and General Committee unable to make any great changes in taxation, 'Mr, Chamberlain, in true Dickensian language, suggested that Britain had finished' the story of "Bleak House" and was now settling down to the first chapter of "Great Expectations." "We in Canada, on the Other hand, are still in the middle of "Hard Times"; and, like the hopeful Micawber, are patiently waiting "for something to turn up." The complacency with which our leaders announce their accomplishments and their prospects might be a cause for humourous reflections if it were not such a serious matter. Having said as much, it may be well to examine the budget address in some detail.
Mr. Rhodes admitted that _condi-uns during the past had been ditlcult, but saw distinct signs of revival present, He announced that the de-Aeit on what our Finance Minister choose to call the "ordinary account was over $24,000,000, but predicted that this would be turned into a surplus during the coming year through the continued expansion of trade. Capital expenditures, which are never considered as ordinary in this country, and the amounts spent fon account of unemployment relict added another $52,000,000 to the red side of the ledger. Then the total losses on the Canadian National Railways, including the vast sums payable as interest on the system's Aebt, amounted to $59,000,000, Few Ta tion Changes There were few important changes in the matter of taxation. The excise fax on sugar, which was roundly criticized when it was me troduced last spring, has been reduced to one cent a pound instead of e|two. To balance the revenue from this source there 1s a tax of ten per cent. on the value of gold mined in Canada, which will be applicable only if the price of gold is such that the net return to the producer amounts to $30 an ounce A few minor changes were made in the tariff, but mone that will affect revenue greatly. 'The income tax is practically the same, with a few adjustments in connection with the payments by corporations. 'The six per cent. sales tax, which is really the heaviest direct' impost on busi ness, was not changed, and will continue to act as somewhat of a drag lon recovery.
The strongest criticism that one can make of the present budget policy is that the Government has openly budgeted for continued deficits without any suggestion of improvement save that of a vague "business recovery". The "fact, of the matter is that the most unlikely atmosphere for real recovery is that fof continual deficits, To base the hope of a favourable national has lance sheet on business improvement seems very much like putting the heart before the horse. Rather would seem that the nation is waiting for a courageous plan by the Government before venturing ward into new enterprise It is very easy to understand the effort of Finance Ministers to explain away their deficits, and one has great sympathy for them in these times, but the tendency in Canada to talk away the great portion of debit balance by calling it "uncon trollable expenditure" is a very da Kerous one. The members of the Government are chosen to handle the nation's affairs, and one would surely expect them' to try and learn few lessons from other nations of the Empire in the matter of arrest-Ing the growing national debt, 'True, -Lit might be necessary to adopt some {methods that sound radical at frst, ut at the present time the day of Jsome very radical policies is merely being postponed. 'The' public debt of Canada has increased some $750,000,- 000 in ten years. It is obvious that this increase cannot continue much [longer before it will ta all the called "ordinary revenue to pay our Interest charges.
Text read from the printed page and cleaned; old type leaves the occasional error.