Omaha daily bee., 1916-10-03
Mr.. Wilson Indicts Himself


Edward Atkinson's computation generation
| ago was that production was about SIOO per an
| certain, that 10 per cent OF the production is
| saved. On this basis then, the nation IS putting
| away about two billions OF dollars. 1t is prob
ably saving good bit more than that. The Pro pro
| duction has undoubtedly increased since 1851,
| and it Is probable that the fraction accumulted
| from wear to wear has increased. The incredible
| MULTIPLICATION of automobiles is tolerable evil
| dence Of the increased means of persons in COM
Portable circumstances, but by no means rich.
Since the war began we are estimated to have
bought back billion and halt OF our own securi,
ties. To that extent we owe less than we used
| to- We have to remit less interest to Europe
That interest becomes capital available for invest
ment at home and for financing foreign projects
in our effort to encroach somewhat on the pero-
gatives OF London as the worlds money market
If we are not yet creditor nation, we are max
ing progress in that direction. /
The progress is not confined to buying back
our own securities and becoming the owners OF
our railways and industrials. During this war we
have so far become the worlds banker as to nave
loaned one and a third billion dollars to foreign
governments and commercial enterprises. For
this we shall get 600 or $4,000, 600 in the
way OF interest for at home or abroad In
the same two years we have put good deal more
than one billion dollars into building projects;
these range from year to year between halt
billion and three quarters OF billion dollars, and
cover only small part Of the country, the big
and middle sized cities. There is vast amount
of building in the smaller towns and the rural
communities OF which we have no report
Deposits in savings banks increase very slowly
The aggregate is enormous, but the annual mere
ment consists largely OF interest The excess
of deposits over Withdrawals is relatively small.
Still the savings banks account forms part OF the
annual increase of the national wealth. They are
supplemented by the cooperative building loan
associations, which in considerable parts of the
pfyy moi
The increase Of life insurance has been extremely
rapid in the past twenty years, and reflects an in
creased ability to provide for the future. The In
creas in the assets of the life insurance COM
panies in decade is shown by these hgures:
l9O4 ........I............'. 9I4So,1oo,Soo
IVA Observation-Disclosures. 4Soo,o9A,/S
The amount doubled in ten years.
Investment buying absorbs an immense volume
Of annual savings. That is, ii is annual savings
in sense as the community owes the amount OF
state and municipal bonds the purchase OF these
evidences of debt is not directly an addition to
the national wealth; it is rather an anticipation OF
wealth to be produced. Thes sale OF securities,
however, has its value as reflection of the rate
at which wealth is being produced. The employ
ment Of travelling statesmen by bond houses is
comparatively recent development OF the invest
ment business and gives some idea OF its m
portance. Even if the wealth represented by
securities is yet in great measure to be created,
the wealth expended in the purchases has already
been created.
The per capita wealth of the country as com
puted by the census bureau has, at least relative
value. The figures for three periods are as fol-
! lows:
1890 NEUTRALITY-SUSPICIOUS.. ,03S
l9OO observation-disclosures. l,io4
lSiS ....................... i,So'
They agree with many other indications that
wealth is accumuatng faster now than it was
few years ago The Accommodations are not in
few hands, either; the tendency of wages to RISE
and of interest to decline, is unmistakable, and
ought to be reassuring to the sociologsts