Evening star., 1915-10-16
Boys and Girls Now in Cradles
Probably Will Be Taxed
SIS Each Yearly.
INTEREST ON GREAT DEBT
MAY REACH 500, 1000, 900
Conflict Means an Expenditure Now
of $4,000, 900 Daily and
Is Increasing.
BY HERBERT COREY.
Copyright, 1851


PARIS. September 13.-The world
war is proving a costly luxury for this
generators grandchildren The boys
end girls now in cradles in England
may have to pay SIS each year as
long as they live because Europe went
mad in 1914.
Even if we escape third winter
of war it would be imprudent to cal
culate that our total war borrowings
can be much less than 10000. .000."
"Coalitionist" writes in the Sunday
Times of London.
"CoaIitionist' may be member of
parliament and a banker. or he may
not be. In any event. he displays an
appalling familiarity with the finan-
cial facts of this situation. His con-
clusion is that if the war ends at the
very earliest date that any one can
hope Great Britain's annual interest
burden will be not less than S6o0,000,000
to $1O0.000,000.
OF that staggering total he would
have not less than S100,000,0O0 go to
a sinking fund for the purpose OF re-
ducing the capital Indebtedness. Deal
ing in round numbers for the sake of
clarity, then. we are called upon to
see how many times s100.OO0.O00 go
into s1o.O00,000.00O. If "Coalitionist" is
paid off in 100 years That might be
reduced if one worried over the COM
pounding sort of mathematics hat
is the use when no one knows whether
"Coalitionst" has not understated the
total?
1t is not possible to realize how vast
a sum s700, 100000 is by merely repeat
ing the figures. Let us range 1t by
the side of some monetary measuring
rod with which we are more or less
familiar. The Pennsylvania Railroad
Company, according to the almanacs,
is our greatest railway system. The
total income of the Pennsylvania rail-
road from all sources for the year end
ed in December, 1913, was. roundly.
s21O.606.000. That is the total income.
mind you-not the net income. 1t
would take every dollar that three
Pennsylvania railroad systems could
gather to pay the interest charge on
this war in Great Britain alone.
Then when the three Pennsylvania
railroad systems had contributed every
penny they could take in. from loans.
rentals. freights. passengers. what-not,
there would still be deficit of s70,000.-
600 to be made up-just enough to eat
up the total annual income of the New
York, New Haven and Hartford sys-
tenn. There might be a few million dol
lars left on the counter in that trans
action, one way another No matter.
They seem only small change
Look at this annual interest charge
the war will saddle upon Great Britain
IN another way. That interest-inter-
est, mind you-amounts to more than
the total value of our cotton goods
manufactures in 1909. It'represents ap-
proximately the value added to raw
material by alrNeur foundries and ma
chine shops in the, same year 1t is
more than equal to this. value of twice
our manufactured iron and steel ex-
ports-twice, mind you-in 1914, plus
the value of our exported copper man
ufactures in the same period, plus the
70 a1r,n Nfa f1,a ,to1- tIaN
in the pockets of the American people.
Determined to Win the War.
These facts may help Americans to
understand the financial problem that
the British empire is facing without
blinking Parliament is now engaged
in a study of the next budget. That
taxes will be higher and more compre-
hensive than ever before in Great Brit
aims history is freely admitted Before
one can even dimly understand the en-
pire one must realize that no one is
compla lining. Great Britain is deter
mined to win this war. no matter what
II costs When the cost is contemplated
one can also understand Great Britains S
determination TO win this war so COM
p!~teiy that no other war of the sort
VII be necessary.
"Coalitionist's" figures have been sub
m'ttsd to bankers here who are in
touch win war NnanCe generally, and
tAey agree that he is hitting very close
II the target. They suspect that his
analysis was framed by the assistance
o. well informed members of the Eng
liza government. His suggestion that
IT, world will be lucky IL it escapes a
t1ird winter of war is known to be in
Ene with the beliefs held by important
members of the British cabinet Lord
Kitchener has never denied a statement
I" this effect which was once attribut-
eI 70 him. Accepting his figures as in
:fiTrd, then, we find that:
This war is now costing Great Brit
"a alone at the rate of sl5,0000O0 a
o@E. The cost is steadily rising BE
foe Christmas" according to "Coat-
t-onist. 'it is more than probable that
we shall be spending at the rate OF
$40, ,Go0, 900 a day" The difference be-
tween the empires income today and
her expenses today is roughly esti-
mated at S12.500,000 daily. BY Christ
mas il is likely the total deficiency
will be almost sI6.000.0 900 That
means" according to the authority
quoted. that we shall have to borrow
at the rate of somewhere about S5,000,-
oo0. 900 year
He holds-and it is important to rec
ollect that financial men to whom his
figures have been submitted find moth
ing out Of the way III them-that the