River Falls journal. [volume] (River Falls, Pierce County, Wis.) 1872-2019, 1900-08-16

ciple in public finance by making pro-
vision to borrow at once a sum suffi-
cient to provide for war expenses,
while at the same time additional
taxes were levied in order that the
loan might be supported by an in
crease in revenue.
The act authorized the secretary
of the treasury to borrow S400,o00,-
900, or as much thereof as might be
necessary, to defray the expenses OF
the war. Under this authority it was
decided to borrow $500, 100000 The
success which attended the floating
of this loan is a memorable one. 1t
was popular loan in every sense of
the word. The act itself directed that
1.-THE bonds authorized by this sec
ton shall be first offered at par as
popular loan under such regulations,
prescribed by the secretary of the
treasury, as will give opportunity to
the citizens of the United States to
participate in subscriptions to the
loan, and in allotting said bonds the
several subscriptions for the individ-
uals shall be first accepted, and the
subscriptions for the lowest amounts
shall be first allotted"
The secretary of the treasury
utilized every agency at his command
to comply with this direction of con-
gress. All state and national banks
were requested to cooperate with the
department: the express companies
rendered their services free of cost
in the handling of subscriptions; the
postmaster general directed that all
money order post offices be charged
with the duty of receiving the orders
of subscribers, and all the newspapers
of the United States were invited to
disseminate information concerning
the loan.
For a period of 81 days subscrip-
tions were received. At the end of
that time it was found that the total
of subscriptions aggregated only a
little under $1.400, 100000 or almost
seven times the amount of bonds Of
fered to the public. This was re-
markable demonstration in favor of
the public credit. 1t showed to other
nations the tremendous resources
which the people of the United States
were able to command almost at a
moments notice. The success of the
war loan had an effect. both at home
and abroad. scarcely less important
than were the naval victories at Ma
Mia and Santiago. Doubtless the pur-
pose of the people thus expressed to
give abundant support to the war was
one of the factors which brought
about its speedy termination.
The withdrawal of so large a sum
as 5000, 900, 900 from active employ
ment in commerce and industry, with
out deranging any of the vast bust
ness interests of the country, was
feat successfully accomplished. BY
the end of the calendar year 1898 al
most every dollar of this great sum
had been paid into the treasury. Yet
under the plan adopted by the sccre-
tary of the treasury such payment
was made without occasioning the
slightest injury to business. In fact,
the entire management of the war
finances was conducted with such
skill that not for a moment was there
any interruption to the returning tide
of prosperity. Industrial and COM
mercial expansion continued as if i'll
fact there had been no war, and ct
its close the business of the country
was greater in volume than at the
beginning, and the national credit,
both at home and abroad, had been
raised 10 the highest point in our his
tory.
1t may be said with truth that
this increased faith in the public
,redit laid the foundation for the
achievement of that currency reform
which was accomplished by the act
Of March IA 1900, fixing the standard
of value and providing for the re-
funding of the national debt at the
lowest rate of interest on public Sc
curities ever effected in this or any
other country.