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Newspaper Page Text
THE DAY BOOK
AC Zi COCHRAN
EDITOR AM) PUBLISHER.
BOO 8. PEORIA ST. CHICAGO. ILL.
Subscription By Carrier in
Chicago, 50 events a month. By
Mail, United States and Can
ada, 5,0 cents a Month.
Entered as second-class matter April
21. 1914. at the postofHce at Chicago,
III. under the Act of March J. 18?
WALL STREET SHIVERS. Shall
it be a pay-as-we-go war or a bor
rowed money war?
Apay-as-we-go war involves big
1 increases in income taxes, even to
the point of confiscation, for war
purposes of all incomes over $50,000
and aax of from 5 to 50" per cent on'
all incomes from $2,5Q0 to $50,000.
This would mean thai the enor
mous cost of the war would fall qn
those best able to bear the burden.
A borrowed money war means bil
lions of bonds, enormous inflation,
higher and higher prices.
So far as ,we are concerned, we are
convinced both of the justice and
wisdom of paying for the war as we
go by taxing the incomes of the rich
Whatever bonds it is necessary to
issue to raise money quickly should
be short term bonds two or three
years at the longest to be retired
as fast as the money from the in
come tax becomes available.
"As has been f requently pointed out
in this paper, few if any millionaires
or multi-millionaires are young
enough to be of service as soldiers,
and in this war for democracy every
American mustdo his bit. Our con
ception of universal service is that
those who are best able to fight
should fight and those who are best
able to pay should pay.
It is significant that Wall street is
against the pay-as-we-go proposition
and strong for bonds.
Wall street realizes that to the ex
tent that incomes are taxed and war
profits limited, to just tht extent "
will stock speculation during the war
be unpopular as a pastime.
As an indication of Wall street's
state of mind, the following is quoted
from the private wire of one of the
big brokerage houses:
"This pay-as-we-go war tax talk
is rot, but temporarily is having a
market effect. Our war like all other
modern wars will haye to be paid far
principally by bond issues, which will
be gradually, retired in time of
Anothar Wall street, broker sent
the following over his private wire
"There has been a lot of loose talk
today about fixing prices on steel
and other commodities which the
government will have to use and
about paying for the war by taxation
as we go, which will be appreciated
before long as economic impossibili
ties &nd absurdities. Paying for any
hut a small part of the war by taxa
tion as we go is another fantastic
dream from which we will wake up
jn the near future. However, it is a
nightmare that has been bothering
Do you get the full meaning oi
that last sentence? The mere sug
gestion that we pay for the war as -we
go by taxing the incomes of the
rich and well-to-do is a "nightmare
that bothers speculation."
"Why do you call your dog Ko
dak?" "Because he is always ready for a
Doctor You must give up all
Patient Good heavens, doctor!
Must I divorce my wife?
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