The Washington herald., 1917-10-31
EASIER TO RAISE
THIRD U. S. LOAN
Holland Says People Will
Meet Appeal More Glad
ly Than Before.

On the evening of the day when the
substantial success of the Second
Liberty Loan was assured some Oh
those who had voluntarily given their
entire time for q month to the work
Of selling these bonds to the Ameri-
can people, met by chance and iir
formally discussed some features OF
the wonderful campaign. One OF the
remarks was accepted by all who
heard It as containing truth.
II was stated that the first liberty
loan was the hardest successfully to
float; notwithstanding the Increased
amount, 1t was much easier to per
suade the American people to take
the Second Liberty Loan than the
nrst- And when in the spring or
late winter the Secretary of the
Secretary of the Treasury McAdoo
comes again to the American people
with another request that they leno
several billions to the government
the appeal will be even more readily
and gladly met than was the call
for the second loan of at least three
billion
The reason given for this view was
that when the first offering was
made it was an absolutely new pro-
position to the American people. In
the past when government bonds
were offered the Treasury Depart
ment looked chiefly to the banks for
subscriptions. Even in the civil war
days much the larger amount OF gov
ernment bonds was bought by the
banks and after a national banking
system was established was utilized
In securing national bank circulating
notes.
Purchase Causes Comment.
From time to time men who had
amassed great fortunes passed away
and Il was discovered that in the
majority of cases their estates con-
tanned only a comparatively small
amount of government bonds. One
lawyer OF New York, partner OF
VIM. NJ. Evarts, and ]. H. Choate,
Mr.. Southmayd. was found to have
invested substantially all Of his ac-
cumulated wealth in government
bonds, the aggregate amount having
been reported at some three million
dollars. This was regarded as SO un-
usual an investment of principal that
It occasioned a great deal Of COM
ment.
In the spring the American people
were appealed to to lend two billions
to themseives-that is to the govern
ment-and in June OF this year they
were on the whole rather slow in
getting q full understanding OF the
meaning of the offering. Further
more 1t was an enormous undertake
ing to organize an absolutely original
national campaign made up OF men
and institutions who undertook to sell
these bonds and to explain to the peo-
pie what the meaning that lay behind
an investment of this kind really was
They Were Wei Instructed.
The first campaign which of itself
constituted the greatest selling organi-
zation IN the history of the United
States, far exceeding any that was
undertaken In the time of the civil
war, opened the eyes Of the people
so that II was said, after the sub
scriptions were ended and Secretary
McAdoo was able to announce that the
offering had been heavily over SUBJ
scribed, that IL he had asked for S5,00O.-
0oo. 900 and had allowed another month
for the subscriptions to be made he
would have secured the money.
What the reasons were which per-
suaded Secretary McAdoo that It was
the better part to limit the time for
making subscriptions to the second
loar to a month. he has not said nor
Is It matter of very great conse-
quence. He did know that the Amer
lean people had been so well instruct
ed BY their object lesson which the
first liberty loan campaign gave that
they were in a condition of mind which
make It far easier to appeal to them
than was the experience in June this
year.
Having become accustomed therefore
to lend money to the government and
having learned that in doing that they
simply chage the visible form OF their
possessions from actual cash into
something that Is equivalent to cash,
and having since June accumulated in
the aggregate a very large amount of
new savings or incomes. all that was
necessary was to furnish convenient
facilities for selling the bonds to every
Individual in the United States who
presumably had money enough or