The Eddy current., 1898-10-29
PEOPLE PATRIOTIC.
FEkTuREs or THE RECENT
POPULAR LOAN.
Oniy Onu Case on Record Esceiied rhat
Of the uaitcd states Freneh roih
Opened rhsir Cenefs o. the Esient
Of u uuiton.


Opened rheir Cenefs q, the Esieni
of nuuon.
In the interest concerning the war
In the ilcld an important part of the
conflict The furuishlng Of large mum.
Der OF the s.newi of war-ls almost
forgotten We are reminded OF the
stamp law almost every day when We
forget 90 put stamps on checks or when
the druggist charges ue two cents ex-
ira for q bottle of patent medicine. or
fomethlng OF that kind. hut the fact
That the government casually asked the
people for 10000 600 and the people
offered at once slx and ono-half times
that amount ~ little thought Of by the
public. IL is taken Ra a matter OF
course. Yet there has Ieen only one
other popular loan which has been 30
quickly subscribed FOR many times
over. Proud aa we may be- OF the way
In which tho people OF tho United
states opened their pockotbooks when
the nation wanted money for the war,
The subscription six aud one-half times
over for the recent loan Is nothing
compared with the manner In which
the popular loan OF French government
was taken up after the Franco-pruEslan
war. An indemnity OF $1,000. 600. 900
was required Of France by her con-
queror, and d popular loan was opened
TO pay IT, II was subscribed for forty
times over From Germany itself
came In bids for ilye times the amount
required by the French government.
II ~ probable. also, that the French
loan was more nearly what II pur-
ported to be. loan IN which people
OF small means invested, than the re-
cent American popular loan" OF
this later loan Il is estimated that
considerably more than half IL In the
hands Of big investors Applications
were put IN for bonds by clerks and
other employees Of big houses ami by
persons who did not really want the
bonds, but desired 10 have them to tug1
over TO large Investors for the sale of
making the premium People who bid
for $500 worth OF bonds or less we're
paid their share az once, but those
who bid for more were obliged 10 de-
poslt 2 per cent OF the amount OF their
purchase and were to be paid Inter.
As these people are being paid, II Is
found that the present holders of the
options on the bonds are, In n large
number Of cases. not the original sub
fcrlbera. Though there have been
many subscribers OF small means. there
have not been as many ~ there would
have been had Il not been for the fact
that a man OF small means can get
from II savings bank as large per
cent, and In most cases n larger one.
than IS paid by government on these
bonds. IL was the intention OF the
government to make the loan a really
popular one, and Il came as near being
one az IL possible under existing con-
/ dltions OF the money market. Every
safeguard was thrown around the sub.
scrlptlon list, and people OF moderate
means had as good a chance as 6ny-
body else TO buy the bonds. One thing
was proved, anyway-the ability OF the
| United States TO borrow money at any
time TO any amount desired. and the
sblllty 10 sell its bonds at a premium
% lts own people But. then, no proof
was wanted OF these facts before. ON
| tLf face OF Il the recent popular loan
| looks as n II were more OF popular
loan In the atrlctest sense OF the term
than the French loan, but when our
loan Is analyzed the contrary seems Ia
be the case. OF the 100000 persons
who received awards OF bonds Il luoks
now as II the loan would resolve ITSELF
into a real subscription OF only 100 900
holders. The thing has not been
cleared up yet. and the pesslmlsts say
that In the hands OF small subscribers
there Will remain only 20 per cent OF
the original loar. Yet one OF the ON
clals OF the sub-treasury OF the United
States In New York, mindful OF the
way In which small bidders have aold
their awards, says he would not be
surprised II the real amount held By
the small bidders the bona fide small
bidders would amount TO neariy so
per cent Yet he doubts II il would
come near the percentage OF the French
In this regard.
Tho French are known 10 be tho
largest individual holders Of the ma.
iional bonds OF their country OF any
people IN the world. Of government
bonds there are no "bloated bondhold-
ors"-with few exceptions IN this
country. The trust companies. tho
savings banks and trustees buy and
hold most OF them as security for
money and deposits 80 that the bonds
may with truth be really said to be-
long to the people Of small means
The bonds which for instance. a
savings bank buys and holds agnlnst
deposits really belong 10 the deposit
tors being held against their deposits.