The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-08-01
Years Borrowings by Chief
Belligerents Amount to
S16,450, 100000

psf 1919, tnt DiitAS AhoeeS
,,ons voted an emergency credit OF
40, moo. 900. on the same date the Ger
"a, R.ich.tag appropriated S~i.25o.ooo..
NM for war purposes. Following this
.s.ll.nee the English House OF Conn
mons. on August I. voted an additional
cr.di, Of $500. 900. 900. bringing the total
=, m. British emergency war fund up
- ,,.o2s 900. 900 and thus initiating the
.,,,.ndous borrowing for war purposes
ss,ch mas been the outstanding nanci
feature OF the conflict.
Ths cost OF the war to date 10 the
,,ic. that staggers humanity" In The
~, interval that has interviewed since
,hs anassin's bullet was discharged
sssinst the Archduke Francis Ferdinand
ard his wife In the Bosnian capital.
sl.yen belligerent nations and eight neu-
,ral states have contracted indeoteo-
ness Of approximately si7'Sei'sso'ooo
.,uo.t Double National Debts.
IN. stands appalled, when he considers
the war debt Of Europe from the STAND
noint OF past experience. Prior to the
pv,h,ssk Of hoet,lities the hve leading
b.lIiseren,s who have been In the con-
,.., from the FIRST. had accumulated IN
,ne,r entire history spreading . CEN
,uriss national Indebtedness OF 3z3.oeO.-
ooo. 200. apportioned roughly as follows:
rr,nce' Ss.3AS,oo0 900 Germany. includ-
Inc the various States making up the
rmpire. st,sl3.0 00. 900 Russia. S4.537.-
400 900; Austria-Hungary. &3,7ss'ooo.-
moo. and England. 33,<Sb.o0 900. In
a brief twelve months these states nave
hound themselves and generations YET
A~H,l nhfRnffnnl OF
Sisibo ,oOO, 600. Their borrowings In one
years time are practically 7l.2 per cent.
n the Indebtedness incurred during
many previous centuries. There 10
.mail wonder thai leading European
economists talk Of national bankruptcy
az a possibility and that many oompa-
nies furnishing munitions Of wal de-
mand cash payment on contracts fear-
ful Of reputation.
Take the case OF England for example:
Her national debt in the present form
d,,ss from the revolution OF 1859 and
Na~rlborough's wars agsinst Louis XIV.
~ France. The outstanding loans OF
bankers and merchants and soldsmiths
were gathered together and FUNDED INTO
an issue which by 1897 totalled $lo',o'o,-
0Oo. The necessities OF subsequent wars.
,be American revolution and the Ma
~poleonic struggle among them. ana the
requirements for internal Improvement
increased this original debt years OF
peace n the application OF he sinking
fund reduced II. II has been a changing
and shifting an0lnt for more han 200
wears. At the end of the Transvaal war
in iso3-which cost 81. 100. 000. oo0-the
British debt stood at So. $780, 600, 900. II
had shrunk to $3.535, 200. 900 BY March
81. 1914.
Increase In Year e9,204,OO0,O00
The whole Of his latest debt reduction
Of SASS, OoO, 900 accomplished in eleven
Years was swept away In a brief nrst
two months OF the present war. Be-
tween March 81. 1914. and March 81.
1915. according to the BUDGET. Englanoe
debt expanded by $2.2s4.0o0. 900 TO the
oewildering total OF $5's2s.oio,ooo ~
Ia very much larger now. and upon the
present scale of expenditure and borrow
ing, unless the revenue Is increased by
additional taxation. II the war con.
tinues another year the debt by March
81. 1916, will have grown to Slo,-
3o5. 900. 900. This il the estimate OF the
Economist, the most conservative OF the
London financial weekl!ea.
Details OF the English borrowings In
the course OF the war are more readily
available than those OF the other i'm
" tNoiiN . oSk
the expanding English Indebtedness II
true also in principle OF the Indebtedness
of France. Germany. Russia and Austria
Italy, the latest entrant into the war
Is out with an estimate that her partic'
patton will involve at least 1900, o0O.'
400. War expenditures are increasing
and a conservative estimate places tn
outlay now at about SIS. 700, 900 a day
The cost has been enormously expanded
hU - ~ l hN
the operations OF the Allies at the Oar
danelies and by the urgency Of the de
mand for arms and ammunition. Tn
French. Russian and British Govern
nents in particular are paying far allow
ordinary commercial values for supplies
to obtain quick deliveries. n OF course
now as always. there IL great vast
through jobbery.
One feature OF the present wal centre
in the burdens 1t has placed p neu
trail nations. many Of which. and particu
larly the Netherlands aud switzerland
have been forced to recruit thei,
armies to their full strength II
order TO preserve neutrality or SUI
fer the terrible. fate Of Belgium. lr
any summary of the borrowings en-
tailed BY war. therefore, 1t Ia practically
essential to include those Of the principa
European neutrak. In addition to Dor
''"'ikr VI ~ tIto oio tbo hSb
ira! States there are many loans. sue
as those of the British colonial posses
SONS, various European municipalitie
and remote countries. These are pri
msrly due 20 the war, but as some q
The loans combine other purposes. the
ape excluded. In this connection Il ma
be noted that the United States wa
forced to raise 800. 900, 900 through a,
.=;r'nai revenue tax as a result In larg
part OF the European conflict
summary Of War Loans.
Following Is a of the prin
opal war loans OF the European belllg
erents and OF neutral States which wer
forced TO borrow as q result Of the wa
70 date:
ALLIED BORROWINGS.
Great Britain.
aits al IS. or 3s7 per cent.
as at 100 trminus) or ass ~
per cent. basis ........... 5000, 900, 90
treasury bills. various ~ to
3 per cent. nve year Ex
.eh.qger notes ...."...., 2ss.ooo,oc
year loan ......,....... 49, 900, 0c
S5.7lt.ooo, oc
France.
national defence bonds at
bl7 10 53iT .......,.... 81, $50, 900, on
tttsurv notes ..,,,,..,.. $50. 000. 0t
ssnk Of France advances. . l,2<o, 10000
oaon .......-".".,.,.. o ,Soo.o,
Ban. cr.di, New iYork 10000
IoA a, :. son a,