Pine Bluff daily graphic., 1917-04-17
HOW UNCLE SAM SORROWS MONEY
 TO MAKE WAR

Ways and means for keeping Uncle r Sans war chest constantly replenish-
 ed has taken it's place among the many
 big problems that the government is
 called upon to solve in the present emergency. Most people know that I it takes a great deal of money to
 wage war, but few have any adequate
 idea of how vast are sums required. Fortunately, there is ample money in the United States at the present time
 to meet all requirements. The prob 1 lem is how best to transfer the money into Uncle Sam's coffers in way to prove least burdensome to the great est number.
 The formulation of tax measures for the war has not reached definite stage, but there are indications that the treasury will endeavor to raise by one bond issue as much of the $3,500,- 900 already asked for as cannot be ob-
 tained by new and increased taxa tion.
 A billion dollars in bonds seems a colossal amount, but as a matter of fact it would be but drop in the bucket compared with what Uncle Sam has borrowed since he began business :. The total amount of bonds sold by the government during the first century of it's existence, or down to 1889, was. in excess of SIC, ,O00,O00,- 900, a sum which makes the mind dig |'zy and which would buy Up dozen of the small monarchies of Europe. Many of these bond issues up to that time were made to fund previous loans, but interest was paid on every one of these dollars, and the gold which has been spent in this way by Uncle Sam would gild all the great departments in Washington and leave enough to make solid gold statue as large as that of the goddess of liberty which stands on the capitol dcme.
 The first issue of United States bonds to any considerable extent was made in 1790. It was found then that the indebtedness incurred by the Revo- lution was matter of grave import ance. The indebtedness was in many forms and on numerous accounts. AL 'exander Hamilton came to the front with plan, which, after long and heated debate in congress, was adopt led. It was decided to fund the revolu- tionary debt by means of bond issue. The bonds ran in three series, the bulk of them drawing 6 per cent interest, the total issue amounting to about $64, 100000. The. scheme proved to be a success, and Hamilton lived to triumph over those who had opposed it.
 In 1912 the government was again compelled to borrow money, owing to the expense incurred in the second war with Great Britain. This time a loan of $11 ,o0osO00 was negotiated. stock being issued for the amount bor- rowed, and the revenues of the govern ment pledged .for its payment. Other loans followed at intervals between this tin1eiand tthaSp 4 ginning of the civ '' It V was, in 1861 that the government made the largest loan in its history up to that time. In consideration of the difficulties s1rfounding the situation and the critical conditions of the times, that negotiation may be classed as one of the signal feats in the financial history of the United States. Uncle Sam borrowed $l50,000,000 on this deal.
 At that time the credit of the gov ernment had become so impaired that a large loan could not be obtained in any ordinary way, nor even a small temporary loan, except for very short period and at high rate of in- terest. Before congress adjourned in 1861 it conferred upon the secretary of the treasury greater power to con-