Mr. BOYD. If you mean the average of the 50 cities, it is the gasoline ordinarily and generally used by the motorist. If you mean the lower priced gasoline you see in the principal filling stations, that is the so-called third-grade gasoline that the industry markets. Many companies, but not all, market a low priced third-grade gasoline, but this is not the 50 cities' average price base,

Mr. CANFIELD. I judge, from your statement, that you realize that we have to raise this money somewhere. Would you prefer an excise tax on automobiles to a tax on gasoline?

Mr. BOYD. No; I would not like a tax on either one of them, as a class.

Mr. CANFIELD. I asked you which one you preferred.

Mr. BoYD. If you permit me to give you an answer which expresses my personal opinion about this tax business, I do not think the Federal Government, or any other government, State or municipal, has any right to attempt to balance an extravagant budget-and we know that is what we have had in municipal, State, and Federal budgetswhen there is an enormous amount of money the people have got to pay in one place or another-I do not think it is proper for the Government to attempt to single out for purpose of taxation any particular industry or any particular class of citizens.

If you are going to increase your income taxes and income-tax rates, and apply inheritance taxes and gift taxes, and all that sort of thing, which, as the chairman pointed out yesterday, will not produce, I believe you said, probably not more than one-third of the revenue necessary to balance the Budget

Mr. CRISP. Certainly not one-half.

Mr. BOYD. You said somewhere between one-third and one-halfthen the only fair way for carrying out your suggestion that everybody be patriotic and bear his proportionate share of this burden, and I quite agree with the sentiment expressed, that the only fair way to do it is to apply some form of universal tax which will be distributed; and, being widely distributed, would be so small that very few people would feel it individually.

The only sort of tax of that kind that I can think of would be a general tax on manufactured products. I am told that the value of the manufactured products in the United States is about $60,000,000,000. A 1 per cent tax on $60,000,000,000 would produce $600,000,000 in revenue.

Now, gentlemen, our industry feels that it is already bearing more than its share of the burden and that it ought not to be singled out; but I dare say there are as many patriots in the oil industry as any other industry, and if this Congress should desire to levy an additional manufacturers' tax I think this industry and the automobile industry and all of the rest of them would be perfectly willing-they might not be willing, but they would accept it with least complaint. It is perfectly obvious that somebody has got to bear the tax, and you ought to distribute it as evenly as you can. I do not mean a retail tax and make everybody who buys something for a nickel pay a tax, but a manufacturing tax which would hit the oil industry just like everything else. I do not believe that when the ingenuity and resourcefulness of the men engaged in any industry begins to bear fruit and see a way toward stability or some restoration of prosperity that

that industry should be singled out and hit over the head with the tax club. If this is done no industry can lead the way out and the depression is only prolonged.

Mr. CANFIELD. I know; but you have not answered my question. We have got to work out some plan, we have got to get money; so had we better put it on gasoline, or put an excise tax on automobiles? Mr. BOYD. I say neither one.

Mr. CANFIELD. I know; but you have not answered my question. Suppose we have to put it on one of them

Mr. BOYD. I do not think you have to, and I would not agree that you have to.

Mr. CANFIELD. In other words, you do not want to answer that question?

Mr. BOYD. No, sir; I am perfectly willing to answer the question; but I have heard men stand on this stand and say that gasoline ought to be taxed in order to get it off of their own necks. I am not suggesting that you take anything off of our necks. In the emergency we were willing to bow our neck, but we do not want it bowed to the ground and we want all the others to do a little bowing too. Our back is already broken and we are weary of carrying discriminating burdens.

Mr. CRISP. Any other questions? We thank you very much, Mr. Boyd.

Gentlemen of the committee, if it is agreeable, I will suggest that these charts that he has, with the figures, be placed in the record as a part of his testimony.

(The tables and charts referred to are as follows:)

1A tax on "Distillate" is imposed, which is 4 cent less than gasoline tax in each instance. 'And District of Columbia.

1