180 The dStock Market Crash—dAnd After
tax. The fact that it is a mischievous and parasitic
business is, of course, ignored. For every million
dollars recovered in taxes by restoring the saloon,
the nation would pay many millions directly to the
saloons, and many millions more in impaired
efficiency of its workers and in productive business
replaced by a destructive trafhc.
Moreover, in reply to this plea of loss of taxes, to
those who allege economic “loss,” Dr. J. M. Doran,
Commissioner of Prohibition, on June 15, 1929, met
them on their own grounds of government receipts
and expenditure. Dr. Doran said:
“During the nine years since the effective date of
prohibition the expenditures for the Prohibition
Bureau, Coast Guard and Customs, incident to the
enforcement of the eighteenth amendment, total
$141,179,485. The collections from fines and pen-
alties and the revenue from taxes on distilled spirits
and fermented liquors total $460,502,792.76.
“It is apparent that the collections by far over-
balance the expenditures. Even if $72,000,000 esti-
mated in the pamphlet as the cost to the Department
of Justice for the enforcement of prohibition should
be added, there would still be a balance of $247,-
324,307.76 over and above the total expenditures
accredited to the enforcement of the orohibition
law.”
Dr. Doran further disputed the accuracy of the
$936,000,000 estimate. But from whatever point of
view, the argument to the pocketbook of the income
taxpaver is not justified.