Arizona Republic from Phoenix, Arizona on February 19, 1941 · Page 2
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Arizona Republic from Phoenix, Arizona · Page 2

Phoenix, Arizona
Issue Date:
Wednesday, February 19, 1941
Page 2
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Page Two Arizona Republic, Phoenix, Wednesday Morning, February 19, 1941 Biddle Holds Unusual Place WASHINGTON, Feb. 18—(AP)— When Anthony J. Drexel Biddle, jr., envoy extraordinary, gets to London, he will assume a post—or posts—unusual in the diplomatic history of the United States. By appointment of President Roosevelt, Tony Biddle is the official representative of the United States to four European governments-in-exile, all established "for the duuration" in London. Biddle is: Ambassador to Poland, his ; original post. Ambassador to Belgium, suc- ; ceeding Joseph E. Davies, re, signed. ' Minister to the Netherlands, i succeeding George A. Gordon, i now on special duty in the i state department. Minister to Norway, succeed• ing Mrs. Daisy Harriman. Biddle just missed annexing another job—as minister to Luxembourg. Under normal conditions the ambassador to Belgium also acts as minister to that little duchy, but since the Grand Duchess Charlotte established the seat of her government in Canada, J. Pierrepont Moffat, minister to Canada, was designated to represent American interests. And if and when the United States recognizes the Czecho-Slovakian committee (which has been recognized by Great Britain and Canada as the Czecho-Slovakian government) Biddle probably will add one more title to his hitherto Unprecedented list. The state department is saving S29.500 a year this way, : since Biddle draws but one salary ($17,500 a year.) : Once, many years ago when the • Central American nations formed ! a federation, the United States ' sent one minister to represent this Trek Obtains Big Response Approximately 400 reservations for the annual trek to Superstition mountain March 9 have been made with The Dons, it -was .announced yesterday by J. C. Bonnell, president. country in all five capitals. ' Biddle's only runners-up for |! honors are three envoys who rep! resent the United States at dual ' and neighboring posts. John C. Wiley is minister to Latvia and minister to Estonia, 1 two of the three Baltic republics >vhich have been swallowed up by the Soviet Union, although they still are recognized by the United States ments. to perform along the Baltic coast, he now is on special assignment in the state department. Louis G. Dreyfus serves as American minister to both Afghanistan and Iran (Persia.) Alexander C. Kirk has just been named minister to Egypt and will serve, at. the same time, as minister as independent govern- Since Wiley has no duties SENTENCE SERMONS By THE KEV. BOY L. SMITH It Is Not By— —Luck that the great lives are lived. —Pull that the great work is done. —Misfortune that the greatest sorrows come. —Bragging that the real results are accomplished. —Complaining that life is made easier. —Jealousy that one holds the love of a friend. —Deception that one finds his way to lasting joys. •The largest number advance represents reservation the list the club has had in the eight years t has conducted the outing," Mr. Bonnell said. "The remarkable part of it to us is that nearly 200 of the reservations have come from persons not now in Phoenix, but who will be here for a winter vacation at the time of our trek. Boston, Mass., New York City, Philadelphia, as well as nearly 20 Midwest cities are represented in the list. "The majority of these advance reservations Lhrough the have been handled Phoenix Chamber of Commerce office, where persons write to ask about the trip. It shows the great value of continuing publicity on something worth while from year to year." Last Sunday club members worked on the job of preparing the base camp, and left the road for a later and dryer date. This year's program, according to Mr. Bonnell, will follow somewhat the features of previous treks, but will have several entirely new entertainment angles. Those who visited the base camp said the wild flowers and the greenery of the desert will give the trek an entirely new and beautiful setting. Down the course of Peralata canyon a clear stream is running and gives promise of continuing for many weeks. U. S. Aid Ends A rizona Study Justin Wagy, personnel consult- in ant Canada Gives Toward Cause OTTAWA — (Correspondence of the Associated Press)—Canadians and Canadian newspapers generally have been studiously polite in comments on the lease-lend controversy in Washington, but one argument advanced against the bill has managed to get under the Canadian vest. It is tlie argument that since Canada sells her war supplies to Britain for cash, why should the United States be more generous? The snap Canadian answer is that the dominion has sent 60,000 troops overseas and is sending a steady stream of airmen into the attle of Britain. Newspaper Replies "It is true, of course, that Britain s buying in Canada as in the United States, and that Canada is epatriating securities to help in uch purchases. But, apart from hat, what is the position? Briefly, t is this: That Canada is neither Basing nor lending; she is giving, iving soldiers, seamen, airmen; giving planes, ships, guns, tanks; jiving—on her own—billions of dol- ars. Canada is doing this. Not for Jritain, but for herself; giving for hpr own and democracy's safety; the defense of the things on his earth that she, as a Christian Democratic nation, has a sacred luty to defend. Comparison Made "Let us see what Canada gives, relate that giving to the United tales. "Canada has 60,000 troops overseas. That, on mrison, would states expeditionary force of 700,100 men—a United States army of 700,000 men, fully armed and equipped, in England at this hour. "Canada has the lion's share of a commonwealth air training plan which, by next September, will have cost this country about $700,000,000 and will be training 25,000 pilots a year. On a population comparison, that would mean an expenditure by the United States of more than $8,000,000,000 and the training of 250,000 pilots a year. "Canada is spending for war at the rate of $1,000,000,000 a year; will probably be spending soon al the rate of $1,500,000,000 a year That is the equivalent of a United States war expenditure of between $12,000,000,000 and $15,000,000,000 a year; on a comparison of national incomes it would mean United States expenditure of vastly more than that. (EDITOR'S NOTE: W. B. Randale deicribei the prexnt worklw «n* P»»- »lble enlatttmtnU of the CXCCM profit! taxei In thli third of >U dally itorics ing the national picture. Tomorrow: The Income tax.) WASHINGTON, Feb. 18— (AP)—Back in September, a group of senators and representatives culled the meat for an excess profits law from a pound and a half of legislative chop suey that had been dropped :n their laps toy their respective houses of congress. What they wanted to make of the law was one that would feed the federal revenues but one upon which no war millionaires would thrive. No one yet claims that they achieved perfection in either di- two and i consuter officers. The American "envoy" to the' principality of Liechtenstein is James B. Stewart, who |I spends most of his time as consul-general at Zurich (Switzerland.) The consul at Nice (France), Horace Remillard, represents American interests in Monaco, the tiny principality on the Mediterranean coast which is chiefly famous because of its world-famed I: gambling pavilion. Arthur C. Frost, Consul general .at Barcelona (Spain) has. the tiny ' republic of Andora in "Tils consular jurisdiction, and 1 Putnam, consul general John R. at Flor- cnce (Italy) is the state department's "envoy" to the little republic of San Marino, high in the Italian hills. State Changes Warrant Action Registration of state general lund warrants before mailing has been discontinued, Joe Hunt, state treasurer, said yesterday, and persons receiving such warrants must present them to the treasurer in order that they may be registered. This does not apply, however, to old-age assistance warrants. The law provides that warrants must be paid in the order of their registration. For some time the warrants have been sent to the treasurer by the auditor's office before mailing, but the law does not provide for this procedure, the duty of having the varrants registered resting on the person receiving them. It is contemplated that the necessity of registering general fund warrants will be eliminated entirely by House Bill 15, which already has been passed by the house of spending about a week here examining the setup of the Arizona State Board of Social Security and Welfare, with particular reference to operations of the merit system. The federal agency requires that all state systems that operate under its jurisdiction and spend federal money use the merit system originated and established by the federal board. The object of Mr. Wagy's study is to determine just how closelj the merit plan has been adhered to with regard to the hiring of em ployees. The personnel operates out of executive, whi Washington, making similar studies throughou the western region. He will report on his findings direct to social se curity headquarters. The state board met in regula session here yesterday. Official said that only matters of a rou tine nature were considered. a population com- mean a United "Yet the United States lease- lend bill involves an expenditure of less than $3,000,000,000." -Out Of America's Pocketbook- Remodeling Of V. S. Excess Profits Tax Seen Necessary Story O/ Canyon Is Lecture Topic The life story of the Grand Canyon will be told by J. W. Hoover, Arizona State Teachers College at Tempe professor, in an illustrated lecture to be given at 8 o'clock tonight in the Arizona Museum. Mr. Hoover, with the aid of lantern slides, will tell the story of erosion through many thousand feet of rock that took a mighty silt-laden river millions of years to accomplish. He also will tell of the river's history in the annals of white men, beginning with its discovery by Don Garcia Lopez de Cardenas and 12 companions more than 300 years ago. rection. The bill passed by the house had jeen a hodge-podge, and when the senate finance committee got through with it, the treasury disowned it. The senate debated and amended the measure until it had collected 489 pages of legislative dissertations which it called a tax lii and passed. "Imponderable Mess" Senator La Follette, Progressive^ Wisconsin, called it. a "complicated lodge-podge." Senator Vandenberg, Republican, Michigan, said it was an "imponderable mess." Even Senator Harrison, Democrat, Mississippi, chairman of the finance committee, had but faint praise for it as he led the measure off to conference. He called it the "most intricate tax bill ever presented to congress." He and Chairman Doughton, Democrat, North Carolina, of the house ways and means committee and their colleagues on the conference committee put in long hours of work trying to shape a tax implement out of the unwieldy hunk of metal they had to work with. Tax experts say they did a remarkable job but that the bill still lacks some of the clarity of a child's reading book. A remodeling of the law has been forecast for this session. More than one prediction it would be changed vastly before a dollar of revenue was collected under it. Representative Treadway, Republican, Massachusetts predicted it would create a new class of millionaires out of the'tax experts. "Anyone who can explain this- will become a millionaire overnight," he said. Seasoned tax observers predicted corporations would pay under protest because of the law's abstruse language and that the board of tax appeals would get plenty of business from it. In the absence of a change, however, the treasury and its bureau of internal revenue have to twist all the tax rabbits it can out of the excess profits log. Estimates of the proceeds from the tax range upward from $155,000,000. The treasury's own guess is that it will get 5522,000,000 from this source during fiscal 1942, the first full year of operation. Influenza Drops To Near Normal The number of new cases of influenza reported in Arizona during the week ended February 15 was only 211, indicating the recent outbreak of the disease has subsided to near normal for this time of the year, the Arizona State Board of Health announced yesterday. Other new disease cases reported: Chicken dysentry, pox, 18; 29; diphtheria, 5; gonorrhea, 30; measles. 87; mumps, 17; pneumonia, 46; scarlet fever, 5; syphilis, 56; trachoma, 18; tuberculosis, 39; and whooping cough, 33. The total number of new cases reported was 594. __ representatives and is pending in the senate of the 15th legislature. ay sice m jk_ HoK Soles 69 e 19* Wom Heel Lifts KORRICKS BASEMENT DEMONSTRATION Id REVERE COPPER CUD STAINLESS STEEL UTENSILS At Our Phoenix Store Today Every Housewife Invited to Attend • Revere's famed food authority will demonstrate in person the healthful waterless method of cooking at our Phoenix store all day Wednesday. See and taste foods cooked with all the vitamins and minerals saved—with natural colors of vegetables preserved—and with no odor produced. I DEMONSTRATION SPECIAL Special 11-PURPOSE Set consist* of 5-Woy Do,bl« tolltr (J.Qt. CoDoelty) Coiurai* Ml«ing mam k> Bowl, Soue« Pen. coneWi.-4.Ot. Sotin Pan and Dutch On> • 3-Ot. Save* Pan • 3-Qt. Ff»nch Fw toik.t • IB-ln. Sldiut •m) Griddl*. ONLY EASY TERMS-BUDGET PLAN DEMONSTRATION AT MESA STORE ON WED. FEB. 26th But the whole problem is vastly complicated. To begin with, the law provides two ways by which a corporation may figure its excess profits. First, it may elect to pay on any profits over eight per cent of invested capital, including equity capital but only half its debt. Second, it may pay • on any profits over 95 per cent of the average profits of 1936-1939. Choice Given Taxpayer After a fashion, this gives the taxpayer a choice between the American World War system and the present British method of deciding what are excess profits. The time-worn difinition is that what is left after normal profits are' subtracted from net income is excess. The American system was the allowance of a certain percentage of income on invested capital and taxing the remainder. The present British system establishes a basic period, determines the earnings of the business during that period, strikes an average, and takes all earnings above that average. In this respect, the American excess profits law is much more lenient — it doesn't take all above any giyen level. Where the British law, after determining what are excess profits, turns the whole of the excess into the public till, the American law grants a $5,000 exemption, takes a fourth of the excess up to $20,000 and half of that over $500,000. British Law More Lenient Tax experts say, however, that the British law is more lenient than the American on one point. That is, the taxpayer with a loss one year and an excess profit the next is allowed to balance off the one against the other, even to the extent of getting a refund if the loss year follows the excess year. The United States treats each' year's profits as an Independent transaction. The excess profits tax was borr in the World War. Denmark and Sweden saw war millionaires emerging from the trade with Germany in 1915. They smacked down with an excess profits tax. England followed a few months later. A year afterward, 17 countries had such a tax. The United States adopted one a month before going into the 'war. This tax ranged from eight to 60 per cent. It was wiped out in January, 1918, though a one-year war profits tax somewhat plugged the gap. In the tax turmoil and neutrality debates of the early 30's, the excess profits tax emerged again, it was resurrected in 1933 and given an air of permanance in 1935. Tax Of Double,Purpose Tax experts say the resurection of the tax had the double purpose of getting full value assessments tor the capital stock tax of clipping big profits. As a revenue-producer during the World War, the excess profits tax was a go-getter. For Great Britain, it turned up 29.3 per cent of the nation's whole revenue between 1916 and 1921. For the United States, it produced almost seven billion dollars between 1917 and 1921, about a'third of the total revenues in that period. Experts say, however, that the amount of revenue such a tax brings in depends in considerable measure upon the amount of inflation in prices— and profits— that occurs. Some of them contend, too, that if the tax rates are lifted to take niore than three fifths or two thirds of the excess profits, the incentive of the businessman crumples and the yield falls. They say he doesn't like to work if the government is going to take from 80 to (as in the case of the British) 100 per cent of his extra profits. Many businesses showed up with nice profits in the first nine months of 1940 In spite of their tax load. Though the tax did not get through congress until September, it covered earnings for the whole yean United States Steel, after allowances for excess profits, had a net of $69,418,070, a 46 per cent gain over 1939 but a small yield upon its huge capital investment. Du Pont was up 36 per cent before taxes, but they whittled its nine month's net down to $67,928,497, lust elgth per cent more than it made the year before. Kiro Military Medical Academy in Leningrad, Russia, recently celebrated its 140th anniversary. Labor 'disputes are retarding production in Chile's nitrate fields. Spring Special If you have an old piano that has no more tone or Mntlment attached to It than the stuffed rnt, you're In luck! Our Sprlnjf Special take* the old piano off your hands at a liberal trade-in allowance. Selec: ANY one of the beautiful new Spinel model pianos—with lovely torn* and 'fcrani feet* actions; and start with only $5 per month, with 3 yearn to pay the balance We carry our own contract* and will fl nance a limited number of deals on these very ftpeclal terms. What!-No Piano? KEDEWILL'S—222 W. WASH. PHOENIX WATERMELON Or Cantaloupe Select Seeds i ^^B^B Hungary plan, to. greatly* velop Its government s tf \SFYING! Good company, good coffee... make any meal an event! Schilling has the delicious flavor that brings complete coffee satisfaction. YOUR CHOICE-Mir II PERCIUTII Schilling W I H99 OF THB MORNINS FREE PARKING NEXT DOOR IF THRILLS c.i.r.1 You must visit this oasis. Drive out for a luncheon, 'dinner, a day or the season over an' attractive 6 7 - m i 1 e highway, paved except for 24 , miles of highly improved, scenic mountain road. —CASTLE. [Hot Springs Wander down graveled moon- tain arroyos, hike over invitinj, winding paths to point* of scenic splendor. Follow well beaten trails on horseback to adventure, or ride with overnight parties to s> real old-west, overnight rendezvous. Tennis, golf, swimming (four radioactive, differently temperatnred pools) and the many other sports are more tun in the warm Arizona sun. Your visit to Castle Hot Springs will be a visit you'll never forget for at Castle Hot Springs you'll enjoy the pleasures of Arizona at their best. WALTER ROUNSEVEL Manager , /• '*"* --^,.';; ,<r' ^1--\w^vW v , > >',; *-:»;; \< f ,t *~$3&&& Not if it's One of these Four New Additions to the Buick SPECIAL Line that Compact Automobile Bigness into Fewer Bumper-to-Bumper Inches H ERE of late the modern automobile has been giving a pretty good imitation of a man getting up in the morning. It has stretched and s-t-r-e-t-c-h-e-d—until today you almost have to have a shoehorn to get a car of any size tucked away in the family garage. We thought something ought to be done about that. Thought it was time someone built a truly — extra. Prices su accessories— e> " ra ' without notice. big car—big in ability, in room, in beauty —that was still compact enough, bumper to bumper, to fit your garage without dispossessing the garden tools. So today in Buick dealers' showrooms you'll see four new models, additions to the 1941 Buick SPECIAL line. They are typical Buicks on every count —trigger-quick, steady, tireless travelers, with a big 115-hp. Buick FIREBALL straight- eight under their bonnets. They dress every mile you travel in trim Buick style—cradle every yard of distance on soft all-coil springing. They top off every trip with an even greater measure of gasoline economy, thread traffic with i new nimbleness, and when it comes to parking find the proverbial dime roomy as a dance floor. ^ But by the simple step of compacting all this ability, goodness and value on a 118- inch wheelbase, Tve've trimmed inches off the over-all length—and dollarsoffthe cost. We're passing those dollar savings on to you, which makes three reasons for going to see these honeys now: You'll go for their ability—your vrift will go for trim size and easy handling—and both will stand upand cheer for the easily-reachable price. IXIMPIM Of MNItM MOTOtt VAlUf Phoenix Motor Company Van Buren W. C OUFRFDFAIIY_P«« , DL 401 W. Van Biiren W. C.QUEBEDEAUX—Prcsj, WHEN BETTER AUTOMOBILES ARC eunf BUICK WILL MILD THE* Phone 4-2101

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