Congresss and its Sessions

If the average woman voter finds it difficult to keep in mind the arbitrary dates and the curious overlappings of our double system of Presidential and Congressional government, she should find some consolation in knowing that the average male voter is also likely to become confused at times. Thus the Congress which was elected with President Harding in the Republican sweep of November, 1920, entered upon its first regular session as required by the Constitution on the first Monday of December, 1921, some thirteen months after its election. The preceding Congress ended its work on the fourth of March, when President Harding was inaugurated. But soon after the Administration began its term of service last spring, Mr. Harding called the new Congress together to meet in extraordinary session. It is this "extra" session which finished its work on November 23, the members giving themselves a breathing spell until Monday, December 5, when they reconvened for their first regular session, with a long stretch of work lying ahead. Mr. Gillett of Massachusetts continues as Speaker of the House.

Work of the Recent Session

The extra session was called for the principal purpose of dealing with tariff and taxation. After much struggling over the Fordney Tariff bill, Congress reached the wise conclusion that world trade was in too chaotic a condition for the immediate enactment of a completely revised system of customs duties. Early in the extra session there had been enacted a so-called emergency tariff measure, which related particularly to agricultural conditions, but which also had some provisions of a general kind; for example, those intended to protect the industries of this country against what is called "dumping." The great effort of the session was to enact a revised measure of federal taxation, and this was duly accomplished. In later paragraphs we are explaining the principal changes that have been wrought by this new tax law. This extra session is also to be credited with giving effect to the improved method of dealing with expenditures that looks at the Government's business as a whole, and that is known as the budget system. To this matter also we are reverting on another page. The country has evidently smiled with warm approval upon the Harding Administration, while it has refrained from showing enthusiasm for the

Republican Congress that was elected along with Mr. Harding.

Not So Bad as Painted

Yet the Republican leader, Mr.
Mondell, in the closing hour on
November 23, was probably right

in declaring that the session had been one of
the most diligent and important in the history.
of the American Congress. He referred to
the substantial lightening of tax burdens, and
included in his list of actual achievements
the Emergency Tariff, the Budget law, the
new revenue act, the peace resolution (favor-
ing a conference), the Volstead Anti-Beer
law, the Immigration Restriction act, the
Veteran's Bureau act, the Farm Loan act,
the Maternity law, the Packers Control law,
the Good Roads appropriation of $80,000,-
000, the act for the apportionment of the
waters of the Colorado River, the War
Finance Agricultural Loan act, the Grain
Exchange Futures law, the appropriation
for the Shipping Board, the Naval appropria-
tion measure, the Army appropriation
measure, the Cable Control act, and the
Indian Bureau act. It was shown further
than an immense amount of work had been
done upon measures which will come up for
completion in the regular session. Mr.
Garrett of Tennessee, the acting minority
leader, analyzed Mr. Mondell's record of
achievements in order to show that most of
the important work of the session had been
non-partisan, and had grown largely out of
previous study and effort. This, however,
is all to the good. American citizens cannot
be too often reminded that in the real work
of governing the country and making its
laws, partisanship has a very minor place. If
the Republican leaders were able to build
upon the good work that had been done
under Democratic leadership in a former
period, so much the better for all concerned.
The simple fact is that the work of Congress
has been overshadowed by the Peace Con-
ference and has not had sufficient prominence
in the newspapers.
in the newspapers. Neither has it had that
regular and continuous interpretation that
would be desirable.

the Armament Conference. The message began with generous and sympathetic references to existing conditions at home and abroad. The spirit of coöperation with Congress, as expressed in the message, was both tactful and wise.

Merchant Marine Policy

The first concrete topic in the message referred to the merchant marine act of 1920, in which President Wilson was directed to give notice of the termination of all existing commercial treaties in order to admit of reduced duties on imports carried in American ships. Mr. Wilson did not find it practicable to comply with this direction; and Mr. Harding, after due study of the subject, has concluded that there ought to be further delay in this matter in order to permit the presentation to Congress of a different method by which to encourage our merchant marine. We are now aware that this better method, openly advocated by Mr. Lasker, head of the Shipping Board, is to be that of direct compensation, or of subsidies. Mr. Harding declared that "the American intention to establish a merchant marine is so unalterable that a plan of reimbursement at no other cost than is contemplated in the existing act will appeal to the pride and encourage the hope of all American people." Merchant marine, then, is Mr. Harding's first topic.

An

Elastic Tariff

Next comes the tariff measure. Mr. Harding urges "an early completion of this necessary legislation." He declares that "it is needed to stabilize our industry at home. It is essential to make more definite our trade relations abroad. More, it is vital to the preservation of many of our own industries which contribute so notably to the very lifeblood of our nation." In finely balanced phrases President Harding disclaims any desire to have a tariff system that would ignore economic conditions abroad or destroy our foreign trade. But he holds firmly to the view that we must maintain our own stability, and that we shall not help to build up European prosperity by submitting to a sacrifice of our own. He advises a more flexible tariff policy than we have ever had before, and proposes "the extension of the powers of the Tariff Commission, so that it can adapt itself to a scientific and wholly just administration of the law." Mr. Harding discusses the problem of American valuation with entire frankness. He sees that it might result in making the tariff prohibitive in certain instances where imports ought to be encouraged. He intimates that American valuation might be made to apply to some commodities and not to others. He holds that frequent adjustment of rates and of tariff methods will be necessary for years to

come. He believes that it might be possible to use the Tariff Commission in such a way as to make these frequent changes entirely feasible.

Farms and Homes

The next topic taken up by President Harding is that of the condition of American agriculture. He realizes the need of prosperity among the farmers and calls attention to the present burdens due to depressed prices. He makes a bold plea for the principles and methods of agricultural coöperation. lowing this advocacy of coöperative marketing are some notably wise reflections upon the danger of over-concentration in our industries and of the undue growth of our cities. The attention of Congress is invited to the need of a general policy of railroad. transportation that will help industry to find a better distribution, with aid to roadbuilding that will "encourage the spread of our population and restore the proper balance between city and country." There follows a discussion of the relations of labor and capital that is in harmony with the best thought and effort of the present season. presentation of the subject of the nation's public land system is remarkable for its unusual statistical information, and its indications of a new land policy. President Harding frankly supports the idea so strongly urged by the late Secretary Lane of federal aid for land development in conjunction. with projects in which State and private participation are assured. We are encouraged to believe that very large sums will accrue to the federal and State governments from the further application of our existing laws which provide for leasing coal, oil and gas lands on a royalty basis, the same principle relating also to deposits of phosphates and other minerals on the public domain.

Reports of Cabinet Officers

A

The annual reports of department heads were made public last month. In later paragraphs we are alluding to the recommendations of Mr. Mellon, Secretary of the Treasury. Our extended article last month from the pen of Postmaster General Hays included the more important of his current departmental facts, plans, and policies. We shall next month give particular attention to the present status of the War Department, and the plans and recommendations of Secretary Weeks. We shall also defer discussion of the report of the Secretary of Navy until next month, in view of the important changes in naval plans

and policies that must follow the sensational "scrapping" agreed upon in the 5-5-3 policy adopted by the Conference on Limitation of Armament.

Secretary Hoover's Activities

In his first report as Secretary of Commerce, Mr. Hoover calls attention to the fact that he has been in office only a few months and that he has been occupied principally with problems of reorganization. It is well known that he advocates the creation of what he calls a "real department of commerce," and holds that there is necessary a thorough rearrangement and regrouping of the governmental services which relate to our foreign and domestic trade. He remarks that since these matters are now before Congress and the Administration, he will not take them up in his report. The document in a series of appendices gives account of the current activities of the Bureaus which at present are grouped under the direction of the Secretary of Commerce.

Agriculture

Needs

The Secretary of Agriculture, and Its Mr. Wallace, opens his report with a very trenchant and stimulating survey, first of agricultural conditions in the United States, and second, of the work of the Agricultural Department as related to the nation's progress and prosperity in its basic industry. This review is one of the most intelligent and satisfactory discussions of our agriculture and its problems that has ever been presented. Mr. Wallace boldly declares that scientific research, in its application to farm conditions, is the principal object of the federal government in maintaining the Department. He shows convincingly how great are the services that the Department is already performing.

"Internal" Progress

The report of the Secretary of the Interior, this year as always, is a fascinating compendium of information about public lands, Indians, patents, pensions, education, geological surveys, the reclamation of lands for purposes of irrigation, the national parks, the mineral resources of the country, Alaskan affairs, current matters in Hawaii, and numerous other things which are all brought together under the jurisdiction of what Secretary Fall calls our "home" department. This yearly report, although many of its chapters are summarized in the newspapers, ought to reach millions of citizens in its unabridged

form. Its range of interest, like that of the report of the Secretary of Agriculture, is very wide. Secretary Fall has a firm grasp, based upon long experience, of the problems that concern "the Interior" of the country.

Facing

the Next

Undoubtedly the regular session of the Sixty-seventh ConElection gress, as it resumes work after a few days of Christmas vacation, will settle down to an unbroken period of arduous labor that will not be ended with midsummer, and that will stop very little short of the seventh day of next November, when the voters will elect members of the Sixtyeighth Congress. Most of the members of the present House will be candidates for reelection. The Republicans will try to make a good record in order to maintain their majority in the next Congress, while the Democrats will show an increasing party consciousness in view of their purpose to weaken the Republican strength, or even to regain control for themselves. The present House has 435 members. The next House must be elected under a fresh apportionment based upon the census of 1920. Under this

new population count, some States gain in Congressional representation and some States lose, the present House having decided that there must be no increase of the present aggregate membership of 435. Previous reapportionments occurring from decade to decade have resulted in successive enlargements of the total number of members. Where there is increase or decrease in a State's membership, it becomes the business of the legislatures to rearrange the Congressional districts.

Farming

Public Policy

While there is no serious secand tional strain apparent, there is a tendency to exert the growing power of the agricultural regions of the West and South, as against the manufacturing and commercial interests of the East. This tendency has resulted in what at present is called the "Agricultural Bloc," by which is meant the semi-organized, nonpartisan support in both House and Senate of measures regarded as favorable to the financial welfare of the farmers. A bill of this kind is now pending, and among other things it fully legalizes farmers' organizations for coöperative marketing. Every

GENERAL CHARLES G. DAWES, DIRECTOR OF THE BUDGET

(Elsewhere in this number will be found an article on the presentation of the first national budget, which had been prepared for the President by General Dawes. The director has announced that he is soon to resign his post, having inaugurated the system. Many years ago he was Comptroller of the Currency and has since become one of the leading bankers of Chicago. During the war he was in charge of purchases for our army in France, with headquarters at Paris, and was greatly relied upon by General Pershing)

where throughout the country the farmers are realizing that their greatest weakness is not in the field of production, but in that of the sale of their products and the purchase of their supplies. Through associated activity they may take their proper place in the modern business world. Just now the dairy farmers of New York and New England are organizing on an immense scale; and an article which we are printing in this number shows how the Southern farmers are beginning to coöperate in the handling of their tobacco and cotton crops. In Kansas and other parts of the West the farmers have learned how to unite in storing and selling their wheat, while there are also great movements on foot for the better organization of the cattle-raising industry.

through support of education, building of good roads, adjustment of railroad rates, and constructive management of the national domain. Congress has before it, moreover, the further study of the best way to relieve and help the returned soldier, while also working to diminish unemployment and to lessen the strain between capital and labor. Never before have the broad social aspects of tariff schedules in detail, and of tariff policy at large, been so prominent as they are appearing in the further discussion of the pending Fordney bill. The present Congress has also before it the very difficult problem of our immigration policy; and there are radical differences of opinion in the present House committee on immigration as to the principles that should govern the making of a law to replace the present temporary measure which assigns ratios to different foreign countries.

The Dawes'

The new budget system for running the great business of the Budget nation is clearly and ably explained in this issue of the REVIEW by Dr. Samuel McCune Lindsay of New York. The actual figures of the estimates prepared by General Dawes as Director of the Budget, and presented at the opening of the Sixtyseventh Congress by President Harding, are specifically reassuring over and above the general satisfaction in at last having the nation's business proceeding in an orderly way. The budget shows the actual expenditures of the Government for the fiscal year 1921 and prepares estimates of receipts and expenditures for 1922 and 1923. The outstanding cheerful feature is that General Dawes confidently asserts the nation can hold down its expenses during the coming year to a little less than $4,000,000,000, as against an actual expenditure of more than $5,500,000,000 in 1921. The improvement is progressive and the estimate for the year 1923 is $3,500,000,000. The receipts for 1922. as set down in this program, fail to meet the expenditures by about $24,000,000, and in 1923 the estimated deficit is $167,500,000; but these deficit figures should be easily dealt with through the probable saving in our naval program.