The Jeffersonian. [volume] (Atlanta, Ga.) 1907-1917, 1917-08-02

ness men, at Des Moines, May q, 1917, our
national Son-in-law, Mr.. McAdoo, said
Wars can not be fought without money The
very first step in this war, the most effective step
that we could take, to provide the money
for it's conduct. The Congress quickly passed
act authorizing a credit Of $4,000, 900, 600, and
empowered the Secretary of the Treasury, with
the approval Of the President, to extned to the
allied Governments making war with us against
the enemies of country, credits not exceed
ing SO 600 10000 Since that law passed
it only passed on the Gath Of April, less than
q month ago-the financial machinery Of your
Government has been speeded up to top notch 10
give relief to the allies in Europe, III order that
they might be able to make their units in the
trenches, their machinery which is there on the
ground, tell to the utmost, and tell, if possible,
SO effectively that it might not be necessary to
send American soldiers to the battle fields. AS
result have already extended IN credits to
these Goyenments-Great Britain, France, Italy,
Russia, and Belgium something like $745, OO0,-
600, and shall have to extend before this
year is out, if the lasts thau 1ong, not So
900 100000 of credits, but probably Ave billions
Or six billions. But it makes difference how
much credit extend extending it for
service which is essential, as I said before, for
your own protection if other grave issues
were involved in this struggle
This initial financing was not an easy thing to
do. The Congress authorized the Secretary of
the Treasury to issue, in addition to bonds ST.
600 900 900 of one-year debt certificates. Their
purpose is to bridge any CHAINS, SO to speak,
that if the Treasury is short at any time, be
cause OF extraordinary demands, we can sell
these temporary certificates supply the need, and
then sell bonds to take up these certificates. We
have been selling temporary DEBT certificates in
anticipation Of the sale Of these Liberty bonds.
The first issue of bonds-O2, OO0, 900 ,0O0-has
not been determined by any arbitrary decision
judgment; it has been determined by the
actual necessities of the situatioh. It is the least
possible that can afford to provide for
the immediate conduct of the WIZ. We are try
ing to spread the payment for the bonds over
large period a possible, that there shall
he financial ri
redepost the proceeds in the banks upon some
equitable plan that there shall be inter
ference with business.
This money is not going to be taken cut Of
the country. AL Of this financing is largely a
matter of shifting Credits it is not going to in
VoIve any loss of gold; 1t is not going to involve
any loss of values.
These moneys are going to be put back into
circulation, put back promptly into the channels
of business and circulated and recrculated to
take of the abnormal prosperity Of the
country a prosperity that will be greater in the
present year than ever before in our history AS
we sell these bonds we take back from the foreign
governments, under the terms of the act, their
obligations, having practically the same maturity
ours, bearing the same rate Of interest ours
so that their obligations mature the proceeds
will be employed to pay off the obligations issued
by this Government to provide them with credit.
SO you fellow citizens, that in extend
ing credit to allies not giving anything
to them. SO far as that is concerned, for the
purposes Of this war, I would be willing to give
them anything to gain success, but they don't ask
that. They glad and grateful that the
American Government is willing to give them the
benefit of it's matchless credit, a credit greater
and stronger than any nation the face of the
globe. We give them credit at the same PRICE
Government has to pay to YOU, it's people, for
the use of the money, because we do not want to
make any profit on our allies. We do not want
to profit by the blood that they must shed upon
tho battle field in the in which
are engaged
AS 7 understand Son-in-Law McAdoo, we
lend England, France, Italy, and Russia
several thousand millions of dollars, without
really lpndinU q dollar