Evening journal., 1914-04-03
CAPITAL SUPPLY RESULTS FROM SAVINGS.

and Railways Company and prominent operator
in public utility properties insists that savings are the
Of capital supply and that the owners Of corpor-
atons are the people who save As he sees It those
who little, but who little also, constitute
the real Money Trust" of this country and that it is
erroneous to think that that so-called trust is
posed OF men and the institutions which are popu-
larly supposed control he money supplies Of the
world.
He insists and many persons will agree with him,
that the Of supply OF capital requirement is the
people who save in small sums Contrary to the gem
orally accepted belief, support for enterprises
which require large amounts Of capital does not oris
with the and the institutions which popu-
lary believed TO control the money supplies Of the
world. It lies with the great mass OF small savings
which, In the aggregate, make up the huge sums which
industry and progress demand for investment every
year. And capital is inevitably drawn to that quarter
which promises the greatest profit to the investor, al
ways provided the security Of the investment is
sured.
The great river OF capital has its 'ources in every
civilized country of the world, Mr.. Hulswt says. The
mechanic the artisan the school teachers the shop
keeper-every hand that is turned to production and
which spends little less than is earned pours is offer
ing into the rivuet and from the countless thousands
Of these small the river Is formed The peo-
pie of Cedar Rapids Ia for instance ride to their daily
the street made possible by the contribu
tion of capital from teacher in Zurich, Switzerland;
a frugal mechanic of Birmingham, England; fore
handed engine driver Of Glasgow Scotland; peasant
of France, whose centmes have been boarded at a
time; shopkeeper London. and the thousands like
them In every country Of Europe and in every State
of these United States
study Of the records Of ownership Of the securities
Of the corporations Of the world would be beneficial he
insists TO that class whose studies have been on the
theory Of economies, rather than the application Of
workable principle.
In the last analysis. he says the Money
Trust" OF which have heard so much is formed Of
that portion Of the people who "earn little but who
little also" They the Industries and utilities
of the world They the of the power and
the power is TO be destroyed goody portion of the
best of the worlds people will suffer they the
money trust"
Fortunately those whose intent is expressed in the
effort to tear down and destroy are IN the minority;
they carry with them very great many who do not
stop to think and reason or who think and reason
perfcally # at all. But when they do stop to study
and learn they will inevitably the propaganda Of
destruction. The majority of the people to be
fair.
Mr. Huiswit furnished detailed results Of a study
Of a specific issue of bonds TO which he had access for
full information. OF the total issue OF these bonds %
per cent owned by and women whose income
is less than $4,000 $4,000 per A very large
proportion of them single or women. The
ownership is about equally divided between men and
women. Twenty per cent OF those whose income is
less than the taxable amount under the income tax
law residents Of the United States Their average
holdings are s2,S54. Out OF total of 3S7 who
empt there are but whose holdings than
$4,000 and PIT bond each Of the face value
of $1,000 Residents Of foreign countries-Engiand,
Scotland Ireland, France Holland, Switzerland italy,
Spain, and Cuba hold quarter OF million Of these
securities. There, too the small saving is heavily
represented nearly so per cent owning one bond OF
$1,000
Banks and trust companies hold better than 26 per
cent OF the total issue for investment account and
various partnerships hold about 10 per cent also for
investment and because it represents reserve capital
which can be easily and quickly realized upon in
Of need individuals subject to the income tax hold
about 40 per cent Of the issue but the average holding
is only about $4,000.
What is true of this corporation true Of every cor
poration in business in the United States, Mr.. Hulswi
aserts. The of the corporations are the peo-
pic who save, and the men who manage the corpora
tions less the servants OF the people than are
the men who enter political life With that hgh-sound
| ing phrase on their lips.