PROCEEDINGS IOWA FAIR MANAGERS ASSN. 175 



not unfriendly to reasonable conservatism in monetary' expenditures when 

 not absolutely necessary. As a basis for this opinion I will linger a while 

 in the examination of the merits of the Budget System as a general propo- 

 sition and its effects on the finances of the country through governmental 

 legislation. The method of raising revenues to meet government expenses 

 has on many ocassions furnished us with national party issues. So the 

 expenditures of this revenue through either the budget or departmental 

 systems, whether in governments, private corporation or community enter- 

 prises have been discussed pro and con for many generations. But because 

 of the serious problems that now confront us the discussion is becoming 

 more and more intense. The adoption of the Budget System now when 

 the questions of raising sufficient revenue from tariffs and taxation is grow- 

 ing more acute if not embarrassing would not, in the judgment of any 

 sane person, prove a panacea for all our ills and should not be put forth 

 or considered as the sole and only remedy for the relief of our people 

 during the present liquidation after a period of doubtful prosperity and 

 opulent extravagance. Rather would I view the system in its operation 

 as a fundamental economic principle of government meritorious and effi- 

 cient in times of prosperity as well as in times of adversity. 



Viewing the question from this standpoint I recall the names of many 

 eminent financiers and statesmen advocates of the Budget System. W. E. 

 Gladstone, the "grand old man of England," as chancellor of the exchequer, 

 turned to the Budget System whenever a financial crisis threatened the 

 British Treasury, John Sherman while Secretary of Treasury in this 

 country became an ardent champion also of this system. Ex-Governor 

 Lowden of Illinois rendered conspicuous service during his four years 

 administration saving his people many millions of dollars by the use of 

 the Budget System. I might remark in passing that his great success 

 along this line attracted the attention of the nation to such an extent 

 that he almost reached the coveted goal of the presidency. 



Ex-Congressman Good of our own state as chairman of the appropria- 

 tions committee in the National Congress by the use of this system as far 

 as the law would permit and against the opposition of powerful interests, 

 saved the Treasury of the United States' over a half a billion dollars. In 

 the old and prevailing system of compiling appropriation bills the chair- 

 man of such committee weighing his responsibility found his greatest and 

 most perplexing difficulty or duty in limiting or at least minimizing de- 

 partmental raids on the Treasury. Still with all these advantages and 

 economic saving in its application to government disbursements it must 

 not be inferred that it is easy of adoption. It's a well known fact that 

 there is now and always has been violent opposition to its use. So many 

 Interests are opposed to it. Besides departmental heads and commissions 

 who are looking for increased appropriation for the exploitation of their 

 own particular sphere of authority are strongly opposed to the Budget 

 System. I might mention that this opposition is very noticeable, even 

 dominant, in the committee room where every effort is put forth to crys- 

 talize into law through the passage of the general appropriation bill enor- 

 mous sums of money for the benefit of special interests. I have here only 

 hurriedly sketched a rough outline ol" this system and what can be accom- 



