Evening star. [volume] (Washington, D.C.) 1854-1972, 1915-10-14
ECONOMY EFFORTS
URGED ON BRITAIN
?
Sir George Paish Cites Great
Financial Burdens Imposed
by the War.
LOANS OF BILLIONS
TO ALLIES NECESSARY
Nation Also Must Bear Own Enor-
M
Nation Also Must Bear Own Enor.
nous Expenses-Advocates De-
cided Curb on Living Cost,

| LONDON, October IA great ma
tional campaign of private economy
wa ursged by Sir George Paish in an
address in London as the only posi-
BILE means of preventing ultimate sus-
pension of specie payments by Great
| Britain.
England is carrying the great finan-
| cial burden of the war;" he said. The
| war found some weak spots in our al
lies which we must repair. France has
lost a large part of her income. and
therefore we must find money with
which to buy the things she needs.
Russia has virtually no exports. so we
must help her. In addition we must
provide for Belgium, Serbia and other
powers.
Vast Sum Needed for Allies.
THE result of all this is that for
the current year we must find outside
of our own expenditures f423,000.000
(S2, lis, 000.000) for our allies. Is Eng
lang content to go on living a stoday?
Money is beink squandered on all sides,
with the result, perhaps. that later our
allies may come to US for money and
we shall not have the means to sup
port them.
THE adverse trade balance, if we in
clude what we have done for our allies.
is already between 100000. 900 and
600. 10000 to balance which we
have succeeded in borrowing $4,000
O00-our moiety of the American
loan. This country needs to save yearly
$4,000. 100000. The great mass of the
people should save 10 per cent addi-
tional, and the more wealthy 20 or rs
per cent.
Sees Break in Exchange.
What is the alternative? VIII it be
possible for US to borrow $4,000. OO0, 900
to adjust our trade balance? l think
it impossible. If we go on spending
money as we are now, we shall see an
other break in American exchange &C
companied by a break in Canadian,
Argentine, Australian and Indian ex-
changes This probably would mean the
suspension Of specie payments, and we
should have to tell the world we were
unable to pay our debts"
Urges Need Of Giving.
The man who did not study the ideal
of having half his income available
for the state was not doing his duty.
said Edwin Samuel Montagu, financial
secretary to the treasury. in replying
in the house of commons to criticisms
of the new taxes imposed by the budget
of Reginald McKenna.-chancellor of
the exchequer. Mr.. Montagu in his
speech dwelt upon the magnitude of
the burden cast upon the country by
the war
We have had to keep and continue
to keep said Mr.. Montagu, IAN i'm
pregnable navy. We have paid and
continue to pay for an army which
has increased from a few thousands of
men to an army which runs into mil
lions. We are financing by loans to
our great dominions part Of their ex-
penditure on the contingents which are
helping US to fight. We are paying, as
regards India. the whole cost of the
Indian contingents. except their normal
peace expenditure.
Vast Sum Given to Allies.
I'VE have advanced to the allies such
a sum as it was estimated would equip
and maintain in the field 100000 of
their soldiers. We have a right to be
proud of our share. and-we ought to be
proud of the way In which the pro-
posals for meeting the war expendi-
ture have been received by all classes"
Mr.. Montagu added that the country
had not bent itself to the task of meet
ing the obligations imposed by burdens
which involved an expenditure amount:
ing to not less than two-thirds of the
entire estimated national yearly in
come. Therefore 1t followed, he said,
that every citizen ought to be prepared
to put no less than half his current in
come at the disposal of the state. either
by tax loan.
Mr.. Montagu said, in conclusion, that
the chancellor of the exchequer intend
ed to develop with all possible rapidity
a compulsory taxation system for the
country, but this in itself would not be
adequate to the case. and voluntary
savings were essential to an ultimate
victory.