THURSDAY, AUGUST 21, 1916.
GRANDE EVENING OBSERVER
THE OBSERVER
BRu)E DENNIS, Editor and Owner.
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' GRADING THE TAX.
The proposal to reduce the exemp
tion ilimit of the income tax $1,000,
making it $2,000 for the unmurried
and $3,000 for the married, was to be
expected sooner or later. Two classes
ought to be in favor of it. thos who
already pay a federal income tax, and
those whose incomes are below the
tax limit. But there are many who
would have to pay a tax under tho
proposed arrangement who are likely
to bo found favorable to the idea, af
ter they have done a little thinking.
The most acceptable theory of tu
ation is that which J.olds that each
person should support the government
according to this ability. The gradu
ated income tax, which takes at a
higher rate from the millionaire than
from the $4,000 man, acts according
to this theory. It is the only tax
that, does act in this fashion. All
other taxes levy from the poor man
at the same rate as from the rich
man. (
' .Lowering the exemption will mean
that a larger number of people will
feel -deeper interest in the actions of
the government. The great fault with
indirect taxation is that no one can es
timate the exact amount which he is
paying toward the support of his
country. 1 But if the nation takes a
certain portion of his income, he
knows that to that extent he has pro
vided money for congress to spend.
And he will hate to see that money
wasted. Extravagance has often been
charged against congress, but it has
never been a real campaign issue. On
the other hand, municipal campaigns
have shown that people who believe
that the money taken from thorn by
taxation has been badly spent are a
political force to be reckoned with
seriously. Tho people know how
much they pay under it. Extrava
gance is likely to find its reflection
in that tax. Therefore, tho greater
the number of people affected by it,
the greater should be, and probably
will be, the interest taken in the government.
Roumania stood firm and resisted all
offers. Tantalizing prizes were held
before Bulgaria. She might recover
the lands which she lost in the sec
ond part of the Balkan war. Mace
donia might be hers at the expense of
Greece. She could be the leading
Balkan state. The Germans and Aus
trians were beating back the Rus
sians. Victory was assured. The
meanace of the allies at Gallipoli Was
removed, and no danger was appre
hended from the forces at Salonki.
The Austrians were knocking at 'Bel
grade, and Servia wbb doomed. The
Bulgarians might expect almost any
reward. Bulgaria joined the central
powers.
Roumania resisted all offers. She
continued to raise food and sell it to
the buyer who offered' the highest
price. She maintained' a policy of
watchful waiting, and day by day the
market value of her military ser
vices went higher. The Russians
checked their retreat and turned on
the Austrians. The rejuvenated Ser
bian army attacked the Bulgarians.
An army of about 700,000 allied
troops threatened from the direction
of Saloniki. Roumania may join with
Russia, and if she docs, Bulgaria is
caught in a trap, with the Serbs
pounding on one side, the Roumanians
on the other, and the Austrians and
Germans unable to help.
Bulgaria is about to pay for guess
ing badly. It is reported that she
may try to retrieve her fortunes by
turning against her present allies.
The congress which follows the war
will have no more perplexing problem
than the stabilization of the envious
Balkan states and the settlement of
their rivalries.
UNFORTUNATE BULGARIA.
Bugaria and Roumania are furnish
ing object lessons to tho world. Both
were pressed by each alliance. Bul
garia yielded to the central powers.
I Argentina's New President,
j Buenos Aires, Aug. 1. (By Mail)
, When Hipolito Irigoyen takes the
j oath of office Oct. 12 as president of
1 Argentina, his country will start on
,ono of the biggest experiments ever
undertaken by a republic. Dr. Irigo
yen will head the first Radical admin-
istration in Argentina. What the doc
, tor's idea of "radicalism" is, nobody
I knows. He has made no speeches. He
(has written almost nothing. He has
never defined his position. What n?
I intends to do, as president, not one of
;his countrymen can guess. Nobody
! knows whether he is Pan-American.
The Radical party was organized in
Argentina to fight for fair elections.
It has never had any other platform.
"We have ideals," leading members of
the party say, "but no program."
There are even reports that Dr. Irizo-
yen will issue a manifesto soon dis
I solving the party itself, now that an
! honest ballot, as he is said to believe,
I has been guaranteed. This, however,
is mere surmise. The doctor was
elected president because a majority
of the voters trusted him, personally,
implicitly and blindly. Those who be
lieve in him consider him Argentina's
greatest man. His opponents regard
him as extremely dangerous, and look
forward to his administration with the
gravest misgivings. Dr. Irigoyen is
about 00, a tall, powerfully-built, im
posing man, and very dark. His
blood is Spanish Basque, with a slight
Indian strain, some say. He is
smoothly shaven, except for a very
thin black mustache. Popular rumor
is that its thinness is due to the doc
tor's custom of extracting the white
hairs, which are rcoprted to have ap
peared so numerously in recent years
as to leave but a scattering repre
sentation after their elimination. The
THE "FEDERAL RESERVE" SYSTEM OF BANKS, OF
WHICH OUR BANK IS A MEMBER, WAS THOUGHT OUT BY
THE BEST BRAINS IN THE BANKING AND BUSINESS WORLD.
THIS SYSTEM DEMANDS THAT A BANK BE SOUND BE
FORE IT CAN BECOME A MEMBER BANK.
1 WE CAN TAKECAREOFYOUR BANKING BUS1NESS.AND
SHALL BE GLAD TO HAVE YOU COME IN AND "MAKE YOUR
SELF AT HOME."
BANK WITH US
6l2
WEIPAY H PER CENT INTEREST
ft r ' f r i 1
2 o money ior, improved r arm: Loans;
La Grande National Bank
LA GRANDE, OREGON
', Capital $200,000.00, Surplus $50,000.00, Resources $1,000,000.00
JYed J. Holmes, President; a C. Penlngton, Vic President; F.
'jieyers, Cashier; E. Zundel and H. E. Coolidge, AisisUnt Cashiers.
' DIRECTORS
(' Fred J. Holmes, J. G. 3nodgre.ee, J. T. Conley, C C. Penlngton, H.
J. Bmnmton, T. L. Meyere, A. BlofcUod, A. T. BID, H. E. OoolkSf.
Our Boys' Suits Are
Run
"Home
Hitters
Brand
In the Durability League
"Best Ever"
$5 to $10
Many With Extra Knickers
yKJ!l3H.llMlbilLii.1:ljjK
new president began life poor. He is
self-educated but did his work so well
that, today, 'he is a highly cultivated
man. Most prominent South Ameri
cans possess some academic degree
entitling them to the prefix of "doc
tor" ibefore their names. Irioygen is
spoken of as "doctor" because he is
prominent. The title is one of court
esy. He lacks the degree. He is now
very rich. His wealth was accum
ulated in successful land transactions.
By occupation he is a ranchman on a
huge scale. Part of his time he
spends on his "estancia" in the coun
try; the rest at his very modest resi
lience in Buenos Aires. For a long
time, for pure recreation, he held the
professorship of "civic instruction" at
the Buenos Aires Esquela Normal "de
Mujeres, or Normal School for Wom
en. His salary for this work he
turned over regularly to the Sociedad
de Peneficiencia, or "United Chari
ties" of Buenos Aires. ' Twelve years
ago a president who was his personal
enemy caused his removal from this'
post in the normal school and he hag
never held it since. For 20 years he
has been the Radical party's leader.
His authority has been absolute. His
opponents within the party's ranks
have been few and, sooner or later,
he has always won them over. "His
mere presence," as one of his admir
ers expresses it, "is magnetic." Twice
he has been concerned in attempted
revolutions. une was very nearly
successful but both finally failed
through premature exposure. IrigOr
yen himself was never arrested in
connection with these attempts. He
did not flee. So far as could be as
certained, he continued to live in his
home in Buenos Aires, but somehow,
when tho police called to make him a
prisoner, he never was there.
A singular dislike he has always
manifested to being photographed is
general attributed to habits formed in
his days as a revolutionist, when the
authorities' possession of his likeness
might have landed him in jail. Sq.
far as the public knows, nobody has
a picture of him. Once he really was
"snapped" but a minute later he
smashed the camera with his walking
stick. Subsequently he paid for the
damage voluntarily, plus a bonus for
his violence, but the photographer
lost his picture.
From the moment of his election he
secluded himself in his town house.
No politicians were admitted. He re
ceived no office-seekers. He refused
to make any prmises. He has list
ened to no suggestions. His house is
without a telephone and he has an
swered no letters.
Secretary of the Treasury McAdoo
of the Uinted States, a visitor in Ar
gentina, was one of those who wanted
to see him. Irigoyen sent out word
mat he was ill.
The doctor n!ver had occasion to
put himself politically on record in
the past because he never was a can
didate for ollicc prior to the presiden
tial election of April 2, 1910. The
Radicals never put forward a presi
dential candidate until that time.
This was at Irigoyen's dictation. He
said that elections were not fairly
conducted and that a Radical candi
date would be "counted out" even if
lie won. Therefore he would permit
no Radical nomination. There have
been Radical congressional candidates
in the field, and a good many of them
have been elected, but never a candi
date for the presidency before.
Irigoyen himself has been offered,
cabinet posts and other appointive of
tices several times in recent years but
lnvaiiaiiiy leclnuM them. Once the
governorship of the state of Buenos
Aires was tendered him.
"This," he said, "must be meant for
Ir. Bernardo Irigoyen," referring to
another politician whose last name
was tho same as his own, to whom be
directed the messenger. Dr. Bnrnar
dino accepted the ollicc and actually
That ho will figure as a reformer is
considered certain hut what direction
his reform work will take is a mys
tery. It is surmised that he will do much
in the interest of education. It is be
lieved he will do much in the interest
of education. It is believed he will
favor certain tariff reductions. It is
asserted that taxation questions will
take stops towards suppressing horse
race U'tting and mayl that he will
put an end to the national lottery.
Hut nobody knows.
Argentina votes for members of r.n
electoral college, as In the United
Mates. The vote cast for Irigoyen
gave him a majority in the electoral
college.
Tremendous pressure was put on
his electors to abandon him. There
were reports that 19 of them would.
In the event of 'a combination against
him, this would have meant the elec
tion Dy tne college 01 some other can
didate. ' Lacking such a combination,
it would have been necessary for the
two houses of congress to choose a
president, in joint session.
The danger he faced caused nearly
,as much of an uproar as a similar sit
uation would precipitate in the United
nStates. There was talk of a revolu
tion if the doctor were robbed of the
fruits of his victory.
The electors with the exception of
two wno lauea to vote, cast their bal
lots in accordance with instructions,
and Irigoyen received 152 out of the
1,298 dropped in the box.
j Directly following his nomination,
the doctor made over, in advance, his
'prospective salary of 15,000 pesos
j ($6,600) monthly, for the six years
I of his term, to the Sociedad de (Bene
, ficifincla,
Counting' what he sacrificed in this J
way, together with what the expenses
of his office will be, it is estimated 1
that his generosity will cost him
: more than $1,000,000.
- Ilrigoyen will have in congress a ,
! Radical plurality but not a majority, '
I the Socialist, Conservative and Dem
1 ocratic members jointly somewhat !
' nntnnnihfo-inir his frulnwinu- Mia e,i
n v..v.. .....
porters hope, however," that next
year's elections will give him com-
v.l.(. . . . i ,
' piece vuiirvHMUiTCil cooiroi.
1 The presidential inauguration will
take place before a joint session of
the senate and house of representa
tives, in the hitters' assembly hall in
the Buenos Aires capital. President
of the Senate Benito Villanueva will
administer the official oath.
With Dr. Irigoyen, there will be
sworn into office, as vice-president,
Dr. Pelagie Luna, an elderly lawyer.
His duties will be practically the same
is those of the -vice-president of the
United States.
Dr. Irigoyen will succeed Dr. Vic
torine de la Plaza, who, elected as
vice president, was elevated to the
chief magistracy by the death in office
of the late President Seenz-Pena.
OUTBURSTS OF EVERETT TRUE BY CONDO
I
1
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Ytfo here born anbi flL r :
' 1 1 BEL.,) m -4DVICS TO YOU IS'. I V
"T-, L, AROUNT) OVCTR HRS ANO CPMTJNMCCY
' - l ON HOW pUNK M
' .. UMrtD STATS? ISS!
REAL FOOD,
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4.