The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-04-10
HOW A WAR MAY BE FINANCED.

AS eX-President Harrison said recently.
the Treasury Department is the "steam
plant from which all other departments get
their power" Money is the sinew of war,
and it is natural that the treasury author
tiles should be giving some attention to the
question Of war. fnanees Of course, there
could be no doubt as to the financial
strength of the government and it's ability
to command all the money needed, but it
is gratifying to observe that it's financial
officers already see their way quite clear
to successful financing of the situation. 1t
is also gratifying to observe that the money
institutions of the country stand ready to
render all needed. assistance and that some
of it's wealthiest citizens are prepared to
do likewise. A few days ago a well-known
financier Of New York head of g. great
insurance company, assured the President
that the tinanci5rs of New York would sup
ply the government with 500 $1,000 in
day and 600 in four days, if so much
was needed. The associated banks have
told the government it can have all the
money it wants on it's own terms. The
son of Jay Gould, of rather unsavory mem
DRY, himself a very rich man, says,
Everything I have will be at the disposal
of the government in case of war; Pa
triotism is not dead among the American
people, and the government will not have to
raise money by means of bull fights or
theatrical performances.
AS for increased taxation, this must be
expected in case, of war; and fortunate is
the country whose resources and people
can stand it. TIE treasury authorities
have already canvassed the situation and
agreed on some general features of a finan-
cial policy. Among those as now foreshad-
owed are a temporary loan for, say 800, OOO-
900. to be made. in the form of interest
bearing treasury notes payable in one year,
a popular loan for say $500 000, 600, for a
longer period, perhaps five to twenty years
an increased tax on beer and tobacco, a
tax on tea and coffee, and perhaps a stamp
tax on bank checks, mortgages, deeds, etc.
There is no doubt that the loans would be
quickly taken ahdYAe taxes referred to
would yield a large additional revenue
without being sensibly felt by the people.
1t has also been suggested that the rate
of letter postage might be increased from
two cents to three. This would be unpop-
ular except war measure, but it would
be about as equitable a war tax as could be
imposed and would yield quite a large rev.
enue AT the beginning of the civil war
Congress levied stamp tax on twenty-nine
different articles, including bank checks
and drafts, bills of exchange, deeds, mort
cages, leases, wills, powers of attorney,
bills of lading, railroad tickets. express re-
ceipts, telegraph messages and a number
of other things. The tax on bank checks
was 2 cents without regard to the
amount, while that on deeds varied from
so cents to 81. These stamp taxes in the
aggregate yielded large revenue, but most
of them were discontinued soon after the
war. II is not a popular form of taxation,
and if the necessary revenue can be raised
in other ways it probably will not be re-
sorted to. Whether it is or not, the gov
eminent will have no trouble in getting all
the money it may need