"Those working people and other citizens would for a year have been
enjoying at lesser cost all of the articles used in the typical American
home I have referred to and could without loss therefore well afford to
submit to a reduction in wages so long as that reduction in wages was
contemporaneous with affording them a proportionate or more than
proportionate reduction in cost of the articles for whose purchase those
wages were sought to be expended. At the same time, the manufacturer at
a proportionately lesser cost of production, through this reduction in
wage-paying, would be selling as much or more of his old products at
their old profit.
"Could we add to the income from the tariff and internal revenue the
sums derived from the sound national inheritance tax I have mentioned
above it is evident we would have supplied for the period of change from
one tax system to another an 'adequate governor' to use a mechanical
illustration, to prevent undue oscillation of prices in the business
world."