TUN DANBURY REPORTER; Established 1872. Volume 64. Q. What's your name? A. Doctor McDonald. Q. Where do you live? A. In Winston-Salem. Q. How old are you'' A. Thirty-two. , \ Q. What is your business? A. I have no business. lam a professor. Q. Professor of what? A. My specialty is civil government. Q. Have you always lived in Winston-Salem,, doctor? A. Oh, no. lam a native of Illinois. Q. When you left Illinois, where did you go? A. To Arkansas. Q. And where did you go from there? A. To North Carolina. Q. And so you want to be Governor of North Carolina. You appear to be rather young and inexperienced for such a big job as governing North Carolina. What put this notion in your bead- A. I can discern the need of a governor who is able to see the corruption and graft and in competence which permeate your State govern j»ent, and who has the courage and ability to ••adicate it. Q. So you hope to ride into office by an ap peal to ignorance and prejudice, making our people believe their government is rotten and that our State officials are too corrupt and in competent to manage it, and that you are the Moses who has come to lead them out of this wilderness of mismanagement, of dishonesty and inefficiency, and graft. A. I am able to carry out my programs, and I expect to empty the swivel chairs at Raleigh When I come in. Q. Well, doctor, when you turn out all the rascals at Raleigh and empty the swivel chairs, 4o you propose to refill the swivel chairs with cheaper men who are your own henchmen? A. There are too many high-salaried men and women who are eating off the tax-payers. Q. Will you kindly name a few high salaried wen and women whose places you would fill, and give us an idea of the prices you would pay? A. Oh, I cannot go into those complications here. But the first thing I will do when elected will be to eliminate the sales tax, which is the most abominable curse ever devised by the devilish ingenuity of an office-holding oligar chy. Q. Well, supposing you were able to elimi nate the sales tax by your complete domination and mastery of the legislature, this would mean lopping off about 10 million dollars of the State's present revenue, would it not? A. You are correct. Qv Then, according to your program. I notice you propose to largely increase the salaries of the school teachers, to lengthen the t schools to nine months, to lower the price of automobile tags to $5, to pay old age pensions, and do ether great and noble things, which will cost at least 10 million dollars more. So that with your negative program of cutting off the sales tax and your positive program of giv ing the people their new blessings, the State would be confronted with a $20,000,000 hole in thie necessary revenues. Will you please tell the people how you propose to fill up this hole? A. You evidently did not hear me in my Winston-Salem address in which I explained clearly that there is a vast invisible bulk of un taxed wealth in the State, and this I propose to tax. For instance, I will have the State con stitution repealed so that we can tax incomes as high as 10 p?r cent, in the upper brackets; f will tax the dividends of the corporations, and I will increase the franchise tax on the corpora-I tfons, I will put a tax on merchants and a heavy! tax on ch mn filling* stations, etc. (AN EDITORIAL) CROSS = EXAMINATION Danbury, N. C., Thursday, April 23, 1936 Q. Well, doctor, I have noticed that the bulk 'of your supporters appear to be merchants ; whom you have led to believe the sales tax j (which they of course pass on to the consumer) .is a great evil, and they therefore have an ob -1 session that you are some kind of a savior come •to rescue them. How are you going to justify your savior-qualities further to these merchants when they begin to feel the pinch of your pro posed privilege tax? A. Oh, this merchant's tax will only be a , moderate one, and this they will be glad to pay , as a relief from the diabolical sales tax. Q. Now, doctor, let us agree for the sake of 1: argument that the industries of the State, al ready taxed to constitutional limits on their in comes, would receive your higher embargoes icomplacently; that the dividends of corpora-, jtions, firms and individuals, which are already I taxed, could take on your additional load of 'double taxation, and that all the other sources! ' of the bulk of invisible untaxed wealth which '; you have enumerated in your program could be tapped according to your specifications, how, »:much revenue would you raise thereby toward filling the 20-million dollar hole you had created 7 A. It is all a matter of calculation and figures. I reach my conclusions by infallible methods. • Q. Have you noticed that State tax commiss ioner A. J. Maxwell has analyzed your program J and makes public the statement that if you could reach every source of untaxed wealth as | ..outlined in your, program, that you "culd only ; produce 3 million dollars of taxes. Maxwell is long experienced in the intricacies of taxation ■ and is considered one of the ablest authorities on fiscal matters in the United States. } A. Maxwell knows very little about taxation., '[He is ignorant of modern principles as taught ! ,jin my philosophy. Besides, Maxwell is biased, II being an occupier of a swivel chair at Raleigh. • jHe knows if I get in, I will oust him from his j berth. Q. But, doctor, I see that this important .question has been referred to a disinterest ,jed party in the person of Dr. Heer of the State i ' j University, that Heer checked Maxwell's' ; i figures and reported them substantially correct. A. I stand by my calculations, and I ! j guarantee my deductions to be accurate. ■ j Q. Well, doctor, let me ask you to answer j this question which is very vital to the tax-pay-' ;ers and citizens of the great State which you are: I trying to obtain control of: Suppose that you should be elected and that you were able to re ; j peal the sales tax and to carry out your program ! of reaching the great sources of untaxed wealth i outlined in your program. Suppose after you I had bled thesp sources, that the State would • 'then find itself confronted with the tragic situa- 1 , lion of a 17-million dollar deficit in its revenues. , What would be your recourse then but to fall 1 vback with heavy ad valorem taxation on land and real estate to save the State from bankrupt-! |'cy. Would not your impractical theories then' /be charged with the destruction of the farmers! > whom you are trying to induce to place you in the State's highest and most important position?, A. Oh, my calculations cannot fail. Max-1 well and Heer have erred in their figures through ignorance and bias toward me. Q. But, doctor, even if these two eminent tax authorities should be ten million dollars out! of line, you would still have a shortage of morei than 7 million dollars facing your administra tion. Now answer, frankly, if land would not be your only salvation, but the farmer's des-, truction? Answer yes or no. A. lam opposed to taxation of land. Ij would not submit to it | Q. Now, doctor, I believe you were a member jof the late North Carolina legislature that I passed the sales tax. A. I was and fought the sales tax bitterly while in Raleigh. Q. Did you not, when the legislature finally saw that it was a choice bet\ve( n the sales tax and putting the tax back on land, if the schools were to run on and the State's honor and credit saved—did you not withdraw nearly all the wild theories you are now offering which you were offering then in the legislative".' And did your plan not finally fizzle down about -i million dollars of revenue? A. You are quoting the Greensboro News, and 1 deny it. Q. You abandoned your Utopia in the legis lature, why not abandon it now as a wild tissue of impossible theories which would be sure to get the State into serious trouble? A. The people will back me in my program and I will beat the other candidates who are in favor of the sales tax. • Q. But, you know, doctor that the other can didates all three of them—are opposed to the sales tax and have repeatedly said so, but rea lize that it can only be eliminated gradually un less we go back to heavy taxation on the farm er's land and on the real estate. A. I have told you I am opposed to land taxa - tion. Q. Doctor, are you a reader of the Union Republican? A. Oh, yes, and most other State papers. ■ Q. Is that where you get your information that the Democratic party of North Carolina is rotten, and incompetent and crooked? I have not said that the machine is crook ed. Q. What is the Democratic machine* A. It is the gang of office holders at Raleigh. Q. How is it you are so anxious to become * member of that gang of crooks, indeed its chief? A. There will be a new set if I am elected. Q. Of crooks? A. I did not say so. My subordinates will be honest men and capable. Q- ou are very careful in your statements to the people in the course of your campaign, are you not? A. Certainly. ! Q. Then why did you so grossly misrepresent the dead Bowman Grey in your Winston-Salem 'speech, in insinuating that his property was evading taxation? A. I said that his name did not appear on the : tax lists, and it does not. 1 was right. : _ Q. But when it was proved that his estate did appear, and was shown to be paying its just share of taxes to Forsyth county and th» State i of North Carolina, why did you not acknowledge to the people that by inuendo you were try i ing to create a false impression in the minds of :- he people and to prejudice them against res i pectable and honored citizens, in furtherance of jyour methods to obtain an office? A. The tax records are there for the neople to see for themselves. I have no aprvy*y to make. j Q. And in posing as Pir G-lahad. ov u • man without sin, you are willing for others to be i condemned—Am I right? A. I think you are stretch*'v Q. You are basing your ti the I discredit and the dishonor ov too , r iy y -u wane to put you in, why do you and I'-i-m v. v. and Cough lan and Town send ar-l V ra UT.'S rot ; start a new party which uvi' 1 , • to your i impractical and impossible the*. A. lam not a radical. Jam a ov. at J r:end and supporter of President Roosevelt av i tno New Deal. Q. Do you feel like you deserve any credit* for that? Number 3,339

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