Elko independent. [volume] (Elko, Nev.) 1915-current, 1917-12-05
FIGURES N :.
SEC'Y M'ADOO'S REPORT
BILLIONS OF DOLLARS MUST Be LOANED TO THE GOVERNMENT
BY The PEOPLE TO FINANCE THE GENERAL NDWAR
EXPENSES: BOND ISSUES PREFERRED INSTEAD
OF TAXES; UNITY ESSENTIAL TO SUCCESS

WASHINGTON, Dec. 5.-Congress
was informed by Secretary McAdoo
III his annual report submitted today
that $5.l2S, ,2O2,793 must be provided
in addition to funds from taxes and
bond issues already authorized in or
der TO make estimated receipts for the
fiscal year ending June &c, 1918 equal
disbursements. If this deficit is met
by a new issue of bonds, the total
amount Of securities TO be issued in
the next seven months is estimated at
s9,969. .433,S5O
For the next fiscal year, ending
June 80, 1919. the estimated excess
of disbursements over receipts is ST..
627.973,9SO.
Huge war expenses and loans to
Americas allies at the rate of half
billion dollars month have made
these estimates many times larger
than any ever presented in a secretary
of the treasury's annual report. or
the Sl2,3l6.OOO.OOO estimated ordinary
expenditures for the year ending next
June 80. $Il.52IOOO. 900 is for war pur-
poses, and the proportion is about
the same for the fiscal year ending in
1919.
So far the nation has borne the fin.
ancial burdens of the war well. says
Secretary McAdoO. owing to healthy
business conditions, and the valuable
aid OF the established federal reserve
system. In the future, however, in
creasingly greater habits Of economy
must be developed by individuals and
business institutions, the secretary de
clarcs. and business as usual" can.
not be adopted as the guiding principle
of the war. People must save and
/ invest in government securities TO
avoid postponing victory.
/ With this admonition. Mr.. McAdoo
proceeds to cite the enormous figures
Of government receipts and eTpendi
turcs which are the fruit of war times
Total estimated receipts for the
current fiscal year are Sl25S0, 49,, 500
| which, with balance in the treasury
last June 80 of Sl.O66.9S3.3 .361, makes
a total Of s13.6i7.716,161 Most of tn,
ccCipts. or 6S6OOO,OOO, are from
sale of bonds and war savings Ccrti
ficatcs: ordinary receipts are S3.SS6,
100000. largely from war taxes; anC
the Panama Canal income is $1,000.
coo.
! Ordinary disbursements are csti
mated Gt Sl2,316, .223; loans to al
lies in the year at S6,115. 900 900; pub
lie debt disbursements at 1921 100000
and Panama Canal expenses, s23,593
900: making total estimated disbursC
ments $lS.-i5,9l9,955.
In order to allow for a balance 1
the general fund Of about S5O0,00O,0O
At June 30, congress must authoriz
raising Of about S5,6iO.OOO.OO0 add
tionaI funds. This figure, togcthe
with the 1866. 100000 OF authorize
but unissucd Liberty Bonds. and 1868
600 900 estimated receipts from wa
savings. make the S9.969, 100000 whicI
Mr.. McAdoo believes Americans mus
loan the government between now an
June 80. 1918.
For the next fiscal year, ending Jun
. 30. 1919, the secretary estimated -
, cciu,s at S5.I76,O0O.OO0, and disburs'
mcnts at Sl2.O3i,iiO. exclusive OF =
leo loans This makes S7,G27,O
600 excess OF disbursements. II tn
q present rate of loans to allies Is col
{ tinucd in the 101S.19 fiscal year, Sc
600. 100000 addition would be required
Estimated interest on bonds to be Il
. sued that year is S3S5.OOO. 900, and O
J.. timatcd expense OF floating the bon
J issue s2S,OoOOOO.
l Thus II the deficit is to be met b
bonds, S14,OiO.OOO,O00 worth must b
noatcd between July I, 1918 and Jun
B 30. 1919. in addition to receipts froi
4 war saving.
]! while :htsC figures represent III
II situation as II appears today" tho So
n rctary says. 1T should be born'
A mind that The cxIgcncIcs Of the fu'ul
n may cause changes, particularly wit
q regard TO the estimates for the W.
n AMI navy Col artmcnts." The estimate
"A on which the secretary bases his n
ures arc made by the various COVER
Il ment departments.
h The outstanding fact apparent fro
Z these stupendous figures ls that Il