Renal: SIXTEEN TllE BllilllLllT-TETllWll lillhlllllhll

‘Morning-Dally (Founded ln 1531) Authorized as Second Class Mull. Pout Offlco ~_ Department. Ottawa. j y I sldouthlun A. Burnett; Vlce-Prealdent, Wm. l. ' l

Burnett; Seeyn-Treaa. G. M. Burnett; Editor uud Managing Director, J. R. Burnett; Associate Editor. Frank Walker.

“The Strongest Memory is Weaker Than the Weakest Ink." ' '

WEDNESDAY. DECEMBBRJS. 19-16

B. B. Tax Agreement -

1 The fiscal agreement’ negotiated by Byiy. 5h Columbia with Ottawa, announced yester- r "Y. will bring that Province not less than SIOO. 000,000 ‘in lieu of income and other taxes il-r i,“ "e"! f‘? Yeflfi- The previous offer was 19hr a Brninl um annual payment of $l8,lO0,t)()(]_ us rit h Columbia gains nearly two million dollars annually by the new bargain. The offer Previously made to Prince Edward Island and \’ rejected by Premier Jones was for a minimum “iliiuul PPYmeYllWl $2,000,000‘. it is understood the Premier has been holding out for $3 000000 as an irreducible minimum. " ' i Finance Minister Abbott says the terms agreed upon with British Columbiii apply also to Prince Edward island. Tlratdocs not nec. esrarily mean that we would benefit to the same extent. Tile grant offered is $15 per (gpflq based on either the l94l or i943 population and the value of gross national production. Through no fault of_aurs, this Provilice was deprived of war industries which would have swelled both our population and production figures in those years. lt would be grossly unfair to penalize us now for Ottawas neglect of our interests at that .time. British Columbia, on the other lltlfltl. EHjOYECl: tremendous wartime shipbuilding and other activities, on which she is now able to capitalize in her fiscal negotiations. What this Province needs and must insist upon, is a special agreement that will recognize our han- dicaps as such, and Ottawa's obligation to rem- edy them under the terms of_ Confederation. in the meantime, it is significant to note .that the Dominion Government has stepped down from its high and mighty attitude toward the Provinces and has considerably modified the offers it declared last March to be unchange- able. For this retreat from its former posi- tion the Ottawa Journal credits chiefly the ef-

forts of the Premiers of Nova‘ Scotia and British Columbia. "This," it says, "should be a salutary lesson for the complacent

propagandists who assured us that the Domin- ion Government's offer to the Provinces rep- resented the last word in wisdom, that it was as unchangeable as the laws of the Medes and Persians, and that all who dared oppose it must be 'disunionists' and 'wreckers.' For months olr end we had it dinned into our ears that the Provinces must surrender all their tax fields; that they must give up electricity and gas taxes as well as corporation and personal income taxes, not to mention succession duties; that their job, in short, was to forget about such trifling things as provincial rights and self-gov- ernment and become wards of the Dominion. Now these propagandlsts are discovering, and not too soon, that there is something else in this country besides dollars and cents-discovering that there are people who are not at all sure that Ottawa holds the title-deeds to wisdom, and who cling pretty tenociously to the old-fashioned idea that without the right to tax there is not much power to govern. The discovery should be wholesome. As wholesome as the further dis- covery that 'big stick’ methods don't go down with our Canadian people."

Railway Freight Bates

ln an address ‘at Rotary Club this week Mr, J. H. ‘Norton, regional traffic manager ‘of the Canadian Notional Railways, showed how rail. way operating expenses have gone up in recent years notwithstanding low average freight rates. lt is worth remembering, however, that during and since the war the railways, due to increased volume of traffic and perhaps more gggngmigq] management, have been making big operating surpluses. This is a welcome change indeed, es- peciaily so far as the Government owned system IS concerned, which before the war was incurring nothing but deficits. '

At present there is an agitation on the part of the railways for a 30 per cent increase in freight rates, which is to be heard before the Board of Transport Commissioners early next flwlllll- lt is generally conceded that there should be some increase granted, but it is claimed tho proposed flat increase of 30 por cont would be disastrous to the Moritimes and extreme Western Provinces, which are subject to the longest hauls.

Without anticipating the arguments to be advanced pro and con on this question before the Board, it is worth remembering that we have a Maritime Freight Rates Act which specifically recognizes tho right of this part of Canada to the rate reductions which come into effect in ‘I927. The preamble of the Act recites succinct- ly tho principal findings of the Duncan Com- mission in this respect, namely, "that the lntor- colonial Railway was designed, among other things, to give Canada in times of notional and imperial nerd on outlet to Iho Atlantic Ocean, and to offord tho Maritime merchants, traders, Ind manufacturers tho lorgor market of rrholo Conodlon pooplo instead of tho restrict- od morkot of tho Moritimor themselves, also that ltrutogic considerations determined o long- or routo than m actually nocouory, ond thoro- foro that to tho oxtont that commercial con- lldoratlonl-woro subordinated to notio ' poriol ltrotoglc conditions, Iho cost‘ rail ‘ ‘ ld be borne by tho Dominic Y‘

‘fir?’

i which might pou ovor

l to tho Act also note: that lsrion recommendations ro- llljll‘ frolght rotor woro

modo "for tho purpose of removing o burden im- posed upon th trade and commorco of such Provinces (tho Maritimos) sinco l9l2, which, tho Commission finds, in view of tho PIDIIOIMCI- merits and obligations undertaken at Confed- eration, it was novor intended such commerce should boar." "

The reductions made under the Maritime Freight Rates Act are statutory and not based on any "fair return." They complicate the situation considerably where the question is of a flat rote increase. Certainly if words moon anything at all, the preamble to the Act moons that the ‘Moritimes hovo on unonswerable. case for special consideration under any judgment of the Transport Comimssioners respecting freight rates.

- EDITORIAL notes .-.

This day week will be the day of the year.

1r w w o

While love__ begins at home, this is the es- pecial season when it is permitted to overflow into other homes as well. \

w l- n- w

lt is too bad_ our fire epidemic should have spread to the road to interfere with our pass- enger traffic. But oil's well that ands well.

w * w w

This is our pre-Christmas issue, and we hope our nlony readers will enjoy it as much as we appreciate the generous patronage of our ad- vertisers who enable us to produce it.

A’ i‘ * ‘k

H. R. H. Prince William Andrew Frederick, eldest son of H. R. H. the Duke of Gloucester, born this date l94l. His father, who is Gov- ernor-Generai of Australia, is returning to Eng- land to act as Regent in February when Their Maiesties and two Princesses go on tour to the Antipodes.

a t a i:

It is welcome news that the Little Theatre is to be re-organized. That was on art centre which the exigencies of wor mode us sacrifice for the time being. With a community theatre of this description, a communi‘y choir, and a community orchestra, we would be well to the front as a progressive, artistic centre in the Moritimes. '

out:

If we ore to benefit in the same proportion as British Columbia through the new tax adjust- ment at Ottawa, we shall fore not so badly. But it must be borne in mind British Columbia is a steadily growing province so far as population is concerned, whereas the some cannot be said of ourselves. What we need fiscally is enough revenue to get back into our pre-Confederation stride, when we were on the lip-grade, not down- grade, so far as the rate of increase in popula- tion was concerned.

l’

i i i When doctor's disagree who shall decide what diet to follow for health and h-ppiness?

Dr. Hans Selye, director of experimental medi- cine at the University of Montreal, believes that better food selection aimed at a higher sugar content in the diet may help curb high blood pressure, hardening of the arteries, stomach ulcers and rheumatism-"the price we pay for success." He said his theory for preventing stress-induced ailments also call for reduc- ing the amount of meat and salt in the diet. Working for the Dominion Government during the war, he found that "air raid ulcers" which many Britons suffered after heavy air attacks, were caused by on excessive flow of adrenal hormones resulting from nervous tension. Such ulcers, Dr. Selye found, tended to be averted by a rich sugar diet. Dr. Selye outlined his the- ory, not yet tested on human beings, before o meeting of the American Pharmaceutical Manu- facturers' Associatign.’ _

lt is claimed one of the reasons for the transfer of Mr. St. Laurent to the Exterior De- partment and his replacement by Mr. llsley, is because there is the expectation of a bitter de- bate in the House of Commons over the Espion- iige cases, which in several instances have gone aglea. One of Mr. llsley's first communications was from Mr. A. W. Beament of Ottawa, the ‘lawy- er who has won three acquittals asking, that if any further copies of the report of the royal com- mission on espionage are published mention be mode of the fact that certain people branded as guilty have been exonerated in the courts. The Justice Department's contention hos ul- woys been that the gravity of tho situation wor- ronted tho extreme measures that were token, ondso far, the government has stood firm on

.the commission's status and its

tho _ ‘had ollowod ‘tho company deductions amounting

report. Only the other day it rewarded one of its key fig- ures, Mr. E. K. Williams of Winnipeg, chief commission counsel, with on appointment ll Chief Justice of Manitoba. ‘r

The Privy Council hos turned down the op- peol by tho Federal Government with reference to the use of ministerial discretionary powers under the Canadian Income Tox Act. Many members of tho Canadian Sonata and Commons urged that the discretionary powers of the rev- enllo minister in tax cases be abolished alto- gothor or ot loost be strictly limited. Tho Privy Council reference was mode in o judgment dismissing on oppool by tho Canadian rovonuo minister cooking to lovy income taxes on tho bulk of commissions poid by Wright's Canadian Ropes Ltd., to u Birmingham, Eng., ropo com- pony. Using hi: discretionary powers undor tho Income Tux Act. tho Conodiun rovonuo minister

to only $7,500, although commissions paid to the English firm totalled $86.18 our o thru- your period. In their judgment Thoir Lordship: ioid they could not "holp thinking some contus- ion hos boon cousod throughout tho history of this controversy by tho phroso . . ‘in hi: dlo- crotion.’ Tho word ‘discretion’ is in truth ocorco- ly opproprioto to tho context rlnco whot tho

' rninirtor is rogulrod to do boforo ho con mollo o

disollowonco ls ‘to dotormino’ olrponoo ln oxcm of ‘what ir roosonoblo or normal for tho buri- non corriod on by tho toilpoyorflf ‘

.1 -..

h

rue CHARLOTTETOWN GUARDIAN ‘

lotus, By Tho Way

My huabuud out hlmoolf no lov- erely ln forcldg opcu the children! urology-box that he had to spend the contents on lint. and bonidligoo. -—Wl1e at North Kent. court.

The problem la to para tho na- tional debt. maintain admuato armed tomes and substantially re- duce taxes. 11bi- this we may need two wands. Edmonton Julml.

I» ti,» noi- 1m. Brookvlllo bad

1 bfl-Iflfilt-‘rl. only one of whom was a. Queen's Counsel. The town now hoe l2 barrQJ-s, eight qt whom IR Kim's Counsel. —Broo~kvllle Recorder and Times.

Sfatlotleo often lead to an errors. 90115 tnhvlllsl unless they no p - psrlv anllyzed. For exmlpie. the fact. that more persons dje in bed than in airplanes doesn't prove it‘: aafcr to ride ln an airplane than to lie in bed. ~Kltchener Record.

Giant snallr which m. Japaaoae cultivated for food are multiplying rapidly and destroying vegetation and native ghrdens in New Guinea. New Britain and New Ireland. They are four to five inches long and three inches high. —l.lorldon Times.

Voltaire wrote. "l disagree with everything you say, but. I will de- fend to the death your right to say it" Recently Paris dramatists and theatre managers gave a new wrist to the Voltaire epigram. They an- nounced that when they disagreed with the review of a critic, they would bar him for three 1a twelve months from Paris theatres. Prom New Yoirk Times.

The emphasis belongs on real education for temperance. This Ls the pressing primary need, It has been neglected far too long. er left to merely desultory effort. Again. this pests not only with poll- tical. religious and social leader- ship, but with the rank and flle of the people. It has been said in fair criticism that. insisting on drink- ing. far too many of Ontario's citi- zens do not know how to drink. It is lime they learned. —Bralntford Expositor.

The well. and well-poised. per- sc-n has all emotions under control. is calm and not easily perturbed. S0 says the Department of Nation- al Health and Welfare. Chronic (‘rossnex and irritability i5 consid- ered a sure sign of poor health. and the person who persistently “flies off the handle" ls advised to see the family doctor. While admitting that everyone has “off- d-ays." the health authorities de- Clare that no one should be grouchy all the time. ~Kitcherler Reooad.

This, l should explain, ls being written oil a Pullman car. Scdu- lowly spying on my neighbors. I find

I that. everyone of them ls reading

and in this car at the moment 11 people are absorbed in bloody mur- ders at 25 cents apiece with a rather- sad air of boredom. But on‘! old man, a farmer by the lcak of his minds. has been living these two days in innocence yvlth T855 cf the Dwrbervtlles and the won- derful delight of discovery is in his eyes. He met Tess lit exactly the right age. -Bruce Hutchiscn In Winnipeg Free Press.

It is amazing what can he done by just relaxing. It may not be necessary to lake a long sea VOYBBB! all a maln mllynecd Is to fi-lflblten his pace at periods during the day. loosen his nezlztie and shoestrings. put his feet up on hi5 695k <1!‘ 9-"- other choir. and let the world lull by for two or three minutes with- out worrying about it. It ha! bfiBTl found that. it good ortlon C1 persGns who suffered heart 811"“ of the most severe nature. "id ad-z-pted right measures of living. are still olive and cnioyln! m? 1° m- mpm years later. —RoyaI Bank Bulletin.