq that if the Fed- eral Government cuts salaries it would serve as an example to many concerns which have not done Congress Determined to Cut. | The determination of the present Congress, however, is to cut expenses balance the budget, find news ways of taxation and restrain the mir groups from increasing Government e pense at least while the depression cc tinues. ‘The prospects are that Federal budget will not actually be anced until the fiscal year begi; July 1, 1933, because the fiscal Yye which begins July 1 of this year w merely have a balanced budget in t sense that receipts and expend: will equal each other. ‘There will be no additional fu: provided as a sinking fund on pub debts. In other words, there wil the al- |increase in the net public deb { stmfia there will be no progress made toward a reduction of the public debt until July 1, 1933, when is expected | that the new budget fo year will carry at least a half-billion dollars for the cutting down of the Federal debt When that date will have arrived and it is apparent that the taxes for the new fiscal year beginning July 1 ne are sufficiently productive to yield m than the expected revenues, it i possible that the present tax I be retained as a safeguard throu; the fiscal year, July, 1 o Jul: In other words, the present plan calls for new taxes and for as long a period as may be necessary to keep the budget CLAFLIN Optician—Optometrist 922 14th St. N.W. Established 1889 | Budget)) lus. { L (Copyright, 1932) 1 (This article concludes the series by David Lawrence on Balancing the ROOSEVELT INITIATED | balanced and yield a substantial sur- | work was part of a modern eivilization which made this age “far superior to the good old days” when little was done to aid handicapped children legations from Moose lodges throughout the metropolitan area and from Albany attended the ceremony. INTO ORDER OF MOOSE! By the Associated NEW YORK, April 11.—Gov. Frank- | lin D, Roosevelt became a member of the Loyal Order of Moose, New" York | Lodge 15, at & secret initiation cere- mony yesterday Roosevelt, introduced by M. Curtis as ghtful gentleman square and on the the order for its wor vileged childre WHAT THE SQUIBB LABEL MEANS DocToRs and druggists have 1 saying: “If it's made by 8quibb it'y safe.” The Squibb label stands for scientific care In manufacture, for unvarying purity and efficacy. When you buy Squibb Aspirin you are sure of getting these qualities. Ask your druggist for salads, meats and vegetables. They add asmart dash of red . . vory flavor.... to every they grace. Keep several cans in your pantry. Use them often. Small can or jar only 10¢, at your gro ra’. = SQUIBB Suishine FIRE ROASTED . A ASPIRIN Pimiento Look for the name before you buy the budget is balanced, Government eredit, is naturally strengthened | this point because so many people in |have a system of charges so that Two Schools of Thought. | private industry bave accepted cuts. |public will pay for its service. Thus When the depression first began, two | Second, iation of useless | the Department of Commerce, which activities tion of bureaus|today renders a great service to Ameri- schools of thought arose—those that be- lieved that by spending more money, | and reorganiz: been advo- | can business by obtaining credit - 1| without avall. A |formation and other valuable data articularly on public works, and|cated for 10 years y increasing the public debt, |survey to this end can be made by |would receive much revenue if it made namely borrowing huge sums through | congressional economy committees, and;n charge for such service. Many of business could | some of the work is mow being done. | the publications of the Government are This theory | Third, curtailment of worthwhile 'sold, but a great many more could refuted by the | activitie: declaring & moratorium, 80 be a source of revenue if a system for pound Bed and table linens ironed, ready for use. The World’s First Long Distance AIR-COOLE TRAIN " GEORGE WASHINGTO WILL BE INAUGURATED Wearing apparel returned just damp enough for proper and easy ironing. Shirts expertly finished if desired—12¢ each additional. Phone Metropolitan 0200 WEST END LAUNDRY Launderers and Dry Cleaners 1723-25 PENNSYLVANIA AVE. 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