Cameron County press. [volume] (Emporium, Cameron County, Pa.) 1866-1922, 1900-08-16
SPANISH WAR LOAN.
Administration Success in Getting
Two Hundred Million Dollars.
How Secretary Gage Handled the
Popular Lonn-V Vast sum With
drawn from Circulation With
out Injury to Business.

the vast resources in wealth of this
country. In general way 1t had
been understood that the United
States was a nation of great wealth,
perhaps richer than any other coun-
war to give an exhibition of our real
financial strength. While it was rec
ognized in the spring of 1898 that the
Dingley tariff, under normal condi-
tons, would produce ample revenues
| for the ordinary requirements of the
government, it was apparent that
means must be taken at once to pro-
vide for the heavy war expenditures.
| On April 25, 1898, two days after the
declaration of war, a bill to provide
| additional revenues was introduced
in the house of representatives. 1t
passed that body April 20 and the
senate on June 4. The report of the
conference committee was agreed to
in the house June 9 and the senate
June TO- The bill became law June
13, 1898, when it received the sigma
ture of the president.
the necessities of the hour re-
quired that the treasury should be
supplied Immediately with funds. The
task was to raise "A large sum, avail
able for immediate use. in such
manner as to avoid injury to the rap
idly reviving business of the coun-
try. The act recognized true prin-
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 $500, ,000,-
600, or as much thereof as might be
necessary, to defray the expenses oe
the war. Under this authority it was
decided to borrow $500, 900 900. The
success which attended the floating
of this loan is a memorable one. 1t
was a popular loan in every sense of
the word. The act itself directed that
1.-The bonds authorized by this sec
tion 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. All these great agencies
combined to place before the people
the fullest information that could be
given.
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
little under $1,400 100000, or almost
seven times the amount of bonds Of
fered to the public. This was a re-
markabe 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
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, 100000 from active employ
ment in commerce and industry, with
out deranging any of the vast bust
ness interests of the country, was q
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-
taTy 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 moment was there
inf n ha rafn
of prosperity. Industrial and com
mereial expansion continued as if i'll
fact there had been no war, and ct
it's 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 to the highest point in our his
tory.
1t may be said with truth that
Ibic Increased faith in ba l1;o