| Show Or There is No Financial S Santa a n t a Claus c Claus I a u s One of the greatest obstacles inthe inthe in the way o of curing the growing tax problem is the ancient human desire to get something for noth- noth noth nothing mg ing That desire is at the forefront in times such as the present when vast sums are being spent for di- di direct di direct relie relief and for public works pro projects Practically every state is il i making an effort to obtain a largEr larg- larg larger larg larger er share o of federal funds than neighboring commonwealths One Oneo o of the most potent sales talks o of nigh high state officials is that they nave have been instrumental in obtain obtain- obtaining obtaining i ing g federl federi grants for their constituents constituents The idea has gotten around that this money is free Uree And so itis it is to to the extent that the state pays nothing for its directly Yet every cent ent o of the tho money comes from the federal treasury treasury-it treasury it is made pos pos- possible pos possible sible by federal borrowings which are secured by liens on every en- en enterprise enterprise en enterprise every piece of or property every investment in the nation In- In In on the bonds must be obtained through taxation taxation- taxation and when the time for amortization amortization tion comes the money must also be raised by taxing the public Generally speaking the federal grants rants arc are proportioned to states On the basis of population the per per per- of or needy being about the same in one part of the country as another As a result the people of the various states will have haye to pay back payback the money they get precisely as they would if it were secured by state tate bonds The only advantage the federal government has is in borrowing money at a slightly lower low er r interest rate than a state This is not to argue that relic relief isn't necessary necessary-it necessary it is But it is also a fact that states are obtaining money for luxury projects which they do not need and whose con con- contribution con contribution to the welfare of the people is far less than it should be in the light of their cost Once the public learns that no one in history has managed to devise away a way of getting ettin something of value for nothing it will demand that the states as a 3 whole stop look look- looking looking ing for a Santa Claus and use se more common sense |
